Core Insights - The company is positioned as a low-valuation, high-dividend quality stock, with a recovery in momentum under supply-demand rebalancing and moderate raw material prices [1] - The company has a strong customer base and is expected to leverage its mature overseas production capacity to secure more orders in the future [1] Company Overview - The company has over 20 years of experience in elastic fabric and a stable management team [1] - Currently, 55.4% of the company's revenue comes from sports fabrics, with established partnerships with renowned brands such as ARC'TERYX, Lululemon, NIKE, adidas, Anta, and Li Ning [1] - The company has mature production capacities in China, Vietnam, and Sri Lanka, with overseas factory space comparable to domestic facilities [1] Financial Analysis - The company’s revenue CAGR from 2011 to 2024 is projected at +10.4%, with sports fabric revenue CAGR leading at +38.2% [2] - Gross margins are influenced by capacity utilization and crude oil prices, with expectations for margin improvement due to mature overseas capacity and favorable raw material price trends [2] - The company maintains stable expense ratios and has shown improved operational efficiency, with robust operating cash flow [2] Industry Insights - The sportswear segment is growing faster than other apparel categories, benefiting elastic fabric suppliers due to increased demand for features like elasticity, breathability, and antibacterial properties [2] - The underwear market is expected to maintain steady growth, with simple and comfortable designs replacing traditional lace and underwire options [2] - The company is a leading player in elastic fabric production, having accumulated advantages over traditional knitted fabric manufacturers, though there is still room for improvement compared to industry leaders in elastic fabrics [2] Future Outlook - The company is recognized as a low-valuation, high-dividend quality stock, with a consistent dividend payout since its listing and a stable dividend ratio of 50% in recent years, achieving a dividend yield of over 9% for four consecutive years [2] - The company is expected to benefit from its mature production capacities in Vietnam and Sri Lanka, allowing it to capture more orders as brands adjust their production strategies [2] - The company has established long-term partnerships with well-known sports and outdoor brands, with expectations for continued order flow as collaborations deepen [2]
超盈国际控股(2111.HK)首次覆盖报告：低估值、高股息优质标的 增长潜力可期