Group 1 - The company reported a revenue of 1.32 billion yuan in the first half of 2025, a year-on-year decrease of 3.98%, and a net profit attributable to shareholders of 6 million yuan, down 96.6% year-on-year [1] - In Q2 2025, the company achieved a revenue of 698 million yuan, a year-on-year increase of 1.42%, while the net profit attributable to shareholders was 19 million yuan, a decrease of 73.75% year-on-year [1] - The company estimated the sales of commodity broiler chicks in Q2 2025 to be approximately 160 million, an increase of 14% year-on-year, with an average selling price of 2.4 yuan per chick, up about 0.1 yuan from Q1 2025 [1] Group 2 - The sales of 909 chicks in Q2 2025 were approximately 21 million, a year-on-year decrease of 5%, with an average selling price of 0.8 yuan per chick, which declined compared to Q1 2025 [2] - The company sold about 24,000 breeding pigs in Q2 2025, a year-on-year increase of 361%, with an average selling price of 2,471.3 yuan per pig, indicating a continuous release of breeding pig capacity [2] - Due to the low prices of chicks, the company has adjusted its profit forecast, expecting net profits attributable to shareholders of 200 million, 570 million, and 590 million yuan for 2025-2027, representing year-on-year changes of -60.2%, +186.3%, and +2.6% respectively [2]

Investment Rating - The report maintains a "Buy" rating for the company [2][4] Core Views - The company reported a revenue of 3.136 billion yuan in 2024, a decrease of 2.76% year-on-year, and a net profit attributable to shareholders of 504 million yuan, down 6.84% year-on-year. However, in Q4 2024, revenue reached 982 million yuan, an increase of 73.41% year-on-year, with net profit of 203 million yuan, up 242.33% year-on-year [1][2] - The price of commodity chicken seedlings has increased significantly since Q4 2024, contributing to improved profitability. The estimated profit from parent stock is approximately 250 million yuan, while the profit from commodity stock is around 350 million yuan [1] - The company expects a recovery in demand for white chicken consumption and restocking to positively impact profitability [1] Financial Performance Summary - In 2024, the company sold approximately 570 million commodity chicken seedlings, a decrease of 9% year-on-year, with an average selling price of 3.3 yuan per chick. The sale of parent stock was about 12 million sets, down 20% year-on-year, with an average price of nearly 39 yuan per set [1] - The company forecasts net profits of 550 million yuan, 586 million yuan, and 614 million yuan for 2025, 2026, and 2027, respectively, representing year-on-year growth rates of 9.3%, 6.3%, and 4.9% [2][3] - The financial indicators show a projected revenue increase to 3.504 billion yuan in 2025, with a growth rate of 11.7% year-on-year, and a net profit of 551 million yuan, reflecting a growth rate of 9.3% year-on-year [3][8] Stock Information - The company's stock closed at 9.67 yuan on March 28, 2025, with a total market capitalization of approximately 10.699 billion yuan [4]