Company Overview - Hai Xin Food (SZ 002702) announced that on November 27, 2025, it accepted a research visit from Northeast Securities, with participation from key executives including the Deputy General Manager and Board Secretary Zheng Ming, Chief Financial Officer Xiang Jinhong, and Securities Affairs Representative Yang Bin [1] Financial Performance - For the first half of 2025, Hai Xin Food's revenue composition was entirely from the food processing manufacturing industry, accounting for 100.0% [1] - As of the report date, Hai Xin Food's market capitalization stood at 3.7 billion yuan [1]

Group 1 - The core point of the article is that Haixin Food (SZ 002702) held its 11th meeting of the 7th board of directors on August 27, 2025, to review the semi-annual report for 2025 and its summary [1] - For the first half of 2025, Haixin Food's revenue composition is entirely from the food processing and manufacturing industry, accounting for 100.0% [1] Group 2 - The article mentions that over 20,000 applications have been submitted for joining Haidilao, with 41 franchises already opened, indicating a significant interest in the brand [1] - The estimated cost to join Haidilao is around 10 million yuan, which is considered not excessive according to the disclosed "bill" [1]

Core Viewpoint - Youyou Food's stock price has surged over 90% this year, reaching a new high, but the controlling shareholder has announced a significant reduction in holdings, raising concerns about the company's future performance and profitability [1][2][3]. Stock Performance and Shareholder Actions - Youyou Food's stock price increased significantly, with a peak of 16.07 yuan on June 5, 2023, after starting the year at 8.41 yuan, marking a rise of over 91% [3]. - On June 22, 2023, the company announced that Zhao Ying, the wife of Chairman Lu Youzhong, plans to reduce her holdings by 3%, equating to approximately 12.83 million shares [2][3]. - Following the announcement, the stock price fell by 7.65% on June 23 but rebounded by 4.26% on June 24, closing at 13.22 yuan [1]. Dividend Policy - Youyou Food has a history of high dividend payouts, with a projected dividend rate of 127.8% for 2024, amounting to around 200 million yuan, exceeding the expected net profit of 160 million yuan [1][3]. - The controlling family is expected to receive approximately 140 million yuan from the dividends [3]. Financial Performance - In 2024, Youyou Food's revenue is projected to be around 1.182 billion yuan, reflecting a year-on-year growth of 22.37%, while net profit is expected to reach 157 million yuan, up 35.44% [5]. - The company's core product, spicy chicken feet, generated revenue of 790 million yuan in 2024, down nearly 200 million yuan from its peak [1][6]. New Business Growth - The new product line, "other spicy marinated meat products," has shown significant growth, with revenue reaching 151 million yuan in 2024, a year-on-year increase of over 840% [6][9]. - The company has successfully launched a product in Sam's Club, which quickly became a best-seller in its category [6]. Profitability Concerns - Despite revenue growth, the company's overall profitability is under pressure, with the gross margin for new products at only 16.51%, significantly lower than the 31.62% margin for spicy chicken feet [9]. - The overall gross margin for 2024 is projected to be 29%, a slight decline from the previous year, and further decreased to 27.1% in the first quarter of the current year [9]. Accounts Receivable and Cash Flow - Youyou Food's accounts receivable surged to 74.61 million yuan in 2024, an 18-fold increase from 3.79 million yuan in 2023, attributed to new customer credit terms [10]. - The increase in accounts receivable may pose potential cash flow challenges, particularly due to longer payment terms associated with large retail partners like Sam's Club [10].