Jointown(SH:600998) Soochow Securities·2024-04-29 03:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved a revenue of 150.14 billion yuan in 2023, representing a year-on-year growth of 6.92%, and a net profit attributable to shareholders of 2.17 billion yuan, up 4.27% year-on-year [3] - The company is undergoing a business transformation and upgrading, with significant results from the implementation of its new three-year strategy [1] - The company plans to issue approximately 1.2 billion yuan in REITs and 3 billion yuan in Pre-REITs in 2024, leading to an adjustment in net profit forecasts for 2024-2025 [4] Financial Performance Summary - Total revenue (in million yuan) for 2022A was 140,424, for 2023A was 150,140, and projections for 2024E, 2025E, and 2026E are 166,851, 185,171, and 204,891 respectively, with year-on-year growth rates of 14.72%, 6.92%, 11.13%, 10.98%, and 10.65% [2] - The net profit attributable to shareholders (in million yuan) for 2022A was 2,085, for 2023A was 2,174, and projections for 2024E, 2025E, and 2026E are 4,778, 3,415, and 3,777 respectively, with year-on-year growth rates of -14.84%, 4.27%, 119.77%, -28.53%, and 10.61% [2] - The latest diluted EPS (in yuan/share) for 2022A was 0.53, for 2023A was 0.56, and projections for 2024E, 2025E, and 2026E are 1.22, 0.87, and 0.97 respectively [2] Strategic Initiatives - The CSO business is showing promising growth, with revenue of 19.58 billion yuan in 2023, up 46.01%, and a gross profit margin of 14.24% [3] - The new retail strategy is progressing with a significant increase in franchise pharmacy sales, which reached 3.48 billion yuan in 2023, a year-on-year increase of 83.25% [4] - The company has established a new brand "Quankin Health" for its CSO management, with a promotional team of over 3,000 people [3]