Company Overview - The company focuses on growth with a scientific approach to planning and execution, transitioning from foreign trade OEM to brand operation capabilities in 2023 [1] - The business structure includes foreign trade OEM (approximately 86% in 2024), domestic brand agency (over 10%), and self-owned brands (low single digits) [1] - By H1 2025, the revenue share from pet snacks and pet leashes is expected to be 52% and 25% respectively, with a rapid increase in the share of pet snacks [1] Financial Analysis - In 2024, the company is projected to achieve revenue and net profit of 1.31 billion and 160 million respectively, with a 46% year-on-year growth in H1 2025 [2] - The company has a 5-year CAGR of 21% for revenue and 25% for net profit, with H1 2025 gross margin and net profit margin at 22% and 9% respectively [2] - The company has set ambitious revenue growth targets of 35%/31%/18% for 2025-2027, with trigger values of 22%/31%/18% [2] Export Business - The company’s export revenue is expected to reach 1.124 billion in 2024, with a 5-year CAGR of 18% [3] - The company benefits from overseas production capacity, which has not been significantly affected by tariffs, and is expanding capacity in Cambodia [3] - The focus remains on retail partnerships and expanding product categories to enhance market share [3] Domestic Market - The domestic pet food industry is transitioning to stable growth, with Douyin emerging as a key channel for new brands [4] - The company has launched three self-owned brands in the pet snack category, leveraging product innovation and effective operations [4] - The self-owned brand Pikapoo has seen significant sales growth on Douyin, with a 90% and 387% increase in sales in Q1 and Q2 respectively [4] - The company aims to achieve a scale of 300-500 million in the next three years, with projected net profits of 185 million, 218 million, and 239 million for 2025-2027 [4]

Group 1 - The "pet economy" is driving an increase in job demand in related industries, with modern service industry recruitment showing significant growth, particularly in pet services, which has a recruitment position growth rate of 72.2% [1] - In the pet services sector, pet groomers account for 46.1% of job positions with a year-on-year growth of 73.9%, while veterinarians make up 17.8% with a remarkable growth rate of 171.1%, indicating a dual engine of talent demand in the industry [3] - The revenue from pet service categories in pet stores reached 15.438 billion yuan, showing a year-on-year growth of 6.59%, while retail categories like cat food and dog food are experiencing sluggish growth [3] Group 2 - During the "6.18" shopping festival, Tmall reported that pet brands achieved over 100 million yuan in sales within 100 minutes, with significant increases in sales across various brands, indicating a shift in consumer behavior towards higher quality pet products [3] - JD's pet business saw a 23% year-on-year increase in active users during the "6.18" event, with over 500 brands doubling their sales, and certain trending products experiencing over 130% growth in sales [4] - The Chinese pet industry is recognized as the largest and fastest-growing market globally, with a focus on functional and segmented upgrades, presenting new opportunities and challenges for companies in the sector [4][5]