Core Viewpoint - The price of Wei Long's spicy strips has surpassed that of pork, raising public concern about the increasing cost of the product amid declining sales and production capacity utilization [1][2]. Financial Performance - In 2023, Wei Long reported revenue of 4.872 billion RMB, a year-on-year increase of 5.2%, and a net profit of 880 million RMB, which represents a significant growth of 481.9% [1]. - The gross profit for the year was 1.96 billion RMB, with a gross margin of 47.7%, up 5.4 percentage points from the previous year [1][6]. - The increase in revenue was attributed to new sales channels, while the decline in traditional channels partially offset this growth [1]. Product Pricing and Sales - The average selling price of Wei Long's spicy strips rose from 18.1 RMB/kg in 2022 to 20.5 RMB/kg in 2023, making it more expensive than pork, which averaged 20.46 RMB/kg [2][7]. - The sales volume of spicy strips decreased by 17.4% to 124,427.2 tons, equating to a drop of 26,100 tons [6][8]. Market Challenges - Several brokerage firms have downgraded their profit forecasts for Wei Long due to weak demand for spicy strips, with estimates for 2024 and 2025 net profits reduced by 10% and 6%, respectively [3][4]. - The company's production capacity utilization for spicy strips fell to 48.3% in 2023 from 57.1% in 2022, indicating underutilization of resources [8][9]. Strategic Positioning - Wei Long has been removed from the Hong Kong Stock Connect list, which may impact its liquidity and investor confidence [1][4]. - The company is focusing on diversifying its product offerings, with vegetable products seeing a revenue increase of 25.1% in 2023, now accounting for 43.5% of total revenue [5][6].
卫龙辣条收入、销量、产能利用率均下滑，遭多家券商下调盈利预测