Investment Rating - The investment rating for the company is "Hold" with a current price of 11.23 CNY and a fair value of 11.52 CNY [4]. Core Insights - The company reported a revenue of 3.153 billion CNY in 2023, a year-over-year decrease of 4.6%, and a net profit attributable to shareholders of 109 million CNY, down 42.9% year-over-year. The gross margin was 30.8%, an increase of 1.3 percentage points, while the net profit margin was 3.4%, a decrease of 2.3 percentage points [9][10]. - The decline in revenue was primarily due to industry demand pressure and business adjustments, with specific segments like home environment and personal health showing varied performance. The home environment segment saw a revenue drop of 10%, while the water health segment increased by 10% [10]. - In Q1 2024, the company achieved a revenue of 720 million CNY, a year-over-year increase of 7.7%, and a net profit of 20 million CNY, up 0.5% year-over-year. The gross margin improved to 30.9% [10]. Financial Summary - The company's financial performance is projected to improve in the coming years, with expected net profits of 190 million CNY, 216 million CNY, and 247 million CNY for 2024, 2025, and 2026 respectively, reflecting year-over-year growth rates of 74.7%, 13.9%, and 14.2% [10]. - The EBITDA for 2023 was reported at 199 million CNY, with projections of 309 million CNY, 360 million CNY, and 422 million CNY for the years 2024 to 2026 [3][10]. - The company’s P/E ratio is projected to decrease from 47.00 in 2023 to 20.98 by 2026, indicating a potential improvement in valuation as earnings recover [3][10].
24Q1收入恢复增长，盈利环比改善