Core Viewpoint - Anjuke Foods (02648) reported a strong performance in the third quarter, with significant revenue and profit growth, leading to an increase in stock price by over 8% [1] Financial Performance - For the first three quarters, Anjuke Foods achieved a revenue of 11.371 billion yuan, representing a year-on-year increase of 2.66% [1] - The net profit attributable to shareholders for the same period was 949 million yuan [1] - In the third quarter alone, the company generated a revenue of 3.766 billion yuan, which is a 6.61% increase year-on-year [1] - The net profit for the third quarter was 273 million yuan, reflecting an 11.8% year-on-year growth [1] Market Strategy - The company is actively embracing customized channels in supermarkets, with a focus on multi-channel expansion including traditional supermarkets, regional supermarkets, and retail discount stores [1] - There is an expectation for the market share to expand year by year, with ongoing benefits from economies of scale [1] Profitability - The gross margin and net margin for Q3 have shown year-on-year growth, indicating a stabilization and recovery in profitability [1] - The company is anticipated to see a positive quarter-on-quarter performance in Q4 [1]

Core Viewpoint - The company reported steady growth in Q3 2025, reversing the downward trend observed in Q1 and Q2, with significant improvements in revenue and net profit [2][4]. Financial Performance - For Q1-Q3 2025, the company achieved total revenue of 11.371 billion, a year-on-year increase of 2.66%, and a net profit attributable to shareholders of 949 million, a decrease of 9.35% [1]. - In Q3 2025, the company recorded total revenue of 3.766 billion, up 6.61% year-on-year, and a net profit of 273 million, an increase of 11.80% [1][2]. Product Category Performance - Revenue from various product categories for Q1-Q3 2025 includes: - Frozen prepared foods: 5.665 billion (+0.72%) - Frozen dishes: 3.643 billion (+9.19%) - Frozen noodles and rice products: 1.725 billion (-5.4%) - Agricultural products: 291 million (+8.2%) - Bakery products: 32 million (-) - Other income: 13 million (-38.97%) [2]. Channel Performance - Revenue by channel for Q1-Q3 2025 includes: - Distributors: 9.004 billion (-0.96%) - Direct sales: 872 million (+23.45%) - Supermarkets: 643 million (+6.74%) - New retail and e-commerce: 853 million (+25.87%) [2]. - In Q3 2025, the performance by channel shows: - Distributors: -0.58% - Direct sales: +68.09% - Supermarkets: +28.11% - New retail and e-commerce: +38.08% [2]. Profitability and Cost Control - For Q1-Q3 2025, the company's gross margin and net margin were 20.34% and 8.36%, respectively, down 2.30 and 1.23 percentage points year-on-year [3]. - In Q3 2025, the gross margin and net margin improved slightly to 19.99% and 7.31%, respectively, with year-on-year increases of 0.05 and 0.35 percentage points [3]. - The company maintained a cost control strategy, with a total expense ratio of 9.25% for Q1-Q3 2025, down 0.41 percentage points year-on-year [3]. Growth Outlook - The company is expected to continue its growth trajectory, with projected revenues of 16.029 billion, 17.325 billion, and 19.070 billion for 2025, 2026, and 2027, respectively, and net profits of 1.400 billion, 1.479 billion, and 1.730 billion [4]. - The company is focusing on a customized strategy for supermarkets to enhance product quality and expand its market share [4].

Group 1: Retail Channel Development - The company focuses on refining retail channel operations, emphasizing the "store efficiency doubling project" to empower distributors and enhance retail revenue [1] - The project has shown significant improvements in store efficiency, with plans to expand from pilot stores to a broader range of outlets [1] Group 2: Operational Strategy - The company aims to drive overall channel growth through retail channel expansion while systematically exploring growth paths in engineering, home decoration, and e-commerce [1] - A dual approach of product and marketing strategies is being implemented to enhance product strength and optimize sales structure, which is expected to improve gross margins [1] Group 3: International Market Expansion - The company is actively pursuing international strategies, establishing partnerships with local distributors and expanding its store presence overseas [2] - Online sales are being boosted through overseas e-commerce platforms, although the contribution of international business to overall revenue remains low [2] Group 4: Impact of National Subsidy Policies - The company is leveraging national subsidy policies to optimize sales structure, which has positively impacted gross margins [2] - The clarity of subsidy policies influences operational strategies, but the ongoing refinement of management practices is deemed more critical [2]

Summary of the Conference Call for Mankalon Company Overview - **Company**: Mankalon - **Industry**: Jewelry Key Points and Arguments 1. **Revenue Growth**: Mankalon achieved a revenue of 1.556 billion yuan in the first half of 2025, representing a year-on-year growth of 26.79% [4] 2. **Net Profit Increase**: The net profit attributable to shareholders reached 76.7 million yuan, up 35% year-on-year, with a second-quarter net profit of 33.68 million yuan, reflecting a 37% increase [4] 3. **Gross Margin Improvement**: The gross margin improved by 0.68 percentage points year-on-year, driven by product structure optimization and channel strategy adjustments [4] 4. **Channel Expansion Strategy**: Mankalon plans to cover all provinces in China within one to two years, focusing on optimizing the product structure in domestic markets while accelerating expansion in external markets, where revenue grew by 62% year-on-year [2][5] 5. **Online Operations Shift**: The company is transitioning its online operations from a traffic-driven model to a brand-driven model, utilizing cross-industry collaborations and IP partnerships to create a differentiated brand positioning [2][6] 6. **Store Opening Plans**: Mankalon expects to accelerate the opening of new stores in the second half of 2025, with a projected net increase of 40 to 50 stores for the year [10][16] 7. **Product Development Focus**: The company has increased the proportion of R&D products, launching successful series such as Fenghua 2.0 and Traditional Chinese Medicine wellness series, with future strategies focusing on high-frequency online launches and appealing to younger aesthetics offline [2][8] 8. **Profitability of New Stores**: New stores opened in external markets have shown profitability, with no closures reported, indicating strong potential for nationwide expansion [3][14] 9. **IP Collaboration Plans**: Mankalon plans to expand its IP collaborations, focusing on both youth-oriented IPs and high-quality partnerships with museums and artists to enhance brand perception [11] 10. **Market Competition Dynamics**: The jewelry industry is experiencing a shift towards meeting the aesthetic and emotional values of younger consumers, with brands that adapt to these changes performing well [12] Additional Important Insights 1. **E-commerce Performance**: Mankalon's e-commerce channels have seen rapid growth, particularly on the Kuaishou platform, while the Taobao platform has experienced a decline due to the removal of promotional subsidies [23][24] 2. **Gross Margin Sources**: The increase in gross margin is attributed to rising gold prices and adjustments in product structure, with infrastructure products now accounting for 20% of sales [15] 3. **Franchise vs. Direct Store Growth**: Franchise growth has lagged behind direct store growth due to structural adjustments, but expectations for improved performance in the second half of 2025 remain positive [26] 4. **Cultural and Emotional Value in Products**: Mankalon aims to enhance the cultural and emotional value of its products to meet the demands of younger consumers, which is crucial for maintaining competitiveness in the market [12][21] 5. **Fenghua Series Performance**: The Fenghua series currently accounts for about 20% of Mankalon's revenue, with its growth rate exceeding the company's average, indicating strong market performance [22] This summary encapsulates the key insights and strategic directions discussed during the conference call, highlighting Mankalon's growth trajectory and market positioning within the jewelry industry.

Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Views - The company achieved a revenue of 20.23 billion yuan in 2024, representing a year-on-year growth of 22.2%, with a net profit attributable to shareholders of 720 million yuan, up 1.7% year-on-year. In Q1 2025, the revenue reached 8.22 billion yuan, marking a 30.2% increase year-on-year, and the net profit attributable to shareholders was 320 million yuan, up 17.3% year-on-year [2][4][10]. Summary by Sections Financial Performance - In 2024, the company's total revenue was 20.23 billion yuan, with a net profit of 720 million yuan. For Q1 2025, the revenue was 8.22 billion yuan, and the net profit was 320 million yuan, with a non-recurring net profit of 280 million yuan, reflecting a 9.9% year-on-year increase [2][4][10]. Business Operations - The company operates a fully direct sales model, achieving stable growth in operating profits. In 2024, the total number of stores reached 100, with a net increase of 13 stores. Offline revenue was 15.1 billion yuan, up 13% year-on-year, while e-commerce revenue was 4.8 billion yuan, up 60% year-on-year [10]. Product Performance - The gross profit for 2024 was 1.808 billion yuan, with a year-on-year increase of 2%. The gross profit margin for Q1 2025 was 8.3%, a decrease of 1.7 percentage points year-on-year, attributed to the structural reasons of hot sales in investment gold [10]. Future Outlook - The company plans to continue its steady expansion across all channels, with expectations for stable growth in overall performance in 2025. The dividend payout ratio for 2024 is maintained at a high level of 78%, indicating a strong commitment to shareholder returns. EPS is projected to reach 1.05, 1.16, and 1.27 yuan for 2025, 2026, and 2027 respectively [10].