Investment Rating - The report maintains a "Buy" rating for Shanghai Jahwa (600315) [3][6] Core Insights - In Q2 2025, the company experienced a significant acceleration in revenue growth, with a year-on-year increase of 25.4%, leading to a net profit of 48.62 million yuan, marking a turnaround from losses [1][2] - The company achieved a total revenue of 3.478 billion yuan in H1 2025, representing a 4.75% year-on-year growth, while the net profit attributable to shareholders was 266 million yuan, up 11.66% year-on-year [1] - The gross profit margin improved to 63.37%, an increase of 2.24 percentage points year-on-year, and the net profit margin rose to 7.64%, up 0.47 percentage points year-on-year [1] Revenue Breakdown - Personal care and beauty segments showed strong performance, with Q2 revenue for personal care reaching 798 million yuan (up 42% year-on-year) and beauty products at 418 million yuan (up 56% year-on-year) [2] - The company’s online sales channels, particularly through Douyin, saw a year-on-year growth of 34.64% [2] - The cosmetics business generated 747 million yuan in revenue for H1 2025, a 32.05% increase year-on-year, with a gross margin of 73.85% [2] Financial Forecast - The report adjusts profit forecasts, estimating net profits for 2025, 2026, and 2027 to be 344.88 million yuan, 485.70 million yuan, and 579.40 million yuan respectively, with corresponding EPS of 0.51, 0.72, and 0.86 yuan per share [3][5] - The projected P/E ratios for the same years are 50, 36, and 30 times [3]