Shennong Group(605296)2024-11-11 09:23Business Strategy and Development - The company will continue to follow a steady, sustainable, and high-quality development path, focusing on standardization, scale, intelligence, and digitalization to enhance market competitiveness [2] - Future development will adhere to a steady and high-quality growth philosophy, maintaining a moderate expansion speed and strictly controlling the debt-to-asset ratio [6] - The company will focus on balanced development across the entire pig farming industry chain while gradually expanding breeding scale [6] Production and Cost Management - The company aims to achieve a full-year production cost of less than 13 yuan by 2025 through various measures including genetic improvement, health management, and capacity optimization [4] - In October, the company's complete breeding cost was 13.6 yuan/kg, with a feed-to-meat ratio of 2.49 and daily weight gain of 700-800 grams [5] - The company's current self-breeding to contract farming ratio is approximately 3:7 [3] - The company's sow capacity distribution is 67% in Yunnan, 6% in Guangdong, and 27% in Guangxi [5] Financial and Shareholder Information - On October 29, the company announced a share repurchase plan, with major shareholders having no plans to reduce their holdings in the next 3-6 months [3] - 86.54% of total shares will be released from lock-up on November 28 [3] Research and Development - R&D investment has decreased due to improved project management and resource efficiency, with current focus areas including feed formulas, new food processing products, and livestock farm environmental protection [7] Market and Industry Outlook - The company's 2024 target is 2.2-2.3 million pigs, with a 2025 target of 3.2-3.5 million pigs [6] - Future pig prices will be influenced by supply-demand dynamics and breeding costs [7] Operational Performance - As of October, the company had 117,000 breeding sows, with an overall survival rate of 85% (90% pre-weaning and 95% during nursery and fattening stages) [5] - The company currently has 15 sow farms, with 11 being PRRS double-negative, and all farms maintaining stable health conditions [5][6]