Muyuan Foods (SZ:002714) Chang Jiang Shang Bao·2025-08-25 00:36Core Viewpoint - The company, Muyuan Foods, has reported significant growth in its operating performance for the first half of 2025, driven by stable pig prices and reduced costs, leading to a substantial increase in revenue and net profit [1][3][5]. Financial Performance - In the first half of 2025, Muyuan Foods achieved approximately 765 billion yuan in revenue, a year-on-year increase of 34.46% [1][3]. - The net profit attributable to shareholders reached about 105 billion yuan, marking a nearly 12-fold increase compared to the previous year [1][3]. - The company sold 46.91 million pigs, including 38.39 million market pigs, during this period [1][5]. Cost Management - The complete breeding cost decreased from 13.1 yuan/kg at the beginning of the year to 12.1 yuan/kg by June, and further down to 11.8 yuan/kg in July [1][6]. - The company's comprehensive gross margin rose to 19.02%, an increase of 11.28 percentage points year-on-year [6]. Dividend and Share Buyback - Muyuan Foods plans to distribute approximately 50 billion yuan in dividends and has repurchased shares worth 11.1 billion yuan, totaling over 61 billion yuan in capital returned to shareholders [1][7][8]. - The proposed cash dividend is 9.32 yuan per 10 shares, which accounts for 47.50% of the net profit for the first half of 2025 [7][8]. Financial Position - As of June 30, 2025, the company's total liabilities were 1,045.20 billion yuan, down from 1,101.12 billion yuan at the end of 2024 [13]. - The company has set a target to reduce its overall debt by 10 billion yuan in 2025, having already achieved over half of this goal by reducing liabilities by 5.6 billion yuan in the first half of the year [2][12]. Future Outlook - Muyuan Foods is exploring international expansion and is planning an IPO in Hong Kong to support its global strategy and research investments [14].