Equity Research Report Yum China (9987 HK) (%) Yum China HSI (48) (35) (23) (10) 3 Aug-23 Dec-23 Apr-24 Aug-24 Source: S&P Key data Target price (HKD) 359.30 Closing price (HKD as of 9 Aug) 263.20 Potential upside -/+ (%) 37 Mkt cap (HKDmn) 101,397 6m avg daily val (HKDmn) 147.52 52wk price range (HKD) 225.20-459.80 BVPS (USD) 15.00 Share performance | --- | --- | |--------------------------------|------------------------------| | Analyst SAC No. S0570524050001 | FAN Junhaofanjunhao@htsc.com | | SFC No. BDO ...

Investment Rating - Investment Rating: BUY [2] - Target Price: HKD 14.06 [2] Core Insights - Super Hi International is expected to maintain a steady revenue growth trajectory, with projected revenues of USD 686.36 million in 2023, increasing to USD 1,075 million by 2026, reflecting a compound annual growth rate (CAGR) of approximately 14.71% [4][11] - The company is experiencing operational improvements, with a notable increase in table turnover rate (TTR) to 3.8x in 1H24, up from 3.3x in 1H23, indicating enhanced efficiency in restaurant operations [5][8] - Despite facing forex losses and increased expenses, the company is expected to achieve a low single-digit net profit margin (NPM) in 1H24, with an adjusted net profit estimated at USD 12 million [5][6] Financial Performance - Revenue for 2022 was USD 558.23 million, with a projected increase to USD 686.36 million in 2023, representing a year-over-year growth of 22.95% [4][11] - The net profit attributable to the parent company is expected to turn positive in 2023 at USD 25.65 million, following a loss of USD 41.25 million in 2022 [4][11] - The diluted earnings per share (EPS) is projected to improve from a loss of USD 0.07 in 2022 to a profit of USD 0.04 in 2023, with further growth anticipated in subsequent years [4][11] Store Expansion and Strategic Developments - As of 1Q24, Super Hi operated 119 stores, with plans for accelerated expansion, indicating a commitment to increasing market presence [6][7] - The appointment of a new CEO, previously from Haidilao International, signals a strategic focus on enhancing earnings growth and operational efficiency [6][7] - The company is diversifying its offerings with new restaurant formats, such as Muslim hotpot and noodle restaurants, which may contribute to a second growth curve [6][7]

Equity Research Report Foxconn Industrial Internet (601138 CH) AI Server Revenue Multiplied, 1H24 Earnings Hit Record High Huatai Research Announcement Comment Rating (Maintain): BUY Target price (RMB): 30.00 12 August 2024 │ China (Mainland) Consumer Electronics 1H24: revenue/NP hit record high on robust AI server demand growth FII has released its preliminary earnings results, with 1H24 revenue/attributable net profit (NP) of RMB266,091/8,739mn (up 28.7/22.0% yoy), which put the figures for 2Q24 at RMB147 ...

Equity Research Report New Hope Liuhe (000876 CH) Private Placement Advanced, Debt-to-Asset Ratio to Improve Huatai Research 12 August 2024│China (Mainland)Agribusiness Announcement Comment Rating (Maintain): B/S to improve on private placement and profit enhancement Following the release of a draft private placement (PP) plan in December 2023, New Hope Liuhe (NH) recently published a revised version, cutting the fundraising amount from RMB7.35bn to RMB3.8mn. We expect that if the plan is implemented, it co ...

ab 12 August 2024 Global Research and Evidence Lab First Read China Economic Comment China Weekly: Higher CPI, Softer Exports, PBC Policy Report, Weak Home Sales Economics China High frequency: weak property sales in the first 10 days of August Our UBS China Activity Tracker shows 30-city new property sales stayed weak at -19%y/ y in the first 10 days of August (vs -16%y/y in July and -20%y/y in June). Full-Truck-Load traffic index stayed weak at -4%y/y in the first 10 days vs -5%y/y in July. Port cargo thr ...

ab 12 August 2024 Global Research and Evidence Lab What's happening to Quant? Factor Performance and Valuations Factor Performance In this weekly publication, we show how factors have been performing at a regional level and globally. The purpose of this report is to provide an up-to-date snapshot of how factors have been performing on a short-term horizon based off our daily factor returns database, and to track what styles are and are not working during this turbulent period in markets. Styles We look at f ...

ab 12 August 2024 Global Research and Evidence Lab First Read Aurizon UBS Snapshot: FY24 results ONE LINER EBITDA in line but EPS miss; outlook suggests risk of low s.d. EBITDA downgrades in FY25. But addition of $150m buyback brings effective payout ratio above 100% next year. Figure 1: Aurizon FY24 key numbers (A$m) | --- | --- | --- | --- | --- | --- | --- | --- | |-----------------------|------------|----------------|----------|-------|-------|-------|-------| | | FY23 (PCP) | FY24E (Actual) | % growth ...

ab 12 August 2024 Global Research and Evidence Lab First Read Beach Energy Limited UBS SnapShot: 2H24 Results ONE LINER 2HFY24 earnings beat consensus by 7% however a further reserve downgrade to the new Enterprise gas field in VIC Otways adds further pressure to reserve replacement risk. KEY NUMBERS 1) Underlying 2H24 NPAT $169m vs consensus ($158m) & UBSe ($154m). 2) Underlying 2H24 EBITDA $462m vs consensus ($435m) & UBSe ($452m). 3) Final DPS 2.0cps fully franked vs consensus (2.3cps ) & UBSe (0.8cps), ...

ab 12 August 2024 Global Research and Evidence Lab First Read JB Hi-Fi UBS SnapShot: FY24 Result ONE LINER FY24 result above mkt & UBSe led by JB Aust & TGG (strong CODB mgmt.); JB NZ weak KEY NUMBERS (1) Sales: A$9.59bn, -0.4% (2H +1.9%), UBSe (A$9.52bn), mkt (A$9.53bn) (2) NPAT: A $439m, -16.4% (2H -10.4%), UBSe (A$409m), mkt (A$423m). (3) DPS: A261cps (ex A80cps special dividend), UBSe (A244cps), mkt (A254cps). RESULT HIGHLIGHTS (1) JB Australia: Sales of A$6.61bn, +1.0% (2H +1.3%). FY24 LFL +0.6% (2H24 ...

ab 11 August 2024 Global Research and Evidence Lab US Economics Presentation Slowdown underway Economics Americas Jonathan Pingle Economist jonathan.pingle@ubs.com +1-212-713 2225 Pierre Lafourcade Economist pierre.lafourcade@ubs.com +1-212-713 4543 Alan Detmeister Economist alan.detmeister@ubs.com +1-212-713 1222 Abigail Watt Economist abigail.watt@ubs.com +44-20-7567 1062 Amanda Wilcox Economist amanda.wilcox@ubs.com +1-212-713-2000 This report has been prepared by UBS Securities LLC. ANALYST CERTIFICATIO ...