Fundraising Overview - The company raised a total of RMB 417,999,977.28 through a non-public stock issuance, with a net amount of RMB 404,190,783.17 after deducting issuance costs [1] - The funds have been stored in a dedicated account, and a tripartite supervision agreement has been signed with the sponsor and the bank [1] Project Adjustment Details - The company plans to adjust the "Changchun Fresh Beer City Brewery Project" in terms of location, content, investment scale, and internal investment structure [3] - The project will change from a rental factory to a self-built factory, with an increased annual production capacity from 0.5 million tons to 1 million tons [3][4] - The total investment for the project will increase from RMB 7,851.28 million to RMB 15,577.90 million, while the amount of fundraising remains at RMB 5,004.47 million [3] Market and Company Development - The project aims to meet the growing market demand for craft beer in Changchun, which is expected to benefit from economic growth and increased consumer spending [5][6] - The company has established itself as a leading provider of brewing equipment and aims to enhance the quality of domestic beer production [6][7] - The craft beer market in China is projected to grow significantly, with a compound annual growth rate of 17% expected until 2025 [8] Approval and Compliance - The project has received the necessary approvals and has completed the required registration work for the new implementation site [8] - The adjustments have been reviewed and approved by the company's board of directors and supervisory board, ensuring compliance with relevant regulations [9][10]

Group 1 - The craft beer market in China is experiencing a resurgence, particularly with the rise of Chinese craft beer, which is expected to lead a new wave of premiumization in the beer industry [1][3] - Various unique flavors such as tea, chili, and other niche tastes are gaining popularity, indicating a shift in consumer preferences towards more diverse and personalized beer options [2][3] - The number of craft beer-related enterprises in China has significantly increased, with 1,749 new registrations in 2024 and 1,063 in 2025, reflecting a 20.6% year-on-year growth in the first five months of 2025 [3] Group 2 - Despite an overall decline in the beer industry in 2024, many craft beer companies report sales growth, indicating a potential industry boom [3][7] - The craft beer segment is attracting not only traditional beer companies but also distributors and restaurants, further broadening its market reach [3][7] - Major beer companies are increasingly investing in craft beer production, with notable expansions and new facilities being established to meet the growing demand [10][11] Group 3 - The craft beer trend is seen as a response to changing consumer behaviors, particularly among younger generations who prioritize unique experiences and emotional value in their purchases [7][8] - The market is witnessing a diversification of beer products, with many new offerings that do not strictly adhere to traditional definitions of craft beer, appealing to the curiosity of younger consumers [8] - The overall beer market in China is transitioning towards a new phase of premiumization, with craft beer positioned as a key driver for this evolution [9][11]

Core Insights - The craft beer market is experiencing significant growth, with diverse flavors and innovative sales methods becoming increasingly popular among consumers [1][3][12] - The company, Jinan Quanmai Brewery, has launched the "Quanqing Craft Beer" brand, focusing on high-quality, low-carbon production to meet consumer demand for premium products [3][10] Company Overview - Jinan Quanmai Brewery has established a comprehensive production and sales chain for craft beer within two years, aiming to enhance consumer quality and drive market competitiveness [3][9] - The brewery has invested 1 billion yuan in a new craft beer factory in Jiyang District, which is expected to produce up to 200,000 hectoliters annually, positioning it as one of the largest craft beer facilities in China [4][6] Production and Technology - The Jiyang factory emphasizes green, low-carbon, and intelligent production, utilizing advanced equipment such as German GEA centrifuges and Dutch Pentair filtration systems to ensure product quality and environmental sustainability [6][9] - The brewery has implemented over 300 quality monitoring processes throughout the production chain, ensuring compliance with national standards from raw material selection to finished product [9][10] Product Range and Innovation - The product lineup includes various styles catering to different consumer preferences, such as German wheat beer, classic IPAs, and seasonal flavors, with a total of 57 products available [8][16] - The company has established partnerships with Qilu University of Technology to foster innovation, resulting in multiple patents and the development of a high-standard brewing system [9][12] Market Position and Expansion - Since its inception, the brand has gained recognition in the market, expanding its reach from Jinan to regions like Beijing-Tianjin-Hebei and Northeast and Southwest China [10][19] - The brewery actively participates in industry events, showcasing its products and marketing strategies, which have contributed to its rapid establishment in the competitive craft beer market [18][19] Cultural Integration and Community Engagement - The brewery integrates local cultural elements into its branding and product development, aiming to create a unique identity that resonates with consumers [14][16] - The Jiyang factory also serves as a cultural and tourism hub, attracting over 100,000 visitors annually and hosting events that boost local economic activity [18][19]

Industry Overview - The craft beer market in China is experiencing explosive growth, with many consumers shifting from traditional beers to craft options [1][38] - The rise of craft beer reflects a new consumer trend towards quality and personalization, injecting vitality into the beer market [38] Company Insights - Lauderbach Craft Beer is invested and constructed by the Shandong Provincial State-owned Assets Supervision and Administration Commission under the Water Development Group, with production bases in Shandong Heze, Sichuan Guangyuan, and Jilin Changbai Mountain [3] - The company collaborates with the Ligler Company, a ten-star brewery in Germany with nearly 700 years of history, for technical support [3] Production Capacity and Facilities - The Guangyuan facility is the largest professional craft beer company in Southwest China, designed with an annual production capacity of 200,000 KL [7] - The company utilizes world-class brewing equipment sourced from Germany and other top manufacturers [7] Product Characteristics - Lauderbach craft beer is made from 100% malt (50% barley and 50% wheat), hops, yeast, and water, with no additives, resulting in a rich flavor profile [8] - The 12-degree German-style wheat beer has a natural cloudiness and creamy foam, with a soft taste and rich fruit aroma, having won multiple awards [26] - The 13.5-degree IPA features a balanced bitterness and a rich aroma, optimized for the Chinese palate [28] Health Benefits - Craft beer is recognized for its nutritional value, containing vitamins and amino acids, with 2.03 grams of amino acids per liter [9] - It aids digestion, enhances nutrient absorption, and has been linked to various health benefits, including anti-cancer properties and improved mental alertness [10][14][15] - Moderate consumption can lower the risk of kidney stones by 41% and is associated with lower mortality rates compared to non-drinkers [17][21] Market Position - Lauderbach craft beer has achieved numerous national patents and accolades, with products distributed across most provinces in China, receiving high praise from consumers and the industry [36]

Summary of Lehui International Conference Call Company Overview - **Company**: Lehui International - **Industry**: Craft Beer and Beverage Equipment Key Points Business Model and Strategy - Lehui International is enhancing operational efficiency through a franchise model and selectively opening ODM (Original Design Manufacturer) business, partnering with brands like Haidilao to launch products such as "Super Active" to utilize excess capacity and increase revenue [2][3] - The company has deployed approximately 2,000 draft beer machines in Q1 2025 to capture the restaurant market, aiming to expand market share due to low domestic penetration rates compared to Western countries [2][7] Financial Performance - In 2024, the fresh beer business generated revenue of 140 million yuan, a 33% year-on-year increase, but remains in a loss position. The company aims to achieve breakeven or profitability in 2025 [2][5] - The number of effective distributors has increased to over 300, with some achieving annual sales between 3 million to 5 million yuan, which is expected to boost overall sales [2][8] Sales and Market Trends - Sales through distribution channels grew significantly in Q1 2025, with a year-on-year increase of approximately 30% to 50%. May sales reached the highest level of the previous year’s peak season, with expectations for further growth in June and July [2][10][11] - The company is focusing on major markets in East China, with plans to expand into cities with existing breweries [9] Product Development and Consumer Engagement - The craft beer sector is becoming increasingly competitive, with both small and large enterprises entering the market. Consumer feedback has been positive, with over 10,000 terminals selling their products, enhancing repeat purchase rates [12] - The company is actively developing new products to cater to diverse consumer preferences, including flavors aimed at attracting female consumers [12][17] ODM Business Progress - The ODM business has been initiated since the second half of 2024, with partnerships established with brands like Haidilao and West Beverages. The company is looking for partners capable of producing at least 100 tons annually [13][14] Equipment Division - The equipment segment is performing well, with strong order growth. The company is diversifying its offerings beyond beer equipment to include products for the liquor and renewable energy sectors [4][27] - The overseas market accounted for 37% of equipment sales last year, with a goal to reduce reliance on beer equipment from 80% to around 60% [27] Production Capacity and Factory Performance - The Ningbo factory achieved breakeven and profitability in 2024, while other early-stage factories like Wuhan and Changsha are also performing well [22][23] - New factories in Kunming and Harbin are delayed until April 2027, with no concerns about supply shortages due to mature preparatory work [24] Future Growth Plans - The company has set clear growth targets for 2025, focusing on fried chicken, ODM, and channel expansion as key business areas [25] - Continued collaboration with influencers and expansion of the franchise model are part of the strategy to increase market penetration [18] Conclusion - Lehui International is strategically positioning itself in the craft beer market through innovative business models, strong distributor networks, and a focus on product development, while also expanding its equipment division to reduce dependency on beer-related sales. The company is optimistic about achieving profitability and growth in the coming years.

Group 1 - The peak season for beer production typically occurs from June to September due to increased demand for chilled beer in hot weather [1][3] - High temperatures significantly boost beer consumption, making the second and third quarters traditional sales peaks for the industry [3] - The Chinese beer industry has been undergoing a high-end upgrade since around 2018, shifting focus from market share to profitability, with leading companies enhancing their product offerings [4][5] Group 2 - In 2024, the overall beer consumption is expected to be weak, but the resilience of the industry remains, with leading companies still seeing profit levels increase despite a slowdown in growth rates [4][6] - Sales performance among leading beer brands varies, with some brands like Zhujiang Beer and Yanjing Beer showing positive growth while Qingdao Beer experiences a decline due to conservative marketing strategies [6][7] - The craft beer market in China is expanding rapidly, driven by a younger consumer base that values quality and unique experiences, with the market size expected to reach 11 billion yuan by 2028 [8] Group 3 - The beer industry is expected to recover in 2025, supported by improved consumer spending and favorable policies for the restaurant sector, which will positively impact beer sales [6][7] - The current low inventory levels and the approach of the beer consumption peak season present opportunities for investment in resilient companies with positive sales and pricing trends [9]

Core Viewpoint - The beer industry is experiencing a significant slowdown, entering a deep adjustment period, while Taishan Beer, with its differentiated approach, has reported impressive performance in the first quarter of 2024 [1] Group 1: Company Performance - Taishan Beer achieved a net profit of 3.86 million yuan in Q1 2024, representing a year-on-year increase of 621.6% [1] - From January to April 2024, Taishan Beer’s sales grew by 12% year-on-year [1] - The sales of Taishan Raw Beer are expected to remain stable, with profits reaching 16.11 million yuan, an increase of 1.03 million yuan or 6.8% year-on-year [3] Group 2: Investment and Development - The company has increased its R&D investment this year, launching new products such as Taishan Raw Beer 'Golden 7' and herbal series [5] - Taishan Beer invested 450 million yuan in a new factory in Foshan in 2021 and has spent over 200 million yuan on capacity expansion and digital transformation in the past five years [6] - The company has added a production line with a daily capacity of 40,000 bottles and constructed 24 fermentation tanks of 300 tons each [6] Group 3: Marketing and Distribution - Taishan Beer has focused on digital transformation in marketing and logistics, including the use of bottle cap QR codes for consumer interaction [9] - The company has consistently provided over 10 million yuan in bottle cap red envelopes annually since 2016 [9] - In February 2024, Taishan Beer signed contracts with 283 new stores during its first factory investment promotion event, setting a record for brand promotion events [9] - The company has established a logistics system to ensure timely delivery, with a production-to-delivery time of just three hours [9]

Core Insights - The 2025 Spring Sugar and Wine Fair showcased new trends in the beverage industry, particularly highlighting the rise of craft beer and the active participation of female entrepreneurs [1][4][11] Industry Trends - The event featured over 6,600 exhibitors, indicating a strong interest in market expansion and collaboration among brands, suppliers, and commercial clients [3] - Craft beer emerged as a significant focus at the fair, with numerous brands participating, marking a shift from the traditional dominance of liquor [4][11] - The craft beer market in China is projected to grow, with a market size reaching 6.8 billion yuan by the end of 2023 and an expected increase to 11 billion yuan by 2028 [12] Company Highlights - Ubrew, a prominent craft beer brand, attracted significant attention at the fair, showcasing a wide range of products and engaging consumers through tastings and live demonstrations [7][8] - Ubrew's founder emphasized the company's commitment to supporting partners and expanding its presence in the craft beer sector, which is experiencing rapid growth [8] - Ubrew has established itself as a leader in the craft beer industry, with over 2,000 craft beer bars across more than 800 cities in China [16][21] Consumer Demographics - The craft beer segment is increasingly appealing to young consumers and female entrepreneurs, who are becoming key players in the craft beer bar market [11][9] - Female consumers represented a significant portion of visitors at Ubrew's booth, indicating a shift in consumer demographics towards a more diverse audience [9][10] Market Dynamics - Traditional liquor distributors are seeking to enter the craft beer market, recognizing the potential for growth and diversification in their offerings [13][18] - The craft beer industry is seen as a complementary category to traditional liquor, appealing to a younger demographic and providing seasonal balance [13]