Toly Bread(SH:603866) Xi Niu Cai Jing·2025-08-20 05:57Core Viewpoint - The company reported a significant decline in both revenue and net profit for the first half of the year, indicating ongoing challenges in its core business segment of bread and pastries [2][3]. Financial Performance - The company achieved a revenue of 2.61 billion yuan, a decrease of 13.55% compared to the same period last year [3]. - The net profit attributable to shareholders was 203.83 million yuan, down 29.7% year-on-year [3]. - Total profit decreased by 27% to 271.53 million yuan [3]. - The cash flow from operating activities showed a slight decline of 0.9% [3]. Business Segment Analysis - The bread and pastry segment generated revenue of 2.58 billion yuan, down from 2.98 billion yuan, a reduction of 400 million yuan [3][4]. - The production and sales volume of the bread and pastry category are decreasing, while inventory has increased by 19.42% [4]. Capacity Expansion - Despite the increase in inventory, the company is expanding its production capacity, with 24 production bases in operation and 2 under construction [4]. - The new production bases in Shanghai and Foshan are designed to have capacities of 30,000 tons and 69,000 tons, respectively [4]. Regional Performance - The company reported losses in the East and South China regions, with revenues of 845 million yuan and 181 million yuan, respectively, both showing declines compared to the previous year [4]. Distribution Channels - The company utilizes both direct sales and distribution through dealers, targeting large chain supermarkets and smaller local stores [4]. - The total number of national distributors decreased to 971, a reduction of 9 compared to the previous year [5].