CSC Financial has initiated coverage on SAINT BELLA (02508), assigning a "Buy" rating and setting a target price of HK$9.38. The firm forecasts SAINT BELLA's revenue for 2025-2027 at RMB1.034 billion, RMB1.300 billion, and RMB1.556 billion, respectively, with net profits attributable to shareholders of RMB372 million, RMB224 million, and RMB316 million. Adjusted net profits are projected at RMB115 million, RMB254 million, and RMB331 million for the same periods.

Currently, SAINT BELLA operates 113 stores globally, with 31 high-end locations securing prime spots in first-tier Chinese cities. The brand has established a premium service reputation through years of innovative marketing channels. Expansion into Hong Kong, Singapore, Los Angeles, and New York is expected to tap into overseas postpartum care market opportunities.

The report highlights SAINT BELLA's success in leveraging new marketing channels to engage target customers, creating interactive scenarios that emphasize emotional value throughout the customer journey. Its premium-priced packages cater to high-net-worth individuals' physical and psychological needs. This targeted marketing approach drives high referral rates and conversion, enabling service premiumization while effectively reducing per-customer marketing costs. This strategy mitigates the traditional月子中心's reliance on platforms due to low purchase frequency.

Benefiting from oversupply in high-end hotels amid China's property development boom, SAINT BELLA adopts a flexible booking model that secures substantial rental discounts without vacancy pressure, keeping its largest operational expense—rent—at minimal levels. The asset-light management model allows low-cost, low-risk market expansion and rapid access to premium locations. Consequently, the company's postpartum care business achieves above-industry gross margins, with significant room for further scale effect realization in its single-store model.