Zhitong Financial APP learned that Daiwa issued a research report that reaffirmed the 99% (09922) "buy" rating, lowered the 2022 earnings per share forecast by 15%, and lowered the target price from HK $22 to HK $21. Same-store sales of 99% and 99% in April increased by 26% and 48%, while same-store sales fell 22% and 43% during the May Golden week holiday, which does not rule out the impact of temporary closure of points of sale.

Taier faces a high base of comparison, with 60-90 points of sale affected so far in April and May, according to the report. Management said the business returned to January-February levels after a few days of reopening, while same-store sales returned to about 80 per cent of 2021 in April. Although consumer confidence has undoubtedly been affected by the epidemic, Taier ranks in the top three of more than 90% of shopping malls. In the first four months of this year, the company opened 12 Taier stores, and the management is still optimistic about its goal of opening 150 stores for the whole year.

The bank believes that positive measures taken by management at the beginning of the year have enabled it to lock in core commodity costs, which are lower than in 2021, and expects input cost inflation to be manageable in 2022. Management has been cautious in terms of expenditure and is discussing rent concessions and extending the rent-free period with retail landlords.