1. Company profile
Deep cultivation of the Yangtze River Delta region of the Chinese fast food chain leader, committed to standardization, stability and rapid operation. Founded in 2000 in Huzhou, Zhejiang Province, the company insists on the brand positioning of "pay attention to rice and eat my uncle", providing a variety of gourmet meals characterized by Jiangnan taste, rice set meal and multi-cuisine. By the end of 21 years, there were 388 stores (364 directly operated and 24 joined). In 2021, the company's revenue was 12.22 per cent 12.07 per 1.525 billion yuan (the growth rate was-1.30 per cent and 26.38 per cent respectively), the return net profit was 0.65 per cent per 63 million per cent, and the return net interest rate was 5.33 per cent 1.72 per cent per annum 4.13 per cent.
two。 Industry overview
The scale of China's catering market is huge, and Chinese fast food accounts for 70% of the fast food industry. According to the National Bureau of Statistics, the size of China's catering industry is expected to increase from 3.9 trillion yuan to 7.6 trillion yuan (CAGR is 14.0%) from 2020 to 2025. According to Frost Sullivan's report, from 2020 to 2025, the size of China's fast food industry is expected to increase from 90 million yuan to 1.5 trillion yuan (CAGR is 10.0%), of which the size of Chinese fast food industry is from 66 million yuan to 107 million yuan (CAGR is 10.1%, Chinese fast food accounts for about 70% of fast food in 2025). In 2021, the operating income of my uncle's restaurant was 1.48 billion yuan, accounting for about 0.19% of the Chinese fast food industry.
3. advantage in competition
Products: the central kitchen operates efficiently and has abundant production capacity; professional equipment is empowered, and the food SKU is simplified and scientific.
Operation: the store is light in operation, without the responsibility of professional chefs, and can be replicated strongly.
Channels: online and offline overall layout, takeout-driven revenue growth of 4. 5%. Future growth
Expansion of restaurant network: 260 new stores are expected to be added in the next three years, 25 stores will be upgraded and 10 franchised stores will be added.
Supply chain: build a new integrated supply chain base to achieve a total production capacity of about 57000 tons of processed products
Information system: recruit excellent talents in the information industry and build an information system covering the whole industry chain
Brand promotion: online and offline media promotion to enhance the brand influence of the company in an all-round way
Risk hint
Repeated risk of the epidemic: the epidemic repeatedly led to pressure on the company's offline stores, business damage, a decline in passenger flow, and so on.
Restaurant expansion is not as expected: store expansion is the core driver of the company's revenue growth, and if the store expansion is not as fast as expected, it will have a negative impact on the company's growth.
Industry competition risk: Chinese fast food market competition is fierce, if the competition is not successful or there is the risk of losing market share.
Food safety risk: there are potential food safety risks in catering enterprises, and any food quality problems or the outbreak of foodborne diseases will adversely affect the business.
Raw material price fluctuation risk: procurement price changes with upstream production and downstream consumer demand, will face the risk of a substantial increase in procurement costs.
Risk of performance of the gambling agreement: if the application materials for initial public offering and the listing of IPO are not submitted within the agreed time limit, the actual controller will need to buy back the shares held by multi-party investment institutions, resulting in a change in the shareholding ratio of existing shareholders, which will adversely affect the operation of the company.
Under the standardization mode, the types of food are relatively few: at present, the company focuses on more than ten kinds of food, and provides dozens of personalized choices through free collocation. The new food needs to be supported by food and beverage equipment in professional stores, and faces challenges in realizing the diversity of food.
The national layout management strategy remains to be verified: at present, the company's stores are concentrated in the Yangtze River Delta region, but it has not yet been distributed and operated in other areas, and its ability to expand beyond the Yangtze River Delta needs to be further verified.