Investment Rating - The report assigns a "Buy" rating for the company, indicating a potential upside of 15% to 35% [4][10]. Core Insights - The company achieved a revenue of 25.113 billion RMB in May 2025, reflecting a year-over-year increase of 11.34%. The express logistics segment contributed 19.381 billion RMB, with a year-over-year growth of 13.36% [5]. - The company has seen a significant increase in business volume, with May 2025 showing a volume of 1.477 billion parcels, a year-over-year increase of 31.76% [5]. - The competitive landscape is favorable for the company, as it focuses on high-end express services and has a strong partnership with major e-commerce platforms, enhancing its market position [5][6]. Summary by Sections Company Overview - The company operates in the transportation industry, with a current H-share price of 45.20 HKD and a target price of 55 HKD [1]. - The company has a market capitalization of approximately 164.592 billion RMB [1]. Financial Performance - The company’s net profit is projected to reach 12.133 billion RMB in 2025, with a year-over-year growth of 19% [9]. - Earnings per share (EPS) is expected to be 2.43 RMB in 2025, reflecting a year-over-year increase of 15.29% [9]. Business Segments - The revenue breakdown shows that express and large parcel services account for 70.4% of total revenue, while supply chain and international services contribute 26% [1]. - The company is strategically investing in infrastructure, such as the Ezhou Airport, to enhance its logistics capabilities and attract global partnerships [5][6].

Investment Rating - The investment rating for the company is "Buy" [6][7]. Core Views - The company is a leading global express delivery enterprise, with a double-digit growth in parcel volume since 2025, driving rapid profit growth. The expansion of the product matrix enhances competitiveness, ensuring future development and a focus on shareholder returns [7]. - In Q1 2025, the company achieved a net profit growth of nearly 20% year-on-year, with a total of 4.876 billion parcels delivered, representing a year-on-year increase of 22.36%, outperforming the industry average [7]. - The company is expanding its presence in various supply chain segments, transitioning from sales logistics to integrated logistics solutions, which is expected to translate into increased parcel volume and revenue [7]. Summary by Sections Company Information - The target price for H shares is HKD 48, with the current price at HKD 40.20. The market capitalization is approximately RMB 164.59 billion [1]. - The company has a price-to-book ratio of 2.13 and a net asset value per share of RMB 18.87 [1]. Recent Ratings - The company has consistently received "Buy" ratings in recent evaluations, with the latest rating issued on March 31, 2025 [2]. Product Mix - The product mix consists of 70.4% express and large parcel services, 3.2% local delivery, and 26.0% supply chain and international services [3]. Financial Performance - For 2025, the company is projected to achieve a net profit of RMB 11.93 billion, with a year-on-year growth of 17%. The earnings per share (EPS) is expected to be RMB 2.39 [9]. - The company’s revenue is forecasted to reach RMB 306.1 billion in 2025, with a year-on-year increase of 7.6% [11]. Shareholder Returns - The company has initiated a share buyback program with a total amount of RMB 500 million to RMB 1 billion, indicating a commitment to shareholder returns [7].