"Ruyu" dividend release, BUTONG GROUP (06090) is expected to usher in a new round of bullish market.

On February 13, Hang Seng Index Company announced the quarterly review results, BUTONG GROUP (06090) was included in the Hang Seng Composite Index, making it a target for investment through the Stock Connect scheme. This change will officially take effect on March 9, 2026. For BUTONG GROUP, being included in the Stock Connect scheme is more than just being added to a list; it is an official certification of its fundamentals, liquidity, and governance quality by the capital market. Being included in Stock Connect means the company officially enters the view of southbound funds, opens up a trading channel for mainland investors, and is expected to increase retail participation and overall trading activity, significantly improving liquidity. Additionally, on the day when the Hang Seng Index adjustment takes effect, ETFs tracking the relevant index will passively rebalance, gradually forming a relatively stable buy demand, injecting sufficient momentum into the company's valuation center. In the current rational consumer market and increasingly competitive segmented racing track, BUTONG GROUP has not only achieved remarkable performance growth but also differentiated itself with its positioning as a "high-end family and children's lifestyle brand." With the liquidity boost from being included in Stock Connect, this leading player in the segmented racing track is expected to undergo a new round of value reassessment. With high-end quality and hardcore technology, how does BUTONG GROUP become the "heart choice" for the new generation parents? In a macro environment filled with challenges, BUTONG GROUP has still delivered impressive performance. From 2022 to 2024, the company's revenue jumped from 507 million RMB to 1.249 billion RMB, with a high compound annual growth rate of 56.9%; the compound annual growth rate of adjusted net profit reached an astonishing 236.8%, fully verifying the sustainability of its business model. Behind the rapid growth is BUTONG GROUP's deep insight into its core users. BUTONG GROUP defines itself as a technology company centered around "family life" scenes, accurately targeting the "family CFO" in the new generation families: the 90s and 95s parents who not only are the household purchasers but also the planners of life quality and decision-makers of family aesthetics. Unlike the previous generation of consumers who pursued "functionality first" and "durable products," the new generation parents not only seek parenting professionalism but also value the experience of "enjoying themselves"; they care about product quality and are enthusiastic about experiencing technological products. BUTONG GROUP keenly captures the changing demands of this generation and upholds the value proposition of "creating difference," focusing on enhancing product power around "high quality, high aesthetics, high technology." Since its establishment, the company's high-end mother and baby brand BeBeBus has successively created a range of popular products such as baby strollers, intelligent children's car seats, baby beds, and baby dining chairs. It is understood that as of June 30, 2025, the group has accumulated 200 domestic registered patents and 17 international registered patents, establishing a full-chain intellectual property system covering material technology, structural design, and smart sensing, providing strong endorsement for its "hardcore technology" attribute. In addition to its unique brand value, the company's outstanding performance is also attributed to its efficient channel network and highly sticky user assets. In terms of channel structure, although online revenue still dominates, the offline growth rate (+30%) in the first half of 2025 has begun to surpass the online growth rate (+23%), showing a healthy trend of balanced development of both online and offline. In the online sector, BeBeBus maintains high growth in traditional shelf e-commerce platforms (Tmall, JD.com) and interest-based e-commerce platforms (Douyin), and its GMV for the first 11 months of 2025 has surpassed the full-year 2024 GMV; the number of third-party stores operated by distributors and KA clients has surged from 742 at the end of 2022 to 3,400 at the end of June 2025, and experience stores have been set up in Ningbo, Hong Kong, and other places, significantly increasing offline penetration. With channel expansion, the company's member base has also rapidly increased, with online platform members exceeding 2 million as of September 30, 2024, and accumulating private domain members reaching 3.5 million people as of June 30, 2025. It is worth noting that the company's private domain repurchase rate has increased from 45.7% in 2022 to 47.5% in 2023, further rising to 53.6% in the first three quarters of 2024. The improvement in user stickiness is mainly due to the company's effective "product + service" integrated solution: on the one hand, the company provides 24-hour parenting consultant services, allowing a professional team to provide real-time answers to parenting issues, upgrading the simple buying and selling relationship to a long-term trust relationship; on the other hand, the company collaborates with users to create and promote new products, digging into parenting pain points and radiating potential user groups through influencer co-creation and new product testing, successfully building a positive growth flywheel of "demand insight - product optimization - user propagation." At the same time, the company's globalization strategy is steadily advancing, actively expanding to international markets such as Europe, North America, Japan, and South Korea. Since 2024, the company has successively established BeBeBus USA and BeBeBus Korea, appeared with a full range of products at one of the largest and most important infant and child products exhibitions in Cologne, Germany, and reached deep cooperation with the South Korean infant and child brand SonoKong and other brands, actively establishing overseas business departments, introducing global research and market talent, creating a localized brand ecosystem, and providing strong support for the group's overseas deployment. Overall, BUTONG GROUP has used its performance to prove its self-generating ability, its differentiated strategy to build competitive advantages, and a deeply engaging user base of high repurchase rates and stickiness that enhances its brand moat. Looking towards the future, BUTONG GROUP will continue to focus on "family life" as its core, build broader and more diversified parent-child life scenes, and gradually move towards becoming a "global elite family technology lifestyle company." This inclusion in the Stock Connect scheme will inject new energy into its subsequent product iterations, channel expansion, and global deployment, helping the company accelerate the start of a new growth cycle and open up long-term growth prospects.