滔搏（06110）：升级品牌矩阵布局专业垂类赛道

Investment Rating - The investment rating for the company is "Buy" with a target price of HKD 2.8, maintaining the "Increase" rating for the next six months [6]. Core Viewpoints - The company reported a revenue of RMB 27 billion for FY25, a year-on-year decrease of 7%, and a net profit of RMB 1.3 billion, down 42% year-on-year. The gross margin was 38%, a decline of 3.4 percentage points, and the net margin was 4.8%, down 2.8 percentage points [1]. - The decline in revenue performance was attributed to weak consumer demand and pressure on offline foot traffic, leading to increased promotional efforts and a decrease in profit margins [1]. - The company has a strong cash flow position, with cash and cash equivalents amounting to RMB 2.6 billion, a year-on-year increase of 32%. Despite a 43.5% decline in pre-tax profit, the net cash generated from operating activities grew by 20% to RMB 3.8 billion [2]. - The total number of stores operated by the company decreased by 18.3% to 5,020, with a focus on improving retail service capabilities and store efficiency [3]. - The company is expanding its brand matrix by introducing the high-end running brand SOAR Running to the Chinese market and enhancing its collaboration with the Canadian outdoor brand norda [4]. Summary by Sections Financial Performance - FY25 revenue was RMB 27 billion, down 7% year-on-year, with a net profit of RMB 1.3 billion, down 42% year-on-year. The gross margin was 38%, down 3.4 percentage points, and the net margin was 4.8%, down 2.8 percentage points [1]. Cash Flow and Dividends - Cash and cash equivalents at the fiscal year-end were RMB 2.6 billion, up 32% year-on-year. Operating cash flow increased by 20% to RMB 3.8 billion despite a 43.5% decline in pre-tax profit. The annual dividend payout ratio was 135% [2]. Store Operations - The company operated 5,020 stores at the fiscal year-end, a decrease of 18.3% year-on-year. The focus is on enhancing retail service capabilities and improving store efficiency through stricter store opening and renovation criteria [3]. Brand Strategy - The company is introducing SOAR Running to the Chinese market and deepening its partnership with norda, aiming to capture opportunities in the outdoor segment through a comprehensive brand strategy [4]. Profit Forecast - The profit forecast has been adjusted, with expected revenues for FY26-28 at RMB 26.5 billion, RMB 27.3 billion, and RMB 28.6 billion, respectively. The expected net profits are RMB 1.3 billion, RMB 1.5 billion, and RMB 1.7 billion for the same periods [5].