M&G(SH:603899)2024-04-29 14:31Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance in the near term [10]. Core Insights - The company reported a revenue of 5.485 billion yuan for Q1 2024, reflecting a year-on-year growth of 12.4%, and a net profit of 380 million yuan, up 13.9% year-on-year [6][8]. - The traditional core business showed strong online growth, with a revenue increase of 9.5% year-on-year, while the technology segment grew by 32.7% [6]. - The company is focusing on enhancing its product structure and optimizing its supply chain, which has led to improved gross margins across its product categories [9][10]. Summary by Sections Market Data - Closing price: 34.2 yuan - One-year high/low: 47.58/29.75 yuan - Market capitalization: 31,595 million yuan [2]. Financial Data - Total revenue for 2023: 23,351 million yuan, with a projected increase to 27,835 million yuan in 2024 [11]. - Net profit for 2023: 1,527 million yuan, expected to rise to 1,784 million yuan in 2024 [11]. - Gross margin for Q1 2024: 20.2%, an increase of 0.5 percentage points year-on-year [9]. Business Performance - The retail segment, particularly the "九木" stores, saw a revenue increase of 23.5% year-on-year, with a total of 678 retail stores by the end of Q1 2024 [7]. - The company is actively expanding its overseas market presence, focusing on localized product development in regions like Africa and Southeast Asia [6][10].