xilinmen(SH:603008) Xin Lang Cai Jing·2025-08-22 00:29Core Viewpoint - The company reported its 1H25 performance, showing a slight revenue growth and a significant increase in net profit, aligning with expectations [1] Financial Performance - In 1H25, the company achieved revenue of 4.021 billion yuan, a year-on-year increase of 1.59%, and a net profit attributable to shareholders of 266 million yuan, up 14.04% year-on-year [1] - The company declared a dividend of 0.28 yuan per share (before tax), representing 39% of the net profit for 1H25 [1] - Quarterly breakdown shows 1Q25 revenue of 1.73 billion yuan (down 1.76% year-on-year) and 2Q25 revenue of 2.29 billion yuan (up 4.27% year-on-year) [1] Product and Channel Performance - The mattress segment experienced stable growth, while the self-branded engineering business grew rapidly [2] - Revenue by product for 1H25: mattresses 2.662 billion yuan (up 10%), soft beds and accessories 924 million yuan (down 13%), sofas 328 million yuan (down 24%), and wooden furniture 107 million yuan (up 115%) [2] - Revenue by channel: self-branded retail 2.53 billion yuan (up 5%), self-branded engineering 290 million yuan (up 23%), OEM 1.08 billion yuan (down 8%), and cross-border e-commerce 130 million yuan (down 17%) [2] - As of 1H25, the company operated 5,304 offline stores, with a decrease in specialized stores compared to the end of 2024 [2] Profitability and Cost Management - The gross margin improved, with a 2.6 percentage point increase to 38.42% in 2Q25 [3] - The expense ratio for 2Q25 was 27.5%, with a slight increase of 0.02 percentage points year-on-year [3] - Net profit margin for 2Q25 was 8.53%, reflecting a year-on-year increase of 1.27 percentage points [3] Future Outlook - The company is advancing AI-enabled technological innovations, which are expected to drive continued performance improvement [4] - Product upgrades include the launch of the "Net Sleep Deformaldehyde Technology" and new AI product lines [4] - Collaborations with Tsinghua University and other tech firms aim to enhance AI product technology and develop sleep solutions based on brain-computer interface technology [4] Earnings Forecast and Valuation - The earnings forecast for 2025/2026 remains unchanged, with the current stock price corresponding to a P/E ratio of 16/15 times for those years [5] - The target price is maintained at 19 yuan, indicating a potential upside of 5% from the current stock price [5]