Three Squirrels(300783) Xinda Securities·2024-10-11 07:38Investment Rating - The investment rating for the company is "Buy" [1]. Core Views - The company is expected to achieve a net profit attributable to shareholders of 48.1 to 52 million yuan in Q3 2024, representing a year-on-year increase of 200.45% to 233.60% [1]. - The company has demonstrated significant improvements in profitability due to structural changes and a high-end cost-performance strategy, which has enhanced product competitiveness while maintaining stable gross margins [1][2]. - The offline distribution has shown good initial sales performance, and the company is expected to continue increasing its market penetration and share due to strong brand recognition and competitive pricing [1][2]. Financial Summary - Total revenue for 2022 was 7,293 million yuan, with a projected increase to 10,188 million yuan in 2024, reflecting a growth rate of 43.2% [2]. - The net profit attributable to shareholders is expected to rise from 129 million yuan in 2022 to 419 million yuan in 2024, indicating a year-on-year growth of 90.7% [2]. - The company's gross margin is projected to stabilize around 23.2% in 2024, down from 26.7% in 2022 [2]. - The return on equity (ROE) is expected to improve from 5.5% in 2022 to 14.3% in 2024 [2]. - The earnings per share (EPS) is projected to increase from 0.32 yuan in 2022 to 1.05 yuan in 2024 [2].