Market Performance - The three major indices rebounded during the trading days from April 21 to April 25, with the Shanghai Composite Index rising by 0.56%, the Shenzhen Component Index increasing by 1.38%, and the ChiNext Index gaining 1.74% [1] - On April 25, the Shanghai Composite Index closed at 3295 points with a trading volume of 445.4 billion yuan, while the Shenzhen Component Index closed at 9917 points with a trading volume of 668.1 billion yuan [3] Stock Performance - The CPO concept stock Shijia Photon saw a significant increase of 66.54%, leading the weekly gainers, while several cross-border e-commerce and electric power concept stocks also performed strongly [4] - A total of 20 stocks experienced a weekly increase of over 30%, with Jinlitai leading the decline with a drop of 43.85% [4][5] Active Stocks - 70 stocks had a turnover rate exceeding 100% during the week, with Yalian Machinery leading at 273.96% [6] - The majority of stocks with high turnover rates belonged to the basic chemical, machinery equipment, and food and beverage sectors [6] Capital Flow - Automotive, home appliance, and light manufacturing sectors attracted significant capital inflow, while electronic, basic chemical, and commercial retail sectors faced net selling exceeding 4 billion yuan [8] - New Yisheng, Satellite Chemical, and Tuo Wei Information received the highest net inflows, amounting to 1 billion yuan or more [9] Margin Trading - A total of 1766 stocks received net buying through margin trading, with Zijin Mining leading at 436 million yuan [10] - Zhejiang Rongtai and Zhenhua Co. followed with net buying amounts of 286 million yuan and 250 million yuan, respectively [11] Institutional Research - Zhongchong Co. was the most researched stock by institutions, with 201 institutions participating in the survey [12] - The focus of institutional research remained on sectors such as food, industrial machinery, electronic components, electrical parts, and automotive [12] New Institutional Interests - 151 stocks were newly favored by institutions, with 11 stocks receiving target prices [15] - Sairisi was highlighted by Tianfeng Securities with a target price of 167.7 yuan, while Haibo Sichuang received attention from multiple institutions [15][16]

Investment Rating - The report maintains a "Recommended" investment rating for the company, indicating an expectation to outperform the benchmark index by 10%-20% over the next six months [14]. Core Insights - The company reported a revenue of 4.465 billion yuan for 2024, representing a year-on-year growth of 19.15%. The net profit attributable to shareholders reached 394 million yuan, up 68.89% year-on-year, with a non-recurring net profit of 386 million yuan, increasing by 71.74% [1][3]. - In Q4 2024, the company achieved a revenue of 1.276 billion yuan, a growth of 23.31% year-on-year, and a net profit of 112 million yuan, which is a significant increase of 98.20% [1]. - For Q1 2025, the company reported a revenue of 1.101 billion yuan, marking a 25.41% increase year-on-year, and a net profit of 91 million yuan, up 62.13% [1]. Financial Performance Summary - The total revenue is projected to grow from 4.465 billion yuan in 2024 to 5.746 billion yuan in 2025, with a compound annual growth rate (CAGR) of 28.7% [3]. - The net profit is expected to rise from 394 million yuan in 2024 to 472 million yuan in 2025, reflecting a growth rate of 19.8% [3]. - Earnings per share (EPS) are forecasted to increase from 1.33 yuan in 2024 to 1.60 yuan in 2025, with a price-to-earnings (P/E) ratio of 34 times in 2025 [3]. Business Segmentation and Growth Drivers - The company's domestic business revenue reached 1.414 billion yuan in 2024, with a year-on-year increase of 30.26%, and a gross margin improvement of 4 percentage points to 35.18% [7]. - The main grain category saw a revenue surge of 91.85% to 1.107 billion yuan, with a gross margin of 34.59% [7]. - The company is expanding its overseas presence, particularly in Southeast Asia and the Middle East, enhancing its brand influence and market share [7]. Investment Recommendations - The report suggests an upward revision of the EPS forecast for 2025 and 2026 to 1.60 yuan and 2.12 yuan per share, respectively, and introduces a 2027 forecast of 2.64 yuan per share [7]. - A target price of 69 yuan per share is set, corresponding to a P/E ratio of 43 times for 2025, reflecting the company's strong growth potential [7].

Investment Rating - The industry is rated as "Increase" [5] Core Views - The pet industry shows strong performance with leading companies reporting significant revenue growth and an increasing share of domestic business. The trend of brand localization and premiumization is evident, with 2024 revenue growth for leading companies such as Guibao Pet, Zhongchong Co., and Petty Co. at 21.22%, 19.15%, and 17.56% respectively, while net profit growth is 45.68%, 68.89%, and 1743% respectively [1][12] - In Q1 2025, Guibao Pet and Zhongchong Co. reported revenue growth of 34.82% and 25.41% respectively, while Petty Co. experienced a decline of 14.4% [1][12] - The domestic business of Zhongchong Co. grew by 30.26%, accounting for 31.67% of total revenue, while Guibao Pet's domestic business grew by 24%, making up 67.71% of its revenue [1][12] - The self-owned brand revenue of Guibao Pet reached 3.545 billion yuan, growing by 29% year-on-year, representing 67.6% of its total revenue [1][12] Summary by Sections Pet Industry - Leading pet companies reported strong growth in both revenue and net profit, with significant increases in domestic business and self-owned brand revenue [1][12] - Douyin's sales data for March 2025 shows a sales revenue of 818 million yuan, up 24.32% year-on-year, and a sales volume of 18.004 million, up 34.12% year-on-year, indicating a positive growth trend for top domestic brands [2][13] Livestock Farming - The national price for lean meat pigs is 14.81 yuan/kg, down 0.3% from the previous week, with a focus on low-cost, high-growth companies such as Muyuan Foods and Wens Foodstuffs [3][14] - The average price for white feather chickens is 7.47 yuan/kg, down 0.4%, and the average price for chicken products is 8.9 yuan/kg, down 0.6% [14][28] - The price for meat chicken seedlings is 2.85 yuan each, down 4% from the previous week [14][26] Agricultural Products - The approval of genetically modified varieties is expected to lead to commercial sales, with potential growth for industry companies as prices and profit distribution are confirmed [14] - The fluctuation of agricultural product prices is increasing, with leading feed companies likely to replace smaller firms due to their advantages in procurement and scale [14]

Core Viewpoint - The pet industry in China is experiencing significant growth, with leading companies like Guai Bao Pet and Zhong Chong Co. achieving record-high stock prices and strong financial performance, indicating robust market demand and operational efficiency [1][2][3]. Company Performance - Guai Bao Pet and Zhong Chong Co. reported impressive revenue and net profit growth for 2024, with Guai Bao Pet achieving a revenue increase of 21.22% and a net profit growth of 45.68%, while Zhong Chong Co. saw a revenue increase of 19.15% and a net profit growth of 68.89% [2][4]. - In Q1 2025, Guai Bao Pet's revenue and net profit both grew over 34%, and Zhong Chong Co. reported a net profit increase of 62.13% [2][3]. - Other companies like Lu Si Co. and Pei Di Co. also showed positive trends, with Lu Si Co. achieving a net profit growth of 14.57% in 2024 and Pei Di Co. turning a profit with a staggering net profit increase of 1742.81% [2][3][4]. Market Trends - The pet food market in China is projected to reach a scale of 158.5 billion yuan in 2024, growing at a rate of 8.5% [7]. - The shift in consumer behavior towards higher-quality and more diverse pet products is driving demand, particularly in the staple food segment, which has seen its market share increase from 62.4% in 2017 to 67.6% in 2024 [7]. - E-commerce platforms like Douyin and Pinduoduo are contributing to the rapid growth of online sales channels for pet food [7]. International Expansion - Zhong Chong Co. has established a comprehensive tariff response system and is the only Chinese company with pet snack factories in the U.S. and Canada, which mitigates the impact of trade policy changes [9][10]. - The company is expanding its production capacity in North America, with plans for a second factory in the U.S. by 2026 and ongoing expansion in Canada [10]. - Guai Bao Pet is also focusing on diversifying its overseas market presence to reduce reliance on U.S. exports amid trade tensions [10].

宠物公司业绩表现亮眼，行业持续高景气 同时，宠物营销界发布 3 月数据：抖音作为新内容平台，销量、销售 额数据均呈现同比增长，看好头部国产品牌中长期成长空间。根据宠 物营销界数据，抖音 2025 年 3 月情况如下：销售额达到 8.18 亿，同 比+24.32%，销售量 1800.4 万，同比+34.12%；客单价下降 6.27%， 关联商品数增长 2.7%，关联品牌数增长 0.43%，关联小店数增长 29.94%，关联达人数增长 34.65%。其中销售额前五品牌情况：1）抖 音狗主粮：麦富迪、伯纳天纯、明亮与狗、比乐、鲜粮说，2）抖音猫 主粮：麦富迪、弗列加特、卫仕、喵梵思、蓝氏。淘宝 2025 年 3 月情 况如下：1）淘宝猫主粮：销量环比上升了29.30%，同比下降了21.25%； 销售额环比上升了 35.34%，同比下降了 21.37%。2）淘宝狗主粮：销 量环比上升 33.78%，同比下降了 17.79%；销售额环比上升 36.26%， 同比下降 12.56%，抖音新内容平台增长较好。 证券研究报告 | 行业周报 gszqdatemark 2025 04 27 年 月 日 生猪养殖：本周全国瘦肉型肉 ...

Investment Rating - The investment rating for the company is not explicitly stated in the provided documents, but the overall sentiment appears positive based on the performance metrics and growth expectations. Core Insights - The company reported a revenue of 4.465 billion yuan in 2024, representing a year-on-year increase of 19.2%, and a net profit attributable to the parent company of 394 million yuan, up 68.9% year-on-year. For Q1 2025, revenue reached 1.101 billion yuan, a 25.4% increase year-on-year, with a net profit of 91 million yuan, up 62.1% year-on-year. The growth is attributed to strong performance in self-owned brands and continued expansion in the US and Canada [1][2][3]. Domestic Performance - In Q1 2024, domestic revenue was 1.414 billion yuan, a 30.8% increase year-on-year. The second half of 2024 saw revenue of 797 million yuan, up 37.2% compared to the first half. The domestic gross margin improved to 35.2%, a 3.9 percentage point increase year-on-year. The company expects significant results from the "Wang Pi" brand reform and continued high growth from "Lingdian" and "Zeal" brands [2]. International Performance - The company achieved overseas revenue of 3.051 billion yuan in 2024, a 20.4% increase year-on-year. The second half of 2024 saw revenue of 1.712 billion yuan, up 29.9% year-on-year. The completion of technical upgrades at the US factory is expected to drive further revenue growth, with anticipated year-on-year growth of around 20% for Q1 2025 [3]. Profitability and Operational Efficiency - In Q1 2025, the company's gross margin was 31.9%, and the net profit margin was 8.3%, reflecting a year-on-year increase of 4.0 and 1.9 percentage points, respectively. The improvement in profitability is attributed to the increased contribution from US and Canadian factories and the upgrade of domestic self-owned brand product structures. The company maintains controllable expense ratios, with sales, management, and R&D expense ratios at 11.4%, 6.1%, and 2.1%, respectively [4]. Financial Forecast - The company forecasts net profits attributable to the parent company of 471 million yuan, 589 million yuan, and 732 million yuan for 2025, 2026, and 2027, respectively, with corresponding price-to-earnings ratios of 34X, 27X, and 22X [4].

Investment Rating - The investment rating for the company is "Buy" based on its strong performance and growth potential [1]. Core Views - The company reported a revenue of 4.465 billion yuan in 2024, representing a year-on-year increase of 19.2%, and a net profit of 394 million yuan, up 68.9% year-on-year. For Q1 2025, revenue reached 1.101 billion yuan, a 25.4% increase year-on-year, with net profit at 91 million yuan, up 62.1% year-on-year. The growth is attributed to strong performance in its proprietary brands and continuous growth in its U.S. and Canadian operations [1][2][3]. Domestic Performance - In Q1 2024, the company's domestic revenue was 1.414 billion yuan, a 30.8% increase year-on-year. The second half of 2024 saw revenue of 797 million yuan, up 37.2% year-on-year. The domestic gross margin improved to 35.2%, a 3.9 percentage point increase year-on-year. The company expects significant results from its brand reform initiatives, particularly for the "Wang Pi" brand, which saw a GMV increase of 83.4% in April 2025 [2]. Overseas Performance - The company's overseas revenue for 2024 was 3.051 billion yuan, a 20.4% increase year-on-year. The second half of 2024 recorded revenue of 1.712 billion yuan, up 29.9% year-on-year. The gross margin for overseas operations was 24.9%, a slight decrease of 0.3 percentage points year-on-year. The company anticipates a 20% year-on-year increase in overseas revenue for Q1 2025, with U.S. and Canadian subsidiaries expected to grow by around 40% [3]. Profitability and Operational Efficiency - In Q1 2025, the company's gross margin was 31.9%, and the net profit margin was 8.3%, reflecting a year-on-year increase of 4.0 and 1.9 percentage points, respectively. The sales, management, and R&D expense ratios were 11.4%, 6.1%, and 2.1%, respectively, indicating controlled expense growth. The company reported a net operating cash flow of 190 million yuan, an increase of 204 million yuan year-on-year, showcasing improved operational efficiency [4]. Profit Forecast - The company forecasts net profits of 471 million yuan, 589 million yuan, and 732 million yuan for 2025, 2026, and 2027, respectively, with corresponding P/E ratios of 34X, 27X, and 22X [4].

Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Views - The company's main grain business has achieved significant revenue growth and improved profitability, with a 2024 revenue of 4.46 billion yuan, up 19.1% year-on-year, and a net profit of 390 million yuan, up 68.9% year-on-year [4][8] - The company is focusing on building its own brand and expanding its domestic market while accelerating overseas market development [7][8] Revenue Performance - In 2024, the pet food segment generated revenue of 3.132 billion yuan, up 4.92% year-on-year, while the pet staple food segment saw revenue of 1.107 billion yuan, up 91.85% year-on-year [5] - Domestic revenue reached 1.414 billion yuan, up 30.26% year-on-year, while overseas revenue was 3.051 billion yuan, up 14.62% year-on-year [5] Profitability Analysis - The company's gross margin for 2024 was 28.16%, an increase of 1.88 percentage points year-on-year, driven by a higher proportion of high-margin staple food products [6] - The net profit margin for 2024 was 9.33%, up 1.54 percentage points year-on-year, indicating a significant enhancement in profitability [6] Financial Forecasts - The company expects to achieve a net profit of 461 million yuan in 2025, representing a growth of 16.94% year-on-year, and 569 million yuan in 2026, with a growth of 23.59% year-on-year [8][10] - The projected revenue for 2025 is 5.398 billion yuan, reflecting a growth rate of 20.91% [10] Valuation Metrics - The current stock price corresponds to a price-to-earnings (P/E) ratio of 35x for 2025, 28x for 2026, and 23x for 2027 [8] - The report indicates a projected return on equity (ROE) of 16.19% for 2025, increasing to 17.38% by 2027 [12]

Core Viewpoint - The pet economy continues to attract market attention, with leading companies in pet food, Zhongchong Co. and Petty Co., being the focus of institutional interest this week [1][2]. Market Performance - During the week of April 21 to April 25, the A-share market showed slight recovery, with the Shanghai Composite Index rising by 0.56% to close at 3295.06 points, and the Shenzhen Component Index increasing by 1.38% [1]. - The overall performance of the Shenwan first-level industries was positive, with sectors like utilities, automotive, beauty care, and home appliances leading the gains, while food and beverage, social services, agriculture, forestry, animal husbandry, and military defense sectors saw declines [1]. Institutional Research and Company Performance - A total of 294 listed companies received institutional research, with 209 stocks achieving positive returns during the week. Notably, Shijia Photon surged by 66.54%, while several other companies, including Erkang Pharmaceutical and Tianyuan Pet, saw gains exceeding 20% [1]. - The pet economy sector saw a 1.74% increase, ranking fourth among concept sectors, with Tianyuan Pet hitting a 20% limit-up, and Zhongchong Co. and Yiyi Co. also reaching limit-up [1]. Company Financials - Zhongchong Co. reported a revenue of 4.46 billion yuan for 2024, a year-on-year increase of 19.1%, and a net profit of 394 million yuan, up 68.9%. In Q1 of this year, the company achieved a revenue of 1.101 billion yuan, a 25.41% increase, and a net profit of 91.155 million yuan, up 62.13% [2]. - Petty Co. highlighted the growth of its popular brand "Jueyan" in the first quarter of 2025, particularly in categories like natural bone and meat chew snacks, main course cans, freeze-dried snacks, and fresh grain, with freeze-dried products showing rapid growth [2]. Production Capacity and Market Strategy - Petty Co. noted that its New Zealand staple food is currently in a ramp-up phase, with expected capacity release of 20%-30% by Q2 2025, which will cater to diverse domestic and international high-end staple food demands [3]. - Zhongchong Co. has established a comprehensive tariff response system, indicating that recent tariff adjustments will not significantly impact its operations. The company has a global production footprint, including facilities in the U.S., Canada, New Zealand, and Cambodia, which mitigates risks from trade policy changes [3][4]. Strategic Adjustments - Petty Co. has shifted nearly all U.S. customer orders to its Southeast Asian factories due to rapid changes in tariff policies, although the specific impact on business remains uncertain [4].

Investment Rating - The investment rating for the company is "Accumulate" [2][11]. Core Insights - The company achieved significant growth in performance, with a revenue of 4.465 billion yuan in 2024, representing a year-on-year increase of 19.15%, and a net profit of 394 million yuan, up 68.89% year-on-year [2][4]. - The company's gross margin improved due to increased profitability in staple food and canned products, with gross margins rising by 1.88 and 4.02 percentage points in 2024 and Q1 2025, respectively [2][4]. - The company is focusing on enhancing its own brand marketing, which has led to a substantial increase in sales and market recognition, including a 131% year-on-year growth in GMV during the Double 11 shopping festival [4][5]. Financial Performance Summary - In 2024, the company reported a revenue of 4.465 billion yuan, with a year-on-year growth of 19.15%, and a net profit of 394 million yuan, reflecting a 68.89% increase [2][17]. - The earnings per share (EPS) for 2024 is projected to be 1.34 yuan, with forecasts of 1.56 yuan, 1.85 yuan, and 2.21 yuan for 2025, 2026, and 2027, respectively [11][17]. - The company’s operating cash flow for 2024 was 4.96 billion yuan, showing an 11.02% increase year-on-year, and the inventory turnover days decreased significantly [2][17]. Market Strategy and Expansion - The company has expanded its own brand presence both domestically and internationally, entering 9 new countries in 2024, bringing its global market coverage to 73 countries [5][6]. - The domestic market revenue from its own brand reached 1.414 billion yuan in 2024, a 30.26% increase year-on-year, with staple food revenue growing by 91.85% to 1.107 billion yuan [4][6]. - The company is enhancing its overseas business capabilities, with significant growth in revenue from its OEM business, which reached 2.616 billion yuan in 2024, a 21.21% increase [5][6].