Baifu Holdings (01488.HK) Popularity Analysis: Coexistence of Policy Benefits and Financial Challenges

Baifu Holdings (01488.HK) is an enterprise operating well-known chain catering brands such as Xilaodao, Hegu Gu, and Meet Xiao Mian [2][3]. Although the company’s revenue in 2024 decreased by 22.3% year-on-year to RMB 4.742 billion, and the loss expanded to RMB 258 million [2], it became a hot stock in Hong Kong on December 30, 2025.
Since no direct catalyst news around that day was obtained [0], combined with the industry background, it is speculated that the popularity mainly stems from positive policy expectations. China’s Ministry of Finance announced on December 28, 2025 that it will implement more proactive fiscal policies in 2026, focusing on supporting consumption growth [11]. As an important part of the consumer sector, the chain catering industry may thus attract market attention, and Baifu Holdings may benefit from the overall popularity of the sector due to its brand layout.

1. Policy Transmission Effect
   : The signal of fiscal policy supporting consumption [11] has a lag effect on the catering industry, but the market often reacts to expectations in advance, which may be one of the core reasons for Baifu Holdings’ attention.
2. Brand Value Potential
   : Despite poor financial performance, multiple catering brands under Baifu Holdings still have certain market influence [3], and their brand value may be re-evaluated by the market under the expectation of industry recovery.

• Consumption recovery policies may drive the overall growth of the catering industry, and Baifu Holdings, as a chain catering enterprise, has the opportunity to share the industry dividends [11].
  
  Risks
  :
• Financial Pressure
  : In 2024, the company’s revenue declined and losses expanded [2], and its financial situation is facing challenges. Whether policy benefits can translate into actual performance improvement remains uncertain.
• Industry Competition
  : The chain catering industry is highly competitive, and the company’s brands need to face market squeeze from peers in the same category [3].
• Data Limitations
  : No specific event news about Baifu Holdings around December 30, 2025 was found, so there is uncertainty about the drivers of its popularity [0].

Baifu Holdings (01488.HK) becoming a hot stock may be related to consumption support policy expectations, but the company’s own financial performance is poor and industry competition is fierce. Investors need to pay attention to the company’s subsequent announcements and the specific implementation of policies, and carefully evaluate investment risks and opportunities.