Winka Times(SH:603101) Orient Securities·2026-02-14 00:25Investment Rating - The report gives a "Buy" rating for the company for the first time [5]. Core Views - The company is a leading commercial entity in Xinjiang, focusing on the low-altitude economy and enhancing its retail capabilities through digital transformation and supply chain optimization [2][8]. - The company has a stable business structure with supermarkets and department stores as core segments, and it is responding to consumer demand by accelerating business transformation [8][9]. - The retail industry is entering a new development phase supported by government policies aimed at boosting domestic consumption [8][48]. Financial Forecast and Investment Recommendations - The company’s revenue is projected to be 2,494 million yuan in 2023, with a growth rate of 30.8%, followed by a slight decline in 2024 to 2,409 million yuan [4]. - The net profit attributable to the parent company is expected to reach 162 million yuan in 2023, with a significant growth of 203.1% [4]. - The report forecasts earnings per share (EPS) of 0.18 yuan in 2025, 0.31 yuan in 2026, and 0.39 yuan in 2027, with a target price set at 12.09 yuan based on a 39x PE ratio for 2026 [4][8]. Company Overview - The company has been operating for 25 years, establishing itself as a leader in the Xinjiang retail market with a total of 5 shopping centers, 6 department stores, and 11 independent supermarkets, covering an area of over 1.07 million square meters [12][16]. - The company’s revenue structure shows that supermarkets contribute over 50% of total revenue, while department store revenue has decreased significantly due to changes in accounting standards [27][25]. - The management team has extensive experience in the industry, with a stable shareholding structure that supports long-term strategic planning [20][23]. Market and Policy Environment - Recent government policies have focused on enhancing domestic demand, positioning the retail sector as a key area for economic recovery [48][49]. - The company is leveraging its regional advantages and adapting to market changes by implementing AI-driven management systems and exploring low-altitude economic opportunities [8][9].