Jefferies issued a research report following MINTH GROUP's (00425) post-earnings non-deal roadshow, where management reiterated full-year guidance for double-digit growth in both revenue and net profit, with net profit growth expected to outpace revenue growth. The operating expense ratio is expected to remain stable or decline slightly.
The company has raised its new order target to RMB 15 billion, with capital expenditure guidance set at RMB 2 billion. Free cash flow is projected to continue improving.
Jefferies has upgraded MINTH's earnings forecasts for fiscal years 2025 and 2026 to RMB 2.7 billion and RMB 3.2 billion respectively. The target price has been raised from HK$21.5 to HK$32.1, while maintaining a "Hold" rating.