Core Viewpoint - Citi's research report indicates that Sa Sa International's performance for the first half of the fiscal year ending September 2026 exceeded expectations, with a net profit of HKD 50 million, reaching the upper limit of its profit forecast [1] Financial Performance - Net profit growth was primarily driven by a 7% year-on-year increase in sales due to a rebound in tourist numbers, improved consumer sentiment, and optimized market strategies [1] - Gross margin decreased by 0.9 percentage points to 37.9% due to the impact of product mix [1] - The dividend payout ratio remained stable at 71%, with expectations for continuity in the future [1] Future Outlook - Despite uncertainties in the macro environment, the company is prioritizing sales and gross margin improvements, and the decision to close offline operations in mainland China has begun to show results [1] - Net profit forecasts for the fiscal years 2026 to 2028 have been raised by 11% to 15% to reflect improved sales prospects and enhanced operating leverage, leading to upward adjustments in revenue and profit margin predictions [1] Investment Rating - Based on attractive valuations, Citi maintains a "Buy" rating for the company, with a slight increase in the target price from HKD 1 to HKD 1.02 [1]
大行评级丨花旗：微升莎莎国际目标价至1.02港元 上半财年业绩胜预期