NWF(SH:600975) 2 1 Shi Ji Jing Ji Bao Dao·2026-01-20 23:09Core Viewpoint - New Five Feng (600975) is experiencing a significant increase in losses, with a projected net profit of -700 million to -960 million yuan for Q4 2025, marking a shift from profit to loss compared to the same period last year [1] Financial Performance - The company's Q4 losses reached 780 million yuan, a substantial increase from a loss of 58 million yuan in Q3 2025 [2] - The decline in pig prices and the company's accounting practices contributed to the losses, with pig prices dropping significantly compared to the previous year [2][3] - New Five Feng's pig sales volume increased to 1.867 million heads in Q4 2025, a 66.4% increase from 1.1222 million heads in Q3 2025, exacerbating the losses [6] Industry Context - The overall industry is facing a downturn, with other companies like Muyuan Foods (002714) and Wens Foodstuff Group (300498) also reporting minimal profits or breakeven in Q4 2025 [2][8] - The domestic pig price trend showed a significant drop, with prices falling from over 14 yuan/kg in the first half of 2025 to as low as 10.9 yuan/kg by mid-October [3][11] - New Five Feng's cost structure is not competitive, with estimated breeding costs between 14.7 and 15.3 yuan/kg, leading to further financial strain [4] Accounting Adjustments - The company has made necessary accounting adjustments due to falling pig prices, including provisions for inventory impairment on biological assets [7] - The impact of these adjustments, along with the operational losses, will be clarified in the upcoming annual report [7] Long-term Outlook - The year 2025 is projected to be a low point for the pig farming industry, with overall profitability expected to be slightly better than in 2023 [12] - The concentration of losses in Q4 2025 is expected to be more severe compared to the average losses seen in 2023 [13]