Keeson(SH:603610) Guotai Junan Securities·2024-04-29 08:32Investment Rating - The report maintains a "Buy" rating for the company with a target price of 14.87, adjusted from the previous target of 15.81 [13]. Core Views - The company's revenue exceeded expectations, and effective cost control strategies contributed significantly to profit growth [11]. - The report highlights an upward adjustment in profit forecasts for 2024-2026, with expected EPS of 0.97, 1.17, and 1.33 respectively [11][13]. - The company is experiencing stable order performance and has a strong presence in both domestic and international markets, with plans for store expansion to enhance brand influence [11][12]. Financial Summary - Revenue Growth: The company reported total revenue of 3,103 million in 2023, with projections of 3,568 million in 2024 and 4,075 million in 2025, reflecting a growth rate of 16.5% in 2023 and expected growth rates of 15.0% and 14.2% in the following years [2]. - Profitability: The net profit for 2023 is projected at 206 million, with further increases to 348 million in 2024 and 418 million in 2025, indicating a net profit growth rate of 625.2% in 2023 [2]. - Margins: The gross margin is expected to stabilize around 36.7% in 2024, with EBIT margin improving to 12.0% [2]. - Valuation Ratios: The company’s PE ratio is projected to decrease from 20.22 in 2023 to 11.94 in 2024, indicating an attractive valuation as earnings grow [2]. Operational Insights - The company has successfully maintained a stable inventory turnover and accounts receivable turnover, with inventory turnover days projected to decrease from 139.1 days in 2023 to 134.2 days in 2024 [2]. - The report notes a significant improvement in the company's return on equity (ROE), expected to reach 10.1% in 2024, up from 6.3% in 2023 [2]. Market Position - The company is recognized as a leading provider of health sleep solutions globally, serving over 30 countries and regions [3]. - The report emphasizes the company's strong market presence and the stability of its supply agreements, which enhance business reliability [11].