Zhejiang Merchants Securities: Upgraded Meixue Group (02097.HK) rating to "buy", optimistic about long-term growth prospects.

According to the Zhongtong Finance and Economics APP, Zheshang Securities released a research report stating that MXIGROUP (02097.HK) saw a year-on-year growth of 39.3% in operating income in the first half of this year. The high growth is partly due to the continuous expansion of the store network, and partly due to the increase in the average sales per store. The bank calculated that the number of MXIGROUP stores increased by 23.3% in the first half of this year (the number of stores is calculated based on the average of the beginning and end of the period); the average sales revenue contributed by each store was 278,000 RMB, an increase of 13.2% year-on-year, benefiting from the increase in orders resulting from the delivery fight. The bank is optimistic about the long-term growth potential of MXIGROUP in the expansion of multiple markets and the increase in market share, therefore, it has raised its rating from "hold" to "buy".