Investment Rating - The investment rating for the company is "Buy" (maintained) [3] Core Views - The company is actively adjusting its operational strategy in response to weakened industry demand, focusing on high-quality mid-priced products for B-end and high-quality mid-to-high-priced products for C-end, while continuously optimizing its product matrix and expanding revenue growth points [11] - The company is pushing for deeper channel penetration and embracing new retail channels to enhance market share, indicating a positive long-term development trend [11] Financial Performance Summary - For Q1 2025, the company reported revenue of 3.6 billion yuan, a decrease of 4.1%, and a net profit attributable to shareholders of 395 million yuan, down 10.0% [10] - In Q4 2024, revenue was 4.05 billion yuan, an increase of 7.3%, with a net profit of 438 million yuan, up 22.8% [10] - For the full year 2024, revenue reached 15.127 billion yuan, a growth of 7.7%, while net profit was 1.485 billion yuan, a slight increase of 0.5% [10] - The company’s gross margin for Q1 2025 decreased by 3.2 percentage points to 23.3%, primarily due to increased promotional efforts and weakened scale effects [10] - The company’s long-term revenue projections for 2025-2027 are 16.266 billion yuan, 17.619 billion yuan, and 19.211 billion yuan, reflecting year-on-year growth rates of 7.5%, 8.3%, and 9.0% respectively [11] Profitability Metrics - The projected net profit for 2025-2027 is 1.593 billion yuan, 1.772 billion yuan, and 1.988 billion yuan, with corresponding growth rates of 7.3%, 11.2%, and 12.2% [11] - The company’s price-to-earnings ratio (P/E) is projected to be 14, 13, and 11 for the years 2025, 2026, and 2027 respectively [11]

Investment Rating - The investment rating for the company is "Buy" (maintained) [3] Core Views - The company is actively adjusting its business strategy in response to weakened industry demand, focusing on high-quality mid-priced products for B-end and high-quality mid-to-high-priced products for C-end, while continuously optimizing its product matrix and expanding revenue growth points [11] - The company is pushing for channel penetration and exploring channel potential, fully embracing large B and new retail channels to continuously increase market share [11] - The long-term development trend of the company remains positive despite current challenges [11] Financial Performance Summary - For Q1 2025, the company reported revenue of 3.6 billion yuan (down 4.1%) and a net profit attributable to shareholders of 395 million yuan (down 10.0%) [10] - In Q4 2024, revenue was 4.05 billion yuan (up 7.3%) with a net profit of 438 million yuan (up 22.8%) [10] - For the full year 2024, revenue reached 15.127 billion yuan (up 7.7%) and net profit was 1.485 billion yuan (up 0.5%) [10] - The company’s gross margin for Q1 2025 decreased by 3.2 percentage points to 23.3%, primarily due to increased promotional efforts and weakened scale effects [10] - The company’s net profit margin for Q1 2025 decreased by 0.7 percentage points to 11.0% [10] Revenue and Profit Forecast - Revenue projections for 2025-2027 are 16.266 billion yuan, 17.619 billion yuan, and 19.211 billion yuan, representing year-on-year growth of 7.5%, 8.3%, and 9.0% respectively [11] - Net profit forecasts for the same period are 1.593 billion yuan, 1.772 billion yuan, and 1.988 billion yuan, with year-on-year growth of 7.3%, 11.2%, and 12.2% respectively [11] - The current stock price corresponds to a price-to-earnings ratio of 14, 13, and 11 for the years 2025, 2026, and 2027 respectively [11]