Mei Ri Jing Ji Xin Wen·2025-08-26 16:33Core Viewpoint - Nongfu Spring reported strong financial results for the first half of 2025, with revenue and net profit showing significant year-on-year growth, driven by the tea beverage segment and a recovery in packaged water sales [1][3]. Financial Performance - For the first half of 2025, the company achieved revenue of 25.622 billion RMB, a year-on-year increase of 15.6%, and a net profit of 7.622 billion RMB, up 22.1% [1][2]. - The tea beverage segment became the largest revenue source for the company, generating 10.089 billion RMB, a 19.7% increase year-on-year, accounting for 39.4% of total revenue [2]. - Packaged drinking water revenue reached 9.443 billion RMB, a 10.7% increase year-on-year, representing 36.9% of total revenue [2][3]. - The company's gross profit for the first half of 2025 was 15.46 billion RMB, reflecting an 18.6% increase, with a gross margin of 60.3%, up 1.5 percentage points year-on-year [3]. Strategic Developments - Nongfu Spring has established 15 major water sources, with new sources in Hunan, Sichuan, and Tibet becoming operational in the first half of 2025, enhancing its water source advantage [5]. - New factories are under construction in several provinces, including Henan, Hainan, Guizhou, and Yunnan, which will further strengthen the company's operational capacity [5]. Market Performance - As of August 26, 2025, Nongfu Spring's stock price was 46.96 HKD, with a market capitalization of 528.1 billion HKD, reflecting a year-to-date increase of over 40% [6][8]. - The stock price had previously reached a low of 22.73 HKD in September 2022, indicating a significant recovery [7].