Yamato: Samsonite (01910) raised its target price to HK$18.7 to win sales in the third quarter, reaffirming its “buy” rating

The Zhitong Finance App learned that Yamato released a research report saying that Samsonite (01910)'s third-quarter results beat this forecast, confirming the bank's quarterly improvement in revenue and profit. Total sales for the third quarter regained positive growth at a fixed exchange rate, increasing 0.6% year over year. The turning point appeared earlier than the bank's anticipated fourth quarter. The bank raised the target price from HK$18.2 to HK$18.7, reaffirming the “buy” rating.

According to the report, excluding tariff refunds, the company's gross margin expanded 0.2 percentage points year on year, and the adjusted EBITDA profit margin increased slightly by 0.2 percentage points quarterly to 14.3%. The bank expects Samsonite's fourth quarter sales to increase 8% year-on-year at a fixed exchange rate, and 1% year-on-year if BEIS consolidated accounts of about $60 million are excluded. Gross margin is expected to expand year-on-year and quarterly during the period, and the adjusted EBITDA margin rose to 14.5% quarterly. As for 2027, sales are expected to accelerate to 11% year-on-year growth.