Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 22.50 CNY, reflecting a 16.7x PE valuation for 2024 [1][5][6]. Core Insights - The company's revenue for 2023 reached 16.29 billion CNY, a year-on-year increase of 46.5%, while the net profit attributable to shareholders was 1.316 billion CNY, up 29% [1][2]. - The report highlights that the gold category continues to show high demand, and the rapid expansion of high-end stores is expected to benefit from an improved competitive landscape [1][2]. - The embedded product category's contribution to revenue is only 2.5%, indicating limited downside and a potential stabilization in profits [1][2]. Summary by Sections Performance Overview - The company reported a revenue of 16.29 billion CNY in 2023, with a net profit of 1.316 billion CNY, reflecting a year-on-year growth of 46.5% and 29% respectively [1][2]. - For Q1 2024, the revenue was 5.07 billion CNY, a decrease of 6.6% year-on-year, with a net profit of 336 million CNY, down 5.7% [1][2]. Financial Forecast - The forecast for 2024-2026 predicts net profits of 14.81 billion CNY, 16.72 billion CNY, and 18.81 billion CNY respectively, with EPS of 1.35 CNY, 1.53 CNY, and 1.72 CNY [5][6]. - The report anticipates a continued increase in store openings, with a target of 400-600 new stores in 2024 [1][2]. Market Position - The company is positioned as a leading brand in the mid-to-high-end diamond jewelry market in China, with a significant market share [2][5]. - The report notes that the competitive landscape is improving, which may enhance the company's market position [1][2].
周大生2023年报&2024Q1业绩点评：黄金发力驱动收入，镶嵌拖累临近尾声