Zhitong Finance and Economics APP has learned that Zhongjin has released a report predicting a 15%-20% YoY increase in revenue and a 20%+ YoY increase in core net income for China Res Mixc (01209) in the first half of the year, in line with the bank and market expectations. The bank maintains its earnings forecast, 'outperform' rating and target price of HK$35.00.

Zhongjin predicts steady growth in the shopping center sector, mainly due to new project contributions and relative store resilience. The bank predicts that the company's in-mall retail sales will increase by 15%-20% YoY in the first half of the year, benefiting from a double-digit growth contribution from newly opened projects in the past year, while same-store retail sales growth has slightly slowed down to between 5% and 10% compared with the past. The bank predicts that the same-store retail sales growth in the second quarter will slow down slightly compared with the first quarter, as the high base after two to three years of strong growth in luxury shopping centers, the overall performance of domestic consumption and the outward flow of some consumption will drag down same-store growth. However, considering the limited contribution of luxury to retail sales, overall same-store growth still shows some resilience.