五度冲刺IPO，一只“土鸡”的资本梦

Core Viewpoint - The company, Lao Xiang Ji, is making its fifth attempt to go public, aiming to become the first publicly listed Chinese fast-food chain, despite previous failures and regulatory challenges [1][2]. Financial Performance - Over the past three years, Lao Xiang Ji's revenue increased from 4.5 billion to nearly 6.3 billion yuan, with a store count surpassing 1,500 and an average annual addition of 118 stores [1]. - Revenue growth has slowed, with figures of 4.5 billion, 5.7 billion, and 6.3 billion yuan from 2022 to 2024, reflecting a decline in growth rate from 24.8% to 11.3% [7]. - Net profit figures for the same period were 252 million, 375 million, and 409 million yuan, with growth rates dropping from 49% to 8.8% [7]. Market Position - Lao Xiang Ji holds a 0.9% market share, ranking first in the Chinese fast-food market for 2024 [1]. - The company has a significant presence in East China, with 1,345 out of 1,564 stores located in this region, indicating limited geographical expansion [10]. Business Strategy - The company is accelerating its franchise model, increasing franchise stores from 118 to 653 while reducing direct-operated stores from 1,007 to 911 [9]. - The strategy includes converting employees into franchisees, with 55% of franchisees being former employees [10]. Challenges - Lao Xiang Ji faces pressure from low pricing strategies and weak pricing power, leading to sustained pressure on profitability [7]. - The company has experienced issues with food safety, resulting in fines and complaints, which could impact consumer trust [12]. IPO Strategy - The decision to pursue a Hong Kong IPO is seen as a necessary move to gain global recognition and access to foreign investors [5][14]. - The company plans to use IPO proceeds to enhance supply chain infrastructure, expand its store network, and improve brand marketing [17][18]. Industry Context - The Chinese fast-food market is projected to grow from 809.7 billion to 1,205.8 billion yuan from 2024 to 2029, with a compound annual growth rate of 8.3% [15]. - The current low chain rate of 32.5% in the industry presents opportunities for leading brands like Lao Xiang Ji to capture market share through expansion [15].