YouYou Foods(SH:603697) Chang Jiang Shang Bao·2025-07-20 22:38Core Viewpoint - Youyou Foods (603697.SH) has reported significant growth in its performance for the first half of 2025, driven by market expansion efforts, particularly through the Sam's Club channel, despite facing challenges related to product selection controversies at Sam's [1][5]. Group 1: Financial Performance - Youyou Foods expects a revenue increase of 40.9% to 50.8% for the first half of 2025, projecting revenue between 7.46 billion and 7.98 billion [5][6]. - The company anticipates a net profit increase of 37.9% to 47.6%, estimating net profit between 1.05 billion and 1.12 billion [5][6]. - The company aims for a revenue growth of no less than 20% for the full year of 2025, targeting over 1.4 billion in revenue [1][9]. Group 2: Market Expansion - The market expansion mentioned by Youyou Foods primarily refers to its partnership with Sam's Club, where it began supplying deboned duck feet in July 2024, achieving monthly sales exceeding 300 million [6]. - The introduction of new products, including a second vegetarian item and a third Guizhou-style meat product, has contributed to the company's growth in the Sam's channel [6]. - The revenue from "other marinated meat products," including deboned duck feet, surged by 840 times to reach 1.5 billion, accounting for nearly 13% of total revenue [6]. Group 3: Company Background and Development - Youyou Foods was founded by Lu Youzhong, who transitioned from a chef to an entrepreneur, initially struggling in the restaurant industry before successfully launching the popular spicy chicken feet product [2][3]. - The company went public in May 2019, becoming the first listed company focused on spicy chicken feet, marking a significant milestone in its growth trajectory [4]. - Despite past challenges, including a reliance on a single product line, the company has diversified its offerings, developing over 50 new products since its inception [4]. Group 4: Stock Performance and Shareholder Actions - Following the entry into the Sam's channel, Youyou Foods' stock price increased significantly, rising from a low of 4.89 yuan per share in August 2024 to 16.07 yuan per share by June 2025, a growth of 228.63% [6]. - However, the stock price experienced a decline after Zhao Ying, a significant shareholder, announced plans to reduce her stake by up to 3% of the total shares [7][8]. - As of July 18, 2025, the stock price fell to 12.26 yuan per share, reflecting a decrease of 23.71% from its June peak [8].