Jinwu Financial News | According to BOC Securities Research Report, Bosideng (03998) held a sunscreen show in Beijing on April 18, starting the rashguard 2.0 era. The bank believes that the company has built a good brand image in the down jacket industry. The aim is to become a leading brand in the sunscreen industry and further open up the young customer market. The sunscreen product line is expected to rely on the rapid development of product technology and customer base in the down jacket business, and become the company's new growth curve.
According to the bank, the company continues to optimize channel quality, focus effective resources on the market by building a benchmark store system, and continue to improve the efficiency of high-quality stores. At the end of FY2024H1, the number of Bosideng brand channels was 2,310, a year-on-year decrease of 243. Mainly, the company carried out store optimization adjustments. Since 23Q4 until recently, the country experienced many rounds of cold waves, which have further increased sales of outdoor and extreme cold products, and sales are expected to accelerate during the peak season. On the online side, the company continues to focus on the ability to operate online platforms to enhance the experience of old members and effectively develop customers. At the same time, investment in emerging channels will be strengthened to achieve brand building and revenue generation through live streaming, content operations, etc. Omni-channel construction helps the company maintain a trend of rapid growth.
The bank continued that the company insists on focusing on the main channel of down jackets. Currently, it has formed a product matrix of peak season down jackets, off-season sunscreen wear+lightweight series, and new products such as sunscreen are expected to continue to drive revenue growth. At the same time, the company continuously optimizes its channel structure and opens high-quality stores. It is expected that its brand strength will continue to improve. In terms of online sales, the company will further improve efficiency and stimulate channel potential. Under the combination of high-quality products and efficient operation, the bank is optimistic that the company will stabilize its leading advantage.
In summary, under the current share capital, considering the rapid growth in the company's omni-channel sales, the peak season is expected to catalyze, and new products such as sunscreen are released at the same time, which is expected to establish a second growth curve. The bank raised the company's FY2024-2026EPS to 0.26/0.30/0.35 yuan, and the price-earnings ratio was 15/13/12 times, respectively, maintaining the purchase rating.