CHOW TAI FOOK(01929) 光大证券·2024-06-14 00:31Investment Rating - The report maintains a "Buy" rating for the company [4] Core Insights - The company reported a revenue growth of 14.82% year-on-year for FY2024, with a net profit attributable to shareholders increasing by 20.71% [2] - The company experienced a decline in same-store sales, with a 20.2% drop in retail value during the period from April 1 to May 31, 2024 [2][9] - The overall gross margin decreased by 2.08 percentage points to 20.50% for FY2024 [2] - The company opened 136 new stores, bringing the total to 7,782 stores as of March 31, 2024 [3] Summary by Sections Financial Performance - FY2024 revenue reached HKD 108.71 billion, a 14.82% increase year-on-year, while net profit attributable to shareholders was HKD 6.50 billion, translating to an EPS of HKD 0.65, up 20.71% [2][5] - For the second half of FY2024, revenue was HKD 59.19 billion, a 22.92% increase, but net profit decreased by 4.91% to HKD 1.95 billion [2] Operational Metrics - The company’s gross margin for FY2024 was 20.50%, down 2.08 percentage points, with a second-half gross margin of 16.80%, down 4.29 percentage points [2] - The operating expense ratio decreased by 1.57 percentage points to 12.88% for FY2024 [2] Store Expansion - The company added 136 new stores in FY2024, with a total of 7,782 stores as of March 31, 2024 [3] - The number of stores in mainland China reached 7,403, an increase of 143 stores [3] Market Position - The report highlights the company's strong competitive position in terms of channel strength and brand power within the industry [4]