Investment Rating - The report maintains a "Buy" rating for the company [5][6][11] Core Views - The company's Q1 performance met expectations, with a revenue of 1.7 billion RMB, showing a low single-digit year-on-year growth. The main brand Koradior experienced a slight decline of 3%, while the second brand NAERSI grew by 5%, and the third brand NEXY.CO increased by 9%. The new brand FUUNNY FEELLN saw a significant growth of 21% [5] - The online sales channel showed strong growth, with a 18% year-on-year increase in Q1. Notably, Tmall sales grew by 29%, and Douyin and video account sales increased by 30% [5] - The company is focusing on optimizing its offline store structure, with a projected reduction of at least 10% in store numbers for the year, aiming to enhance user experience and sales conversion [5] - Inventory turnover efficiency has improved, with a notable increase in the proportion of main sales items. The company aims to enhance customer repurchase rates and purchase frequency through product strategy adjustments [5] - The company announced a stock incentive plan with ambitious sales growth targets, aiming for a retail revenue of 10.5 billion RMB in 2024 [5] - The company is positioned as a leading Chinese light luxury brand management group, with a focus on product, channel, supply chain, and digital upgrades [5] Financial Data and Profit Forecast - The company’s projected revenue for 2024 is 8.132 billion RMB, with a year-on-year growth rate of 18%. The net profit is expected to reach 1.005 billion RMB, reflecting a 20% increase [6][11] - The earnings per share (EPS) for 2024 is projected at 1.41 RMB, with a price-to-earnings (PE) ratio of 8 times [6][11] - The financial summary indicates a steady increase in revenue and net profit over the next few years, with net profits projected to reach 1.365 billion RMB by 2026 [11]

Financial Performance - The company reported a significant growth in revenue, achieving a total of 1.2 billion RMB for the fiscal year 2023, representing a year-on-year increase of 15%[3] - Revenue for the year ended December 31, 2023, was RMB 6,912,301 thousand, representing a 22.05% increase from RMB 5,663,430 thousand in 2022[9] - Gross profit for the same period was RMB 5,204,988 thousand, up 22.34% from RMB 4,254,420 thousand in 2022[9] - Net profit surged by 121.78% to RMB 832,632 thousand compared to RMB 375,425 thousand in the previous year[9] - Basic earnings per share increased to RMB 124 from RMB 57, while diluted earnings per share rose to RMB 122 from RMB 56[11] - The gross profit margin improved slightly to 75.30% from 75.12%, and the net profit margin increased significantly to 12.05% from 6.63%[9] - The company achieved a retail revenue of nearly 9 billion RMB and a net profit exceeding 800 million RMB for the year ending December 31, 2023, marking a significant increase in profitability despite a challenging consumer environment[44] - Revenue growth exceeded 20% year-on-year, while net profit saw an increase of over 120%, and store efficiency improved with a 27% increase in sales per store[45] - Total revenue for the year ended December 31, 2023, was RMB 6,912.30 million, a growth of 22.05% from the previous year[71] - The net profit attributable to the parent company was RMB 838.17 million, an increase of 119.17% compared to RMB 382.43 million for the year ended December 31, 2022[61] Market Expansion and Strategy - The company aims to expand its market presence in Southeast Asia, with a target of opening 50 new retail stores by the end of 2024[4] - The company plans to launch three new brands in 2024, targeting the millennial demographic, with an expected contribution of 200 million RMB in revenue[3] - The company plans to continue expanding its direct retail network to enhance market presence and customer engagement[95] - The company plans to become the first luxury brand management group in China with retail sales exceeding 10 billion RMB and net profit surpassing 1 billion RMB by 2024, with further targets of 15 billion RMB in 2025 and 18 billion RMB in 2026[45] - The company will deepen its excellent product capability system and improve product management through enhanced digital infrastructure and big data support[115] - The company will implement a strategy to optimize offline and online channel operations, focusing on enhancing sales per square meter and expanding new stores[116] Brand Development and Marketing - The company received multiple awards, including the "Top 10 Fashion Brands" recognition at the Guangdong Fashion Awards 2023[6] - Koradior officially announced Lily Collins as the new brand ambassador to promote the brand's romantic feminine style[36] - The company has introduced new brand ambassadors, including Lily Collins and Jin Chen, to strengthen its brand image[45] - The company has implemented a "brand upgrade" strategy, featuring Hollywood star Lily Collins as the new brand ambassador for Koradior[70] - Koradior brand appointed Hollywood star Lily Collins as the new brand ambassador, enhancing brand marketing and significantly increasing brand awareness, attracting core consumer growth[73] Operational Efficiency - The gross profit margin improved to 60%, up from 55% in the previous year, indicating enhanced operational efficiency[3] - The current ratio improved to 2.00 from 1.78, indicating better short-term financial health[10] - The interest coverage ratio increased to 21.41 from 9.25, reflecting stronger earnings relative to interest expenses[10] - The company has established a highly digitalized data center to improve operational efficiency across its various business segments[47] - The company has adopted a direct sales model combined with distribution to enhance consumer insights and adapt to changing market conditions[48] Social Responsibility and Sustainability - Winner Fashion donated over RMB 20 million worth of winter supplies to aid regions affected by the Gansu-Qinghai earthquake[29] - The company actively engaged in social responsibility by donating over 20 million RMB in winter supplies to earthquake-affected areas in Gansu and Qinghai[44] - The company is committed to environmental sustainability, implementing green measures such as LED lighting and recyclable packaging in its operations[180] - ELSEWHERE launched the "Summer Island Plan" to explore sustainable fashion, collaborating with three marine artists to raise awareness for ocean ecology[39] Corporate Governance - The company is committed to maintaining high standards of corporate governance through the appointment of qualified directors and management[130][131] - The board consists of six members, including three executive directors and three independent non-executive directors, ensuring a balanced decision-making process[134] - The company has established a risk management system to monitor and improve operational risk management as business grows[118] - The board will continue to review the governance structure and may separate the roles of Chairman and CEO in the future[132] Employee and Management Development - The number of employees as of December 31, 2023, was 10,335, slightly up from 10,327 in 2022, with a notable increase in the product design and R&D department from 555 to 562 employees[109] - The company emphasizes employee development, offering training programs and competitive compensation, including stock option plans[177] - The company is focused on enhancing its management team with professionals who have significant industry experience, which is expected to drive future growth[127][128][129] Future Outlook - The company aims to achieve retail revenue targets of RMB 10.5 billion to RMB 11.5 billion in 2024, reflecting a strong growth outlook[112] - The Chinese economy is expected to recover significantly in 2023, with major provinces targeting GDP growth of around 5% or more in 2024[112] - The company plans to explore innovative layouts in shopping centers and outlet stores to leverage competitive advantages in mid-to-high-end department stores[116]

Investment Rating - The report maintains a "Buy" rating for the company with a target price of HK$ 16.78 [2][3] Core Insights - The company achieved a total revenue of RMB 6.91 billion in 2023, with a slight increase in gross margin to 75.3%, leading to a net profit growth of 121.8% year-on-year [2][8] - The company plans to announce quarterly revenue starting from Q1 2024, reflecting confidence in its operations [2] - The outlook for 2024 is stable, with potential surprises in 2025 due to double-digit growth in its brands and a rebound in retail sales in China [2][8] - The company is focusing on brand strategy, investing approximately 3% of its revenue in brand promotion, which includes activities like fashion week events and selecting brand ambassadors [2][8] Financial Performance - Revenue projections for the upcoming years are as follows: RMB 7.88 billion in 2024, RMB 8.45 billion in 2025, and RMB 9.06 billion in 2026, with annual growth rates of 14.0%, 7.3%, and 7.2% respectively [8][12] - The gross profit is expected to increase from RMB 5.21 billion in 2024 to RMB 6.83 billion in 2026, maintaining a gross margin around 75% [8][12] - Net profit is projected to grow from RMB 832.6 million in 2024 to RMB 1.12 billion in 2026, with annual growth rates of 12.5% and 14.1% respectively [8][12] Market Position - The company has a market capitalization of approximately HK$ 9.38 billion, with a price-to-earnings ratio of 9.9x and a price-to-sales ratio of 1.9x [5] - Compared to industry peers, the company maintains a competitive gross margin of 75.3%, which is higher than the average of 56.7% in the sector [5]

| RESEARCH 5 Apr, 2024 EEKA Fashion | 03709.HK COMPANY UPDATE Stable development with new catalysts H F NGO, Brian, CFA STOCK RATING TARGET PRICE SENIOR ANALYST BUY HK$ 16.78 brianngo@westbullsec.com.hk EEKA Fashion (03709.HK) reported a YoY 22.1% growth in revenue to RMB 6.9bn, and its gross +852 3896 2965 margin slightly surged to 75.3%, leading to a YoY 121.8% increment in the bottom-line. The Group 2701 – 2703, 27/F, Infinitus Plaza, 199 Des Voeux Rd also announced a dividend of HKD 0.7/share, amounting ...

OJacntuoabrey r1 12,22,0 21051 0 BuildFinogo dM, Baetevreiraalsge | &C oTombpa 公accn 司oy | 研R Ce 究osme paarcnhy Research 纺织服装 | 公司研究 业绩符合预期，渠道优化推动店效表现亮眼 2024年3月31日 赢家时尚 (03709:HK) 公司发布2023年业绩，业绩表现符合预期。2023年公司收入同比增长22.1%至69.1亿元，归 买入 母净利润同比增长119%至8.4 亿元（数据来源于公司公告，下同），业绩表现符合预期。公司 每股派息0.7港元，派息比率达51%，股息率约为5%，连续4年派息率在50%及以上。 维持 各品牌均实现快速增长，同店提升为核心驱动。1）主力品牌稳健增长。23 年 Koradior 品牌收 入增长21%至23.9亿元，收入占比35%，门店数净减少24家至714家，表明同店销售增长强 市场数据：2024年3月28日 劲。NAERSI收入同比增长18%至14.6亿，收入占比21%，门店数净减少24家至454家。NEXY.CO 收盘价（港币） 13.36 收入增长28 ...

Investment Rating - The report maintains a "Buy-B" rating for the company [3][7] Core Views - The company's revenue and net profit in 2023 exceeded the levels of 2021, with net profit growth significantly outpacing revenue growth due to positive operating leverage [1] - The company achieved a retail turnover of 8 8 billion yuan in 2023, a year-on-year increase of 25 71% [1] - The company's gross margin has steadily increased for five consecutive years, reaching 75 3% in 2023, up 0 18 percentage points year-on-year [4][6] - The company's net profit margin improved to 12 05% in 2023, an increase of 4 3 percentage points year-on-year [6] - The company aims to achieve a retail turnover of 10 5 billion yuan in 2024 [7] Revenue and Profit Performance - In 2023, the company achieved revenue of 6 912 billion yuan, a year-on-year increase of 22 05%, and net profit attributable to shareholders of 838 million yuan, a year-on-year increase of 119 17% [1][3] - The company's basic earnings per share (EPS) in 2023 was 1 24 yuan, a year-on-year increase of 69 23% [3] - The company declared a final dividend of 70 HK cents per share, with a full-year dividend payout ratio of 51% [3] Channel Performance - Offline channels demonstrated strong endogenous growth, with revenue from direct-operated stores increasing by 25 33% year-on-year to 5 56 billion yuan, accounting for 80 4% of total revenue [2] - The average store efficiency of direct-operated stores increased by 28% year-on-year to 3 65 million yuan per store [2] - Online channels achieved revenue of 969 million yuan, a year-on-year increase of 8 46%, with strong growth in the Douyin channel, which saw a 38 69% increase in revenue [2] Brand Performance - The Koradior, NAERSI, and NEXY CO brands each achieved revenue exceeding 1 billion yuan in 2023, collectively accounting for approximately 70% of the company's total revenue [4] - The NEXY CO brand achieved revenue of 1 004 billion yuan, a year-on-year increase of 27 91% [4] - The FUUNNY FEELLN brand grew relatively slowly, with revenue increasing by 11 95% year-on-year to 136 million yuan [4] Financial Data and Valuation - The company's inventory turnover days decreased by 23 days to 233 days in 2023 [6] - The company's operating cash flow in 2023 was 1 569 billion yuan, a year-on-year decrease of 7 8% [6] - The company's P/E ratio for 2024-2026 is estimated at 8 5x, 7 4x, and 6 7x, respectively [7] - The company's ROE improved to 18 3% in 2023, up from 9 4% in 2022 [8]

Investment Rating - The report maintains a "Buy" rating for the company, indicating strong investment potential [2][12]. Core Insights - The company reported exceptional performance in 2023, with total revenue reaching 6.912 billion RMB, a year-on-year increase of 22%, and net profit of 833 million RMB, up 122% year-on-year [1]. - The gross margin for 2023 was 75.3%, reflecting a slight increase, while the net profit margin improved significantly to 12.05% [1]. - The company is positioned as a leading player in the domestic mid-to-high-end women's apparel market, with expectations for steady growth in 2024 driven by product efficiency and store expansion [1]. Financial Performance - Revenue for 2023 was 6.912 billion RMB, with a year-on-year growth rate of 22.1% [5]. - Net profit for 2023 was 838 million RMB, representing a year-on-year increase of 119.2% [5]. - The company expects revenue growth of 15% to 20% and profit growth of around 20% in 2024 [1]. Brand Performance - The company's core brands performed well, with Koradior generating 2.39 billion RMB in revenue (up 21% year-on-year) and NEXY.CO achieving a 28% increase in revenue to 1 billion RMB [1]. - The company has a strong focus on product design that resonates with its target demographic, leading to successful new product launches [1]. Channel Strategy - The company primarily operates through direct sales channels, which have shown significant growth, with direct sales revenue increasing by 25.3% in 2023 [1]. - The total number of direct stores decreased slightly to 1,525, but the company anticipates stable growth in store numbers in 2024 [1]. Future Outlook - The company is expected to continue optimizing inventory management, with inventory increasing by 13% to 1.15 billion RMB by the end of 2023 [1]. - The report forecasts that the company's earnings for 2024 to 2026 will be 1.003 billion RMB, 1.174 billion RMB, and 1.36 billion RMB, respectively, with consistent year-on-year growth rates [5].

Financial Performance - For the year ended December 31, 2023, the group's revenue and gross profit reached RMB 6,912.30 million and RMB 5,204.99 million, representing increases of 22.05% and 22.34% respectively compared to the year ended December 31, 2022[2]. - The profit for the year was RMB 832.63 million, an increase of 121.78% or RMB 457.20 million compared to RMB 375.43 million for the year ended December 31, 2022[2]. - The net profit margin for the year ended December 31, 2023, was 12.05%, up from 6.63% in 2022[2]. - Basic earnings per share for the year were RMB 1.24, compared to RMB 0.57 in 2022[2]. - The group's pre-tax profit for 2023 reached RMB 994,601,000, a significant increase from RMB 464,368,000 in 2022, representing a growth of approximately 114%[30]. - Total revenue from other income and gains amounted to RMB 237,083,000 in 2023, compared to RMB 127,546,000 in 2022, marking an increase of about 86%[24]. - The total tax expense for the year was RMB 161,969,000, up from RMB 88,943,000 in 2022, representing an increase of about 82%[29]. - The gross profit for the year ended December 31, 2023, was RMB 5,204.99 million, a 22.34% increase from RMB 4,254.42 million in 2022[44]. - Net profit attributable to the owners of the parent company for the year ended December 31, 2023, was RMB 838.17 million, a 119.17% increase from RMB 382.43 million in 2022[50]. Revenue Breakdown - All revenue was generated from the sale of clothing and accessories in mainland China, with no significant revenue from other regions[22]. - Direct retail sales accounted for approximately 80.43% of total revenue in 2023, up from 78.33% in 2022[42]. - E-commerce revenue for the year ended December 31, 2023, was RMB 968.78 million, an increase of 8.46% from RMB 893.23 million in 2022[42]. - The two main brands, Koradior and NAERSI, generated sales revenue exceeding RMB 3.85 billion, ranking among the top ten brands in the Chinese industry[57]. - Revenue from distributor-operated retail stores reached RMB 383.90 million, up 14.86% year-over-year, due to increased order confidence from distributors[64]. - The revenue from the East China region was RMB 1,943.67 million, accounting for 32.70% of total revenue, while the Southwest region contributed RMB 1,050.69 million (17.68%)[67]. Expenses and Costs - The cost of goods sold for the year was RMB 1,707,313,000, up from RMB 1,409,010,000 in 2022, reflecting a rise of approximately 21%[26]. - Operating expenses for the year ended December 31, 2023, were RMB 3,778.11 million, an increase of 16.78% from RMB 3,235.18 million in 2022[46]. - Research and development expenses for 2023 totaled RMB 183,134,000, compared to RMB 169,497,000 in 2022, indicating an increase of about 8%[26]. - The company's brand and marketing expenses (excluding promotional expenses) for the year ended December 31, 2023, amounted to RMB 198.42 million, representing 2.87% of total revenue, an increase of RMB 27.59 million or 16.15% compared to RMB 170.83 million in 2022[74]. - Total salary and benefits expenses for the year ended December 31, 2023, were RMB 1,413.73 million, accounting for 20.45% of total revenue, up from RMB 1,178.29 million (20.81% of total revenue) in 2022, reflecting an increase of RMB 235.44 million or 19.98%[76]. Assets and Liabilities - Total non-current assets as of December 31, 2023, were RMB 3,480.14 million, down from RMB 3,623.13 million in 2022[7]. - Current assets totaled RMB 3,549.66 million as of December 31, 2023, compared to RMB 2,634.55 million in 2022[7]. - Total liabilities as of December 31, 2023, were RMB 1,989.27 million, an increase from RMB 1,648.88 million in 2022[7]. - The total equity attributable to owners of the parent as of December 31, 2023, was RMB 4,561.42 million, compared to RMB 3,987.50 million in 2022[9]. Corporate Governance - The company is committed to maintaining high corporate governance standards and has adhered to relevant codes, although the roles of Chairman and CEO are currently held by the same individual[87]. - The company has adopted a standard code for securities trading by directors and confirmed compliance by all directors for the year ending December 31, 2023[88]. - The audit committee, established on June 6, 2014, consists of three independent non-executive directors, chaired by Mr. Zhang Guodong[89]. - The audit committee reviewed the group's annual performance for the year ended December 31, 2023[89]. Future Outlook - The company aims to achieve retail revenue targets of RMB 10.5 billion to RMB 11.5 billion in 2024, driven by a strategy of multi-brand and multi-category expansion[78]. - The company plans to focus on the growth of seven high-end brands in 2024, including Koradior and NEXY.CO, while also stabilizing the development of the mid-range brand FUUNNY FEELLN[79]. - The company will deepen its product development capabilities by leveraging digital infrastructure and big data support to enhance product vitality and structure in 2024[81]. - The company will continue to implement a long-term strategy focused on "multi-brand, multi-category, omni-channel, and platformization" to refine its business operations[78]. - The external economic environment in China is expected to show significant recovery in 2023, with GDP growth targets set at around 5% or more for major provinces in 2024[77].

证券研究报告 | 首次覆盖报告 2024年03月24日 赢家时尚（03709.HK） 品牌引领，产品聚焦，高端女装集团再起航 中高端女装品牌集团持续成长，亮眼业绩领先行业。公司是国内领先的中高端女装品 买入（首次） 牌集团，旗下包括 Koradior（珂莱蒂尔）、NAERSI（娜尔思）等八大品牌，2022 年 股票信息 公司总收入规模达到56.9亿元（2017~2022年CAGR为20.8%）/净利润3.82亿元 （净利率为6.8%），集团所有品牌总门店数量达到2006家，其中直营门店1555家 行业 服装 /经销商门店 451家。2023年以来，伴随着消费环境的恢复，公司门店店效同比明显 3月21日收盘价(港元) 14.32 提升，带动收入快速增长、盈利质量向上修复、亮眼业绩领先行业。据公司盈利预 总市值(百万港元) 10,082.00 告，估计2023年收入同比增速不低于20%、净利润同比增速不低于120%。 总股本(百万股) 704.05 公司构建风格与价格带互补的品牌矩阵，充分参与市场竞争。1）中国中高端女装市 其中自由流通股(%) 100.00 场竞争激烈、格局分散（我们估算目前公司市占率仅低个位数 ...

| --- | --- | --- | |---------------|-------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------| | | | | | | | | | | | | | | | | | | | | | 2023 中期報告 | （於開曼群島註冊成立之有限公司） （股份代號： 3709 ） （於開曼群島註冊成立之有限公司） （股份代號： 3709 ） | EEKA Fashion Holdings Limited 贏家時尚控股有限公司 EEKA Fashion Holdings Limited 贏家時尚控股有限公司 | EEKA Fashion Holdings Limited 贏家時尚控股有限公司 INTERIM REPOR ...