Core Viewpoint - The company reported a decline in net profit for the first half of 2025, with a focus on stable growth in manufacturing and challenges in retail operations [1][2] Group 1: Manufacturing Business - In H1 2025, the manufacturing business achieved revenue of $2.798 billion, a year-on-year increase of 6.2% [1] - The total shipment of finished footwear reached 127 million pairs, up 5.0% year-on-year, with an average selling price of $20.61 per pair, reflecting a 3.2% increase [1] - The capacity utilization rate for manufacturing was 93%, up 3 percentage points year-on-year, with Q2 2025 showing a further increase to 95% [1] - The gross profit margin for manufacturing decreased by 1.4 percentage points to 17.7%, attributed to uneven order fulfillment rates and rising labor costs [1] - The net profit attributable to the parent company from manufacturing was $155 million, a slight decline of 0.2% year-on-year, with a net profit margin of 5.5% [1] Group 2: Retail Business - In H1 2025, retail revenue was $9.159 billion, down 8.3% year-on-year, primarily due to decreased foot traffic in physical stores and a reduction in the number of stores [2] - The number of direct-operated stores in mainland China decreased by 40 to 3,408 by the end of H1 2025 [2] - The retail gross profit margin was 33.5%, down 0.7 percentage points year-on-year, although Q2 2025 showed a slight improvement [2] - The net profit attributable to the parent company from retail operations was $188 million, a significant decline of 44.0% year-on-year, with a net profit margin of 2.1% [2] Group 3: Investment Outlook - The company expects stable growth in footwear demand in the manufacturing sector, but anticipates that growth rates may not match those of H1 2025 due to conservative brand ordering amid rising tariffs [2] - Revenue forecasts for 2025-2027 are adjusted to $8.135 billion, $8.588 billion, and $9.051 billion, reflecting year-on-year growth rates of -0.6%, 5.6%, and 5.4% respectively [2] - Net profit forecasts for the same period are $353 million, $380 million, and $411 million, with year-on-year growth rates of -10.1%, 7.9%, and 8.0% respectively [2] - The company's price-to-earnings ratio for 2025-2027 is projected to be 7.2, 6.7, and 6.2 times, maintaining a "Buy-A" rating [2]
裕元集团(00551.HK)：2025H1制造业务量价齐升 业绩基本保持稳定