全产业链赋能：品质与效率双提升 全产业链布局：行业独有的竞争壁垒 在养殖端，老乡鸡在安徽拥有3个养殖场，实现了标准化、规模化、科学化的养殖。这些养殖场为老乡 鸡提供了稳定且高品质的鸡肉供应，是招牌菜品"肥西老母鸡汤"的品质保证。为了保证鸡汤的鲜美和营 养，老乡鸡坚持选用自家养殖的、生长周期至少180天的肥西老母鸡，鸡肉口感紧实鲜甜。同时，通过 建立大数据平台，老乡鸡实现了养殖数据的全面分析、异常预警和趋势预测，提高了养殖的管理水平。 进入食材处理环节，老乡鸡同样展现出强大的标准化能力。老乡鸡拥有使用自动化生产线的中央厨房， 能够对不同菜品的原材料进行标准化处理。位于合肥市的中央厨房占地6万平方米，是目前行业内规模 较大的中央厨房之一，其产能可以供给1200家餐厅使用。 这意味着无论哪家门店，顾客所品尝到的菜品在口味、品质上都能保持高度一致，有效解决了中式快餐 长期面临的标准化难题，提升了供应链的可控性。 在中式快餐行业竞争日趋激烈的当下，老乡鸡凭借其独特的全产业链布局，正稳步迈向港股IPO之路， 其核心竞争力之一，便是其独有的全产业链模式。作为国内唯一一家全产业链布局的主要中式快餐公 司，老乡鸡打造了一条覆盖 ...

Investment Rating - The report does not explicitly state an investment rating for the company Core Insights - The company, Lao Xiang Ji, positions itself as a leading player in the Chinese fast food industry with a full supply chain layout, focusing on "home kitchen" style Chinese fast food [4][7] - The Chinese fast food market is expected to grow significantly, with a projected CAGR of 8.3% from 2024 to 2029, indicating a robust growth opportunity for the company [4][55] - Lao Xiang Ji is the largest Chinese fast food enterprise by market share, holding 0.9% of the market, and has a unique full supply chain model that includes chicken farming, central kitchens, and restaurant services [4][65] Summary by Sections 1. Chinese Fast Food Leader with Dual Operation Model - Lao Xiang Ji has a comprehensive supply chain layout, including 3 chicken farms, 2 central kitchens, and 8 distribution centers, making it the only Chinese fast food company with a fully traceable system [4][7] - The company operates a mix of direct sales and franchise models, with a focus on chicken soup and chicken dishes, maintaining an average customer spend of around 30 yuan [4][7] - As of April 30, 2025, the company has 750 stores in Anhui and 814 stores outside the province [4][7] 2. Fast Food Industry with Significant Growth Potential - The Chinese fast food market is the second largest globally, with a market size of 810 billion yuan in 2024, and is expected to grow at a CAGR of 8.3% from 2024 to 2029 [4][55] - The market is still largely fragmented, with over 1.7 million restaurants and a low chain penetration rate of 32.5% in 2024, indicating substantial consolidation opportunities [4][55][60] 3. High Cost-Performance Products with Integrated Supply Chain - Lao Xiang Ji's supply chain includes self-owned chicken farming and third-party suppliers, ensuring quality and variety in raw materials [4][89] - The company has automated production lines in its central kitchens, allowing for standardized processing and efficient logistics, with same-day delivery to nearby stores [4][4] - The product offerings are designed to meet consumer demand for quality and affordability, with a focus on high-frequency, everyday meals [4][82] 4. Fundraising Purpose - The report does not provide specific details regarding the use of raised funds 5. Competitive Landscape - Lao Xiang Ji leads the Chinese fast food market with a market share of 0.9%, and is recognized for its full supply chain model and high operational efficiency [4][65] - The company faces competition from various regional players, but its unique positioning and operational model provide a competitive edge [4][69]

Summary of Key Points Core Viewpoint - The Hong Kong IPO market is experiencing significant activity, with multiple companies filing for listings and a notable increase in market liquidity and new listings compared to the previous year [14]. Group 1: Company Filings - Three companies submitted applications for IPOs: 1. **Shenzhen Xingyuan Material Technology Co., Ltd.** specializes in lithium-ion battery separators and holds the largest market share in dry-process separators globally, with projected revenues of 2.867 billion, 2.982 billion, 3.506 billion, and 881 million RMB from 2022 to 2025 [2]. 2. **LXJ International Holdings Limited (Laoxiangji)** operates a fast-food chain with 1,564 stores across 55 cities, achieving revenues of approximately 4.528 billion, 5.651 billion, 6.288 billion, and 2.120 billion RMB from 2022 to 2025 [3][4]. 3. **Lianqi Technology Co., Ltd.** is a leading fabless integrated circuit design company, with revenues of approximately 3.672 billion, 2.286 billion, 3.639 billion, and 1.222 billion RMB from 2022 to 2025 [5]. Group 2: IPO Activity - No companies passed the hearing last week, but one company, **Shougang Longze**, is restarting its IPO process, planning to offer 20.1598 million H-shares at a price range of 14.5 to 18.88 HKD per share [6][7]. Group 3: New Listings - Six new stocks were listed last week, including: 1. **Fuwai Group**: Closed at 38.40 HKD with a gain of 1.05% [8]. 2. **Lens Technology**: Closed at 19.84 HKD with a gain of 9.13% [9]. 3. **Dazhong Oral**: Closed at 20.70 HKD with a gain of 3.50% [10]. 4. **Xunzhong Co.**: Closed at 13.58 HKD with a gain of 0.22% [11]. 5. **Jizhi Jia-W**: Closed at 17.70 HKD with a gain of 5.36% [12]. 6. **Fortior**: Closed at 139.80 HKD with a gain of 16.02% [13]. Group 4: Market Trends - The Hong Kong stock market has seen a significant improvement in liquidity, with an average daily trading volume of 240.2 billion HKD in the first half of 2025, a 118% increase from the previous year [14]. - The number of new listings increased to 44 in the first half of 2025, up 47% from the previous year, with total fundraising amounting to 107.1 billion HKD, a 699% increase [14].

Investment Rating - The report maintains an "Add" rating for the industry, indicating a positive outlook for the sector in the next 6 months [1]. Core Insights - The report highlights that the leading Chinese fast-food brand, Laoxiangji, focuses on home-style dishes centered around chicken soup and chicken products, with a significant expansion in its store network since its establishment in 2003 [3][8]. - Laoxiangji operates a combination of direct and franchise models, with over 80% of its revenue coming from direct operations, and it has shown consistent revenue growth [11][20]. - The average daily sales per store have been steadily increasing, reflecting strong operational performance and customer demand [16][20]. - The report emphasizes the potential for growth in the Chinese fast-food market, particularly in the chain restaurant segment, where Laoxiangji holds the largest market share among Chinese fast-food brands [26][30]. Summary by Sections Industry Overview - The Chinese fast-food market is projected to grow from CNY 8,097 billion in 2024 to CNY 12,058 billion by 2029, with a CAGR of 8.3% [26]. - The chain restaurant penetration rate for Chinese fast food is currently at 32.5%, significantly lower than Western fast food at 67.9%, indicating substantial room for growth [26]. Company Performance - As of April 2025, Laoxiangji has 1,564 stores across 9 provinces and 58 cities, making it the largest Chinese fast-food brand by transaction volume [3][8]. - In 2024, Laoxiangji's revenue reached CNY 6.13 billion, a 10% year-on-year increase, with a gross margin of 22.8% and a net profit of CNY 409 million [11][20]. - The average daily sales for direct stores increased from CNY 12,800 in 2022 to CNY 16,000 in 2025, showcasing effective sales strategies [16][20]. Market Position - Laoxiangji's market share in the Chinese fast-food sector is 0.9%, ranking it first among Chinese fast-food brands, while its overall market share in the fast-food industry is 0.5%, placing it eighth [26][30]. - The report suggests that the upcoming wave of IPOs for various Chinese fast-food brands could attract additional investment into the sector, enhancing market dynamics [30].

Company Overview - LXJ International Holdings Limited, known as "老乡鸡," is the largest Chinese QSR brand, founded in 2003 by a veteran and poultry farmer [1] - The company has transitioned from an A-share listing attempt to pursuing a listing on the Hong Kong Stock Exchange, with the prospectus updated recently [1] Market Position - In 2024, the company holds a 0.9% market share in the Chinese QSR industry and ranks eighth in the overall fast food sector with a 0.5% market share [1] - The brand's menu focuses on home-style dishes centered around chicken, with signature items priced between 12-17 yuan [1] Supply Chain and Expansion - The company has established a comprehensive supply chain involving breeding, procurement, processing, and logistics, with three chicken farms and two automated central kitchens [2] - Plans for further supply chain integration include developing a new central kitchen in Hefei, expected to be completed by 2027 [2] - As of April 30, 2025, the company operates 1,564 stores across 58 cities, with a mix of 911 direct-operated and 653 franchised stores [2] Financial Performance - The company's revenue for 2022, 2023, and 2024 is projected to be 4.528 billion yuan, 5.651 billion yuan, and 6.288 billion yuan, respectively, with net profits of 252 million yuan, 375 million yuan, and 409 million yuan [3] - For the first four months of 2025, revenue reached 2.12 billion yuan, a 9.84% increase year-on-year, with net profit at 174 million yuan, up 7.41% from the previous year [3]

Core Viewpoint - Anhui Laoxiangji Catering Co., Ltd. is aiming to become the "first stock of Chinese fast food" by updating its IPO prospectus for the Hong Kong Stock Exchange, after previously withdrawing its A-share IPO application in August 2023 [1] Company Overview - Laoxiangji is the largest Chinese fast food brand, holding a 0.9% market share in the Chinese fast food industry and ranking first in terms of total transaction volume in 2024 [1] - The company was founded in 2003 by veteran Shuceng Xuan, starting with a store named "Feixi Laomujin" in Hefei, Anhui Province, specializing in the signature dish "Feixi Laomujin Soup" [1] - The brand was upgraded in 2012 to "Laoxiangji," offering a variety of dishes primarily made from chicken, pork, beef, vegetables, rice, and seafood [1] Business Model and Expansion - Laoxiangji has adopted a "direct-operated + franchise" store network model since exploring franchising in 2020, balancing quality and expansion [2] - As of April 30, 2025, Laoxiangji operates a total of 1,564 stores, including 911 direct-operated and 653 franchise stores, with an overall increase of 85 stores since 2025 [2] Financial Performance - The revenue for Laoxiangji in 2022, 2023, and 2024 was 4.528 billion, 5.651 billion, and 6.288 billion yuan respectively, with net profits of 252 million, 375 million, and 409 million yuan [2] - In the first four months of 2025, the revenue reached 2.12 billion yuan, representing a year-on-year growth of 9.84%, while net profit was 174 million yuan, up 7.41% from the previous year [2]

Core Viewpoint - The company, Laoxiangji, is preparing for its Hong Kong IPO after previously withdrawing its A-share application, with financial data updated in its prospectus as of July 7, 2023 [1] Financial Performance - Laoxiangji's revenue for 2022, 2023, and 2024 is projected to be CNY 4.528 billion, CNY 5.651 billion, and CNY 6.288 billion, with year-on-year growth rates of 58.38%, 24.80%, and 11.27% respectively [4] - Net profit for the same years is expected to be CNY 252 million, CNY 375 million, and CNY 409 million, with growth rates of 86.67%, 48.81%, and 9.07% respectively [4] - In the first four months of 2023, revenue increased by 9.91% to CNY 2.120 billion, while net profit grew by 7.41% to CNY 174 million [4] Store Operations - As of April 30, 2025, Laoxiangji operates 1,564 stores, comprising 911 direct-operated and 653 franchised stores [3] - The number of direct-operated stores has decreased from 1,007 in 2022 to a projected 914 in 2024, while franchised stores have increased from 118 to 565 in the same period [3] - The company has implemented a strategy to convert direct-operated stores to franchised ones to maximize operational efficiency and capital returns [3] Revenue Contribution - In 2022, the average revenue contribution per direct-operated store was CNY 5.926 million, while for franchised stores it was CNY 1.259 million, indicating that direct-operated stores contribute significantly more to overall revenue [5] - For 2024 and the first four months of 2025, revenue from direct-operated stores is expected to be CNY 5.416 billion and CNY 1.648 billion, accounting for 86.13% and 77.35% of total revenue respectively [5] Consumer Metrics - In 2024, the average consumption per customer at direct-operated stores decreased by CNY 0.2 to CNY 27.5, while the turnover rate increased slightly [7] - The average daily sales per direct-operated store increased by 4.12% to CNY 16,000 in 2024 [7] - The company remains heavily reliant on the East China market, particularly Anhui province, which accounts for 47.95% of its total stores and 50.05% of its revenue [7]

Core Viewpoint - The recent food safety controversy surrounding the company, particularly the allegations regarding the use of coloring agents in its products, raises questions about its upcoming IPO and the scrutiny of its fundamentals in the capital market [1][3][18] Group 1: Food Safety Concerns - The company faces scrutiny over its "Farmhouse Steamed Eggs" and raw eggs, which were reported to contain coloring agents, coinciding with its third attempt at an IPO [1][3] - Previous issues, such as the "180-day free-range chicken" controversy, led the company to release a comprehensive internal traceability report, which, while detailed, raises questions about the actual execution of food safety standards [3][4][5] - The effectiveness of the company's food safety management relies on continuous execution and improvement, as outlined in the PDCA cycle, rather than just the establishment of standards [4][5] Group 2: Financial Performance and Expansion - The company's revenue increased from 4.528 billion RMB in 2022 to 5.651 billion RMB in 2023, with a projected 4.678 billion RMB for the first three quarters of 2024 [6][7] - Net profit rose from 252 million RMB in 2022 to 375 million RMB in 2023, with 367 million RMB reported for the first three quarters of 2024 [6][7] - The average consumer price at company-owned stores decreased from 29.7 RMB in 2022 to 27.6 RMB in the first three quarters of 2024, indicating pressure on profit margins [9] Group 3: Market Position and Competition - The company claims to be the leader in the Chinese fast-food industry, but its market share is only 0.8%, highlighting a lack of significant brand barriers in a fragmented market [13][14][16] - The competitive landscape is intensifying, with regional brands and established players like KFC and McDonald's increasing their presence and adapting their menus to local tastes [16][17] - The company has faced challenges in maintaining investor confidence, as evidenced by the buyback of shares from previous investors, indicating uncertainty about its long-term growth prospects [16][17]

Core Insights - The Chinese fast food industry is rapidly evolving due to consumer upgrades and digital transformation, with Laoxiangji as a leading player [1][3] - Laoxiangji has established a comprehensive supply chain model covering breeding, processing, and logistics, starting from a single store in Hefei in 2003 [1][3] - The company has expanded to 1,404 stores across 53 cities, serving over 189 million customers annually, and is currently pursuing an IPO in Hong Kong [1][3] Group 1: Business Model and Growth - Laoxiangji's growth story is marked by its unique dish, Feixi Laomu Chicken, which has helped it gain a foothold in regional markets and expand nationally [3] - The brand's valuation has reached 18 billion, driven by a consumer-friendly pricing strategy and a robust membership system [3] - Digital tools have been employed to optimize the supply chain, ensuring cost control while maintaining product quality [3] Group 2: Product and Membership Strategy - The Feixi Laomu Chicken soup, made from chickens raised for 180 days, distinguishes itself from common market offerings, contributing to the sale of 30 million servings annually [3] - Laoxiangji has developed a comprehensive membership management system that offers discounts and personalized recommendations, enhancing customer loyalty and repeat purchases [5] Group 3: Franchise and Digital Tools - Digitalization plays a crucial role in Laoxiangji's franchise operations, providing franchisees with management tools for precise marketing and efficient operations [7] - The intelligent site selection system uses big data to advise franchisees on optimal locations, reducing risks associated with new openings [7] - The company's digital innovations in pricing and membership systems lay a solid foundation for its upcoming IPO, potentially increasing funding for further digital investments [7]