Investment Rating - The report maintains a "Buy" rating for the company, with a target price not specified [4]. Core Views - The company has demonstrated a stable performance with a revenue of 400 million yuan in Q2 2025, a year-on-year decrease of 6.1%, and a net profit of 50 million yuan, down 9.1% year-on-year. However, for the first half of 2025, revenue increased by 9.3% to 890 million yuan, and net profit rose by 7.4% to 100 million yuan [1]. - The company is expanding its market presence in non-US regions such as Europe and Southeast Asia to mitigate market risks, while its operations in the US have returned to normal [1][2]. - The gross margin for Q2 2025 was 19.1%, a slight decrease of 0.4 percentage points year-on-year, indicating stable profitability [1]. Financial Performance - In the first half of 2025, the company distributed cash dividends amounting to 44 million yuan, with a dividend payout ratio of 43% [1]. - The revenue breakdown for the first half of 2025 shows pet pads generating 760 million yuan (up 7.3% year-on-year), pet diapers at 70 million yuan (up 40.6%), and non-woven fabric at 40 million yuan (up 14.6%) [1]. - The company has established a significant production capacity, with annual production of 4.6 billion pet pads and 200 million pet diapers domestically, alongside a new overseas capacity in Cambodia [2]. Market Position and Strategy - The company has become a key supplier for several well-known multinational companies, leveraging its scale, product quality, and production management capabilities [2]. - The domestic market for pet hygiene products is rapidly growing, and the company is actively building its own brands to capitalize on this trend [3]. - The report highlights the company's long-term advantages in customer and channel development, supported by its overseas production base and domestic brand growth [4].
依依股份（001206）：全球供应优势逐步显现