Summary of Company and Industry Insights Company: 新澳股份 (Xin'ao Co., Ltd.) - Stock Code: 603889 Key Points - **Market Performance**: The stock price of Xin'ao Co., Ltd. experienced a significant drop today, primarily influenced by the cyclical commodity sector [1] - **Fundamental Outlook**: The company's fundamentals remain strong, with a notable increase in orders due to a substantial rise in wool prices and the timing of the Spring Festival [2] - **Sales Growth**: In January, the company saw a significant increase in both order volume and sales, particularly in wool, with a higher growth rate in orders and sales due to a relatively small base for cashmere [3] - **Wool Price Increase**: As of January 29, the price of Australian wool was reported at 1177 cents per kilogram, reflecting a month-on-month increase of 15.3% and a year-on-year increase of over 50% [4] - **Supply and Demand Dynamics**: The company anticipates that the clear contraction in supply combined with increasing demand will support the price increase cycle for Australian wool [5] - **Future Price Expectations**: There is optimism regarding the continuation of the upward price trend, contingent on new positive catalysts from both supply and demand sides [6] Additional Insights - **Investment Opportunity**: The current price drop is viewed as a buying opportunity, reinforcing the belief in the positive long-term outlook for the Australian wool market [7]

Summary of Company and Industry Insights Company: 新澳股份 (New Australia Co., Ltd.) Key Points - **Current Market Situation**: The stock price of New Australia Co., Ltd. has experienced a significant drop, primarily influenced by the cyclical commodity sector [1]. - **Positive Fundamentals**: The company's fundamentals remain strong, benefiting from a substantial increase in wool prices and the timing of the Chinese New Year, leading to a notable surge in orders [1][2]. - **Order and Sales Growth**: In January, the company saw a significant increase in wool orders and sales, with a higher growth rate in orders and sales for cashmere due to a relatively small base [1]. - **Wool Price Increase**: As of January 29, the price of Australian wool reached 1177 cents per kilogram, marking a month-on-month increase of 15.3% and a year-on-year increase of over 50% [1][2]. - **Supply and Demand Dynamics**: The company anticipates that the clear contraction in supply combined with increasing demand will support the price increase cycle for Australian wool [2]. - **Future Outlook**: There is optimism regarding the continuation of the upward price trend, contingent on new positive catalysts from both supply and demand sides [2]. Additional Important Insights - **Investment Opportunity**: The company reiterates that the current price drop presents a buying opportunity, emphasizing the potential for recovery and growth in the wool market [1][2].

Core Insights - The textile and apparel industry is recommended for a "Buy" rating, with a focus on companies like Jingyuan International, New Australia Co., and Bailong Oriental for their growth potential and favorable market conditions [4][11]. Textile and Apparel Industry Market Review - The Shanghai Composite Index increased by 3.85%, while the ChiNext Index rose by 5.42%. The textile and apparel sector (SW) saw a growth of 6.15%, ranking 19th among 31 primary industries [11]. - Key companies that performed well during this period include China Gold (+81.46%), Hason Co. (+41.22%), and Bailong Oriental (+22.45%). Conversely, companies like Furui Co. (-5.56%) and Nanshan Zhishang (-12.54%) faced declines [18]. Textile and Apparel Industry Data Tracking - In December, China's zipper and parts exports decreased by 4.4%, cotton sock exports fell by 10.6%, and seamless apparel exports dropped by 12.4%. In contrast, retail sales in the UK for textiles, clothing, and footwear rose by 5.1% year-on-year in December [4][11]. - The latest PE (TTM) for the textile and apparel industry is 21.43X, with historical highs and lows of 57.80X and 14.44X, respectively [14][15]. Light Industry Manufacturing Market Review - The light industry sector (SW) increased by 5.67%, ranking 21st among 31 primary industries. The report suggests that the export fundamentals remain relatively strong, with potential improvements in external environments such as U.S. real estate transactions [4][11]. Light Industry Manufacturing Data Tracking - The report indicates a 26.16% year-on-year decrease in commodity housing transaction area in 30 major cities from January 1 to February 1. Prices for various paper products have shown mixed trends, with prices for waste yellow board paper decreasing by 3.28% month-on-month [4][11].

Core Insights - The report maintains a "Buy" rating for the textile and apparel industry, indicating a positive outlook for investment opportunities in this sector [2][5]. Group 1: Industry Overview - The textile and apparel sector saw a 6.15% increase in the period from January 1 to January 30, 2026, ranking 19th among 31 primary industries [13]. - The light industry sector increased by 5.67% during the same period, ranking 21st among the same industries [13]. Group 2: Key Company Recommendations - For upstream textile manufacturing, the report recommends focusing on Jingyuan International due to its stable performance, low valuation, and high dividend yield, with significant growth potential [5]. - New Australia Co. is highlighted for its optimistic price outlook in the wool market, while Baolong Oriental is suggested if cotton prices rebound [5]. - In the downstream apparel and home textile sector, Li Ning is recommended to leverage the upcoming Winter Olympics for brand and performance enhancement [5]. - The report also suggests关注罗莱生活, 水星家纺, and 富安娜 as beneficiaries of the rising sleep economy [5]. - Jin Hong Group and Hailan Home are noted for their recovery in traditional business and high growth potential in new consumer segments [5]. Group 3: Market Performance and Data Tracking - The report provides data on various export figures, indicating a decline in China's zipper and seamless apparel exports by 4.4% and 12.4% respectively in December [5]. - Retail sales in the UK, France, the US, Japan, and Germany showed mixed results, with the UK experiencing a 5.1% increase in textile and apparel sales in December [5]. - The report tracks the performance of major companies, with notable increases in stock prices for companies like China Gold (+81.46%) and 哈森股份 (+41.22%) during the reporting period [20]. Group 4: Valuation and Financial Analysis - The textile and apparel industry's latest PE (TTM) stands at 21.43X, with historical highs and lows of 57.80X and 14.44X respectively [16]. - The report includes a detailed valuation table for key companies, indicating their EPS, PE ratios, and expected growth for 2025 and 2026 [6]. Group 5: Convertible Bond Market - The report includes key information on convertible bonds in the textile and apparel sector, highlighting various bonds' premium rates and performance [26][27]. - The performance of convertible bonds showed fluctuations, with some bonds experiencing significant changes in their trading volumes [28].

Investment Rating - The industry rating is "Recommended" [5] Core Insights - Anta announced on January 26, 2026, the acquisition of 29.06% of Puma SE for a total of €1.506 billion (approximately ¥12.278 billion), becoming its largest shareholder. This transaction is a key step in Anta's globalization strategy, aiming to integrate its operational capabilities with Puma's global platform, which has an annual revenue exceeding €8.8 billion (2024) [2][14] - Adidas achieved a record high revenue of €24.811 billion in 2025, with operating profit of €2.056 billion exceeding market expectations. The operating profit margin increased by 2.6 percentage points to 8.3%, and the gross profit margin rose to 51.6% [2][14] - VF Corporation reported a revenue of $2.82 billion in Q3 of FY2026, a 4% year-on-year increase (2% growth at constant currency), with a 6% growth in the Americas region after excluding the impact of the sold Dickies brand [3][14] Summary by Sections Investment Recommendations - Manufacturing: Strong expectations for upstream price increases, with wool prices rising since Q3 2025 and domestic cotton prices also starting to rise. Recommended stocks include Baolong Oriental, New Australia, and Fuchun Dyeing & Weaving, with beneficiaries being Taihua New Materials. For growth-oriented midstream, recommended stocks are Jiansheng Group and Kairun Co [3][15] - Brand: Recent signs of recovery in high-end consumption, with potential inflation in 2026 benefiting the consumer sector. Recommended brands with profit elasticity include Jinhong Group, Ge Li Si, Luolai Life, and Stable Medical [3][15] - Procter & Gamble's industrial chain: Recommended stocks include Jieya Co (benefiting from brand-owned capacity transfer), with beneficiaries being Yanjing Co [3][15] Market Review - The SW textile and apparel sector rose by 0.64%, outperforming the Shanghai Composite Index by 1.08%. The top five gainers in the sector included Harsen Co, Zhongwang Fabric, Hongda High-Tech, Mingxin Xuteng, and Aokang International [16] - The main inflow of funds was into Harsen Co, with a net inflow ratio of 10.10%, while the largest outflow was from Sanfu Outdoor, with a net outflow ratio of 4.59% [16][22] Industry Data Tracking - Wool prices increased by 2.49% this week, with a year-to-date increase of 41.94%. The Australian wool market index reached 1689 AUD cents/kg, equivalent to ¥82,085.40/ton [4][35] - The cotton price index in China rose by 3.84% year-to-date, with the 3128B index at ¥16,183/ton [30][32] - In 2025, textile and apparel exports decreased by 2.26% year-on-year, with total exports amounting to $267.79 billion [52]

Investment Rating - The industry rating is "Recommended" [5] Core Insights - Anta announced on January 26, 2026, the acquisition of 29.06% of Puma SE for a total of €1.506 billion (approximately ¥12.278 billion), becoming its largest shareholder. This transaction is a key step in Anta's globalization strategy, aiming to integrate its operational capabilities with Puma's global platform, which has an annual revenue exceeding €8.8 billion (2024). The deal requires multiple approvals by December 31, 2026, including antitrust and Anta's shareholder meeting [2][14] - Adidas achieved a record high revenue of €24.811 billion in 2025, with an operating profit of €2.056 billion, exceeding market expectations of €2.04 billion. The operating profit margin increased by 2.6 percentage points to 8.3%, and the gross profit margin rose to a high of 51.6% for the year [2][14] - VF Corporation reported a revenue of $2.82 billion in Q3 of fiscal 2026, excluding the impact of the sold Dickies brand, representing a year-on-year growth of 4% (2% growth at constant currency). In the Americas, revenue growth reached 6% after excluding Dickies [3][14] Summary by Sections Investment Recommendations - Manufacturing: Strong expectations for upstream price increases, with wool prices rising since Q3 2025 and domestic cotton prices also starting to increase. Recommended stocks include Baolong Oriental, New Australia, and Fuchun Dyeing & Weaving, with beneficiaries being Taihua New Materials. For growth-oriented midstream, recommended stocks are Jian Sheng Group and Kairun Co [3][15] - Brand: Recent signs of recovery in high-end consumption, with potential inflation in 2026 benefiting the consumer sector. Recommended brands with profit elasticity include Jinhong Group, Ge Li Si, Luolai Life, and Stable Medical [3][15] - Procter & Gamble's industrial chain: Recommended stocks include Jieya Co (benefiting from brand-owned capacity transfer), with beneficiaries being Yanjing Co [3][15] Market Review - The SW textile and apparel sector rose by 0.64%, outperforming the Shanghai Composite Index by 1.08% and the ChiNext Index by 0.73%. The top-performing sectors were footwear, home textiles, and textile machinery, while the worst performers were maternal and child products and high-end women's wear. The top five stocks by increase were Harsen Co, Zhongwang Fabric, Hongda High-Tech, Mingxin Xuteng, and Aokang International, while the top five by decrease were Shuhua Sports, Sanfu Outdoor, Langzi Co, Nanshan Zhishang, and Mengjie Co [16] Industry Data Tracking - Wool prices increased by 2.49% this week, with a year-to-date increase of 41.94%. As of January 22, 2026, the Australian wool market's eastern market composite index was 1689 AUD cents/kg, equivalent to ¥82,085.40/ton. This price increase began in July 2025 and has accelerated since then, with the index rising for 12 consecutive weeks [4][35] - The cotton price index in China rose by 3.84% year-to-date, with the 3128B index at ¥16,183/ton as of January 30, 2026 [30][32] - In 2025, textile and apparel exports totaled $267.79 billion, a year-on-year decrease of 2.26%. December exports were $25.992 billion, down 7.4% year-on-year but up 13.65% month-on-month [52]

Core Insights - The article highlights the top 20 stocks in the S&P China A-Share Dividend Opportunity Index (CSPSADRP) based on their daily and year-to-date performance as of January 30, 2026, showcasing significant price movements and dividend yields [1][5]. Group 1: Stock Performance - China Gold (600916.SH) leads with a daily increase of 8.74% and a year-to-date increase of 80.12%, with a dividend yield of 2.59% [1][5]. - Jian Sheng Group (603558.SH) follows with a daily rise of 4.01% and a year-to-date increase of 6.23%, offering a dividend yield of 4.91% [1][5]. - China National Foreign Trade Transportation Group (601598.SH) shows a daily increase of 3.10% but a year-to-date decline of 1.32%, with a dividend yield of 5.00% [1][5]. Group 2: Dividend Yields - The average dividend yield for the index is reported at 4.76%, with an expected price-to-earnings ratio of 11.07 times [2]. - Notable dividend yields include Semir Apparel (002563.SZ) at 9.12% and China Shenhua Energy (601088.SH) at 7.83% [1][5]. Group 3: Market Signals - The article mentions the formation of a MACD golden cross signal, indicating positive momentum for the stocks listed [4][8].

丨证券研究报告丨 行业研究丨专题报告丨纺织品、服装与奢侈品 [Table_Title] 毛价周期再起，纺企盈利弹性如何演绎？— —长江纺服周专题 26W04 报告要点 [Table_Summary] 近期，纺织服装行业部分原材料价格呈现分化走势，其中羽绒及羊毛价格明显回升，而外棉和 涤纶价格仍处低位震荡。我国作为全球主要羊毛消费国，对澳大利亚进口依赖较高，澳毛价格 波动对国内毛纺企业盈利及股价影响显著。通过复盘澳毛价格走势可以发现毛价上涨通常受需 求修复与供给收缩共同驱动，周期多为 4-6 年。在当前供给偏紧、需求边际改善的背景下，毛 价具备稳中向上的基础，并有望通过低价库存消化与顺价能力改善毛纺企业盈利能力，进一步 对相关公司的对股价形成积极催化。 分析师及联系人 [Table_Author] 于旭辉 魏杏梓 陈信志 SAC：S0490518020002 SAC：S0490524020003 SFC：BUU942 请阅读最后评级说明和重要声明 %% %% %% %% research.95579.com 1 纺织品、服装与奢侈品 cjzqdt11111 [Table_Title 毛价周期再起，纺企盈利弹性如 ...

Summary of Conference Call for Xin'ao Co., Ltd. Industry Overview - The textile and wool industry is experiencing a significant increase in orders, particularly in the chemical fiber fabric, fur market, and hair industry, with domestic prices rising in line with wool prices [2][3] - Wool prices are expected to maintain an upward trend, potentially reaching levels that are difficult to procure, with a projected increase of 30%-50% throughout 2026 [2][8] Key Points and Arguments - **Order Growth**: High order growth is anticipated for Q4 2025 and January 2026, driven by a recovery in the textile and apparel industry, with a notable 40% increase in wool prices [3][4] - **Production Capacity**: Current lead times are approximately 45 days, with new projects in Ningxia and Vietnam expected to increase production capacity by over 20%. The first and second phases of a 30,000 spindle workshop are under construction, with plans for additional capacity in 2027 [2][5] - **Revenue Growth**: An estimated revenue growth of around 20% is expected due to increased orders and price hikes, although profit growth may not fully align with revenue due to fixed pricing agreements with some foreign trade brands [6][7] - **Wool Price Dynamics**: Wool prices have risen approximately 40% from their lows, and while some cost advantages from previous lower-priced materials exist, new orders will reflect current higher prices. It is expected that over half of the price increase benefits can be converted into company profits [7][9] - **Market Restructuring**: The domestic wool spinning supply chain is the largest in China and the second largest globally. The industry is expected to undergo restructuring, with smaller, less efficient companies exiting the market, leading to increased market share for leading firms [4][19] Additional Important Insights - **Future Outlook**: The company expresses greater confidence for 2026 compared to the past three to four years, aiming for a growth target of around 20% [5][19] - **Impact of Exchange Rates**: Fluctuations in the RMB exchange rate may introduce uncertainties in profit margins, as orders are calculated based on current exchange rates [12] - **Dividends**: While specific dividend amounts are not yet determined, it is expected that the total will not be less than previous years and may increase [14] - **Acquisition Strategy**: The company is considering acquisitions of firms with advanced equipment and lower costs than expanding its own production capacity. The focus is on maintaining a high production capacity utilization rate [20] - **Wool Supply Response**: The supply response from Australian farms to rising wool prices will take at least two years, indicating a sustained upward trend in wool prices for 2026 and 2027 [22] This summary encapsulates the key insights and projections from the conference call, highlighting the positive outlook for Xin'ao Co., Ltd. and the broader wool industry.

Investment Rating - The report maintains a "Buy" rating for the company [6] Core Views - The company is positioned as a leader in the wool spinning industry, benefiting from both wool and cashmere businesses, which drive growth [14] - The company has implemented a sustainable broadband strategy and global expansion, supporting new growth opportunities [20] - The company is expected to benefit from rising wool prices starting September 2025, which will positively impact product pricing and profitability [5] Summary by Sections Company Overview - The company has over 30 years of experience in the wool spinning industry, focusing on wool yarn, cashmere yarn, and wool tops, with a strong market presence both domestically and internationally [14] - The company has a market share of 1st in domestic and 2nd in international for fine wool yarn, and 2nd in domestic and 3rd in international for coarse cashmere yarn [14] Industry Analysis - The global supply of wool is limited in the short to medium term, with Australia, the largest wool producer, expected to see an 8.4% decrease in production for the 2025-2026 fiscal year [5] - The application of wool is expanding beyond clothing to outdoor, home textiles, and craft sectors, supporting price stability [5] Competitive Position - The company has maintained a leading market share in both domestic and international markets, with competitors primarily being German firms in the wool yarn sector [5] - The cashmere yarn market is seeing a concentration of competition, with the company's market share expected to grow as it expands into high-end markets [5] Financial Performance - The company’s revenue and net profit are projected to grow steadily, with expected revenues of 50.0 billion, 55.3 billion, and 60.5 billion for 2025E, 2026E, and 2027E respectively, reflecting growth rates of 3.3%, 10.7%, and 9.3% [6] - The company’s net profit is expected to reach 4.52 billion, 5.43 billion, and 5.90 billion for the same years, with growth rates of 5.5%, 20.2%, and 8.6% [6] Future Outlook - The company is set to benefit from the expansion of wool yarn production and the enhancement of cashmere yarn quality, leading to potential revenue and profit growth [5] - The company is actively exploring high-value applications and enhancing its product offerings, which is expected to improve its competitive edge [5]