Securities code: Wens Foodstuff Group Co.Ltd(300498) securities abbreviation: Wens Foodstuff Group Co.Ltd(300498)
Wens Foodstuff Group Co.Ltd(300498) investor relations activity record
No.: 202206
Investor relations activities \uf0a3 research on specific objects \uf0a3 analyst meeting
Don’t \uf0a3 media interview \uf0a3 performance briefing
\uf0a3 press conference □ Roadshow
\uf0a3 site visit
\uf0a3 others (please describe other activities in words)
Name of participant and person: the company organized 7 one-to-one annual roadshows (online) from April 28 to 29, 2022, with the names of CAITONG fund and members
75 institutional investors including Wells Fargo fund, Penghua Fund, China Europe Fund, Boshi fund, GF fund and bocom Schroeder fund participated. See the attached list for part of the list.
Important note: the list of participants shall be provided by the organization and displayed after sorting. The company cannot guarantee the integrity and accuracy of the names of participants and their units. Please pay attention to it.
Time: April 28-29, 2022
Location Wens Foodstuff Group Co.Ltd(300498) headquarters conference room, 19th floor
Mei JinFang, vice president and Secretary of the board of directors of listed companies, Qin ganglu, securities affairs representative, and Shi Zhiru, Investor Relations Management Specialist
Q&A
(I) pig business
1. What are the recent production indicators of the company’s pig raising business?
A: in the first quarter, the company strictly implemented biosafety measures and did a good job in the prevention and control of major diseases during the transition period between winter and spring. Investor relations activity owner
At the same time, we should strengthen the basic management, strengthen the monitoring of production indicators, steadily improve the production performance, the production of pig industry continues to recover, the key indicators continue to improve, basically meet the expectations, and the production gradually tends to the normal level. The specific performance is as follows: (1) pig breeding
In the first quarter, the average litter size of the company increased to about 10.4, which was higher than that at the beginning of the year;
Psy was about 20 in March, which was greatly improved compared with the previous period and maintained a further improvement trend;
In March, the rate of panning for production, protection and death was slightly higher than that before non plague, and there was still room for decline. The main reason was that the focus of the preliminary work was on the prevention of African pig plague, diarrhea and other diseases, which had an impact on the health of piglets. At present, the company has recognized the relevant problems and started to reduce the yield and death rate and improve the survival rate of piglets through special actions;
The production cost of pig seedlings in March was 420430 yuan / head, a decrease of 20-30 yuan / head compared with January.
(2) Pig aspect
In March, the entrusted maintenance fee was less than 200 yuan / head, which was stable and decreased on the whole;
In March, the listing rate of fattening stage was stable at 88% (roughly corresponding to the listing rate of piglets put into seedling six months ago). In the follow-up, we will continue to do a good job in basic work and steadily improve production performance;
In March, the feed to meat ratio was about 2.8-2.9, which decreased significantly compared with last year, but there is still some room for optimization, which is mainly affected by many factors such as listing rate, pig production mode and feed formula. At present, the company focuses on the feed meat ratio index, and further reduces the feed meat ratio by further improving the listing rate, increasing the breeding proportion of Duroc male boars, optimizing feed formula, strengthening feed management and reducing waste. 2. What is the amount of seedlings invested in the pig raising business of the company in recent months?
A: after nearly two years of efforts, the company’s breeding system has been gradually restored and its seed supply capacity has been significantly enhanced. In recent months, the amount of seedlings invested by the company has increased steadily, about 1.6-1.8 million. 3. How many sows can the company breed at present, and how much is it planned to increase by the end of this year? What is the slaughter target for pigs this year and next?
A: the company has 1-1.1 million high-quality sows. Under the premise of the company’s plan to increase the number of sows by about 1.4 million by the end of the second quarter, and gradually increase the safety of sows by the end of the second quarter. If the market gets better, the company also has the ability to further increase the number of sows that can breed.
In 2022, the company aims to sell about 18 million pigs. The company has no clear plan for the slaughter of pigs in 2023, which needs to be comprehensively considered in combination with the changing trend of market conditions, its own financial strength, market competitiveness and other factors. 4. Has the industry begun to vigorously supplement fertile sows?
A: replenishing fertile sows requires a lot of capital investment. At present, there is no large-scale replenishment of fertile sows in the industry. 5. Is there any adjustment and change in the company’s pig production mode?
A: theoretically speaking, compared with the production mode of “binary hybridization” (Changbai 1 Dabai 1) and “binary backcross” (Changbai 1 [Changbai 1 Dabai 1]), the production mode of “three line hybrid matching” (Changbai 2 [Changbai 1 Dabai 1]) has better hybridization advantage and mating effect. Its breeding pigs have higher reproductive performance. On average, a litter can produce 0.5-1 more pigs, which can quickly produce a large number of hybrid sows at low cost. Therefore, in terms of reproductive performance, “three line hybrid matching” breeding pig production mode is better than “binary hybridization” and “binary backcross”, with faster seed production speed and lower cost. However, the growth performance of pigs produced by “three line hybrid matching” is weaker than that produced by paternal Duroc boar matching ([Duroc boar binary hybrid sow] or [Duroc boar three line hybrid matching sow]). Generally speaking, the meat pigs produced by paternal Duroc boar breeding have good growth performance, strong adaptability, fast growth speed, low feed meat ratio, high lean meat rate, strong stress resistance and good meat quality.
In the past two years, in order to rapidly supplement the number of breeding pigs, restore the breeding system and realize the self circulation of breeding pigs, the company has increased the proportion of using the “three line hybrid matching” breeding pig production mode. At this stage, the company’s breeding system has been restored and the self supply capacity of sows has been greatly improved.
Among the sows bred by the company in March, the proportion of Duroc boar breeding accounted for more than 30% of the total breeding. In order to improve the growth performance of pigs, the company will gradually increase the use of Duroc boar breeding, and strive to reach 80% by the end of the year to improve the growth performance of pigs. 6. The price of sows and piglets was low in the first quarter. Does the company have relevant outsourcing?
A: in terms of sows, the company’s breeding system has returned to normal, and the breeding capacity has been significantly enhanced. All new sows are self bred, and sows were not purchased in the first quarter.
In terms of piglets, at present, the company has a strong supply capacity of piglets. The subordinate units mainly use the company’s own piglets, and the group has not made a unified arrangement for purchasing piglets. The price of piglets in the early market is very cheap. According to the existing fattening capacity, capital situation, piglet price and quality in the local market, future market judgment and other factors, the regional units of the company independently, flexibly and appropriately purchased some piglets, but the overall outsourcing scale is small, and the price of purchased piglets in the market is low, which will not significantly increase the company’s pig raising cost. 7. At present, covid-19 pneumonia occurs frequently in many places. Does it have a great impact on the company’s pig raising business?
A: the company’s pig business is distributed nationwide, and the production and sales in most areas will not be affected. For the epidemic affected areas, the epidemic has a certain impact on the company’s logistics and transportation, product sales and market consumption demand, but the overall situation is controllable.
For the epidemic affected areas, the national and local governments attach great importance to the material transportation of livestock and poultry breeding industry in this round of epidemic, and timely issue relevant policies to ensure normal production and supply. The company also quickly established a three-level leading group to deal with covid-19 pneumonia epidemic crisis, launched relevant response plans, and maximized the smooth supply of raw materials and product sales and circulation. In terms of raw material supply, the company generally has a reasonable inventory of raw materials, and some regions can also adopt various methods such as local procurement to ensure the supply of raw materials and ensure the normal operation of production.
In terms of sales strategy, for the areas that have been designated as strictly controlled and sealed, take all possible measures to reduce the volume and divide the whole into parts, including coordinating segmented transportation, using local slaughtering customers to divert slaughtering on site, developing customers in surrounding markets and increasing transaction volume, so as to minimize the adverse impact. 8. The rainy season is a period of frequent epidemics. Has the company made preparations for epidemic prevention and control in the rainy season in the south?
A: according to experience, rainy season and transition period are epidemic prone periods. The company has sufficient experience to make preparations for prevention and control. At present, the company focuses on basic management, and has deployed the epidemic prevention and control of the transition from spring to summer and the rainy season in advance. At the same time, the company has done a good job in heatstroke prevention and cooling, so as to effectively ensure the stability of mass production. 9. I understand that the drug use of the industry decreased in the first quarter. Does the company also reduce drug use due to the downturn of the market?
A: since the occurrence of African swine fever, the company has built a high and solid biosafety system to physically isolate the spread of the virus and achieved good results. At present, the drug cost of the company’s pig breeding cost is stable and slightly reduced, lower than 0.2 yuan / kg, close to the pre plague level.
Ensuring the stability of large-scale production and improving the listing rate are the most effective means and core to reduce costs. The company’s use of veterinary drugs will be further optimized, but the company’s use of veterinary drugs will not be reduced. 10. Is there any adjustment to the salary of the company’s personnel at the bottom of the previous cycle?
A: in 2021, in order to successfully get through the bottom of the pig cycle, the company fully considered the situation at that time and carried out the special work of cost reduction and efficiency increase. The directors, supervisors and senior managers of the company take the initiative to take the lead in reducing the salary, and cadres at all levels and employees of functional departments reduce the salary range from high to low, so as to reduce human and operating costs and improve operation efficiency. The production unit is the profit center of the company, and the employees of the production unit stick to the front-line posts for the development of the company, and the salary has not been adjusted. Relevant measures have been recognized and understood by internal cadres and employees, and the company’s overall production and operation are carried out in an orderly manner. 11. What are the main factors affecting the differences in production costs of each pig farm of the company?
A: the company’s pig business is distributed nationwide. There are many factors affecting the production cost of each pig farm, mainly including regional location, capacity utilization, management scale and management level.
In order to improve production performance, reduce breeding costs and reduce regional differences, the company actively carries out benchmarking, learning benchmarking and exceeding benchmarking, summarizes the successful experience of benchmarking units, establishes “traffic light” early warning and “red and yellow card” evaluation mechanism, and strengthens internal pressure and compaction responsibility. 12. How does the company generally train pig farm managers, whether through internal training or external employment?
A: mainly through internal training. Generally speaking, the business personnel first train in the positions of grass-roots cadres such as pig farm leader, district head and assistant to the farm head, and then promote them according to their needs and performance. In terms of training time, especially excellent ones can be trained for 2-3 years, and generally take 4-5 years to become field leaders. 13. How does the company motivate cooperative farmers and company employees at the breeding end?
A: for cooperative farmers, the entrusted breeding expenses paid by the company are their main income. The entrusted breeding cost is closely related to its production performance, such as livestock and poultry survival rate, genuine product rate, material consumption, drug consumption, market weight and other factors. The better you raise, the higher your income. Generally speaking, the income of farmers who cooperate with the company is more stable than that of other local farmers, and the income of farmers who cooperate with the company for a long time is generally higher than the social average level. For the company’s employees, the company set up special incentives and one policy and other incentive means to motivate grass-roots cadres and employees.
Through the above methods, further improve the confidence and stability of cooperative farmers and company employees at the breeding end. (II) chicken business 1 What is the cost of Yellow Feather Broiler in March this year?
A: in the first quarter, the company’s broiler production remained stable, and the core production performance indicators have been at the company’s historical high level for many months. However, due to the sharp rise in the price of feed raw materials in the first quarter, and affected by multiple factors such as the provision of equity incentive at the end of the quarter and the quarter on quarter decrease of nearly 30%, the full cost of wool chicken in March increased slightly to about 6.7 yuan / kg. In the context of the sharp rise in feed costs, cost control remains in an advantageous position in the industry. 2. How about the development of the company’s Prefabricated dishes?
A: according to the research data of Research Institute ncbd (meal treasure Dictionary), the scale of China’s Prefabricated vegetable market has exceeded 300 billion yuan in 2021.
As early as 2004, relying on its subsidiary, wenshijiawei, the company explored the transformation and upgrading of food business and the extension of industrial chain, mainly engaged in cooked dishes and prefabricated dishes. At present, the company has built three production bases in South China, East China and central China, with a production capacity of about 40000 tons / year, radiating Hong Kong, Macao, Dawan District, Beijing Tianjin Hebei and the Yangtze River Delta.
At present, the company has developed and issued seven high-quality product categories, including whole poultry products, dish products, conditioning products, cured products, soup products, leisure products and egg products, and the prefabricated vegetable sector has developed well. In 2021, for the prefabricated vegetable business, the company further increased investment in equipment upgrading and product research and development, and developed pepper pork tripe chicken soup, Coconut Chicken Soup and French
