Core Viewpoint - Joyo's performance has been under pressure for four consecutive years, with a significant decline in both revenue and net profit, while its stock price has dropped over 80% from its peak in 2020 [1][4][6]. Financial Performance - In 2020, Joyo achieved a revenue of 11.224 billion yuan and a net profit of 940 million yuan, but by 2024, these figures had fallen to 8.849 billion yuan and 122 million yuan respectively [4]. - For the first half of 2025, Joyo reported a revenue of 3.987 billion yuan, a year-on-year decrease of 9.11%, and a net profit of 123 million yuan, down 30.02% year-on-year [4]. - The company's gross margin and net margin have also declined from 32.05% and 8.16% in 2020 to 25.50% and 1.20% in 2024 [5]. Market Competition - The small home appliance industry is highly competitive, which has contributed to Joyo's declining performance. Despite being a leading brand, Joyo's market share has not improved [5]. - Accounts receivable have increased significantly from 212 million yuan in 2020 to 1.078 billion yuan in 2024, indicating potential issues with product sales [5]. Stock Performance - Joyo's stock price peaked at 42.88 yuan in 2020 and fell to a low of 8.53 yuan in 2024, reflecting a maximum decline of over 80% [6]. - As of September 1, 2025, Joyo's stock closed at 9.71 yuan, with a market capitalization of 7.409 billion yuan [6]. Employee Stock Ownership Plan - Joyo implemented an employee stock ownership plan in 2022, which has remained profitable despite the company's declining stock price [7][8]. - The plan involved a total of 12.9 million shares at a subscription price of 1 yuan per share for half of the shares, while the average repurchase price was 17.01 yuan [8]. - Participants in the plan are limited to senior executives and core management, with the number of participants adjusted from a maximum of 27 to 45 [9]. Performance Assessment of Employee Stock Ownership Plan - The employee stock ownership plan has not met its performance targets, with the first unlock period failing to meet the required performance metrics, resulting in 320,000 shares not being unlocked [11].

Investment Rating - The investment rating for the company is "Outperform the Market" [5] Core Views - The company experienced a slight revenue decline due to tariff disruptions, but its operational quality is steadily improving. In H1 2025, the company achieved revenue of 7.8 billion (+1.0%) and a net profit attributable to shareholders of 540 million (+22.8%) [1][3] - The company is actively optimizing its product structure and reducing costs to enhance profitability, despite facing challenges in overseas sales due to tariffs [1][3] - The company is expanding its multi-brand strategy in the domestic market to capture new growth opportunities [2][3] Revenue and Profitability - In H1 2025, the company's revenue from external sales grew by 2.5% to 6.07 billion, while domestic sales revenue decreased by 3.8% to 1.73 billion [2][3] - The gross profit margin improved by 0.3 percentage points year-on-year to 22.1% in H1 2025, with external sales gross margin increasing by 0.7 percentage points to 21.1% [3] - The net profit margin attributable to shareholders increased by 1.2 percentage points year-on-year to 7.0% in H1 2025 [3] Financial Forecasts - The company has adjusted its profit forecasts for 2025-2027, expecting net profits of 1.19 billion, 1.33 billion, and 1.46 billion respectively, with growth rates of 13%, 12%, and 10% [3][4] - The projected PE ratios for 2025, 2026, and 2027 are 11, 10, and 9 times respectively [4][3] Market Position and Strategy - The company is establishing manufacturing bases in Indonesia to enhance its overseas production capacity, aiming for normalized growth in international sales [1][2] - The company is diversifying its product offerings by setting up an appliance research institute and expanding into commercial machines, personal care, and smart gardening tools [2][3]

Core Viewpoint - Joyo's stock performance has been declining significantly, with a maximum drop of over 80% despite the employee stock ownership plan remaining profitable due to low acquisition prices [1] Group 1: Company Performance - Joyo's financial performance has been under pressure, with a continuous decline in earnings for four consecutive years from 2021 to 2024 [1] - The company reported its 2025 semi-annual results, indicating ongoing challenges in its business operations [1] Group 2: Stock Performance - Joyo's stock price has experienced a maximum decline of over 80%, reflecting investor concerns regarding its financial health [1] Group 3: Employee Stock Ownership Plan - The employee stock ownership plan remains in a profitable state primarily because half of the shares were acquired at a price of 1 yuan per share [1] - The first phase of the employee stock ownership plan involved acquiring 8 million shares through a non-trading transfer at 1 yuan per share, while the company repurchased these shares at an average price of 17.01 yuan per share [1] - Additionally, 8 million shares were purchased in the secondary market for a total amount of approximately 1.21 billion yuan, resulting in an average purchase price of around 15 yuan per share [1]

Core Viewpoint - Joyo's performance has been under pressure for four consecutive years, with a significant decline in both revenue and profit, while its employee stock ownership plan remains profitable despite the overall downturn in stock price and performance [1][2][4]. Financial Performance - Joyo's revenue peaked in 2020 at 11.224 billion yuan and net profit at 940 million yuan, but by 2024, revenue and net profit had dropped to 8.849 billion yuan and 122 million yuan respectively [2]. - In the first half of 2025, Joyo reported a revenue of 3.987 billion yuan, a year-on-year decrease of 9.11%, and a net profit of 123 million yuan, down 30.02% year-on-year [2]. - The company's gross margin and net margin have also declined from 32.05% and 8.16% in 2020 to 25.50% and 1.20% in 2024 respectively [3]. Market Competition - The small home appliance industry is highly competitive, which has contributed to Joyo's declining performance. Despite being a leading brand, Joyo's market share has not improved [3]. - Accounts receivable have increased significantly from 212 million yuan in 2020 to 1.078 billion yuan in 2024, indicating potential issues with product sales [3]. Employee Stock Ownership Plan - Joyo's employee stock ownership plan was implemented in 2022, with a total of 12.9 million shares at a price of 1 yuan per share for half of the shares, while the average repurchase price was 17.01 yuan per share [4][5]. - The plan is limited to senior executives and core management, with a maximum of 45 participants [6]. - The plan has performance assessment periods from 2022 to 2026, with a total of five unlock periods, each allowing for a 20% release of shares [9].

Investment Rating - The report maintains a "Buy" rating for the company [6] Core Views - The company reported a decline in revenue and net profit for the first half of 2025, with revenue at 3.99 billion and a net profit of 120 million, representing a year-on-year decrease of 9.1% and 30.0% respectively [1] - The company’s profitability is expected to recover gradually, with projected net profits for 2025-2027 at 365 million, 404 million, and 439 million, reflecting significant growth rates of 198.0%, 10.7%, and 8.7% respectively [3] Summary by Sections Financial Performance - In H1 2025, the company achieved revenue of 3.99 billion, down 9.1% year-on-year, and a net profit of 120 million, down 30.0% year-on-year. The adjusted net profit excluding non-recurring items was 190 million, down 11.5% year-on-year [1] - For Q2 2025, revenue was 1.99 billion, a decrease of 14.4% year-on-year, with a net profit of 20 million, down 53.2% year-on-year [1] Product and Regional Performance - By product category in H1 2025, revenue from food processing machines, nutrition pots, and Western-style electrical appliances was 1.43 billion, 1.84 billion, and 850 million respectively, with growth rates of 13.6%, 4.7%, and a decline of 10.0% [2] - In terms of regional performance, domestic revenue was 3.56 billion, up 4.7% year-on-year, while overseas revenue was 830 million, down 9.7% year-on-year [2] Profitability Metrics - The gross margin for H1 2025 was 27.2%, down 0.9 percentage points year-on-year, while the net profit margin was 3.1%, down 0.9 percentage points year-on-year [3] - The company’s operating expenses showed mixed results, with sales expenses decreasing by 0.9 percentage points and management expenses increasing by 0.2 percentage points in H1 2025 [3] Future Outlook - The company is expected to see a recovery in profitability, with net profit forecasts for 2025-2027 indicating a strong rebound in 2025 followed by moderate growth in subsequent years [3]

Group 1 - The small home appliance sector experienced a decline of 1.38% on September 1, with Ecovacs leading the drop [1] - The Shanghai Composite Index closed at 3875.53, up 0.46%, while the Shenzhen Component Index closed at 12828.95, up 1.05% [1] - Key stocks in the small home appliance sector showed varied performance, with Xiaoxiong Electric rising by 5.76% to a closing price of 55.48 [1] Group 2 - Ecovacs saw a significant decline of 4.01%, closing at 93.00, with a trading volume of 97,900 shares and a turnover of 932 million yuan [2] - The small home appliance sector experienced a net outflow of 448 million yuan from main funds, while retail investors contributed a net inflow of 160 million yuan [2] - The trading data indicates that the sector is experiencing mixed investor sentiment, with some stocks like Xiaoxiong Electric performing well while others like Ecovacs are underperforming [2]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has demonstrated significant revenue growth in Q2 2025, with a year-on-year increase of 29.6% to 1.22 billion yuan, driven by the successful acquisition of Roman Smart and improvements in the Bear brand [4][5] - The forecast for net profit has been revised upwards for 2025-2027, with expected net profits of 426 million, 480 million, and 530 million yuan respectively, reflecting a strong growth outlook [4][8] - The report emphasizes the long-term potential of category expansion and the synergistic effects of acquisitions to drive performance growth [4] Financial Performance Summary - In Q1 2025, the company's revenue was 1.32 billion yuan, with a net profit of 130 million yuan, while in Q2 2025, revenue reached 1.22 billion yuan with a net profit of 75 million yuan [4] - The gross margin improved to 37.6% in Q2 2025, up 3.2 percentage points year-on-year, attributed to a higher proportion of high-margin products and reduced competition [6] - The company’s operating expenses decreased significantly, leading to an improved net profit margin of 6.2% in Q2 2025, up 5.1 percentage points year-on-year [6] Revenue Breakdown - For H1 2025, revenue from various product categories was as follows: kitchen appliances 1.67 billion yuan (+5%), personal care 320 million yuan (+416%), maternal and infant products 150 million yuan (+41%), and other small appliances 140 million yuan (+20%) [5] - Domestic revenue was 2.12 billion yuan (+8%), while international revenue surged to 410 million yuan (+139%), indicating strong growth from the Roman Smart acquisition [5] Valuation Metrics - The current price-to-earnings (P/E) ratio is projected at 19.3 for 2025, decreasing to 15.5 by 2027, indicating an attractive valuation as earnings grow [4][8] - The expected earnings per share (EPS) for 2025 is 2.71 yuan, with projections of 3.06 yuan and 3.37 yuan for 2026 and 2027 respectively [8]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1][9] Core Views - The company is expected to experience short-term performance recovery and long-term growth in its OEM share, despite facing temporary pressure on its Q2 2025 performance due to tariff disruptions [5][6] - The overseas production capacity is ramping up faster than peers, which is anticipated to support revenue recovery in the coming quarters [5][6] Financial Performance Summary - In Q1 2025, the company's revenue was 1.32 billion yuan, showing a year-on-year increase of 21.3%, while Q2 2025 revenue was 1.067 billion yuan, reflecting a modest year-on-year growth of 2.8% [5] - The net profit attributable to the parent company for Q1 2025 was 81 million yuan, down 5.0% year-on-year, and for Q2 2025, it was 30 million yuan, down 75.6% year-on-year [5] - The company has adjusted its profit forecasts for 2025-2027, now expecting net profits of 357 million, 454 million, and 551 million yuan respectively, with corresponding EPS of 0.96, 1.22, and 1.48 yuan [5][8] Business Segment Performance - In H1 2025, the revenue from the home appliance OEM business was 1.74 billion yuan, up 6.0% year-on-year, while the automotive parts revenue was 280 million yuan, up 90% year-on-year [6] - The home appliance OEM business faced challenges due to tariffs, particularly affecting orders from TTI and HOT, while SharkNinja maintained growth due to earlier capacity transfers [6] Margin Analysis - The gross margin for Q1 2025 was 15.8%, and for Q2 2025, it dropped to 12.3%, reflecting a year-on-year decline of 1.6 and 5.6 percentage points respectively [7] - The net profit margin for Q1 2025 was 8.1%, decreasing by 2.2 percentage points year-on-year, and for Q2 2025, it fell to 2.8%, down 9.0 percentage points year-on-year [7] Valuation Metrics - The current price-to-earnings (P/E) ratios for 2025, 2026, and 2027 are projected to be 18.3, 14.4, and 11.9 respectively [5][8] - The company’s total market capitalization is approximately 8.515 billion yuan, with a circulating market capitalization of the same amount [2]

Investment Rating - The investment rating for Joyoung Co., Ltd. is maintained at "Buy-A" with a 12-month target price of 11.73 CNY [3][4]. Core Views - Joyoung's revenue for the first half of 2025 was 3.99 billion CNY, a year-on-year decrease of 9.1%, with a net profit attributable to shareholders of 120 million CNY, down 30.0% year-on-year. The second quarter alone saw revenue of 1.99 billion CNY, down 14.4% year-on-year, and a net profit of 20 million CNY, down 53.2% year-on-year. The decline in external sales is attributed to adjustments in related party transactions, but there is optimism for recovery in domestic sales due to government subsidies stimulating small appliance consumption [1][2]. Summary by Sections Financial Performance - In H1 2025, domestic sales revenue increased by 0.2% year-on-year, while external sales revenue decreased by 48.7% year-on-year. The second quarter's external sales are expected to have declined further [1]. - The gross margin for Q2 was 28.1%, an increase of 0.9 percentage points year-on-year, primarily due to a higher proportion of domestic sales [2]. - The net profit margin for Q2 was 1.1%, a decrease of 0.9 percentage points year-on-year, influenced by fluctuations in non-core business and a decline in revenue scale [2]. Future Outlook - The company is expected to show significant operational elasticity as government subsidies continue to boost domestic small appliance consumption and as export business stabilizes. EPS forecasts for 2025, 2026, and 2027 are 0.29 CNY, 0.42 CNY, and 0.50 CNY, respectively [3][4]. Valuation Metrics - The projected P/E ratios for 2025, 2026, and 2027 are 35.1, 24.1, and 20.1, respectively, indicating a potential recovery in profitability [7][9].

Group 1 - The core viewpoint of the news is the performance and market position of Bear Electric, which saw a stock price increase of 5.13% to 55.15 CNY per share, with a total market capitalization of 8.661 billion CNY [1] - Bear Electric was established on March 16, 2006, and went public on August 23, 2019, focusing on the research, design, production, and sales of creative small home appliances [1] - The revenue composition of Bear Electric includes kitchen small appliances (66.02%), personal care small appliances (12.77%), lifestyle small appliances (8.09%), maternal and infant small appliances (5.73%), and other small appliances (5.35%) [1] Group 2 - According to data, one fund under Xinda Australia has Bear Electric as a top ten heavy stock, with the Xinda Consumer Preferred Mixed A Fund holding 22,100 shares, accounting for 4.73% of the fund's net value [2] - The Xinda Consumer Preferred Mixed A Fund was established on September 4, 2012, with a latest scale of 21.6843 million CNY, and has achieved a year-to-date return of 2.73% [2] - The fund manager, Liu Weihua, has been in position for 4 years and 204 days, with the fund's total asset scale at 433 million CNY [2]