The Zhitong Finance App learned that Yamato released a research report stating that it reaffirmed Nongfu Spring (09633)'s “outperforming the market” rating, believing that it achieved high-quality growth at a reasonable price. The profit forecast for this year and next two years was raised by 5% to 7%, and the target price was raised from HK$46 to HK$48.

According to the report, the company's revenue in the second half of last year increased 33% to 22 billion yuan, and profit rose 62% to 6.3 billion yuan, all exceeding market expectations, mainly driven by a 1.05 times year-on-year increase in tea and beverage revenue. The management's guidance for the company this year is that it is expected that with no major fluctuations in raw material prices, the company's revenue in every product field will grow by double digits, and gross margin will be stable.