Core Viewpoint - Company is rated as a "buy" by Guojin Securities, highlighting its strong competitive position in China's home meal market due to efficient supply chain, continuous product innovation, extensive store network, and strong brand image [1] Industry Overview - The home meal market in China is experiencing steady growth, with a market size of CNY 367.3 billion in 2022, projected to reach CNY 940 billion by 2027, reflecting a CAGR of 20.7% from 2022 to 2027 [2] - The market concentration is relatively low, with the top five players holding only 11.1% of the market share in 2022, while the company holds the leading position with a 3.0% market share among all retailers [2] Core Competitiveness - Strong supply chain support, continuous product innovation, extensive channel network, and deep brand recognition are key competitive advantages [3] - Supply Chain: The company has established seven self-owned factories, enhancing efficiency in production and logistics [3] - Product Innovation: The company introduced a significant number of new SKUs annually, with 412 new products launched in 2025H1, catering to diverse consumer preferences [3] - Channel Network: The company has expanded to 10,761 stores by 2025Q3, utilizing a multi-store model and mature franchise system [3] - Brand Development: Continuous investment in brand building has resulted in a prepaid card value of CNY 590 million in 2025H1, a year-on-year increase of 37.2% [3] Growth Potential - The community central kitchen strategy is focused on penetrating lower-tier markets, which presents significant growth opportunities as traditional local stores lack efficiency compared to the company's township stores [4] - The expansion of product offerings and store types is expected to drive rapid growth in same-store performance and the number of new openings [4]