IMPULSE(002899)2024-10-20 12:33Investment Rating - The report gives a "Buy" rating for the company, marking the first coverage of the stock [5]. Core Insights - The company, Yingpais (002899), is a leading player in the domestic fitness equipment industry, having been the first to list on the main board in China in September 2017. The company has seen significant revenue growth, with a 9% increase in 2023 and a 45% increase in the first half of 2024 [1][10]. - The global fitness equipment market exceeds 14.8 billion by 2028, driven by increasing health awareness and demand for fitness products, particularly in emerging markets [16][19]. - Yingpais is focusing on expanding both overseas and domestic markets, with a notable increase in self-branded product exports, which grew by 62% in the first half of 2024 [27][30]. Company Overview - Yingpais specializes in the development, manufacturing, and sales of a wide range of fitness equipment, aiming to meet diverse consumer needs with functional, digital, and intelligent products. The company has established a nationwide sales network in China and has successfully entered over 100 international markets [10][12]. - The company has a strong emphasis on R&D and has adopted a customized production model to enhance customer loyalty, resulting in a 43% increase in OEM/ODM export revenue in the first half of 2024 [27][29]. Industry Analysis - The global fitness equipment market is primarily dominated by mature markets in Europe and North America, while the Chinese market shows significant growth potential, with a CAGR of 9.38% from 2016 to 2019 [16][19]. - International brands hold a substantial market share, with companies like ICON, LifeFitness, and Precor leading the high-end market. Domestic brands like Yingpais are actively developing their own brands to capture market share [26][27]. Financial Forecast and Valuation - The company is expected to achieve revenues of 1.3 billion, 1.7 billion, and 2.1 billion yuan in 2024, 2025, and 2026, respectively, with year-on-year growth rates of 45.5%, 29.3%, and 23.9% [2][35]. - The projected net profit for the same period is expected to reach 100 million, 140 million, and 210 million yuan, with growth rates of 16.5%, 35.9%, and 46.9% [2][35].