Group 1 - The company has successfully transitioned from a brand operation model to a brand owner model, achieving significant growth in its proprietary brand business since 2024 [1] - The proprietary brand revenue reached 501 million yuan in 2024, a year-on-year increase of 90.28%, and 603 million yuan in the first half of 2025, a year-on-year increase of 242.42%, accounting for 45.75% of total revenue [1] - The company has established a proprietary brand matrix centered around home cleaning brand "Zhanjia" and health brand "Feicui & VitaOcean" [1] Group 2 - The home cleaning market in China is experiencing steady growth, with new channels and demands creating opportunities, particularly in the mid-to-high-end segment [2] - The "Zhanjia" brand, launched in September 2020, focuses on "emotional fragrance" and has seen significant sales growth, with revenue of 484 million yuan in 2024, a year-on-year increase of 90.09% [2] - The gross margin for "Zhanjia" was 66.92% in 2024, and 66.50% in the first half of 2025 [2] Group 3 - The health supplement industry in China has considerable growth potential, driven by trends such as cross-border opportunities and the rise of e-commerce as a primary purchasing channel [3] - The "Feicui" brand, launched in September 2024, targets high-end female anti-aging products and achieved revenue of 12 million yuan in 2024 and 160 million yuan in the first half of 2025, with a gross margin of 86.81% [3] - The company has also launched a new brand "VitaOcean" focusing on high-purity ruby oil capsules and became the general agent for ruby oil raw materials in Greater China [3] Group 4 - Revenue projections for the company are estimated at 3 billion yuan in 2025, 4.2 billion yuan in 2026, and 5.4 billion yuan in 2027, with year-on-year growth rates of 70%, 40%, and 30% respectively [4] - The net profit attributable to the parent company is projected to be 177 million yuan in 2025, 250 million yuan in 2026, and 328 million yuan in 2027, with growth rates of 67%, 42%, and 31% respectively [4] - The company is expected to have a compound annual growth rate (CAGR) of 36% for net profit from 2025 to 2027, outperforming comparable companies in the A-share personal care and beauty sector [4]

Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company has shown significant revenue growth driven by its own brand expansion, with a projected revenue increase of 52.06% in 2025 and a net profit growth of 70.07% [1][7] - The introduction of new brands and products is expected to continue driving growth, with the company focusing on niche markets and innovative product offerings [7] - The financial forecasts indicate a strong upward trend in both revenue and profit margins, reflecting the company's robust business model and market positioning [1][7] Financial Summary - Total revenue for 2025 is projected at 2,685 million RMB, with a year-on-year growth of 52.06% [1] - The net profit attributable to shareholders is expected to reach 179.66 million RMB in 2025, representing a 70.07% increase compared to the previous year [1] - The earnings per share (EPS) is forecasted to be 0.82 RMB in 2025, with a corresponding price-to-earnings (P/E) ratio of 65.76 [1][8] - The gross margin for the first half of 2025 improved to 56.9%, an increase of 11.4 percentage points year-on-year [7] - The company’s total assets are projected to be 1,513 million RMB by 2026, with a debt-to-equity ratio of 30.15% [8]