ZBOM(SH:603801) EBSCN·2024-04-28 01:32Investment Rating - The report maintains a "Buy" rating for ZBOM Home Collection (603801 SH) [6][8] Core Views - ZBOM Home Collection achieved revenue and profit growth in 2023, with significant progress in whole-home customization channels and overseas business [1][3] - The company's 2023 revenue reached 6 116 billion yuan, a 13 5% YoY increase, while net profit attributable to parent company was 595 million yuan, up 10 87% YoY [14][21] - For 2024-2026, the report forecasts revenue of 6 706/7 357/8 301 billion yuan and net profit of 652/714/799 million yuan, with EPS of 1 49/1 63/1 83 yuan [6][14] Business Performance Product Performance - In 2023, kitchen cabinets, wardrobes, and wooden doors generated revenues of 2 84/2 51/0 41 billion yuan, with YoY growth rates of 3 7%/19 2%/79 9% respectively [3] - 1Q2024 saw kitchen cabinet/wardrobe/wooden door revenues of 0 32/0 38/0 05 billion yuan, with YoY changes of -0 7%/+8 8%/+11 6% [11] Channel Performance - Direct sales, distribution, and project channels achieved 2023 revenues of 0 47/3 12/2 01 billion yuan, growing 18 5%/7 8%/21 2% YoY [3] - Whole-home customization channel revenue grew 34 5% YoY in 2023 [3] - Overseas business reached 0 15 billion yuan in 2023, a 31 9% YoY increase [3] Operational Metrics - As of 1Q2024, the company operated 4 742 stores, including 4 717 franchised stores and 25 directly-operated stores [10] - 2023 average revenue per franchised store was 0 69 million yuan (-0 6% YoY), while directly-operated stores achieved 13 43 million yuan (+18 5% YoY) [10] Financial Performance Profitability - 2023 gross margin was 37 1%, down 0 6 percentage points YoY, with net margin at 9 7% (-0 2 percentage points) [10] - 1Q2024 gross margin improved to 37 2% (+0 3 percentage points YoY), though net margin declined to 5 8% (-0 6 percentage points) [5] Expense Management - 2023 operating expense ratio was 24 4%, down 0 8 percentage points YoY [4] - 1Q2024 operating expense ratio increased to 34 2% (+2 9 percentage points YoY) [25] Strategic Development - The company is accelerating overseas expansion, with flagship stores in Singapore and a global brand strategy launched in 2023 [3][13] - International business focuses on both B2B and B2C models, with projects including luxury hotels in Australia and Qatar [13] Valuation - Current PE ratios for 2024-2026 are 10/9/8x, with PB ratios of 1 7/1 5/1 3x [6][14] - The stock price was 14 23 yuan as of the report date, with a market cap of 6 212 billion yuan [1][8]