JOYVIO FOOD(SZ:300268) Xin Lang Cai Jing·2026-01-07 02:29Core Viewpoint - Jiawo Food announced the termination of the KB Food asset injection due to the inability to meet conditions for acquisition after divesting its loss-making salmon assets, leading to a negative net asset situation and a delisting risk warning for 2024 [1][4][10]. Group 1: Asset Injection and Financial Status - The asset injection of KB Food was deemed unfeasible, marking the failure of a long-planned project [2][11]. - Jiawo Food's high debt and tight cash flow prevented it from acquiring KB Food through cash means [2][12]. - The company extended the commitment from its controlling shareholder to December 31, 2025, to address competitive issues [2][12]. Group 2: Salmon Business and Financial Losses - The outbreak of the Russia-Ukraine conflict in early 2022 accelerated the rise in commodity prices, particularly for salmon feed, leading to increased costs and significant losses for Jiawo Food in 2022 and 2023 [3][12]. - The company faced a debt ratio of approximately 100% since 2022, with financial expenses rising to 439 million yuan in 2023 [3][12]. - The divestment of the salmon business significantly improved Jiawo Food's financial metrics, reducing the debt ratio from 104.92% to 12.56% and turning net assets positive [4][13]. Group 3: Future Business Outlook - Following the divestment, Jiawo Food's main business shifted to processing and selling products like cod and northern shrimp, with salmon revenue previously accounting for about 74% of total revenue [7][14]. - The company's revenue for 2024 is projected to shrink to 901 million yuan, with ongoing losses reported in the third quarter [7][14]. - The profitability of the new main products remains uncertain, as they have historically low margins and are subject to market demand fluctuations [7][14]. Group 4: Financial Pressure and Dependency - In the first three quarters of 2025, Jiawo Food reported a net cash outflow of 604 million yuan, with only 20.25 million yuan in cash on hand against current liabilities of 57.39 million yuan [8][15]. - The company has relied heavily on its major shareholder for financial support, including debt waivers and guarantees, to manage its liquidity issues [8][16]. - In 2023, Jiawo Food was warned of delisting due to negative net assets, with its parent company waiving approximately 1.8 billion yuan in debt to help stabilize the situation [8][16].