Gelonghui, August 19 | Huaxin Securities Research Report pointed out that the price increase and fall of Arowana (300999.SZ) in the first half of the year put pressure on revenue, and cost optimization was beneficial to profits. 2024H1's total revenue was 109.478 billion yuan (same decrease of 8%), mainly due to the impact of falling product prices exceeding volume growth, and net profit to mother was 1.097 billion yuan (up 14% from the same period). Due to the continued decline in raw material costs, 2024h1's gross margin increased by 1 pct to 4.90%, the sales/management expense ratio increased 0.2 pct/0.2 pct to 2.72%/1.66%, and the net margin increased 0.3 pct to 0.94%, which remained stable. As a leading kitchen food company, revenue is pressured by fluctuations in raw material costs in the short term, but product sales are still rising steadily, and they are using supply chain advantages to explore a new blue ocean for central chefs. They are optimistic that the decline in the company's channels will bring room for scale growth. As market demand picks up, performance is expected to recover further. Maintain a “buy” investment rating.