Investment Rating - The report maintains an "Outperform" rating for the company [2][8]. Core Insights - The company reported a revenue of 562 million yuan for H1 2025, a year-on-year increase of 10.9%, but a significant decline in net profit by 67.9% to 15 million yuan [5][8]. - The Q2 2025 revenue was 369 million yuan, reflecting a 4.3% year-on-year growth, while net profit dropped by 91.3% to 3 million yuan, indicating that revenue met market expectations but profits fell short [5][8]. - The company aims to improve profitability in H2 2025 through various measures, including increasing the sales proportion of high-margin products and enhancing cost management [8]. Financial Data and Profit Forecast - The company’s total revenue projections for 2025-2027 are adjusted to 1.28 billion yuan, 1.61 billion yuan, and 2.05 billion yuan respectively, with corresponding net profits of 95 million yuan, 112 million yuan, and 151 million yuan [7][8]. - The gross margin for H1 2025 was reported at 32.2%, a decrease of 9.3 percentage points year-on-year, while the net margin was 2.7%, down 6.6 percentage points [8]. - The company’s earnings per share (EPS) for 2025 is projected at 0.77 yuan, with a price-to-earnings (PE) ratio of 28 [7][8]. Business Performance - The core business segments showed varied performance, with sports nutrition products growing by 24.7% year-on-year, while military supply and other segments faced declines [8]. - The company’s protein muscle gain products generated 327 million yuan in revenue for H1 2025, a 29.1% increase, despite overall market challenges [8]. - The energy supplement segment is expanding, with a notable 9.2% increase in revenue from energy gels [8]. Strategic Outlook - The company plans to enhance its product structure and cost management to counteract declining net profit margins [8]. - New channel development and market expansion efforts are underway to adapt to the evolving sports nutrition consumer landscape [8].

Core Viewpoint - Company 康比特 has reported record-high revenue and net profit for 2024, indicating strong profitability and growth momentum, driven by the dual trends of "sports nutrition + health consumption" [1] Financial Performance - In 2024, 康比特 achieved revenue of 1.04 billion yuan, a year-on-year increase of 23.34%, with a compound annual growth rate (CAGR) exceeding 30% from 2020 to 2024 [1] - The company reported a net profit of 87.17 million yuan, up 15.07% year-on-year, with a CAGR exceeding 60% from 2020 to 2024 [1] - For Q1 2025, 康比特's revenue was 194 million yuan, a 26.08% increase year-on-year, and net profit was 12.04 million yuan, up 9.66% year-on-year [1] Business Segments - The military supply business saw a revenue decline of 45.1% in 2024, totaling 132.44 million yuan, primarily due to the cyclical nature of military procurement [2] - Despite the decline, 康比特 maintained a leading position in military procurement, and future demand for military products is expected to remain strong due to ongoing national defense modernization [2] Industry Trends - The sports nutrition industry is entering a golden development period, driven by the "Healthy China" strategy and consumption promotion policies [3] - The market for sports nutrition products in China has significant growth potential, as awareness and consumption habits are still developing compared to developed countries [3] - Recent government initiatives, such as the "Weight Management Year" action plan, are expected to boost demand for weight control products, including protein supplements [4] Product Development - 康比特's core products, particularly protein muscle gain products, have seen significant revenue growth, with a 72.64% increase to 52.91 million yuan in 2024 [5] - The company plans to establish four product project teams focusing on protein muscle gain, energy supplementation, weight control, and professional sports markets to enhance resource integration and market responsiveness [5] Sales Strategy - 康比特 has implemented a robust channel strategy, expanding distribution through traditional e-commerce and new media channels, and engaging consumers through events and competitions [6] - The company has reached 4.24 million runners through 470 events in 2024, leveraging its partnership with the Chinese Athletics Association [6] Market Outlook - Analysts project 康比特's net profit to reach 115 million yuan in 2025, with a corresponding price-to-earnings (PE) ratio of 28 [7] - The company is viewed as an attractive investment opportunity in the sports nutrition sector, with a current stock price that is considered undervalued compared to its growth potential [7]