Three major mainland chain braised food brands specializing in duck neck, duck wings, and other cooked foods have faced operational pressures in the first half of this year. Jiaweishi Food saw a decrease in the number of operating stores by nearly 4,700 compared to the middle of 2024, with both revenue and net profit declining. Zhouheiya experienced an increase in sales volume but a decrease in profit. Huangshanghuang saw a reduction in revenue from fresh products.
According to reports from mainland China, Jiaweishi Food’s operating income in the first half of the year was 2.515 billion yuan, a 10.82% year-on-year decrease. The net profit attributable to the parent company was 135 million yuan, a decrease of 23.16%, with a 40.08% decrease in net profit after deducting non-recurring gains and losses.
The revenue from fresh products, which account for 73.62% of its main business income, was 1.819 billion yuan, a 13.89% decrease, with revenue from poultry products and vegetable products decreasing by 17.09% and 17.57% respectively. The net cash flow from operating activities also turned negative, from 484 million yuan in the same period of the previous year to negative 182 million yuan.
By the end of 2023, Jiaweishi Food had a total of 15,950 stores in mainland China, which decreased to 14,969 stores in the first half of 2024, a decrease of 981 stores. Since the 2024 annual report, the company no longer discloses specific store numbers.
Data from the third-party platform “Narrow Door Catering Eye” shows that as of April 11, 2026, Jiaweishi Food operated approximately 10,272 stores, a decrease of 4,697 stores compared to the number disclosed by the company at the end of June 2024, a decrease of over 30%.
In the first half of the year, Zhouheiya’s revenue was 1.461 billion yuan, a 19.5% year-on-year increase, with a total channel sales volume of 19,500 tons, a 35.2% increase. However, net profit decreased to 91.496 million yuan, a 15.2% year-on-year decrease, and the net profit margin dropped from 8.8% to 6.3%.
Its gross profit margin decreased from 58.6% to 54.7%, with sales and distribution expenses increasing by 24.9% year-on-year. Zhouheiya stated that the gross profit margin of new expanded channels is lower than that of store operations, and rising raw material costs and changes in channel structure also put pressure on profits.
Huangshanghuang’s overall operating income in the first half of the year was 1.226 billion yuan, a 24.53% year-on-year increase, and the net profit attributable to the parent company was 86.2593 million yuan, an increase of 12.14%. The growth in operating income mainly came from the acquisition of Fujian Lixing Food, with another subsidiary Zhenzhen Laolao also showing an increase in net profit compared to the same period last year.
However, its revenue from fresh products was only 510 million yuan, a 14.65% year-on-year decrease, with meat product sales volume at 8,357.77 tons, a decrease of 17.85%, and production volume down by 16.99%.
Consumer spending growth in mainland China remains low. Data from the National Bureau of Statistics of the CCP shows that in July, the total retail sales of consumer goods only increased by 0.6% year-on-year; in the first seven months of this year, among retail units above the quota, the retail sales of brand specialty stores decreased by 9.3%.
Chinese food industry analyst Zhu Danpeng previously stated that the braised food industry used to rely on demographic dividends, expansion of stores, and increased brand stickiness, but currently the overall cost performance of the products is inadequate. At a time when consumer willingness is weakening, consumers are more inclined to choose lower-priced alternatives or reduce such non-essential consumption.
The Red Meal Industry Research Institute’s “Braised Food Category Development Report 2025” shows that 42.7% of respondents can accept a single per capita consumption of 20 to 30 yuan for braised food; if the product price increases by more than 10%, 47.2% of respondents say they would reduce their purchases.