HK Stock Market Move | Muyuan Foods (02714) fell more than 4%, dragged down by a sharp decline in pork prices, resulting in a loss of over 1.2 billion yuan in the first quarter.

Muyuan Foods (02714) fell more than 4%, dropping by 4.27% to 40.82 Hong Kong dollars, with a turnover of 86.6058 million Hong Kong dollars at the time of publication. In terms of news, Muyuan Foods announced last night that it achieved operating income of 29.894 billion yuan in the first quarter of 2026, a year-on-year decrease of 17.10%; with a net loss of 1.215 billion yuan, a year-on-year loss. According to the company's previous annual report, the company's net profit in the fourth quarter of 2025 was 708 million yuan, based on this calculation, the net profit in the first quarter also changed from profit to loss. In response to the reasons for the performance change, the company explained that it was mainly due to a decrease in pig prices leading to reduced income. It is worth noting that the average cost of Muyuan Foods in 2025 was 12 yuan/kg, and by March 2026, the full cost had dropped to 11.6 yuan/kg. However, despite further cost reductions, it could not prevent a significant drop in selling prices. According to Muyuan Foods' sales brief, the prices of commodity pigs in January-March were 12.57 yuan/kg, 11.59 yuan/kg, and 9.91 yuan/kg, respectively, continuing to decline. Among them, the average selling price in March decreased by 30.70% year-on-year.