Core Viewpoint - The company achieved record half-year performance with revenue exceeding 10 billion yuan, driven by strong demand in local delivery services, particularly in food delivery and instant retail [1][3]. Group 1: Financial Performance - The company's revenue for the first half of the year grew by 48.8% year-on-year to 10.2 billion yuan (approximately 1.44 billion USD), marking the highest performance since its listing in 2021 [1]. - Net profit increased over 100% from 62.2 million yuan to 137 million yuan, with net profit margin rising from 0.9% to 1.3%, indicating improved cost efficiency and profitability [1]. Group 2: Business Operations - The company's same-city delivery business revenue rose by 43.1% year-on-year to 5.78 billion yuan, with B2B and B2C delivery revenues increasing by 55.4% and 12.7% respectively [3]. - The end delivery service revenue, which accounts for approximately 44% of total revenue, grew by 56.9% to 4.46 billion yuan, driven by rapid growth in e-commerce order deliveries and customer expansion [3]. Group 3: Strategic Initiatives - The company is collaborating with its parent company to create an integrated supply chain solution from warehousing and transportation to same-city instant delivery, aiming to broaden its customer base and enhance user loyalty [4]. - By adopting a light-asset model, the company has built a scalable rider network, achieving flexible and efficient operations, with 1.14 million active riders and over 300 unmanned vehicles deployed in more than 60 cities as of June [4].

Core Viewpoint - SF Express City (09699) shows strong growth in revenue and profit, indicating a robust performance in the third-party delivery sector, with significant increases in order volume during peak periods [1] Financial Performance - In the first half of the year, SF Express City achieved revenue of approximately 10.236 billion yuan, representing a year-on-year growth of 48.8% [1] - Gross profit was around 681 million yuan, with a year-on-year increase of 43.8% [1] - Adjusted net profit reached approximately 160 million yuan, marking a year-on-year growth of 139.0% [1] Business Growth - The number of same-city delivery orders increased by over 50% year-on-year [1] - On the Qixi Festival (August 29), the platform's same-city delivery order volume grew by 73% compared to the same period last year, while last-mile delivery orders surged by 80% year-on-year [1] Market Outlook - Minsheng Securities highlights the company as a leader in the third-party delivery sector, which possesses strong growth potential, and expresses optimism about the company's long-term development [1] - Dongwu Securities notes that the company's business is entering a phase of accelerated growth, with considerable long-term profit release potential [1]

Core Insights - On August 29, during the Qixi Festival, the platform of SF Express City achieved a 73% year-on-year increase in same-city delivery orders and an 80% increase in last-mile delivery orders [1] - The demand for high-quality and personalized delivery services surged during the festival, leading to a more than sixfold increase in exclusive delivery service orders [1] - SF Express City, as the largest independent third-party on-demand delivery platform in China, effectively supported the efficient operation of the holiday economy through customized delivery solutions and refined service standards [1] Delivery Performance - The platform's same-city delivery orders increased by 73% compared to the same period last year [1] - Last-mile delivery orders saw an 80% year-on-year growth [1] - Exclusive delivery service orders experienced a growth of over six times during the festival [1] Service Categories - Significant growth was observed in delivery orders for various categories, including cakes, flowers, electronics, and clothing, with some categories seeing multiple times increase year-on-year [1] - The one-to-one urgent delivery service penetrated diverse category scenarios, enhancing the festive gifting experience [1] Market Position - SF Express City is recognized as the largest independent third-party on-demand delivery platform in China [1] - The company leverages a comprehensive and customized delivery network to support merchants in achieving rapid fulfillment during peak periods [1]

Core Insights - During the Qixi Festival, the demand for high-quality and personalized delivery services surged, leading to a more than sixfold year-on-year increase in the volume of exclusive delivery services by SF Express [1] - The delivery volume for various categories such as cakes, flowers, electronics, and clothing saw multiple times growth compared to the previous year [1] - On the day of the Qixi Festival, the platform's same-city delivery volume increased by 73% year-on-year, while last-mile delivery volume rose by 80% [1] Company Performance - SF Express, as the largest independent third-party on-demand delivery platform in China, effectively supported the efficient operation of the holiday economy through its comprehensive and customized delivery solutions [1] - The company provided robust support for merchants to achieve rapid fulfillment during peak periods, enhancing the consumer experience with high-quality delivery services [1] - SF Express's all-scenario coverage and meticulous service standards contributed significantly to the vitality of holiday consumption [1]

Core Viewpoint - The report from Credit Lyonnais indicates that SF Express's performance in the first half of the year was strong, with revenue and net profit increasing by 49% and 120% respectively, driven by key customer growth and strong order volume from competitive pricing in the food delivery sector [1] Financial Performance - Revenue increased by 49% year-on-year [1] - Net profit surged by 120% year-on-year [1] - Net profit margin improved from 0.9% in the same period last year to 1.3% [1] Growth Drivers - Growth attributed to an increase in key customers [1] - Strong order volume growth driven by competitive pricing in the food delivery market [1] - Enhanced collaboration with SF Holdings in last-mile delivery services [1] Future Outlook - Credit Lyonnais raised the net profit forecast for SF Express for 2025 to 2027 by 4% to 34% [1] - The company is expected to capture ongoing market demand due to its robust logistics capabilities [1] - Target price increased from HKD 10.8 to HKD 16.2, maintaining an "outperform" rating [1]

Core Viewpoint - The report from Credit Lyonnais indicates that SF Express's performance in the first half of the year was strong, with revenue and net profit increasing by 49% and 120% respectively, driven by key customer growth and enhanced cooperation with SF Holdings in last-mile delivery [1] Financial Performance - Revenue increased by 49% year-on-year [1] - Net profit surged by 120% year-on-year [1] - Net profit margin improved from 0.9% in the same period last year to 1.3% [1] Future Outlook - Credit Lyonnais raised the net profit forecast for SF Express for 2025 to 2027 by 4% to reflect expectations of faster revenue growth in urban and last-mile delivery services [1] - The company is expected to capture ongoing market demand due to its robust logistics capabilities [1] Target Price Adjustment - The target price for SF Express was increased from HKD 10.8 to HKD 16.2 [1] - The rating was maintained at "Outperform" [1]

Core Viewpoint - The company reported strong performance in 1H25, exceeding expectations due to unexpected growth in instant retail demand [1] Financial Performance - Revenue increased by 49% year-on-year to 10.236 billion yuan - Gross profit rose by 44% year-on-year to 681 million yuan, with a gross margin decrease of 0.2 percentage points to 6.7% - Net profit surged by 120% year-on-year to 137 million yuan, with a net margin increase of 0.4 percentage points to 1.3% - Adjusted net profit grew by 139% year-on-year to 160 million yuan, surpassing expectations [1] Operational Data - Active merchant count increased by 55% year-on-year to 850,000 - Active consumer count rose by 13% year-on-year to over 24.77 million - Active rider count grew by 18% year-on-year to 1.14 million [1] Development Trends - In the same-city delivery sector, the growth in the takeaway industry and diverse business demands are driving the need for instant delivery, leading to sustained growth in To B revenue, which increased by 55% year-on-year to 4.467 billion yuan [2] - The company expects To C business revenue growth to remain in double digits, supported by stable macro demand and synergy with express delivery services [2] - Last-mile delivery revenue increased by 57% year-on-year, benefiting from the growth in last-mile demand and improved penetration of the network [2] Profitability Forecast and Valuation - The company anticipates a net profit margin increase of 0.4 percentage points to 1.2% by 2025, driven by order scale growth and an asset-light operating model [3] - Net profit estimates for 2025 and 2026 have been raised by 18.5% and 42.6% to 296 million yuan and 579 million yuan, respectively [3] - The target price has been increased by 38% to 18.70 HKD, reflecting a potential upside of 30% from the current price [3]

Core Insights - The company reported a revenue increase of 48.8% year-on-year, reaching approximately 10.236 billion yuan [1] - Adjusted net profit for the period was about 160 million yuan, reflecting a 139% year-on-year growth [1] - Gross profit increased by 43.8% year-on-year, amounting to approximately 681 million yuan [1] Business Performance - The company's same-city delivery service for merchants generated revenue of approximately 4.467 billion yuan, a year-on-year increase of 55.4% [1] - The number of active merchants on the platform grew by 55% year-on-year, reaching 850,000 [1] - Revenue from same-city delivery services aimed at consumers was approximately 1.312 billion yuan, showing a year-on-year growth of 12.7% [1] Industry Trends - Rapid growth in the food delivery and instant retail sectors has driven an increase in demand for instant delivery services [1] - The order volume for same-city delivery services increased by over 50% year-on-year during the reporting period [1]

Core Viewpoint - The report from Credit Lyonnais indicates that SF Express (09699) has shown strong performance in the first half of the year, with revenue and net profit increasing by 49% and 120% respectively, driven by key customer growth and enhanced cooperation with SF Holdings (06936) in last-mile delivery [1] Financial Performance - Revenue increased by 49% and net profit surged by 120% in the first half of the year [1] - Net profit margin improved from 0.9% in the same period last year to 1.3% [1] Market Outlook - Credit Lyonnais has raised the net profit forecast for SF Express for 2025 to 2027 by 4% to reflect expectations of faster revenue growth in urban delivery and last-mile services [1] - The company is expected to capture ongoing market demand due to its robust logistics capabilities [1] Target Price Adjustment - The target price for SF Express has been increased from HKD 10.8 to HKD 16.2 [1] - The rating remains "Outperform" [1]

Core Viewpoint - The report from Credit Lyonnais indicates that SF Express (09699) has shown strong performance in the first half of the year, with revenue and net profit increasing by 49% and 120% respectively, driven by key customer growth and enhanced cooperation with SF Holding (002352) in last-mile delivery [1] Financial Performance - Revenue increased by 49% year-on-year [1] - Net profit surged by 120% year-on-year [1] - Net profit margin improved from 0.9% in the same period last year to 1.3% [1] Growth Drivers - Growth attributed to an increase in key customers and strong order volume driven by competitive pricing in the food delivery sector [1] - Enhanced collaboration with SF Holding in last-mile delivery services [1] Future Outlook - Credit Lyonnais raised the net profit forecast for SF Express for 2025 to 2027 by 4% to 34% [1] - Anticipation of faster revenue growth in same-city delivery and last-mile services [1] - Target price increased from HKD 10.8 to HKD 16.2, maintaining an "outperform" rating [1]