Core Insights - The company reported significant profit growth in Q3 2025, with a net profit of 0.89 billion yuan, a year-on-year increase of 338.7% [1] - The company's revenue for the first three quarters of 2025 was 50.5 billion yuan, a decrease of 3.4% year-on-year, while the net profit reached 3.0 billion yuan, up 385.3% [1] Revenue and Profitability - In Q3 2025, the company achieved total revenue of 13.90 billion yuan, a decline of 19.9% year-on-year, but the net profit showed a substantial increase [1] - The gross profit margin for the plant extraction business was 20.86%, up 4.91 percentage points year-on-year, while the cottonseed business gross margin was 7.20%, an increase of 8.05 percentage points [1] - The company’s Q3 gross margin was approximately 16%, a significant increase of 10.6 percentage points year-on-year [2] Business Segment Performance - The plant extraction business generated revenue of 24.99 billion yuan in the first three quarters, a year-on-year increase of 7.35%, with a gross margin of 20.86% [1] - The cottonseed business reported revenue of 23.53 billion yuan, a decline of 10.54% year-on-year, but the gross margin improved to 7.20% [1] - Sales of various products in the plant extraction segment reached historical highs, with chili red pigment sales up 36% and chili essence sales up 87% year-on-year [1] Cost and Expense Management - In Q3, the company’s selling, administrative, and R&D expense ratios were 1.4%, 3.4%, and 3.4%, respectively, with increases in each category compared to the previous year [2] - The increase in selling expenses was primarily due to the recovery of the cottonseed business, leading to higher compensation for sales staff [2] Future Outlook - The company is positioned as a leader in the domestic plant extraction industry, with significant growth potential in both domestic and international markets [2] - Revenue projections for 2025-2027 are 70.1 billion yuan, 74.8 billion yuan, and 79.6 billion yuan, with net profits expected to be 3.74 billion yuan, 4.06 billion yuan, and 4.41 billion yuan, respectively [2]