Core Viewpoint - Company reported a low double-digit revenue growth in Q1 2025, with net profit reaching 602 million yuan, a year-on-year increase of 32%, exceeding market expectations due to improved beverage gross margins and better-than-expected cost reductions [1] Group 1: Revenue Performance - Q1 2025 revenue grew low double digits, with both beverage and food segments showing strong growth [2] - Beverage revenue is expected to grow low double digits, driven by strong performance in red and green tea, Hai Zhi Yan, and ice sugar pear drinks, benefiting from industry growth and increased investment in ice cabinets [2] - Food revenue is anticipated to grow in the high single digits, with products like Qie Huang and red-braised beef noodles achieving double-digit growth [2] Group 2: Profitability and Margins - Gross margin is expected to improve by approximately 0.5 percentage points in Q1 2025, with beverage gross margin increasing by about 2 percentage points due to lower costs of PET and sugar [3] - Sales expense ratio is projected to decrease by around 0.5 percentage points, attributed to reduced expenditure and improved efficiency [3] - The increase in beverage operating profit margin (OPM) is expected to significantly boost overall net profit due to the beverage segment accounting for about 90% of total revenue [3] Group 3: Outlook and Growth Potential - The company is optimistic about maintaining strong growth throughout 2025, supported by increased travel and successful product upgrades [4] - The beverage segment is expected to continue its strong growth trajectory, with improved profit margins anticipated due to favorable cost conditions and increased production efficiency [4] - The long-term outlook for the beverage industry remains positive, with expectations of improved profit margins driven by enhanced competitive dynamics among leading companies [4]
中金：维持统一企业中国“跑赢行业”评级 升目标价至10.5港元