Core Viewpoint - The snack industry is experiencing a recovery period, leading to valuation restoration for leading companies and increased capital market activity, indicating a new round of industry reshuffling [1]. Group 1: Company Performance - Wancheng Group, which started with edible fungi, entered the mass snack market in 2022 and has seen revenue growth from 549 million to 32.33 billion from 2022 to 2024, with net profit rising from 47.73 million to 294 million [1]. - The stock price of Wancheng Group has surged over 1100% since mid-2024, with a market capitalization exceeding 30 billion [1]. - In contrast, Liangpin Shop, known as the "first high-end snack stock," has faced significant performance declines since its IPO in 2020, with revenues dropping from 78.94 billion in 2020 to an estimated 7.16 billion in 2025 [10][12]. Group 2: Financial Challenges - Liangpin Shop's net profit is projected to be between -105 million and -75 million for the first half of 2025, reflecting ongoing financial struggles [7][14]. - The company attributes its losses to product price adjustments, a decline in store numbers, and increased online channel costs, leading to a drop in sales scale and net profit [9]. - The overall financial performance of Liangpin Shop has deteriorated, with a 29.34% revenue decline in Q1 2025 compared to the previous year [12]. Group 3: Strategic Shifts - Liangpin Shop has attempted to reverse its declining performance by significantly reducing product prices, with an average price cut of 22% across over 300 products, the largest since 2017 [15]. - Despite these efforts, the price cuts have not led to a recovery in profits, indicating deeper issues related to supply chain efficiency and product iteration speed [17]. - The shift towards a "cost-performance" strategy may signal a departure from its high-end positioning, which could further impact its brand perception and market competitiveness [17]. Group 4: Ownership and Control Changes - The potential change in control at Liangpin Shop is highlighted by the announcement of significant shareholder actions, including the possible transfer of control by the major shareholder, Ningbo Hanyi [3][20]. - Frequent changes in leadership, including the resignation of key figures and the appointment of new management, suggest instability within the company [18][19]. - The ongoing decline in performance and management turnover raises concerns about the company's competitive position in the recovering snack industry [21].