The main business of condiments drags down, JONJEE's Q3 revenue decreased by 22.8% year-on-year, and net profit plummeted by 45.7% | Financial Report Insights

The leading condiment company JONJEE in the A-share market is facing a significant decline in performance: due to a decrease in sales revenue from its core condiment business and increased expenses, the company's net profit in the third quarter nearly halved, highlighting the severe challenges it faces in the current market environment. JONJEE disclosed its third-quarter report for 2025 on the evening of October 24. Key points are as follows: Revenue: The revenue for the third quarter was 1.025 billion yuan, a year-on-year decrease of 22.84%; the revenue for the first three quarters was 3.156 billion yuan, a year-on-year decrease of 20.01%. Net Profit: The net profit attributable to shareholders of the listed company for the single quarter was 123 million yuan, a year-on-year decrease of 45.66%, while the net profit for the first three quarters was 380 million yuan, a year-on-year decrease of 34.07%. Core Business Progress: The revenue of Meiwai Xian for the first three quarters was 3.107 billion yuan, a year-on-year decrease of 18.40%. The company explained that this was due to actively promoting inventory optimization among distributors and solidifying the market foundation. Cash Flow: The net cash flow from operating activities was 516 million yuan, a year-on-year decrease of 43.52%, mainly affected by the decline in sales collections alongside the decrease in revenue. Core Business Under Pressure The financial report attributes the decline in performance primarily to the sales drop of its core subsidiary Meiwai Xian. Data shows that Meiwai Xian's revenue for the first three quarters was 3.107 billion yuan, a year-on-year decrease of 18.40%. The key "expectation gap" here lies in the company's explanation—"insisting on promoting inventory optimization among distributors and solidifying the market foundation system." However, while actively contracting on the revenue side, the company's expenses have been rapidly expanding. The financial report shows that sales expenses for the first three quarters reached 436 million yuan, compared to 366 million yuan in the same period last year, with a year-on-year increase of nearly 20%, severely squeezing profit margins. The financial report indicates that for the first three quarters of 2024, the company's sales expense ratio (sales expenses/revenue) was approximately 9.3%, while by the same period in 2025, this ratio soared to 13.8%