Summary of the Conference Call for Meitian Company Industry Overview - The service industry is benefiting from supportive policies, with Meitian Company expanding into medical beauty, beauty services, and sub-health businesses, aligning with the long-term growth logic of service consumption [2][3] Key Points and Arguments - **High-End Consumption Market**: The high-end consumption market remains robust, with significant growth in retail sales data from first-tier cities like Shanghai, which saw a year-on-year increase of approximately 5% from January to November 2025. Meitian's customer base, primarily consisting of high-income women aged 30-50, shows low price sensitivity, supporting a projected future growth rate of 30% [2][3] - **Customer Engagement and Operational Efficiency**: Meitian enhances customer loyalty through information management, precise marketing, and private domain operations. The company has expanded its service offerings from beauty to medical beauty, thereby increasing its profitability [2][3][5] - **Revenue and Profit Forecasts**: For 2025, Meitian's revenue is expected to be around 3 billion, with a year-on-year growth of over 20%. The adjusted net profit is projected to be approximately 380 million, reflecting a nearly 40% increase. In 2026, revenue is anticipated to reach about 4 billion, with a year-on-year growth of nearly 30%, and an adjusted net profit of around 450 million, also showing a nearly 30% increase [4] - **Mergers and Acquisitions**: Meitian has enhanced its brand attraction and operational efficiency through acquisitions of brands like Nairuier and Silanli, which improves profit margins and supports external growth [2][5] Additional Important Insights - **Supply Chain Advantages**: Meitian's supply chain benefits from the founder's extensive experience in importing medical beauty products, which strengthens the company's supply chain management capabilities. The company plans to extend upstream to improve profit margins. A partnership with Shiseido is expected to enhance supply chain efficiency as market share and scale increase [6][7] - **Investment Value**: From a valuation perspective, Meitian's transition to a 2026 valuation is below 15 times, with a compound annual growth rate of 25%-30%. Given the high confidence in performance growth, policy support, recovery in high-end service consumption, and excellent operational efficiency, the company's stock price has the potential for at least a 50% increase, indicating significant investment value [7]

Core Viewpoint - Meili Tianyuan Medical Health is expected to achieve significant revenue and profit growth in the first half of 2025, driven by both internal and external strategies [1][2] Group 1: Performance Forecast - The company anticipates revenue of no less than 1.45 billion yuan, representing a growth rate of at least 27% [1] - Adjusted net profit is projected to be no less than 175 million yuan, with a growth rate of at least 33% [1] - Net profit is expected to be no less than 170 million yuan, with a growth rate of at least 35% [1] Group 2: Internal and External Growth Strategies - Internal growth is supported by enhanced business models and operational efficiency, leveraging a unique commercial loop based on beauty services [1] - The company has invested in digital systems to improve standardized operational efficiency, facilitating rapid business model replication [1] - External growth is driven by a commitment to mergers and acquisitions to expand scale and integrate quality resources in the beauty industry [1] Group 3: Shareholder Confidence and Market Position - The company has optimized its shareholding structure, with early shareholder CPE reducing its stake by approximately 51.33 million shares (21.77% of total shares) [2] - A commitment to a dividend payout ratio of no less than 50% of net profit from 2025 to 2027 is expected to enhance shareholder returns [2] - The establishment of an equity incentive plan aims to align management interests with company growth, improving governance and development momentum [2] Group 4: Revenue and Profit Projections - Revenue projections for 2025-2027 are estimated at 3.064 billion, 3.344 billion, and 3.645 billion yuan, respectively [2] - Corresponding net profits for the same period are projected at 320 million, 362 million, and 413 million yuan [2] - The expected price-to-earnings ratios are 20, 18, and 16 times for the years 2025, 2026, and 2027, respectively [2]