CHINASHENGMU-PF(01432) announced its interim results, with a profit attributable to shareholders of 64.07 million yuan, turning a profit compared to the same period last year.

CHINASHENGMU-PF (01432) released its interim results for the six months ending June 30, 2026, reporting sales revenue of 1.546 billion yuan, an increase of 7.1% year-on-year; net profit attributable to the parent company was 64.07 million yuan, compared to a loss of 48.32 million yuan in the same period last year; earnings per share were 0.008 yuan. During the reporting period, the group continued to advance the optimization of its herd structure and the upgrading of breeding technology by selectively improving the quality of the herd, enhancing the breeding system, iterating nutritional formulas, and strengthening meticulous feeding management, all of which consistently improved the health and production efficiency of the dairy cows. In the first half of 2026, the annualized milk production per dairy cow reached 13.14 tons, an increase of 0.87 tons year-on-year, representing a growth of 7.1%, and achieving a historical high. Among them, the annualized milk production per dairy cow in organic farms reached 13.38 tons, an increase of 1.00 ton year-on-year; conventional farms saw an annualized production per dairy cow of 12.47 tons, an increase of 0.39 ton. The increase in production was mainly due to improvements in herd quality, optimization of nutritional schemes, and meticulous onsite management. The group dynamically adjusts nutritional plans according to the different lactation stages and health status of the cows, continuously strengthening TMR preparation, feed uniformity, feeding timing, and feed intake management, and enhances the timeliness of heat stress management through climate control data platforms, cow collars, and thermal imaging tools. During the reporting period, the group further optimized the feed conversion and nutritional input structure, effectively improving key indicators such as milk yield, fat content, and protein content of dairy cows, reflecting a further enhancement of its breeding technology and lean management capabilities. Driven by both the increase in production and the growth in core customer demand, the group's sales volume of raw milk reached 424,902 tons in the first half of the year, an increase of 51,929 tons, or 13.9% year-on-year. The sales growth was primarily attributed to improved production efficiency and an increased proportion of efficient dairy cows, rather than merely relying on herd expansion, demonstrating the group's quality and efficiency-oriented business strategy. Notably, the sales volume of raw milk sold to core customers maintained rapid growth, while sales to other customers also achieved year-on-year increases. In terms of product structure, the group continued to leverage the advantages of organic and specialty milk sources. Sales of organic raw milk maintained stable growth, while functional raw milks such as DHA and organic A2 continued to enrich the product matrix, with high-end raw milk accounting for 79.5% of total sales. Organic and specialty raw milk retained relatively strong profitability resilience during periods of low industry prices due to quality standards, customer structure, and resource scarcity, providing important support for the group's operational improvement.