Xin Lang Cai Jing·2025-09-03 06:19Core Viewpoint - Morgan Stanley has revised its earnings per share forecasts for China Duty Free Group down by 13%, 7%, and 2% for the years 2025 to 2027, respectively, while also lowering revenue forecasts by 6% to 8%. The target price has been adjusted from HKD 55 to HKD 60, maintaining a "Market Perform" rating. The report indicates that demand for duty-free products has been weaker than expected, particularly on e-commerce platforms, and that the company's gross margin remains weak. However, with the launch of the Hainan Free Trade Port in mid-December this year, offline sales are expected to improve, leading to better profit margins [1]. Group 1 - Earnings per share forecasts for China Duty Free Group have been reduced by 13%, 7%, and 2% for 2025, 2026, and 2027, respectively [1] - Revenue forecasts have been lowered by 6% to 8% [1] - Target price adjusted from HKD 55 to HKD 60, with a "Market Perform" rating maintained [1] Group 2 - Demand for duty-free products is weaker than expected, especially on e-commerce platforms [1] - The company's gross margin remains weak [1] - Anticipated improvement in offline sales and profit margins following the Hainan Free Trade Port launch in mid-December [1]