Core Viewpoint - The company reported a revenue of 1.81 billion yuan for the first three quarters of 2025, showing a year-on-year growth of 2.1%, but the net profit attributable to shareholders decreased by 19.5% [1] - The company is adjusting its profit forecast for 2025-2027, expecting revenues of 2.49 billion, 2.80 billion, and 3.18 billion yuan, with respective year-on-year growth rates of 3.2%, 12.6%, and 13.5% [1] Group 1 - In Q3 2025, the company achieved a revenue of 680 million yuan, a year-on-year increase of 6.5%, while the net profit attributable to shareholders was 61 million yuan, down 14.8% year-on-year [1][2] - The company is a leading player in the spicy snack segment and is focusing on marketing investments to boost performance during peak seasons, maintaining a "buy" rating [1] - The company is experiencing significant short-term cost fluctuations and increased expenses, which are putting pressure on profits [1] Group 2 - The new product and channel performance has improved, with Q3 2025 revenue showing a year-on-year growth of 6.5%, indicating a recovery from the decline in Q2 [2] - The company expects double-digit growth in fish products, while egg products face pressure due to high base effects; bean products remain stable [2] - The gross margin for Q3 2025 was 28.9%, down 1.1 percentage points, primarily due to high raw material costs for small fish and konjac [2] Group 3 - The sales expense ratio for Q3 2025 was 13.8%, up 1.6 percentage points year-on-year, while the management expense ratio was 3.8%, up 1.4 percentage points year-on-year [2] - The company is actively adjusting marketing expenses and expanding its product matrix to enhance channel coverage [2] - New products like soft-boiled quail eggs and short-shelf-life bean curd are expected to perform well in emerging channels such as snack wholesale and Sam's Club [2]

Investment Rating - The investment rating for the company is "Outperform" (Maintain) [1] Core Views - The company reported a revenue of 1.81 billion yuan for the first three quarters of 2025, representing a year-on-year growth of 2.1%, while the net profit attributable to the parent company decreased by 19.5% [4] - In Q3 2025, the company achieved a revenue of 680 million yuan, a year-on-year increase of 6.5%, but the net profit attributable to the parent company fell by 14.8% [4] - The company is expected to benefit from seasonal demand and new product launches, maintaining a positive outlook despite short-term profit pressures [4][5] Financial Performance Summary - Revenue projections for 2025-2027 are 2.49 billion, 2.80 billion, and 3.18 billion yuan, with year-on-year growth rates of 3.2%, 12.6%, and 13.5% respectively [4] - The net profit projections for the same period are 250 million, 310 million, and 360 million yuan, with year-on-year changes of -14.9%, +24.0%, and +17.3% respectively [4] - The current price-to-earnings (P/E) ratios for 2025, 2026, and 2027 are 21.5, 17.4, and 14.8 times respectively [4] Product and Channel Performance - The company’s new product lines, particularly fish products, are expected to maintain double-digit growth, while egg products face high base effects [5] - The company is expanding its product matrix and enhancing channel coverage, with positive performance anticipated from new products and emerging sales channels [6] Cost and Margin Analysis - The gross margin for Q3 2025 was 28.9%, a decrease of 1.1 percentage points, primarily due to raw material costs [6] - The sales expense ratio increased to 13.8%, up 1.6 percentage points year-on-year, while management expenses also saw a rise [6]