LIHUA(SZ:300761) Guolian Securities·2024-08-02 06:03Investment Rating - The investment rating for the company is "Accumulate" (maintained) [3]. Core Views - The company reported a significant improvement in performance due to the recovery of the breeding market, with a revenue of 7.805 billion yuan, representing a year-on-year increase of 12.16%, and a net profit attributable to shareholders of 575 million yuan, up 197.13% year-on-year [2][5]. - The company plans to distribute a cash dividend of 3 yuan (including tax) for every 10 shares to all shareholders [5]. - The chicken segment achieved a revenue of 6.794 billion yuan in the first half of 2024, a year-on-year increase of 10.81%, with a total chicken sales volume of 235 million birds, also up 10.69% year-on-year [5][6]. Summary by Sections Financial Performance - In H1 2024, the company's gross profit margin was 14.10%, an increase of 15.56 percentage points year-on-year, and the net profit margin was 7.34%, up 15.84 percentage points year-on-year [5]. - The company's total revenue for 2024 is projected to be 17.315 billion yuan, with year-on-year growth rates of 12.77%, 12.29%, and 9.02% for 2024, 2025, and 2026 respectively [6][7]. - The net profit attributable to shareholders is expected to be 1.109 billion yuan in 2024, with a staggering growth rate of 353.61% year-on-year [6][7]. Cost Management - The complete cost of chicken per kilogram was 6.1 yuan, a decrease of 13.48% compared to the same period last year, while the cost for second-hand waste chicken dropped to 5.9 yuan [5][6]. - The average selling price of commodity chickens was 13.21 yuan per kilogram, a slight increase of 0.23% year-on-year [5]. Market Outlook - The pig segment achieved a revenue of 895 million yuan in H1 2024, a year-on-year increase of 26.87%, with a sales volume of 434,900 pigs, up 18.83% year-on-year [6]. - The company has established a pig production capacity of approximately 1.8 million heads, with the annual pig output expected to exceed 1.2 million heads [6].