Investment Rating - The investment rating for the company is "Buy" with a target of outperforming the industry index by more than 15% over the next six months [4][17]. Core Views - The company is expected to achieve a net profit attributable to shareholders of 1.84 to 2.00 billion yuan in the first half of 2025, representing a year-on-year growth of 180% to 204%. However, the non-net profit attributable to shareholders is projected to decline by 12% to 2% [2][3]. - The increase in net profit is primarily due to the sale of a 12% stake in a joint venture, generating a disposal gain of 1.54 billion yuan, with a net profit after tax of 1.31 billion yuan [2]. - The company has successfully developed the "Jing Wan Hong Skin Factor," transforming traditional Chinese medicine into effective skincare ingredients, launching the "Jing Wan Hong Comfort and Resilience Skin" series [3]. Financial Summary - The company's revenue for 2023 is projected at 8,222 million yuan, with a year-on-year growth rate of -0.3%. The revenue is expected to decline to 4,890 million yuan in 2025, with a significant drop of 33.1% [1][9]. - The net profit attributable to shareholders for 2023 is estimated at 987 million yuan, with a year-on-year growth of 14.5%. However, it is expected to decrease to 2,162 million yuan in 2025, reflecting a decline of 3% [1][9]. - The company's return on equity (ROE) is projected to be 14.6% in 2023, increasing to 28.2% in 2024, but declining to 10.9% by 2026 [1][9]. - The earnings per share (EPS) for 2023 is expected to be 1.28 yuan, increasing to 2.89 yuan in 2024, and then decreasing to 1.28 yuan in 2026 [1][9]. Product Development - The company is focusing on skin wound repair, with the Jing Wan Hong ointment as a key product, and is expanding into the functional skincare market [3]. - The newly launched Jing Wan Hong Comfort and Resilience Skin series includes cream, mask, and spray, catering to diverse consumer needs and has successfully completed regulatory filings [3].