WEIXING(SZ:002003) Orient Securities·2025-08-25 11:03Investment Rating - The investment rating for the company is "Buy" (maintained) with a target price of 17.07 CNY [1][6] Core Views - The company has shown strong performance in its international business, with revenue and profit expected to improve in the second half of the year [5][8] - The company is a leader in the global apparel accessories industry, with stable product quality and strong R&D capabilities [8][9] - The company is expected to benefit from its international expansion strategy, which includes developing international brand clients and establishing overseas marketing networks [8][9] Financial Performance Summary - Revenue for 2023 is projected at 3,907 million CNY, with a year-on-year growth of 7.7%. This is expected to increase to 4,936 million CNY in 2025, reflecting a growth rate of 5.6% [6][13] - Operating profit is forecasted to be 673 million CNY in 2023, with a growth of 14.4%, and is expected to reach 870 million CNY by 2025, showing a modest growth of 2.0% [6][13] - Net profit attributable to the parent company is estimated at 558 million CNY for 2023, with a growth of 14.2%, and is projected to be 719 million CNY in 2025, reflecting a growth of 2.7% [6][13] - Earnings per share (EPS) are expected to be 0.48 CNY in 2023, increasing to 0.62 CNY in 2025 [6][13] Margin Analysis - The gross margin for the company is expected to improve from 40.9% in 2023 to 42.3% in 2025, driven by changes in product and customer mix [6][8] - The net profit margin is projected to be 14.3% in 2023, slightly decreasing to 14.6% in 2025 [6][13] Valuation Metrics - The price-to-earnings (P/E) ratio is forecasted to decrease from 24.0 in 2023 to 18.6 in 2025, indicating a more attractive valuation over time [6][13] - The price-to-book (P/B) ratio is expected to decline from 3.1 in 2023 to 2.6 in 2025 [6][13]