Core Viewpoint - Shandong Huifa Food Co., Ltd. is facing significant operational pressure, as indicated by its forecasted net loss of 25 million to 33 million yuan for the first half of 2025, which represents an increase in losses compared to the same period last year [1] Group 1: Financial Performance - The primary reasons for the expanded losses are weak consumer demand and high costs, leading to a decrease in operating revenue [2] - The company has accumulated a net loss of nearly 300 million yuan from 2021 to 2024, indicating that its core business profitability has not improved significantly [2] Group 2: Shareholder Actions - Shareholders and executives have been reducing their holdings, with a plan to sell up to 131,900 shares, raising concerns about management's confidence in the company's future [3] - Since its listing in June 2017, shareholders have cashed out over 300 million yuan, which has caused investor apprehension given the company's ongoing losses [3] Group 3: Industry Context - The challenges faced by Huifa Food reflect a broader adjustment period in the prepared food industry, where competition has shifted from expansion to market share battles [4] - The company is struggling with traditional product categories amid a trend towards healthier and premium products, while also facing high cold chain logistics costs [4] Group 4: Strategic Considerations - The company must balance revenue preservation and cost control during a period of weak consumer spending, seeking a sustainable profit model [5] - To rebuild investor confidence, the company needs to provide clear signals of operational improvement and transparent communication regarding strategic adjustments [5]