Summary of Key Points from the Conference Call Industry Overview - The pet industry showed remarkable performance during the 2025 618 shopping festival, with Tmall reporting that 43 brands achieved over 100 million yuan in sales within the first hour, a year-on-year increase of over 50% [1][4] - The overall market for pet food is experiencing a trend towards refined and scientific feeding practices, with China ranking second globally in market size [3][20] Core Insights and Arguments - **Promotional Strategies**: Tmall implemented a unified 15% discount policy across all products, simplifying the purchasing process for consumers, while JD continued its strategy of discounts and cross-store promotions [2][4] - **Consumer Behavior**: There is a growing trust in domestic pet brands, with 10 out of 12 pet brands in the top 500 online brands being domestic, indicating a shift in consumer preference [5] - **Product Trends**: The baked dry food category emerged as a core growth driver, with high-premium wet food products also showing growth [1][8][9] - **Sales Performance**: During the 618 period, 653 pet brands on Tmall saw their sales double, with 9 brands entering the "ten million club" [6][7] Noteworthy Developments - **Emerging Categories**: New categories such as baked dry food, plant-based cat litter, and freeze-dried raw meat cans are gaining traction, reflecting consumer demand for innovative pet products [1][9] - **Domestic Health Products**: The domestic health product VCARE saw sales growth exceeding 110%, indicating increasing consumer recognition and competition against foreign brands [3][10] - **Live Streaming Sales**: Pet live streaming sales on Tmall surged nearly 180% within the first four hours, showcasing the effectiveness of influencer marketing [12][15] Additional Insights - **Brand Strategies**: Brands like Guibao Pet are effectively targeting different consumer segments with their product lines, such as high-value offerings from Fuleijiate and cost-effective options from Maifudi [23][24][25] - **Celebrity Endorsements**: The choice of Wang Danna as a spokesperson for Guibao Pet aims to attract younger consumers and enhance brand relatability [26] - **Future Directions**: The pet food industry is expected to see growth in both pet ownership and per-pet spending, with a focus on premium products and health-oriented offerings [22] Conclusion The 2025 618 shopping festival highlighted significant growth and transformation within the pet industry, driven by innovative products, effective marketing strategies, and changing consumer preferences towards domestic brands. The trends observed suggest a robust future for the industry, with opportunities for both established and emerging brands to capitalize on evolving consumer demands.

Group 1 - The SW Agricultural, Forestry, Animal Husbandry and Fishery industry rose by 5.02% from January to May 2025, outperforming the CSI 300 index by approximately 7.43 percentage points [13][14] - Most sub-sectors recorded positive returns, with only planting and fishery sectors showing negative returns of -1.58% and -0.07% respectively [14] - Approximately 70% of stocks in the industry achieved positive returns, with three stocks increasing over 100%, the highest being Yizhi Magic Yam at 209.66% [15] Group 2 - The overall PB of the SW Agricultural, Forestry, Animal Husbandry and Fishery industry increased from a low of 2.31 times at the beginning of the year to 2.68 times, with a current PB of approximately 2.66 times as of June 13, 2025, reflecting a 15% recovery from the low [20] - The pig breeding sector is expected to see a gradual recovery in supply, with the number of breeding sows reaching 40.38 million heads by the end of April 2025, slightly above the normal holding capacity [21][23] - The average price of pigs as of June 13, 2025, was 14.04 yuan/kg, down 10.8% from the beginning of the year and 26.1% year-on-year, with expectations for a price rebound in Q4 2025 [27] Group 3 - The total feed production in China is expected to rebound in 2025 after a decline in 2024, with a total production of 49.2 million tons in the first two months of 2025, a year-on-year increase of 9.6% [54] - The average price of corn in China rose from approximately 2,122 yuan/ton at the beginning of the year to over 2,400 yuan/ton, reflecting a 13.3% increase [56] - The pet health market is anticipated to grow rapidly, with significant expansion potential in the domestic market for pet food and supplies, benefiting quality domestic leaders [5][6]

Market Overview - The global and Chinese market for dehydrated salmon dog food is projected to grow significantly from 2025 to 2031, driven by increasing pet ownership and demand for high-quality pet food products [1][3]. - The market is segmented into different product types, including pure salmon and mixed varieties, with sales expected to rise across all categories [4][5]. Sales Trends - Sales revenue for dehydrated salmon dog food is forecasted to increase, with a notable compound annual growth rate (CAGR) from 2020 to 2031 [8][12]. - The sales growth trend is expected to vary by application, including household use, pet stores, and veterinary clinics, indicating diverse market opportunities [6][7]. Regional Analysis - North America, Europe, and China are identified as key regions for market growth, with specific sales and revenue growth rates projected for each region from 2020 to 2031 [4][12]. - The Chinese market is anticipated to show significant growth in both production capacity and market demand for dehydrated salmon dog food [4][5]. Competitive Landscape - Major manufacturers in the dehydrated salmon dog food market include companies like Zhongchong Co., ITI Pet, and Open Fram, with detailed analysis of their production capacities, sales volumes, and market positions [5][6]. - The market is characterized by varying degrees of concentration, with a competitive landscape that includes first, second, and third-tier manufacturers [5][9]. Product and Application Analysis - Different product types and applications are analyzed, with projections for sales volumes and revenue across various segments from 2020 to 2031 [6][11]. - The pricing trends for dehydrated salmon dog food are also examined, indicating potential shifts in consumer preferences and market dynamics [10][12]. Industry Opportunities - The dehydrated salmon dog food industry is poised for growth, driven by factors such as increasing health awareness among pet owners and the premiumization of pet food products [9][10]. - The report highlights potential investment opportunities and market consolidation activities within the industry [5][9].

Summary of China Pet Foods Corporate Day Company Overview - **Company**: China Pet Foods (002891.SZ) - **Industry**: Consumer & Leisure, specifically pet food Key Takeaways 1. **Sales Growth and 618 Shopping Festival**: - Strong year-over-year (yoy) growth observed in April, attributed to distributors front-loading orders for the 618 shopping festival - The company anticipates a full-year domestic sales growth of 30% yoy - Discounts during the festival are expected to be higher than those on Women's Day, but overall yoy discounts are projected to remain stable with larger ticket sizes due to price hikes on two classic treat products [2][7][10] 2. **New Product Development**: - The Little Golden Shield series is projected to achieve sales of Rmb100 million by 2025, contributing approximately 50% to Wanpy's growth - New products, including the Little Golden Shield and Dry Food with raw meat and soup, are expected to achieve gross profit margins (GPM) of over 50%, compared to the historical core GPM of 30% for Wanpy - A Targeted Feed series is set to launch at the Asia Pet Exhibition in August, featuring premium products for pets with special needs [2][10][11] 3. **Overseas Business Performance**: - Stable growth in overseas business, particularly outside the US - Sales from China to the US may have been impacted by tens of millions quarterly, with profits affected by a few million, although growth in the Cambodia factory partially offsets this - Orders from US clients for products produced in China were noted in May, despite high tariffs, with expectations for increased orders in July [2][9][11] 4. **Raw Material Cost Trends**: - Raw material prices for chicken and beef have increased sequentially, leading to lower margins in March-April, but improvements are expected in May-June - The Cambodia factory continues to benefit from favorable raw material prices, similar to trends in China [2][11] 5. **Long-term Growth Potential**: - China Pet Foods is positioned as the only Chinese pet food company with established capacity in North America, yet holds a small market share in the premium treats market (approximately 0.1% of a US$100 billion market) - The company sees significant growth potential in this segment [12] 6. **Financial Outlook**: - The company maintains a target price of Rmb63.00, with a current price of Rmb66.17, indicating a downside of 4.8% - Revenue projections for the next few years are as follows: - 2025: Rmb5,350.2 million - 2026: Rmb6,449.2 million - 2027: Rmb7,803.7 million - Expected EBITDA and EPS growth are also outlined, with a focus on maintaining a strong financial position [13][14] Risks and Considerations - Key risks include slower-than-expected domestic revenue growth, food safety issues, foreign exchange fluctuations, rising freight and raw material costs, and potential additional tariffs on pet food exports to the US [13] Conclusion - China Pet Foods is positioned for growth with a clear strategy focused on product development and market expansion, particularly in the premium segment. The company is optimistic about achieving its sales targets and enhancing its brand presence in both domestic and international markets [2][12]

行 业 及 产 业 农林牧渔 朱珺逸 (8621)23297818× zhujy@swsresearch.com 本研究报告仅通过邮件提供给 中庚基金 使用。1 2025 年 06 月 08 日 5 月能繁母猪存栏小幅增长，重视优质猪企中 长期价值 看好 ——农林牧渔周观点（2025.6.2-2025.6.8） 行 业 研 究 / 行 业 点 评 证券分析师 盛瀚 A0230522080006 shenghan@swsresearch.com 朱珺逸 A0230521080004 zhujy@swsresearch.com 研究支持 朱珺逸 A0230521080004 zhujy@swsresearch.com 胡静航 A0230524090002 hujh@swsresearch.com 联系人 本期投资提示： 请务必仔细阅读正文之后的各项信息披露与声明 证 券 研 究 报 告 ⚫ 本周申万农林牧渔指数上涨 0.9%，沪深 300 上涨 0.9%。个股涨幅前五名：万辰集团（14.6%）、邦基科 技（14.1%）、永顺泰（10.5%）、罗牛山（7.8%）、ST 佳沃（7.6%），跌幅前五名：瑞普生物（- 1 ...

| 买/卖 | | 会员营业部名称 | 买入金额（万元） | 卖出金额（万元） | | --- | --- | --- | --- | --- | | 买一 | 深股通专用 | | 9465.61 | 11456.02 | | 买二 | 机构专用 | | 2636.98 | 2058.90 | | 买三 | 机构专用 | | 1921.01 | 3116.86 | | 买四 | 机构专用 | | 1875.51 | 0.00 | | 买五 | 机构专用 | | 1851.44 | 2216.81 | | 卖一 | 深股通专用 | | 9465.61 | 11456.02 | | 卖二 | 机构专用 | | 1921.01 | 3116.86 | | 卖三 | 机构专用 | | 1851.44 | 2216.81 | | 卖四 | 机构专用 | | 2636.98 | 2058.90 | 卖五 中国国际金融股份有限公司上海分公司 967.90 1560.01 具体来看，今日上榜的营业部中，共有4家机构专用席位现身，即买二、买三、买四、买五、卖二、卖 三、卖四，合计买入金额8284.94万元，卖出金额7392.5 ...

Core Insights - Yantai Jias Agricultural Technology Co., Ltd. has changed ownership to Yantai Zhongchong Food Co., Ltd. [1] - The transfer of 100% state-owned equity of Jias Agricultural was publicly disclosed in March 2023, with a total price of 34.8365 million yuan, including 3.7042 million yuan for equity and 31.1323 million yuan for debt [1] - Jias Agricultural reported zero revenue and a net loss of 352,200 yuan for the year 2024, with projections of zero revenue and net profit for January 2025 [1] - Jias Agricultural was established in July 2022, with a registered capital of 3 million yuan, focusing on agricultural research, sales of agricultural products, and related activities [1] Company Background - Previously, Jias Agricultural was involved in pet products, but its business scope changed in April 2024 to include agricultural research and seed operations [4] - The former sole shareholder of Jias Agricultural was Yantai Zhengda Urban Construction Development Co., Ltd., which has a registered capital of 550 million yuan and is controlled by the Finance Bureau of Yantai City [6] New Ownership - Zhongchong Food, founded in 1998, is a leading company in China's pet food industry and was the first to be listed on the Shenzhen Stock Exchange in this sector [9] - As of December 31, 2024, Zhongchong Food is controlled by Hao Zhongli and Xiao Ailing, who hold 43.51% of the shares through various companies [9] Financial Performance - Zhongchong Food's stock price surged significantly in 2024, closing at 72.24 yuan per share on June 4, up from 34.45 yuan at the beginning of the year [10] - The company's sales expenses have been increasing, with figures rising from 184 million yuan in 2020 to 495 million yuan in 2024 [10]

A股三大指数早盘集体反弹，截至午间收盘，沪指涨0.48%，深成指涨0.35%，创业板指涨0.73%，北证 50指数涨0.13%。全市场半日成交7639亿元，较上个交易日同期缩量77亿元。全市场超3400只个股上 涨。 盘面上，黄金概念领涨，西部黄金涨停。创新药板块持续活跃，万邦德、千红制药、海南海药等涨 停。"泡泡玛特们"持续走高，A股新消费概念盘中再度活跃，若羽臣涨停，万辰集团涨超10%，双双创 历史新高。 港股"新消费三姐妹"集体走高，泡泡玛特总市值重回3100亿港元，蜜雪集团、老铺黄金股 价续刷历史新高。 6月1日，江苏省城市足球联赛（以下简称"苏超"）第三轮南京队对阵无锡队的比赛吸引了15669名球迷 冒雨观看。今日，"苏超"的热度也传递到了资本市场。早盘，金陵体育（300651）20%涨停，江苏板块 表现强劲，一度有11只股票涨停。体育板块更为火热，共创草坪2连板，创源股份、康力源等个股表现 也非常强劲。 "苏超"带火资本市场 金陵体育20%涨停 2025年的初夏，被网友扣以"苏超"之名的首届江苏城市足球联赛舞台上，"十三太保"百家争鸣掀起的话 题热度，盖过了收官季的欧洲各大顶级联赛，"德比系数"更 ...

Investment Rating - The industry investment rating is "Positive" (maintained) [1] Core Viewpoints - The supply of pigs is expected to increase due to the normalization of breeding practices, which may exert downward pressure on prices in the short term. However, as supply stabilizes, prices are anticipated to stabilize or slightly rebound [4][14] - The pet food sector is experiencing a rise in domestic brands, supported by consumption upgrades and tariff barriers, with significant growth expected in the pet food market [6][26][28] Summary by Sections Weekly Observation - The average national pig selling price on May 30 was 14.44 yuan/kg, up by 0.17 yuan/kg from the previous week, with a daily average slaughter volume of 156,400 pigs, an increase of 13,200 pigs [4][14] - The demand side shows slight recovery, and the focus remains on policies affecting the pig industry [4][14] Weekly Market Performance (May 26-30) - The agricultural index outperformed the market by 1.82 percentage points, with the agricultural index rising by 1.79% while the Shanghai Composite Index fell by 0.03% [29][30] - The livestock breeding sector led the gains, with notable increases in stocks such as Juxing Agriculture (+13.15%) and Xiwang Food (+12.42%) [29][32] Price Tracking (May 26-30) - The national average price for pigs was 14.47 yuan/kg, up by 1.12% from the previous week. The average price for piglets was 35.24 yuan/kg, down by 0.90% [36] - The average price for corn was 2,339.00 yuan/ton, up by 0.52%, while soybean meal was priced at 2,966.00 yuan/ton, up by 0.54% [51] Key News (May 26-30) - An announcement was made to prevent the entry of highly pathogenic avian influenza from Brazil, highlighting the importance of biosecurity in the livestock sector [33] Weekly Insights - The pig sector shows low valuation and potential for recovery, with recommendations for companies like Muyuan Foods and Wens Foodstuffs [26] - The feed sector benefits from the recovery of livestock and strong overseas demand, with recommendations for companies like Haida Group and New Hope Liuhe [26]

Core Viewpoint - The recent surge in the pet economy sector in A-shares, particularly since April 8, has seen significant stock price increases, with some companies experiencing over 200% growth since last September, indicating a strong market interest in this segment [1][4][10]. Group 1: Market Performance - The pet economy sector index has risen nearly 40% since April 8, and has doubled since last September [1]. - Major companies like Zhongchong Co. and Lusi Co. have seen stock prices soar over 200%, while Guibao Biological has increased by over 110% [1]. - Following this surge, the sector experienced a correction starting May 21, with companies like Tianyuan Pet and Lusi Co. dropping over 20% [3]. Group 2: Growth Drivers - The pet industry has shown strong fundamentals, with Guibao Pet and Zhongchong Co. projected to have compound annual revenue growth rates of 27% and 18.9% respectively from 2020 to 2024 [4]. - In Q1 2025, Guibao Biological reported a revenue increase of over 34% and a profit increase of 62%, while Zhongchong Co. saw a 25% revenue increase and a 62% profit increase [4]. - The overall high profitability of the pet industry has been a key factor in the recent market rally [5]. Group 3: Profitability Analysis - As of Q1 2025, Guibao Pet's gross margin stands at 41.6%, significantly higher than Zhongchong Co. and Petty Co. at 32% and 28.6% respectively [6]. - Guibao Pet has successfully reduced its reliance on OEM business, with its own brand sales increasing, allowing it to capture a higher market share in the mid-to-high-end segment [6]. - In contrast, Tianyuan Pet and Yiyi Co. have lower gross margins below 20%, indicating weaker competitive positioning [7]. Group 4: Market Trends - The pet consumption market in urban China is expected to reach 300.2 billion yuan in 2024, reflecting a 7.5% growth from 2023, with a compound annual growth rate of 20% from 2012 to 2024 [11]. - The number of pets in China is projected to grow, with pet cats and dogs reaching 71.53 million and 52.58 million respectively in 2024 [13]. - The market is witnessing a shift towards domestic brands, with Guibao's market share increasing from around 2% to 6% between 2014 and 2023, while foreign brands like Mars and Nestle have seen their market shares decline [14][15]. Group 5: Pricing Dynamics - The average annual consumption per pet is projected to grow at a compound rate of 6.74% from 2017 to 2024, with pet dogs expected to see a 3% increase in spending per pet in 2024 [16]. - Guibao Pet's product pricing has increased, with a compound annual growth rate of 6.5% in pet food prices from 2020 to 2023 [16]. - The trend indicates a potential for simultaneous growth in both volume and price within the pet industry, which is relatively rare in the current economic climate [17]. Group 6: Future Outlook - Despite recent price surges leading to high valuations, the underlying growth logic for the pet sector remains intact, with expectations for a potential market rebound post-July as tariff issues clarify [19]. - The market is likely to favor companies with strong performance and profitability, distinguishing them from those that have recently experienced inflated valuations without solid fundamentals [19].