AUTEK(SZ:300595) Xinda Securities·2024-04-27 09:30Investment Rating - The investment rating for the company is "Buy," consistent with the previous rating of "Buy" [1]. Core Views - The company reported a revenue of 465 million yuan in Q1 2024, representing a year-on-year growth of 15.71%. The net profit attributable to the parent company was 193 million yuan, up 11.39%, while the net profit excluding non-recurring items was 167 million yuan, increasing by 11.59%. The growth rates for revenue and profit are closely aligned [1]. - The core product, OK Mirror, faces strong competition, leading to a stable revenue performance. Factors such as weak consumer spending, increased competition from defocused lenses, and the emergence of new brands have contributed to a decline in industry growth. As a leading company, efforts are being made to stabilize sales through channel acquisitions and market share enhancement [1]. - The company has seen continuous growth in terminal and private channels, while public channel revenues have declined. Nursing products have stopped their downward trend, with a 12.02% decline in revenue for nursing products in 2023. The company has strengthened online channel promotions, resulting in stable revenue in Q1 2024 and a significant increase in the proportion of its own brand, which is expected to enhance gross margins [1]. - The company has been actively acquiring terminals, which has driven growth in medical services and ordinary frame mirror revenues. By the end of 2023, the revenue contribution from controlled subsidiaries accounted for 49% of total revenue, with over 400 controlled terminals established, further advancing chain operations [1]. - The company's gross margin is 76%, down by 2.36 percentage points, primarily due to changes in product mix, with a higher proportion of low-margin medical services and ordinary frame mirrors. The sales expense ratio increased to 23.64%, up by 4.81 percentage points, due to enhanced marketing efforts and increased sales and technical support personnel [1]. - The company has established multiple health-related industry funds, focusing on expanding into the optical and health sectors. Additionally, it is actively exploring other optical tracks, including partnerships for low-concentration atropine and investments in visual training products [1]. Financial Summary - The company is projected to achieve total revenue of 1,525 million yuan in 2024, with a year-on-year growth of 14.1%. The net profit attributable to the parent company is expected to reach 624 million yuan, reflecting a growth of 10.6% [2]. - The gross margin is forecasted to be 74.6% in 2024, slightly decreasing from 74.8% in 2023 [2]. - The projected earnings per share (EPS) for 2024 is 0.70 yuan, with a price-to-earnings (P/E) ratio of 25.97 [2].