EASYHOME(SZ:000785)2024-05-16 01:01Investment Rating - The investment rating for the company is "Buy" (maintained) [3][10] Core Views - The company has shown significant progress in its digital transformation, with a notable increase in sales through its digital platforms. The "洞窝" platform has achieved a GMV of 974 billion, reflecting a year-on-year growth of 173% [10] - The company is actively transforming its core home furnishing business and expanding into a broader home ecosystem, which is expected to yield positive results in the future [3][10] - The company has adjusted its profit forecasts for 2024-2025 due to slow recovery in terminal demand and support measures for in-store dealers, with projected net profits of 14.38 billion and 16.07 billion respectively [10] Financial Performance Summary - In 2023, the company achieved total revenue of 135.12 billion, a year-on-year increase of 4.1%, while the net profit attributable to the parent company was 13 billion, a decrease of 21.1% [3][4] - For Q1 2024, the company reported revenue of 31.37 billion, a decline of 3.4% year-on-year, and a net profit of 3.49 billion, down 22.9% [3][4] - The company’s gross profit margin for 2023 was 34.1%, with a projected gross profit margin of 35.4% for 2024 [4][11] Business Development - The company is exploring new business models, including a dual rental and sales commission model, which aims to share risks and benefits with merchants [3][10] - The company has expanded its smart home experience centers, with 1,357 smart home brands and a sales volume exceeding 161 billion [3][10] - The company has established a self-operated smart home service platform, "居然乐屋," which focuses on high-end home decoration services [10] Market Position and Outlook - The company is positioned to benefit from the broad market potential of the home furnishing industry, with a strategy of regional expansion and channel penetration [10] - The projected net profit for 2026 is 17.92 billion, with a year-on-year growth of 11.5% [10]