Core Insights - The company has successfully navigated the challenge of balancing revenue growth and profit margins, achieving a continuous increase in gross margin for seven consecutive years while outpacing market revenue growth [1][2] - The company anticipates maintaining its growth momentum in 2024, with a projected doubling of net profit to 132 million yuan, establishing itself as the only consistently profitable player in the third-party delivery industry [2][4] Group 1: Business Performance - The company reported a significant increase in active merchants, reaching 650,000 in 2024, with a strong growth in key accounts (KA) and a market share that remains competitive [1][2] - The number of active consumers exceeded 23 million, with a notable increase in repurchase rates, contributing to revenue growth and enhancing order density in various business districts [1][2] - The active rider count reached 1 million last year, with a significant year-on-year increase in high-income riders [1] Group 2: Business Segments - The company’s three business segments (ToB, ToC, and last-mile delivery) are expected to drive sustained growth, with the ToB segment expanding its customer base by over 7,500 stores last year [2][3] - The ToC segment has introduced exclusive delivery products that strengthen its position in the high-end market, aiding consumer business development [2][3] Group 3: Market Trends - The ongoing competition in the food delivery sector is intensifying, with major players like Meituan and JD.com heavily investing in the market, indicating a shift towards a broader range of products beyond just food [4][5] - The company believes that the current food delivery battle is just the beginning, with future expansions into grocery, pharmacy, and other sectors expected to drive significant growth [4][5] Group 4: Strategic Focus - The company aims to maintain its unique third-party positioning and comprehensive business model, focusing on enhancing service quality and building a robust rider ecosystem [5][6] - The company plans to leverage customized logistics solutions to cater to various verticals, including grocery and pharmaceuticals, while integrating warehousing and delivery services to enhance efficiency [5][6] Group 5: Long-term Outlook - The company is positioned in a long-term growth sector, with increasing consumer demand for convenience and instant delivery aligning with modern lifestyle trends [6][7] - The industry is expected to see an influx of new players, driven by the need for diverse channels and the ongoing trend of brand concentration in the supply side [6][7]

Investment Rating - The report maintains a "Recommended" rating for the company, indicating a positive outlook for its stock performance relative to the market index [2][4]. Core Views - The company is positioned as a leading player in the third-party delivery sector, which exhibits strong growth potential. The upward revision of the annual transaction cap reflects the unexpected surge in demand for last-mile delivery services [2][3]. - The company has significantly increased its profit forecasts for 2025-2027, with projected net profits of 350 million, 670 million, and 1.27 billion RMB respectively, compared to previous estimates of 260 million, 410 million, and 590 million RMB [2][3]. - The expected earnings per share (EPS) for the same period are revised to 0.39, 0.73, and 1.38 RMB, with corresponding price-to-earnings (P/E) ratios of 38, 20, and 11 [2][3]. Summary by Sections Event Overview - On June 13, 2025, the company proposed to revise the annual cap for related transactions for last-mile delivery services to 12.845 billion and 20.551 billion RMB for 2025 and 2026, representing year-on-year increases of 101.7% and 60.0% respectively [1]. - The revision is driven by the faster-than-expected growth in last-mile delivery demand, with historical transaction amounts reaching 6.369 billion RMB in 2024, up 33.3% from 4.777 billion RMB in 2023 [1]. Business Growth Drivers - The company's flexible transportation network and strong delivery capabilities are expected to meet the increasing last-mile delivery demands, leading to rapid revenue growth [1]. - Key growth strategies include enhancing e-commerce return collection capabilities, expanding service networks and rider teams, and diversifying delivery services [1]. - The company anticipates continued strong growth in express delivery services through deeper collaboration with SF Holding Group, particularly during peak periods [1]. Financial Projections - Revenue projections for 2024, 2025, 2026, and 2027 are 15.746 billion, 23.598 billion, 33.748 billion, and 42.178 billion RMB, with growth rates of 27.1%, 49.9%, 43.0%, and 25.0% respectively [3]. - The projected net profit growth rates for the same years are 161.8%, 167.1%, 89.9%, and 88.4% [3]. - The company’s financial ratios indicate a strong growth trajectory, with a projected return on equity (ROE) of 24.09% by 2027 [3].

Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance in the coming year [2][4]. Core Insights - The company is experiencing an unexpected surge in demand for last-mile delivery services, leading to an upward revision of the annual transaction cap for related services to RMB 128.45 billion and RMB 205.51 billion for 2025 and 2026, respectively, representing year-on-year increases of +101.7% and +60.0% [1]. - The company's flexible transportation network and strong delivery capabilities are expected to significantly enhance revenue from last-mile delivery services, driven by factors such as the growth of e-commerce returns, network expansion, and diversified service offerings [1]. - The company anticipates continued strong growth in express delivery services in collaboration with SF Holding Group, particularly during peak periods and in regions lacking local delivery personnel [1]. Financial Projections - Revenue is projected to grow from RMB 15.75 billion in 2024 to RMB 42.18 billion by 2027, with a compound annual growth rate (CAGR) of 27.1% [3]. - Net profit is expected to increase significantly from RMB 132 million in 2024 to RMB 869 million in 2027, reflecting a robust growth trajectory [3]. - Earnings per share (EPS) are forecasted to rise from RMB 0.14 in 2024 to RMB 0.95 in 2027, with corresponding price-to-earnings (P/E) ratios decreasing from 96 to 15 over the same period [3].