Haixin Foods (SZ:002702) Nan Fang Du Shi Bao·2025-04-29 03:53Core Viewpoint - Haixin Food's annual report for 2024 shows a slight decline in revenue and a significant increase in net loss, indicating challenges in its core frozen fish and meat product business while experiencing growth in the prepared dishes segment [1][8]. Revenue Performance - In 2024, Haixin Food achieved a total revenue of 1.706 billion yuan, a year-on-year decrease of 0.54% [1]. - The revenue from frozen fish and meat products declined by 18.17%, significantly impacting overall performance [1][6]. - Conversely, revenue from prepared dishes surged by 61.11%, reaching 482 million yuan, providing some support to overall revenue stability [1][8]. Business Trends - The revenue from the core frozen fish and meat product segment has been on a downward trend for five consecutive years, with figures dropping from 1.435 billion yuan in 2020 to 1.051 billion yuan in 2024 [6][7]. - The proportion of revenue from this segment has decreased from around 90% to approximately 60% of total revenue [7]. Capacity Expansion and Challenges - A new factory in Lianjiang with an annual production capacity of 100,000 tons for frozen fish products was completed and put into operation in July 2024, despite the ongoing decline in sales volume [7]. - The company had previously expanded capacity in response to strong performance in 2019, but has since faced a prolonged contraction in this business segment [7][9]. Financial Performance - The company reported a net loss of 43 million yuan for 2024, with the loss margin increasing by 266.05% year-on-year [1]. - Financial pressures are evident, with a 43.68% decrease in cash reserves to 156 million yuan by the end of 2024, alongside rising short-term borrowings [10][11]. Strategic Focus - In response to ongoing challenges, Haixin Food's 2025 operational strategy emphasizes "profit prioritization" through cost control, efficiency improvements, and brand building [11].