2025-11-24 04:00Financial Performance - The company's revenue increased by 2.1% year-over-year, reaching RMB 11,108 million in 1H FY25 compared to RMB 10,877 million in 1H FY24[5] - Gross profit margin decreased by 110 basis points from 47.3% in 1H FY24 to 46.2% in 1H FY25, influenced by increased costs of whole milk powder and product mix[5] - Operating profit decreased by 11.0% from RMB 2,541 million in 1H FY24 to RMB 2,261 million in 1H FY25[5] - Profit attributable to owners of the company decreased by 7.8% from RMB 1,863 million in 1H FY24 to RMB 1,717 million in 1H FY25, with an income tax rate of 23.0%[5] Revenue Breakdown by Product Category - Rice crackers revenue increased to RMB 2,130 million in 1H FY25 from RMB 2,057 million in 1H FY24[11], with sales volume up by mid-single digits[14] - Dairy and beverage revenue decreased slightly to RMB 5,941 million in 1H FY25 from RMB 6,009 million in 1H FY24[15], while beverage sales doubled[15] - Snack food revenue increased to RMB 2,940 million in 1H FY25 from RMB 2,731 million in 1H FY24[16], with ice product sub-category increasing by mid-double digits[34] Channel Performance - Emerging channels and snack food retail channels experienced high-speed growth[5, 14, 15, 16, 33, 34] - Snack food retail channels account for approximately 15% of the group's revenue[37] - Emerging channels account for over 10% of the group's revenue[37] - Overseas market revenue increased by low-single digits and accounts for high-single digits of the group's revenue[37] Expenses and Working Capital - Operating expenses increased by 10.6% from RMB 2,894 million in 1H FY24 to RMB 3,202 million in 1H FY25, driven by increased A&P expenses[5, 18] - Distribution costs increased from RMB 1,369 million in 1H FY24 to RMB 1,550 million in 1H FY25[21], with distribution costs accounting for 14.0% of revenue in 1H FY25, up from 12.6% in 1H FY24[19] - Inventory increased from RMB 2,576 million on March 31, 2025, to RMB 2,748 million on September 30, 2025[26], with inventory turnover days increasing from 74 to 80 days[25]