New Stock News | Fujian Wanchen Food Group (300972.SZ) has once again submitted documents to the Hong Kong Stock Exchange, becoming the second largest snack and beverage retailer in China.

According to the disclosure by the Hong Kong Stock Exchange on March 30th, Fujian Wanchen Food Group Co., Ltd. (300972.SZ), has once again submitted its listing application to the main board of the Hong Kong Stock Exchange, with CICC and CMSC International as its joint sponsors. Company Introduction According to the prospectus, the company is a large-scale and rapidly growing snack and beverage retailer, with a compound annual growth rate of 156.4% for GMV from 2023 to 2025. Based on data from Insight Consultancy, the company is the second largest snack and beverage retailer in China by GMV in 2025. The company's national brand, Good Come, ranks first in the list of retail brands for snack and beverage, and it was the first retailer in China to exceed 10,000 stores nationwide in 2024 for snack and beverage, while the second largest brand achieved this milestone in 2025. The company mainly operates its snack and beverage retail business through a franchising model. It also engages in the cultivation and sale of fresh edible mushrooms, supplying consumers nationwide. In 2025, 98.8% of the company's revenue came from the sale of snack and beverage, with 1.2% from the sale of mushroom products. The company primarily operates in bulk snack and beverage retail, providing a variety of snack and beverage products from multiple brands and categories at competitive prices through a streamlined and cost-effective supply chain. With this positioning, the company is committed to providing consumers with a diverse range of high-quality and cost-effective products through its scale advantage and efficient supply chain, offering a pleasant shopping experience. By the end of December 31, 2025, the company's store network reached 18,314 stores, covering 30 provinces, municipalities, and autonomous regions in China. The company has established a significant leading position in regions with strong consumer power like the Yangtze River Delta, as well as the four provinces of Shandong, Shanxi, Henan, and Hebei. According to Insight Consultancy data, in 2025, the Group held approximately 63% market share in the Yangtze River Delta and about 55% market share in the four provinces of Shandong, Shanxi, Henan, and Hebei, with GMV 2.3 times and 1.6 times that of their respective second largest competitors, becoming the largest bulk snack and beverage retailer. The company mainly expands its store network through a franchising model. In 2025, revenue from sales to franchise stores accounted for 98.0% of the company's total revenue. A loyal consumer base further consolidates the company's scale advantage. As of December 31, 2025, the company had approximately 190 million registered members, with over 144 million active members in 2025. In December 2025, the average monthly consumption frequency per active member was 3.0 times. The company's cost of sales includes the cost of purchasing snacks and beverages from suppliers. By streamlining the intermediate distribution levels and optimizing fulfillment efficiency, the company's supply chain operates efficiently. By the end of 2024 and December 31, 2025, approximately 94% and 96% of the products were purchased directly from brand manufacturers, and distributed through 48 national ambient warehouses and 9 cold chain warehouses. According to Insight Consultancy data, this model enables the company to offer similar products in large markets, supermarkets, and convenience stores at an average retail price 20-30% lower, while maintaining healthy profit margins for the company's franchise partners and the company itself. The company offers consumers a variety of high-quality and cost-effective products to meet their diverse and evolving needs. During the historical period, the company's product portfolio covered twelve core categories: bottled water and beverages, dairy products, meat snacks, puffed foods, baked goods, nuts and seeds, convenience meals, dried fruits and preserved fruits, candies, chocolates, vegetarian delicacies, jellies and puddings, and instant drinks. The company selects over 4,000 SKUs from a vast number of SKU, with each store typically having around 1,800-2,000 SKUs. In 2025, the company launched an average of about 220 new SKUs per month, while regularly replacing underperforming SKUs to maintain product freshness and operational efficiency through continuous optimization. Financial Information Revenue In 2023, 2024, and 2025, the company's revenue was approximately RMB 9.294 billion, RMB 32.329 billion, and RMB 51.459 billion respectively. Profit In 2023, 2024, and 2025, the company's annual profit and total comprehensive income were approximately - RMB 176 million, RMB 611 million, and RMB 2.427 billion respectively. Gross Margin In 2023, 2024, and 2025, the company's gross margin was 9.0%, 10.7%, and 12.2% respectively. Industry Overview By GMV calculation, the size of the Chinese food and beverage retail market increased from RMB 8,852 billion in 2020 to RMB 11,169 billion in 2025, with a compound annual growth rate of 4.8% from 2020 to 2025. With the continuous evolution of Chinese consumer demand and the constant innovation of various sub-categories and products, it is expected that by 2030, the market size will reach RMB 13,456.8 billion, with an expected compound annual growth rate of 3.8% from 2025 to 2030. By GMV calculation, the Chinese snack and beverage retail market increased from RMB 3,229.1 billion in 2020 to RMB 4,307.9 billion in 2025, with a compound annual growth rate of 5.9% from 2020 to 2025. With the increasing demand from consumers for diversified and affordable products, as well as the rise in high-frequency low-value consumption, and the continuous penetration and expansion of bulk snack and beverage retailing, the market is expected to reach RMB 5,585 billion by 2030, with an expected compound annual growth rate of 5.3% from 2025 to 2030. The Chinese snack and beverage retail market can be divided into the following categories based on sales channels: (i) hypermarkets, supermarkets and convenience stores, (ii) grocery stores (including family-run stores), (iii) e-commerce, (iv) specialty retailers, and (v) other channels. Among them, specialty retailers mainly focus on selling snack and beverage products, including bulk snack and beverage retailers, as well as other specialty retailers focused on selling single brand or category products. Compared to other traditional offline channels, bulk snack and beverage retailers can respond quickly to market changes, effectively meeting consumers' demand for affordable and diversified products through meticulous selection, excellent operations, and efficient supply chains. In the past five years, the bulk snack and beverage retail market in China has achieved rapid growth within the snack and beverage retail industry, with an annual compound growth rate of 81.5%. It is expected that in the next five years, as consumers' demand for diversified and affordable products deepens, the bulk snack and beverage retail market size will reach RMB 725.9 billion by 2030, with an expected compound annual growth rate of 27.7% from 2025 to 2030. From 2020 to 2025, by GMV calculation, the size of the bulk snack and beverage retail market in China increased from RMB 10.9 billion to RMB 214 billion. With the continuous rise in consumer demand for affordable products, the market is expected to continue to grow rapidly, reaching RMB 725.9 billion by 2030. Especially in second-tier and lower-tier cities, due to the continuous growth of disposable income and a large population base, their importance is increasingly prominent. However, compared to first-tier and new first-tier cities, these cities still lack comprehensive retail channels for snack and beverage procurement. This provides expansion opportunities for bulk snack and beverage retailers. In addition, consumers in these cities are usually more price-sensitive, making bulk snack and beverage retailing an attractive choice. This price sensitivity, combined with the growing purchasing power, indicates a huge potential for bulk snack and beverage retailers to seize market share by offering affordable high-quality product choices that cater to local preferences. Therefore, second-tier and lower-tier cities are the main battlefield for bulk snack and beverage retailing. Board of Directors Information After compilation, the board of directors will consist of nine directors, including three executive directors, two non-executive directors, and four independent non-executive directors. Directors serve a term of three years and are eligible for re-election at the end of their term. Equity Structure Mr. Wang Zening, Ms. Wang Liqing, Mr. Chen Wenzhu, Fujian Agricultural Development, and Zhangzhou Jin Wanchen collectively constitute one group of controlling shareholders of the company. Intermediary Team Joint Sponsors: China International Capital Corporation Hong Kong Securities Limited, CMSC (Hong Kong) Limited; Legal Advisors: Davis Polk & Wardwell, Guohao Law Firm (Beijing); Joint Sponsors and Legal Advisors for Compilation: Sim Morrison Law Firm, Beijing Deheng Law Firm; Reporting Accountant: Everest Gold Mazu Certified Public Accountants Limited; Industry Consultant: Insight Enterprise Management Consulting (Shanghai) Co., Ltd.; Biological Asset Valuer: APV International Consulting & Appraisal Limited; Data Compliance Legal Advisor: Guohao Law Firm (Beijing).