Core Viewpoint - The company has released a positive earnings forecast for the first half of 2025, indicating significant growth in both revenue and net profit, driven by brand expansion and operational efficiency [1] Group 1: Earnings Forecast - For H1 2025, the company expects revenue to be approximately 12 billion to 12.5 billion yuan, representing a year-on-year growth of about 241% to 255% [1] - The projected net profit for H1 2025 is around 2.23 billion to 2.28 billion yuan, with a year-on-year increase of approximately 279% to 288% [1] - Adjusted net profit is anticipated to be between 2.3 billion to 2.36 billion yuan, reflecting a year-on-year growth of about 282% to 292% [1] Group 2: Growth Drivers - Key factors driving the high growth in H1 2025 include the continuous expansion of brand influence, leading to significant revenue increases from both online and offline stores [1] - Ongoing product optimization and new iterations are supporting sustained revenue growth across channels [1] - The contribution of new channel development and store optimization to revenue is expected to be more pronounced in H2 2025 [1] Group 3: Profitability Metrics - The adjusted net profit margin for H1 2025 is projected to increase by 1.9 percentage points to 19.0%, primarily benefiting from same-store sales growth and scale effects [1] Group 4: Investment Outlook - Based on the trend of brand expansion and high-potential store development, the company forecasts revenues of 25.517 billion, 36.959 billion, and 47.041 billion yuan for 2025, 2026, and 2027, respectively, with corresponding growth rates of 200.0%, 44.8%, and 27.3% [2] - The expected net profits for the same years are 4.706 billion, 6.832 billion, and 9.113 billion yuan, with growth rates of 219.5%, 45.2%, and 33.4% [2] - Earnings per share (EPS) are projected to be 27.25, 39.57, and 52.78 yuan per share for 2025, 2026, and 2027, respectively, maintaining a "buy" rating [2]

Investment Rating - The investment rating for the company is "Buy" (maintained) [6] Core Views - The report highlights that the company's revenue growth is driven by brand expansion and operational leverage, leading to improved profitability [12][13] - The company is expected to benefit from an increase in store numbers, optimization of existing stores, and enhanced brand influence, which will contribute to a larger market share in the high-end gold jewelry sector in China [14] - The report anticipates significant revenue growth for the company, projecting revenues of approximately 255.17 billion, 369.59 billion, and 470.41 billion yuan for the years 2025, 2026, and 2027 respectively, with corresponding growth rates of 200.0%, 44.8%, and 27.3% [15] Summary by Sections Financial Performance - For the first half of 2025, the company forecasts revenue between 120 billion and 125 billion yuan, representing a year-on-year growth of approximately 241% to 255% [12] - The net profit is expected to be around 22.3 billion to 22.8 billion yuan, with a year-on-year increase of approximately 279% to 288% [12] - Adjusted net profit is projected to be between 23 billion and 23.6 billion yuan, reflecting a growth of approximately 282% to 292% [12] Market Positioning - The report emphasizes the importance of brand influence and product innovation in driving sales growth across both online and offline channels [13] - The average store efficiency for high-end brands in China, such as Cartier and LV, is cited, indicating a potential for the company's store efficiency to improve significantly in the future [14] Future Projections - The company is expected to maintain a strong growth trajectory, with projected revenues and net profits showing substantial increases over the next few years [15] - The report outlines expected earnings per share (EPS) of 27.25, 39.57, and 52.78 yuan for the years 2025, 2026, and 2027 respectively [15]