JONJEE(SH:600872) Minsheng Securities·2025-10-26 15:07Investment Rating - The report maintains a "Recommended" rating for the company, with a current price of 18.39 yuan [6]. Core Views - The company reported a revenue of 3.16 billion yuan for the first three quarters of 2025, a year-on-year decrease of 20.0%, and a net profit attributable to shareholders of 380 million yuan, down 34.1% year-on-year [1]. - The company is focusing on optimizing distributor inventory and strengthening its market foundation, although revenue is under short-term pressure [2]. - The gross margin for the first three quarters of 2025 was 39.2%, an increase of 1.8 percentage points year-on-year, primarily due to lower procurement prices for raw materials [3]. - The company is undergoing channel adjustments and expects improvements in the future, with a focus on proactive strategies to enhance marketing and channel management [4]. Summary by Sections Financial Performance - For Q3 2025, the company achieved a revenue of 1.03 billion yuan, a decrease of 22.8% year-on-year, and a net profit of 120 million yuan, down 45.7% year-on-year [1]. - The revenue breakdown for Q3 2025 by product shows soy sauce at 600 million yuan, chicken essence and powder at 140 million yuan, cooking oil at 90 million yuan, and other products at 130 million yuan, with respective year-on-year declines of 19.2%, 24.2%, 31.6%, and 8.8% [2]. - The company’s distributor count reached 2,898 by the end of Q3 2025, with a net increase of 99 distributors from Q2 [2]. Cost and Profitability - The company’s operating expenses increased, with a sales expense ratio of 13.8%, up 4.6 percentage points year-on-year, due to enhanced marketing efforts [3]. - The net profit margin for the first three quarters of 2025 was 12.0%, a decrease of 2.6 percentage points year-on-year [3]. Future Outlook - The company projects revenues of 4.55 billion yuan, 4.91 billion yuan, and 5.21 billion yuan for 2025, 2026, and 2027, respectively, with expected year-on-year growth rates of -17.6%, +8.0%, and +6.1% [4]. - The net profit attributable to shareholders is forecasted to be 570 million yuan, 650 million yuan, and 740 million yuan for the same years, with year-on-year changes of -36.6%, +15.0%, and +12.9% [4].