Investment Rating - The report assigns a "Buy" rating to the company with a target price of 56.33 CNY per share, based on a 30x PE multiple for 2025 [1][3] Core Views - The company is a leading domestic pet food manufacturer with strong brand positioning and profitability driven by its premiumization strategy [1] - Its overseas OEM experience and global supply chain layout provide competitive advantages [1] - The company is a pioneer in domestic pet food brands, leveraging diversified marketing to drive brand awareness and online sales growth [1] Financial Performance - In H1 2024, the company achieved revenue of 2.427 billion CNY, up 17.48% YoY, with pet food gross margin reaching 44.70%, up 12.78 percentage points YoY [1] - In 2023, the company's revenue reached 4.327 billion CNY, up 27.36% YoY, with net profit attributable to shareholders of 429 million CNY, up 60.69% YoY [19] - The company's own brand revenue reached 2.745 billion CNY in 2023, up 34.15% YoY, accounting for 63.44% of total revenue [19] Business Segments Domestic Market - The domestic business focuses on own-brand sales, with brands like "Myfoodie", "Fleigart", and "Wangzhenchun" covering the full range of pet food categories [19] - In 2023, domestic revenue reached 2.863 billion CNY, up 39.38% YoY, accounting for 66.17% of total revenue [19] Overseas Market - The overseas business started with OEM and expanded through acquisitions like "Waggin' Train" [19] - In 2023, overseas revenue reached 1.464 billion CNY, up 8.96% YoY, accounting for 33.83% of total revenue [19] Growth Drivers Product Innovation - The company has a comprehensive product matrix with over 1,300 SKUs, covering snacks, wet food, and dry food [26] - Premium products like "Fleigart" and "BARF" series have driven significant margin improvement [26] Marketing Strategy - The company employs celebrity endorsements, entertainment marketing, and co-branding to enhance brand awareness [55][56] - Online direct sales reached 866 million CNY in H1 2024, up 61.24% YoY, accounting for 35.85% of total revenue [59] Capacity Expansion - The company is expanding production capacity with new projects expected to increase total dry food capacity to over 200,000 tons [64][66] Financial Projections - Revenue is expected to grow at a CAGR of 21.3% from 2024 to 2026, reaching 7.723 billion CNY in 2026 [2] - Net profit attributable to shareholders is projected to grow at a CAGR of 31.9% from 2024 to 2026, reaching 984 million CNY in 2026 [2] Valuation - The company is valued at 30x 2025 PE, higher than peers, reflecting its leading position in the domestic pet food market and strong growth potential [69]
乖宝宠物：国产宠物食品龙头，自有品牌业务踔厉前行