Analyst

Steve

Equity Bottom-Up

Pop Mart International Group L / Equity Bottom-Up

<ul>
<li>In 1Q24, <a href="https://www.smartkarma.com/entities/pop-mart-international-group-l" target="_blank" data-smartkarma-citation="entities:29016:1" rel="noopener">Pop Mart International Group L (9992 HK)</a>'s international sales grew around 250% yoy, and made up around one quarter of sales (vs. 17% of sales in 2023). </li>
<li>I now expect 39% sales growth in 2024, driven by 140% yoy growth in the international business and 18% growth in domestic China business. </li>
<li>I further expect a 50% yoy growth in net profit growth in 2024 driven by a 0.8ppt increase in gross margin and 0.5ppt in operating leverage. </li>
</ul>


In 1Q24, Pop Mart International Group L (9992 HK)'s international sales grew around 250% yoy, and made up around one quarter of sales (vs. 17% of sales in 2023). 
I now expect 39% sales growth in 2024, driven by 140% yoy growth in the international business and 18% growth in domestic China business. 
I further expect a 50% yoy growth in net profit growth in 2024 driven by a 0.8ppt increase in gross margin and 0.5ppt in operating leverage. 


Pop Mart (9992 HK):  Accelerating Momentum Internationally; Raising My Estimates