Investment Rating - The report provides various investment ratings for companies in the consumer staples sector, with "Outperform" ratings for companies like China Feihe, Haidilao, and China Resources Beer, while Budweiser APAC is rated as "Neutral" [1]. Core Insights - The report highlights a rise in packaging material prices and an increase in the beer spot cost index by 2.96% year-on-year, indicating upward pressure on costs in the consumer staples sector [1][35]. - The cost indices for six categories of consumer goods monitored by HTI mostly increased, with notable changes in spot and futures indices across beer, frozen food, soft drinks, instant noodles, dairy products, and condiments [35]. Summary by Category Beer - The beer spot cost index is at 116.32, down 0.06% from last week, while the futures index is at 115.68, up 1.2% [13]. - Year-to-date, the spot index has decreased by 0.86%, and the futures index has decreased by 7.13% [14]. Condiments - The condiments spot cost index is at 100.51, down 0.1%, and the futures index is at 101.3, up 1.55% [17]. - Year-to-date, the spot index has decreased by 2.66%, and the futures index has decreased by 7.47% [17]. Dairy Products - The dairy products spot cost index is at 101.25, down 0.13%, and the futures index is at 91.04, up 0.69% [20]. - Year-to-date, the spot index has decreased by 2.89%, and the futures index has decreased by 3.28% [20]. Instant Noodles - The instant noodles spot cost index is at 103.62, down 0.23%, and the futures index is at 102.53, up 0.88% [23]. - Year-to-date, the spot index has decreased by 2.29%, and the futures index has decreased by 5.47% [24]. Frozen Food - The frozen food spot cost index is at 120.39, up 1.02%, and the futures index is at 119.44, up 1.72% [28]. - Year-to-date, the spot index has decreased by 0.17%, and the futures index has decreased by 1.35% [28]. Soft Drinks - The soft drinks spot cost index is at 109.39, up 0.22%, and the futures index is at 109.26, up 0.72% [31]. - Year-to-date, the spot index has decreased by 3.04%, and the futures index has decreased by 9.54% [31].

Investment Rating - The investment rating for the food and beverage industry is "Outperform the Market" [1] Core Viewpoints - The industry shows clear signs of bottoming out, with low valuation levels. As of October 17, the condiment index has decreased by 6.1% since the beginning of 2025, underperforming the CSI 300 index by 24.3 percentage points [2][6] - The restaurant supply chain is experiencing a notable bottoming trend, with leading companies in the condiment sector showing improvement. Institutional holdings are at a low level, indicating a lower valuation center [2][12] - The report suggests that the industry is likely to enter a recovery phase, driven by improving demand and supply-side signals, including frequent mergers and acquisitions among leading companies [2][4] Industry Summary - The industry is currently in a phase of bottoming out, with valuation levels at a low point. The condiment and pre-processed food indices have both underperformed the broader market significantly [6][14] - The overall performance of the restaurant supply chain industry has been stable, with opportunities for growth, but it is essential to monitor signals of demand recovery [9][12] Key Stocks Summary - **Haitian Flavor Industry**: Demonstrates strong self-reform capabilities, with a notable recovery in operational status expected in H2 2024. The company has maintained steady growth across various product categories [17][21] - **Babi Food**: Achieved significant improvements in store efficiency and revenue growth, with a focus on expanding its product offerings and enhancing operational capabilities [25][30] - **Anjuke Food**: Focuses on product innovation and has opened up growth opportunities in the prepared food sector, despite facing challenges in the traditional frozen food market [35][40] - **Qianwei Central Kitchen**: Underwent a strategic adjustment to enhance channel quality and profitability, stabilizing its stock price after a period of decline [43][47]

Investment Rating - The report maintains an "Outperform the Market" rating for the food and beverage sector [1][4][5]. Core Views - The food and beverage sector is experiencing a divergence in fundamentals, with beverages outperforming food and alcoholic beverages. The report emphasizes the importance of monitoring third-quarter performance [2][3]. - The report highlights the potential for stock price increases due to low expectations and the possibility of demand recovery, particularly in the snack, beverage, and frozen food segments [3][4]. Summary by Sections 1. Sector Overview - The food and beverage sector saw a slight decline of 0.16% this week, with A-shares down 0.20% and H-shares up 0.42%, indicating defensive allocation demand [1]. - The top performers in the sector included Zhuangyuan Pasture (21.07%), Yangyuan Beverage (16.80%), and Guangming Meat Industry (6.48%) [1]. 2. Alcoholic Beverages - The report notes that the liquor sector is still in a bottoming phase, with a focus on changes in the industry as the autumn sugar market approaches. Recommendations include Luzhou Laojiao, Kweichow Moutai, and Shanxi Fenjiu for their strategic advantages and growth potential [2][10]. - The report anticipates a 15-20% decline in sales volume during the upcoming holiday season, with a shift towards mass-market consumption [10]. 3. Beverages - The beverage sector is experiencing stable demand recovery, with leading companies like Nongfu Spring and Dongpeng Beverage showing strong performance. The report suggests focusing on the growth of sugar-free tea and energy drinks [2][15]. - The beverage sector's revenue increased by 18% year-on-year in the first half of 2025, despite entering the off-season [15]. 4. Snacks - The report emphasizes the importance of selecting strong alpha stocks in the snack sector, particularly in the konjac snack category, where leading companies like Weilong and Yanjinpuzi are expected to perform well [3][12]. - The snack industry is transitioning from channel-driven growth to category-driven growth, increasing competition among brands [12]. 5. Dairy Products - The dairy sector is seeing a gradual recovery in demand, with a focus on leading companies like Yili, which are expected to benefit from supply-demand improvements by 2025 [14]. - The report highlights the importance of monitoring inventory clearance and new product performance in the dairy supply chain [13][14]. 6. Investment Recommendations - The recommended investment portfolio includes Baba Food, Dongpeng Beverage, Weilong, and Luzhou Laojiao, which have shown strong performance and positive earnings expectations [3][16]. - The report suggests that any changes in supply and demand dynamics could catalyze stock price increases, particularly in segments with high growth potential [3][4].

股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年9月30日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 頤海國際控股有限公司 呈交日期: 2025年10月8日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | 不適用 | | 於香港聯交所上市 (註1) | | 是 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 01579 | 說明 | 不適用 | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | 法定/註冊股本 | | | 上月底結存 | | | 5,000,000,000 | USD | | 0.00001 USD | | 50,000 | | 增加 / 減少 (-) | | | 0 | | | USD | | 0 | | 本月底結存 | | | 5,000,000,000 | USD | | 0.00001 USD | | 50,000 | 本月底法定/註冊股本總額： USD 50, ...

Core Conclusions - The report emphasizes that the food and beverage industry is currently at a bottoming phase, with strong players continuing to thrive [4] - The market has underperformed due to weak domestic demand and consumer confidence, with A-share food and beverage sector down 4.7% year-to-date, while H-share food and beverage sector increased by 29.5% [4] - There is a notable divergence among product categories, with alcoholic beverages facing pressure while mass-market products show signs of improvement, particularly in leading brands [4] Market Indicators - The trading volume, open interest, and valuation of the food and beverage sector are at historically low levels, with the sector's trading volume in A-shares dropping below 2% [9][10] - The price-to-earnings (PE) ratio for food and beverage has been declining since 2021, with categories like liquor and beer at historically low percentiles [12][16] Fundamental Analysis - The report discusses the need for a top-down approach to assess the investment value of leading companies like Kweichow Moutai, which holds a 31% weight in the food and beverage sector [27] - A bottom-up approach is also suggested to identify rapidly growing segments or companies in recovery [27] Company Recommendations - The report recommends focusing on policy-sensitive sectors such as liquor and the restaurant supply chain, highlighting companies like Kweichow Moutai, Luzhou Laojiao, and Haidilao [4] - Strong brands in the mass-market segment are also recommended, including Nongfu Spring, Dongpeng Beverage, and Yili Group [4] Industry Outlook - The report anticipates a recovery in liquor consumption as the impact of recent policies diminishes, with positive signals expected from the supply side [4] - The fourth quarter is projected to see improvements in key indicators for the liquor sector, including the price of Moutai [4] Performance Forecast - For Q3 2025, Kweichow Moutai is expected to generate revenue of 1,863.3 billion yuan, reflecting a 7% year-on-year increase, while Luzhou Laojiao is projected to see a 10% decline in revenue [49][50] - The report provides detailed forecasts for various companies, indicating expected revenue and profit changes for the upcoming quarters [49][50]

Investment Rating - The report provides various investment ratings for companies in the consumer staples sector, with "Outperform" ratings for several companies including China Feihe, Haidilao, and China Resources Beer, while Budweiser APAC is rated "Neutral" [1]. Core Insights - The overall cost indices for six categories of consumer goods showed mixed trends, indicating stability in the market. Spot cost indices for soft drinks, beer, instant noodles, dairy products, frozen foods, and seasonings changed by +0.97%, +0.51%, +0.26%, -0.13%, -0.44%, and -0.57% respectively, while futures cost indices changed by -1.08%, +1.06%, -1.06%, -1.67%, -0.78%, and -0.06% respectively [31][32][33][34][35][36][37]. Summary by Category Beer - The spot cost index for beer increased by 0.51% month-on-month, while the futures index rose by 1.06%. Year-to-date, the spot and futures indices have decreased by 3.71% and 4.95% respectively [12][32]. Seasonings - The spot cost index for seasonings decreased by 0.57% month-on-month, while the futures index fell by 0.06%. Year-to-date, the indices have changed by -2.41% and -6.71% respectively [15][33]. Dairy Products - The spot cost index for dairy products decreased by 0.13% month-on-month, while the futures index fell by 1.67%. Year-to-date, the indices have changed by -3.36% and -3.93% respectively [18][34]. Instant Noodles - The spot cost index for instant noodles increased by 0.26% month-on-month, while the futures index decreased by 1.06%. Year-to-date, the indices have changed by -3.23% and -6.06% respectively [22][35]. Frozen Foods - The spot cost index for frozen foods decreased by 0.44% month-on-month, while the futures index fell by 0.78%. Year-to-date, the indices have changed by -2.3% and -3.37% respectively [25][36]. Soft Drinks - The spot cost index for soft drinks rose by 0.97% month-on-month, while the futures index fell by 1.08%. Year-to-date, the indices have changed by -4.19% and -10.86% respectively [28][37].

Investment Rating - The report suggests a positive outlook for the liquor sector, particularly for high-end brands like Guizhou Moutai and Wuliangye, indicating a left-side configuration opportunity in the white liquor segment [3][12][14]. Core Insights - The report highlights that the core products in the liquor industry, such as Feitian Moutai and Wuliangye, have seen a rebound in wholesale prices, attributed to effective channel management by manufacturers [2][12]. - It is anticipated that the sales volume in the white liquor sector will decline by approximately 20% year-on-year, but the rate of decline is expected to narrow compared to previous months, indicating a potential stabilization in the market [11][12]. - The report emphasizes the increasing diversification of purchasing channels for liquor, with a notable shift towards online and new media platforms, which is reshaping consumer behavior [2][12][14]. Summary by Sections White Liquor - The report notes a recovery in the wholesale prices of key products, driven by improved channel management and a positive reception during the upcoming Mid-Autumn and National Day holidays [2][12]. - It suggests that the white liquor sector is entering a phase where inventory levels can be significantly reduced, leading to a temporary release of price pressure [12][14]. - Recommendations include focusing on high-end brands with strong market positions and exploring potential catalysts in the broader liquor market [3][12][14]. Beer - The beer sector is experiencing steady recovery in on-premise consumption, with companies diversifying into non-draft channels and soft drinks [14]. - The report encourages continued attention to the beer sector due to its solid performance and dividend levels [3][14]. Yellow Wine - The yellow wine industry is seeing price increases among leading brands, which may lead to a more stable competitive landscape [14]. - The report highlights the importance of marketing and product innovation in the yellow wine sector as it approaches peak season [14]. Snacks - The snack industry is maintaining high growth, with new retail channels expanding rapidly and product diversity increasing [4][15]. - The report suggests that the upcoming holiday season will boost demand for snack products, particularly nut gift boxes [4][15]. Soft Drinks - The soft drink sector is nearing the end of its peak season, with segments like energy drinks and sugar-free teas showing strong growth [4][16]. - The report indicates that traditional categories are facing challenges, but health-oriented products are performing well [4][16]. Condiments - The condiment sector is stabilizing, with expectations of demand recovery in the restaurant chain segment [5][17]. - The report recommends focusing on companies with strong competitive advantages and improving profit margins [5][17].

Summary of Yihai International Conference Call Company Overview - **Company**: Yihai International - **Industry**: Food and Seasoning Products Key Points B-end Business Performance - In the first half of 2025, Yihai International's B-end revenue grew over 130% year-on-year to 160 million RMB, driven by the newly established small B team which has opened over 1,000 clients contributing over 10 million RMB in revenue [2][6][7] - The company expects B-end business revenue to double for the full year of 2025 and maintain high growth rates in the following years [2][7] - The small B team's gross margin is over 30%, which is beneficial for overall profitability [6] Overseas Market Performance - Yihai International's overseas market revenue reached 260 million RMB in the first half of 2025, with third-party revenue accounting for approximately 73%, reflecting a nearly 50% year-on-year growth [2][9] - The company anticipates a 30% growth in overseas business for the full year, with a sustainable annual growth rate of 20%-30% in the coming years [2][11][10] C-end Market Performance - The C-end market performance was relatively flat, although market share for hot pot beef tallow and dipping sauces increased [2][17] - The company launched cost-effective instant products to penetrate lower-tier markets, which impacted gross margins [2][18] Strategic Initiatives - Yihai International is reducing reliance on distributor channels and focusing on building its own small B team to better match end-user demands [2][8] - The company is implementing a direct distribution model to reduce channel profit payments, aiming to optimize logistics and improve product matching [4][23] Cost and Profitability - Sales expense ratio increased in the first half of 2025 due to the establishment of the small B team and logistics costs, but is expected to stabilize in the second half [4][33] - The gross margin for related parties decreased year-on-year but remained stable quarter-on-quarter, with expectations for stability moving forward [4][24] Future Outlook - The company does not have specific KPIs for overseas market share but sees significant potential in the B-end market, which is larger than the C-end market [15][27] - Yihai International plans to maintain a high dividend payout ratio and has no current plans for stock buybacks [34][36] Competitive Advantages - Yihai International's competitive advantages in the small B market include lower prices compared to competitors and guaranteed product quality, supported by its status as a core supplier for Haidilao [9] - The company is leveraging advanced technologies to enhance production efficiency and product quality [9] Challenges and Market Dynamics - The Thai factory's capacity utilization is currently low due to licensing delays and product acceptance issues, but the company is working to improve collaboration with B-end clients in Thailand and Malaysia [2][12] - The overall market remains fragmented with low concentration, primarily due to overcapacity, but Yihai International maintains competitiveness through its production capabilities [28][30] New Product Strategies - The company is focusing on high-cost performance products in the instant food sector, targeting specific regions for promotion rather than a nationwide rollout [18][20] - New product promotion strategies have shifted towards direct collaboration with key accounts, improving product-market fit and reducing promotional costs [21][22] This summary encapsulates the key insights from Yihai International's conference call, highlighting its performance, strategic initiatives, and market outlook.

Financial Performance - Yihai International Holding Ltd. reported a revenue increase of 15% year-over-year, reaching HK$1.2 billion for the interim period[3]. - The company achieved a net profit margin of 12%, translating to a net profit of HK$144 million, up from HK$120 million in the previous year[3]. - The company has set a revenue guidance of HK$2.5 billion for the full fiscal year, representing a 10% increase compared to the previous year[3]. - For the six months ended June 30, 2025, the Group recorded revenue of RMB2,927.4 million, representing a year-on-year decrease of 1.5%[37][39]. - The Group's gross profit for the same period was RMB864.9 million, reflecting a decrease of 1.4% from RMB877.5 million year-on-year[27]. - Net profit decreased by 1.5% from RMB334.1 million for the six months ended June 30, 2024, to RMB329.1 million for the corresponding period in 2025, with the net profit margin declining from 11.4% to 11.2%[99]. User Growth and Market Expansion - User data indicated a growth in active users by 20%, totaling 2 million active users across its platforms[3]. - Yihai International is expanding its market presence with plans to open 50 new locations in the next fiscal year[3]. - The Group is expanding its overseas market presence by adapting products to local tastes and exploring new countries[47]. Product Development and Sales - New product launches contributed to a 25% increase in sales volume, particularly in the hot pot segment[3]. - The Group launched over 50 new products in the first half of 2025, including new flavors such as regional flavor condiments and crayfish seasonings[48]. - Revenue from sales of hot pot condiments to third parties increased by 7.5% year-on-year, attributed to new product launches based on consumer demand[63]. - Revenue from convenient ready-to-eat food products was RMB709.0 million, representing 24.2% of total revenue[55]. Financial Position and Assets - Current assets decreased by 13.6% to RMB2,574.7 million compared to RMB2,978.9 million at the end of 2024[27]. - Total liabilities decreased by 32.1% to RMB723.7 million from RMB1,066.1 million at the end of 2024[27]. - As of June 30, 2025, cash and cash equivalents amounted to approximately RMB1,520.2 million, down from RMB1,881.9 million as of December 31, 2024[106]. Corporate Governance and Compliance - The Company has adopted the corporate governance code and complied with its provisions during the six months ended June 30, 2025[190]. - The Audit Committee consists of three independent non-executive Directors, ensuring compliance with the Listing Rules[196]. - The Company has confirmed that all employees complied with the securities trading standard code during the reporting period[189]. Strategic Initiatives - The Group plans to focus on product research and development, overseas expansion, and channel construction in the second half of 2025[132]. - The Group aims to enhance its research and development capabilities in the business-end market to better meet diverse needs[134]. - The Group will leverage AI technology for channel management optimization and improve staff training and incentive policies[138]. Shareholder Information - As of June 30, 2025, Mr. Sean Shi holds 130,592,992 shares, representing approximately 12.60% of the total issued share capital[147]. - UBS Trustees (B.V.I.) Limited holds 31.39% of the total issued share capital, representing 325,436,021 ordinary shares[153]. - The total number of shares held by substantial shareholders, excluding directors, will be recorded in the register as required by the SFO[151]. Dividend and Financial Review - The Company declared an interim dividend of HK$0.3107 (equivalent to RMB0.2836) per share, with payment expected on or before 24 September 2025[198]. - The Audit Committee reviewed the unaudited condensed consolidated interim financial results for the six months ended June 30, 2025, confirming compliance with relevant accounting standards[193]. - PricewaterhouseCoopers confirmed that the interim financial information is prepared in accordance with International Accounting Standard 34[194].

Summary of Yihai International Conference Call Company Overview - **Company**: Yihai International - **Date**: September 12, 2025 Key Points Industry and Market Dynamics - **Butter Products**: Achieved approximately 20% growth due to low-priced product strategy and expansion into lower-tier markets [2][3] - **Instant Food Products**: High-priced products like small hot pots showed weak performance due to price sensitivity, while low-priced instant foods in the 7-8 RMB range, such as the "Home Cooking" series, gained popularity [2][3] - **Seasoning Market**: Characterized by regional flavor preferences, with few national bestsellers; the company adapts products to local tastes through small B-end partnerships [2][8] Growth Drivers - **Geographic Expansion**: Growth driven by expansion into new regions and customized collaborations with KA channels, leading to double-digit growth in products like fish seasoning and 24 dishes [3][4] - **Small B Customer Strategy**: Focus on direct engagement with small B customers to enhance growth potential, with a dedicated team to address regional taste variations [5][6] - **Product Development**: Sales-driven product development allows for timely market feedback, improving new product success rates [10] Financial Performance - **Revenue Contribution**: In the first half of 2025, revenue from food companies was 155 million RMB, primarily from large B customers, while small B customers contributed around 10 million RMB [5] - **Profit Margins**: Small B customers have higher profit margins (up to 30%) compared to large B customers, which could enhance overall profitability as the small B segment grows [5] Future Outlook - **Overseas Market Expansion**: The Thai factory is set to produce localized products, with a focus on enhancing brand recognition and product diversity in Southeast Asia [16][20] - **Cost Management**: Efforts to reform third-party C-end channels to improve profitability and reduce costs [4][19] - **Sales Strategy**: Direct sales to KA channels and reduced reliance on distributors to enhance margins and product alignment with market needs [14][12] Challenges and Considerations - **Price Stability**: Seasoning prices have remained stable, with a focus on maintaining high price segments while introducing low-priced products selectively [11] - **Market Acceptance**: Local acceptance of foreign brands in overseas markets remains a challenge, impacting production capacity utilization [17] - **Investment in Overseas Operations**: Higher costs associated with overseas operations due to staffing and regulatory requirements, with plans to increase marketing efforts as business scales [19] Performance Projections - **Second Half Expectations**: Anticipated double-digit growth in third-party business, with potential improvements in associated revenue due to lower base effects from the first half [21]