Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company has shown continuous improvement in operational efficiency, with profits expected to expand quarterly in 2024. The revenue for 2024 is projected at 18.586 billion yuan, a year-on-year increase of 0.53%, while the net profit attributable to shareholders is expected to be 724 million yuan, up 9.03% year-on-year. The fourth quarter of 2024 is anticipated to show a revenue of 4.823 billion yuan, reflecting a 5.78% increase year-on-year, and a net profit of 342 million yuan, marking a return to profitability [4][5] - The company plans to distribute a cash dividend of 2 yuan for every 10 shares, totaling 247 million yuan [4] - Short-term outlook indicates potential price increases for domestic chicken due to overseas avian influenza affecting imports, while long-term projections suggest that sufficient domestic supply may pressure chicken prices [4] - The company has adjusted its profit forecasts for 2025 to 1.091 billion yuan, 2026 to 1.247 billion yuan, and introduced a new forecast for 2027 at 1.389 billion yuan, with corresponding EPS of 0.88, 1.00, and 1.12 yuan respectively [4] Summary by Sections Poultry Breeding and Processing Business - The poultry breeding and processing sector reported revenue of 10.356 billion yuan in 2024, a decrease of 1.53% year-on-year, with a gross margin of 5.70%, down 0.62 percentage points. Despite a challenging industry backdrop, the company has improved the production performance of breeding chickens, leading to a reduction in comprehensive breeding costs. The first quarter of 2025 is expected to see a 10% year-on-year decrease in comprehensive meat production costs [5] - The company achieved the highest market share in chicken exports to Japan and successfully entered several new overseas markets, generating export revenue of 638 million yuan, an increase of 18.78% year-on-year [5] Food Processing Business - The food processing segment achieved revenue of 7.010 billion yuan in 2024, a year-on-year increase of 9.63%, with a gross margin of 19.61%, up 0.94 percentage points. The production volume of deep-processed meat products reached 314,900 tons, up 3.08% year-on-year, and sales volume increased by 6.32% year-on-year [6] - The company's retail business in the consumer sector is expected to see revenue growth exceeding 30% year-on-year in the first quarter of 2025 [6] Financial Summary and Valuation Metrics - The company's financial metrics indicate a revenue forecast of 20.442 billion yuan for 2025, with a year-on-year growth of 10.0%. The net profit attributable to shareholders is projected at 1.091 billion yuan, reflecting a significant increase of 50.6% year-on-year [7] - The gross margin is expected to improve to 11.4% in 2025, with a net margin of 5.3% [7] - The price-to-earnings ratio (P/E) is projected to decrease from 19.5 in 2025 to 15.3 in 2027, indicating a favorable valuation trend [7]