Cost Management - The company's pig sales cost decreased by 1.34 RMB/kg year-on-year, with the current cost at 13.77 RMB/kg [2] - Feed constitutes approximately 62% of the total breeding cost, with other components being medicine (4%), labor (11%), depreciation (13%), and others (10%) [3] Production and Sales Targets - The company aims for a PSY (Pigs Sold per Year) of 27-28 by 2025, currently at around 25 [3] - The target for pig output in 2025 is 1.3 million heads, with the "company + farmer" model expected to contribute approximately 100,000 heads [3] - The expected output ratio for market pigs and piglets in the second half of the year is over 95% [3] Financial Performance - The company achieved a 31% increase in feed revenue, but the gross profit margin decreased by 2 percentage points due to intense competition [4] - The profit from feed business was approximately 22 million RMB, while the profit from pig farming was around 50 million RMB [4] Strategic Initiatives - The new chairman has proposed a shift from heavy asset to light asset operations, focusing on profit-centered models [5] - The company is exploring new products, including premium and specialty pigs, as well as new feed and pet food [5] - A stock incentive plan has been introduced to support management and reflect confidence in future growth [5] Debt and Financing - As of June, the company's debt-to-asset ratio was over 72%, slightly higher than at the end of 2024, due to increased bank financing for cooperative breeding [3] - Future improvements in cash flow and equity incentives are expected to lower the debt-to-asset ratio [3] Compliance and Market Response - The company is committed to high-quality pig farming and is actively responding to government policies to control breeding numbers and avoid overproduction [6] - The company emphasizes its role in rural revitalization and job creation through its cooperative model [6]