Investment Rating - The report maintains an "Outperform" investment rating for the company [2][7]. Core Insights - The company's performance in the first half of 2025 was below expectations, with a revenue of 385 million yuan, a year-on-year decline of 36%, and a net profit attributable to shareholders of -36 million yuan, indicating a significant downturn [7]. - The company is diversifying its sales channels, with the "Light and Easy" brand expected to contribute incremental revenue. The company has established 125 direct-operated stores globally, focusing on high-traffic areas [7]. - The gross profit margin improved to 64.09% in Q2 2025, up 3.17 percentage points year-on-year, primarily due to the higher margin from the "Light and Easy" stores [7]. Financial Data and Earnings Forecast - Total revenue projections for 2025 are set at 984 million yuan, with a year-on-year decline of 9.3%. The net profit forecast for 2025 is 49 million yuan, reflecting a significant recovery from the previous year's losses [6][9]. - The earnings per share (EPS) is expected to be 0.57 yuan for 2025, with a projected growth of 373.6% year-on-year [6][9]. - The company anticipates a gradual recovery in profitability, with net profits expected to reach 78 million yuan in 2026 and 93 million yuan in 2027 [6][9].

Investment Rating - The report maintains an "Outperform" investment rating for the company [2][7]. Core Views - The company's performance in H1 2025 was below expectations, with total revenue of 385 million yuan, a year-on-year decline of 36%, and a net profit attributable to shareholders of -36 million yuan, indicating a negative turnaround [7]. - The decline in performance is attributed to a drop in online revenue and decreased foot traffic in offline stores, coupled with high fixed costs [7]. - The company is diversifying its sales channels, with the "Light and Easy Moment" brand expected to contribute incremental growth, and is actively expanding into overseas markets [7]. - The gross margin improved to 64.09% in Q2 2025, up by 3.17 percentage points year-on-year, primarily due to the higher margin from "Light and Easy Moment" stores [7]. - The report slightly lowers the profit forecast for 2025-2027 but maintains a positive outlook with projected net profits of 49 million, 78 million, and 93 million yuan for 2025, 2026, and 2027 respectively, reflecting year-on-year growth rates of 374%, 60%, and 20% [7]. Financial Data and Earnings Forecast - Total revenue for 2025 is estimated at 984 million yuan, with a year-on-year decline of 9.3% [6]. - The net profit for 2025 is projected to be 49 million yuan, a significant recovery from the previous year's loss [6]. - The earnings per share (EPS) for 2025 is expected to be 0.57 yuan, with a projected price-to-earnings (P/E) ratio of 62 [6]. - The company’s gross margin is forecasted to improve gradually, reaching 64.4% by 2027 [6].