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].

Group 1 - The 10th Yiwu International Logistics Exhibition will be held from December 6 to 8, 2025, at the Yiwu International Expo Center, featuring 2,200 international standard booths and expecting 60,000 visitors [1][5] - The Yiwu International Logistics Exhibition, established in 2016, has become a significant platform for logistics companies both domestically and internationally, recognized as one of China's top ten most promising exhibitions and an excellent brand exhibition in Zhejiang Province [3] - The previous exhibition attracted over 300 companies from 15 provinces, generating a transaction volume of 392 million yuan over three days, with 56,825 professional buyers attending [4] Group 2 - The 2025 exhibition will focus on themes such as modern logistics development and shared logistics economy, featuring various service and product exhibition areas including express logistics, cross-border e-commerce logistics, international freight forwarding, and logistics technology [5] - The event will also host multiple conferences and activities, aiming to create an ecosystem for logistics and supply chain services, and will include an external trade factory exhibition to attract more foreign trade and e-commerce companies [5]