According to the Zhitong Finance App, Tianbang Food (002124.SZ) released the 2026 semi-annual results forecast. The company expects a loss of 1.5 billion yuan to 1.6 billion yuan in the semi-annual period of 2026, changing from profit to loss over the previous year; net profit after deducting non-recurring profit and loss is a loss of 1.65 billion yuan to 1.75 billion yuan.
The company's net profit attributable to shareholders of listed companies in the first half of 2026 and net profit after deducting non-recurring profit and loss declined year-on-year. The main reasons are as follows:
1. In the first half of 2026, the company achieved sales of 3.8875 million heads of commercial pigs (of which 1.4683 million piglets were sold), and the number of pigs sold increased by 31.41% year-on-year (20.48% increase after excluding piglets), but the average sales price of commercial fat pigs was only 10.21 yuan/kg, down 30.78% from the average sales price of 14.75 yuan/kg in the same period last year. During the reporting period, the company achieved sales revenue of 3.323 billion yuan from commercial pigs, a year-on-year decrease of 19.80%.
2. In accordance with the “Corporate Accounting Standards” and the relevant provisions of accounting policies, in order to truly and fairly reflect the company's financial situation and operating results as of June 30, 2026, the company analyzes, evaluates and conducts impairment tests on assets showing signs of impairment in accordance with the principle of prudence. In the first half of 2026, the company expects to prepare 97 million yuan to 98 million yuan for bad debts from accounts receivable, prepare 1,049 million yuan to 1,099 million yuan for inventory price declines, and expect to resell 642 million yuan in preparation for the first half of the year. It is expected to reduce net profit to mother by 504 million yuan to 555 million yuan in the first half of the year. For details, please refer to the “Notice Concerning Proposed Asset Impairment Preparation for the Second Quarter of 2026” (Notice No.: 2026-032) disclosed on the same day.
3. During the period of low prices in the industry, the company promoted a number of cost reduction and efficiency measures, which effectively controlled the further expansion of losses. In terms of breeding business, the company continues to promote various cost reduction and efficiency measures such as biosafety upgrades and innovative management, further reducing the overall cost of fattening. At the same time, the company's total interest expenses for the first half of 2026 were about 153 million yuan, and the expenses due to underproduction or vacant pig farms were about 138 million yuan. Together, the two expenses reduced the total profit for the reporting period by about 291 million yuan, and the average head cost of commercial pigs released until the first half of 2026 was about 75 yuan/head, limiting the company's ability to further reduce costs.
4. By promoting operational optimization and improving operating cash flow, the company has ensured the normal development of the company's daily operating activities. The net operating cash flow during the reporting period is estimated to be 250 million yuan to 300 million yuan. At the same time, the company is actively promoting the pre-restructuring and restructuring process. By the end of the reporting period, the company's restructuring was in the approval stage.