Core Viewpoint - Haitong International reports that Laopu Gold (06181) will experience short-term revenue growth due to new store openings and optimization of store structure, while long-term brand positioning and expansion of domestic and international customer base will enhance overall consumption power and repurchase rates [1] Group 1: Financial Projections - The firm maintains an "outperform" rating for Laopu Gold, with a target price of 875.6 RMB (957.2 HKD) based on a 22x P/E ratio for 2026, indicating a potential upside of 31.6% [1] - Projected net profit growth for the group from 2025 to 2027 is 238.4%/34.4%/17.2% year-on-year, with earnings per share estimates of 29.6/39.8/46.7 RMB respectively [1] Group 2: Strategic Initiatives - The company's channel expansion and overseas breakthroughs are expected to increase membership and solidify its high-end brand position, supporting long-term growth potential for Laopu Gold [1]

Investment Rating - The investment rating for the company is "Buy" [7] Core Views - The company has shown strong performance in overseas markets, with a revenue increase of 27.67% in 2024, while domestic revenue grew by 9.32% despite pricing pressures from procurement policies [2][3] - The company is expanding its high-end product offerings and increasing its market share in both domestic and international markets, with significant progress in the installation of high-end models [4] - The company is expected to achieve revenue growth of 13.7%, 16.5%, and 17.8% for the years 2025, 2026, and 2027 respectively, with net profit growth of 12.8%, 17.6%, and 18.4% during the same period [4] Summary by Sections Financial Performance - In 2024, the company achieved a total revenue of 45.35 billion yuan, a year-on-year increase of 15.41%, and a net profit of 18.28 billion yuan, up 10.57% [1] - The gross margin for 2024 was 72.07%, with a slight decrease of 0.89 percentage points compared to the previous year [2] - For Q1 2025, the company reported revenue of 11.25 billion yuan, a 10.12% increase year-on-year, and a net profit of 4.38 billion yuan, up 2.65% [1][3] Market Segmentation - The overseas market contributed 16.84 billion yuan in revenue in 2024, reflecting a growth of 27.67%, driven by increased installation of instruments [2] - The domestic market generated 28.43 billion yuan in revenue, with a growth of 9.32%, supported by expanding coverage in tertiary hospitals [2][4] Product Development - The company installed 1,641 units of chemical luminescence instruments in the domestic market, with large machines accounting for 74.65% of installations [4] - In the overseas market, the company installed 4,017 units, with high-end models making up 67.16% of the total installations [4] Future Projections - Revenue projections for 2025, 2026, and 2027 are 51.58 billion yuan, 60.07 billion yuan, and 70.75 billion yuan respectively, with corresponding net profits of 20.63 billion yuan, 24.27 billion yuan, and 28.74 billion yuan [4][6]