Gourmet Master(2723 TT, NT$62.80)-China recovery remains muted, 2Q26 OpM under pressure

Research evidence excerpt

Gourmet Master(2723 TT, NT$62.80)-China recovery remains muted, 2Q26 OpM under pressure

Taiwan Equity | Non-tech

Company Snapshot

Fubon Research Gourmet Master (2723 TT)

May 25, 2026

_ China recovery remains muted, 2Q26 OpM under pressure

Buy

Maintain Buy, cut target price to NT$73, 16% upside

Price Target price

NT$62.80 NT$73 1. 1Q26 GM expands, record-high OpM as store quality adjustment drives profit

○Visit notes ○Initiating coverage improvement

●Company update ●Earnings revision 2. Number of stores in US to surpass 100 in FY26, with pace of store openings

○Earnings preview ○Rating change

accelerating in FY27

Shares out. (mn) 180

3. China store closures continue, 2Q26 OpM under pressure

Mkt cap (NT$mn) 11,300

Mkt cap (US$mn) 358

FINI holding (%) 46.24 1Q26 GM expands, record-high OpM as store quality adjustment drives profit

Local IM holding (%) 0.03 improvement

Directors holding (%) 46.33

1Q26 sales reached NT$4.03bn, down 16.7% YoY and 7.1% QoQ, lower than Fubon/market

52-week high (NT$) 91.75

52-week low (NT$) 60.20 expectations, mainly due to the temporary closing of 20% of stores in the US in January

Day-trading % 22% and February because of blizzards, coupled with the continued closure of underperforming

stores in China. However, benefiting from stable operations in Taiwan and the US and

ESG rating 3 Industry Rank 26/51 effective store quality adjustments in China, 1Q26 GM was 61.1% and OpM was 8.0%, up

1.5/1.6ppts YoY respectively. OpM reached a new high since 2020, with the overall profit

structure significantly improved and better than Fubon/market expectations. Net profit

was NT$240mn, up 11.8% YoY, and EPS was NT$1.31.

Number of stores in US to surpass 100 in FY26, with pace of store openings accelerating

in FY27