XGIMI(SH:688696) Guoxin Securities·2024-04-29 14:00Investment Rating - The investment rating for the company is "Buy" [1] Core Views - The company is experiencing short-term pressure on domestic sales while rapidly expanding overseas [44] - The company reported a revenue decline of 15.8% in 2023, with a net profit drop of 76.0% [44] - Despite the challenges, the company is expected to recover with projected net profit growth of 80%, 42%, and 31% for 2024, 2025, and 2026 respectively [44] Financial Forecasts and Key Metrics - Revenue (in million CNY): - 2022: 4,222 - 2023: 3,557 - 2024E: 4,004 - 2025E: 4,558 - 2026E: 5,128 - Revenue growth rates: -15.8% in 2023, 12.6% in 2024E, 13.8% in 2025E, 12.5% in 2026E [2][44] - Net Profit (in million CNY): - 2022: 501 - 2023: 121 - 2024E: 217 - 2025E: 309 - 2026E: 406 - Net profit growth rates: -76.0% in 2023, 80.5% in 2024E, 42.1% in 2025E, 31.4% in 2026E [2][44] - Earnings Per Share (EPS): - 2022: 7.16 - 2023: 1.72 - 2024E: 3.11 - 2025E: 4.41 - 2026E: 5.80 [2][44] - Key Ratios: - EBIT Margin: 2023: -2.6%, 2024E: 1.8%, 2025E: 4.0%, 2026E: 5.6% [2] - Return on Equity (ROE): 2023: 3.9%, 2024E: 6.7%, 2025E: 9.0%, 2026E: 11.0% [2] Market and Product Insights - The company is facing a decline in long-focus projection revenue while internet value-added service revenue has increased by over 50% [44] - The company has expanded its domestic and overseas channels, with overseas revenue growing by 15.6% to 9.1 billion CNY [44] - The company is focusing on product innovation and has launched several new products across different price segments [44]