新秀丽：24Q1盈利水平同期历史新高，债务杠杆持续改善

Investment Rating - The investment rating for the company is "Outperform the Market" [5] Core Insights - The company achieved a historical high in profitability for Q1 2024, with revenue of $860 million, reflecting a currency-neutral growth rate of 4.1% despite a high base from the previous year [5][6] - The gross margin reached 60.4%, marking a year-on-year increase of 2.4 percentage points, while the adjusted EBITDA was $160 million, with an adjusted EBITDA margin of 18.8% [5][6] - The company has improved its debt leverage, with a net leverage ratio of 1.48X, the lowest since the acquisition of Tumi in 2016, and a significant cash flow recovery with free cash flow of $6 million, an increase of $68 million year-on-year [5][6] Summary by Sections Financial Performance - For Q1 2024, the company reported revenue of $860 million, with a year-on-year growth of 4.1% on a currency-neutral basis [5][6] - The adjusted net profit margin was 10.1%, up 0.6 percentage points year-on-year, and the fixed SG&A expense ratio decreased to 24.9%, down 4.8 percentage points from the previous year [5][6] - The company plans to maintain an advertising expense ratio of 7% for the year to drive growth across its brand matrix [5] Brand Performance - The main growth driver for the company is the Samsonite brand, with currency-neutral year-on-year growth rates of 6.5% for Samsonite, 1.6% for Tumi, and 3.2% for American Tourister in Q1 2024 [5][6] - Tumi's growth was impacted by inventory arrival times and a high base from the previous year [5] Regional Performance - In Q1 2024, the company saw currency-neutral year-on-year growth rates of 7.5% in Asia, 0.3% in North America, -0.5% in Europe, and 17.9% in Latin America [5][6] - The growth in Asia was significantly driven by China (+23.0%), Japan (+26.4%), and South Korea (+13.3%) [5] Market Outlook - Global travel is expected to recover, with projections indicating that the number of global travelers in 2024 will reach 106% of 2019 levels, and a CAGR of 9.1% for global travel from 2023 to 2026 [5][6] - The company anticipates continued robust growth in travel-related consumption [5]