Core Insights - Domino's long-term strategy focuses on scalable, franchise-driven growth with a target of 50,000 global stores, particularly in international markets [1] - The company benefits from over 85% of U.S. revenue coming from digital orders, enhancing efficiency and average order values [1] - Wall Street maintains a Buy rating on Domino's, with an average price target around $488, reflecting a range of expectations influenced by cost pressures and demand trends [2] Expansion and Digital Strategy - Domino's is leveraging its extensive delivery network and rapid store expansion, alongside a growing digital ordering system, to pursue ambitious global targets [4] - The franchise model provides insulation from operational risks while generating stable, high-margin royalty and supply chain revenue [1][6] Market Challenges - Rising food and labor costs, along with tightening household budgets and increased competition, are creating volatility in the stock's risk-reward profile [4] - The pizza market is experiencing flat growth, necessitating market share gains from competitors, which may require costly promotions [7] Financial Performance and Predictions - Analysts predict a potential decline in Domino's stock by 2030, raising concerns about its ability to maintain dominance in a slowing pizza market [5] - Price predictions for DPZ stock in 2025 range from a bullish estimate of $424.45 to a bearish estimate of $391.65, indicating uncertainty [9] Cost Management and Shareholder Returns - Domino's management has shown strong discipline in controlling costs and protecting margins during inflationary periods, while maintaining a history of dividend increases [6] - The company remains committed to shareholder returns through dividends and buybacks, but rising costs may challenge the sustainability of these capital allocation decisions [16] International Performance and Competitive Landscape - International performance is a critical factor influenced by currency fluctuations and geopolitical issues, which could impact overall growth [8] - The competitive landscape is evolving, with third-party delivery platforms and aggressive rivals like Papa John's affecting Domino's pricing power [8]

Core Insights - Mothercare's worldwide retail sales decreased by 18% to £230.6 million ($310.2 million) due to ongoing uncertainty in the Middle East and a reduction in sales arrangements in the UK [1] - The Group's Franchise Partners reported total retail sales of £80.7 million in the first 23 weeks of FY26, down from £107.7 million in FY25 [1] - Adjusted EBITDA for the 52-week period ending March 29 fell to £3.5 million from £6.9 million the previous year, while adjusted operating profit dropped 69% to £2 million [2] Financial Performance - The decline in retail sales is expected to lead to significantly reduced profitability for the Group [1] - The current business model is capable of supporting higher volumes, which could lead to increased income primarily benefiting the bottom line [2] Strategic Focus - Mothercare is in discussions with various parties to restore critical mass, particularly in the UK market [3] - The company aims to monetize operational gearing by enhancing its product offerings and leveraging the strength of the Mothercare brand [5] Historical Context - In 2019, Mothercare entered administration in the UK and closed all 79 stores, shifting focus to international operations and adopting a franchise model in the Middle East [4] - In 2023, the company formed a joint venture with India's Reliance Brands to franchise its brand in parts of Asia [4]

Core Viewpoint - Bill Ackman's Pershing Square Capital Management has a strong focus on individual stock analysis and has generated significant returns, with a notable investment in Restaurant Brands International (QSR) which provides reliable passive income through dividends [1][2]. Company Overview - Pershing Square Capital Management owned 10 stocks at the end of Q2, focusing on thorough bottom-up analysis [2]. - QSR has been part of Pershing's portfolio since its IPO in 2012 and owns popular fast-food chains like Burger King, Tim Horton's, and Popeye's [4]. Financial Performance - Over the past five years, QSR's stock has only increased by about 13%, facing challenges such as competition, supply chain issues, and inflation [5]. - QSR has a high debt level of approximately $13.4 billion and a debt-to-equity ratio exceeding 4 as of the end of Q2 [5]. Business Model and Strategy - Ackman and his team favor QSR for its "high-quality, capital-light" franchise model, which generates royalties from leading fast-food brands [6]. - Burger King International reported over 4% same-store sales growth year-over-year, outperforming McDonald's [6]. - QSR is revamping its U.S. business and plans to invest $500 million into the Carrols Restaurant Group to modernize over 600 restaurants before refranchising [7]. Dividend and Cash Flow - QSR offers a high dividend yield of approximately 3.90%, with $544 million paid in dividends in the first half of the year, translating to an annual run rate of about $1.09 billion [9][10]. - Over the past 12 months, QSR generated free cash flow of $1.35 billion, providing a buffer for dividend payments [10]. - Despite net income of $484 million in the first half of the year being below dividends paid, management remains optimistic about future food price cycles [10][11]. Investment Position - As of the end of Q2, Pershing's stake in QSR was valued at $1.52 billion, yielding approximately $59.5 million in dividends annually based on the 3.90% yield [12].

Core Insights - Broken Yolk Café is expanding its franchise by opening four new locations in the Dallas-Fort Worth area of Texas, following a multi-unit agreement with partners JP Wu and John Zhang [1][2] - The franchise now has a total of 41 locations across several states, including Nevada, Idaho, Arizona, and Texas [2] - The new locations are strategically targeting suburban cities in North DFW, capitalizing on significant population growth and business expansion in the area [3] Company Expansion - The new cafés in Dallas-Fort Worth are part of a broader strategy to enhance the franchise's presence in rapidly growing suburban markets [3] - The first of four new locations in southeast Los Angeles County, California, is set to open in the first quarter of 2026 [4] Franchise Model - The franchise model of Broken Yolk Café is designed to support franchisees, emphasizing quality and a strong franchise culture [2]

The Stock Exchange of Hong Kong Limited and the Securities and Futures Commission take no responsibility for the contents of this Application Proof, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this Application Proof. Application Proof of FUJIAN WANCHEN BIOTECHNOLOGY GROUP CO., LTD. 福建萬辰生物科技集團股份有限公司 (the "Company") (A joint stock company incorporated i ...

Financial Data and Key Metrics Changes - Driven Brands reported approximately $6.5 billion in system-wide sales and $2 billion in revenue, primarily from non-discretionary services [4][5] - The company aims for mid-30% EBITDA margins, with some quarter-over-quarter variations noted [41][42] Business Line Data and Key Metrics Changes - Take 5 Oil Change has grown from 40 units in 2016 to 1,300 locations today, with system-wide sales expected to reach $1.4 billion [9] - Same-store sales growth for Take 5 has been in the mid to high single-digit range, driven by store maturation, new store openings, and increased ticket sizes [12][13][14] - Non-oil change revenue currently accounts for about 20% of sales, with an attach rate in the upper 40% [15][17] Market Data and Key Metrics Changes - The collision repair industry is facing a 10% year-over-year decline in estimate counts, attributed to claim avoidance and high total loss rates [48] - The average age of vehicles in the U.S. is at an all-time high of 12.8 years, benefiting maintenance businesses like Meineke [54] Company Strategy and Development Direction - Driven Brands focuses on growth through Take 5, with plans to open over 150 new locations annually, primarily through franchising [25][36] - The company is committed to maintaining its promise of a 10-minute oil change experience while exploring new service offerings that fit operational and financial criteria [26][27] Management's Comments on Operating Environment and Future Outlook - Management reiterated a positive outlook for the second half of the year despite some headwinds, particularly in discretionary spending [69] - The company believes it can thrive in the automotive service market through the 2020s and 2030s, even with the rise of electric vehicles [31] Other Important Information - Driven Brands operates a diversified platform, with only one business segment exposed to electric vehicles, while the rest remain EV-agnostic [29] - The franchise segment generates robust cash flow and EBITDA margins north of 60%, which supports growth in other areas [43][44] Q&A Session Summary Question: What is the outlook for the core consumer in the second half of the year? - Management reiterated their outlook, noting some headwinds but feeling comfortable with their projections [69] Question: How does pricing impact your business? - The company has not had to pass along price increases due to its non-discretionary nature, with growth driven by premiumization rather than price hikes [72] Question: What is the expectation for market consolidation in the industry? - The trend of consolidation among a few players acquiring smaller ones is expected to continue, without significant acceleration [74]

Financial Data and Key Metrics Changes - Driven Brands reported approximately $6.5 billion in system-wide sales and $2 billion in revenue, primarily from non-discretionary services [4][5] - The company aims for mid-30% EBITDA margins, with some quarter-over-quarter variations noted [42][43] Business Line Data and Key Metrics Changes - Take 5 Oil Change has grown from 40 units in 2016 to 1,300 locations today, with system-wide sales projected to reach $1.4 billion [9] - Same-store sales growth for Take 5 has been consistent in the mid to high single-digit range, driven by store maturation, advertising, and premiumization of services [12][14] - Non-oil change revenue currently accounts for about 20% of total revenue, with an attach rate in the upper 40% [15][16] Market Data and Key Metrics Changes - The collision repair industry is facing a 10% year-over-year decline in estimate counts, attributed to claim avoidance and high total loss rates [49] - The average age of vehicles in the U.S. is at an all-time high, benefiting vehicle maintenance services like Meineke [55] Company Strategy and Development Direction - Driven Brands focuses on growth through new unit openings, targeting 150+ locations annually, with a preference for a 2:1 ratio of franchise to company-operated stores [25][36] - The company is committed to maintaining its promise of a 10-minute oil change experience while exploring new service offerings that align with operational and financial fit [26][27] Management's Comments on Operating Environment and Future Outlook - Management reiterated a positive outlook for the second half of the year despite some headwinds, particularly in discretionary spending [70] - The company believes it can thrive in the automotive service market through the 2020s and 2030s, even with the rise of electric vehicles [31] Other Important Information - Driven Brands operates a diversified platform, with only a portion of its business exposed to electric vehicles, while the rest remains EV-agnostic [29] - The company has a strong cash flow generation from its franchise segment, which supports growth initiatives in higher-margin businesses like Take 5 [44][58] Q&A Session Summary Question: What is the outlook for the core consumer in the second half of the year? - Management reiterated their outlook for the second half, noting some headwinds but feeling comfortable with their projections [70] Question: How do you see pricing elasticity affecting your business? - The company noted that it operates in a non-discretionary market, allowing for price adjustments without significant elasticity response [73][74] Question: What are the expectations for market consolidation in the industry? - Management expects the trend of consolidation among a few players to continue, without significant acceleration [75]

Technology & Scalability - Biochar technology has struggled to scale [1] - Terraton believes a franchise model could unlock biochar's potential [1] Company Focus - Terraton sees promise in biochar [1]

Financial Data and Key Metrics Changes - In Q2 2025, food revenue increased by 8.6% year over year, with food revenue contribution reaching a historical high of 35.2%, up 2.8 percentage points from 32.5% in 2024 [6] - System sales grew by 1.4% year over year, while adjusted corporate EBITDA returned to positive, and adjusted net losses were reduced by 16.2% [7][21] - Monthly average transacting customers reached 3,590,000, a 14.3% increase from 3,140,000 in Q2 2024 [16] Business Line Data and Key Metrics Changes - Revenues from franchised and retail businesses increased by 50.7% year over year, with the number of franchised stores rising from 333 to 449 [18] - Company-owned and operated store revenues dropped by 12.5% year over year due to planned closures of underperforming stores and a 3.6% decrease in same-store sales growth [17] - Delivery orders for company-owned stores increased by 10.2% year over year, indicating a growing demand for delivery services [20] Market Data and Key Metrics Changes - The average number of registered loyalty club members reached 26.2 million, reflecting a 22.4% year over year growth [9] - Digital orders as a percentage of total orders rose from 86.5% in Q2 2024 to an all-time high of 90.4% in Q2 2025 [16] Company Strategy and Development Direction - The company reinforced its coffee plus freshly prepared food strategy with the launch of the live lunch box platform and new combo products [6] - A target to open around 200 franchise stores in 2025 was set, focusing on capital efficiency and convenience for customers [9] - The company aims to enhance operational efficiencies through supply chain optimizations and rigorous cost controls [21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about achieving positive same-store sales in Q3 and the second half of the year, indicating a recovery trend [38] - The company is close to achieving operating cash flow self-sufficiency and is working on securing additional capital for growth [33][43] Other Important Information - Marketing expenses as a percentage of total revenues increased to approximately 4%, up 0.5 percentage points year over year, primarily to support the lunch box campaign [20] - The company is focused on monetizing its loyalty members and designing campaigns to increase their spending [41] Q&A Session Summary Question: Current thinking on the rate of sub franchise applications - Management clarified that 41 of the 49 closures in Q2 were non-MTO Express stores, and they expect over 100 net openings this year, targeting 200 to 300 new openings annually in the coming years [28] Question: Sustainability of increased marketing expenses - Management noted that same-store sales have been recovering well and expect positive growth in the second half of the year, attributing some marketing expenses to the lunch box campaign [30][31] Question: Balancing investment for growth with capital conservatism - Management indicated they are close to breakeven on adjusted corporate EBITDA and are working on securing additional financing to open more profitable stores while balancing financial positions [32][34] Question: Update on refinancing convertible debt - Management stated they are making good progress on refinancing and will disclose details when available [40] Question: Monetizing loyalty members - Management acknowledged the challenge of monetizing loyalty members and emphasized the need to design effective products and campaigns to increase member spending [41] Question: Expectation of liquidity position improvement - Management expressed confidence in their liquidity position, stating they are approaching operating cash flow self-sufficiency and are working to bring in new capital [43]

Core Insights - European Wax Center (EWCZ) and Sally Beauty Holdings (SBH) target different segments within the beauty and personal care industry, with EWCZ focusing on a service-driven model through franchised waxing centers, while SBH emphasizes retailing professional-grade beauty products [1][2] European Wax Center (EWCZ) - EWCZ is developing a data-rich, digital-first marketing platform to enhance guest acquisition, introducing new tools in Q1 2025 to measure advertising effectiveness and reduce cost per acquisition [3] - The company is enhancing franchisee profitability and operational support by expanding the franchisee support team and increasing engagement with the learning management system by 50% [4] - EWCZ is adopting a disciplined expansion strategy, targeting underpenetrated areas for new center openings in 2026, supported by improved market planning tools and a rigorous site approval process [5] - Despite strategic advancements, EWCZ faces rising SG&A costs and elevated interest expenses, leading to a projected net reduction in center count for 2025 [6] - EWCZ's stock gained 54.8% over three months, outperforming SBH's 27.2% gain, reflecting strength in its digital and franchise model [9][16] - The Zacks Consensus Estimate for EWCZ's 2025 earnings per share (EPS) indicates a year-over-year growth of 35.6%, with estimates remaining unchanged at 61 cents [12] Sally Beauty Holdings (SBH) - SBH is focused on enhancing customer centricity, accelerating high-margin owned brand growth, and improving operational efficiency, with global e-commerce sales reaching $94 million in Q2 fiscal 2025, a 6% increase [7] - The company is executing a brand refresh starting May 2025 to enhance its position as a beauty destination, with positive feedback from initial store updates in Orlando [8] - Operational excellence is a priority for SBH, with the Fuel for Growth program delivering $20 million in pre-tax savings in the first half of fiscal 2025, and adjusted SG&A declining by $11 million in Q2 [10] - Despite these efforts, SBH is navigating a challenging macro environment with cautious consumer spending and softness in hair care categories [11] - The Zacks Consensus Estimate for SBH's fiscal 2025 EPS suggests a year-over-year growth of 3.6%, with estimates remaining unchanged at $1.75 [14] Comparative Analysis - EWCZ's forward P/E ratio is 7.51X, higher than SBH's 5.52X, indicating a market premium for EWCZ's growth potential [17] - EWCZ is better positioned for long-term growth due to its franchise-based model and digital marketing execution, while SBH's strengths in owned brands and cost control may be limited by softer category trends [19]