On Aug.21, Three Squirrels released half-year report which shows it realized total operating income of RMB5.252 billion, increasing 16.42% on year on year basis during the report period.

During the report period, the online platform flow is further dispersed, leading to lower flow of mainstream e-commerce channel and slower growth of online sales. The Company expanded e-commerce attraction through live streaming and short video by virtue of digital technology so as to gain customer acquisition cost while guaranteeing sales growth. Due to impact of epidemic, overall customer flow of offline outlets is reduced, and the Company slowed down new outlet opening speed. Thus, the driving force for revenue and profits during the report period did not reach expectation. Moreover, under epidemic, the business of the Company was affected by traffic factors, marketing expenses and fixed expenses amortization soared, affecting profits to certain degree.

At present, Three Squirrels built a snack food product system with nuts, dried fruits, baked food and meat products as core varieties. Through online platforms such as Tmall, JD and VIPSHOP, and offline channels of Feed Store and Franchised Stores, and ToB distribution channels such as Ling Shou Tong and Squirrel Smart Supply, it provides more than 600 products to consumers.