Investment Rating - The report maintains a "Buy" rating for the company [1] Core Insights - The company reported a revenue of USD 8.182 billion for 2024, reflecting a year-on-year growth of 4%, and a net profit attributable to shareholders of USD 392 million, which is a significant increase of 43% [3][5] - The manufacturing segment is operating at full capacity, with a revenue increase of 11.1% to USD 5.62 billion in 2024, driven by a recovery in the footwear market and improved production efficiency [3][5] - The retail segment experienced a decline in revenue by 8% to RMB 18.45 billion, primarily due to reduced foot traffic and store adjustments, although online sales grew by 16% [3][5] Financial Data and Earnings Forecast - Revenue projections for the company are as follows: - 2023: USD 7.890 billion - 2024: USD 8.182 billion - 2025E: USD 8.654 billion - 2026E: USD 9.082 billion - 2027E: USD 9.464 billion - Net profit attributable to shareholders is forecasted to be: - 2023: USD 275 million - 2024: USD 392 million - 2025E: USD 489 million - 2026E: USD 546 million - 2027E: USD 592 million [3][12] - The company’s PE ratio is projected to decrease from 10 in 2023 to 5 in 2027, indicating a favorable valuation trend [3][12] Operational Efficiency - The manufacturing business achieved a gross margin increase to 19.9%, up by 0.7 percentage points year-on-year, due to enhanced capacity utilization and operational efficiency [3][5] - Inventory turnover days for the manufacturing segment decreased to 51 days, indicating improved inventory management [3][5] Dividend Policy - The company plans to distribute a final dividend of HKD 0.9 per share, resulting in a total annual dividend of approximately HKD 1.3 per share, with a payout ratio of 69% and a dividend yield of around 10% [3][5]
裕元集团：制造业利润弹性释放，零售业务静待回暖-20250316