Haitong Securities·2024-05-08 08:02Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [1]. Core Views - The report highlights that the company experienced a revenue of 10.15 billion yuan in Q1 2024, a year-on-year decrease of 5.2%, while the net profit attributable to the parent company was 1.597 billion yuan, an increase of 10.1% year-on-year [5]. - The report indicates that despite a high base affecting short-term sales, the product structure continues to upgrade, with mid-to-high-end products accounting for 44.0% of total sales, reflecting strong momentum in premiumization [5]. - The gross margin improved significantly to 40.4%, driven by a decrease in average costs and an increase in product prices [5]. - The report projects earnings per share (EPS) for 2024-2026 to be 3.59, 4.04, and 4.44 yuan respectively, with a price-to-earnings (PE) ratio of 24-28 times for 2024, suggesting a reasonable value range of 86.17-100.54 yuan [5]. Summary by Sections Financial Performance - In Q1 2024, the company reported total revenue of 10.15 billion yuan, down 5.2% year-on-year, with total beer sales of 2.184 million kiloliters, a decrease of 7.6% year-on-year [5]. - The average price per product increased by 2.6%, while the average cost decreased by 1.0%, contributing to the improved gross margin [5]. Profitability - The net profit margin increased to 15.7%, and the net profit attributable to the parent company rose to 1.597 billion yuan, reflecting a year-on-year growth of 10.1% [5]. - The report notes a reduction in selling expenses, which contributed to the optimization of profitability [5]. Future Outlook - The company is expected to gradually overcome the high base effect in the second quarter, with the summer beer season anticipated to drive performance [5]. - The projected EPS growth indicates a positive outlook for the company's financial health in the coming years [5].