JINHUI(603919)2024-04-24 12:30Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for the next six months [1][2]. Core Insights - The company reported a total revenue of 1.08 billion yuan for Q1 2024, representing a year-on-year growth of 20.4%, and a net profit attributable to shareholders of 220 million yuan, up 21.6%, aligning with market expectations [1]. - The product structure continues to improve, with significant revenue growth in high-priced products, and the company is actively expanding its market presence outside its home province [1]. - The company aims for a revenue target of 3 billion yuan and a net profit of 400 million yuan for 2024, alongside plans to repurchase shares worth 100 to 200 million yuan to implement employee stock ownership plans [1][2]. Summary by Sections Financial Performance - Q1 2024 revenue breakdown: products priced above 300 yuan generated 190 million yuan (+86.5%), products priced between 100-300 yuan generated 550 million yuan (+24.1%), and products below 100 yuan generated 320 million yuan (-4.2%) [1]. - Revenue from the domestic market reached 850 million yuan (+22.6%), while revenue from outside the province was 220 million yuan (+13.2%) [1]. - The company’s gross margin improved by 0.43 percentage points to 65.4%, with a slight increase in net profit margin to 20.4% [1]. Market Strategy - The company is focusing on a strategy of "national layout, deepening in the northwest, and key breakthroughs," enhancing brand influence and market share [1]. - The company is also advancing its user engagement strategy, which has significantly boosted brand recognition [1]. Earnings Forecast - Expected EPS for 2024-2026 are 0.87 yuan, 1.15 yuan, and 1.48 yuan, with corresponding PE ratios of 22, 17, and 13 [2][3]. - The company is projected to benefit from national expansion and consumption upgrades, indicating strong long-term growth potential [2].