Tianfeng Securities released a research report stating that maintaining the “buy” rating of Teb International (01368), the estimated revenue for 24-26 will be 160/179/19.8 billion, respectively, and net profit of 11.7/13.4/1.51 billion. The company successfully occupied the minds of users through specialized brand upgrades; at the same time, as the product matrix matured one after another, the operating performance of the new brand continued to be optimized to jointly drive the group's growth.
According to the report, the company's revenue of 14.3 billion yuan increased 11%, and net profit of 1 billion yuan increased 12%; by the end of 23, the company's inventory was 1.79 billion yuan, a decrease of 21.6%; and the average inventory turnover days in 23 remained the same for 90 days. Furthermore, as of December 31, '23, the Group had a total of 6,571 Xtrex adult stores (258 more) and TEP Kids in mainland China (same increase of 183); Jiudai stores have greatly enhanced their brand image and increased customer traffic and connection rates. In terms of professional sports, Saucone continues to expand its first-tier retail business, while opening stores in second-tier high-end shopping malls. By the end of the year, Saucone and Miley had 110 stores and 4 stores in mainland China, respectively. Fashion sports brands continued to accelerate their expansion in mainland China's higher-tier cities. By the end of the year, Gashway and Palatin had 101 and 94 stores in the Asia-Pacific region, respectively.