Investment Rating - The report maintains a "Buy" rating for the company, with a target price set at HKD 13.28, expecting a relative return of over 20% within the next six months [6][14]. Core Insights - The company reported a revenue of USD 8.2 billion for FY24, reflecting a 4% year-on-year increase. Manufacturing revenue was USD 5.6 billion, up 11%, while retail revenue was RMB 18.5 billion, down 8% [1][2]. - The gross profit margin stood at 24.4%, with manufacturing gross margin at 19.9%, an increase of 0.7 percentage points, driven by strong demand for footwear orders and improved production efficiency [1]. - The company aims to leverage the "athleisure" trend and enhance its manufacturing capabilities through automation and R&D, focusing on sustainable growth in regions like Indonesia and India [3]. Financial Performance - The net profit attributable to shareholders was USD 390 million, a significant increase of 43% year-on-year [2]. - The footwear shipment volume reached 255 million pairs, marking a 17% increase, with Indonesia accounting for 54% of shipments, up 29% [2]. - The average selling price (ASP) was USD 20.3, down 5% [2]. Future Outlook - The company plans to balance volume and price for sustainable growth, while enhancing operational resilience and efficiency through rigorous cost management [3]. - The revenue forecasts for FY25, FY26, and FY27 are projected at USD 8.7 billion, USD 9.3 billion, and USD 10.0 billion, respectively, with net profits expected to be USD 500 million, USD 550 million, and USD 620 million [5].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price set at HKD 13.28, expecting a relative return of over 20% within the next six months [6]. Core Insights - The company reported a revenue of USD 8.2 billion for FY24, reflecting a 4% year-on-year increase. Manufacturing revenue was USD 5.6 billion, up 11%, while retail revenue was CNY 18.5 billion, down 8% [1][2]. - The gross margin stood at 24.4%, with manufacturing gross margin at 19.9%, an increase of 0.7 percentage points, driven by strong demand for footwear orders and improved production efficiency [1]. - The company aims to leverage the "athleisure" trend and enhance its manufacturing capabilities through automation and R&D, focusing on sustainable growth in regions like Indonesia and India [3]. Financial Performance - The net profit attributable to shareholders was USD 390 million, a significant increase of 43% year-on-year [2]. - The footwear shipment volume reached 255 million pairs, marking a 17% increase, with Indonesia accounting for 54% of shipments, up 29% [2]. - The average selling price (ASP) was USD 20.3, down 5% [2]. Future Outlook - The company plans to balance volume and price for sustainable growth, while enhancing operational resilience and efficiency through rigorous cost management [3]. - The revenue projections for FY25-27 are USD 8.7 billion, USD 9.3 billion, and USD 10.0 billion, respectively, with net profits expected to be USD 500 million, USD 550 million, and USD 620 million [5].

Investment Rating - The report maintains a "Buy-A" rating for the company [1][6] Core Views - The company achieved a revenue of $8.182 billion in 2024, a year-on-year increase of 3.7%, and a net profit attributable to shareholders of $392 million, representing a year-on-year growth of 42.8% [2][4] - The board proposed a final dividend of HKD 0.9 per share, combined with an interim dividend of HKD 0.4 per share, resulting in an annual payout ratio of 69% [2] - The manufacturing business saw a strong recovery with a revenue of $5.621 billion in 2024, up 11.1% year-on-year, driven by a significant rebound in global sports footwear orders [4][5] - Retail business revenue faced pressure, declining by 8.0% year-on-year to $1.845 billion, primarily due to reduced foot traffic in physical stores and a net decrease of 75 stores [5] Summary by Sections Financial Performance - In 2024, the manufacturing business's capacity utilization rate improved to 93%, up 14 percentage points year-on-year, contributing to a gross margin increase of 0.7 percentage points to 19.9% [4] - The retail business's gross margin improved slightly to 34.2%, with a net profit of $49.2 million, a year-on-year increase of 0.2% [5] - The company expects revenue for 2025 to reach $8.493 billion, with a projected year-on-year growth of 3.8% [6] Future Outlook - For the first two months of 2025, the manufacturing business revenue grew by 7.3%, while retail revenue declined by 4.3% [5] - The company anticipates a steady recovery in manufacturing business growth and a potential positive growth in retail business by the end of 2025 [5][6] - Projected net profits for 2025, 2026, and 2027 are $465 million, $502 million, and $532 million, respectively, with year-on-year growth rates of 18.5%, 8.0%, and 6.1% [6]

Investment Rating - The report maintains a "Buy-A" rating for the company [1][7] Core Insights - In 2024, the company achieved revenue of $8.182 billion, a year-on-year increase of 3.7%, and a net profit attributable to shareholders of $392 million, up 42.8% year-on-year. The board proposed a final dividend of HKD 0.9 per share, combined with an interim dividend of HKD 0.4 per share, resulting in a total payout ratio of 69% [2][4] - The manufacturing business showed strong order growth in 2024, with revenue reaching $5.621 billion, a year-on-year increase of 11.1%. The production capacity utilization rate improved to 93%, up 14 percentage points year-on-year, contributing to a gross margin increase of 0.7 percentage points to 19.9% [4][5] - The retail business faced challenges, with revenue declining by 8.0% to $18.454 billion, primarily due to decreased foot traffic in physical stores and a reduction in the number of stores. However, the overall channel performance was robust, with a 16% growth in total sales, particularly driven by a doubling of sales through Douyin live streaming [5] Financial Performance Summary - For 2024, the company expects revenues of $8.493 billion, $9.003 billion, and $9.456 billion for 2025, 2026, and 2027 respectively, reflecting year-on-year growth rates of 3.8%, 6.0%, and 5.0% [5][9] - The net profit attributable to shareholders is projected to be $465 million, $502 million, and $532 million for 2025, 2026, and 2027, with year-on-year growth rates of 18.5%, 8.0%, and 6.1% respectively [7][9] - The company's P/E ratios for 2025, 2026, and 2027 are estimated to be 6.1, 5.6, and 5.3 times, indicating a favorable valuation outlook [7][9]

Investment Rating - The report maintains a "Buy-A" rating for the company [1][8] Core Views - The company achieved a revenue of USD 8.182 billion in 2024, representing a year-on-year growth of 3.7%, and a net profit attributable to shareholders of USD 392 million, which is a significant increase of 42.8% year-on-year [2][4] - The board proposed a final dividend of HKD 0.9 per share, combined with an interim dividend of HKD 0.4 per share, resulting in an annual payout ratio of 69% [2] - The manufacturing business showed strong order growth in 2024, with a revenue of USD 5.621 billion, up 11.1% year-on-year, driven by improved capacity utilization and production efficiency [4] - The retail business faced challenges with a revenue decline of 8.0% year-on-year, attributed to reduced foot traffic in physical stores and a net decrease of 75 stores in mainland China [5] Summary by Sections Financial Performance - In 2024, the manufacturing business's output volume reached 255 million pairs of shoes, a 16.9% increase year-on-year, although the average selling price decreased by 5.1% to USD 20.25 per pair [4] - The manufacturing business's capacity utilization improved to 93%, up 14 percentage points year-on-year, contributing to a gross margin increase of 0.7 percentage points to 19.9% [4] - The retail business's gross margin improved slightly to 34.2%, with a net profit of USD 49.2 million, reflecting a 0.2% year-on-year growth [5] Future Outlook - For 2025, the company expects a recovery in manufacturing business revenue, with a projected growth of 3.8% to USD 8.493 billion, while retail revenue is anticipated to decline by 4.3% [5] - The company forecasts net profits of USD 465 million, USD 502 million, and USD 532 million for 2025, 2026, and 2027 respectively, with year-on-year growth rates of 18.5%, 8.0%, and 6.1% [10][12]

Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company has experienced revenue growth driven by a high manufacturing environment, with footwear shipment volume increasing nearly 17% [5][7] - For FY24, the company achieved revenue of $8.182 billion, a year-on-year increase of 3.7%, with manufacturing revenue growing by 11.1% [7] - The gross profit for FY24 was $1.993 billion, reflecting a 3.5% increase year-on-year, and the net profit attributable to shareholders was $392 million, up 42.8% year-on-year [7] Financial Performance Summary - Revenue projections for FY25 to FY27 are estimated at $8.674 billion, $9.131 billion, and $9.541 billion respectively, with corresponding net profits of $501 million, $571 million, and $604 million [6][8] - The company’s earnings per share (EPS) are projected to be $0.31, $0.36, and $0.38 for FY25, FY26, and FY27 respectively [6][8] - The return on equity (ROE) is expected to improve from 8.84% in FY25 to 10.36% in FY27 [6][8] Manufacturing Business Insights - The manufacturing segment reported a revenue of $5.621 billion for FY24, with a gross margin of 19.9%, an increase of 0.7 percentage points year-on-year [7] - Footwear shipment volume reached 255 million pairs, a year-on-year increase of 16.9%, with capacity utilization rising to 93%, the highest since FY21 [7] - The company’s footwear shipments from Indonesia increased by 28.6%, contributing to 54% of total shipments, benefiting from lower labor costs [7] Retail Business Insights - The retail segment saw a revenue decline of 8.0% (in RMB terms) for FY24, but the gross margin improved to 34.2%, up 0.5 percentage points year-on-year [7] - The company is diversifying its brand portfolio by increasing investments in emerging sports brands and aims to restore growth in its retail business [7]

证券研究报告 纺织服饰 | 纺织制造 港股|公司点评报告 hyzqdatemark 2025 年 03 月 13 日 市场表现： | 基本数据 | 2025 | 年 | 03 月 | 11 | 日 | | --- | --- | --- | --- | --- | --- | | 收盘价（港元） | | | | 15.10 | | | 一年内最高/最低（港 | | | | 18.40/8.37 | | | 元） | | | | | | | 总市值（百万港元） | | | | 24,228.80 | | | 流通市值（百万港元） | | | | 24,228.80 | | | 资产负债率（%） | | | | 33.37 | | | 资料来源：聚源数据 | | | | | | 裕元集团(00551.HK) 投资评级： 买入（维持） ——制造高景气驱动集团营收增长，鞋履出货量增长近 17% 投资要点： 证券分析师 丁一 SAC：S1350524040003 dingyi@huayuanstock.com 周宸宇 zhouchenyu@huayuanstock.com | 盈利预测与估值（美元） | | | | | ...

Financial Performance - For the fiscal year ending December 31, 2024, the total revenue increased to $8,182,161 thousand, representing a growth of 3.7% compared to $7,890,168 thousand in 2023[2] - The recurring profit attributable to the company's owners rose significantly by 43.7% to $378,627 thousand from $263,399 thousand in the previous year[2] - The total profit attributable to the company's owners increased by 42.8% to $392,415 thousand, up from $274,710 thousand in 2023[2] - Basic earnings per share improved by 42.9% to 24.37 cents, compared to 17.05 cents in the prior year[2] - Total comprehensive income for the year reached $457,103 thousand, a significant increase from $255,111 thousand in 2023[5] - The company reported a total tax expense of $147,444 thousand for 2024, significantly higher than $80,992 thousand in 2023[20] - The company’s profit for the year 2024 was $392,415,000, an increase from $274,710,000 in 2023, representing a growth of approximately 43.0%[27] - Profit attributable to the company's owners was $392.4 million, representing a 42.8% increase from $274.7 million in the previous year[38] Dividends - The interim dividend was doubled to HKD 0.40 from HKD 0.20, while the proposed final dividend increased by 28.6% to HKD 0.90 from HKD 0.70[2] - The company declared a final dividend of HK$0.90 per share for the year ending December 31, 2024, up from HK$0.70 per share in 2023, which translates to a total of approximately $1,444,094,000[25][26] - The board declared a final dividend of HK$0.90 per share for 2025, up from HK$0.70 per share in 2023, resulting in a total annual dividend of HK$1.30 per share[71] Revenue Breakdown - Revenue from the manufacturing business reached $5,620,753 thousand, up 11.1% from $5,059,438 thousand in the previous year[12] - Retail business revenue decreased to $2,561,408 thousand, down 9.5% from $2,830,730 thousand in 2023[12] - Revenue from sports/outdoor shoes was $4,403,600 thousand, an increase of 8.9% compared to $4,041,081 thousand in 2023[14] - Revenue from the United States was $1,542,031 thousand, up 9.5% from $1,408,248 thousand in 2023[15] - Revenue from Europe increased to $1,429,624 thousand, a rise of 11.1% from $1,286,960 thousand in the previous year[15] - The footwear segment's revenue increased by 11.0% to $5,169.0 million, with a shipment volume rise of 16.9% to 255.3 million pairs[39] - The group’s manufacturing revenue from footwear, soles, accessories, and others totaled $5,620.8 million, an increase of 11.1%[39] - The group’s revenue from sports/outdoor shoes accounted for 53.8% of total revenue, while casual shoes and sports sandals contributed 9.4%[42] Assets and Liabilities - Non-current assets totaled $3,530,430 thousand, slightly down from $3,574,374 thousand in the previous year[6] - Current assets increased to $3,844,924 thousand from $3,783,858 thousand, driven by higher inventory and receivables[6] - The net asset value rose to $4,914,354 thousand, compared to $4,710,028 thousand in 2023, reflecting a solid financial position[8] - Accounts receivable increased to $938,499,000 in 2024 from $885,145,000 in 2023, marking a rise of about 6.0%[28] - The company’s accounts payable rose to $500,454,000 in 2024 from $475,505,000 in 2023, an increase of about 5.2%[29] Costs and Expenses - The company reported a decrease in financing costs to $63,339 thousand from $85,039 thousand, indicating improved financial management[4] - Employee benefits expenses totaled $2,025,704,000 in 2024, compared to $1,990,412,000 in 2023, reflecting an increase of about 1.8%[23] - The total cost of sales for the manufacturing business was $4,503.7 million, an increase of 10.2% from $4,087.3 million in 2023[48] - The gross profit for the group rose by 3.5% to $1,992.7 million, with an overall gross margin of 24.4%[47] - The manufacturing segment's gross profit increased by 14.9% to $1,117.0 million, with a gross margin of 19.9%, up 0.7 percentage points year-on-year[47] - Total selling and distribution expenses decreased by 6.3% to $838.2 million, accounting for approximately 10.2% of revenue[50] - Administrative expenses rose by 1.2% to $553.4 million, representing about 6.8% of revenue[50] Cash Flow and Capital Expenditure - The net cash flow from operating activities was $537.1 million, down from $944.7 million in 2023[56] - As of December 31, 2024, the group had cash and cash equivalents of $943.2 million, down from $1,142.1 million in 2023[57] - The group’s total capital expenditure for 2024 was $211.3 million, up from $200.6 million in 2023[61] - Capital expenditure for the manufacturing business was $159.8 million, an increase from $152.0 million in 2023, focusing on strategic expansion and digital transformation[61] - Retail business capital expenditure slightly increased to $51.5 million from $48.6 million in 2023, continuing a refined retail strategy[63] Strategic Initiatives - The company is focusing on digital smart manufacturing management to enhance overall profitability and efficiency[32] - The group aims to enhance operational resilience and maintain a healthy cash flow while pursuing digital transformation and automation technologies[79] - The group aims to fully launch its SAP ERP system and integrated operation platform (OCP) by 2025, focusing on decision-making and operational management applications[80] - The retail subsidiary, Bao Sheng, will continue to implement a refined retail strategy, dynamically expanding its physical and omnichannel retail presence, and enhancing product category offerings[80] - The company is committed to enhancing its operational capabilities and ESG-oriented management to adapt to rapidly changing market demands[80] Employee and Governance - The group employed approximately 285,500 employees as of December 31, 2024, a 7.9% increase from 264,700 employees in 2023[73] - The company has complied with all applicable corporate governance code provisions during the year[84] - The annual general meeting will be held on May 23, 2025, at the company's headquarters in Hong Kong[90] - The company expresses gratitude to customers, suppliers, and shareholders for their support and acknowledges the contributions of its directors and employees[95] Market Outlook - The global sports goods industry is expected to grow at a CAGR of 6% from 2024 to 2029, with a market size projected to reach $548 billion by 2029[77] - The company anticipates a lengthy appeal process regarding tax disputes in Indonesia, which may take one to two years[21] Share Repurchase - The company repurchased a total of 7,627,500 shares at a total cost of approximately HKD 116,856,528 (equivalent to about USD 15,009,000) during the year[82] - The share repurchase included transactions at prices ranging from HKD 12.94 to HKD 17.42 per share, with the highest repurchase price being HKD 17.40[82] - The company’s employee stock incentive plan trustee purchased a total of 1,350,000 shares at a total cost of approximately HKD 15,368,000 (equivalent to about USD 1,965,000)[82] Joint Ventures and Associates - The group recorded a profit of $78.4 million from joint ventures and associates in 2024, compared to $62.2 million in the previous year[70]

Investment Rating - The report maintains a "Buy" rating for the company, with a target price set at 16.00 HKD [1][9]. Core Insights - The company is expected to achieve a net profit attributable to shareholders of 426-440 million USD in 2024, representing a year-on-year growth of 55-60%. This growth is driven by a significant increase in order demand for its manufacturing business, improved capacity utilization, and enhanced production efficiency [3][4]. - The manufacturing business is experiencing a steady increase in revenue, while the retail business continues to face challenges due to the consumer environment. The company anticipates a revenue increase of 9.7% year-on-year in Q4 2024, with a net profit margin projected to be between 4.5% and 5.1% [4][5]. - The company has a strong position in the global sports shoe manufacturing sector and is the second-largest sports goods retailer in China. Its vertical integration strategy allows it to effectively control the supply chain, with a diverse and loyal customer base [5][6]. Summary by Sections Financial Performance - The company forecasts a revenue of 8,187 million USD for 2024, with a growth rate of 4%. The net profit is expected to be 432 million USD, reflecting a growth rate of 57% [6]. - For the years 2025 and 2026, the projected revenues are 8,919 million USD and 9,594 million USD, respectively, with corresponding net profits of 503 million USD and 556 million USD [6]. Market Position - The company is positioned to benefit from a recovery in the retail environment, which is expected to provide additional growth opportunities. The manufacturing segment is anticipated to see robust growth due to improved order conditions and capacity release [5][6].