NBJF(603997) Huaan Securities·2024-11-05 01:12Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The report highlights that the company is experiencing short-term disruptions in Q3 2024, but there are signs of long-term growth potential ahead [1] - The company reported a net profit attributable to shareholders of 204 million in 2023, with a significant decline expected in 2024, projecting a net loss of 446 million [2][3] - The report emphasizes the importance of 2024 as a critical growth point for the company, with increasing certainty regarding performance inflection points [1] Financial Performance Summary - Revenue for the first three quarters of 2024 is projected to be 16.906 billion, a year-on-year increase of 6.3% [1] - The company’s gross profit margin for Q3 2024 is reported at 14.1%, a decrease of 1.0 percentage points year-on-year [1] - Operating income for Q3 2024 is expected to be 5.9 billion, reflecting a year-on-year decline of 6.19% [1] Financial Forecasts - The company’s revenue is forecasted to grow from 21.571 billion in 2023 to 33.669 billion by 2026, with a compound annual growth rate (CAGR) of approximately 23.9% [2][3] - The net profit attributable to shareholders is expected to recover from a loss of 446 million in 2024 to a profit of 1.212 billion by 2026 [2][3] - The report projects a gradual improvement in gross profit margin from 14.8% in 2023 to 16.5% in 2026 [4] Key Financial Ratios - The report indicates a projected return on equity (ROE) of -8.7% in 2024, improving to 17.0% by 2026 [4] - The price-to-earnings (P/E) ratio is expected to decrease from 74.83 in 2023 to 13.89 by 2026, indicating a potential increase in valuation attractiveness [4] - The company’s debt-to-equity ratio is projected to improve from 302.9% in 2023 to 236.2% by 2026, reflecting better financial stability [4]