Investment Rating - The report maintains a "Buy" rating for the company, with a target price of HKD 10.78 per share, reflecting a potential upside from the current market price [1][5]. Core Insights - The company achieved a revenue of HKD 2.927 billion in H1 2024, representing a year-on-year growth of 11.9%, while the net profit attributable to shareholders was HKD 308 million, down 13.8% year-on-year. The company announced an interim dividend of HKD 292 million, with a payout ratio of 94.87% [1][2]. - The performance of hot pot base materials remained stable, with significant growth in compound seasonings and instant food segments, driven by new product launches and improved channel management [2]. - The gross margin for H1 2024 was 30.0%, a decrease of 0.5 percentage points year-on-year, primarily due to price reductions on products sold to related parties. The net profit margin fell by 3.2 percentage points to 10.5% [3]. - The company emphasizes its high dividend investment value, supported by strong cash flow and low financial pressure, indicating a commitment to returning value to shareholders [4]. Financial Summary - For the fiscal year 2024, the company is projected to generate total revenue of HKD 6.870 billion, with a year-on-year growth of 11.75%. The net profit is expected to be HKD 815.1 million, reflecting a decline of 4.41% [7][8]. - The earnings per share (EPS) for 2024 is forecasted at HKD 0.79, with a price-to-earnings (PE) ratio of 12.61 based on the closing price of HKD 10.78 [5][8]. - The company’s financial metrics indicate a stable gross margin of around 30.51% to 31.58% over the next few years, with a projected return on equity (ROE) of approximately 18% by 2026 [7][8].
颐海国际：收入端稳健增长，重视高股息投资价值