CHINA PET FOODS(002891) 信达证券·2025-04-27 05:23Investment Rating - The investment rating for the company is not explicitly stated in the provided documents, but the overall sentiment appears positive based on the performance metrics and growth expectations. Core Insights - The company reported a revenue of 4.465 billion yuan in 2024, representing a year-on-year increase of 19.2%, and a net profit attributable to the parent company of 394 million yuan, up 68.9% year-on-year. For Q1 2025, revenue reached 1.101 billion yuan, a 25.4% increase year-on-year, with a net profit of 91 million yuan, up 62.1% year-on-year. The growth is attributed to strong performance in self-owned brands and continued expansion in the US and Canada [1][2][3]. Domestic Performance - In Q1 2024, domestic revenue was 1.414 billion yuan, a 30.8% increase year-on-year. The second half of 2024 saw revenue of 797 million yuan, up 37.2% compared to the first half. The domestic gross margin improved to 35.2%, a 3.9 percentage point increase year-on-year. The company expects significant results from the "Wang Pi" brand reform and continued high growth from "Lingdian" and "Zeal" brands [2]. International Performance - The company achieved overseas revenue of 3.051 billion yuan in 2024, a 20.4% increase year-on-year. The second half of 2024 saw revenue of 1.712 billion yuan, up 29.9% year-on-year. The completion of technical upgrades at the US factory is expected to drive further revenue growth, with anticipated year-on-year growth of around 20% for Q1 2025 [3]. Profitability and Operational Efficiency - In Q1 2025, the company's gross margin was 31.9%, and the net profit margin was 8.3%, reflecting a year-on-year increase of 4.0 and 1.9 percentage points, respectively. The improvement in profitability is attributed to the increased contribution from US and Canadian factories and the upgrade of domestic self-owned brand product structures. The company maintains controllable expense ratios, with sales, management, and R&D expense ratios at 11.4%, 6.1%, and 2.1%, respectively [4]. Financial Forecast - The company forecasts net profits attributable to the parent company of 471 million yuan, 589 million yuan, and 732 million yuan for 2025, 2026, and 2027, respectively, with corresponding price-to-earnings ratios of 34X, 27X, and 22X [4].