拓店方面，2023 年净新增门店180 家，新进驻13 个城市；截至2023 年12 月31 日，公司在中国大陆29 个城市直营768 家门店。北京及上海新开门店39家，期末门店数达到351 家，新增长市场新增141 家门店，期末门店数达到417 家门店。进驻城市由16 个增长至29 个。Matters:
The company announced its 2023 results. In fiscal year 2023, the company achieved revenue of 3.05 billion yuan, a year-on-year increase of 51%, and achieved revenue of 1,674 billion yuan in the second half of '23, an increase of 50.6% over the previous year. Net profit turned into profit. Adjusted net profit reached 8.78 million yuan (adjusted net loss of 110 million yuan in 2022), and store-level EBITDA was RMB 580 million, an increase of 80.1% over the previous year. Store-level EBITDA margin was 18.9% (+3.1 pct). Adjusted EBITDA was $300 million, up 117.7% year over year. The adjusted EBITDA margin was 9.9%, compared to 6.9% in FY2022.
Commentary:
In terms of expanding stores, 180 new stores were added in 2023, entering 13 new cities; as of December 31, 2023, the company directly operated 768 stores in 29 cities in mainland China. 39 new stores were opened in Beijing and Shanghai; the number of stores reached 351 at the end of the period, 141 new stores were added in the new growth market, and the number of stores reached 417 at the end of the period. The number of participating cities increased from 16 to 29.
The mature market in North China achieved revenue of 1,545 billion yuan, up 20.8% year on year, accounting for 50.6% of which came from delivery orders. The new market grew stronger, achieving revenue of 1,505.6 billion yuan, up 102.9% year on year, delivery accounting for 42.1%, and revenue accounting for 49.4% (23H2 new market revenue share rose to 52.8%). By the end of '23, Jinan, Wuhan, Chengdu, Qingdao, Wenzhou, and Changzhou had 48 stores with daily sales of 32,000 yuan. - 23 months, an average of 9 months. In addition, the three stores in Jiaxing performed well. The daily sales of a single store reached 46,000 yuan, and the return on investment of a single store was 5 months.
The Gaotong store continued to grow. Same-store sales increased by 8.9% during the period (14.4% for the whole year, 8.8% for 23H1, 9% for 23H2), the number of members reached 14.6 million (8.6 million at the end of last year), and the daily sales of a single store in the North Shang store reached 12,900 yuan (yoy -5.1%), mainly due to the increase in order volume, the company's overall single-store daily sales reached 12,300 yuan (yoy +36.4%). yoy +9.9%)? Operating profit margins increased steadily, and the share of various costs was properly controlled. The operating profit margin at the store level in '23 was 13.8% (+3.7pct), 23H1 was 13.5%, 23H2 was 13.9%, and raw material costs accounted for 27.4% (+0.2pct).
Employee costs accounted for 38.6% (-0.2pct),
The rental cost ratio was 10.1% (-0.6pct),
The depreciation and amortization ratio was 5.2% (-0.8pct).
Investment advice and valuation: The company is in a growth period of increasing brand potential and rapid store expansion, and same-store sales continue to grow; due to the economies of scale brought about by revenue growth, the company's profitability climbed, raising the 24-year net profit forecast to 5 million yuan (previous value was 4 million yuan), maintaining the 25-year net profit forecast of 138 million yuan and the net profit forecast for an additional 26 years of $252 million; with reference to comparable companies, the target price was HK$67.38, maintaining the “recommended” rating.
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