Group 1 - The eighth China International Import Expo (CIIE) was held in Shanghai from November 5 to 10, showcasing a variety of products from the company, including animal nutrition solutions, food ingredients, and instant coffee products [1] - The company launched its "Soyadoc" specialty feed protein brand, featuring a comprehensive range of animal nutrition products, including super fermented soybean meal, yeast hydrolyzed protein, plant-based fish meal protein, and fortified phospholipids, all making their global debut [1] - The company's animal nutrition products aim to enhance the efficiency of animal nutrition utilization, improve animal health, and optimize breeding cost-effectiveness, leveraging the innovation capabilities of its Shanghai R&D center and integrated production facilities [1] Group 2 - The company emphasized that China's open policies have created numerous opportunities for collaboration with regional partners, with the CIIE serving as a key platform for deepening engagement with the vibrant Chinese market [2] - The company is committed to investing in innovation in China to create shared value and achieve long-term development [2]

Core Viewpoint - Haida Group is planning to arrange a listing in Hong Kong, potentially as early as next year, with discussions ongoing regarding the scale and timing of the issuance [1] Company Overview - Haida Group was established in 1998 and was listed in Shenzhen in 2009, employing over 40,000 staff [1] - The company operates across the entire modern agricultural and animal husbandry industry chain, including animal nutrition, breeding, veterinary vaccines, smart farming, and food processing [1] Financial Performance - For the first three quarters of 2025, Haida Group reported a revenue of 96.094 billion yuan, representing a year-on-year increase of 13.24% [1] - The net profit attributable to shareholders was 4.142 billion yuan, up 14.31% year-on-year [1] - The net profit attributable to shareholders, excluding non-recurring gains and losses, was 4.177 billion yuan, reflecting an 18.71% year-on-year growth [1] - The basic earnings per share stood at 2.49 yuan [1] Upcoming Developments - In October, Haida Group announced plans to spin off its controlling subsidiary, Haida Holdings, for a listing on the main board of the Hong Kong Stock Exchange [1]

Group 1 - Company Hai Da Group (002311.SZ) is arranging for a Hong Kong listing, with discussions involving China International Capital Corporation, GF Securities, and JPMorgan [1] - The company was listed in Shenzhen in 2009 and was established in 1998, employing over 40,000 staff and covering the entire modern agricultural and animal husbandry industry chain [1] - For the first three quarters of 2025, Hai Da Group reported revenue of 96.094 billion yuan, a year-on-year increase of 13.24%, and a net profit attributable to shareholders of 4.142 billion yuan, up 14.31% [1] Group 2 - The company plans to spin off its subsidiary, Hai Da Holdings, for a listing on the Hong Kong Stock Exchange [1] - The net profit excluding non-recurring gains and losses was reported at 4.177 billion yuan, reflecting an 18.71% year-on-year growth [1] - Basic earnings per share were reported at 2.49 yuan [1]

Investment Rating - The report maintains a "Recommendation" rating for the company with a target price of 8.7 yuan [2][10]. Core Insights - The company reported a revenue of 2.793 billion yuan for the first half of 2025, representing a year-on-year growth of 12.63%. The net profit attributable to shareholders was 81.76 million yuan, up 30.18% year-on-year, while the net profit excluding non-recurring items was 81.67 million yuan, reflecting a 39.35% increase [2][10]. - The pharmaceutical segment continues to show growth, significantly contributing to the overall revenue improvement. The revenue from the pharmaceutical segment reached 999 million yuan, a substantial increase of 57.36% year-on-year, driven by the performance of its subsidiary, Shengli Biological, which generated 321 million yuan, up 28.2% [10]. - The vaccine segment faced slight pressure, with revenue of 450 million yuan, down 7.86% year-on-year. However, the subsidiary Qianyuanhao in the poultry vaccine sector saw a revenue increase of 6.3% [10]. - The animal nutrition segment reported a revenue of 1.31 billion yuan, a slight decline of 2.31% [10]. Financial Performance Summary - The company achieved a gross margin of 17.20% in the first half of 2025, a decrease of 0.64 percentage points year-on-year. However, the second quarter showed signs of stabilization with a gross margin of 15.31%, up 0.18 percentage points year-on-year [10]. - The net profit margin improved to 3.19%, an increase of 0.84 percentage points year-on-year, marking the first positive growth after seven consecutive quarters of decline [10]. - The report projects net profits for 2025-2027 to be 232 million, 295 million, and 350 million yuan respectively, with corresponding earnings per share (EPS) of 0.23 yuan, 0.29 yuan, and 0.34 yuan [10]. Business Outlook - The livestock and poultry health business is expected to continue improving, supported by a strong profitability cycle in the breeding industry. The company is focusing on cost reduction and efficiency enhancement to drive traditional business growth [10]. - New business initiatives, particularly in the pet health sector, are gaining traction with the introduction of new products and brands aimed at end consumers [10]. - The export business is also showing positive growth, benefiting from the synergy of "medicinal materials and seedlings" and successful market expansion efforts [10].