Career International(SZ:300662) Changjiang Securities·2024-05-17 06:02Investment Rating - The investment rating for the company is "Buy" and is maintained [2][4]. Core Views - The company has shown steady revenue growth, with Q1 2024 revenue reaching 2.639 billion yuan, a year-on-year increase of 10.30%. The net profit attributable to shareholders was 40.65 million yuan, up 22.07% year-on-year, while the net profit after deducting non-recurring items decreased by 10.01% year-on-year to 22.73 million yuan [2][11]. - The company is expected to achieve revenues of 2.6 billion, 3.3 billion, and 4.3 billion yuan for the years 2024 to 2026, corresponding to price-to-earnings (PE) ratios of 15, 12, and 9 times, respectively [4]. Financial Performance Summary - In 2023, the company reported total revenue of 9.778 billion yuan, a year-on-year increase of 7.55%. However, the net profit attributable to shareholders decreased by 31.05% to 201 million yuan, and the net profit after deducting non-recurring items fell by 43.03% to 134 million yuan [10]. - The revenue breakdown shows that the flexible staffing business generated 8.977 billion yuan, up 11.70% year-on-year, while the headhunting and recruitment process outsourcing businesses faced significant declines of 37.83% and 38.41%, respectively [10]. - The overall gross margin decreased by 2.37 percentage points year-on-year due to changes in revenue structure and a decline in gross margins across core business lines [3][10]. Operational Insights - The company is focusing on optimizing management efficiency and enhancing its service ecosystem, which combines technology, platform, and service to expand growth opportunities [11]. - The first quarter of 2024 showed promising results, with expectations for continued growth in the flexible staffing business driven by an increase in headcount and an upgrade in job structure [11].