Core Viewpoint - The company reported a revenue of 3.156 billion yuan for FY25H1, representing a year-on-year growth of 5.0%, with a net profit of 604 million yuan, up 5.5% year-on-year. The company plans to distribute a dividend of 0.45 HKD per share, with an expected annual dividend payout ratio of no less than 75% [1]. Revenue Analysis - By brand, the main brand JNBY achieved a revenue of 1.760 billion yuan in FY2025H1, growing 3.6% year-on-year, accounting for 55.8% of total revenue, driven mainly by online channels and store expansion. Other brands such as 速写/jnby by JNBY/LESS reported revenues of 388 million, 476 million, and 339 million yuan, with year-on-year changes of -6.0%, -0.6%, and 0.8% respectively. The newly acquired brands OMG and B1OCK saw significant growth, with other brands generating 194 million yuan, up 147.3% year-on-year. The total number of stores increased to 960, 316, 517, 259, and 52 for each brand, showing growth of 36, 6, 24, 19, and 14 stores respectively compared to the end of FY2024 [1][2]. Channel Performance - In FY2025H1, online revenue reached 602 million yuan, growing 11.9% year-on-year. Direct sales and distribution channel revenues were 1.117 billion and 1.437 billion yuan, with year-on-year changes of -7.7% and 14.2% respectively. The number of stores in these channels was 491 and 1,634, showing a decrease of 24 and an increase of 126 stores compared to the end of FY2024. The distribution channel accelerated its store opening pace, contributing to rapid revenue growth, while same-store sales remained stable [2]. Profitability and Outlook - The overall profitability remained stable, with a gross margin of 65.2%, unchanged year-on-year. The sales and management expense ratios were 32.3% and 8.6%, increasing by 1.2 and 0.3 percentage points respectively, mainly due to marketing activities celebrating the 30th anniversary of the JNBY brand. Net profit margin stood at 19.3%, also stable year-on-year. Inventory turnover days increased to 140 days, up 5 days year-on-year, influenced by a warm winter and a decrease in cotton and down sales, as the company prepared inventory ahead of the 2025 Spring Festival. Looking ahead to FY2025H2, the multi-brand matrix is expected to continue to perform well, with plans for further optimization of designer brands and categories through self-incubation or acquisitions, continued store openings, and enhanced store image to improve store efficiency [3][4]. Profit Forecast and Valuation - The company forecasts net profits of 877 million, 917 million, and 981 million yuan for FY2025-2027, with year-on-year growth rates of 3.33%, 4.57%, and 6.96% respectively. Earnings per share (EPS) are projected to be 1.69, 1.77, and 1.89 yuan, with price-to-earnings ratios of 9, 9, and 8 times. The company remains optimistic about the sustained growth of its multi-brand matrix and stable growth in channels and store efficiency, maintaining a buy rating [4].
江南布衣(03306.HK)：H1经营稳健 期待品牌力持续向上