瑞尔特：竞争加剧、逆势投放，短期盈利承压

Investment Rating - The report maintains a "Buy" rating for Ruierte (002790 SZ) [4][6] Core Views - Ruierte's Q3 2024 revenue reached 567 million yuan (YoY -0 9%), with net profit attributable to shareholders of 35 million yuan (YoY -43 4%) [2] - Domestic demand remains weak, with pressure on self-brand growth, while overseas sales show steady growth [2] - Intensified competition and increased marketing expenses have put short-term pressure on profitability [2] - The company is actively participating in subsidy programs to boost sales, with 15% subsidy on Tmall and 20% on JD com [2] Business Segments Self-Brand Business - Online growth has slowed, with ASP decline due to price competition in the smart toilet industry [2] - Offline channels continue rapid expansion, with deeper moats and relatively milder competition [2] - The company is building barriers through counter-cyclical layout in offline channels [2] OEM Business - Domestic OEM faces pressure, while overseas water component business remains stable [3] - Smart toilet OEM exports are growing rapidly, mainly in North America and Middle East markets [3] - Traditional flush components show recovery trend overseas but decline domestically [3] Financial Performance - Q3 2024 gross margin was 27 4% (YoY -2 2pct), net margin 6 2% (YoY -4 7pct) [3] - Sales/management/R&D expense ratios were 11 9%/4 7%/4 2% respectively [3] - Operating cash flow was 38 million yuan in Q3 2024 (YoY -64 million yuan) [3] - Accounts receivable turnover days decreased to 51 days (YoY -18 days) [3] Financial Projections - 2024-2026 net profit forecasts adjusted to 170 million, 200 million, and 240 million yuan [4] - Corresponding PE ratios are 20X, 17X, and 14X for 2024-2026 [4] - Revenue growth projections for 2024-2026 are 7 4%, 11 7%, and 13 3% respectively [5] - EPS forecasts for 2024-2026 are 0 41, 0 48, and 0 57 yuan per share [5] Industry Context - The company operates in the home furnishings industry [6] - Smart toilet segment shows high growth potential despite market challenges [2] - The industry faces intensified competition and pricing pressure [2]