Market Overview - The personal care products sector experienced a decline of 1.87% on September 1, with Haoyue Care leading the drop [1] - The Shanghai Composite Index closed at 3875.53, up 0.46%, while the Shenzhen Component Index closed at 12828.95, up 1.05% [1] Stock Performance - Notable stock performances include: - Yiyi Co., Ltd. (001206) closed at 25.98, up 2.81% with a trading volume of 91,800 shares and a turnover of 238 million yuan [1] - Haoyue Care (605009) closed at 36.35, down 10.00% with a trading volume of 111,800 shares and a turnover of 408 million yuan [2] - Zhongshun Jierou (002511) closed at 8.64, down 1.48% with a trading volume of 186,900 shares and a turnover of 162 million yuan [2] Capital Flow - The personal care products sector saw a net outflow of 147 million yuan from institutional investors, while retail investors experienced a net inflow of 98.24 million yuan [2] - The capital flow for individual stocks shows: - Ziya Co., Ltd. (003006) had a net inflow of 6.03 million yuan from institutional investors [3] - Haoyue Care (605009) had a significant net outflow of 622.31 million yuan from institutional investors [3]

Core Viewpoint - Haoyue Care (605009.SH) experienced a limit down, with its stock price reaching a new low since mid-April this year, resulting in a total market value of 7.82 billion [1] Financial Performance - The company reported a total operating revenue of 1.76 billion, representing a year-on-year increase of 34.03% [1] - The net profit attributable to the parent company was 148 million, showing a year-on-year decline of 23.47% [1] - In the second quarter, the operating revenue was 849 million, reflecting a year-on-year increase of 26.07% [1] - The net profit attributable to the parent company in the second quarter was 57.87 million, which is a year-on-year decrease of 46.55% [1] Expense Analysis - The proportion of three major expenses (financial, sales, and management) significantly increased, with the total expenses as a percentage of total revenue rising by 126.14% year-on-year [1]

Summary of the Conference Call for HaoYue Care Company Overview - **Company**: HaoYue Care - **Industry**: Baby and adult hygiene products Key Points Financial Performance - In the first half of 2025, HaoYue Care achieved revenue of 3.3 billion yuan, a year-on-year increase of 3.13%, but net profit significantly declined due to high sales expenses, with a sales expense ratio reaching 43% [2][4] - For Q2 2025, revenue was 8.5 billion yuan, a year-on-year growth of 26.07%, but net profit fell by 46% to 580 million yuan [3] - The gross margin for Q2 was 31.36%, an increase of 1.05 percentage points year-on-year, while the net margin was 6.82%, a decrease of approximately 9 percentage points [3] Product and Market Strategy - HaoYue Care is focusing on promoting new products with higher unit prices and gross margins to enhance overall profitability [2][3] - The company has launched several new products, leading to increased sales expenses, particularly in online marketing [6] - The company’s own brands, such as Thailand's Sunny Baby and domestic wet wipes, have achieved double-digit growth, but face challenges from changes in TikTok platform rules and intensified competition [2][12] International Expansion - HaoYue Care is investing in overseas markets, specifically in Peru and Tanzania, to leverage geographical advantages and cost benefits [5] - The Peru project aims to serve the entire Latin American market, while the Tanzania project targets the rapidly growing East African market [5] - The construction period for these projects is expected to be around two years, with some production lines potentially starting earlier [7] ODM and Competitive Landscape - The ODM business for diapers saw double-digit growth in Q1 2025, but faced a decline in Q2 due to negative events affecting a key client [18] - The company has adjusted pricing strategies to maintain good relationships with downstream clients amid rising logistics costs [14] Future Outlook - The company anticipates that the recent government policies promoting childbirth will eventually lead to an increase in newborn birth rates, positively impacting the baby hygiene products market [19] - Future sales strategies will focus on balancing revenue growth with profitability, especially during the upcoming consumer goods sales peak season [6][8] Challenges and Adjustments - The company is facing increased sales expenses due to the need for higher marketing investments to maintain market presence [14] - Adjustments in sales strategies are planned to respond to competitive pressures and changes in market dynamics [13] Dividend and Buyback Plans - HaoYue Care has maintained a high dividend payout rate but did not declare a dividend for mid-2025 due to ongoing overseas investment plans [20] - Future dividend and buyback decisions will depend on profitability in the upcoming quarters [20]

Group 1 - The company held its 16th meeting of the 3rd Board of Directors on August 29, 2025, with all 7 directors present, ensuring compliance with legal regulations [1][2] - The Board approved the 2025 semi-annual report and its summary, which had been pre-reviewed by the Audit Committee and received written opinions from the Supervisory Board [1] - The Board passed a resolution to establish a foreign exchange hedging management system, with unanimous approval from all directors [2] Group 2 - The Board approved the proposal to conduct foreign exchange hedging business, with all directors voting in favor [2] - The Board approved the establishment of a subsidiary in Tanzania and the construction of a production base, with unanimous support from the Board [2][3] - The Board also approved the establishment of a subsidiary in Peru and the construction of a production base, receiving unanimous approval [3] - The Board decided to suspend the investment in the Mexico production base project, with all directors voting in favor [3]

Group 1 - The third meeting of the supervisory board of Hangzhou Haoyue Nursing Products Co., Ltd. was held on August 29, 2025, with all three supervisors present, confirming compliance with relevant laws and regulations [1][2] - The supervisory board approved the 2025 semi-annual report, stating that the report accurately reflects the company's operational and management status during the reporting period, with no false records or omissions [1][2] - The board also approved a proposal to conduct foreign exchange hedging business, which is deemed beneficial for mitigating the adverse effects of exchange rate fluctuations on the company's operations [2]

Core Viewpoint - The company, Haoyue Nursing (605009), announced that as of the date of the announcement, neither the company nor its subsidiaries have any overdue guarantees [1] Group 1 - The company has confirmed the absence of overdue guarantees, indicating a stable financial position [1]

（文章来源：证券日报） 证券日报网讯 8月29日晚间，豪悦护理发布公告称，公司第三届监事会第十二次会议审议通过了《2025 年半年度报告及其摘要》《关于开展外汇套期保值业务的议案》。 ...

Core Viewpoint - Hangzhou Haoyue Nursing Products Co., Ltd. plans to conduct foreign exchange hedging transactions with domestic commercial banks to mitigate exchange rate fluctuation risks, with a maximum amount of up to $25 million [1] Summary by Sections Business Overview - The company and its subsidiaries intend to engage in foreign exchange hedging transactions with a maximum amount of $22 million or equivalent foreign currency, with a maximum margin and premium of 20 million RMB or equivalent foreign currency [1] - The funding for the hedging activities will come from the company's own funds, and will not involve raised funds [1] - The transactions will include various foreign exchange derivatives such as forward, swap, and option transactions, aimed at locking in exchange rate risks and costs [1] - The authorization for these transactions is valid for twelve months from the date of approval by the board of directors [1] Approval Process - The transaction requires approval from the board of directors and does not need to be submitted to the shareholders' meeting, nor does it involve related party transactions [2] Risk Analysis - The company acknowledges potential risks including exchange rate fluctuation risks, performance risks from financial institutions, and operational risks due to the complexity of the transactions [3] - A management system for foreign exchange hedging has been established to ensure compliance and to avoid speculative trading [3] Accounting and Supervisory Opinions - The company will account for and disclose the foreign exchange hedging activities according to relevant accounting standards [4] - The supervisory board supports the hedging activities, stating that they are beneficial for mitigating adverse effects from exchange rate fluctuations and that the decision-making process is legal and compliant [4]

Group 1 - The company announced the approval of multiple proposals, including the "2025 Semi-Annual Report and its Summary" during the 16th meeting of the third board of directors [2]

Core Insights - The company reported a total revenue of 1.76 billion yuan for the first half of 2025, with a significant portion coming from baby hygiene products [1] - The total profit amounted to 171 million yuan, reflecting a year-on-year decline of 22.77%, while the net profit attributable to shareholders was 148 million yuan, down 23.47% year-on-year [1] Revenue Breakdown - Baby hygiene products generated 931 million yuan, accounting for 52.90% of total revenue [1] - Adult hygiene products contributed 639 million yuan, representing 36.31% of total revenue [1] - Other products brought in 190 million yuan, making up 10.79% of total revenue [1] Business Overview - The company specializes in the research, manufacturing, and sales of hygiene care products for women, infants, and adults [1] - Product offerings include disposable hygiene items such as baby diapers, adult diapers, menstrual pants, sanitary napkins, and wet wipes [1]