地产业务对冲养殖板块亏损，养猪成本下降显著

Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance relative to the market [3][7]. Core Insights - The company's real estate business has offset significant losses in its pig farming segment, with a notable decrease in breeding costs [1]. - In Q1 2024, the company reported a revenue of 1.258 billion, a year-on-year decline of 81.12%, and a net profit attributable to shareholders of 54.125 million, down 95.56% year-on-year [1]. - The pig farming segment generated revenue of 679 million, a year-on-year increase of approximately 13.8%, with a total of 460,400 pigs sold, reflecting an 11.56% increase [1]. - The average selling price of pigs decreased by 6.2% to 13.76 yuan/kg, while the breeding cost was approximately 14.4 yuan/kg, leading to a loss of 38.95 million in the breeding business [1]. - The real estate segment contributed significantly to profits, with revenue of 399 million and a net profit of 109 million in Q1 2024 [1]. - The company's debt-to-asset ratio improved to 66% by the end of Q1 2024, a decrease of 2 percentage points from the previous year [1]. Financial Forecast and Metrics - The company plans to increase its pig output to 2.8 million heads in 2024, expecting improved profitability in the second half of the year due to declining breeding costs [1]. - Projected net profits for 2024-2026 are 890 million, 1.157 billion, and 687 million respectively, with corresponding EPS of 1.68 yuan, 2.18 yuan, and 1.30 yuan [1][20]. - The company’s financial metrics indicate a P/E ratio of 4.81 and a P/B ratio of 2.21, suggesting potential undervaluation [4][20].