大北农：生猪养殖业务改善明显，种业布局持续推进

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company's pig farming business has shown significant improvement, while its seed business continues to expand [1] - In H1 2024, the company reported a revenue of 131.0 billion yuan, a year-on-year decline of 16.4%, with a net profit attributable to the parent company of -1.56 billion yuan, indicating a reduction in losses [1] - The feed business is under short-term pressure, but seed sales have grown rapidly, with seed product revenue reaching 300 million yuan, a year-on-year increase of 13.5% [1] Summary by Relevant Sections Financial Performance - In H1 2024, the company achieved a revenue of 63.9 billion yuan, a year-on-year decrease of 19.0%, and a net profit of 0.54 billion yuan, turning from loss to profit [1] - The feed segment's revenue was 92.26 billion yuan, down 20.5% year-on-year, primarily due to falling feed prices and a decrease in the number of breeding sows [1] - The gross margin for feed products improved by 0.56 percentage points to 12.7%, despite a decline in sales volume [1] Pig Farming Business - The pig farming segment reported a revenue of 26.54 billion yuan in H1 2024, a year-on-year decline of 3.5% [1] - The company’s pig output reached 284.82 million heads, a year-on-year increase of 2.5%, with a total pig inventory of 360.08 million heads, up 10.4% year-on-year [1] - The cost of raising fattening pigs has been optimized, with the total cost dropping to approximately 14.6 yuan per kilogram [1] Future Projections - The company is expected to achieve revenues of 356.23 billion yuan, 399.71 billion yuan, and 438.94 billion yuan for the years 2024, 2025, and 2026, respectively, with year-on-year growth rates of 6.7%, 12.2%, and 9.8% [1] - Corresponding net profits are projected to be 1.77 billion yuan, 7.84 billion yuan, and 10.24 billion yuan for the same years [1]