Core Viewpoint - Guoquan is recognized as a leading brand in China's at-home meal market, leveraging an efficient supply chain, continuous product innovation, an extensive channel network covering over 10,000 stores, and a strong brand image to demonstrate robust competitiveness in an increasingly concentrated industry [1][2]. Company Overview - Guoquan offers a one-stop solution for at-home meal products, providing ready-to-eat, ready-to-heat, ready-to-cook, and ingredient delivery services to meet diverse consumer dining scenarios [2]. - The company has established a wide community store network and possesses strong digital supply chain capabilities, aiming to deliver "variety, speed, quality, and cost-effectiveness" in its meal products [2]. Industry Insights - The at-home meal market in China is experiencing steady growth, with market concentration expected to increase. In 2022, the market size reached 367.3 billion yuan, projected to grow to 940 billion yuan by 2027, reflecting a CAGR of 20.7% from 2022 to 2027 [3]. - The market concentration is relatively low, with the top five players holding only about 11.1% of the market share in 2022. Guoquan ranked first among all retailers in China with a market share of 3.0% [3]. Competitive Advantages - The company benefits from a strong supply chain, continuous product innovation, an extensive channel network, and deep brand recognition. 1. **Supply Chain**: The company has established seven self-owned factories, efficiently integrating production and logistics [4]. 2. **Product Innovation**: Guoquan has introduced a significant number of new SKUs annually, enhancing its product matrix to adapt to changing consumer preferences [4]. 3. **Channel Expansion**: The company has achieved a store count of 10,761 as of Q3 2025, supported by a multi-store model and a mature franchise system [4]. 4. **Brand Development**: Continuous investment in brand building has established Guoquan as a national hot pot brand, with prepaid card value reaching 590 million yuan, a year-on-year increase of 37.2% [4]. Growth Potential - The community central kitchen strategy is focused on penetrating lower-tier markets, which present significant growth opportunities. The company aims to enhance efficiency compared to traditional local stores, driving growth through an expanded product matrix and diverse store formats [5].

Core Viewpoint - Company is rated as a "buy" by Guojin Securities, highlighting its strong competitive position in China's home meal market due to efficient supply chain, continuous product innovation, extensive store network, and strong brand image [1] Industry Overview - The home meal market in China is experiencing steady growth, with a market size of CNY 367.3 billion in 2022, projected to reach CNY 940 billion by 2027, reflecting a CAGR of 20.7% from 2022 to 2027 [2] - The market concentration is relatively low, with the top five players holding only 11.1% of the market share in 2022, while the company holds the leading position with a 3.0% market share among all retailers [2] Core Competitiveness - Strong supply chain support, continuous product innovation, extensive channel network, and deep brand recognition are key competitive advantages [3] - Supply Chain: The company has established seven self-owned factories, enhancing efficiency in production and logistics [3] - Product Innovation: The company introduced a significant number of new SKUs annually, with 412 new products launched in 2025H1, catering to diverse consumer preferences [3] - Channel Network: The company has expanded to 10,761 stores by 2025Q3, utilizing a multi-store model and mature franchise system [3] - Brand Development: Continuous investment in brand building has resulted in a prepaid card value of CNY 590 million in 2025H1, a year-on-year increase of 37.2% [3] Growth Potential - The community central kitchen strategy is focused on penetrating lower-tier markets, which presents significant growth opportunities as traditional local stores lack efficiency compared to the company's township stores [4] - The expansion of product offerings and store types is expected to drive rapid growth in same-store performance and the number of new openings [4]