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Zhejiang Baoxiniao Garment (002154) Commercel Series & BONO Being Dual Engines for Steady Growth in 2009 --- Cautious

By  China Galaxy Securities Co.Ltd.

May 22, 2009
Zhejiang Baoxiniao Garment Co., Ltd.

Event Recently, we made on-site research and investigation on the company. Generally, we think its commercial series product performance will remain steady growth. Although suffered negative impact from financial crisis in Q1 2009, its profitability is expected to be equal to that of the previous year. As a new business, performance of the fashionable series product .......

Zhejiang Weixing Industrial Development (002003) Main Business Turned Better to Some Extent --- Recommended

By  China Galaxy Securities Co.Ltd.

May 22, 2009
Zhejiang Weixing industrial development Co., Ltd.

Event We conducted on-site survey of the company on May 20, 2009, which showed that the company was busy with nylon zipper business currently, and button production was also on its way; overall production status had returned to pattern prior to the crisis.   Our Analysis and Estimation 1. The company is busy with nylon zipper business. 2. Button production .......

Price of Partial Chemical Fiber Products Continued Ascending --- No. 17, 2009

By  TX Investment Consulting Co., Ltd.

May 13, 2009
Textiles & Apparel

1. Recently, price of international bulk commodity continued ascending.   Weakening Dollar Index and better-than-expected American unemployment statistics became main impetus for recent price surge of international bulk commodity.   2. Price of chemical products weakened recently.   3. Price of chemical fiber products took on structural surge.   4. Iron & steel price went up home and abroad.   5. Price of agricultural products .......

Textile industry Export Upturn Awaited, Investment Target Depends on Client Structure --- Neutral

By  China Galaxy Securities Co.Ltd.

May 13, 2009
Textiles & Apparel

Statistics of April Express indicates that export is still not optimistic.   As shown by statistics of China Import and Export Fair, external demand is still in depression.   Statistics of 2009 China Keqiao International Textiles, Fabrics & Accessories Exhibition is satisfactory, but its significance is relatively limited.   “Neutral” rating is maintained for the industry; investment strategy of export-oriented enterprises .......

Important Report To Put Equal Emphasis on the Interior and Exterior --- Overview of 2008 Annual Report and Q1 2009 Report

By  TX Investment Consulting Co., Ltd.

May 6, 2009
Textiles & Apparel

Export saw sign of recovery.   Domestic retail market was likely to stabilize and rebound.   Listed companies saw increment in 2008 revenue yet not the profit.   Three main segment industries began to differentiate.   We recommend domestic famous brands, bellwethers in accessories and those with export advantages, including Shanghai Metersbonwe Fashion & Accessories (002269), Fujian Septwolves Industry (002029), Zhejiang Baoxiniao Garment .......

Zhejiang Baoxiniao Garment (002154) 2008 Performance Being in Line with Expectation, 2009 Growth Maintains Steady --- Overweight (Maintained)

By  TX Investment Consulting Co., Ltd.

Apr 27, 2009
Zhejiang Baoxiniao Garment Co., Ltd.

In 2008, the company’s net profit attributable to parent saw year-on-year increase of 48%, which is mainly benefited from promotion of business turnover and gross margin. However, its growth of net profit attributable to parent was below that of business turnover as led by surge of period expense ratio and income tax rate.    We .......

Lu Thai Textile (000726; 200726) To Focus on Accumulative Effect of Stabilized Export and Tax Rebate --- Cautious; Recommended

By  China Galaxy Securities Co.Ltd.

Apr 15, 2009

Event The company issued 2008 annual report on April 15, according to which it realized business turnover of Rmb3921.8374mn (+2.92% yoy), operating profit of Rmb559.4648mn (+10.36% yoy), and net profit attributable to shareholders of common stocks of Rmb512.9447mn (+11.58% yoy), and diluted EPS of Rmb0.52 based on total equity of 994.865mn shares after the additional issuance. .......

Fujian Septwolves Industry (002029) 2008 Performance in Line with Expectation; Performance Acceleration Being Not Optimistic in 2009 --- Overweight

By  TX Investment Consulting Co., Ltd.

Apr 8, 2009
Fujian Septwolves Industry Co., Ltd.

In 2008, the company reported business turnover of Rmb1653mn (+88.56% yoy), net profit attributable to parent of Rmb153mn (+72.50% yoy), and diluted EPS of Rmb0.54, which was in line with expectation. According to its dividend distribution plan, it was to send pretax cash of Rmb1 for every ten shares with no share addition & transference .......

China Fiberglass (600176) As Global Glass Fiber Bellwether, Temporary Dilemma Not Suffocating Long-term Growth --- Overweight

By  TX Investment Consulting Co., Ltd.

Apr 8, 2009
China Fiberglass Co., Ltd.

Price of fiber glass had been lowered to ~Rmb6, 500/ton, and had once bottomed at Rmb6,200/ton during the previous period, which accelerated elimination of the backward capacity. Having approached to breakeven line of the whole sector, further price slide seems impossible in the near future, and sign of rebound gradually emerges recently. Moreover, price of .......

Fujian Septwolves Industry (002029) Sustainable Growth under Refined Management under Expectation --- Cautious

By  China Galaxy Securities Co.Ltd.

Apr 7, 2009
Fujian Septwolves Industry Co., Ltd.

2008 performance enjoys rapid growth; future delivery contract system leads to growth slide due to macro-economic slowdown.        Internal administration strengthening is considered to be the most important in 2009.    Long-term growth space deserves expectation.    “Cautious” rating is maintained. In accordance with its channel expansion and exchange fair status, its 2009-2010E sales revenue is forecasted to .......

 

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