LIHUA(SZ:300761)2023-08-25 10:18Group 1: Production Capacity and Industry Trends - The current parent stock of large and medium-sized broiler chicken enterprises is at a low level since 2018, indicating a potential for upward cycles in production capacity [1] - The trend towards scale and intensification in the yellow feather chicken industry is expected to continue, with leading companies benefiting from integrated supply chains [1] - Increasing environmental and land compliance requirements are raising industry entry barriers [1] Group 2: Cost Structure and Financial Performance - The complete cost of chicken production is approximately 6.5-6.6 RMB per kilogram, benefiting from a decrease in feed raw material prices in the first half of the year [2] - The company sold 366,000 pigs in the first half of 2023, representing a year-on-year increase of 88.08% [2] - The company aims for an annual growth target of 8%-10% in its yellow feather chicken business, supported by new company setups in Guangxi and Chongqing [2] Group 3: Slaughtering Capacity and Future Plans - The company is actively expanding its slaughtering capacity for yellow feather chickens, with operational plants in Xiangtan and trial operations in Yangzhou [2] - The company plans to double its fresh chicken product output to 30 million this year compared to last year [2] - The gradual commissioning of slaughterhouses will enhance the company's coverage in key markets such as the Yangtze River Delta and Pearl River Delta [2]