JACK(603337) 华泰证券·2025-04-15 09:00Investment Rating - The report maintains a "Buy" rating for the company with a target price of 38.40 RMB [7][8]. Core Insights - The company achieved a revenue of 6.09 billion RMB in 2024, a year-on-year increase of 15%, and a net profit attributable to shareholders of 810 million RMB, up 51% year-on-year, aligning with previous performance forecasts [1][2]. - The company is expected to benefit from the release of high-end AI products and an increase in market share, particularly with the upcoming launch of a high-end AI sewing machine [1][4]. - The company’s gross margin improved to 32.76% and net margin to 13.57% in 2024, reflecting a year-on-year increase of 4.34 and 3.37 percentage points respectively [3]. Summary by Sections Financial Performance - In Q4 2024, the company reported a revenue of 1.387 billion RMB, a 16% increase year-on-year, and a net profit of 193 million RMB, up 53% year-on-year [1]. - The company’s domestic revenue reached 3.128 billion RMB, growing 28.6% year-on-year, while overseas revenue was 2.944 billion RMB, a 3.3% increase year-on-year [2]. Product Development - The company has made significant progress in developing high-end products, including a prototype for a high-end AI sewing machine and a humanoid robot [4]. - The company plans to launch the high-end AI sewing machine in the second half of the year, which is expected to create a new category in the sewing machine industry [4]. Profitability and Cost Management - The company’s sales, management, and R&D expense ratios increased due to stock option expenses, while the financial expense ratio decreased due to reduced interest payments from loan repayments [3]. - The company’s product line has been streamlined to 1,400 SKUs, enhancing resource allocation efficiency [3]. Earnings Forecast - The forecast for net profit attributable to shareholders is 1.16 billion RMB for 2025, 1.28 billion RMB for 2026, and 1.38 billion RMB for 2027, with corresponding PE ratios of 12, 11, and 10 times [5][6].