Vitasoy International 0345

[winston]

vested

Philip Ng's Family Office Adds Shrs in VITASOY INT'L, Lifting Stake to 7.21%

Kuang Ming Investments Pte Ltd, a subsidiary of the family office headed by Philip Ng, younger brother of SINO LAND (00083.HK) Chairman Robert Ng, increased its stake in VITASOY INT'L (00345.HK) by 2.296 million shares on November 25 at an ASP of $10.1911 per share, lifting its stake to 7.21%, according to information from the Stock Exchange of Hong Kong.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

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<Research>Macquarie Hikes VITASOY INT'L (00345.HK) TP to $10.7; Earning Visibility Rising

2024/11/27

VITASOY INT'L (00345.HK) 's 1HFY25 operating profit gained 50% YoY, mainly due to tight ad and promotional controls and operating leverage, which offset operating losses in its Australian and New Zealand operations, Macquarie said in a research note.

During the period, VITASOY INT'L’s Mainland/ HK OPMs improved to 11.1% and 13.8% respectively, with the group's management targeting a return to peak levels of 16% and 19% respectively.

Macquarie raised VITASOY INT'L’s target price by 55% to $10.7, based on 20x FY2026E PER, giving it an Outperform rating.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/analy ... stock-news

[winston]

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Vitasoy International (00345.HK) Revenue Growth and Margin Expansion Enhance Profitability
Target Price: HKD11.66

Investment Summary

Vitasoy International (00345.HK) reported revenue of HKD 3.443 billion for 1H2025FY, representing a year-on-year (YoY) growth of 2%.

While overall topline growth remained modest, gross margin expanded significantly to 51.6% (1H2024FY: 50.5%), reflecting the positive impact of lower raw material costs and production process optimization.

Operating profit surged by 50% to HKD 257 million, primarily driven by strong performances in Mainland China and Hong Kong.

In Mainland China, the company leveraged an optimized online and offline sales mix and improved production efficiency, leading to a 15% increase in operating profit, with an operating margin of 11%.

The Hong Kong segment also delivered robust results, with operating profit rising by 44%, supported by revenue growth and lower raw material costs.

Meanwhile, the Australia and New Zealand markets resumed revenue
growth as production issues were resolved, while the Singapore market saw increased revenue from its tofu business, leading to a significant narrowing of operating losses.

Earnings per share (EPS) stood at HKD 0.159, reflecting a YoY increase of 4.6%.

The company declared an interim dividend of HKD 0.04 per share, marking an impressive 186% YoY increase. This underscores management’s confidence in the company’s stable cash flow outlook and its commitment to maintaining a consistent shareholder return policy.

Revenue Growth and Margin Expansion Enhance Profitability

For the six months ended September 30, 2024, Vitasoy recorded revenue of HKD 3.443 billion, up 2% YoY.

The Mainland China segment remained broadly flat at HKD 1.958 billion,
reflecting intensified market competition. Notably, the decline in online sales exerted pressure on overall growth, attributed to increased competition on e-commerce platforms and evolving consumer purchasing behavior.

However, through product portfolio optimization and enhanced production efficiency, the Mainland China segment achieved an operating profit of HKD 218 million, up 15% YoY, with an operating margin improvement to 11%.

The Hong Kong market remained resilient, with revenue increasing by 3% YoY to HKD 1.156 billion, driven by strong brand equity, broad market influence, and product innovation.

Demand for new offerings, such as Vitasoy Banana Soy Milk, Vitasoy Strawberry Soy Milk, Vita 0 Sugar Lemon Tea, and Vita 0 Sugar Sparkling Lemon Tea, was robust, boosting sales volume.

Operating profit in Hong Kong surged by 44% YoY to HKD 159 million, with an
operating margin improvement to 14%. This strong performance was underpinned by core product sales growth and the tailwind from lower raw material costs.

Additionally, increased demand from export markets provided incremental revenue support.

The Australia and New Zealand segment resumed revenue growth, rising 7% YoY to HKD 273 million. However, the business still recorded an operating loss of HKD 45.51 million, with the loss widening compared to the prior period.

This was primarily due to operational disruptions in the first half, though management has successfully resolved the issues and restored production capacity. A return to profitability is anticipated in the second half.

The Singapore segment recorded revenue growth of 6% YoY to HKD 55.85 million, primarily driven by strong tofu export demand. Despite ongoing challenges in the beverage business, operating losses narrowed significantly to HKD 2.10 million, reflecting increased tofu revenue and improved cost control measures.

Nevertheless, further strengthening of distribution channels will be required to restore overall profitability in this segment.

Benefiting from lower raw material costs and production process optimization, the group’s gross margin expanded to 51.6%, marking a 1.1 percentage point improvement YoY. This highlights Vitasoy’s strong cost management capabilities.

Source: Phillips

https://www.stocksbnb.com/reports/vitas ... itability/

[winston]

vested

VITASOY INT'L Mounts 1st Buyback Last Fri, Buying ~700K Shrs for $6.44M+

VITASOY INT'L (00345.HK) conducted its first share repurchase on the Hong Kong Stock Exchange last Friday (14th), involving 702,000 shares.

The price per share ranged between HKD9.08 and HKD9.3, involving approximately HKD6.4409 million.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Yeo Hiap Seng Spends SGD57.1M in 2024 to Raise Stake in VITASOY INT'L

Yeo Hiap Seng said that it invested SGD57.1 million in VITASOY INT'L (00345.HK) during the year, acquiring an about 5.3% stake in VITASOY INT'L, a strategic investment, according to its 2024 results report.

Taking into account the stake held by Kuang Ming Investments Ptd. Ltd, a subsidiary of its parent company, its total shareholding in VITASOY INT'L was 13.3% as of 5 February 2025.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

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<Alert>VITASOY INT'L Envisions Annual NP to Rise Max. ~1.1x YoY

VITASOY INT'L (00345.HK) anticipated its net profit for the fiscal year ended March 31, 2025, to range HKD225-245 million, representing a spike of around 94-111% compared to the same period last fiscal year.

The expected growth was attributable to a significant increase in the company's operating profit in Mainland China and Hong Kong, as well as a reduction in operating losses in Australia, though part of the increase was offset by higher tax expenses in the current fiscal year.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

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Vitasoy expects profit to rise up to 110pc

Vitasoy International (0345) said it forecasts its net profit for the year ended March to rise by as much as 110 percent year-on-year.

The company is expected to record a profit in the range of HK$225 million to HK$245 million, a year-on-year increase of approximately 94 percent to 111 percent.

The growth was driven by a significant increase in profit from operations from both the mainland China and Hong Kong businesses and a reduction in operating loss in the Australia business, and was partly offset by an increase in tax expense for the current fiscal year, according to an exchange filing.

The mainland revenue grew moderately via better execution and product innovation and profitability continued to improve due to production rationalization, lower commodity costs, and enhanced sourcing and operational efficiencies, the company said.

In Hong Kong, another year of revenue growth was achieved by leveraging robust brand equity, a wide market presence and product innovation, despite a challenging local retail environment, it added.

Source: The Standard

https://www.thestandard.com.hk/market/article/303281/

[winston]

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<Results>VITASOY INT'L Annual NP Soars 101.7% to HKD235M; Final Div. Raised to HK10.2 Cents

VITASOY INT'L (00345.HK) has announced its results for the year ended March 2025.

The company's net profit amounted to HKD235 million, up 101.7% YoY, while its revenue inched up by 0.9% YoY to HKD6.274 billion, with EPS standing at HK21.9 cents.

A final dividend of HK10.2 cents was declared, compared to HK6.3 cents for the same period last year.

Source: AAStocks Financial News

http://www.aastocks.com/en/stocks/news/ ... -news/AAFN

[winston]

vested

Vitasoy profit doubles to $235 million

Sales in Hong Kong increased by 4.5 percent to HK$2.36 billion with operating profit growing 24 percent to HK$279 million.

Turnover for China grew 1 percent to HK$3.54 billion while profit from operations jumped by 41 percent to HK$311 million. 

Gross profit margin increased 1.3 percentage points to 51.3 percent, mainly due to lower commodity costs and a more efficient manufacturing footprint, but was partially offset by higher trade promotional expenses in China and the impact of unfavourable foreign exchange movements. 

Source: The Standard

https://www.thestandard.com.hk/market/article/305392/

[winston]

FY3/25 in-line with earlier profit alert with margin recovery in core regions

Vitasoy (345.HK) FY3/25 in-line with earlier profit alert with margin recovery in core regions

Vitasoy reported 102% y/y increase in FY3/25 earnings, lifted by recovery in operating margins in core regions, in line with earlier profit alert

Final DPS of HK10.2cents/sh implies full-year payout of 64.9%; 4.2m shares repurchased amounting to HKD40m YTD

Our last rating stood at a HOLD due to softer prospects in China on an intense competitive landscape, with TP under review.

Source: DBS

https://www.dbs.com/insightsdirect/comp ... ecid=26156