External broker reports(aggregated public sources), CMB International

CMB International

Incorporated in Hong Kong, supported by the mainland and targeting in global market, CMB International Capital Corporation Limited (“CMBI”) is an integrated financial institution providing comprehensive and professional services. As a wholly-owned subsidiary of China Merchants Bank ("CMB"), by leveraging on the Group’s synergy and coordination in domestic and overseas markets, as well as CMB’s strong resources and outstanding social reputation, CMBI and its subsidiaries have been actively implementing diversified business strategies and set up an overall layout of main business segments including Corporate Finance, Asset Management, Wealth Management, Global Markets and Structured Finance, etc. Adhering to the philosophy of “being clients oriented and increasing our own values by the way of creating value for clients”, CMBI endeavors to provide quality and integrated financial services to institutional, corporate and individual customers both domestic and overseas including Hong Kong IPO sponsorship and underwriting, share placement and rights issue for listed companies, financial advisors, bonds issuance services, asset management, direct investment, wealth management, equity sales and trading, etc.

External broker reports(aggregated public sources)

Equity Bottom-Up

<ul><li>Feihe pre-announced its 1H results which came in as a miss with flattish revenue (vs CMBIe: LSD increase) and a 23% to 36% net profit decline (vs CMBIe: flattish).</li><li>We have alerted in our previous downgrade report that a nearterm recovery could just be wishful thinking given 1) likely persistent low birthrates, 2) heightening industry competition, 3) a down-trending product mix, and 4) production economy deleveraging. In our view, an inflection point remains remote and should there be any, it would take time for fertility intention to manifest into legit IMF consumption.</li><li>This is not to mention that family and child planning consumption is late-cycle beneficiary as opposite to dine-out and shorthaul travel demand. </li></ul><p><em>Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.</em></p>

Feihe pre-announced its 1H results which came in as a miss with flattish revenue (vs CMBIe: LSD increase) and a 23% to 36% net profit decline (vs CMBIe: flattish).We have alerted in our previous downgrade report that a nearterm recovery could just be wishful thinking given 1) likely persistent low birthrates, 2) heightening industry competition, 3) a down-trending product mix, and 4) production economy deleveraging. In our view, an inflection point remains remote and should there be any, it would take time for fertility intention to manifest into legit IMF consumption.This is not to mention that family and child planning consumption is late-cycle beneficiary as opposite to dine-out and shorthaul travel demand. Content is external broker report sourced from online content aggregator through publicly available sources and is displayed below for general informational purposes only. Refer full disclaimer below.

China Feihe (6186 HK) – 1H below us; near-term recovery could just be wishful thinking