External broker reports(aggregated public sources), CMB International

CMB International

External broker reports(aggregated public sources)

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

Equity Bottom-Up

Bosideng International Holdings / Equity Bottom-Up

<ul><li>1H24 was a beat and was rather surprising given the vulnerable macro environment.</li><li>Even though we are still cautious on the industry-wide de-stocking (mostly by sportswear brands) and the weather condition, we still think Bosideng could achieve its FY24E target and continue to outperform its peers, supported by: 1) highly successful new products and category expansion, 2) continual improvement in store productivity and efficiency, and 3) the long CNY ahead.</li><li>Current valuation of 12x FY3/24E and 6% yield are defensive already.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

1H24 was a beat and was rather surprising given the vulnerable macro environment.Even though we are still cautious on the industry-wide de-stocking (mostly by sportswear brands) and the weather condition, we still think Bosideng could achieve its FY24E target and continue to outperform its peers, supported by: 1) highly successful new products and category expansion, 2) continual improvement in store productivity and efficiency, and 3) the long CNY ahead.Current valuation of 12x FY3/24E and 6% yield are defensive already.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Bosideng (3998 HK) – 1H24 results beat and a resilient strategy

<ul><li>FY3/23 was a miss as the core income only increased by 7% YoY.</li><li>However, given: 1) the low base, 2) more innovative product launches and 3) continual improvement in store productivity, we believe 15%/ 19% sales/ net profit are still achievable in FY25E.</li><li>We are still cautious on the level of competition and weather condition but current valuation of 12x FY2/24E and 6.2% yield are protective.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

FY3/23 was a miss as the core income only increased by 7% YoY.However, given: 1) the low base, 2) more innovative product launches and 3) continual improvement in store productivity, we believe 15%/ 19% sales/ net profit are still achievable in FY25E.We are still cautious on the level of competition and weather condition but current valuation of 12x FY2/24E and 6.2% yield are protective.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Bosideng (3998 HK) – FY23 results missed and a moderate outlook

<ul><li>1H9/23 was inline in general, except for the womenswear (drags on GP margin and impairment losses induced).</li><li>Despite the drags, the operating income was still growing at 31% YoY.</li><li>However, for the upcoming 2H23E, we urge investors to stay cautious to: 1) Covid-19 outbreaks, 2) macro-economic status and 3) the unfavorable weather in China. </li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

1H9/23 was inline in general, except for the womenswear (drags on GP margin and impairment losses induced).Despite the drags, the operating income was still growing at 31% YoY.However, for the upcoming 2H23E, we urge investors to stay cautious to: 1) Covid-19 outbreaks, 2) macro-economic status and 3) the unfavorable weather in China. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

Bosideng (3998 HK) – An inline 1H9/23 result but the macro is at risk

Thematic (Sector/Industry)

<ul><li>In our last report dated 17 October, we highlighted a list of 21 long ideas.</li><li>The basket (equal weighted) of these 21 stocks underperformed MSCI China index by 5.4ppt, delivering 0.2% return (vs MSCI China 5.6%).</li><li>China Meidong Auto and Innovent Biologics delivered over 20% of return, and 4 of our 21 long ideas outperformed the benchmark.</li></ul>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

In our last report dated 17 October, we highlighted a list of 21 long ideas.The basket (equal weighted) of these 21 stocks underperformed MSCI China index by 5.4ppt, delivering 0.2% return (vs MSCI China 5.6%).China Meidong Auto and Innovent Biologics delivered over 20% of return, and 4 of our 21 long ideas outperformed the benchmark.Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

CMBI Research Focus List (November Edition) – Our best high conviction stock ideas

Hong Kong

Bosideng International Holdings Limited develops down apparel products in the Peoples Republic of China. The Company's products include down jackets, vests, and pants which it offers through retail outlets located in multiple cities.

Bosideng International Holdings (3998 HK)

Bosideng International Holdings (3998 HK)

Bosideng (3998 HK) – 1H24 results beat and a resilient strategy

Even though we are still cautious on the industry-wide de-stocking (mostly by sportswear brands) and the weather condition, we still think Bosideng...

CMB International

Bosideng (3998 HK) – FY23 results missed and a moderate outlook

We are still cautious on the level of competition and weather condition but current valuation of 12x FY2/24E and 6.2% yield are protective.

CMB International

Bosideng (3998 HK) – An inline 1H9/23 result but the macro is at risk

1H9/23 was inline in general, except for the womenswear (drags on GP margin and impairment losses induced). Despite the drags, the operating income...

CMB International

CMBI Research Focus List (November Edition) – Our best high conviction stock ideas

In our last report dated 17 October, we highlighted a list of 21 long ideas.The basket (equal weighted) of these 21 stocks underperformed MSCI...

CMB International