Aonong Group(603363)2024-04-29 13:47Financial Performance - The company's operating revenue for Q1 2024 was CNY 2,407,845,116.90, representing a decrease of 50.02% compared to the same period last year[5]. - The net profit attributable to shareholders was a loss of CNY 292,019,915.86, with a significant impact from low pig prices and idle breeding facilities[5][8]. - The diluted earnings per share for the period was -CNY 0.34, reflecting a substantial decline in profitability[6][8]. - The company reported a significant reduction in pig sales and feed sales, contributing to the overall decline in revenue[8]. - The net profit attributable to shareholders was a loss of CNY 29,201.99 million in the same period[12]. - The primary reason for the loss was the low prices of live pigs and the optimization of inefficient breeding units, leading to closures and associated costs[12]. - The company reported a net loss of CNY 5,915,893,879.65 in Q1 2024, worsening from a loss of CNY 5,623,873,963.79 in Q1 2023[20]. - The company's net profit for Q1 2024 was -372,743,346.37 CNY, compared to -250,464,569.13 CNY in Q1 2023, representing a decline of approximately 48.8%[24]. - The company reported a total comprehensive loss of -372,779,069.90 CNY in Q1 2024, compared to -250,821,928.97 CNY in Q1 2023, reflecting an increase in losses of about 48.6%[25]. - The basic earnings per share for Q1 2024 was -0.34 CNY, compared to -0.21 CNY in Q1 2023, indicating a worsening performance[25]. Cash Flow and Liquidity - The net cash flow from operating activities was negative CNY 28,696,382.95, down 111.36% year-on-year, primarily due to decreased sales in feed and food segments[5][8]. - Operating cash flow for Q1 2024 was -28,696,382.95 CNY, a significant decrease from 252,705,770.68 CNY in Q1 2023[27]. - Cash and cash equivalents at the end of Q1 2024 were 144,182,514.25 CNY, down from 396,770,516.87 CNY at the end of Q1 2023, a decrease of approximately 63.7%[28]. - The total cash outflow from operating activities in Q1 2024 was 2,353,957,896.84 CNY, compared to 4,655,057,232.12 CNY in Q1 2023, showing a reduction of about 49.6%[27]. - Investment activities generated a net cash inflow of 60,620,390.18 CNY in Q1 2024, contrasting with a net cash outflow of -190,643,786.85 CNY in Q1 2023[28]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 12,599,649,513.69, a decrease of 7.53% from the end of the previous year[6]. - Total liabilities amounted to CNY 13,461,999,084.53 in Q1 2024, down from CNY 14,128,429,997.37 in Q1 2023, representing a decrease of 4.71%[19]. - The company's total equity showed a decline, with a total of CNY -862,349,570.84 in Q1 2024 compared to CNY -503,216,506.72 in Q1 2023[20]. - Inventory decreased to CNY 992,625,221.01 in Q1 2024 from CNY 1,328,135,336.11 in Q1 2023, a reduction of 25.29%[18]. - Long-term equity investments fell to CNY 141,599,694.91 in Q1 2024 from CNY 249,153,592.85 in Q1 2023, a decrease of 43.12%[18]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 96,571[10]. - The largest shareholder, Zhangzhou Aonong Investment Co., Ltd., held 30.58% of the shares, with a total of 266,173,069 shares[10]. Business Strategy and Restructuring - The company is undergoing a pre-restructuring process initiated in February 2024 due to three years of losses and liquidity issues[16]. - The restructuring aims to enhance liquidity, improve asset quality, and focus on business restructuring to recover operational performance[16]. - The company plans to integrate resources around a "feed as the main body, breeding and food as two wings" strategy[13]. - The company aims to optimize its core business chain of feed, pig farming, and food to enhance market competitiveness[15]. - The cyclical nature of the pig farming industry significantly impacts the company's overall performance, with market price fluctuations posing risks[15]. Revenue and Cost Analysis - Total revenue for Q1 2024 was CNY 2,407,845,116.90, a decrease of 50.05% compared to CNY 4,817,861,444.34 in Q1 2023[23]. - Total operating costs for Q1 2024 were CNY 2,857,161,795.48, down 44.41% from CNY 5,132,874,635.39 in Q1 2023[23]. - Total revenue from sales and services in Q1 2024 was 2,238,551,004.30 CNY, down from 4,812,041,400.28 CNY in Q1 2023, indicating a decline of about 53.5%[26]. - The feed business maintained a gross margin of 5.43%, an increase of 0.04 percentage points compared to Q1 2023[12]. - Research and development expenses decreased to 14,555,686.01 CNY in Q1 2024 from 47,317,920.67 CNY in Q1 2023, a reduction of approximately 69.1%[24]. - The company incurred financial expenses of 110,030,995.61 CNY in Q1 2024, slightly down from 123,474,106.79 CNY in Q1 2023[24].