Three Squirrels Inc.
三只松鼠
300783
Shenzhen Stock Exchange
Company Profile
1.Nationwide brand influence Three Squirrels have built a nationwide brand awareness through e-commerce. With the IP based brand as the starting point, the company has derived a series of interesting peripherals, "Three Squirrels", "Three Squirrels in China" and other popular science and intelligence series cartoons, Tiktok short video content matrix, Squirrel Town and other diversified ecosystems, which continue to output content, tell good Chinese stories, transmit companion values, and constantly give the brand new vitality. Among them, the company's production and distribution of long/short videos and animated films have accumulated over 15 billion views on the internet, covering over 600 million viewers. During the television broadcast, the ratings have repeatedly ranked first on CCTV Children's and Satellite TV, and have won multiple awards such as the first prize in the Yangtze River Delta Youth Animation Innovation and Creativity Competition, a national copyright demonstration unit, and the gold medal in the 7th Anhui Animation Competition. In 2023, three squirrels were selected for the Top Brand 2023 Top 500 Chinese Brands and ranked first on the Top 10 Most Popular Spring Festival Nut Gift Box Brands in China in 2023. In addition, the company has won the title of "CCTV · Leading Brand of Ingenious Nuts" of China National Radio and Television Corporation, the 2023 Responsible Brand of China Philanthropist, the 2023 Public Welfare Project Award for Consumer Reports, the 2023 Top 100 List of China-Chic New Food Forces, the 2023 Weibo ESG and Sustainable Development Forum, the Top 100 List of Brand Value Influence, and many other honors. 2.Terminal reach capability with omni channel coverage The three squirrels covered Taobao, Jingdong, Tiktok, Pinduoduo, Vipshop and other platforms online, and covered large supermarkets, convenience stores, community snack stores and other channels offline, building an online and offline omni channel sales system, so that consumers could be reached in a whole scene and more conveniently. As of now, Three Squirrels has served over 170 million consumers, with over 45 million followers in Taobao stores and over 80 million followers in JD.com stores. They rank first in the snack category and lead the fan list in the snack food industry. At the same time as the omnichannel layout, the company's "high-end cost-effectiveness" strategy has promoted the integration and restructuring of all elements of the supply chain, coupled with the great improvement of operational efficiency under the "product sales collaboration", achieving industry-leading performance in various channels. The company has consistently ranked first in the snack category sales of mainstream e-commerce channels in China for many years, and has maintained the top spot in the snack category sales for many years on Double Eleven. 3.Depth capability of the full category supply chain based on core single items of nuts and snacks With the advantage of scale, the company has the ability to deepen its nut and snack industry chain. At present, the company has independently built four core nut category demonstration factories, namely Daily Nut, Summer Magnolia Fruit, Bigen Fruit, and Pistachio, and has officially put them into operation, promoting further improvement of product competitiveness. The Daily Nut Factory adopts a 300000 level clean workshop, equipped with 36 sets of fully automated production line equipment, to create a high standard daily nut production factory in the industry. It is a comprehensive factory that integrates production and delivery. The production lines of summer magnolia fruit, blue root fruit, and pistachio adopt industry-leading production equipment, with the ability to deeply process the entire chain from screening, killing, flavoring to packaging, effectively improving product competitiveness. In the future, the company will continue to firmly adhere to the "high-end cost-effectiveness" strategy, leverage its own factory scale and technological advantages, actively layout and establish direct procurement cooperation with international and domestic nut production areas and raw material suppliers, and further enhance product strength through technological upgrades in equipment, processes, research and development, and strategic procurement models. At the same time, the company will leverage its in-depth experience in the nut category and innovate cooperation models to enter the core supply chain of the entire category, significantly improving the supply chain and product competitiveness barriers, and establishing a strong single product fundamentals. 4.Industry leading R&D and innovation capabilities The company has long attached great importance to research and development innovation, established a food industry research institute, and has the first Chinese light industry engineering technology research center in the nut stir fry industry. It also has high-level research platforms such as the Anhui Provincial Enterprise Technology Center and Anhui Provincial Engineering Research Center. Its research and development covers an area of nearly 5200 square meters, with 12 food research and testing rooms, more than 350 equipment, and a total asset of about 35 million yuan. The company has a technical team of 200 people composed of academicians, PhDs, masters and other talents, including 1 science and technology innovation and entrepreneurship talent from the Ministry of Science and Technology, 2 provincial-level technical leaders, more than 20 senior and intermediate professional titles, and more than 20 domestic and foreign technical consultants. By deepening the industry university research mechanism and establishing extensive cooperation with 15 domestic and foreign advantageous universities such as Jiangnan University and Hefei University of Technology, in-depth research and industrial application have been conducted in nut oil oxidation control, preservation of sauce braised meat products, development and application of fermentation strains for leisure food, among which the processing technology and industrial technology of leisure fermented meat products, and the processing technology of daily nut series products have reached the international advanced level. The company has successfully applied for Anhui Province's joint construction of a key discipline laboratory, undertaking 4 national key research and development projects and sub projects during the 13th and 14th Five Year Plans, as well as 4 provincial-level projects such as Anhui Province's key research and development plan projects, and 4 science and technology plan projects in Wuhu City. It has won 1 Product Innovation Award from the China Society of Food Science and Technology and 1 Science and Technology Innovation Award from the 6th Food Science and Technology Innovation Forum, significantly enhancing the company's technological influence. 5、Quality control capability covering the entire chain The company continues to upgrade its quality management system, running through the construction of both the quality management system and food safety management system, promoting a dual system and dual cycle development model, and gradually introducing comprehensive quality management. The Quality Testing Center has successfully passed the certification of three systems: Quality (ISO9001), Environment (ISO14001), and Occupational Health (ISO45001). Take the lead in collaborating with well-known professional third-party organizations both domestically and internationally to carry out quality system and audit capacity building, and improve the entry threshold for suppliers.
Full description
The Company firmly implements the overall strategy of "high-end cost performance", based on long-term sustainable high-quality growth, and comprehensively initiates three major structural changes of "business, supply chain and organization" during the reporting period: focusing on offline distribution and store layout in terms of business, comprehensively improving pallets, and introducing a new business philosophy; In terms of supply chain, based on the "one product and one chain", the intensive supply chain base in the north and southwest has been launched, and the planning of "Wuhu Healthy Snack Industrial Park" has been launched; In terms of organization, it released a small and beautiful business entity "product and sales integration" network organization, and firmly moved towards "returning to 10 billion". In the first three quarters of 2024, the company's operating income of 7.169 billion yuan, an increase of 56.46% year-on-year; net profit of 341 million yuan, an increase of 101.15% year-on-year; deducted net profit of 267 million yuan, an increase of 211.55% year on year. 1. Further consolidate the "D+N" omni-channel collaborative play, and achieve high-quality growth in all channels Relying on the "D+N" omni-channel collaboration system, short video e-commerce is positioned as a "new category engine", and actively creates a variety of popular products such as dried mango, buffalo milk mille-feuille toast, quail eggs, and spicy marinated gift packs, achieving an increase of nearly 1 billion, and effectively undertaking it in shelf e-commerce, driving the steady growth of integrated e-commerce. For the offline distribution and store business, we have comprehensively carried out organizational and product adaptation and reshaping to reserve medium and long-term growth momentum, and took the lead in focusing on the creation of regional distribution daily sales products, focusing on roasted goods and snack categories, and creating more than 100 daily sales exclusive supply plates suitable for offline scene price bands, which have been officially introduced into the terminal market. At the same time, it has cooperated with Mingming is very busy, snack selection, good sale and other mass merchandiser discount systems. 2. Promote the continuous innovation and upgrading of the "one product and one chain" supply chain to make products more competitive Promote the layout of the national supply chain intensive base, land in the Wuqing North District of Tianjin and the southwest supply chain intensive base of Jianyang, Sichuan, and launch the "Wuhu Healthy Snack Industrial Park" plan, while consolidating the advantages of deep processing of nuts, officially enter the snack supply chain, achieve total cost leadership, and further activate the potential of omni-channel business. At the same time, in order to deepen the global supply chain system, the company innovates the industrial investment model, plans to establish a source factory in Southeast Asia to connect with the global supply chain resources, and truly introduce the "high-end cost-effective" global good products into the Chinese market. 3. Promote organizational reform and comprehensively rebuild the "integration of product and sales" network-based organization Adapting to the full implementation of the "high-end cost-effective" strategy, actively promoting organizational reform, and fully activating the organizational potential and forming a new organizational vitality through the collaborative organizational concept of "integration of quality and sales". Build a consumer-centric, market-oriented, channel-driven, and highly coordinated internal and external small and beautiful business entity "product and sales integration" network organization, so as to more effectively face the "full category, all channels" dynamic market, continue to deliver high-end cost-effective products, and finally achieve "let the organization obey the market, let the goods go directly to the terminal, let the results be online at any time, and maximize the individual value". 4. Firmly position the new position of "high-end healthy snacks for children", and made profits for three consecutive quarters Dear Blue upgraded the new positioning of "children's high-end healthy snacks", created tens of millions of popular products such as baby standard noodles, cod intestines, hawthorn sticks, calcium and zinc drinks, and launched million-level high-end health products such as 0 sucrose lollipops, real shrimp chips, pear juice, etc., to achieve double-digit growth in revenue. Through the "integration of product and sales" new organization, the company has carried out refined operations, focused on large-scale single product launch and omni-channel penetration, accelerated the transformation from strategic losses to sustainable profits, and has achieved good profitability for four consecutive quarters.