Core Viewpoint - The pet economy in China is experiencing significant growth, with leading companies reporting impressive financial results and a strong market outlook for the coming years [1][5]. Company Performance - Zhongchong Co., Ltd. reported a 42.56% year-on-year increase in net profit and a 24.32% increase in revenue for the first half of 2025, with its main grain business revenue surging by 85.79% [1]. - Guobao Pet's revenue reached 3.221 billion yuan, a 32.72% increase year-on-year, with a net profit of 378 million yuan, up 22.55% [1]. - Yiyi Co., Ltd. achieved a remarkable 108.34% growth in net profit for 2024, reflecting the positive sentiment in the pet industry [1]. International Market Presence - Leading pet companies have a high proportion of revenue from overseas markets, with Zhongchong Co. reporting 64.75% of its revenue from international sales [2]. - New Treasure Co. has over 78% of its revenue from overseas, while Petty Co. and Yiyi Co. have even higher proportions at around 80% and 93.47%, respectively [2]. Market Trends and Growth Potential - The Chinese pet market is projected to exceed 400 billion yuan by 2027, driven by increasing consumer spending on pets as family members [1][5]. - The average annual spending per pet is on the rise, with dog owners expected to spend 2,961 yuan and cat owners 2,020 yuan in 2024, reflecting a 3.0% and 4.9% increase year-on-year, respectively [5]. - The demand for diverse pet products, including food, snacks, toys, and even insurance, is growing, indicating a shift towards premium and personalized consumption [5][7]. Diversification and Innovation - Zhongchong Co. has seen its pet snack segment contribute significantly to its revenue, achieving 1.529 billion yuan in sales, a 6.37% increase [6]. - Companies are diversifying their product offerings, with Yiyi Co. focusing on disposable hygiene products and Tianyuan Pet expanding into various pet supplies [7]. - The industry is witnessing an influx of new players from different sectors, indicating a low concentration market with no dominant leader yet [8]. Cross-Industry Involvement - Companies from various industries are entering the pet market, such as Yongli Co. investing in smart pet appliances and Huillong New Materials investing in pet supply chain management [8]. - Major brands like Adidas and Xiaomi are also launching pet-related products, suggesting a broadening of the market landscape [8].

证券代码：001206 证券简称：依依股份 公告编号：2025-056 2025 年半年度权益分派实施公告 本公司及董事会全体成员保证信息披露内容的真实、准确和完整，没有虚假 记载、误导性陈述或重大遗漏。 特别提示： 1、根据《中华人民共和国公司法》《上市公司股份回购规则》《深圳证券交 易所上市公司自律监管指引第9号——回购股份》等相关规定，上市公司回购专用 账户中的股份不享有利润分配等权利。截至本公告披露日，天津市依依卫生用品 股份有限公司（以下简称"公司"或"本公司"）通过回购专用证券账户持有公 司股份845,887股，因此公司以本次权益分派实施时股权登记日的公司总股本减去 公司回购专户持有的股份后的股本为基数，向全体股东每10股派发现金红利2.40 元（含税），不送红股，不以公积金转增股本。公司本次实际现金分红总额=实际 参与权益分派的股本×分配比例，即：184,047,921股×0.24元/股=44,171,501.04元。 2、因公司回购专户中的股份不享有利润分配的权利，根据股票市值不变原则， 实施权益分派前后公司总股本保持不变，现金分红总额分摊到每一股的比例将减 小。按公司总股本（含回购股份）折算 ...

Core Points - The company has announced a cash dividend distribution of 2.40 yuan per 10 shares (including tax) to all shareholders, based on the total share capital minus the shares held in the repurchase account [1][3][5] - The total cash dividend amount is calculated to be 44,171,501.04 yuan, derived from the number of shares eligible for distribution [3][4][6] - The record date for the dividend distribution is set for September 2, 2025, with the dividend payment scheduled for September 3, 2025 [5][6] Summary by Sections Dividend Distribution Plan - The profit distribution plan was approved during the annual shareholders' meeting and the board meeting, ensuring compliance with profit distribution conditions [2][3] - The cash dividend will be sourced from the company's own funds, and the distribution will not include stock dividends or capital reserve transfers [3][4] Share Capital and Repurchase - As of the announcement date, the company holds 845,887 shares in the repurchase account, which will not participate in the dividend distribution [1][3] - The total share capital used for the dividend calculation is 184,893,808 shares, minus the repurchased shares, resulting in 184,047,921 shares eligible for the dividend [3][4] Dividend Calculation - The cash dividend per share is calculated as 44,171,501.04 yuan divided by 184,893,808 shares, resulting in approximately 0.2389020 yuan per share for the ex-dividend price [1][6] - The ex-dividend price will be adjusted based on the closing price on the record date minus the cash dividend per share [6] Shareholder Eligibility - The dividend distribution is applicable to all shareholders registered with the China Securities Depository and Clearing Corporation Limited as of the record date, excluding shares held in the repurchase account [5][6]

Company Overview - Yiyi Co., Ltd. is located in the Zhangjiawo Industrial Zone, Xiqing District, Tianjin, and was established on May 10, 1990. The company was listed on May 18, 2021. Its main business involves the research, production, and sales of disposable hygiene products and non-woven fabrics [2]. Financial Performance - As of August 20, 2023, Yiyi Co., Ltd. reported a total revenue of 888 million yuan for the first half of 2025, representing a year-on-year growth of 9.34%. The net profit attributable to the parent company was 102 million yuan, with a year-on-year increase of 7.37% [2]. - The company has distributed a total of 487 million yuan in dividends since its A-share listing, with 345 million yuan distributed over the past three years [3]. Stock Performance - Yiyi Co., Ltd.'s stock price has increased by 56.49% year-to-date, but it has seen a decline of 3.40% over the last five trading days and a slight decrease of 0.75% over the past 20 days. In contrast, the stock rose by 13.00% over the last 60 days [2]. - As of August 27, 2023, the stock was trading at 25.29 yuan per share, with a market capitalization of 4.676 billion yuan. The trading volume was 90.9382 million yuan, with a turnover rate of 3.43% [1]. Shareholder Information - As of June 30, 2025, the number of shareholders for Yiyi Co., Ltd. was 18,100, a decrease of 2.09% from the previous period. The average number of circulating shares per person increased by 2.13% to 5,870 shares [2][3]. - The company has appeared on the stock market's "Dragon and Tiger List" once this year, with the most recent occurrence on May 21 [2]. Business Segmentation - The main revenue sources for Yiyi Co., Ltd. include pet pads (86.05%), pet diapers (7.42%), non-woven fabrics (4.85%), and other disposable hygiene products [2]. - The company operates within the beauty and personal care industry, specifically in the personal care and household paper segment, and is associated with concepts such as small-cap stocks, multi-child concepts, pet economy, share buybacks, and cross-border e-commerce [2]. Institutional Holdings - As of June 30, 2025, the top ten circulating shareholders of Yiyi Co., Ltd. saw the exit of Yinhua Value Preferred Mixed Fund (519001) from the list [3].

Investment Rating - The report maintains a "Buy" rating for the company, indicating a strong performance relative to the market [7]. Core Insights - The company reported its 2025 mid-year results, which met expectations, with a revenue of 888 million yuan for H1 2025, reflecting a year-on-year increase of 9.3%. The net profit attributable to the parent company was 102 million yuan, up 7.4% year-on-year [7]. - The impact of tariffs on revenue was significant in Q2 2025, but recovery is expected as orders gradually resume. The company has a strong market position, with its pet hygiene products accounting for over 30% of the domestic customs export volume in the same category [7]. - Profitability improved due to declining raw material prices, with a gross margin of 19.1% in Q2 2025, up 0.3 percentage points quarter-on-quarter. The net profit margin also showed resilience, increasing to 11.9% in Q2 2025 [7]. - The company is confident in its future growth, as evidenced by employee stock ownership plans, share buybacks, and insider purchases, which align the interests of management and employees with the company's performance [7]. - The global pet industry is experiencing growth, and the company is well-positioned in the pet hygiene product segment, benefiting from a recovery in raw material prices and increased production capacity [7]. Financial Summary - Total revenue is projected to grow from 1,798 million yuan in 2024 to 1,980 million yuan in 2025, with a year-on-year growth rate of 10.2% [3]. - The net profit attributable to the parent company is expected to increase from 215 million yuan in 2024 to 238 million yuan in 2025, reflecting a growth rate of 10.6% [3]. - The earnings per share (EPS) is forecasted to rise from 1.18 yuan in 2024 to 1.29 yuan in 2025 [3].

Summary of Conference Call Records Industry Overview - The focus is on the furniture industry, particularly in the context of U.S. import tariffs and the impact of Federal Reserve interest rate expectations on market dynamics [1][4][5]. Key Points and Arguments 1. **Interest Rate Expectations**: - Market expectations for a Federal Reserve rate cut have significantly increased, with a 94% probability for a September cut and an expectation of 2.2 cuts within the year [1][2]. - By the end of 2026, the anticipated number of cuts has risen to 5.3 [2]. 2. **Impact of Tariff Investigations**: - The Trump administration announced a tariff investigation on imported furniture to boost domestic manufacturing, which initially caused stock price declines for U.S. furniture companies reliant on imports [4]. - Despite this, the expectation of interest rate cuts has mitigated some negative impacts, with some companies' stock prices recovering above pre-announcement levels [4]. 3. **Chinese Manufacturers' Competitive Edge**: - U.S. dependence on furniture imports remains high, particularly in labor-intensive segments, allowing Chinese manufacturers to maintain a competitive advantage due to cost-effectiveness [5]. - A potential surge in exports is expected in the next 50 days as companies rush to ship products before potential tariffs take effect [5]. 4. **Investment Opportunities**: - Companies with domestic production capabilities, such as Mengbaihe and Aili Home, are expected to benefit from potential tariff advantages [1][6]. - Firms with strong alpha characteristics and low valuations, like Jiangxin Home, are also recommended for investment [1][6]. 5. **Export Chain Recovery Logic**: - The recovery logic for the export chain includes product differentiation, valuation recovery due to reduced tariff risks, and new business opportunities [3][8]. - Export leaders are projected to achieve a PEG valuation of 1 to 1.5 times, indicating a potential upside of over 30% for some companies [3][9]. 6. **High Growth Companies**: - Companies like Jieja Co. and Nobon Co. have shown significant growth despite industry pressures, indicating a potential turning point in performance [10]. - Future growth is anticipated for companies such as Zhejiang Nature and Jieya Co. due to optimistic growth forecasts [11]. 7. **New Drivers for Valuation Improvement**: - New factors such as the development of proprietary brands and merger/acquisition expectations are expected to enhance company valuations [12]. - Companies in stable sectors, like pet products, are highlighted for their growth potential post-tariff pressures [12]. 8. **Main Lines of Recent Recovery**: - The recent recovery in the export sector is driven by reasonable PEG valuations, high growth opportunities following performance turning points, and new drivers from brand development and acquisitions [13]. Other Important Insights - The furniture industry is facing a critical period with potential tariff impacts, but the long-term competitive landscape for Chinese manufacturers remains strong due to their cost advantages and product development capabilities [5][7]. - The overall sentiment suggests that while short-term challenges exist, the long-term outlook for companies with strong fundamentals and innovative capabilities remains positive [13].

Investment Rating - The report maintains a "Buy" rating for the company, with a target price not specified [4]. Core Views - The company has demonstrated a stable performance with a revenue of 400 million yuan in Q2 2025, a year-on-year decrease of 6.1%, and a net profit of 50 million yuan, down 9.1% year-on-year. However, for the first half of 2025, revenue increased by 9.3% to 890 million yuan, and net profit rose by 7.4% to 100 million yuan [1]. - The company is expanding its market presence in non-US regions such as Europe and Southeast Asia to mitigate market risks, while its operations in the US have returned to normal [1][2]. - The gross margin for Q2 2025 was 19.1%, a slight decrease of 0.4 percentage points year-on-year, indicating stable profitability [1]. Financial Performance - In the first half of 2025, the company distributed cash dividends amounting to 44 million yuan, with a dividend payout ratio of 43% [1]. - The revenue breakdown for the first half of 2025 shows pet pads generating 760 million yuan (up 7.3% year-on-year), pet diapers at 70 million yuan (up 40.6%), and non-woven fabric at 40 million yuan (up 14.6%) [1]. - The company has established a significant production capacity, with annual production of 4.6 billion pet pads and 200 million pet diapers domestically, alongside a new overseas capacity in Cambodia [2]. Market Position and Strategy - The company has become a key supplier for several well-known multinational companies, leveraging its scale, product quality, and production management capabilities [2]. - The domestic market for pet hygiene products is rapidly growing, and the company is actively building its own brands to capitalize on this trend [3]. - The report highlights the company's long-term advantages in customer and channel development, supported by its overseas production base and domestic brand growth [4].

Investment Rating - The investment rating for the company is not explicitly stated in the provided documents, but the report indicates a positive outlook for the second half of the year, suggesting potential for improvement in performance [1][2]. Core Views - The company reported a revenue of 888 million yuan in H1 2025, representing a year-on-year increase of 9.3%, and a net profit attributable to the parent company of 102 million yuan, up 7.4% [1]. - In Q2 2025, the company experienced a revenue decline of 6.1% to 403 million yuan and a net profit decrease of 9.1% to 48 million yuan, attributed to tariff impacts [1][2]. - The company maintains a strong customer base with high entry barriers for suppliers, leading to strong customer retention and stable growth in the U.S. market despite tariff disruptions [2]. - The company’s production capacity has expanded significantly, with domestic pet pad capacity reaching 4.6 billion pieces and overseas capacity in Cambodia expected to improve exports to the U.S. in H2 2025 [2]. Financial Performance Summary - For H1 2025, the company's main product, pet pads, generated revenue of 764 million yuan, a year-on-year increase of 7.3% [2]. - The gross margin for Q2 2025 was 19.1%, with a net profit margin of 11.9%, indicating stable profitability despite slight declines [3]. - The company’s operating cash flow for Q2 2025 was 118 million yuan, showing strong cash flow performance [3]. - Profit forecasts for 2025-2027 estimate net profits of 240 million, 290 million, and 350 million yuan, respectively, with corresponding P/E ratios of 20.2X, 16.3X, and 13.4X [3].

Financial Performance - In the first half of 2025, the company achieved a revenue of 888 million CNY, a year-on-year increase of 9.34% [2] - Overseas revenue reached 830 million CNY, growing by 9.43%, while domestic revenue was 58.01 million CNY, up by 8.03% [2] - Net profit attributable to shareholders was 102 million CNY, an increase of 7.37% year-on-year, with a net profit of 89.81 million CNY after excluding non-recurring gains and losses, reflecting a growth of 9.11% [3] Product Performance - Core products showed stable growth: pet pads increased by 7.28%, pet diapers by 40.58%, and non-woven fabric products by 14.57% [2] - The gross profit margin for the first half of 2025 was 18.97%, up by 0.09 percentage points year-on-year, with a second-quarter margin of 19.11%, increasing by 0.26 percentage points quarter-on-quarter [3] Market Expansion - The company successfully expanded its global market presence, acquiring nearly 10 new clients in key regions such as Brazil, the UK, and Spain [5] - The company invested in its first overseas production base in Cambodia, which commenced operations in May 2025, to enhance supply chain resilience [6] Industry Insights - China remains the largest production hub for disposable pet hygiene products, with the company holding nearly 40% of the export market share [4] - The company aims to enhance domestic market penetration by targeting young pet owners and developing specialized products for aging pets [7] Shareholder Returns - The company maintains a commitment to investor returns, with plans for at least two stable dividends annually, even amidst tariff disruptions [8] - A floating dividend mechanism linked to performance will be established to balance shareholder returns with company growth needs [8]

Financial Performance - Company reported total revenue of 888 million yuan for the first half of 2025, a year-on-year increase of 9.34% [1] - Net profit attributable to shareholders reached 102 million yuan, up 7.37% year-on-year [1] - In Q2 2025, total revenue was 403 million yuan, a decline of 6.05% compared to the same period last year [1] - Q2 net profit attributable to shareholders was 48.11 million yuan, down 9.09% year-on-year [1] - Gross margin was 18.97%, an increase of 0.46% year-on-year, while net margin was 11.5%, a decrease of 1.81% [1] - Total operating expenses were 34.30 million yuan, accounting for 3.86% of revenue, an increase of 10.51% year-on-year [1] - Earnings per share increased to 0.55 yuan, up 7.84% year-on-year [1] Cash Flow and Assets - Operating cash flow per share surged to 1.03 yuan, a dramatic increase of 4763.93% year-on-year [1] - Cash and cash equivalents increased by 186.42%, attributed to higher cash receipts from sales [4] - Accounts receivable accounted for 148.6% of net profit, indicating a significant amount of outstanding payments [1][4] Market and Industry Insights - The company is focusing on expanding its market presence in non-US regions such as Europe and Southeast Asia to mitigate risks from tariff policies [5] - The domestic market for pet hygiene products is expected to grow due to increasing pet ownership among younger generations and the aging pet population [7][8] - The company plans to enhance its self-owned brands and expand its market share through a combination of online and offline strategies [9] Future Strategy - The company aims to implement a dual-circulation strategy focusing on both domestic and overseas markets, as well as a dual-engine approach combining ODM/OEM and self-owned brands [10] - Future investments will target essential pet products, including cat litter, pet food, and medical vaccines, to capitalize on market opportunities [10]