Zhitong Finance App News, Yiming Food (605179.SH) issued an announcement of abnormal stock trading fluctuations, stating that the company is mainly engaged in R&D, production, sales and chain operation of fresh dairy products and baked goods. In the production, processing, packaging, and transportation of the company's dairy and baked goods, control accidents such as negligence in personnel operation, transportation and storage errors, and procurement of defective products may occur, which in turn have a significant adverse impact on the company's brand reputation, public image and business performance.
The company's current business model is mainly based on store retail. Competition in the same industry is fierce. Fixed operating costs such as store rent and manpower are highly rigid, and changes in store traffic, store floor efficiency, and daily operation management levels will influence store profit performance; the company's existing store business area is concentrated, and business revenue is highly dependent on existing deeply cultivated areas. Fluctuations in the regional market environment will directly affect the overall business scale. Failure to expand across regions will limit long-term growth.
The main raw materials required by the company for production are raw milk, various packaging materials, flour, sugar and other excipients. Large fluctuations in the market price of the main raw materials may have a certain impact on the gross margin level of the product, which in turn affects the company's operating performance.