NWF(SH:600975) EBSCN·2024-04-23 05:32Investment Rating - The report maintains a "Buy" rating for the company [4][18] Core Insights - The company has achieved a significant increase in pig slaughtering capacity, reaching an annual capacity of 2.05 million pigs by the end of 2023, with additional feed production capacity of 420,000 tons from new projects [2][17] - In 2023, the company reported a revenue of 5.632 billion yuan, a year-on-year increase of 14.19%, but incurred a net loss attributable to shareholders of 1.203 billion yuan, compared to a loss of 76 million yuan in the previous year [16][19] - The company experienced a 75% year-on-year increase in pig slaughtering, totaling 3.2007 million pigs, with a notable acceleration in the fourth quarter [17] Summary by Sections Financial Performance - Revenue for 2023 was 5.632 billion yuan, with a growth rate of 14.19% compared to the previous year [19] - The net profit attributable to shareholders was -1.203 billion yuan, reflecting a significant decline from the previous year's loss of 76 million yuan [19] - Earnings per share (EPS) for 2024 is projected at 0.12 yuan, with subsequent years showing improvements to 0.72 yuan in 2025 and 0.55 yuan in 2026 [18][19] Operational Highlights - The company has expanded its breeding capacity significantly, with 7 new sow farms and an increase of 51,600 sows, leading to a total of 209,900 breeding sows by the end of 2023 [17] - The operational strategy includes a focus on leasing and self-built projects to enhance production capacity [17] Market Outlook - The report anticipates a rebound in the pig farming sector in 2024, which is expected to enhance the company's performance [18] - The company has adjusted its profit forecasts for 2024 and 2025, reflecting a decrease in expected net profits due to ongoing cost challenges [18]