Gelonghui November 30 | According to a report published by CICC, China Wangwang's interim results are in line with market expectations. No dividends were paid in the medium term, mainly due to high interest rates on US dollar loans and the company's consideration of overseas capital use arrangements, and the company expects to pay final interest at the end of the fiscal year or at the end of the fiscal year. According to the report, there was a moderate recovery in revenue due to weak demand, and rice crackers and milk drinks performed better than snack foods. Cost pressure has abated, and improvements in gross margin have been realized. Channel and product diversification strategies continue to advance, and profit margins may continue to recover in the context of slowing costs. Considering weak demand, the bank lowered its profit forecasts for the 2023 and 2024 fiscal years by 3.1% and 3.3% to $3,744 billion and $4,093 billion respectively; accordingly, the target price was lowered by 6.5% to HK$5.8, maintaining the “outperform the industry” rating.