Haixin Foods (SZ:002702)2022-12-04 09:54Group 1: Financial Performance - The company historically experiences losses in Q2 due to seasonal fluctuations in hot pot ingredient consumption, with losses typically occurring in this period [3] - In 2020, the pandemic significantly boosted demand for frozen food, leading to high profit growth in the first half of the year, with sustained strong demand from March to June [3] - The company has achieved an average annual growth rate in revenue of double digits since 2018, maintaining a leading gross margin in the industry [4] Group 2: Sales Channels - The company's sales channels are primarily composed of agricultural trade, with KA and BC as secondary channels, and e-commerce and specialty stores as supplementary [3] - The company has established long-term stable partnerships with major KA and BC retailers, which have become the main consumption venues during the pandemic [3] - The company plans to deepen its market penetration in central and western regions, focusing on developing small supermarkets and community stores to bring products closer to consumers [4] Group 3: Production Capacity - The company currently operates at overcapacity with nearly 90,000 tons of production capacity and is planning an additional 100,000 tons in Lianjiang County, Fuzhou [5] - The construction of new facilities has a long lead time, and the company will address current capacity issues through collaboration and outsourcing during the transition period [5]