JONJEE(600872) KAIYUAN SECURITIES·2024-10-28 23:00Investment Rating - Investment rating: Buy (maintained) [1] Core Views - The company's revenue performance is under short-term pressure, but profitability has improved year-on-year [1] - The company is expected to achieve growth through both organic and external acquisitions, supporting long-term development [4] - The company has shown a commitment to reform, with expectations for gradual release of reform dividends leading to a recovery in overall revenue growth [4] Revenue and Profitability - In Q3 2024, the company's revenue and net profit attributable to shareholders were 1.328 billion and 226 million yuan, respectively, representing year-on-year changes of +2.23% and +32.90% [1] - The company's gross margin and net margin in Q3 2024 were 38.82% and 18.94%, respectively, showing year-on-year increases of 4.96 and 4.90 percentage points [3] - The company's profitability improvement is attributed to lower raw material costs and optimized procurement and operational models [3] Segment Performance - In Q3 2024, chicken essence and powder revenue grew by 13.99% year-on-year, while soy sauce revenue saw a slight increase of 0.47%. However, revenue from edible oils and other categories experienced a decline [2] - Regional performance in Q3 2024 showed revenue growth in the eastern, southern, and northern regions, with year-on-year increases of 8.57%, 1.20%, and 2.53%, respectively. The central and western regions saw a decline of 12.94%, but the decline was less severe compared to the previous quarter [2] Financial Forecasts - The company forecasts EPS for 2024-2026 to be 0.90, 1.10, and 1.41 yuan, respectively, with corresponding net profits of 700 million, 860 million, and 1.103 billion yuan [1] - The projected revenue for 2024 is 5.536 billion yuan, with a year-on-year growth of 7.7% [5] - The company's P/E ratios for 2024-2026 are projected to be 26.2, 21.4, and 16.7 times, respectively [1]