Core Viewpoint - The company Xiangpiaopiao is set to open its first national store in Hangzhou, marking a significant step in its offline retail strategy amidst a challenging performance landscape [1][4]. Group 1: Store Opening and Strategy - Xiangpiaopiao's first national store is located in Hangzhou's Joy City, surrounded by various competing tea brands [1][3]. - The store aims to provide a space for brand experience and consumer interaction, while also collecting market feedback to enhance product development [4]. - The company has previously experimented with pop-up stores, including a "Yuan Ye Tea House" in Chengdu and a "Global First Store" in Hangzhou, focusing on user feedback and operational experience [5]. Group 2: Financial Performance - Xiangpiaopiao has faced fluctuating financial results, with revenues of 31.28 billion, 36.25 billion, and 32.87 billion from 2022 to 2024, showing growth rates of -9.76%, +15.90%, and -9.32% respectively [7]. - The company reported a revenue of 10.35 billion in the first half of 2025, a decline of 12.21%, with a net profit of -0.97 billion, indicating a loss [8]. - The latest quarterly report for 2025 shows revenues of 16.84 billion, down 13.12%, and a net profit of -0.89 billion, continuing the trend of losses [8]. Group 3: Business Segments - The company operates two main business segments: brewing products and ready-to-drink products, with the latter showing growth potential [7][10]. - The ready-to-drink segment, led by Meco fruit tea, achieved an 8.03% year-on-year growth in the first half of 2025, contributing over half of the company's revenue [10]. - In the third quarter of 2025, the ready-to-drink segment's revenue grew by 3.92% to 8.33 billion, while the brewing segment saw a decline of 25.96% to 8.22 billion [11].

Core Viewpoint - The company, Xiangpiaopiao, reported a decrease in revenue and net profit for the year 2024, while continuing to innovate and expand its product offerings in the beverage market, particularly in the tea and ready-to-drink segments [11][12][13]. Company Overview - Xiangpiaopiao is classified under the manufacturing industry, specifically in the beverage sector, focusing on tea and other drink manufacturing [4]. - The company has maintained its position as the leading player in the brewed milk tea market in China for 13 consecutive years from 2012 to 2024 [5]. Industry Position - The company has adapted to market trends by promoting healthier and younger-oriented milk tea products, launching new items like "original leaf freshly brewed" oat milk tea, which received positive consumer feedback [5]. - In the ready-to-drink beverage market, the company introduced Meco fruit tea, combining traditional fruit tea with modern production techniques, which quickly gained popularity [5][7]. Financial Performance - In 2024, the company achieved a revenue of RMB 3.287 billion, a decrease of 9.32% compared to the previous year, and a net profit of RMB 253.19 million, down 9.67% [13]. - The company plans to distribute a cash dividend of RMB 2.50 per 10 shares, totaling RMB 103.17 million, subject to shareholder approval [5][27]. Product Development - The company has focused on product innovation, launching new brewed and ready-to-drink products, including "original leaf freshly brewed light milk tea" and new flavors of Meco fruit tea [10]. - The company emphasizes interaction with target consumers through e-commerce channels for trial sales before full market launches, aiming to reduce innovation risks [10]. Market Strategy - The company is committed to a "dual-engine" strategy, with the ready-to-drink segment showing strong growth, achieving a 13.89% increase in sales in the first quarter of 2025 [97]. - The company is also addressing challenges in its traditional brewed product line by introducing healthier options and managing inventory effectively [95][96].