News Flash
- Chabaidao was successfully listed on the Hong Kong Stock Exchange
- Yanjin Shop's revenue in the first quarter was 1.223 billion yuan
- Nestlé's first-quarter results were announced
- 王老吉与肯德基KCOFFEE将联名
Chabaidao was successfully listed on the Hong Kong Stock Exchange
On April 23, 2024, Chabaidao was successfully listed on the Hong Kong Stock Exchange. The issue price of Chabaidao is HK$17.5 per share, and a total of 148 million shares are issued, raising a total of HK$2.586 billion, which is the largest IPO in Hong Kong so far this year. As of press time, the stock price was HK$12.5 per share, with a market value of HK$18.47 billion.
Source: Business That Thing
In the past year, many tea brands have announced plans to IPO, and in 2024 alone, Shanghai Auntie, Gu Ming, and Mixue Bingcheng have all submitted prospectuses to the Hong Kong Stock Exchange, and the new tea beverage track has ushered in a wave of listings. However, the submission of the prospectus can only be regarded as knocking on the door of the secondary market, and there is still a distance from truly entering the capital market, but this time Chabaidao has finally officially opened this door.
For example, as early as July 2023, it was reported that new tea beverage companies such as Mixue Bingcheng, Tea Baidao, Shanghai Auntie, Bawang Tea Ji, Xinshi Brewing, and Gu Ming were ready to go public;
However, only Nai Xue's tea was successfully listed in 2021. Mixue Bingcheng applied for an A-share listing in 2022, but there has been no new progress nearly a year later, so there are reports that the plan has been "shelved".
Source: Higashishijo Capital
Yanjin Shop's revenue in the first quarter was 1.223 billion yuan
On April 23, Yanjin Shop released the first quarter report of 2024, in terms of revenue and profit, the operating income in the reporting period was 1.223 billion yuan, a year-on-year increase of 37%, the net profit attributable to the parent company was 160 million yuan, a year-on-year increase of 43.10%, and the net profit attributable to the parent company after deducting non-profits was 138 million yuan, a year-on-year increase of 40.08%.
Source: Yanjin Shop financial report
The revenue growth of Yanjin Shop is due to the focus on seven core categories: spicy marinated snacks, deep-sea snacks, casual baking, potato snacks, konjac jelly pudding, egg snacks, and dried fruits and nuts. Achieve rapid development in multiple channels and categories.
During the reporting period, the operating cost of Yanjin Shop increased by 42.18% year-on-year, and the growth rate exceeded the revenue. In this regard, Yanjin Shop explained that first, the increase in revenue led to an increase in costs, and second, the proportion of Yanjin Shop's channel structure and product category structure changed.
According to the latest equity incentive performance target of Yanjin Shop, it is planned that in 2024, compared with 2022, the growth rate of operating income and net profit will not be less than 56% and 95% respectively, of which the operating income in 2022 will be 2.894 billion yuan, and the net profit (the value of deducting the impact of the share payment expenses of the incentive plan) will be 320 million yuan. According to this calculation, the operating income and net profit targets in 2024 will be about 4.515 billion yuan and 624 million yuan respectively.
Combined with the financial report, as of the end of the first quarter, the performance of Yanjin Shop has exceeded a quarter of the target value.
Source: Business Reports
Nestlé's first-quarter results were announced
On April 25, Nestlé announced its results for the first quarter of 2024.
In the first quarter of this year, Nestlé's total sales fell by 5.9% to CHF 22.1 billion (corresponding period 2023: CHF 23.5 billion), with an organic growth rate of 1.4%, a pricing contribution of 3.4% and a real internal growth rate of minus 2.0%.
Source: Xiaoshidai
After the release of the financial report, the global CEO of Nestlé and the senior management of Nestlé Greater China successively sent letters to employees to "interpret" the above-mentioned report card, which praised the performance of confectionery, Nestlé professional catering and coffee business in Greater China in the first quarter of this year, saying that "Nestlé Group has positioned 2024 as a 'year of excellent execution', which requires everyone to focus on perfect execution and work business details."
According to the financial report, in the first quarter of this year, Nestle's revenue in Greater China was 1.233 billion Swiss francs, equivalent to about 10.140 billion yuan (100 yuan to 12.160 Swiss francs based on the weighted average annual exchange rate of Nestle's first quarter financial report), a decrease of 5.9%, of which the exchange rate had an adverse impact of -9.8%.
During the period, the region grew organically by 3.7 percent, with pricing contributing 1.5 percent and real internal growth (RIG) of 2.1 percent. It is worth noting that RIG is a key indicator used by Nestlé to measure product sales, and the RIG data in Greater China is "unique" among Nestlé's regions, as the other regions have negative year-on-year growth in this indicator, ranging from -5.8% to -0.2%.
Source: Snack Generation
王老吉与肯德基KCOFFEE将联名
According to the official release of KFC, Wanglaoji flavored bubble American will be launched on April 29.
Source: KFC
The combination of herbal tea and coffee has aroused countless curiosity among netizens, for consumers, the sweetness of herbal tea and the bitterness of American coffee are actually not unimaginable absolute hunting tastes, so although it is jokingly called "ice Chinese", some netizens think that "it will taste good".
But just like Moutai and Luckin's "Sauce Latte", for "Wanglaoji Flavor Bubble American", what is more noteworthy is the combination of the two brands of Wanglaoji and KCOFFEE. What kind of chemical reaction will burst out of the combination of traditional national brands and Western-style categories is also the essence of this collaboration, which can trigger social communication more than taste.
From the perspective of both sides, for Wang Laoji, of course, it is to further renew the brand image and get more attention from young coffee consumers - KCOFFEE is a coffee brand under KFC, and its business model of relying on KFC stores is more dependent on KFC stores, so that it has a large enough audience base when KFC has already exceeded 10,000 stores.
For KCOFFEE, on the one hand, cross-border co-branding of tea and coffee has become a regular action in the industry, and the popularity that co-branding can bring, at least in the cooperation of Luckin Moutai, has made people see the huge potential of the market. The long history of the Wanglaoji brand and its national character naturally give this cross-border cooperation a higher degree of topic communication, and it is enough to attract countless consumers who want to try it. On the other hand, from the perspective of product development, the collision of sweet and bitter brought by herbal tea and coffee will not be an unacceptable taste.
In fact, not only this cooperation with KCOFFEE, Wang Laoji has been "repeatedly tempted" among young people in the past few years. For example, it has launched flavored herbal teas such as "rattan pepper green grapes" and "domineering durian" with more communication effects, perfume series of flavored herbal teas such as "rose" and "freesia", as well as the launch of "surname cans", blind box series, and even co-branded with NetEase Games.
Source: Jiemian News
SIAL International Food & Beverage Exhibition
SIAL 2024 (Shanghai) will be held from May 28 to 30, 2024 at the Shanghai New International Expo Center.
The 2024 SIAL Exhibition (Shenzhen) will be held at the Shenzhen Convention and Exhibition Center (Futian) from September 2 to 4, 2024.