CISI FIN released a research report stating that it expects BEKE-W (02423) to achieve adjusted net profit attributable to shareholders of 62/74/86 billion yuan in 2025/2026/2027 respectively. The firm believes that as an industry leader, the company has strong alpha attributes and is expected to benefit from beta elasticity brought by the stabilization and recovery of the property industry. CISI FIN assigned a Buy rating, with the closing price as of September 4, 2025 corresponding to P/E ratios of 26/22/19x for 2025/2026/2027.

CISI FIN's main viewpoints are as follows:

**Q2 2025 Company Performance Meets Expectations** In Q2 2025, the company achieved total GTV growth of 4.7% year-over-year to 878.7 billion yuan, with second-hand housing GTV growing 2.2% year-over-year to 583.5 billion yuan and new housing GTV growing 8.5% year-over-year to 255.4 billion yuan. The company's alpha capabilities continue to be validated. Based on steady GTV growth, the company's revenue in Q2 2025 increased 11.3% year-over-year to 26.0 billion yuan; adjusted net profit attributable to shareholders reached 18.2 billion yuan, with performance meeting expectations.

**Non-GAAP Operating Expense Ratio Declines Both Year-over-Year and Quarter-over-Quarter** In Q2 2025, the company's Non-GAAP operating expense ratio was 16.2%, down 0.3 percentage points year-over-year and 0.1 percentage points quarter-over-quarter. The Non-GAAP sales expense ratio decreased 0.7 percentage points year-over-year and 0.2 percentage points quarter-over-quarter. With the company's more scientific and refined management measures and technology applications taking effect, the firm expects the company's Non-GAAP operating expense ratio to continue declining.

**Limited Impact from New Housing Regulation Products, New Housing Take Rate Remains High** In Q2 2025, the company's new housing take rate was 3.37%, flat year-over-year and still maintaining a high range. Although new regulation products have lower channel opening ratios and commission rates compared to old regulation products, new regulation products account for a relatively small proportion in most cities, currently having limited impact on the channel market.

**Expansion of Share Buyback Program** In the first half of 2025, the company's cumulative buyback amount was $394 million, with repurchased shares accounting for approximately 1.7% of total issued share capital at the end of 2024. Additionally, on August 26, the company announced an expansion of its existing buyback program from $3 billion to $5 billion, with the buyback program period extended to August 31, 2028.