Ligao Foods (SZ:300973) Huaxin Securities·2025-08-31 09:03Investment Rating - The report maintains a "Buy" investment rating for the company [1][8] Core Views - The company's main operations are stable, focusing on cost control and efficiency improvements to optimize profitability [1] - In H1 2025, total revenue reached 2.07 billion yuan, a 16% year-on-year increase, while net profit attributable to shareholders was 171 million yuan, up 26% year-on-year [1] - The company is expected to continue benefiting from the growth in its product lines and channel diversification [3][4] Revenue and Profitability - In Q2 2025, total revenue was 1.02 billion yuan, reflecting an 18% year-on-year increase, with net profit growing by 41% to 82 million yuan [1][2] - The gross margin in Q2 2025 decreased by 2 percentage points to 30.72% due to high raw material costs, but the net profit margin increased by 1 percentage point to 7.90% [2] - The company is implementing precise cost control measures and benefiting from economies of scale [2] Product Performance - Frozen baked goods revenue in H1 2025 was 1.125 billion yuan, a 6% increase, driven by new product introductions [3] - Cream revenue reached 558 million yuan in H1 2025, up 29%, with plans to expand the product matrix [3] - Sauce revenue grew by 36% to 142 million yuan, supported by strong orders from core restaurant chain clients [3] Channel Development - Revenue from distribution channels in H1 2025 was 1.053 billion yuan, a 9% increase, while direct sales channels saw a 26% increase to 999 million yuan [4] - Retail channel revenue surged by 105% to 7 million yuan, indicating successful adaptation to diverse consumer channels [4] Profit Forecast - The company's earnings per share (EPS) are projected to be 2.12 yuan in 2025, 2.56 yuan in 2026, and 2.98 yuan in 2027, with corresponding price-to-earnings (PE) ratios of 24, 20, and 17 times [8][10] - The company is expected to achieve a net profit of 359 million yuan in 2025, reflecting a 33.9% growth rate [10]