Investment Rating - The report maintains a "Buy" rating for China Resources Mixc Lifestyle Services Limited (01209) [1] Core Views - The company reported a 10% year-on-year increase in net profit attributable to shareholders for 2025, with a core profit growth of 14%, aligning with expectations. The dividend payout ratio is 100% [4] - The company achieved a revenue of 18 billion RMB in 2025, reflecting a 5.1% year-on-year growth. The residential and city service management revenue accounted for 60% of total revenue, growing by 1.1% year-on-year, while commercial operations and management revenue made up 38%, increasing by 10.1% year-on-year [4] - The report highlights the company's strong performance in commercial management, with a gross profit increase of 15% year-on-year and a significant rise in mall sales and same-store sales [6] Financial Data and Profit Forecast - Revenue projections for the upcoming years are as follows: - 2024: 17,154 million RMB - 2025: 18,022 million RMB - 2026E: 19,892 million RMB - 2027E: 21,683 million RMB - 2028E: 23,618 million RMB - Net profit attributable to ordinary shareholders is forecasted to grow from 3,598 million RMB in 2024 to 5,273 million RMB in 2028, with corresponding growth rates of 22.85% and 9.32% respectively [5][7] - The report indicates a projected earnings per share (EPS) growth from 1.58 RMB in 2024 to 2.31 RMB in 2028, with a return on equity (ROE) expected to rise from 21.81% to 31.45% over the same period [5][7] Investment Analysis Opinion - The report emphasizes the company's strong brand support and growth potential in the shopping center management sector, predicting accelerated expansion and long-term same-store growth. The company is expected to benefit from a robust management model that enhances gross margins [6] - The report also notes a downward adjustment in net profit forecasts for 2026 and 2027, now estimated at 44.0 billion RMB and 48.2 billion RMB respectively, while introducing a forecast for 2028 at 52.7 billion RMB. The current price corresponds to a PE ratio of 20X for 2026 and 19X for 2027, with an attractive dividend yield of 4.4% [6]