Core Viewpoint - Jin Jian Rice Industry received an inquiry letter from the regulatory authority regarding its annual report for the first time in five years, focusing on discrepancies in revenue data, declining dairy income with rising gross margins, and significant changes in prepaid objects [2][5]. Revenue and Profit Analysis - In 2024, Jin Jian Rice Industry reported a revenue of 4.627 billion yuan, a year-on-year decrease of 12.19%, and a net profit attributable to shareholders of 2.23 million yuan, down 83.94% [6]. - The grain and oil processing business generated 2.777 billion yuan, a decline of 6.66%, while the agricultural product trading revenue was 1.255 billion yuan, down 13.53% [6]. - The company indicated that the significant drop in net profit was primarily due to the decline in profits from the agricultural product trading segment [7]. Dairy Business Performance - Dairy revenue was reported at 96.62 million yuan, a decrease of 15.21%, but the gross margin increased by 6.85 percentage points to 36.04%, which is relatively high compared to industry peers [9]. - The increase in gross margin was attributed to lower raw milk procurement prices and improved procurement strategies, which reduced overall costs [9][10]. Changes in Prepaid Objects - The year-end balance of prepaid items for 2023 and 2024 was 121 million yuan and 124 million yuan, respectively, with a significant change in the top five prepaid items accounting for 70.02% of the total [12]. - The company explained that the differences in prepaid objects were mainly due to the completion of asset swaps and adjustments in procurement strategies to focus on core agricultural products [13].