Ge Long Hui·2025-12-03 05:49Core Viewpoint - The company reported FY2026H1 results with revenue of 8.928 billion yuan, a year-on-year increase of 1.4%, and a net profit attributable to shareholders of 1.189 billion yuan, up 5.3% year-on-year, with an interim dividend of 0.063 Hong Kong dollars per share [1] Group 1: Brand Down Jacket Business - The main brand showed steady growth with effective inventory reduction, generating revenue of 6.568 billion yuan, a year-on-year increase of 8.3%, accounting for 73.6% of total revenue [1] - By brand, Bosideng's main brand revenue was 5.719 billion yuan, up 8.3% year-on-year, while Xuezhongfei and Bingjie reported revenues of 0.378 billion yuan (down 3.2%) and 0.015 billion yuan (down 26.0%) respectively [1] - The company continues to optimize its main brand in terms of brand, product, and channel dimensions, maintaining high-quality growth [1] Group 2: OEM and Diversified Business - The OEM business saw a revenue decline of 1.044 billion yuan, down 11.7% year-on-year, primarily due to order front-loading caused by tariff issues [2] - Women's clothing revenue decreased to 0.251 billion yuan, down 18.6% year-on-year, with a gross margin decline of 1.9 percentage points to 59.9% [2] - The diversified clothing segment reported a revenue drop of 0.064 billion yuan, down 45.3% year-on-year, mainly due to a restructuring of the school uniform business [2] Group 3: Financial Metrics and Efficiency - Gross margin increased by 0.1 percentage points to 50.0%, driven by the higher revenue share of the high-margin brand down jacket business [3] - The expense ratio for distribution and administrative expenses was 27.5% and 7.2% respectively, with a year-on-year increase of 1.7 percentage points and a decrease of 1.5 percentage points [3] - The net profit margin increased by 0.5 percentage points to 13.3%, supported by a significant rise in financing income [3] - Inventory turnover days improved to 178 days, a decrease of 11 days year-on-year, due to a slowdown in raw material procurement and active inventory reduction [3] - The net cash flow from operating activities was -1.084 billion yuan, with cash and cash equivalents at 3.034 billion yuan at the end of the period [3] Group 4: Future Outlook - The company anticipates that expectations of a cold winter and an extended Spring Festival peak season will catalyze sales, supporting high-quality growth in performance [3] - The profit forecast for FY26-28 is set at 3.94 billion, 4.39 billion, and 4.90 billion yuan respectively, with corresponding P/E ratios of 13, 12, and 11 [3]