Investment Rating - The report maintains a "Buy" rating for the company, with a target price of HKD 10.78 per share, reflecting a potential upside from the current market price [1][5]. Core Insights - The company achieved a revenue of HKD 2.927 billion in H1 2024, representing a year-on-year growth of 11.9%, while the net profit attributable to shareholders was HKD 308 million, down 13.8% year-on-year. The company announced an interim dividend of HKD 292 million, with a payout ratio of 94.87% [1][2]. - The performance of hot pot base materials remained stable, with significant growth in compound seasonings and instant food segments, driven by new product launches and improved channel management [2]. - The gross margin for H1 2024 was 30.0%, a decrease of 0.5 percentage points year-on-year, primarily due to price reductions on products sold to related parties. The net profit margin fell by 3.2 percentage points to 10.5% [3]. - The company emphasizes its high dividend investment value, supported by strong cash flow and low financial pressure, indicating a commitment to returning value to shareholders [4]. Financial Summary - For the fiscal year 2024, the company is projected to generate total revenue of HKD 6.870 billion, with a year-on-year growth of 11.75%. The net profit is expected to be HKD 815.1 million, reflecting a decline of 4.41% [7][8]. - The earnings per share (EPS) for 2024 is forecasted at HKD 0.79, with a price-to-earnings (PE) ratio of 12.61 based on the closing price of HKD 10.78 [5][8]. - The company’s financial metrics indicate a stable gross margin of around 30.51% to 31.58% over the next few years, with a projected return on equity (ROE) of approximately 18% by 2026 [7][8].

Investment Rating - The report maintains an "Accumulate" rating for the company [1][3] Core Views - The company reported a revenue of 2.93 billion HKD for the first half of 2024, representing a year-on-year increase of 11.9%, while the net profit attributable to shareholders was 310 million HKD, a decrease of 13.8% year-on-year [3] - The recovery of third-party business has been noted, with significant growth in the Chinese compound seasoning and convenience food segments [3] - The company plans to distribute a dividend of 293 million HKD, achieving a dividend payout ratio of 95%, which is expected to boost investor confidence [3] Summary by Sections Revenue and Profitability - The company achieved a revenue of 2.93 billion HKD in 1H24, up 11.9% year-on-year, with third-party business revenue reaching 1.91 billion HKD, an increase of 12.2% [3] - The gross margin for 1H24 was 30.0%, a slight decrease of 0.5 percentage points year-on-year, primarily due to raw material cost fluctuations [3] - The net profit margin decreased by 3.0 percentage points to 11.4% due to increased sales expenses [3] Business Segments - Hot pot seasoning revenue was 1.75 billion HKD, up 5.6% year-on-year, with sales volume increasing by 21.4% [3] - Chinese compound seasoning revenue reached 450 million HKD, a growth of 24.4%, driven by new product launches [3] - Convenience food revenue was 700 million HKD, up 22.2%, with significant growth from both related and third-party sales [3] Future Projections - Revenue forecasts for 2024-2026 are adjusted to 6.81 billion HKD, 7.64 billion HKD, and 8.40 billion HKD, with growth rates of 10.8%, 12.1%, and 10.0% respectively [4] - Net profit projections for the same period are 829 million HKD, 967 million HKD, and 1.08 billion HKD, with year-on-year changes of -2.9%, +16.6%, and +12.0% [4] - The expected earnings per share (EPS) for 2024-2026 are 0.80 HKD, 0.93 HKD, and 1.04 HKD, with corresponding price-to-earnings (PE) ratios of 13.3X, 11.4X, and 10.2X [4]

Investment Rating - Buy (Maintained) [2] Core Views - Yihai International achieved revenue of RMB 2.927 billion in H1 2024, a YoY increase of 11.9%, with net profit attributable to shareholders of RMB 308 million, a YoY decrease of 13.8%, and adjusted net profit (excluding exchange gains/losses and government subsidies) of RMB 299 million, a YoY increase of 4.5%, meeting market expectations [2] - The company plans to distribute dividends of RMB 293 million for H1 2024, with a dividend payout ratio of 95.1% [2] - Revenue from third-party customers improved YoY, with significant growth in online and overseas markets expected in 2024 [3] - The company's profitability is expected to improve in H2 2024, driven by better performance in hotpot seasoning and new product launches [4] Revenue Breakdown by Product - Hotpot seasoning revenue reached RMB 1.747 billion, a YoY increase of 5.6%, with third-party and related-party revenue growing by 5.6% and 5.7% respectively [3] - Chinese-style compound seasoning revenue was RMB 454 million, a YoY increase of 24.4%, with third-party and related-party revenue growing by 24.1% and 29.9% respectively [3] - Instant food revenue reached RMB 700 million, a YoY increase of 22.2%, with third-party and related-party revenue growing by 14.5% and 167.7% respectively [3] Revenue Breakdown by Channel - Related-party revenue was RMB 989 million, a YoY increase of 11.5%, while third-party revenue was RMB 1.938 billion, a YoY increase of 12.1% [3] - Within third-party revenue, distributors (including catering and food companies) contributed RMB 1.758 billion, a YoY increase of 12.0%, while e-commerce (flagship stores) contributed RMB 175 million, a YoY increase of 12.4% [3] Profitability and Costs - Gross margin was 30.0% in H1 2024, a YoY decrease of 0.5 percentage points, mainly due to price adjustments for related-party sales [4] - Sales expense ratio was 12.0%, a YoY increase of 2.9 percentage points, driven by increased marketing expenses (advertising expenses increased by 140% YoY) and higher logistics costs [4] - Management expense ratio was 4.8%, a YoY decrease of 0.6 percentage points [4] Future Outlook - The company is expected to see improved performance in hotpot seasoning in H2 2024, with new product launches such as Yunnan wild mushroom base and seafood dipping sauce [4] - Overseas market expansion is a key focus, with the company targeting halal and Middle Eastern markets, supported by production centers in Southeast Asia and a new factory in Thailand [4] - The company has adjusted its "partner" incentive mechanism, which is expected to drive performance in H2 2024 [4] Financial Forecasts - Revenue is expected to grow to RMB 6.841 billion in 2024, RMB 7.702 billion in 2025, and RMB 8.498 billion in 2026, with YoY growth rates of 11.3%, 12.6%, and 10.3% respectively [6] - Net profit attributable to shareholders is forecasted to be RMB 863 million in 2024, RMB 1.007 billion in 2025, and RMB 1.115 billion in 2026 [6] - EPS is expected to be RMB 0.71 in 2024, RMB 0.82 in 2025, and RMB 0.83 in 2026 [6] Valuation - The current stock price implies a 2024 PE ratio of 12x [5] - The company's long-term growth potential is supported by brand building, product matrix expansion, and market and channel development [5]

Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [1] Core Views - The company reported a 11.9% year-on-year increase in main business revenue to 2.927 billion yuan for the first half of 2024, while net profit attributable to shareholders decreased by 13.8% to 308 million yuan [3] - The ready-to-eat food segment has shown signs of recovery, with a 22.2% year-on-year increase in revenue, driven by a 39.9% increase in volume [3] - The company has strengthened online marketing efforts to attract younger consumers, resulting in a 2.87 percentage point increase in sales expense ratio to 12.0% [4] - The gross profit margin decreased by 0.54 percentage points to 30.0% due to price adjustments in hot pot base products [3][4] Summary by Sections Financial Performance - For the first half of 2024, the company achieved a main business revenue of 2.927 billion yuan, with a year-on-year growth of 11.9% [3] - The net profit attributable to shareholders was 308 million yuan, reflecting a decrease of 13.8% year-on-year [3] - The gross profit margin for the first half of 2024 was 30.0%, down from the previous year [3] Product Performance - Hot pot seasoning revenue increased by 5.6% year-on-year, with volume growth of 21.4% and price decline of 12.9% [3] - Compound seasoning revenue saw a significant increase of 24.4% year-on-year, driven by new product launches [3] - The ready-to-eat food segment's revenue increased by 22.2% year-on-year, with a notable 167.7% increase in revenue from related parties [3] Market Strategy - The company has enhanced its online marketing strategies, including collaborations and promotional events, to engage younger consumers [4] - The sales expense ratio increased due to higher online marketing and transportation costs [4] Earnings Forecast - The company is expected to achieve EPS of 0.83, 0.93, and 1.03 yuan per share for 2024, 2025, and 2026 respectively [5] - Based on comparable company valuations, a P/E ratio of 16-20 times is projected for 2024, corresponding to a reasonable value range of 13.26-16.58 yuan per share [4][5]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 2.927 billion HKD for H1 2024, representing an increase of 11.9% year-on-year, while the net profit attributable to shareholders was 308 million HKD, down 13.8% year-on-year [1] - The interim dividend per share is 0.28 HKD, corresponding to a payout ratio of 95%, compared to no dividend in the same period last year [1] - The growth in revenue is driven by an increase in volume, with third-party business revenue reaching 1.938 billion HKD, up 12.1% year-on-year [1] - The company is expected to achieve double-digit revenue growth in 2024, with improvements in cost efficiency anticipated for H2 2024 [1] Summary by Sections Financial Performance - For H1 2024, the company achieved a revenue of 2.927 billion HKD (+11.9% YoY) and a net profit of 308 million HKD (-13.8% YoY) [1] - The gross margin for H1 2024 was 29.98%, down 3.2 percentage points year-on-year, with a net profit margin of 10.52%, also down 3.2 percentage points year-on-year [1] - The company has increased its marketing expenses, leading to a sales expense ratio of 12.04%, up 2.9 percentage points year-on-year [1] Future Outlook - The company is expanding its product matrix and market regions, with overseas expansion expected to accelerate [1] - New production facilities in Hebei and Anhui are projected to contribute to revenue growth [1] - Revenue forecasts for 2024-2026 are adjusted to 6.884 billion, 7.616 billion, and 8.373 billion HKD, respectively, with year-on-year growth rates of 12%, 11%, and 10% [2][4]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company achieved a revenue of 2.927 billion yuan in H1 2024, representing a year-on-year growth of 11.9%, while the net profit attributable to shareholders was 308 million yuan, down 13.8% year-on-year [3] - The company is actively responding to the trend of high cost-performance consumption, with strong growth in third-party business and an accelerated expansion into e-commerce, third-party B-end, and overseas channels [3] - Due to operational pressures from affiliated parties, the profitability of the company is under pressure, leading to a downward adjustment in profit forecasts for 2024-2026 [3] Financial Forecast and Valuation - Revenue projections for 2024-2026 are 68.30 billion yuan, 76.59 billion yuan, and 83.65 billion yuan, respectively, with net profits of 8.24 billion yuan, 9.82 billion yuan, and 11.00 billion yuan [3] - Earnings per share (EPS) are expected to be 0.79 yuan, 0.95 yuan, and 1.06 yuan for the years 2024, 2025, and 2026, respectively [1][3] - The price-to-earnings (P/E) ratios are projected to be 13.0, 10.9, and 9.7 for the same years [1][3] Market Performance - The company's stock price is currently at 11.30 HKD, with a market capitalization of 11.715 million HKD [1] - The company has a total share capital of 1,037 million shares, all of which are tradable [1] Key Financial Metrics - The company reported a gross margin of 30.0% in H1 2024, a decrease of 0.5 percentage points year-on-year [3] - The return on equity (ROE) is projected to be 16% for 2024, with a net profit margin of 12.1% [1][3] - The company's sales expense ratio increased significantly due to higher advertising and freight costs [3]

Investment Rating - The investment rating for the company is "Buy" (maintained) [4] Core Views - The company reported a stable revenue performance with a 11.9% year-on-year increase in revenue to 2.927 billion yuan for the first half of 2024, while the net profit attributable to shareholders decreased by 13.8% to 308 million yuan [2][6] - The company is expected to improve profitability through mechanisms optimization, new product launches, and channel expansion [7] Financial Performance Summary - Revenue for 2024H1 reached 2.927 billion yuan, up 11.9% year-on-year, with net profit at 308 million yuan, down 13.8% [6] - The gross profit margin for 2024H1 was 29.98%, a slight increase of 0.54 percentage points year-on-year [7] - Sales expenses and management expenses for 2024H1 were 12.04% and 4.79% respectively, with year-on-year changes of +2.88 and -0.59 percentage points [7] Revenue and Profit Forecast - The company’s projected revenues for 2024, 2025, and 2026 are 6.881 billion, 7.709 billion, and 8.632 billion yuan respectively, with year-on-year growth rates of 11.93%, 12.04%, and 11.96% [7][8] - The net profit attributable to shareholders is forecasted to be 854 million, 979 million, and 1.168 billion yuan for 2024, 2025, and 2026, with growth rates of 0.13%, 14.65%, and 19.28% respectively [7][8] Market Position and Strategy - The company is focusing on enhancing its incentive mechanisms, accelerating new product development, and expanding its distribution channels, including exploring small B and e-commerce opportunities [7] - The company has seen stable growth in sales volume, with notable performance in various product categories, including hot pot condiments and Chinese compound seasonings [6][7]

业绩简评 8 月 27 日公司发布半年报业绩，24H1 实现营收 29.27 亿元，同比 增长 11.9%；实现归母净利润 3.08 亿元，同比减少 13.8%。 经营分析 第三方企稳回升，关联方海底捞α延续，餐饮小 B 拓展初见成效。 24H1 关联方/第三方/其他餐饮客户收入分别为 9.89/18.67/0.67 亿元，同比+11.5%/+10.3%/+100.7%。分产品来看方便速食及中式 复调产品口味、价格带同步优化，低基数下收入恢复双位数增长。 火锅调料下游餐饮客户竞争加剧导致压价，收入仅个位数增长。 24H1 火锅底料 / 中式复调 / 方 便 速 食 销 售 额 分 别 为 17.48/4.54/7.00 亿元，分别同比+5.6%/+24.4%/+22.2%。从量价 角度看，全品类单价均有承压，火锅底料/中式复调/方便速食 24H1 单价分别同比-12.9%/-4.7%/-12.6%。 量价策略调整致利润承压，同时政府补助及汇率造成扰动。24H1 年公司毛利率/净利率分别为 29.98%/10.53%，同比-0.54pct/- 3.14pct，净利率差异体现在汇兑损益和政府补助。毛利率下滑主 要 ...

Financial Performance - For the six months ended June 30, 2024, revenue was RMB 2,926.9 million, an increase of 11.9% compared to RMB 2,616.2 million for the same period in 2023[2] - Gross profit for the same period was RMB 877.5 million, up 9.9% from RMB 798.6 million in the prior year[2] - Operating profit decreased by 16.9% to RMB 414.0 million, down from RMB 498.4 million for the same period in 2023[2] - Net profit attributable to owners of the company was RMB 308.3 million, a decrease of 13.8% compared to RMB 357.8 million in the previous year[2] - Basic earnings per share for the period was RMB 31.78, down 13.1% from RMB 36.59 in the same period last year[2] - The company reported a total comprehensive income of RMB 321.3 million for the period, compared to RMB 376.9 million in the same period last year[5] - For the six months ended June 30, 2024, the group's revenue was RMB 2,926.9 million, an increase of 11.9% year-on-year, while net profit decreased by 11.4% to RMB 334.1 million[28] - The third-party sales revenue reached RMB 1,937.9 million, reflecting a year-on-year growth of 12.1%[30] - Net profit decreased by 11.4% from RMB 377.0 million for the six months ended June 30, 2023, to RMB 334.1 million for the same period in 2024, with basic earnings per share dropping from RMB 36.59 to RMB 31.78[51] Assets and Liabilities - Total assets as of June 30, 2024, were RMB 5,290.7 million, a decrease from RMB 6,054.4 million as of December 31, 2023[3] - Total liabilities decreased to RMB 706.5 million from RMB 965.0 million at the end of 2023[4] - Current assets totaled RMB 2,540.3 million, down from RMB 3,187.4 million at the end of 2023[3] - The company reported a net trade receivables amount of RMB 195,774,000 as of June 30, 2024, down from RMB 258,125,000 as of December 31, 2023[13] - Trade payables totaled RMB 281,034,000 as of June 30, 2024, compared to RMB 402,788,000 as of December 31, 2023, indicating a decrease in liabilities[17] - Cash and cash equivalents amounted to approximately RMB 1,864.6 million as of June 30, 2024, down from RMB 2,309.4 million as of December 31, 2023[52] - The debt-to-asset ratio was 13.4% as of June 30, 2024, compared to 15.9% as of December 31, 2023, with no bank borrowings reported[53] - Inventory as of June 30, 2024, was approximately RMB 342.2 million, down from RMB 370.5 million as of December 31, 2023, with inventory turnover days decreasing from 32.9 days to 31.3 days[54] - Trade receivables were approximately RMB 195.8 million as of June 30, 2024, down from RMB 258.1 million as of December 31, 2023, with turnover days increasing from 12.3 days to 14.0 days[55] Revenue Breakdown - Sales of hot pot seasoning to related parties amounted to RMB 887,273,000, while sales to third parties were RMB 860,246,000, contributing to a subtotal of RMB 1,747,519,000[11] - The revenue from compound seasoning reached RMB 454,411,000, with related party sales at RMB 24,232,000 and third-party sales at RMB 430,179,000[11] - The main product categories include hot pot seasoning (RMB 1,747.5 million, 59.7% of total revenue), compound seasoning (RMB 454.4 million, 15.5%), and convenient fast food (RMB 700.5 million, 23.9%) for the six months ended June 30, 2024[33] - Revenue from hot pot seasoning products increased by 5.6% from RMB 1,654.2 million in the six months ended June 30, 2023, to RMB 1,747.5 million in the same period of 2024, accounting for 59.7% of total revenue[35] - Compound seasoning revenue rose by 24.4% from RMB 365.3 million in the six months ended June 30, 2023, to RMB 454.4 million in the same period of 2024, representing 15.5% of total revenue[36] - Revenue from convenient fast food products increased by 22.2% from RMB 573.0 million in the six months ended June 30, 2023, to RMB 700.5 million in the same period of 2024, accounting for 23.9% of total revenue[38] Expenses and Costs - The cost of goods sold for the six months ended June 30, 2024, was RMB 2,541,885,000, an increase of 15.6% from RMB 2,198,231,000 in the same period of 2023[18] - Employee benefits expenses rose to RMB 311,661,000 for the six months ended June 30, 2024, compared to RMB 247,028,000 in the previous year[18] - Distribution expenses increased by 46.9% from RMB 239.8 million to RMB 352.3 million, representing 12.0% of total revenue[45] - Administrative expenses decreased by 0.4% from RMB 140.8 million to RMB 140.2 million, accounting for 4.8% of total revenue[46] - Other income and net gains decreased by 63.9% from RMB 80.4 million for the six months ended June 30, 2023, to RMB 29.0 million for the same period in 2024, primarily due to increased foreign exchange losses and a decline in government subsidies[47] - Profit before income tax decreased by 12.8% from RMB 526.9 million for the six months ended June 30, 2023, to RMB 459.6 million for the same period in 2024, primarily due to increased distribution expenses[49] Strategic Initiatives - The company plans to focus on product R&D, overseas expansion, brand promotion, and channel development in the second half of 2024, aiming to enhance product innovation and market insight[59] - The company aims to strengthen its overseas market presence by exploring local culinary cultures and expanding its product offerings to meet diverse consumer tastes, particularly targeting the halal and Middle Eastern markets[59] - The company will continue to implement a multi-brand strategy, enhancing consumer engagement through innovative marketing strategies and data analysis systems[60] - The company is focusing on enhancing channel management and expanding B-end and overseas markets to drive its multi-brand strategy[26] - The group continues to enhance its data analysis platform to improve channel management efficiency and support strategic development[30] - The company has established nine flagship stores on major e-commerce platforms such as Tmall, JD.com, and Pinduoduo[30] Corporate Governance and Compliance - The audit committee has reviewed the interim financial results for the six months ended June 30, 2024, confirming compliance with relevant accounting standards[66] - The interim financial results have been reviewed by external auditors, confirming no significant issues found[67] - The company has adopted good corporate governance principles and has complied with the corporate governance code during the reporting period[65] - There were no significant events to disclose after the reporting period[64] Dividends and Shareholder Information - The board has declared an interim dividend of RMB 0.2825 per share, totaling approximately RMB 292,867,750, to be paid in HKD at a rate of HKD 0.3088 per share[62] - The company will suspend share transfer registration from September 11 to September 16, 2024, to determine shareholders' rights to receive the interim dividend[63]

证券研究报告 港股公司|公司深度|颐海国际（01579） 激励优化，期待改善 请务必阅读报告末页的重要声明 glzqdatemark1 2024年08月12日 证券研究报告 |报告要点 餐饮连锁化率提升、门店降本诉求增强，家庭结构变化以及懒人经济发展，我们看好复合调味 品行业远期成长空间，虽短期增速换挡，深蹲蓄势、而后有望乘势而上。颐海国际作为国内复 合调味品龙头企业，2024 年以来激励机制进一步优化，由存量激励转为增量激励，或进一步 激发合伙人的积极性，同时新品研发加速、渠道布局完善，有望驱动经营端上行。站在颐海新 一轮激励优化的起点，本文详细回溯了历年变革的背景、具体举措及最终成效。良性的激励机 制有望驱动公司经营端上行，剖析本轮变革的亮点，展望新一轮成长周期。 |分析师及联系人 刘景瑜 邓洁 SAC：S0590524030005 SAC：S0590524040002 请务必阅读报告末页的重要声明 1 / 25 港股公司|公司深度 glzqdatemark2 2024年08月12日 颐海国际(01579) 激励优化，期待改善 | --- | --- | |------------|----------- ...