Investment Rating - The investment rating for the company is "Buy" with a 6-month outlook maintained [4]. Core Views - The company is recognized as a high-quality manufacturer in the industry, attracting clients through a strong reputation and a multi-client strategy without limiting the number of cooperative brands [1]. - The company has reported significant revenue from its top five clients, totaling 16.6 billion, which accounts for 82% of total revenue [1]. - Deckers, a major client, has shown impressive performance, with revenue guidance for FY25 set at $4.7 billion, reflecting a 10% year-on-year increase [2]. - The company expects substantial order growth driven by Deckers' performance and its ability to cultivate and incubate clients [2][3]. Financial Performance Summary - The company forecasts net profits for 2024, 2025, and 2026 to be 3.89 billion, 4.43 billion, and 4.95 billion respectively, with corresponding EPS of 3.33, 3.80, and 4.24 [3][6]. - Revenue for 2023 is projected at 20.11 billion, with a growth rate of -2.21%, followed by a recovery to 24.01 billion in 2024, representing a growth rate of 19.36% [6][10]. - The gross profit margin for FY25 is expected to be 54.0%, with an operating profit margin (OPM) of 19.5%-20% [2]. Client Strategy and Market Position - The company employs a strategy of collaborating with multiple high-quality clients, which has proven effective in driving order growth [3]. - Deckers has emerged as a strong player in the sports market, with brands like HOKA and UGG showing continuous growth, indicating the importance of product innovation and brand rejuvenation [2][3]. Valuation Metrics - The company’s P/E ratios for 2024, 2025, and 2026 are projected to be 17, 15, and 14 respectively, indicating a favorable valuation trend [3][6]. - The total market capitalization is approximately 66.87 billion, with a current share price of 57.3 [4].
华利集团：Deckers靓丽，前瞻卡位优质客户