Sinolink: Maintains a "buy" rating for POP MART (09992), optimistic about the continuation of high-quality development in the Chinese market.

Sinolink released a research report saying that POP MART (09992) released its third quarter financial report, with revenue up by 245%-250%, with China seeing an increase of 185%-190% and overseas up by 365%-370%. The bank is optimistic about the company's overseas market growth through the construction of a localized operating system, forming a second growth curve, as well as the upgrade of its comprehensive operating capabilities in the Chinese market, continuing the trend of high-quality development. It is expected that the company's adjusted net profit attributable to shareholders from 2025 to 2027 will be 13.7 billion, 18.8 billion, and 23.5 billion respectively, with year-on-year growth of 303%, 37%, and 25%, maintaining a "buy" rating. Sinolink's main points are as follows: Domestic online sales volume has increased, strong overseas growth momentum, and brand potential further enhanced Looking at different regions, China's same-store performance may exceed expectations, with continuous optimization of site selection and layout. Online growth remains strong and steady. Overseas online (official website, TikTok, Shopee, etc.) and offline (landmark flagship stores) mutually promote each other, with online percentage increasing and offline "area/position/theme" upgrades parallel. The Americas are leading significantly under the drive of store expansion, TikTok live streaming, and strong official website sales, continuing the high growth trend from the first half, with recent accelerated distribution through cooperation with Books-A-Million. Asia-Pacific and Europe also maintain triple-digit growth; high-end stores are densely located in landmark cities, such as the Alexanderplatz in Berlin, and stores in San Francisco and San Diego in the United States. The pace of new product releases in the third quarter has accelerated significantly, with new IP products expanding and positioning well received The pace of new product launches in the second half of the year has accelerated, with the third quarter speeding up and the fourth quarter peak season (Halloween/Christmas) showing significant potential. Specific product performance highlights include online GMV in July with standout performances from Guang Zhiyuan and Winter Sonata, mini releases of Labubu in August contributing to sales, and top sales from Sleepless Theater and Star Man Delicious Moments in September. Halloween series "Why So Series" will be released on October 9th and the Strange Carnival on October 16th; the company recently released limited edition SKULLPANDA products in collaboration with the TV show "Wednesday," with the post receiving 76,000 likes, the highest in recent times. Short-term peak season and new product catalysts, long-term extension with diversified entertainment, platform layout anticipated The company focuses on the health of its IP, with activities such as THEMONSTERS' tenth-anniversary tour bringing fans closer. In the short term, the high-growth trend is expected to continue with the peak season in the fourth quarter and new product launches, along with the further catalysis of overseas new store openings and the 15th anniversary celebration activities, with the upcoming release of Labubu 4.0; in the medium to long term, the company is continuing to launch various formats such as POPOP Jewelry, POP MART film studio, Bubble Park, exploring the extension of content IP and diversified entertainment, achieving multi-format cultivation of IP and platform-based operations.