Summary of Pet Industry Conference Call Industry Overview - The pet industry overall maintained growth in September 2025, but brand performance varied significantly [1][4] - The concentration of the pet industry has experienced a decline followed by an increase, with leading brands rapidly expanding and the mid-to-high-end market share increasing [1][7] - The industry is expected to see a rapid increase in concentration over the next two to three years, with CR10 approaching 50% [1][7] Brand Performance - **Mafudi**: Achieved a year-on-year growth of 4%, primarily due to the separate accounting of some series under its brand [3] - **Fleegat**: Recorded an impressive online growth rate of 85%, being the only brand among the top 20 to exceed 50% growth [3] - **Wangpi**: Experienced a 30% online growth [3] - **Leading Brands**: Overall growth of 46% [3] - **Peidi Testing**: Achieved a 12% online growth [3] E-commerce Performance - In September 2025, the overall year-on-year growth rate for online e-commerce platforms in the pet industry was 3.1% [2] - **Tmall**: Experienced a decline of 10% [2] - **JD.com**: Saw a growth of 24% [2] - **Douyin**: Achieved an 18% growth [2] Double Eleven Sales Performance - The top three brands in the pre-sale rankings for Double Eleven were **Xianlang**, **Lanshi**, and **Fleegat** [5] - In terms of sales, **Xianlang** ranked first, followed by **Lanshi** and **Fleegat** [5] - For cat food, **Xianlang** was first, with **Fleegat** second; for dog food, **Mafudi** ranked second [5] - In the cat snack category, **Wangpi** was second, while the top five for dog snacks included **Mafudi**, **ZOZO ZOZO**, **Jueyan**, and **Wangpi** [5] Discount Trends and Competition - The competition among e-commerce platforms during Double Eleven was intense, with significant discounts reaching as low as 66.5% or 60% [6] - This discount trend was primarily driven by channel and platform subsidies rather than brand discounts alone [6] Future Growth Expectations - The domestic sales performance in Q3 was strong, with leading brands meeting targets [4][8] - The Double Eleven promotional activities are expected to drive GMV, maintaining high growth for overall revenue in 2025 [4][8] - The pet industry is in a rapid growth phase, with high growth rates across various product segments and categories [8] - The trend of mergers and acquisitions to enter the food sector is becoming prominent, exemplified by the acquisition of Gaoye Jia by Yiyiyuan [7] - The speed of new product iterations is increasing, requiring higher supply chain advantages and R&D capabilities [7]