Core Insights - Jiangnan Buyi (03306) reported FY25 revenue and profit in line with expectations, with stable same-store sales and high member retention, alongside strong growth in emerging brands [1][2] Financial Performance - FY25 revenue increased by 4.6% year-on-year to 5.55 billion yuan, while net profit attributable to shareholders rose by 5.3% to 890 million yuan [1] - Gross margin decreased by 0.3 percentage points to 65.6%, with a maintained dividend payout ratio of 75% [1] - End-of-period inventory increased by 24% year-on-year to 930 million yuan, with good inventory turnover in outlet channels during July and August, and some inventory increase related to autumn/winter preparations for 2025 [1] Future Guidance - The company maintains a steady outlook, aiming for a retail target of 10 billion yuan for FY26, with corresponding revenue targets of 6 billion yuan and gross/net profit margin targets of over 65% and 15%, respectively [1] - The dividend yield is attractive, estimated at around 7% to 7.5% based on consensus expectations and closing prices [1] Growth Potential - The company demonstrates the ability to sustain growth and withstand cyclical fluctuations through design-driven and refined retail management, building a loyal and high-retention fan membership [2] - Despite pressure on customer traffic, the company managed to maintain flat same-store sales, with retail revenue in July and August showing positive growth compared to the previous year [2] - As a multi-brand designer group, the company possesses unique operational alpha and resilience, making it a noteworthy investment opportunity [2]
民银国际：江南布衣FY25收入及利润符合预期 具备穿越周期波动的能力