CICC: Lowering the target price of Mingchuang Premium (09896) to HK$32.4 to maintain “outperforming the industry” rating

The Zhitong Finance App learned that CICC released a research report stating that it will keep Mingchuang Premium (09896) /MNSO.US (MNSO.US) “outperform the industry” rating and lower the target price by 17% and 18% to HK$32.4 /$16.7, corresponding to 11 times the adjusted price-earnings ratio in 2026. According to CICC, Mingchuang Premium predicts a 1%-3% year-on-year decline in adjusted net profit excluding exchange gains and losses in the first half of the year, which is weaker than the forecast. The company expects revenue of 11.45 billion yuan to 11.55 billion yuan, a year-on-year increase of 22%-23%; profit for the period was 940 million yuan to 960 million yuan, an increase of 4%-6% year-on-year; corresponding revenue of 5.76 billion yuan to 5.86 billion yuan, a year-on-year increase of 16%-18%, and a year-on-year profit loss of 290 million to 310 million yuan. The adjusted net profit for the first half of the year, after deducting the impact of exchange, was 1.21 billion yuan to 1.23 billion yuan, a year-on-year decrease of 1%-3%.

The bank expects a year-on-year decline in the company's gross margin for the next quarter, mainly due to a decline in the share of overseas businesses with high gross margins and an increase in the share of domestic optimized pallets and innovative businesses. The sales expense ratio increased year-on-year, mainly due to increased direct management-related expenses and marketing investment. At the non-operating level, investing in artificial intelligence companies in the next quarter resulted in a loss of 600 million yuan, Yonghui consolidated a loss of 0.2 billion yuan, and a net exchange loss of 60 million yuan. Combined with losses due to changes in the fair value of equity-linked securities and preferred stock redemption liabilities, profits turned into losses for the next quarter. The bank temporarily maintains its 2026/2027 adjusted net profit forecast of RMB 3.1 billion/3.5 billion, pending further guidance from the company's interim results.