Investment Rating - The report assigns a "Buy" rating to the company with a target price of HKD 109.78, based on a PE valuation of 30 times for 2025 [4]. Core Insights - The company is a leading player in China's beauty and personal care industry, with a multi-brand matrix covering skincare, baby care, and hair care segments. The main brand, Han Shu, has rapidly expanded its presence on platforms like Douyin, achieving significant revenue growth [2][3]. - The company is expected to achieve revenue of CNY 67.93 billion in 2024, representing a year-on-year growth of 62.1%, with a net profit of CNY 7.81 billion, up 69.4% [14]. - The growth strategy is supported by a strong brand operation methodology, focusing on market-driven brand positioning, precise consumer targeting, and innovative marketing strategies [3][39]. Summary by Relevant Sections Company Highlights - The company has a multi-brand strategy with a focus on online sales, achieving nearly 93% online sales in the first half of 2025. The main brand, Han Shu, is projected to generate revenue of CNY 55.91 billion in 2024, a growth of 80.90% year-on-year [2]. - New brands like Yi Ye are experiencing rapid growth, with projected annual growth rates of 498% for 2023/2024 and 146% for the first half of 2025 [2]. Investment Logic - The company is expected to see significant growth in its three main segments: skincare, baby care, and hair care. Han Shu is projected to exceed CNY 10 billion in revenue within three years, while Yi Ye is expected to maintain a compound annual growth rate of over 50% [3]. - The baby care brand Yi Ye is leveraging a unique "medical research co-creation" model, while the hair care segment is expected to produce major brands through clear positioning and effective marketing strategies [3]. Profit Forecast, Valuation, and Rating - The forecasted EPS for 2025, 2026, and 2027 is CNY 2.68, CNY 3.33, and CNY 4.09 respectively, with a projected valuation of 24 times for 2026. The strong growth potential of the multi-brand strategy supports the "Buy" rating [4]. - The company is expected to achieve a return on equity (ROE) of 41.92% in 2025, indicating strong profitability [8].
上美股份（02145）：多品牌向上，长期主义尽善尽美