Core Viewpoint - Water Sheep Group (S'Yong Group) reported a significant increase in both revenue and profit for the first half of 2025, driven by the growth of its proprietary brands and an overall improvement in gross margin [2]. Financial Performance - In H1 2025, the company achieved revenue of 2.5 billion yuan, a year-on-year increase of 9.02%, attributed to ongoing optimization of business layout and focus on high-end brand development [2]. - Proprietary brands generated revenue of 1.039 billion yuan, accounting for 41.55% of total revenue, with a gross margin of 76.83%, up 5.7 percentage points year-on-year [2]. - The overall gross margin for H1 2025 was 64.6%, an increase of 3.1 percentage points, due to a higher proportion of high-end brands and optimization of low-efficiency businesses [2]. - The net profit attributable to shareholders was 123 million yuan, a year-on-year increase of 16.54%, with a net profit margin of 4.93%, up 0.32 percentage points [2]. - In Q2 2025, the company reported revenue of 1.414 billion yuan, a year-on-year increase of 12.16%, and a net profit of 81.41 million yuan, up 23.8% [2]. Investment in Operations - The company increased its investment in online traffic and R&D, resulting in a significant improvement in operating cash flow, which grew by 369.0% to 166 million yuan [3]. - The sales expense ratio for H1 2025 was 48.94%, up 2.1 percentage points, primarily due to increased online traffic costs [3]. - R&D expenses accounted for 1.75% of revenue, with a focus on building a global R&D team and expanding laboratories in Paris and Tokyo [3]. Brand Development and Market Expansion - The company has completed the initial phase of high-end and global transformation for its proprietary brands, with the French luxury skincare brand EDB optimizing its product offerings and expanding both online and offline channels [4]. - The RV brand in the U.S. has shown strong performance, with a doubling of business volume in China and steady growth in the U.S. market [4]. - The company plans to open 50 stores nationwide by 2027, having already established over ten stores in key cities [4]. - The light luxury brand PA is set to launch a complete product matrix by the end of the year, while the traditional brand Yuni Fang is attempting to expand into the U.S. market through e-commerce [4].

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Views - The retail industry is experiencing a recovery, with high growth in premium and fashionable segments, particularly in gold jewelry and beauty care [23][27] - The report emphasizes the importance of emotional consumption themes driving growth in high-quality companies within the sector [30] Summary by Sections Retail Market Review - The retail industry index rose by 4.21% during the week of August 18-22, 2025, outperforming the Shanghai Composite Index by 2.20 percentage points [12][20] - The internet e-commerce sector showed the highest growth, with a weekly increase of 7.71% [13][17] - Year-to-date, the jewelry sector has led with a 33.74% increase [13][17] Retail Insights: Mid-Year Reports - Gold jewelry companies like Laopuhuang and Chaohongji reported significant revenue growth, with Laopuhuang achieving a revenue of 12.354 billion yuan (+251.0%) and a net profit of 2.268 billion yuan (+285.8%) [23][35] - Beauty care brands such as Shanghai Jahwa and Runben also showed positive performance, with Shanghai Jahwa reporting a net profit of 266 million yuan (+11.7%) [27][38] Focus on High-Quality Companies - Investment focus includes: - Gold jewelry brands with differentiated product offerings, recommending Laopuhuang and Chaohongji [30][32] - Offline retail companies adapting to trends, recommending Yonghui Supermarket and Aiyingshi [30][32] - High-quality domestic beauty brands, recommending Maogeping and Pola [30][32] - Medical beauty product manufacturers, recommending Aimeike and Kedi-B [30][32] Company-Specific Highlights - Laopuhuang: Achieved a revenue of 12.354 billion yuan (+250.9%) and a net profit of 2.268 billion yuan (+285.8%) in H1 2025, with strong brand expansion and channel upgrades [35][36] - Runben: Reported a revenue of 895 million yuan (+20.3%) and a net profit of 188 million yuan (+4.2%) in H1 2025, focusing on expanding its product matrix [38][40] - Aiyingshi: Achieved a revenue of 1.835 billion yuan (+8.3%) and a net profit of 46.74 million yuan (+10.2%) in H1 2025, with steady store expansion [42]

Investment Rating - The investment rating for the company is "Outperform the Market" [7][22][5] Core Views - The company has shown significant growth in Q2, with a year-on-year increase in net profit attributable to shareholders of 24%, driven by a focus on high-end brand development and improved brand structure [1][2][10] - The self-owned brand segment generated revenue of 1.039 billion, accounting for 41.55% of total revenue, with a gross margin of 76.83%, reflecting a 5.7 percentage point increase year-on-year [3][11] - The company is enhancing its high-end and global strategies, with brands like Ifidan and Revive contributing positively to revenue growth [3][5] Financial Performance Summary - For the first half of 2025, the company achieved revenue of 2.5 billion, a year-on-year increase of 9.02%, and a net profit of 123 million, up 16.54% [2][10] - In Q2 alone, revenue reached 1.414 billion, marking a 12.16% increase year-on-year, while net profit rose to 81 million, a 23.76% increase [2][10] - The gross margin for Q2 2025 was 65.27%, an increase of 3.67 percentage points year-on-year, indicating improved profitability [4][12] Business Segment Analysis - The self-owned brand segment is performing strongly, with significant contributions from high-end brands and a focus on expanding product lines [3][11] - The agency operation business is stabilizing, with a focus on high-efficiency brands, leading to an overall improvement in profit margins [3][11] - Revenue from the skincare category reached 1.997 billion, up 11.70% year-on-year, while mask sales increased by 17.96% to 423 million [3][11] Future Earnings Forecast - The company has slightly adjusted its net profit forecasts for 2025 to 227 million, while increasing projections for 2026 and 2027 to 296 million and 352 million, respectively [5][22] - The projected price-to-earnings ratios for 2025, 2026, and 2027 are 35, 27, and 23 times, respectively [5][22] Market Position and Valuation - The company's market capitalization is approximately 8 billion, with a closing price of 20.52 yuan [7][23] - The company is positioned favorably in the market, with a strong focus on high-end beauty products and a recovery in its operational business [5][22]

Investment Rating - The report does not explicitly state the investment rating for S'Yong Group Core Views - S'Yong Group achieved revenue of 2.5 billion yuan in the first half of 2025 (25H1), representing a year-on-year increase of 9.02%, driven by high-end brand development and global strategy optimization [2][7] - The company's proprietary brands generated operating revenue of 1.039 billion yuan, accounting for 41.55% of total revenue, with a gross margin of 76.83%, up 5.7 percentage points year-on-year [2][7] - Overall gross margin for 25H1 was 64.6%, an increase of 3.1 percentage points year-on-year, attributed to a higher proportion of high-end brands and optimization of low-efficiency businesses [2][7] - Net profit attributable to the parent company reached 123 million yuan, a year-on-year increase of 16.54%, with a net profit margin of 4.93% [2][7] Summary by Sections Financial Performance - In 25H1, S'Yong Group reported a net profit of 123 million yuan, a 16.54% increase year-on-year, with a net profit margin of 4.93% [2][7] - The second quarter of 2025 (25Q2) saw revenue of 1.414 billion yuan, a 12.16% year-on-year increase, and a net profit of 81.41 million yuan, up 23.8% year-on-year [2][7] Cost and Investment - The sales expense ratio for 25H1 was 48.94%, up 2.1 percentage points year-on-year, primarily due to increased online traffic costs [3][8] - R&D expense ratio for 25H1 was 1.75%, reflecting a 0.36 percentage point increase year-on-year, with a focus on building a global R&D team [3][8] Brand Development - The company has made significant progress in transforming its proprietary brands towards high-end and global markets, with the French luxury skincare brand EDB performing well in high-end retail venues [4][9] - The RV brand in the U.S. maintained stable growth and successfully expanded into the Mexican and Central American markets [4][9] - Emerging mid-luxury beauty brand VAA achieved a repurchase rate of 36% and a growth rate exceeding 50% in 25H1 [4][9]

Core Insights - The company reported a revenue of 2.5 billion yuan for 1H25, representing a year-on-year increase of 9.0%, with a net profit attributable to shareholders of 123 million yuan, up 16.5% [1] - In Q2 2025, the revenue reached 1.414 billion yuan, reflecting a growth of 12.2%, and the net profit attributable to shareholders was 81 million yuan, an increase of 23.8% [1] Revenue Breakdown - The revenue from facial masks in 1H25 was 423 million yuan, growing by 18.0%, with a gross margin of 73.0%, up 5.1 percentage points [1] - The revenue from lotions and creams was 1.997 billion yuan, an increase of 11.7%, with a gross margin of 62.0%, up 3.5 percentage points [1] - Revenue from the Taobao channel was 595 million yuan, up 3.6%, while revenue from Douyin reached 998 million yuan, growing by 16.1% [1] Profitability and Costs - The overall gross margin for 1H25 was 64.6%, an increase of 3.1 percentage points, and the net profit margin was 4.9%, up 0.3 percentage points [1] - The expense ratios for sales, management, and R&D were 48.9%, 5.2%, and 1.8%, respectively, with year-on-year increases of 2.1 percentage points, 0.5 percentage points, and 0.4 percentage points [1] Product and Channel Development - The company has successfully completed the high-end and global transformation of its proprietary brand system, with significant growth in key products such as the EDB super mask and collagen essence water [1] - EDB's online sales through self-broadcasting and flat sales are increasing, while offline, the company has opened 8 direct stores in high-end malls in Shanghai [2] - The company has established a CP system covering skincare, makeup, personal care, perfume, and health food, with notable sales achievements in various product lines [2] Future Outlook - The company is expected to stabilize its operations in 2025 and continue building its high-end brand matrix, with projected net profits of 252 million yuan, 319 million yuan, and 386 million yuan for 2025-2027 [2]

Investment Rating - The report upgrades the investment rating of the company to "Buy" [1] Core Views - The company has shown a quarter-on-quarter improvement in revenue growth and net profit in Q2 2025, indicating effective business structure optimization [5][9] - The company's self-owned brand revenue has increased to 41.6% of total revenue, with significant growth in key product categories such as lotions and masks [6] - The high-end beauty group strategy is progressing well, with expectations for continued revenue and profit growth from key brands [9] Financial Performance - In H1 2025, the company achieved a revenue of 2.5 billion yuan, a year-on-year increase of 9%, and a net profit attributable to shareholders of 120 million yuan, up 16.5% [5] - The gross margin improved by 3.1 percentage points to 64.6% in H1 2025, with self-owned brands achieving a gross margin of 76.8% [7] - Operating cash flow turned positive with a net inflow of 170 million yuan, reflecting improved operational efficiency [8] Business Segmentation - Self-owned brands generated 1.04 billion yuan in revenue, while agency brands accounted for 1.46 billion yuan [6] - Online sales contributed 90% of total revenue, with significant growth in third-party platforms like Taobao and Douyin [6] Future Projections - The company expects to achieve net profits of 290 million yuan, 350 million yuan, and 430 million yuan for the years 2025, 2026, and 2027 respectively, with corresponding EPS of 0.74, 0.90, and 1.10 yuan [10] - The report anticipates a revenue growth rate of 17.5% in 2025, followed by 16.4% and 16.8% in the subsequent years [10]

Core Insights - The company reported a revenue of 2.5 billion yuan for the first half of 2025, representing a year-on-year increase of 9%, and a net profit attributable to shareholders of 120 million yuan, up 16.5% year-on-year [1] - The growth rate accelerated in the second quarter, with revenue and net profit increasing by 12.2% and 23.8% respectively compared to the first quarter [1] Revenue Breakdown - Own brand revenue accounted for 41.6% of total revenue, with significant growth in key categories such as lotions and masks, achieving double-digit revenue growth [2] - Total revenue from own brands reached 1.04 billion yuan in the first half of 2025, while agency brand revenue was 1.46 billion yuan [2] - Online and offline channel revenues were 90% and 10% respectively, with online revenue growing by 9.7% and offline by 3% year-on-year [2] Product Performance - Revenue from lotions and masks constituted 80% and 17% of total revenue, with respective year-on-year growth of 11.7% and 18% [3] - Gross margin improved by 3.1 percentage points to 64.6%, with own brand gross margin at 76.8%, up 5.7 percentage points [3] Financial Metrics - The company experienced an increase in expense ratio by 3.2 percentage points to 57.5%, driven by higher sales and management expenses [3][4] - Inventory decreased by 8.9% year-on-year to 810 million yuan, with inventory turnover days at 166 days, down 5 days [4] - Accounts receivable decreased by 13.2% year-on-year to 400 million yuan, with turnover days at 27 days, down 7 days [4] Strategic Outlook - The high-end beauty group strategy is progressing well, with expectations for performance improvements as brand presence expands [5] - The company anticipates continued growth in own brand business, with upward revisions to net profit forecasts for 2025-2027 [5] - The company plans to enhance brand positioning and customer engagement through the opening of new stores and innovative customer experiences [5]

| 项目 | 2024年中报 | 2025年中报 | 同比增幅 | | --- | --- | --- | --- | | 营业总收入(元) | 22.93亿 | 25亿 | 9.02% | | 归母净利润(元) | 1.06亿 | 1.23亿 | 16.54% | | 扣非净利润(元) | 1.19亿 | 1.21亿 | 1.04% | | 货币资金(元) | 3.79亿 | 4.77 Z | 25.96% | | 应收账款(元) | 4.59亿 | 2666'E | -13.24% | | 有息负债(元) | 14.94亿 | 16.24亿 | 8.73% | | 毛利率 | 61.48% | 64.61% | 5.09% | | 净利率 | 4.77% | 4.94% | 3.75% | | 三费占营收比 | 52.91% | 55.75% | 5.36% | | 每股净资产 (元) | 5.28 | 5.29 | 0.27% | | 每股收益(元) | 0.27 | 0.32 | 17.41% | | 每股经营性现金流(元) | -0.16 | 0.43 | 368.05% | 财务报表中对有大幅变动 ...

2025 年半年度跟踪报告 | 保荐人名称：华泰联合证券有限责任公司 | 被保荐公司简称：水羊股份 | | --- | --- | | 保荐代表人姓名：张磊清 | 联系电话：0755-82492010 | | 保荐代表人姓名：陈亿 | 联系电话：0755-82492010 | 华泰联合证券有限责任公司 关于水羊集团股份有限公司 一、保荐工作概述 | 项目 | 工作内容 | | --- | --- | | 1.公司信息披露审阅情况 | | | （1）是否及时审阅公司信息披露文件 | 是 | | （2）未及时审阅公司信息披露文件的次数 | 0 次 | | 2．督导公司建立健全并有效执行规章制度的情况 | | | （1）是否督导公司建立健全规章制度（包括 | | | 但不限于防止关联方占用公司资源的制度、 | 是 | | 募集资金管理制度、内控制度、内部审计制 | | | 度、关联交易制度） | | | （2）公司是否有效执行相关规章制度 | 是 | | 3.募集资金监督情况 | | | （1）查询公司募集资金专户次数 | 每月一次 | | （2）公司募集资金项目进展是否与信息披露 | 根据 2025 年 4 月 ...

Investment Rating - The investment rating for the company is "Buy" with a target price not specified [6][17]. Core Insights - The company reported a revenue of 2.5 billion yuan for H1 2025, representing a year-on-year increase of 9.02%, and a net profit attributable to shareholders of 123 million yuan, up 16.54% year-on-year [1]. - The gross margin improved significantly to 64.61% in H1 2025, an increase of 3.13 percentage points year-on-year, driven by an increase in the proportion of proprietary brands [2]. - The company is focusing on a dual business strategy of proprietary brands and CP brand operations, with proprietary brand revenue reaching 1.039 billion yuan in H1 2025, accounting for 41.55% of total revenue [3]. - The company is building a global high-end beauty group, enhancing its brand matrix and achieving significant sales growth through various marketing strategies [4]. Financial Performance Summary - For H1 2025, the company achieved a revenue of 2.5 billion yuan and a net profit of 123 million yuan, with a gross margin of 64.61% [1][2]. - The company expects revenues of 4.655 billion yuan, 4.968 billion yuan, and 5.290 billion yuan for 2025, 2026, and 2027 respectively, with net profits projected at 250 million yuan, 320 million yuan, and 400 million yuan for the same years [4][11]. - The company’s financial ratios indicate a projected PE of 33x for 2025, decreasing to 21x by 2027 [4][11].