Jinwu Financial News | According to Guoyuan Securities Research Report, Chaoyun Group (06601) released the 2023 annual performance report: in 2023, the company achieved operating income of 1,616 billion yuan, an increase of 11.68% over the previous year; the corresponding net profit was 173 million yuan, an increase of 164.02% over the previous year. As of December 31, 2023, the company's cash and equivalents in hand was $2,901 billion; in 2023, the company's dividend payout ratio was 80%, and continued to maintain a high dividend ratio during the operating period.
According to the bank, in the home care business sector, while maintaining the leading brand strength of insecticide, mosquito repellent and household cleaning products (the company's insecticidal and mosquito repellent products have occupied the first place in the domestic market for many years in a row), it has launched differentiated products and created a variety of high-margin products. In terms of pet business, since entering the pet sector, the company has continuously strengthened the upstream supply chain and downstream channel distribution capabilities for pet products, food, and health products. It has successively laid out cat litter factories, Shandong Shuaike, Zhongbo Luya, etc. through strategic cooperation and equity investment, and gradually developed omni-channel collaborative development from online channels to pets, investing in Claw Technology and Shenzhen Mileyun to launch an offline thousand store plans. In the future, the pet circuit will drive the company's performance growth.
The bank continued that the product side is optimistic about the vast growth space brought by the company's entry into the pet industry; the channel side believes that the company's omni-channel coverage strategy, which goes hand in hand with online and offline, is expected to achieve multi-dimensional growth. The company's revenue for 2024-2026 is estimated to be 1,78/19.37/2,083 billion yuan, respectively, and net profit to mother is 1.83/1.95/210 million yuan respectively, corresponding EPS is 0.14/0.15/0.16 yuan/share, respectively. The PE corresponding to the current stock price is 11.46/10.80/10.02, respectively. Maintain a “buy” rating.