WEIXING(002003) 东方证券·2024-04-22 07:32Investment Rating - The report maintains a "Buy" rating for the company with a target price of 16.75 CNY, reflecting confidence in its long-term growth potential [2][21]. Core Insights - The company reported a revenue of 3.91 billion CNY in 2023, a year-on-year increase of 7.7%, and a net profit attributable to shareholders of 558 million CNY, up 14.2% year-on-year. The fourth quarter saw a significant revenue growth of 23.8% to 1 billion CNY, with a net profit of 26 million CNY, marking a turnaround from losses [7][8]. - The company plans to distribute a dividend of 530 million CNY, resulting in a dividend payout ratio of approximately 94%, exceeding market expectations [7]. - The company aims for a revenue target of 4.5 billion CNY in 2024, representing a year-on-year growth of 15.2% [7]. Financial Performance - The company’s revenue and profit forecasts for 2024-2026 are as follows: - Revenue: 4.52 billion CNY (2024E), 5.20 billion CNY (2025E), 5.93 billion CNY (2026E) - Net profit: 655 million CNY (2024E), 762 million CNY (2025E), 890 million CNY (2026E) - Earnings per share: 0.56 CNY (2024E), 0.65 CNY (2025E), 0.76 CNY (2026E) [9][21]. - The gross margin is expected to improve slightly, with projections of 41.2% in 2024, maintaining a stable outlook for subsequent years [9]. Business Segments - The company’s zipper and button businesses showed strong recovery, with revenue growth of 6.8% and 9% respectively in 2023. In the second half of 2023, these segments grew by 17.3% and 14.3% respectively [7]. - Domestic and international revenues were 2.696 billion CNY and 1.21 billion CNY respectively, with year-on-year growth of 7.2% and 8.7% [7]. Strategic Initiatives - The company is advancing its capacity planning, including upgrades to its Bangladesh industrial park and the efficient development of its Vietnam facility, enhancing its global supply chain capabilities [7]. - The company has received multiple awards from major clients, indicating strong customer satisfaction and recognition in the industry [7].