Core Viewpoint - Tianyuan Pet Products Co., Ltd. reported a revenue of 1.435 billion yuan for the first half of 2025, marking a year-on-year growth of 14.59%, with a net profit of 37.46 million yuan, up 20.14% year-on-year [2][15]. Revenue Breakdown - The majority of revenue in the first half of 2025 came from pet supplies and pet food, generating 728 million yuan and 668 million yuan respectively, with year-on-year growth rates of 8.96% and 17.37% [3][4]. - The gross profit margins for pet supplies and pet food were 22.17% and 17.37%, accounting for 50.73% and 46.55% of total revenue [3][4]. Market Trends - The proportion of pet food in total revenue has increased from 21.1% in 2022 to 43.55% in 2024, while the share of pet supplies has decreased from 71.5% to 55.36% during the same period [5]. - Domestic revenue has surpassed international revenue since 2024, with domestic revenue accounting for 54.28% of total revenue in the first half of 2025 [7][16]. Business Model - Tianyuan Pet operates a dual-track model, relying on OEM/ODM for international markets while focusing on authorized sales of international pet food brands domestically [8][10]. - The company aims to reduce its dependence on overseas markets and brands by enhancing its online and offline channel capabilities through acquisitions [10][13]. Acquisitions and Strategy - In early 2025, Tianyuan Pet acquired the B2B pet industry platform "Itpin" and announced a controlling acquisition of Guangzhou Taotong Technology, a service provider for e-commerce operations for major international brands [10][13]. - The company plans to strengthen its e-commerce operations and brand development, aiming to create a new consumer ecosystem in the pet industry [14][17]. Financial Performance - Operating cash flow showed a significant outflow of 115 million yuan, a year-on-year increase of 45.81%, attributed to increased procurement and accounts receivable [15]. - Financial expenses surged by 1026.13% to 8.25 million yuan due to rising interest expenses and unfavorable exchange rate fluctuations [16][17].
天元宠物业绩双增：自有品牌营收低 战略转型面临结构性挑战