Proya(SH:603605) Guoxin Securities·2025-08-27 02:20Investment Rating - The investment rating for the company is "Outperform the Market" [6][17]. Core Views - The company achieved steady growth in Q2, with a revenue of 5.362 billion and a year-on-year increase of 7.21%, while the net profit attributable to shareholders reached 799 million, up 13.80% year-on-year [1][8]. - The main brand, Proya, maintained stable development, while the emerging brands such as Off&Relax and Original Color Pot showed significant growth, contributing to the company's multi-brand strategy [4][17]. - The company plans to distribute a cash dividend of 8.00 yuan per 10 shares, marking the highest dividend payout ratio in its history at nearly 40% [1][8]. Financial Performance - In H1 2025, the main brand Proya generated revenue of 3.979 billion, a slight decrease of 0.08% year-on-year, while the Cai Tang brand saw a revenue increase of 21.11% to 705 million [2][9]. - Online channels accounted for 95.39% of total revenue in H1 2025, with online revenue growing by 9.17% year-on-year [10]. - The gross margin for Q2 2025 was 73.85%, an increase of 4.25 percentage points year-on-year, attributed to lower freight rates and improved procurement capabilities [3][13]. Brand Performance - The emerging brands Off&Relax and Original Color Pot achieved remarkable revenue growth of 102.52% and 80.18%, respectively, with their revenue shares increasing to 5.22% and 1.81% [2][9]. - The company continues to focus on product innovation and marketing investments to strengthen its market position and expand its brand portfolio [4][17]. Future Outlook - The company has slightly adjusted its net profit forecasts for 2025-2027 to 1.766 billion, 1.933 billion, and 2.065 billion, respectively, reflecting increased marketing investments [4][17]. - The projected PE ratios for the next three years are 21, 19, and 18 times, indicating a stable valuation outlook [4][17].