The company released a three-quarter report

The company's 24Q3 revenue of 1.2 billion increased 64%, profit to mother of 0.072 billion increased 58%, and net profit after deducting 0.07 billion yuan increased 27%;

24Q1-3's revenue of 3 billion increased 32%, net profit due to mother increased 165% of 0.32 billion, and net profit after deducting 0.22 billion to mother increased 63%.

24Q1-3's gross profit margin of 23.2% increased by 0.4 pct; net profit margin to mother of 10.6% increased by 5.3 pcts.

Continuously improve product development and manufacturing capabilities, increase investment in automation and digitalization, and create a high standard order delivery level

This year, many customers such as Nike, Decathlon, and Uniqlo visited the company's production site, gave high praise from the supply chain side, and passed the FEM2023 factory environmental module verification, NIKE environmental management system, and multiple customer social responsibility factory audits, continuously imposing communication with customers and deepening the foundation for cooperation. The company pays attention to the management efficiency of overseas production bases and actively pursues the talent localization strategy of multinational enterprises. For the first time, the company held an annual strategic planning meeting in Indonesia. Local Indonesian cadres and employees participated deeply, and the sense of belonging and attainment was greatly enhanced.

Relying on the advantages of Indonesia's production capacity layout to continue to deepen partnerships with apparel customers such as Adidas, Puma, and MUJI, clothing revenue continues to rise.

The company's production capacity layout fully takes into account factors such as the market, trade policy, and customer needs. The different production bases mainly target different regional markets around the world, improving the company's ability to respond quickly. At the same time, the company flexibly allocates production capacity according to market conditions, customer needs, etc., which can effectively reduce overseas trade risks, reduce overseas logistics, transportation, tariffs, labor costs, etc., and has a significant differentiated competitive advantage.

The company was the first in the industry to introduce the SAP system and was the first to adopt a lean management model. By introducing the SAP system, the company fully digitized the company's business, realized the transformation and upgrading of factory management to informatization, digitization and intelligent management, improving business efficiency and reducing management costs.

Maintain profit forecasts and maintain “buy” ratings

The company's main business is R&D, design, production and sales of products such as casual bags, suitcases, business bags, clothing and related accessories. According to the business model, it is mainly divided into OEM manufacturing business and brand management business. We expect EPS to be 1.6, 1.6, and 2 yuan respectively in 24-26; PE is 14X, 14X, and 11X, respectively.

Risk warning: Increased competition risk in the industry; orders falling short of expectations; risk of losing key personnel;