Core Viewpoint - Dekang's pig farming business shows strong performance in the first half of 2025, with per-head profitability leading the industry, while poultry and meat business performance meets expectations. The company actively responds to national calls for high-quality development in the breeding industry, showcasing its responsibility as a leading pig enterprise [1][2]. Group 1: Financial Performance - The company is expected to achieve a net profit of 1.1 to 1.4 billion yuan in the first half of 2025, representing a year-on-year increase of 202% to 285% [2]. - The company anticipates a pig output of approximately 5.117 million heads in the first half of 2025, a year-on-year increase of 27%, with a sales price of about 15 yuan per kilogram [2]. - The estimated total cost for pig farming is around 12.4 yuan per kilogram, leading to a per-head profit of approximately 300 to 320 yuan, placing it at the forefront of the industry [2]. Group 2: Business Segments - In the poultry segment, the company expects to sell 42.7 million yellow feathered chickens in the first half of 2025, a year-on-year increase of 7.2%, with a sales price of about 12.89 yuan per kilogram [2]. - The high-quality slow-growing yellow feathered chicken accounts for a significant proportion of the company's offerings, although the segment is currently under pressure due to low prices [2]. - The high-end meat business, in collaboration with Tonnis, is expected to start production in 2024 and is currently in the capacity ramp-up phase, with no short-term profit contribution anticipated [2]. Group 3: Industry Outlook - The pig farming industry is gradually moving towards high-quality development, supported by policies, with leading companies expected to gain excess profits due to cost advantages [3]. - The yellow feathered chicken industry has seen significant capacity reduction after three years of downturn, providing a basis for price recovery, although the industry is currently facing deep losses due to low prices [3]. Group 4: Investment Rating - The company maintains a "strong buy" investment rating, leveraging its breeding advantages to keep livestock costs lower than peers [4]. - The company's self-bred Dekang E breed pigs have significantly reduced costs, with total costs estimated to be below 12.5 yuan per kilogram, placing it in the top tier of the industry [4]. - The company plans to develop its family farm model while promoting shared industry development benefits with cooperative farmers, aligning with national calls for responsible leadership in the pig farming sector [4].