Investment Rating - The report maintains a "Strong Buy" rating for the company with a target price of 10 HKD [1]. Core Views - The company is expected to experience a significant decline in revenue and profits in the first half of 2025, with total revenue projected to be between 2.4 to 2.55 billion HKD, representing a year-on-year decrease of 38.3% to 41.9%. The net profit attributable to shareholders is expected to be between 570 to 580 million HKD, down 23% to 24% year-on-year [1]. - The company is focusing on inventory clearance and stabilizing its distribution channels, with a strategic shift towards launching new products to mitigate the impact of declining sales [8]. - The introduction of a flagship product, "Da Zhen," priced at 888 HKD, aims to capture market share and enhance profitability through targeted marketing strategies [8]. Financial Summary - Revenue projections for 2025 are estimated at 5.032 billion HKD, reflecting a year-on-year decline of 28.8% [4]. - Non-GAAP net profit for 2025 is forecasted at 1.151 billion HKD, a decrease of 31.31% compared to the previous year [4]. - The earnings per share (EPS) for 2025 is adjusted to 0.34 HKD, down from previous estimates [8]. Market Strategy - The company is actively adjusting its market strategy by reducing supply and focusing on core products to stabilize its market position [8]. - There is an emphasis on expanding market presence in key regions such as Guizhou, Henan, and Shandong, while also exploring new consumer trends with product diversification [8]. - The management team is experienced and has a strong understanding of market dynamics, which is expected to support long-term growth despite short-term challenges [8].