LYFEN(SH:603777) 2 1 Shi Ji Jing Ji Bao Dao·2025-05-12 03:56Core Viewpoint - The company, Laiyifen, has initiated a full investigation and has taken immediate action in response to consumer complaints regarding its product, specifically the "honey date rice dumpling," which was found to contain a blood-stained band-aid [1][2]. Company Response - Laiyifen has announced the complete withdrawal of the affected batch of honey date rice dumplings and is offering consumers the option for refunds or exchanges at nearby stores, along with additional compensation of the same amount [1]. - The company emphasized its commitment to food safety, stating that each production step has designated personnel for inspection, and strict protocols are in place to manage employee injuries to prevent contamination [1]. Production and Supply Chain - The company primarily operates on an OEM (Original Equipment Manufacturer) model, with most of its products being produced by third-party manufacturers [2]. - Laiyifen's products are sourced from over 20 countries and 25 provinces in China, covering 13 core categories, with more than 1,500 OEM products [2]. Quality Control and Management - Laiyifen employs a comprehensive lifecycle management approach for its products, including planning, development, supplier management, and quality assurance [3]. - Industry analysts have pointed out that while many companies use an OEM model, the key to product quality lies in the internal control systems and the level of oversight on manufacturing partners [3]. Financial Performance - In 2024, Laiyifen reported total revenue of 3.37 billion yuan, a year-on-year decline of 15.25%, and a net loss of 75.27 million yuan, a significant drop of 231.94% compared to the previous year [4]. - The company has indicated a strategic focus on expanding its retail formats, including lifestyle stores and warehouse membership stores, to better meet consumer needs [4]. Market Reaction - Following the announcement of the incident, Laiyifen's stock opened lower, trading at 13.21 yuan with a slight decline of 0.23% [5].