Investment Rating - The report maintains an "OUTPERFORM" rating for the company with a target price of HKD 17.90, up from a previous target of HKD 13.40 [2][14][32]. Core Insights - The company reported a revenue of RMB 612 million for H1 2025, a 23% year-on-year increase, primarily driven by an upfront payment from Merck of USD 85 million [20][21]. - The gross profit for the same period was RMB 610 million, with net profit reaching RMB 330 million, reflecting a 59% increase year-on-year [20][21]. - The company has a robust cash position of approximately RMB 2.3 billion, which supports its operations and planned R&D investments for the next 2-3 years without the need for external financing [22][23]. Financial Performance - Revenue projections for FY25-27 are revised to RMB 610 million, RMB 630 million, and RMB 630 million respectively, with corresponding net profit estimates of RMB 30 million, RMB 130 million, and RMB 350 million [14][32]. - The company’s revenue growth is projected at 2544% for FY25, followed by 21% for FY26, and 3% for FY27 [17]. Pipeline and Product Development - The company has a well-structured pipeline, including one asset at the NDA stage and several others in various clinical phases, indicating a clear strategy for market expansion [22][24]. - Lead assets ABSK021 and ABSK011 are expected to contribute significantly to revenue within the next 2-3 years, with ABSK021 showing a 54% overall response rate in a Phase III study [24][28]. - ABSK011 has demonstrated promising results in treating liver cancer, with an overall response rate of 44.8% in second-line patients [28][29]. Strategic Direction - The management aims to expand from early-stage small molecules into bispecific antibodies, antibody-drug conjugates (ADCs), and autoimmune diseases, targeting broader market opportunities [22][23]. - The company has repurchased approximately HKD 150 million worth of shares over the past two years, reflecting a commitment to shareholder returns [23]. Valuation - The valuation is based on a risk-adjusted discounted cash flow (DCF) model, with a WACC of 10.0% and a terminal growth rate of 3.5%, leading to a target price of HKD 17.90 per share [14][32].

Investment Rating - The report initiates coverage with a "Buy" rating for the company [6]. Core Views - The company is positioned as a leading platform in high-end manufacturing, with significant revenue growth driven by its diversified business segments, including consumer electronics, new intelligent products, and new energy vehicles [1][2][3]. - The acquisition of Jabil has strengthened the company's position in the consumer electronics sector, enhancing its market share among overseas clients [2][49]. - The company is actively entering high-growth sectors such as AIDC and robotics, which are expected to contribute to its future growth [2][54]. - The acceleration of automotive intelligence and the push for equal access to smart driving technology are propelling the company's new energy vehicle business into a high-growth phase [3][26]. Summary by Sections 1. Platform Expansion and Revenue Growth - The company has achieved a revenue of 177.3 billion RMB in 2024, representing a year-on-year growth of 36.4%, with a net profit of 4.27 billion RMB, up 5.6% [1][17]. - The revenue contributions from the three main business segments are as follows: consumer electronics (79.7%), new intelligent products (8.8%), and new energy vehicles (11.6%) [1][28]. 2. Deepening Consumer Electronics Sector - The company has over 20 years of experience in the consumer electronics field and has become a core supplier globally, with expectations for continued growth due to recovering market demand [2][34]. - The acquisition of Jabil is expected to expand the company's overseas client base and solidify its leadership in the consumer electronics market [2][49]. 3. Entry into High-Growth Sectors - The company is actively participating in the rapidly growing AIDC and robotics sectors, with a focus on AI-driven data center solutions [2][54]. - The company has launched new products in AI servers and is investing in R&D to support its growth in these areas [54][57]. 4. Growth in New Energy Vehicles - The company’s new energy vehicle segment has seen significant growth, with revenue reaching 20.51 billion RMB in 2024, a year-on-year increase of 45.5% [3][28]. - The company benefits from its relationship with BYD, which enhances its product offerings in the smart driving and intelligent cockpit systems [3][26]. 5. Financial Forecast and Valuation - The company is projected to achieve revenues of 198.21 billion RMB in 2025, 218.93 billion RMB in 2026, and 242.96 billion RMB in 2027, with corresponding net profits of 5.27 billion RMB, 6.45 billion RMB, and 7.63 billion RMB respectively [3][5].

Investment Rating - The report assigns an "Accumulate" rating for the company, marking its first coverage [3][5][15]. Core Views - The company has successfully navigated through 30 years of the container shipping cycle, establishing itself as a leading player in the Asian regional container shipping market. The supply-demand balance in the region is tight, and freight rates are expected to remain stable. The company has built a differentiated competitive advantage and provides robust shareholder returns, with cumulative dividends of HKD 38.9 billion from 2010 to 2024, averaging a payout ratio of 78% [3][10][15]. Summary by Sections Company Overview - The company, established in 1991, has become a leading shipping logistics enterprise in Asia, focusing on container transportation, international freight forwarding, and integrated logistics services. It operates a high-density service network covering 81 major ports across 17 countries and regions, with a fleet of 114 container ships, of which 100 are owned [10][20][24]. Industry Supply and Demand - The demand for container shipping in Asia is supported by high trade volumes among developed economies and the growing trade between China and ASEAN countries. The container trade volume between China and ASEAN is expected to grow by 8.2% year-on-year in the first half of 2025, with container volumes from China to Southeast Asia increasing by 19.7% [32][33][40]. On the supply side, the feeder vessel fleet is experiencing limited growth, which may lead to supply constraints [49][63]. Competitive Advantages - The company's management team has an average of over 28 years of experience in the shipping industry, enabling it to navigate through various cycles effectively. The company focuses on providing differentiated services through a comprehensive logistics network and has a strong operational efficiency, with a low cost per container of USD 463, down 8.4% year-on-year [10][67][72]. Financial Forecast and Investment Recommendations - The company is projected to achieve revenues of USD 3.285 billion, USD 3.353 billion, and USD 3.406 billion from 2025 to 2027, with year-on-year growth rates of 7.4%, 2.1%, and 1.6%, respectively. The net profit attributable to shareholders is expected to be USD 1.122 billion, USD 1.072 billion, and USD 1.011 billion during the same period [15][50]. Given its competitive advantages and stable shareholder returns, the report maintains an "Accumulate" rating [3][15].

Investment Rating - The report initiates coverage with a "Buy" rating for the company [12]. Core Views - The company experienced a decline in revenue and net profit in the first half of 2025, with revenue at 42.854 billion HKD, down 2.79% year-on-year, and net profit at 5.624 billion HKD, down 5.49% year-on-year [1][2]. - Despite short-term performance pressures, the company maintains growth in Hong Kong, with related business profits increasing by 6% to 45.68 billion HKD [2]. - The company is focusing on long-term investment value through stable cash flow from core businesses and exploring opportunities in the rapidly evolving energy transition market [4]. Financial Summary - The company reported a cash inflow of 7.1 billion HKD in the first half of 2025, a decrease of 9 billion HKD year-on-year, primarily due to a decline in EBITDAF and unfavorable working capital changes [3]. - Non-maintenance capital expenditures reached 7 billion HKD, mainly for projects in Hong Kong and renewable energy initiatives in mainland China [3]. - The company plans to allocate capital based on risk-return principles and geographic selectivity, with a five-year development plan in Hong Kong valued at 52.9 billion HKD [4]. Earnings Forecast - Projected revenues for 2025-2027 are 90.202 billion HKD, 91.221 billion HKD, and 92.144 billion HKD, respectively, with corresponding net profits of 11.194 billion HKD, 11.610 billion HKD, and 11.985 billion HKD [4][5]. - The expected price-to-earnings ratios for 2025-2027 are 15.12, 14.58, and 14.12, respectively [4].

Investment Rating - The report maintains a "Buy" rating for Yum China (9987.HK / YUMC.US) with a target price of HKD 476.9, indicating a potential upside of 36% from the current stock price of HKD 370.8 [1][5]. Core Insights - In Q2 2025, Yum China's total revenue increased by 4% year-on-year to USD 2.8 billion, with system sales also growing by 4%. Operating profit rose by 14% to USD 304 million, exceeding market expectations. Net profit attributable to shareholders grew by 1% to USD 215 million, primarily impacted by an investment loss of USD 18 million [1][2]. - The company experienced a positive same-store sales growth of 1% for the first time since last year, driven by improved efficiency and a reduction in expense ratios due to same-store growth. Additionally, the recent competition in the food delivery market contributed to a 22% increase in delivery revenue, which now accounts for 45% of total revenue [2][5]. - KFC's revenue grew by 4.1% to USD 2.09 billion, with same-store sales also increasing by 1%. The restaurant's profit margin improved to 16.9%, benefiting from favorable raw material prices and operational efficiencies [3]. - Pizza Hut's operating profit increased by 16% to USD 46 million, with a profit margin of 8.3%, marking a significant improvement. The company plans to maintain its store opening guidance for the year, targeting 1,600 to 1,800 new stores [4][5]. Financial Summary - For the first half of 2025, Yum China reported total revenue of USD 4.34 billion, a 2% increase year-on-year, and a net profit of USD 510 million, also up by 1% [2]. - The forecast for net profit attributable to shareholders is USD 944.6 million for 2025, USD 1.015 billion for 2026, and USD 1.05 billion for 2027, with corresponding EPS of HKD 20.07, HKD 21.57, and HKD 22.24 [5][9]. - The company’s financial metrics indicate a projected revenue growth rate of 2.89% for 2025 and 6.98% for 2026, with a net profit margin of 8.12% for 2025 [9][10]. Valuation Analysis - The report employs both comparable company analysis and DCF methods for valuation, suggesting a target price of HKD 476.9 based on a 23x PE ratio for 2025, with an estimated EPS of HKD 20.07 [11][12]. - The DCF valuation estimates a reasonable market capitalization of HKD 181.9 billion, translating to a stock price of HKD 492.3 [11][14].

Investment Rating - The report maintains a "Buy" rating for the company [4][6]. Core Views - The core education business is showing a recovery in profitability, with a significant increase in Non-GAAP operating profit and net profit for FY2025Q4. The company is also implementing a three-year shareholder return plan, committing to distribute at least 50% of the previous fiscal year's net profit to shareholders through dividends and/or share buybacks [3][4]. - The company is expected to achieve steady growth in its core education business despite challenges in overseas-related services and tourism business. The forecasted net profit for FY2026 is projected to be between $492 million and $544 million, with Non-GAAP net profit expected to be between $550 million and $660 million for FY2026 [4][5]. Financial Summary - For FY2025Q4, the company reported a net revenue of $1.24 billion, a year-on-year increase of 9.4%. The operating loss was $8.67 million, while the net profit attributable to shareholders was $7.10 million, a decrease of 73.7%. Non-GAAP operating profit was $81.68 million, an increase of 116.3%, and Non-GAAP net profit was $98.08 million, an increase of 59.4% [1][2]. - The gross margin for FY2025Q4 was 54.2%, up by 2 percentage points, while the Non-GAAP operating margin was 6.6%, an increase of 3 percentage points [3]. - The company expects FY2026Q1 net revenue to be between $1.464 billion and $1.507 billion, representing a growth of 2% to 5% [1][4]. Business Segments - Excluding self-operated products and live e-commerce, the net revenue for FY2025Q4 grew by 18.7%. The overseas examination and consultation services grew by 14.6% and 8.2%, respectively, while domestic examination services for adults and college students increased by 17.0%. New educational businesses saw a growth of 32.5% [2][3]. - The number of registrations for non-subject tutoring reached 918,000, an increase of 4.9%, and the active paid users of the intelligent learning system and devices reached 255,000, a growth of 36% [2].

Investment Rating - The investment rating for the company is "Accumulate" (maintained) [7] Core Insights - The company achieved a revenue of 3.24 billion yuan in H1 2025, representing a year-on-year growth of 22% [2] - The significant growth in performance is driven by dual engines: the introduction of various combo products that match seasonal consumption scenarios and a substantial increase in sales to corporate clients, which grew by 125.1% year-on-year [2][4] - The company is committed to shareholder value, with a dividend payout ratio exceeding 80% for 2024 and approximately 100% for H1 2025, indicating a strong focus on shareholder interests [2] Revenue and Profitability - In H1 2025, the company reported a core operating net profit margin of 5.9%, an increase of 1.2 percentage points year-on-year, reflecting improved profitability through product structure optimization and organizational efficiency [3] - The gross profit margin for H1 2025 was 22.1%, with a slight year-on-year decline of 0.7 percentage points due to increased sales costs outpacing revenue growth [3] Business Structure and Growth - Revenue from franchise sales grew by 11.0% year-on-year, reaching 2.6 billion yuan, while non-franchise sales surged by 125.1% to 560 million yuan, enhancing the diversity of the overall revenue structure [4] - The company’s self-built supply chain and the release of capacity from seven owned factories have significantly contributed to the rapid growth in the B2B sales segment [4] Financial Forecast and Valuation - The company is expected to achieve revenues of 7.48 billion yuan, 8.34 billion yuan, and 9.30 billion yuan for the years 2025, 2026, and 2027, respectively, with net profits projected at 414 million yuan, 474 million yuan, and 550 million yuan [5][11] - The company is transitioning from scale expansion to refined operations, with a strong supply chain barrier and the opening of a second growth curve in the B2B business [5]

Investment Rating - The report maintains a "Strong Buy" rating for the company with a target price of 10 HKD [1]. Core Views - The company is expected to experience a significant decline in revenue and profits in the first half of 2025, with total revenue projected to be between 2.4 to 2.55 billion HKD, representing a year-on-year decrease of 38.3% to 41.9%. The net profit attributable to shareholders is expected to be between 570 to 580 million HKD, down 23% to 24% year-on-year [1]. - The company is focusing on inventory clearance and stabilizing its distribution channels, with a strategic shift towards launching new products to mitigate the impact of declining sales [8]. - The introduction of a flagship product, "Da Zhen," priced at 888 HKD, aims to capture market share and enhance profitability through targeted marketing strategies [8]. Financial Summary - Revenue projections for 2025 are estimated at 5.032 billion HKD, reflecting a year-on-year decline of 28.8% [4]. - Non-GAAP net profit for 2025 is forecasted at 1.151 billion HKD, a decrease of 31.31% compared to the previous year [4]. - The earnings per share (EPS) for 2025 is adjusted to 0.34 HKD, down from previous estimates [8]. Market Strategy - The company is actively adjusting its market strategy by reducing supply and focusing on core products to stabilize its market position [8]. - There is an emphasis on expanding market presence in key regions such as Guizhou, Henan, and Shandong, while also exploring new consumer trends with product diversification [8]. - The management team is experienced and has a strong understanding of market dynamics, which is expected to support long-term growth despite short-term challenges [8].

Investment Rating - The report assigns a "Buy" rating for WuXi Biologics (2269 HK) as part of its initial coverage [4] Core Insights - WuXi Biologics is a global leader in the biopharmaceutical CDMO (Contract Development and Manufacturing Organization) sector, leveraging an integrated platform to drive growth [1][3] - The company has established a comprehensive CRDMO (Contract Research, Development, and Manufacturing Organization) model, providing end-to-end services from drug discovery to commercial production, which enhances customer retention and operational stability [1][3] - The non-COVID business has shown strong growth, with a 13.1% year-on-year increase in 2024, indicating a healthy business structure despite a slowdown in overall revenue growth [49] Summary by Sections 1. Company Overview - WuXi Biologics has developed a one-stop CRDMO service platform, serving over 600 global clients, including the top 20 multinational pharmaceutical companies, with a core employee retention rate of 95.8% [1][21][20] - The company has a global manufacturing network with 9 production bases and 7 development centers across China, Ireland, Germany, and Singapore, supporting its full industry chain service capabilities [1][27] 2. Market Growth and Opportunities - The global biopharmaceutical market is expanding, with China expected to capture a 22.2% share by 2030, driven by the rise of biopharmaceuticals and CDMO services [3][50][53] - The ADC (Antibody-Drug Conjugates) and bispecific antibodies are emerging therapies that are expected to significantly benefit WuXi Biologics as the CDMO market continues to grow [3][54] 3. Financial Performance - WuXi Biologics has demonstrated robust growth, with a revenue CAGR of 36.0% from 2019 to 2024, reaching 18.68 billion yuan in 2024, despite a slight decline in growth rate [6][29] - The company’s net profit for 2024 is projected to be 3.36 billion yuan, with a gross margin of 41.0% [10][45] 4. Future Projections - The report forecasts revenues of 21.47 billion yuan, 23.65 billion yuan, and 25.91 billion yuan for 2025, 2026, and 2027 respectively, with corresponding net profits of 4.48 billion yuan, 4.99 billion yuan, and 5.36 billion yuan [8][10] - The company is expected to benefit from a strong order backlog, with approximately 18.5 billion USD in unfulfilled orders as of December 31, 2024, indicating a solid foundation for future revenue growth [6][28] 5. Competitive Positioning - WuXi Biologics is positioned favorably compared to international peers, with a current PE ratio of 35.2X, significantly lower than that of global leaders like Lonza and Samsung Biologics [7][72] - The report highlights the potential for valuation recovery as the company continues to expand its market share and capitalize on the growing demand for biopharmaceutical services [66][70]

Investment Rating - The investment rating for the company is "Buy" [7][17]. Core Views - The photovoltaic industry is a key area for the national "anti-involution" policy, with many photovoltaic glass companies currently in a loss-making state. The urgency for "anti-involution" is highlighted, and attention is drawn to the implementation of industry self-discipline and administrative guidance measures [5][17]. - The company continues to strengthen its competitive advantages in cost and is expanding its overseas production capacity, which is expected to contribute to performance growth. The revenue forecasts for 2025-2027 are projected to be 23 billion, 25.9 billion, and 28.9 billion yuan, respectively, with year-on-year growth rates of +5%, +13%, and +11%. The expected net profit attributable to the parent company for the same period is projected to be 2.4 billion, 2.8 billion, and 3.2 billion yuan, with year-on-year growth rates of +133%, +17%, and +15% [5][17]. Summary by Sections Financial Performance - In the first half of 2025, the company's revenue was 10.9 billion yuan, a year-on-year decrease of 7% but a quarter-on-quarter increase of 7%. The net profit attributable to the parent company was 700 million yuan, a year-on-year decrease of 59% but a quarter-on-quarter turnaround to profit [13]. - The photovoltaic glass revenue was 9.5 billion yuan, a year-on-year decrease of 7% but a quarter-on-quarter increase of 10%. The gross margin was 11.4%, down 10.1 percentage points year-on-year but up 15.8 percentage points quarter-on-quarter [14]. Production Capacity - As of the end of the first half of 2025, the company's total production capacity and operating capacity remained stable at 30,200 and 23,200 tons per day, respectively. There are no plans for new production line startups in the second half of 2025 [15]. Market Trends - The photovoltaic glass market is experiencing a significant improvement in demand, driven by a surge in new installations. The average market price for 2.0mm photovoltaic coated glass was 12.9 yuan, down 4 yuan year-on-year but up 0.4 yuan quarter-on-quarter [14]. Future Outlook - The company is expected to focus on project reserve development and preparation in the second half of 2025, with limited new grid-connected capacity anticipated [16].