We are a recognized provider of tea leaf products in China with a wide product coverage, covering all six major types of tea leaves in China and non-tea-leaf products such as tea ware and tea snacks. We ranked first in China in terms of sales revenue of premium tea leaves for 2024. We also ranked first in China among tea leaf providers in terms of the number of chained specialty stores for tea leaves as of December 31, 2024, and first in each of Oolong tea leaf (烏龍茶) market and black tea leaf (紅茶) market in terms of respective sales revenue for 2024. By 2024, we ranked first in China in terms of sales revenue of (i) Tieguanyin for over ten consecutive years; (ii) Wuyi Yan Cha for five consecutive years; and (iii) black tea for four consecutive years.
China’s premium tea leaf market has demonstrated a rapid growth trend in terms of sales revenue. China’s premium tea leaf market size in terms of sales revenue increased from approximately RMB89.0 billion for 2020 to approximately RMB103.1 billion for 2024, representing a CAGR of approximately 3.7%, and is expected to reach approximately RMB135.3 billion for 2029, representing a CAGR of approximately 5.6% from 2024 to 2029. Leveraging our advantages in brand equity, tea-production techniques, product development, scalable operations, channel management, cross-region expansion, supply chain management, digitalized sales platforms, and professional talents, we have been able to achieve the top ranking in China in terms of sales revenue of premium tea leaves.
The key indicators of our business and results of operations during the Track Record Period are set forth below:
‧ Number of offline stores: The number of our offline stores, including our self-operated stores and franchised stores, increased from 2,613 as of January 1, 2022 to 3,585 as of June 30, 2025, among which the number of franchised stores increased from 2,203 as of January 1, 2022 to 3,341 as of June 30, 2025.
‧ Revenue: Our revenue increased from RMB1,817.5 million for the year ended December 31, 2022 to RMB2,122.3 million for the year ended December 31, 2023, and further increased to RMB2,143.3 million for the year ended December 31, 2024. Our revenue decreased from RMB1,109.8 million for the six months ended June 30, 2024 to RMB1,063.2 million for the six months ended June 30, 2025. In particular, our revenue generated from online channels increased from RMB494.1 million for the year ended December 31, 2022 to RMB622.7 million for the year ended December 31, 2023, and further increased to RMB692.8 million for the year ended December 31, 2024. Our revenue generated from online channels decreased from RMB385.5 million for the six months ended June 30, 2024 to RMB375.9 million for the six months ended June 30, 2025.
‧ Net profit: Our profit and total comprehensive income increased from RMB165.8 million for the year ended December 31, 2022 to RMB205.7 million for the year ended December 31, 2023, and further increased to RMB224.2 million for the year ended December 31, 2024. Our profit and total comprehensive income decreased from RMB146.0 million for the six months ended June 30, 2024 to RMB120.0 million for the six months ended June 30, 2025. Our net profit margin increased from 9.1% for the year ended December 31, 2022 to 9.7% for the year ended December 31, 2023, and further increased to 10.5% for the year ended December 31, 2024. Our net profit margin decreased from 13.2% for the six months ended June 30, 2024 to 11.3% for the six months ended June 30, 2025.
OUR BRANDS AND PRODUCTS
During the Track Record Period and as of the Latest Practicable Date, our product portfolio primarily consists of (i) tea leaf products, which primarily include Oolong tea, black tea, dark tea, white tea and green tea; (ii) tea ware, which primarily includes teapots, teacups and other utensils for making tea; and (iii) tea snacks, which mainly includes nuts, dried fruit and dried meat. During the Track Record Period and as of the Latest Practicable Date, we also offered other tea leaf products such as yellow tea, tea combination set (組合茶), blended tea (拼配茶) and reprocessed tea (再加工茶), and other non-tea-leaf products such as tea beverages, incense sticks (線香) and tea toys (茶寵).
Our core brand, Bama (八馬), covers a full-range of tea leaf products including all six major types of tea leaves in China. Our Xinjihao (信記號) sub-brand focuses on offering premium aged Pu’er tea (高端年份普洱茶) and our Wanshanhong (萬山紅) sub-brand focuses on offering products that cater to young consumers and female consumers looking for diverse flavors with high quality and affordable pricing. Our Bama brand has been recognized as a “Well-known Trademark of the PRC” (中國馳名商標) since 2010 by the Trademark Office of the State Administration for Industry and Commerce of the PRC (中國國家工商行政管理總局 商標局), and our Xinjihao sub-brand has been recognized as a China Time-honored Brand (中 華老字號) since 2024 by MOFCOM, the Ministry of Culture and Tourism, State Administration for Market Regulation, China National Intellectual Property Administration and National Cultural Heritage Administration.
Source: Bama Tea (06980) Prospectus (IPO Date : 2025/10/20) |