TINGYI(00322) 海通证券·2024-08-31 07:40Investment Rating - The investment rating for the company is "Outperform the Market" [2][6][12] Core Views - The report highlights stable revenue and recovery in profitability, with expectations for expanded scale advantages [2][6] - The beverage segment, particularly tea drinks, has shown strong performance, contributing to overall profitability recovery [4][6] - The company has established scale advantages in its beverage business by focusing on core categories and optimizing marketing strategies [4][6] Summary by Sections Financial Performance - For the first half of 2024, the company reported total revenue of 415.50 billion (YOY -0.15%) and main business revenue of 412.01 billion (YOY +0.72%) [3][6] - The net profit attributable to shareholders reached 18.85 billion (YOY +15.12%), with a net profit margin increase of 0.57 percentage points [3][6] Beverage Business - The beverage segment achieved revenue of 270.65 billion (YOY +1.73%) with a compound annual growth rate (CAGR) of 5.54% from 2022H1 to 2024H1 [4][6] - The gross margin for the beverage business increased by 2.5 percentage points to 35.2%, leading to a profit increase of 26.9% to 11.15 billion [4][6] Instant Noodle Business - The instant noodle segment maintained stable revenue at 138.14 billion (YOY -0.98%) with an improved gross margin of 27.1% [6][8] - The company upgraded core products and expanded into high-potential products, adapting to changing consumer shopping habits [6][8] Financial Forecasts - Projected total revenues for 2024-2026 are 840.78 billion, 883.54 billion, and 914.66 billion respectively, with net profits of 37.25 billion, 41.94 billion, and 46.26 billion [5][6] - The report estimates EPS for 2024-2026 to be 0.66, 0.74, and 0.82 respectively, with a PE valuation range of 15-19 times for 2024E [5][6]