YONGHUI SUPERSTORES(SH:601933) Shanxi Securities·2025-10-27 08:45Investment Rating - The report maintains an investment rating of "A" for the textile and apparel industry [1] Core Views - The textile and apparel industry has shown a marginal improvement in retail sales growth, with a year-to-date increase of 3.1% as of September 2025, driven by strong performance in sports and entertainment products [9] - The report highlights the performance of specific companies, such as 361 Degrees and Bosideng, which are recommended for investment due to their competitive positioning and growth potential [9] Summary by Sections Company Performance - Tabo announced its FY2026H1 results, reporting a revenue decline of 5.8% to 12.299 billion yuan, with a net profit decrease of 9.7% to 789 million yuan [16] - The main brand's revenue fell by 4.8% to 10.812 billion yuan, accounting for 88% of total revenue, while other brands saw a 12.2% decline [3][16] - Retail business revenue decreased by 3.0% to 10.601 billion yuan, making up 86% of total revenue, while wholesale revenue dropped by 20.3% to 1.623 billion yuan [3][16] Market Dynamics - The SW textile and apparel sector rose by 0.37% during the week, lagging behind the broader market, which increased by 3.24% [18] - The PE-TTM for SW textile manufacturing is 22.38 times, while for SW apparel and home textiles, it is 30.72 times, indicating high valuation levels [22] Industry Data Tracking - In the first nine months of 2025, China's textile and apparel exports amounted to 106.477 billion and 115.209 billion USD, reflecting a growth of 2.1% and a decline of 2.5%, respectively [42] - Domestic retail sales reached 4.20 trillion yuan in September 2025, with a year-on-year growth of 3.0% [48] - The report notes that online retail channels continue to outperform traditional retail, with a 6.5% increase in online sales of physical goods [48] Industry News - Douyin e-commerce reported that over 41,000 merchants achieved a 500% year-on-year increase in sales through live streaming during the "Double 11" promotion [56] - Bosideng appointed designer Kim Jones as the creative director for its new AREAL high-end urban line, aiming to elevate its brand in the business fashion sector [57] - Yonghui Supermarket opened seven new stores across major cities, reflecting its commitment to quality retail strategies and achieving over 100% sales growth during the recent holiday period [59][60]