Investment Rating - The report maintains a "Recommended" rating for the company, considering its current valuation at historical lows and the potential for growth through new channel development [5]. Core Insights - The company's main business remains under pressure, but new channels are showing strong performance. In Q2 2025, revenue increased by 5.7% year-on-year, while cash collection improved by 14.7% [5]. - The company is actively capturing opportunities in new channels domestically and expanding into Southeast Asia internationally, aiming to transition from a domestic leader to an international brand [5]. - The financial forecasts indicate a revenue growth of 5% in 2025, with a slight decline in net profit expected in the same year, followed by a recovery in subsequent years [5]. Financial Performance Summary - **Revenue Forecasts**: - 2024A: 15,126.65 million - 2025E: 15,913.24 million - 2026E: 16,915.77 million - 2027E: 17,947.63 million - Revenue growth rates are projected at 7.70% for 2024, 5.20% for 2025, 6.30% for 2026, and 6.10% for 2027 [2][7]. - **Net Profit Forecasts**: - 2024A: 1,484.83 million - 2025E: 1,421.36 million - 2026E: 1,481.49 million - 2027E: 1,567.07 million - Profit growth rates are expected to be 0.46% for 2024, -4.27% for 2025, 4.23% for 2026, and 5.78% for 2027 [2][7]. - **Key Financial Ratios**: - Gross margin is projected to decline from 23.30% in 2024 to 21.30% from 2025 onwards [2]. - The diluted EPS is expected to decrease slightly from 4.46 in 2024 to 4.26 in 2025, before recovering to 4.70 by 2027 [2][7]. - **Market Performance**: - As of August 25, 2025, the stock price was 77.06, with a market capitalization of 226 billion [3]. Business Segment Performance - In Q2 2025, the main business segments showed varied performance: - Frozen prepared foods: -1.4% - Cooked dishes: +26.1% - Frozen noodles and rice products: -10.8% - Agricultural products: -4.8% - Other businesses: -74.7% [5]. - The company is focusing on enhancing its presence in emerging channels, with significant growth in new retail and e-commerce, which saw a revenue increase of 35.2% in Q2 2025 [5].

Investment Rating - The investment rating for the company is "Accumulate" with a target price of 103.50 CNY per share [2][5]. Core Views - The company is facing pressure on profit margins due to increased competition and weak demand, leading to a need for new products and channels to drive performance [3]. - The company is expected to maintain a competitive edge as a leading player in the frozen food sector, with a projected EPS of 4.14, 4.62, and 5.29 CNY for 2025-2027 [11]. Financial Summary - Total revenue is projected to grow from 14,045 million CNY in 2023 to 18,904 million CNY in 2027, with a CAGR of approximately 9.6% [4]. - Net profit attributable to the parent company is expected to decline from 1,478 million CNY in 2023 to 1,381 million CNY in 2025, before recovering to 1,762 million CNY in 2027 [4]. - The gross profit margin is expected to decrease to 21.0% in 2025, reflecting competitive pressures and rising costs [12]. Revenue Growth - In Q2 2025, the company reported a revenue of 40.05 billion CNY, a year-on-year increase of 5.69%, while the net profit attributable to the parent company was 2.81 billion CNY, down 22.74% year-on-year [11]. - The revenue breakdown by product in Q2 2025 shows significant growth in the dish segment, with a revenue of 15.8 billion CNY, up 26.05% [11]. Market Position - The company is actively innovating with new products and has established partnerships with major retailers like Walmart and Metro to enhance its market presence [11]. - The company’s market capitalization is approximately 25,683 million CNY, with a current share price of 77.06 CNY [6].

Investment Rating - The report maintains a "Buy" rating for the company, expecting a relative price increase of over 20% against the market benchmark within the next six months [4][14]. Core Views - The company reported a revenue of 7.604 billion yuan for the first half of 2025, a year-on-year increase of 0.80%, while the net profit attributable to shareholders was 676 million yuan, a decrease of 15.79% year-on-year [1]. - The company is experiencing phase-specific pressure on profitability, primarily due to rising raw material costs, particularly for key products like crayfish and fish paste [3]. - The new retail channel is showing significant growth, with a year-on-year increase of 35.15% in the second quarter of 2025, indicating a successful strategic shift [2]. Financial Performance Summary - For Q2 2025, the company achieved a revenue of 4.005 billion yuan, up 5.69% year-on-year, but the net profit decreased by 22.74% to 281 million yuan [1][2]. - The gross margin for the first half of 2025 was 20.52%, down 3.39 percentage points year-on-year, while the gross margin for Q2 was 18.00%, down 3.29 percentage points year-on-year [3]. - The company plans to distribute an interim dividend of 1.425 yuan per share, totaling 473 million yuan, which represents 70.02% of the net profit for the first half of 2025 [1]. Sales Performance - In Q2 2025, the company’s sales by category were as follows: frozen prepared foods 1.750 billion yuan, dishes 1.580 billion yuan, noodles and rice 583 million yuan, and agricultural products 87 million yuan, with the dishes segment showing a significant increase driven by crayfish sales [2]. - By channel, the revenue from distributors, direct sales, supermarkets, and new retail/e-commerce was 3.134 billion yuan, 328 million yuan, 152 million yuan, and 391 million yuan respectively, with new retail and e-commerce channels benefiting from strategic focus [2]. Future Outlook - The company is expected to benefit from seasonal demand recovery in the second half of the year, alongside the integration of acquisitions that will enhance its market presence in premium supermarkets and convenience stores [3]. - The forecast for net profit attributable to shareholders for 2025-2027 is adjusted to 1.416 billion yuan, 1.659 billion yuan, and 1.859 billion yuan respectively, reflecting a year-on-year decrease of 5% in 2025 but growth in subsequent years [4].

Investment Rating - The investment rating for the company is "Buy" and is maintained [1][4][7] Core Views - The company reported a revenue of 76.04 billion yuan for the first half of 2025, representing a year-on-year increase of 0.80%, while the net profit attributable to shareholders was 6.76 billion yuan, a decrease of 15.79% year-on-year [5] - The company aims to strengthen product-driven strategies and explore channel potential, focusing on new product development and customized offerings for retail partners [5] - Future revenue projections for 2025-2027 are set at 157.32 billion, 167.04 billion, and 176.46 billion yuan, with expected growth rates of 4%, 6%, and 6% respectively [5] Financial Summary - Total shares outstanding are 333.29 million, with a market price of 77.06 yuan, leading to a market capitalization of 25,683.25 million yuan [2] - The company's revenue forecast for 2023A, 2024A, 2025E, 2026E, and 2027E is 14,045 million, 15,127 million, 15,732 million, 16,704 million, and 17,646 million yuan respectively, with growth rates of 15%, 8%, 4%, 6%, and 6% [4][6] - The net profit attributable to shareholders for the same years is projected at 1,478 million, 1,485 million, 1,361 million, 1,493 million, and 1,617 million yuan, with growth rates of 34%, 0%, -8%, 10%, and 8% [4][6]

Core Viewpoint - Ping An Securities report indicates that Anjuke Foods experienced a slight revenue growth of 0.80% year-on-year in the first half of 2025, but net profit declined by 15.79% due to rising raw material costs [1] Financial Performance - The company achieved operating revenue of 7.604 billion yuan in the first half of 2025 [1] - The net profit attributable to shareholders was 676 million yuan, reflecting a year-on-year decrease of 15.79% [1] Product Segment Analysis - Frozen prepared foods generated revenue of 3.759 billion yuan, down 1.94% year-on-year [1] - Frozen dishes saw revenue of 2.416 billion yuan, marking a growth of 9.40% year-on-year [1] - Frozen noodles and rice products reported revenue of 1.241 billion yuan, a decline of 3.89% year-on-year [1] - Agricultural and other products achieved revenue of 181 million yuan, down 4.57% year-on-year [1] - Only frozen dishes recorded positive growth among the product segments [1] Strategic Acquisitions - In July 2025, the company completed the acquisition of 70% of Jiangsu Dingwei Thai Food Co., Ltd. and 100% of Dingyifeng Food (Taicang) Co., Ltd. [1] - This acquisition allows the company to enter the frozen baking sector, which has good growth potential [1] - The company plans to integrate Dingwei Thai's advantages in high-end cod fish paste products and the comprehensive layout in the frozen baking sector [1] Management and Market Position - The company benefits from a strong management team, stable distributors, and accumulating scale advantages, which create competitive barriers [1] - There is optimism regarding the company's continued efforts in the frozen food and prepared dishes sectors [1]

Core Viewpoint - Citigroup's report indicates that Anjoy Foods' Q2 revenue grew by 6% year-on-year, meeting expectations, while net profit fell by 23% year-on-year, missing expectations due to rising raw material and manufacturing costs, as well as increased discounting leading to lower gross margins [1] Financial Performance - Q2 revenue increased by 6% year-on-year, aligning with market expectations [1] - Net profit decreased by 23% year-on-year, falling short of expectations [1] - Gross margin was negatively impacted by rising costs and increased discounting [1] Product Performance - Sales of meat, fish paste products, and noodle and rice products declined [1] - Sales of vegetable dishes increased, particularly for crayfish, which saw double-digit growth due to price recovery [1] Dividend Policy - Dividend payout ratio increased to 70% [1] Future Outlook - Citigroup has lowered its net profit forecasts for 2025 to 2027 by 10% to 14% to reflect reduced gross margin expectations [1] - Despite ongoing headwinds in the restaurant industry, Anjoy Foods remains attractive due to its strong product portfolio and channel expansion initiatives [1] - Citigroup maintains a "Buy" rating on Anjoy Foods, with a slight decrease in target price from HKD 75 to HKD 74.8 [1]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The report highlights that the pressure on profitability was concentrated in Q2, and there is a focus on increasing product channels during the peak season [7] - The company achieved a revenue of 76.04 billion yuan in H1 2025, with a year-on-year growth of 0.8%, while the net profit attributable to shareholders was 6.76 billion yuan, down 15.8% year-on-year [7] - The report notes that the company is experiencing a decline in gross margin due to rising raw material costs and increased promotional activities, with a Q2 gross margin of 18.0%, down 3.3 percentage points year-on-year [7] - New product launches and channel expansions are expected to drive revenue growth in the second half of the year, particularly with the introduction of higher-margin products [7] - The report has adjusted the profit forecast for 2025-2027, expecting net profits of 14.3 billion yuan, 16.2 billion yuan, and 19.1 billion yuan respectively, with a corresponding PE ratio of 18, 16, and 13 times [7] Financial Summary - Total revenue for 2023 is projected at 14,045 million yuan, with a year-on-year growth of 15.29% [1] - The net profit attributable to shareholders for 2023 is estimated at 1,478 million yuan, reflecting a year-on-year increase of 34.24% [1] - The latest diluted EPS for 2023 is forecasted to be 4.43 yuan per share [1] - The company’s total assets are expected to reach 17,375 million yuan in 2024, with a projected increase to 21,551 million yuan by 2027 [8] - The company maintains a high dividend payout ratio of 70% for the mid-year distribution [7]

Financial Performance - For the first half of 2025, the company's operating revenue was approximately 7.60 billion, a slight increase from 7.54 billion in the same period last year, reflecting a year-on-year growth of 0.8% [1] - The total profit for the same period was approximately 886 million, down from 1.06 billion year-on-year, indicating a decline of about 16.5% [1] - The net profit attributable to shareholders was approximately 676 million, a decrease from 803 million, representing a decline of about 15.8% [1] - The net profit after deducting non-recurring gains and losses was approximately 603 million, down from 772 million, showing a decline of about 21.9% [1] - The net cash flow from operating activities was negative 162.92 million, a significant decrease from 509.12 million in the previous year [1] Profitability Ratios - The weighted average return on equity for the first half of 2025 was 5.1%, down by 1.11 percentage points year-on-year [28] - The return on invested capital for the same period was 4.84%, a decrease of 0.95 percentage points compared to the previous year [28] Cash Flow Analysis - The net cash flow from operating activities was negative 1.63 billion, a decrease of 667.2 million year-on-year [30] - The net cash flow from financing activities was negative 168 million, an increase of 291 million year-on-year [30] - The net cash flow from investing activities was 276 million, compared to 36.26 million in the same period last year [30] Asset and Liability Changes - As of the end of the first half of 2025, cash and cash equivalents decreased by 20.81%, while inventory increased by 12.93% [44] - Short-term borrowings increased by 442.22%, indicating a significant rise in leverage [47] - Accounts receivable increased by 28.66%, reflecting a rise in credit extended to customers [44] Shareholder Composition - The top ten shareholders included a new entry, the CSI 500 ETF, replacing the previous quarter's National Social Security Fund [56] - The shareholding of the National Social Security Fund 102 portfolio increased, while several other funds reduced their holdings [56][57] Valuation Metrics - As of August 25, the company's price-to-earnings ratio (TTM) was approximately 18.91, the price-to-book ratio (LF) was about 1.93, and the price-to-sales ratio (TTM) was around 1.69 [1]

Investment Rating - The report maintains a "Buy" rating for the company [2] Core Views - The company is in a phase of operational adjustment, focusing on customized product innovation for supermarkets and embracing large B-end customers and new retail clients [5][6] - For the second half of the year, the company expects improved sales performance compared to June and July, although profitability may face pressure due to increased promotions, higher depreciation costs, and significant investments in new facilities [5][6] - The projected net profits for the years 2025 to 2027 are estimated at 1.495 billion, 1.705 billion, and 1.923 billion respectively, with corresponding EPS of 4.49, 5.12, and 5.77 [5][6] Financial Performance Summary - In the first half of 2025, the company achieved a revenue of 76.04 billion, a year-on-year increase of 0.8%, while the net profit attributable to the parent company was 6.76 billion, a decrease of 15.79% [5][6] - For Q2 2025, the company reported revenues of 40.05 billion, with a net profit of 2.81 billion, reflecting a year-on-year increase of 5.69% in revenue but a decrease of 22.74% in net profit [5][6] - The company’s gross margin for Q2 was 18.00%, down 3.29 percentage points year-on-year, primarily due to rising raw material costs and increased promotional activities [5][6] Product and Channel Performance - The company is actively expanding its customized products for supermarkets and new retail channels, with significant growth in frozen dishes, particularly a 20% increase in the sales of flavored crayfish [5][6] - Revenue from various product categories in Q2 includes frozen prepared foods at 17.50 billion, frozen dishes at 15.80 billion, and frozen rice and noodle products at 5.83 billion, with the latter experiencing a decline of 10.8% [5][6] - Revenue from different sales channels shows stability in the distributor channel, while new retail and e-commerce channels have seen rapid growth, with increases of 35.1% year-on-year [5][6]

Investment Rating - The report maintains a "Strong Buy" rating for the company with a target price of 100 yuan [1][6]. Core Views - The company is currently under pressure but is strategically positioning itself for recovery. The report highlights that despite short-term challenges, there is potential for improvement in the latter half of the year, particularly with new product launches and channel expansions [6][7]. Financial Performance Summary - **Revenue Forecasts**: Projected total revenue for 2024 is 15,127 million yuan, increasing to 15,778 million yuan in 2025, with a growth rate of 7.7% and 4.3% respectively [2][11]. - **Net Profit Forecasts**: Expected net profit for 2024 is 1,485 million yuan, decreasing to 1,411 million yuan in 2025, reflecting a growth rate of 0.5% and a decline of 5.0% respectively [2][11]. - **Earnings Per Share (EPS)**: EPS is projected to be 4.46 yuan in 2024, dropping to 4.23 yuan in 2025, and then increasing to 4.62 yuan in 2026 [2][11]. - **Profitability Ratios**: The report indicates a net profit margin of 7.0% for Q2 2025, down 2.6 percentage points year-on-year, with a gross margin of 18.0% [6][7]. Market Performance - The company's stock price as of August 25, 2025, was 77.06 yuan, with a market capitalization of approximately 256.83 billion yuan [3][6]. - The report notes that the company has experienced a significant increase in sales through new retail and e-commerce channels, with double-digit growth in these areas [6][7]. Product and Channel Insights - The company has seen varied performance across its product lines, with notable growth in new products such as small lobster products exceeding 1 billion yuan in revenue and a significant increase in sales of grilled sausages [6][7]. - The report emphasizes the importance of adapting to market demands and enhancing product offerings to improve revenue streams [6][7].