Group 1: Report Overview - The report is a daily report on the hog market dated October 28, 2025, titled "Hog Daily Report: Supply Pressure Continues to Improve, Spot Prices Keep Rebounding" [1] Group 2: Price Information Spot Prices - Today, hog spot prices across the country showed an overall upward trend. The average price was 12.36 yuan/kg, up 0.38 yuan/kg from yesterday. Prices in various regions all increased, with the largest increase of 0.43 yuan/kg in Guangxi and the smallest increase of 0.22 yuan/kg in Shaanxi [3] Futures Prices - Hog futures prices showed a downward trend. Contracts LH01, LH03, LH05, LH07, and LH09 all declined, while LH11 increased by 30. The LH9 - 1 spread increased by 95, and the LH11 - 1 spread increased by 200 [3] Piglet and Sow Prices - Piglet prices rose from 165 yuan last week to 174 yuan this week, an increase of 9 yuan. Sow prices remained unchanged at 1545 yuan [3] Spot Breeding Profits - The spot breeding profit for self - breeding and self - raising increased from - 244.70 yuan to - 185.68 yuan, an increase of 59.01 yuan. The profit for purchasing piglets increased from - 375.29 yuan to - 289.07 yuan, an increase of 86.22 yuan [3] Slaughter and Pig Weight Spreads - The slaughter volume decreased from 165,524 heads yesterday to 163,876 heads today, a decrease of 1,648 heads. The spread between standard pigs and medium - sized pigs increased by 0.04 yuan, while the spread between large pigs and standard pigs decreased by 0.08 yuan [3] Group 3: Core Views - The supply pressure in the hog market has improved, but due to the relatively high inventory and high slaughter weight, the overall supply pressure may still persist, and the subsequent spot prices are expected to be weak. The futures prices are expected to have limited upside space and will mainly fluctuate [3][4] Group 4: Trading Strategies - Unilateral trading: Hold a wait - and - see attitude - Arbitrage: Hold a wait - and - see attitude - Options: Adopt the strategy of selling a wide straddle [5]

Core Viewpoint - Dayu Bio reported a decrease in revenue for Q3 2025, but the net loss narrowed compared to the same period last year, indicating potential recovery in performance [1][2][3] Financial Performance - For Q3 2025, Dayu Bio's revenue was 30.27 million yuan, a decrease of 5.37% year-on-year [2] - The net loss attributable to shareholders was 1.69 million yuan, a significant improvement from a loss of 5.67 million yuan in the same period last year, representing a 70.12% reduction in losses [2] - For the first three quarters of 2025, revenue reached 92.45 million yuan, up 3.59% year-on-year, while the net loss narrowed to 10.72 million yuan from 16.12 million yuan, a 33.51% improvement [3] Shareholder Changes - As of September 30, 2025, there were changes in the top ten shareholders, with six shareholders increasing their holdings and one new shareholder entering the list [3][4] - Notable increases in holdings included Chen Jianjian, Yi Wei, and Zhang Kai, while Beijing Houji Jingqiao Venture Capital and others reduced their stakes [4] Business Expansion - Dayu Bio, established in 2014, focuses on biotechnology and has recently expanded into pig farming to diversify its business [5][7] - The company has set up subsidiaries for pig farming, including a 1 billion yuan registered capital subsidiary and another with 30 million yuan, indicating a strategic shift to enhance revenue streams [7][8] Project Developments - The company is investing in a pig farming integrated smart breeding base in Puxian, with a total investment of 180 million yuan, and has already begun construction on various facilities [9] - As of June 30, 2025, Dayu Bio has leased 819.90 acres for pig farm construction, with significant progress reported on the breeding facilities [9] Financial Implications - The expansion into pig farming has led to increased capital expenditures and a rise in short-term borrowings, which reached 84 million yuan, reflecting the need for working capital to support the new business line [10] - The company's asset structure is changing due to the new business, necessitating improved financial management and operational efficiency [10]

Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown steady growth in pig output, which continues to drive improvements in production performance. Despite a decline in pig prices and macro capacity adjustments in the industry, the company maintains a positive outlook on its operational performance [4][5] - The revenue for Q1-Q3 2025 reached 5.639 billion yuan, representing a year-on-year increase of 42.57%. However, the net profit attributable to the parent company was 107 million yuan, down 58.69% year-on-year [4] - The company has adjusted its profit forecasts for 2025-2027, now expecting net profits of 16 million yuan, 417 million yuan, and 802 million yuan respectively for those years [4] Summary by Sections Financial Performance - For Q1-Q3 2025, the company reported a revenue of 5.639 billion yuan, with a year-on-year growth of 42.57%. The net profit attributable to the parent company was 107 million yuan, reflecting a significant decline of 58.69% year-on-year. In Q3 alone, revenue was 1.922 billion yuan, up 11.57% year-on-year, but the net profit was a loss of 74 million yuan, down 124.32% year-on-year [4][5] - The company’s pig output for Q1-Q3 2025 was 2.9343 million heads, an increase of 63.02% year-on-year, with a sales revenue of 5.153 billion yuan and an average selling price of 14.08 yuan per kilogram [5] Cost Management - The company maintained a stable production cost of 13.6 yuan per kilogram in Q3 2025, with expectations to reduce it to below 13 yuan per kilogram in Q4 2025. The company’s PSY (pigs per sow per year) reached 29, and the cost of weaned piglets dropped to 255 yuan per head [5] Leather Business - The leather business showed signs of improvement, with the company actively adjusting sales strategies to expand its customer base. The financial health of the company remains stable, with a cash balance of 616 million yuan, up 28.28% year-on-year, and a debt-to-asset ratio of 66.62%, an increase of 5.81 percentage points year-on-year [6]

Group 1 - The agricultural and fishery ETF (159275) showed stable performance with a 0.1% increase in price and a transaction volume of 1.9989 million yuan, bringing the fund's total size to 208 million yuan [1] - Key performing stocks included Zhongxing Junye, Xiaoming Co., and Biological Co., with increases of 4.76%, 4.1%, and 3.16% respectively, while Chenguang Biological, Shennong Seed Industry, and Zhangzidao experienced declines of 2.78%, 1.32%, and 1.27% [1] - Brazil's soybean import prices reached a historic high in mid-October, leading nearly 100 domestic grain and oil companies to suspend purchases of soybeans for December and January, affecting approximately 8 million tons [1] Group 2 - The pig farming industry is experiencing increased supply and rising prices due to higher demand for fat pigs, but continued losses in farming may accelerate capacity reduction [2] - The poultry farming sector faces uncertainty in breeding stock imports due to frequent outbreaks of avian influenza overseas, which may benefit the white feather chicken industry chain prices [2] - The animal health industry is expected to see a recovery in demand, with new product launches providing growth momentum, while the pet market continues to grow rapidly domestically [2]

Investment Rating - The investment rating for the company is "Accumulate" (maintained) [2] Core Views - The company reported a slight decline in revenue of 0.04% year-on-year for the first three quarters of 2025, with a net profit decrease of 18.29% [8] - The company is a leading player in the pig and yellow feather chicken breeding industry, with a focus on quality improvement and sustainable development [8] - The forecasted net profit for the company is expected to be 7.30 billion, 9.72 billion, and 12.27 billion yuan for 2025, 2026, and 2027 respectively, with corresponding PE ratios of 16.7, 12.5, and 9.9 [8] Financial Performance Summary - For 2023A, the company reported a revenue of 89,902 million yuan, with a growth rate of 7.4% [7] - The net profit for 2023A was -6,390 million yuan, reflecting a net profit growth rate of -220.8% [7] - The company’s earnings per share (EPS) for 2023A was -0.97 yuan [7] - The company’s total assets as of 2023A were 92,895 million yuan, with a debt-to-equity ratio of 159.1% [9] Operational Highlights - The company’s pig output increased by 28.3% year-on-year to 27.67 million heads in the first three quarters of 2025 [8] - The average selling price of pork in the third quarter was approximately 13.9 yuan/kg, down 28.8% year-on-year [8] - The company’s capital expenditure has decreased, and it continues to improve its balance sheet, with a debt ratio of 49.41% as of Q3 2025, down 3.73 percentage points from the beginning of the year [8] Market Trends - The demand for yellow feather chicken has improved, leading to a rebound in chicken prices, which helped the chicken business turn profitable in the third quarter [8] - The company sold 94.80 million yellow chickens in the first three quarters of 2025, an increase of 8.7% year-on-year [8]

1. Report Industry Investment Rating No relevant content provided. 2. Core View of the Report - This week, the live pig prices across the country showed a slight rebound, but the overall supply pressure remained high. Although the entry of secondary fattening has alleviated the supply pressure to some extent, the overall demand was still weak, and the pig market remained in a state of loose supply and demand, with prices expected to face certain pressure. The futures prices are also expected to decline as the spot prices are likely to continue to fall [6]. 3. Summary by Related Catalogs 3.1 Comprehensive Analysis & Trading Strategies 3.1.1 Comprehensive Analysis - The supply pressure of live pigs has improved slightly due to the increase in the number of secondary fattening, but the overall supply pressure remains high. The demand is still weak, with high slaughter volume, increasing frozen product inventory, and a decline in the fresh - sales rate. The futures prices are expected to decline as the spot prices are likely to continue to fall [6]. 3.1.2 Trading Strategies - Unilateral: Continue to short on rallies. - Arbitrage: LH15 reverse spread. - Options: Wait and see [7]. 3.2 Pig Prices - This week, the live pig prices across the country showed a rebound trend. The prices in most regions increased, except for a decline in South China. The entry of secondary fattening supported the pig prices to some extent [12]. 3.3 Changes in Slaughter and Consumption 3.3.1 Slaughter Situation - The weekly live pig slaughter volume remained high. Large - scale enterprises and ordinary farmers had high slaughter enthusiasm. The entry of secondary fattening increased, and the average slaughter weight decreased slightly to 128.25 kg. The subsequent market pressure is expected to remain high [13]. 3.3.2 Consumption Situation - The weekly live pig demand was still weak. The slaughter volume and frozen product inventory increased, the fresh - sales rate decreased, and the subsequent demand is expected to face certain pressure [13]. 3.4 Breeding Profits - As of the week of October 17, the self - breeding and self - raising profit was - 244.7 yuan per head, a decrease of 92.55 yuan per head from the previous week, and the profit from purchasing piglets was - 375.29 yuan per head, a decrease of 74.25 yuan per head from the previous week. The breeding profit declined due to the significant drop in pig prices [20]. 3.5 Prices of Sows and Piglets - The price of 7 - kg piglets this week was 173 yuan per head, a decrease of 10 yuan per head from the previous week, and the price of 15 - kg piglets was 266 yuan per head, a decrease of 14 yuan per head from the previous week. The price of sows was 1545 yuan per head, a decrease of 18 yuan per head from the previous week. The culling enthusiasm of sows was average [23]. 3.6 Inventory of Reproductive Sows - In September, the inventory of reproductive sows decreased month - on - month according to both Yongyi and Ganglian data. Overall, the inventory of reproductive sows showed a downward trend due to continuous breeding losses [26].

Report Investment Rating - No investment rating information is provided in the report. Core View - The market presents a pattern of strong supply and weak demand, with high pig slaughter volume and continued supply pressure, while terminal demand slows down after the double - festival concentrated stocking, suppressing the decline of spot prices. The main pig futures contract opened lower after the holiday, and it is expected that the pig will continue its weak and volatile market in the short term as the fundamentals of loose supply and demand are difficult to reverse [2]. Summary by Related Catalogs Futures Disk - The closing price of the main pig futures contract is 11,595 yuan/ton, down 760 yuan; the main contract position is 58,336 lots, down 2,769 lots; the net long position of the top 20 futures positions is - 32,443 lots, down 4,742 lots; the number of pig warehouse receipts is 0 [2]. Spot Price - The pig price in Henan Zhumadian is 11,500 yuan/ton, down 1,100 yuan; in Jilin Siping is 11,400 yuan/ton, down 800 yuan; in Guangdong Yunfu is 12,100 yuan/ton, down 600 yuan; the main pig basis is - 95 yuan/ton, down 340 yuan [2]. Upstream Situation - The monthly pig inventory is 42,4470,000 heads, an increase of 7160,000 heads; the monthly inventory of reproductive sows is 4,0380,000 heads, a decrease of 40,000 heads; the monthly import volume of pork is 80,000 tons, a decrease of 10,000 tons; the weekly price of binary reproductive sows is 1,548 yuan/head, a decrease of 77 yuan [2]. Industry Situation - The monthly year - on - year CPI is - 0.4%, down 0.4 percentage points; the daily spot price of soybean meal in Zhangjiagang is 2,940 yuan/ton, unchanged; the daily corn spot price is 2,318.24 yuan/ton, down 50.39 yuan; the daily Dalian Commodity Exchange pig feed cost index is 882.73, down 0.52; the monthly output of feed is 29,272,000 tons, an increase of 999,000 tons; the weekly breeding profit of purchased piglets is - 236.57 yuan/head, down 37.26 yuan; the weekly breeding profit of self - bred and self - raised pigs is - 74.11 yuan/head, down 49.67 yuan; the weekly average price of white - striped chicken in the main producing areas is 14.4 yuan/kg, an increase of 0.1 yuan [2]. Downstream Situation - The monthly slaughter volume of designated pig slaughtering enterprises is 3,3500,000 heads, an increase of 1840,000 heads; the monthly total retail sales of social consumer goods in the catering industry is 449.57 billion yuan, a decrease of 8.4 billion yuan [2]. Industry News - On October 9, 2025, the daily national pig slaughter volume of key breeding enterprises was 312,700 heads, a 16.61% increase from before the holiday. Group farms are actively slaughtering to meet the slaughter plan, and individual farmers are increasing slaughter due to pessimism, resulting in a high national pig slaughter volume [2].

Core Viewpoint - The price of live pigs has reached a new low, prompting 25 major pig farming companies to be required to reduce production by 1 million heads by the end of the year, indicating a significant shift in the livestock farming sector [1][2] Group 1: Price Trends - As of mid-September, the price of live pigs (external three yuan) was 13 yuan per kilogram, marking a new low [1] - The main futures contract for live pigs (LH2511) fell to 12.595 yuan per kilogram, also a new low [1] - The average price of live pigs is now below the cost line for some farming enterprises, leading to widespread losses in the sector [1] Group 2: Production and Profitability - The profit from purchasing piglets was reported at -199.31 yuan per head, while self-breeding profits were at -24.44 yuan per head, indicating a return to losses after over 16 months of profitability [1] - The average weight of pigs at market has increased from 127.8 kg in August to 128.45 kg in September, suggesting higher supply levels [1] Group 3: Regulatory Actions - A meeting was held on September 16 by the Ministry of Agriculture and Rural Affairs and the National Development and Reform Commission, where 25 leading pig farming companies were instructed to reduce production [2] - The policy focus is on "controlling production and nurturing" while detailing the "controlling reproductive capacity" tasks for each farming entity [2] - The industry is expected to undergo accelerated capacity reduction due to the dual pressures of regulatory controls and losses [2] Group 4: Investment Opportunities - The livestock farming ETF (516670) has seen a net inflow of 117 million yuan over the past 10 trading days, indicating investor interest despite current market conditions [1] - The ETF closely tracks the livestock farming index, with approximately 60% of its weight in pig farming-related stocks, including major companies like Muyuan Foods and Wens Foodstuff Group [2]

Group 1: Report Overview - Report Title: "Pig Daily Report" [2] - Date: September 18, 2025 [2] - Researcher: Chen Jiezheng [3] Group 2: Investment Rating - No investment rating provided in the report Group 3: Core Viewpoints - The overall supply pressure in the pig market remains high, and the subsequent spot prices are expected to be weak. Futures prices are also under pressure and are expected to trend downward [4][7] - The decline in futures prices is mainly due to the expected supply pressure, and the far - month contracts are affected by capacity changes. Although the current price is low, there is still a certain downward pressure [7] Group 4: Price and Profit Data Summary Spot Prices - The average spot price of pigs today is 12.68 yuan/kg, down 0.1 yuan/kg from yesterday. Prices in various regions have generally declined [4] Futures Prices - Futures prices of various contracts have mostly declined, such as LH01 down 180 to 13330, LH03 down 150 to 12855 [4] Piglet and Sow Prices - Piglet prices are 259 yuan, down 32 from last week; sow prices are 1590 yuan, down 2 from last week [4] Breeding Profits - Self - breeding and self - raising profit is 16.84 yuan/head, down 15.39 from yesterday; profit from purchasing piglets is - 161.93 yuan/head, down 13.53 from yesterday [4] Contract Spreads - Spreads between different contracts have changed, such as LH7 - 9 down 150 to 1165, LH9 - 1 up 180 to - 345 [4] Slaughter Data - The slaughter volume is 149450 heads, an increase of 842 from yesterday [4] Group 5: Trading Strategies - Unilateral: Short near - month contracts on rallies - Arbitrage: Reverse spread on LH15 - Options: Hold off on trading [8]

Core Viewpoints - The A-share market showed mixed performance on Monday, with the Shanghai Composite Index down 0.26%, while the Shenzhen Component Index rose by 0.63% and the ChiNext Index increased by 1.51%. The total trading volume in the Shanghai and Shenzhen markets was 22,771.67 billion yuan [1][5]. - In the Shenwan industry classification, the leading sectors included power equipment, media, and agriculture, forestry, animal husbandry, and fishery, while the sectors that lagged included comprehensive, communication, and national defense industries [1][5]. Economic Performance - In August, the industrial added value above designated size in China grew by 5.2% year-on-year and 0.37% month-on-month. The service production index increased by 5.6% year-on-year, and the total retail sales of consumer goods rose by 3.4% year-on-year and 0.17% month-on-month. From January to August, fixed asset investment increased by 0.5% year-on-year, with manufacturing investment growing by 5.1% and real estate development investment declining by 12.9% [2][6]. Industry Analysis - The agriculture, forestry, animal husbandry, and fishery sector reported a total revenue of 6,147.88 billion yuan in the first half of 2025, marking a year-on-year increase of 9.05%, ranking third among Shenwan's primary industries. The net profit attributable to the parent company reached 269.80 billion yuan, up 173.11% year-on-year, ranking second among primary industries [7]. - The breeding industry segment achieved a revenue of 2,382.09 billion yuan, a year-on-year increase of 14.48%, with a net profit of 169.28 billion yuan, reflecting a significant year-on-year growth of 584.24%. Major players like Muyuan Foods, New Hope Liuhe, and Wens Foodstuff Group saw substantial profit increases [8][10]. - The feed segment reported a revenue of 1,348.13 billion yuan, up 12.56% year-on-year, with a net profit of 44.87 billion yuan, which is a 106.15% increase year-on-year. The segment's profit margins improved, with gross and net profit margins at 11.70% and 3.61%, respectively [8][10]. - The planting industry segment generated a revenue of 502.21 billion yuan, a year-on-year increase of 12.94%, but the net profit decreased by 9.06% to 1.587 billion yuan. Despite some companies facing profit declines, leading firms like Noposion and Beidahuang maintained stable performance [8][10]. - The agricultural product processing segment achieved a revenue of 1,648.71 billion yuan, a slight decline of 0.32% year-on-year, while the net profit increased by 23.55% to 34.18 billion yuan, with leading company Jinlongyu showing significant profit growth [8][10]. Investment Recommendations - The agriculture, forestry, animal husbandry, and fishery sector's performance in the first half of 2025 was strong, with revenue and profit growth rates among the highest in the market. The breeding industry's profitability has significantly improved, and the feed segment also saw revenue and profit increases. The current trend in pig farming capacity reduction suggests that leading companies in pig farming still have low valuations. The pet food industry, with its low concentration, presents substantial growth opportunities for domestic companies [10].