Continuing losses and lack of funds make life difficult for Chinese pig companies this year

[The Epoch Times, December 22, 2023] 2023 is coming to an end. Looking at the whole year, Chinese pig raising companies are struggling, and the cumulative loss amount and length of loss in the entire industry are the highest in history. In the first three quarters of this year, China's three leading pig companies, Muyuan Co., Ltd., Wen's Co., Ltd., and New Hope Enterprises, had a net loss of more than 10 billion (RMB, the same below). The total net profit attributable to the pig sector was 16.728 billion yuan. Corporate losses have resulted in increasingly tight funds, with the average asset-liability ratio of listed pig companies reaching 62.28%, the highest in history. Wind data shows that as of the end of the third quarter of this year, the average asset-liability ratio of the pig sector was 62.28%, and the same period in 2022 and 2021 were 59.77% and 54.87% respectively. The debt ratio has continued to rise in the past two years, and there are 13 listed pig companies. The ...