YouYou Foods(SH:603697) Huaxin Securities·2025-05-11 12:50Investment Rating - The report maintains a "Buy" investment rating for the company [7] Core Views - The company continues to deliver strong performance, with Q1 2025 total revenue reaching 383 million yuan, a year-on-year increase of 39%, and a net profit of 50 million yuan, up 16% year-on-year [4][6] - The company is experiencing significant growth in its membership channel, with online sales increasing by 88% year-on-year, while offline sales grew by 36% [6] - The company is expected to maintain its investment in channels, leveraging the channel spillover effect to drive growth in e-commerce [6] Summary by Sections Financial Performance - Q1 2025 gross margin decreased by 4 percentage points to 27.08%, primarily due to channel structure impacts, but is expected to improve year-on-year [5] - The company’s selling and administrative expense ratios decreased by 3 percentage points and 1 percentage point, respectively, due to scale effects [5] Product and Channel Development - The company’s meat and vegetable product revenues for Q1 2025 were 354 million yuan and 21 million yuan, respectively, with a notable contribution from deboned duck feet [6] - The company is expanding its product offerings in the Sam's channel, which is expected to drive vegetable product revenue growth [6] Profit Forecast - The company is projected to consolidate its core product base while developing a second growth curve, with adjusted EPS forecasts for 2025-2027 at 0.47, 0.56, and 0.65 yuan, respectively [7][10] - The current stock price corresponds to PE ratios of 25, 21, and 18 times for 2025, 2026, and 2027, respectively [7]