路斯股份20250520

Summary of the Conference Call for Lusi Co., Ltd. Company Overview - Lusi Co., Ltd. specializes in pet snacks, pet staple food, and single feed, with a focus on dog and cat food products. The main products include pet snacks such as jerky, canned food, biscuits, and dental bones [doc id='4'][doc id='8']. Financial Performance - In 2024, Lusi achieved revenue of 778 million yuan, a year-on-year increase of 11.7%. Pet snacks contributed 550 million yuan (71.3% of total revenue), jerky products accounted for 480 million yuan (61%), and staple food revenue was 102 million yuan, up 53.4% [doc id='2'][doc id='8']. - The net profit for 2024 was 78 million yuan, a 14.6% increase, driven by higher sales of jerky, staple food, and canned products, along with improved gross margins [doc id='10']. - In Q1 2025, revenue reached 184 million yuan, up 17.6%, with net profit of 16.51 million yuan, a 17.3% increase. Export business grew by 33%, while domestic pet food business increased by 14.7% after excluding the impact of meat powder [doc id='11']. Sales and Market Dynamics - Export sales in 2024 were approximately 480 million yuan, a 16.6% increase, accounting for 60% of total revenue. Domestic sales were 295 million yuan, up 4.4%, making up 40% of total revenue [doc id='9']. - The domestic business is shifting focus towards pet food, expanding from the original brand "Lusi" to include "Miaoguan," with a strong emphasis on staple food due to its large market size and acceptance [doc id='12']. Brand Strategy and Product Development - The new brand Miaoguan targets lower-tier markets, while Lusi plans to enhance its brand through the development of high-value-added products to improve gross margins [doc id='15']. - The sales ratio of staple food and snacks under the Lusi brand is shifting, with future marketing efforts focusing more on staple food [doc id='16']. Online and Offline Sales Channels - Online direct sales account for about 40% of domestic revenue, with online distribution at around 20%, and offline channels contributing over 30% [doc id='19']. - The Tmall platform has a gross margin of about 20%, with a net profit margin of 4%. However, platforms like Douyin and Kuaishou are currently not profitable [doc id='17'][doc id='18']. Production and Capacity - Lusi has production bases in Shandong, Gansu, and Sihanoukville, Cambodia, with a total of 8 production workshops and 2 R&D centers. Current snack production capacity is approximately 15,000 to 16,000 tons, staple food capacity is 30,000 tons, and meat powder capacity is 20,000 tons [doc id='6']. - The first phase of the Cambodian project has a capacity of 3,000 tons for jerky snacks, with a second phase expected to add 7,000 tons, contingent on U.S. tariff negotiations [doc id='22']. Industry Trends and Consumer Behavior - The pet food industry is witnessing a trend towards domestic brand acceptance, especially as U.S. brands face high tariffs due to trade tensions. Domestic brands are increasingly favored, with a growing market share [doc id='26']. - There is a notable increase in pet ownership, particularly among families with multiple pets, leading to an overall rise in single purchase amounts despite some decline in spending per pet [doc id='28'][doc id='29']. Future Outlook - Lusi aims for a growth target of 17% to 18% in Q1, with plans to enhance marketing efforts and product differentiation to boost domestic sales, which have not met expectations [doc id='31']. - The company is also focusing on expanding its presence in the U.S. and Southeast Asian markets through its Cambodian operations, while maintaining stability in the European market [doc id='32'].