Core Insights - The company reported strong performance in H1 2025, with revenue reaching 5.663 billion yuan, a year-on-year increase of 41.2%, and net profit attributable to shareholders at 1.626 billion yuan, up 121.5% [1] - Adjusted net profit, excluding the impact of fair value changes from preferred shares and listing expenses, was 1.086 billion yuan, reflecting a 42.4% year-on-year growth [1] - The company is expanding its store network aggressively, with a total of 11,179 stores by the end of H1 2025, a 17.5% increase year-on-year [1] Business Performance - Revenue from product sales and equipment reached 4.496 billion yuan, a 42% increase year-on-year, accounting for 79% of total revenue [1] - Franchise management service revenue was 1.159 billion yuan, up 39% year-on-year, making up 20% of total revenue [1] - Direct store sales were 0.08 billion yuan, reflecting a 14% year-on-year increase [1] Store Expansion - The company opened 1,570 new stores in H1 2025 while closing 305, indicating a steady expansion of its store network [1] - The company is focusing on penetrating lower-tier markets, which presents significant growth potential [1] Operational Improvement - Total GMV for H1 2025 was 14.094 billion yuan, a 34% year-on-year increase, with average daily GMV per store at 7,600 yuan, up 21% [1] - The average daily cup sales per store reached 439 cups, a 17% increase year-on-year, with an average cup price of 17.25 yuan, up 3% [1] - The company has optimized its brand matrix, with registered members reaching 178 million and quarterly active members at 50 million [1] Profit Forecast and Investment Rating - The company is expected to accelerate market share capture due to its expanding store network and improving same-store performance [1] - Profit forecasts for 2025-2027 have been raised, with net profits projected at 2.685 billion, 2.495 billion, and 2.881 billion yuan respectively, corresponding to PE ratios of 19, 20, and 18 times [1] - The investment rating is maintained at "Buy" [1]