Core Viewpoint - The rise of the "pet economy" has led to increased investor interest in pet-related stocks, with significant price increases observed in leading companies like Zhongchong Co. and Guobao Pet [1][8]. Group 1: Company Performance - Zhongchong Co. reported a revenue of 4.465 billion yuan in 2024, a year-on-year increase of 19.15%, with a net profit of 394 million yuan, up 68.89% [2]. - Guobao Pet achieved total revenue of 5.245 billion yuan in 2024, reflecting a 21.22% year-on-year growth, and a net profit of 625 million yuan, which is a 45.68% increase [4]. - Yiyi Co., specializing in pet hygiene products, reported a revenue of 1.798 billion yuan, a 34.41% increase, and a net profit of 215 million yuan, up 108.34% [4]. Group 2: Market Trends - The average spending on a single dog is approaching 3,000 yuan, with overall pet consumption on platforms like Taobao and Tmall exceeding 50 billion yuan [4]. - The Chinese pet food market reached approximately 14 billion USD in 2023, with expectations to surpass 20 billion USD by 2025, indicating a compound annual growth rate (CAGR) of 12.5% [9]. - The market for pet food in China is still in its early stages, with significant growth potential as the market concentration remains low [11]. Group 3: Investor Interest - There has been a surge in institutional interest in pet stocks, with over 200 institutions attending Zhongchong Co.'s earnings briefing [5]. - Guobao Pet has also attracted attention from major investment firms, indicating a shift in focus towards the pet sector [6][7]. - The increasing attention from capital markets, combined with strong performance metrics, has led to soaring stock prices for both Zhongchong Co. and Guobao Pet [8].