KINGCLEAN(603355) 开源证券·2024-05-11 14:00Investment Rating - The investment rating for the company is "Buy" [50]. Core Insights - The company achieved a revenue of 8.79 billion yuan in 2023, a decrease of 11.5% year-on-year, while the net profit attributable to shareholders was 1.12 billion yuan, an increase of 8.4% [67]. - The company has seen a significant recovery in its OEM business and high growth in its component business, with expectations for improved profitability in 2024-2026 [3][63]. - The gross margin for 2023 was 25.6%, an increase of 2.6 percentage points, driven by the optimization of the OEM business structure and contributions from the component business [36][63]. Financial Performance Summary - In Q4 2023, the company reported a revenue of 3.01 billion yuan, down 6.0% year-on-year, and a net profit of 320 million yuan, up 53.5% [3][8]. - For Q1 2024, the company achieved a revenue of 2.31 billion yuan, an increase of 11.7%, and a net profit of 270 million yuan, up 36.0% [3][8]. - The company’s gross margin for Q1 2024 was 25.9%, reflecting a recovery from Q4 2023 [58]. Business Segment Performance - In 2023, the company's revenue from home appliances and component businesses was 5.14 billion yuan and 3.47 billion yuan, respectively, with year-on-year declines of 16.0% and 3.5% [63]. - The company has successfully expanded its cross-border e-commerce business, achieving nearly 30% revenue growth in Q1 2024 [19][63]. - The automotive component business saw a 50% increase in sales year-on-year, indicating strong demand and growth potential [63]. Profitability Metrics - The net profit margin for 2023 was 12.7%, an increase of 1.7 percentage points compared to the previous year [21][63]. - The company’s operating cash flow for Q1 2024 was 330 million yuan, a significant increase of 119.3% [15]. - The company’s return on equity (ROE) for 2023 was 25.5% [52]. Future Earnings Forecast - The forecasted net profit for 2024-2026 is 1.27 billion yuan, 1.45 billion yuan, and 1.63 billion yuan, respectively, with corresponding EPS of 2.20 yuan, 2.52 yuan, and 2.84 yuan [3][52]. - The price-to-earnings (P/E) ratios for 2024-2026 are projected to be 12.7, 11.1, and 9.9 times, respectively [3][52].