Investment Rating - The investment rating for the company is "Buy" and is maintained [6]. Core Insights - For the first three quarters of 2025, the company reported total revenue of 1.356 billion yuan, representing a year-on-year increase of 12.05%. The net profit attributable to shareholders was 201 million yuan, up 3.51%, while the net profit excluding non-recurring items was 175 million yuan, an increase of 19.4% [2][4]. - In Q3 2025, the company achieved total revenue of 522 million yuan, reflecting a year-on-year growth of 16.74%. However, the net profit attributable to shareholders decreased by 16.07% to approximately 69.57 million yuan, while the net profit excluding non-recurring items increased by 25.53% to about 73.90 million yuan [2][4]. Financial Performance Summary - The total revenue for the first nine months of 2025 was 1.356 billion yuan, with the main business revenue accounting for 1.355 billion yuan. The food segment generated 1.226 billion yuan, making up 90.40% of total revenue, with specific contributions from various product categories [6]. - The company’s franchise sales reached 1.013 billion yuan, representing 74.72% of total revenue, while group meal channels contributed 306.95 million yuan, or 22.63% [6]. - As of Q3 2025, the total number of franchise stores increased to 5,934, up from 5,143 at the beginning of the year, with a net addition of 791 stores [6]. Profitability Metrics - The gross profit margin for the first three quarters of 2025 improved by 1.61 percentage points to 28.01%, while the net profit margin decreased by 1.22 percentage points to 14.83% [6]. - In Q3 2025, the gross profit margin was 29.6%, an increase of 2.81 percentage points year-on-year, while the net profit margin fell by 5.21 percentage points to 13.33% [6]. Earnings Forecast and Investment Recommendations - The company is projected to achieve net profits of 290 million yuan, 325 million yuan, and 363 million yuan for the years 2025, 2026, and 2027, respectively. The corresponding earnings per share (EPS) are expected to be 1.21 yuan, 1.36 yuan, and 1.51 yuan, with price-to-earnings (PE) ratios of 23, 21, and 18 times [6].

Investment Rating - The investment rating for the company is "Buy" (maintained) [7] Core Views - The company achieved a revenue of 830 million yuan in H1 2025, representing a year-on-year increase of 9.3%, and a net profit attributable to shareholders of 130 million yuan, up 18.1% year-on-year [1] - The second quarter of 2025 saw revenue of 470 million yuan, a 13.5% increase year-on-year, with net profit attributable to shareholders reaching 90 million yuan, up 31.4% year-on-year [1] - The company is benefiting from a competitive delivery market, leading to accelerated franchise revenue growth and a significant increase in group meal sales [2][3] Revenue Breakdown - In H1 2025, revenue from franchise sales, direct sales, group meals, and others was 610 million, 1 million, 200 million, and 100 million yuan respectively, with year-on-year changes of +7.0%, +0.4%, +19.0%, and -6.2% [2] - In Q2 2025, franchise sales, direct sales, group meals, and others generated 350 million, 1 million, 110 million, and 100 million yuan respectively, with year-on-year changes of +10.5%, +14.1%, +26.2%, and -5.5% [2] Group Meal Business - The group meal business, accounting for 23% of total revenue, saw a revenue increase of 26% in Q2 2025, driven by stable dining demand and an expanded product range [3] - Customized filling sales contributed approximately 30 million yuan in sales in H1 2025, marking a 90% year-on-year increase [3] M&A Activities - The company is progressing with acquisitions, including the supply chain transition for approximately 250 franchise stores under the brand "Manxiangren" and plans for equity transfer and consolidation [4] Profitability and Cost Management - In H1 2025, the gross margin was 27.0%, an increase of 0.8 percentage points year-on-year, while the net profit margin was 12.1%, up 0.6 percentage points year-on-year [5] - In Q2 2025, the gross margin improved to 28.2%, a year-on-year increase of 1.9 percentage points, with a net profit margin of 13.4%, up 1.2 percentage points year-on-year [5] Future Outlook - The company aims to enhance single-store revenue through store upgrades and product structure optimization, with expected revenue growth of 9.9%, 8.1%, and 7.0% for 2025, 2026, and 2027 respectively [12]

Core Insights - The company reported a revenue of 835 million yuan for the first half of 2025, representing a year-on-year growth of 9.31%, and a net profit attributable to shareholders of 132 million yuan, up 18.08% year-on-year [1] - The company achieved significant improvements in its product technology and optimization of its product system, completing upgrades on 45 products and making breakthroughs in frozen dough technology [1] Revenue Breakdown - In H1 2025, revenue from various product categories included 328 million yuan from noodle products, 230 million yuan from filling products, 194 million yuan from purchased food, 52 million yuan from packaging and auxiliary materials, and 28 million yuan from service fees, with year-on-year growth rates of 6.58%, 16.29%, 7.25%, 10.70%, and -4.67% respectively [1] - In Q2 2025, revenue from noodle products was 176 million yuan, filling products 130 million yuan, purchased food 112 million yuan, packaging and auxiliary materials 28 million yuan, and service fees 16 million yuan, with year-on-year growth rates of 10.24%, 20.29%, 10.00%, 17.61%, and 4.35% respectively [1] Sales Channels - In H1 2025, the company generated 613 million yuan from franchise sales, 11 million yuan from direct sales, 199 million yuan from group meal channels, and 12 million yuan from other sales, with year-on-year growth rates of 7.00%, 0.44%, 18.99%, and -6.23% respectively [2] - In Q2 2025, franchise sales reached 348 million yuan, direct sales 5 million yuan, group meal channels 106 million yuan, and other sales 6 million yuan, with year-on-year growth rates of 10.49%, 14.12%, 26.20%, and -4.34% respectively [2] Regional Performance - In H1 2025, revenue from different regions included 687 million yuan from East China, 72 million yuan from South China, 49 million yuan from Central China, and 25 million yuan from North China, with year-on-year growth rates of 9.69%, 11.60%, 6.56%, and -0.07% respectively [3] - In Q2 2025, revenue from East China was 383 million yuan, South China 40 million yuan, Central China 28 million yuan, and North China 14 million yuan, with year-on-year growth rates of 14.17%, 14.61%, 5.44%, and 9.32% respectively [3] Profitability and Expenses - The company achieved a gross margin of 27.01% and a net margin of 15.77% in H1 2025, with increases of 0.84 and 1.17 percentage points year-on-year [4] - In H1 2025, the company’s sales expenses, management expenses, R&D expenses, and financial expenses were 33 million yuan, 60 million yuan, 6 million yuan, and -11 million yuan respectively, with year-on-year changes of -0.08%, +0.09%, -0.07%, and -0.33% [4] Future Outlook - The company expects its single-store revenue to stabilize and grow, supported by the increasing number of franchise stores, with projected revenues of 1.843 billion yuan, 2.052 billion yuan, and 2.313 billion yuan for 2025-2027, and net profits of 267 million yuan, 289 million yuan, and 316 million yuan respectively [5]