EASEPAL(002614) 申万宏源·2024-04-30 11:02Investment Rating - The report maintains an "Outperform" rating for the company [4] Core Views - The company has adjusted its profit forecast downwards due to weak demand for non-essential consumer goods in both domestic and international markets. The expected net profit for 2024 and 2025 is projected to be 170 million and 229 million yuan respectively, with a year-on-year growth of 64.3% and 35.3%. A new profit forecast for 2026 is introduced at 297 million yuan, representing a year-on-year growth of 29.3% [4] - The company is compared with Rongtai Health and Beiqing Song, with a PEG ratio of 0.78 for the company against a 0.81 average for comparable companies, indicating a potential upside of 5% in the current market valuation [4] Financial Summary - In 2023, the company reported a revenue of 5.03 billion yuan, a decrease of 17% year-on-year. The net profit attributable to the parent company was 103 million yuan, showing a slight increase of 1% year-on-year, while the net profit excluding non-recurring items dropped by 78% to 31 million yuan [11] - For Q1 2024, the company achieved a revenue of 1.05 billion yuan, down 11% year-on-year, with a net profit of 5 million yuan, a decrease of 74% year-on-year [11] - The total revenue projections for 2024, 2025, and 2026 are 5.56 billion, 6.19 billion, and 6.92 billion yuan respectively, with expected year-on-year growth rates of 10.5%, 11.4%, and 11.7% [12] - The gross profit margin for 2023 was 37.07%, an increase of 4.84 percentage points year-on-year, while the net profit margin was 2.27%, a slight increase of 0.42 percentage points [27]