Core Insights - Green Tea Group is a leading casual Chinese cuisine restaurant group in China, ranking as the 4th largest brand in the industry with a 0.7% market share in 2023, generating RMB 3.6 billion in sales from 360 stores in FY23, and achieving a 20% sales CAGR during FY19-23 despite the pandemic [1][3] Group 1: Sales Performance - Green Tea's sales per store recovery rate is at 94% in FY23 compared to FY19, outperforming competitors like Haidilao and KFC, both at 87%, and JMJ at 77% [1] - The company has a strong sales performance driven by its outstanding price to product quality and a distinctive store environment, making it popular for group dining [1] Group 2: Delivery Business Potential - The delivery business has significant growth potential, with delivery sales accounting for only 14% of total sales in FY23, compared to an industry average of 32% [2] - Green Tea is implementing a strategic shift to enhance its delivery offerings, including competitively priced delivery menus that are about 5% cheaper than dine-in options [2] Group 3: Future Growth Projections - Forecasts indicate an 18% sales CAGR from FY23-26E, driven by a 32% store CAGR and adjustments in sales per store [3] - The adjusted net profit is expected to grow by 25% CAGR during the same period, supported by menu adjustments, supply chain improvements, and economies of scale [3] Group 4: Valuation and Investment Outlook - The company is projected to achieve over 20% sales growth and over 30% net profit growth in 1H25E [4] - Initiating coverage with a BUY rating and a target price of HK$ 9.73, based on a 12x FY25E adjusted P/E, which reflects a 30% discount to the median of China peers [4]

Domino’s Pizza (DPZ) FY Conference June 14, 2023 03:45 PM ET Speaker0Good afternoon, everybody. I'm Brian Binder, the Restaurants Analyst at Oppenheimer. And we are thrilled to have Domino's Pizza back at our twenty twenty three Consumer Conference. Domino's doesn't really need an introduction, but it is the largest pizza company in the world with over 20,000 stores in 90 plus markets. And while Domino's has a strong track record of impressive growth, we believe there remains an attractive opportunity for A ...