Home kkgznjddHefeng Animal Husbandry (603609): New driver of high-margin pig business in the meat and poultry industry

Hefeng Animal Husbandry (603609): New driver of high-margin pig business in the meat and poultry industry

Hefeng Animal Husbandry (603609): New driver of high-margin pig business in the meat and poultry industry
Event Hefeng Animal Husbandry announced the first three quarters of 2019 results announcement. On January 9, 2019, the company’s operating income was 127.43 ppm, an increase of 10 years.01%; net profit 西安耍耍网 attributable to shareholders of the listed company is 7.13 ppm, an increase of 75 in ten years.95%; net profit attributable to shareholders of listed companies after replacement of non-recurring gains and losses is 7.50,000 yuan, an increase of 76 in ten years.96%. By quarter, 2019Q1 / Q2 / Q3 company operating revenue was 35.12/42.15/50.16 ppm, with annual growth rates of 12 each.23% / 13.29% / 8.36%; 2019Q1 / Q2 / Q3 companies achieved net profit attributable to shareholders of listed companies of 1.41/2.18/3.54 ppm, an increase of 53 in ten years.65% / 200.31% / 46.97%. Our analysis and judgment of chicken meat prices continue to boom due to tight supply and demand and substitution effects. The company’s performance has increased. Due to tight supply and demand in the white feather broiler industry and the increase in the substitution effect of chicken on pork, the prices of broilers and chicken products continue to rise and keep their time high.According to Boya and News data, 2019Q1-3 white feather chicken prices 9.53 yuan / kg, an increase of 18 in ten years.24%, the comprehensive price of chicken products 11.94 yuan / kg, an increase of 20 in ten years.36%.The company’s meat and poultry industry chain layout has been further improved and optimized, the industry chain supporting capabilities have been improved, the scale of breeding and slaughtering has achieved a substantial increase, and the company’s performance has achieved a high increase with both volume and price. Feed sales have been steadily progressing, poultry feed has grown rapidly, and pig feed growth has been normalized. The first three quarters of the year, the company strengthened research and development of feed products, market development and services to further improve product performance and market competition. Poultry and livestock, anti-gradual, aqua feed sales continuedFast growth; it is expected that the sales volume of pig feed per month in the third quarter will decline, and the trend of declining every half year has achieved a small increase for many years. Profitability increased, and profitability of companies with effective expense rate control during the period remained basically stable.In terms of gross profit margin, the company’s gross profit margin in Q1 2019 was 10.39%, an increase of 1 each year.95 points.In terms of net interest rate, the company’s net interest rate in Q1 2019 was 6.79%, an increase of 2 per year.72 points.The gross profit margin for Q1 / Q2 / Q3 in 2019 is 9.11%, 10.00%, 11.61%, with a net margin of 4.61%, 6.35%, 8.68%. In terms of expense ratio, the company’s sales expense subsidy for 2019Q1-33.06%, increasing by 0 every year.19 points; administrative expenses 1.50%, reducing by 0 every year.14pct; financial expenses 0.47%, a decrease of 0 per year.05pct. Chicken prices and pork prices are expected to continue to be high, and the company’s performance will continue to grow steadily. Under the background of pork supply supplementation, prices have hit record highs, chicken meat is still significantly affected by the pull of pork prices and consumption substitution effects.The market for white feather broilers will continue to be high in the year. The scale of the company’s breeding and slaughtering will continue to expand, and the profit of the poultry industry is expected to further increase. The company actively lays out the integrated business of hog breeding, and strives to build a two-wheel drive complementary business model for the meat and poultry and hog industry chain.Since 2016, the company has deployed pig breeding projects in Liaoning, Henan, Hebei, Heilongjiang, and Anhui, and started to build pig breeding bases.The company aims to reach 300,000 pigs for holding and participating companies in 2019. The production capacity will further increase in 2020, and the high price of pigs will bring new performance drivers to the company. Investment advice: We expect the company’s operating income to be 178 in 2019-2020.27, 202.54 ppm, an increase of 13 each year.18%, 13.62%; net profit attributable to mothers is 11.67, 12.8.4 billion, an increase of 111 a year.41%, 10.03%, corresponding to PE is 11.2x, 10.2x, maintain the company’s “Buy” rating. Risk warning: the price of raw materials fluctuates sharply; the price of livestock and poultry drops sharply; a major epidemic occurs.