Core Viewpoint - The report from Daiwa Capital Markets predicts a 9.5% year-on-year decline in net profit attributable to China Overseas Property (02669) for 2025, driven by pressure on gross margins, weak engineering services, and deteriorating collection situations, which offset revenue growth [1] Group 1: Financial Performance - The company is expected to achieve a 5.4% year-on-year revenue growth for the full year, with core property management revenue projected to increase by 9.9%, driven by rapid expansion in urban services [1] - However, revenue from community value-added services and non-residential value-added services is anticipated to decline by 8% and 10% year-on-year, respectively, primarily due to industry downturns and more cautious consumer spending [1] Group 2: Rating and Price Target - Based on the downward revision of profit forecasts and limited short-term catalysts, the rating for China Overseas Property has been downgraded to "Hold," with the target price reduced from HKD 7 to HKD 4.3 [1]
大华继显：降中海物业评级至“持有” 目标价降至4.3港元