Gelonghui, Feb. 17 | Daiwa published a research report saying that due to Xiabuxiabu (0520.HK)'s steady recovery trend in same-store sales (SSS) and an improvement in its asset portfolio, it is expected that the market will see an increase in its profit forecast. The bank reiterated its “buy” rating, and the target price was raised from HK$7.5 to HK$11. The bank said it expects the group's lower comparison base from the second to fourth quarter of this year to lay the foundation for an unexpected rise in profits, mainly due to the recovery of restaurant profitability after asset portfolio restructuring, cost control and efficiency optimization. Last year, due to the impact associated with the pandemic, the bank expected the group's net loss to expand last year, but raised the 2023-24 earnings per share by 19% to 62% to reflect more optimism about this year's sales recovery, profit margin assumptions, and tax credit earnings.