Investment Rating - The report maintains a "Buy" rating for Jiangnan Buyi (03306) with a target price not specified [6]. Core Insights - The company reported a revenue of 3.16 billion RMB for FY25H1, representing a year-on-year increase of 5%. The mature brand (JNBY) generated 1.76 billion RMB, up 4%, while the growth brands (Suxie, LESS, jnby by JNBY) saw a decline of 2% to 1.2 billion RMB. Emerging brands experienced significant growth, with revenue reaching 200 million RMB, up 149% [1][2]. - The net profit for FY25H1 was 600 million RMB, reflecting a year-on-year increase of 5.5%. The gross margin was 65.1%, a slight decrease of 0.1 percentage points, while the net margin was 19.1%, also down by 0.1 percentage points. The company declared an interim dividend of 0.45 HKD per share [2]. - The company emphasizes the importance of member data, with over 80% of retail sales coming from members. Active member accounts numbered 540,000, slightly down from 2023. Members who spent over 5,000 RMB contributed significantly to retail sales, indicating effective brand and membership management [3]. - Jiangnan Buyi aims to solidify its position as a leading designer brand group in China by optimizing its brand portfolio through self-incubation or acquisitions, enhancing retail networks, and leveraging data-driven strategies to improve customer engagement and experience [4]. Financial Projections - The report forecasts revenues for FY25-27 to be 5.5 billion RMB, 6 billion RMB, and 6.6 billion RMB, respectively. Net profits are projected at 880 million RMB, 900 million RMB, and 990 million RMB for the same period. The expected EPS for FY25-27 is 1.69, 1.74, and 1.91 RMB per share, corresponding to P/E ratios of 8, 8, and 7 times [5].
江南布衣：品牌稳健增长，重视长期发展-20250302