Panda Dairy (SZ:300898)2022-12-13 14:14Company Overview - Panda Dairy is a national high-tech enterprise specializing in dairy product production, R&D, sales, and technical services, established in 1996 and listed on the Shenzhen Stock Exchange in 2020 [3] - The company has received numerous accolades, including being recognized as an excellent enterprise in the dairy industry and a provincial hidden champion [3] - Panda Dairy holds 73 patents and has launched various products, including mozzarella cheese and reduced-sugar condensed milk [3] Financial Performance - The core dairy product business has shown good performance in recent years, with expectations for positive growth due to recovering consumer demand and new channel development [3] - The company has experienced a decline in profits this year primarily due to rising raw material costs [10] Business Segments 1. Condensed Milk - The main product, holding the second position in the industry and first among Chinese brands [3] - Strong growth potential in the beverage and baking sectors, with a focus on small B-end applications [4] - The company has successfully expanded its distribution channels, increasing the number of secondary and specialized distributors [5] 2. Cream - The cream product market has low concentration, with domestic brands holding minimal market share [5] - Future opportunities include domestic substitution, growing health demands, and technological advantages [5] 3. Coconut-flavored Products - Produced in Hainan, including coconut milk and coconut cream, with recent capacity expansion to meet demand [5] 4. Cheese - The cheese market has seen significant growth, with successful consumer education and increased acceptance [5] - The company offers both B2B and B2C products, including cheese slices and snacks, targeting both home and restaurant applications [5] Investment and Strategic Initiatives - The company has invested in Youxian Workshop, focusing on cheese-based snacks [6] - Future plans include increasing the distribution of ambient cheese sticks and snacks, with a focus on e-commerce channels [9] Q&A Highlights - The company anticipates improved profit margins for mozzarella cheese due to decreasing raw material costs [7] - Strategic reserves of raw materials have been established to mitigate price fluctuations [8] - The company has previously engaged in co-branding activities, such as collaborations with KFC, and plans to explore more partnerships [10]