Core Viewpoint - The company reported its Q3 2025 results, showing a revenue of 1.81 billion, a year-on-year increase of 2.1%, but a net profit decline of 19.5% to 170 million, indicating challenges in profitability despite revenue growth [1][2]. Revenue Performance - For the first three quarters of 2025, the company achieved a revenue of 1.81 billion, with a year-on-year growth of 2.1% and a net profit of 170 million, down 19.5% year-on-year [1]. - In Q3 2025 alone, the revenue reached 680 million, reflecting a year-on-year increase of 6.5% [1]. - The company is expanding its product offerings, including "Jingmen Baodu" sesame sauce konjac and "Jingzhou Shuangshuang" spicy peanuts, which are expected to drive revenue growth [1]. Profitability Analysis - The gross margin in Q3 2025 decreased by 1.1 percentage points to 28.9%, attributed to changes in channel structure and the rise of new emerging channels [2]. - The sales expense ratio increased by 1.6 percentage points to 13.8%, reflecting higher marketing and promotional expenses during the channel expansion and new product launches [2]. - The net profit margin for Q3 2025 was 8.8%, down 2.4 percentage points year-on-year, but showed a quarter-on-quarter improvement of 0.4 percentage points [2]. Growth Potential - The company is expected to see steady growth driven by fish products, while konjac is anticipated to create new growth opportunities [2]. - Despite short-term profitability pressures due to channel changes and new product development, there is significant potential for net profit margin improvement in the long term [2]. Investment Outlook - The company is projected to achieve revenue growth of 3.2%, 12.5%, and 11.2% for the years 2025 to 2027, reaching 2.49 billion, 2.80 billion, and 3.11 billion respectively [3]. - The net profit is expected to decline by 14.6% in 2025 but recover with growth rates of 32.0% and 13.1% in the following years, reaching 250 million, 330 million, and 370 million respectively [3].

Investment Rating - The report maintains a "Buy" rating for the company [3][6]. Core Insights - The company reported a revenue of 1.81 billion yuan for the first three quarters of 2025, a year-on-year increase of 2.1%, while the net profit attributable to shareholders was 170 million yuan, a decrease of 19.5% year-on-year [1]. - In Q3 2025, the company achieved a revenue of 680 million yuan, up 6.5% year-on-year, but the net profit attributable to shareholders was 60 million yuan, down 14.8% year-on-year [1]. - The revenue growth is attributed to channel expansion and new product launches, particularly in the "Jingmen Baodu" and "Jingzhou Shuangshuang" product lines [1][2]. - The company is expected to see revenue growth rates of 3.2%, 12.5%, and 11.2% for 2025, 2026, and 2027, respectively, reaching 2.49 billion, 2.80 billion, and 3.11 billion yuan [3][5]. Financial Performance Summary - The gross margin for Q3 2025 decreased by 1.1 percentage points to 28.9%, attributed to changes in channel structure and increased sales expenses [2]. - The net profit margin for Q3 2025 was 8.8%, a decrease of 2.4 percentage points year-on-year, but showed a quarter-on-quarter improvement [2]. - The company’s net profit for 2025 is projected to be 249 million yuan, reflecting a year-on-year decrease of 14.6%, followed by a recovery in subsequent years with expected growth of 32.0% and 13.1% in 2026 and 2027, respectively [3][5].