Shenzhen Kingkey Smart Agriculture Times Reports RMB 714 Million Net Profit in 2024, Showcasing Resilience in Pig Farming Business

SHENZHEN, March 31, 2025 /PRNewswire/ -- On the evening of March 30, Shenzhen Kingkey Smart Agriculture Times (000048.SZ) released its 2024 annual financial report, demonstrating significant achievements in its strategic transformation focused on pig farming as the core business. The report shows the company achieved operating revenue of RMB 5.96 billion, net profit attributable to shareholders of RMB 714 million, non-GAAP net profit of RMB 786 million, and basic earnings per share of RMB 1.38. 

Notably, the company's profit structure has undergone fundamental changes. In 2024, the pig farming business generated revenue of RMB 3.901 billion, representing year-on-year growth of 38.69% and accounting for 65.45% of total revenue, delivering profits despite challenging market conditions. 

Concurrently, the company announced its 2024 profit distribution plan, proposing a cash dividend of RMB 3.5 per 10 shares (tax inclusive), totaling RMB 182 million. Against the cyclical fluctuations in the pig farming industry, the company's strong performance - with excellent breeding costs of RMB 13.67/kg and robust operating cash flow reaching RMB 997 million - provides solid support for the generous dividend distribution, fulfilling its commitment to shareholder returns. 

Strong Pig Farming Performance: Achieving 2 Million Hogs in Five Years

During the reporting period, Shenzhen Kingkey Smart Agriculture Times' pig farming business sold a total of 2.1461 million hogs, a year-on-year increase of 16.32%, with sales revenue reaching RMB 3.901 billion and net profit of RMB 533 million. 

This performance marks a fundamental success in the company's strategic transformation initiated in 2019, with modern agriculture now established as a core sustainable growth driver. 

The company's transformation focused on two key pillars: business restructuring and continuous capacity expansion. Four major pig farming projects and supporting feed mills were completed and operationalized at "Shenzhen speed," delivering "Shenzhen quality" to the Greater Bay Area. In 2022, the company achieved its "one million hogs in three years" target with an output of 1.2644 million hogs. By 2024, output officially surpassed the 2 million mark, accomplishing the "two million hogs in five years" milestone. Rapid capacity release, quality assurance, and regional premiums in the Greater Bay Area have accelerated the transition from the previous property-dominated profit structure. 

In its real estate business, the company reported annual revenue of RMB 1.234 billion and net profit of RMB 229 million in 2024. With no new project deliveries, revenue and profits from property sales declined significantly year-on-year. As inventory clearance gradually progresses and the agricultural business grows steadily, the company's healthy operations will be further strengthened. 

Digital Solutions Overcome Cost Pressures: Notable R&D Achievements

Over the past year, amid the industry's "low-margin" competition, the company achieved excellent results in breeding efficiency and cost control through deep integration of digitalization and industrialization, demonstrating the resilience of high-quality pig farming development. Data shows that in February 2025, the company's full breeding cost decreased to RMB 13.67/kg, positioning it among the industry's top performers. 

Specifically, the company adopted a "high-rise cluster + 6750 integrated self-breeding and self-raising" model, supported by eight intelligent farming systems, effectively improving breeding efficiency. Advanced technologies including precision nutrition systems, four-week batch production models, three-batch hog sales strategies, and metagenomic sequencing further enhanced production levels, achieving cost reductions and efficiency improvements. 

The annual report shows the company's R&D investment in 2024 reached RMB 52.1089 million, a year-on-year increase of 20.89%. By year-end, it had accumulated 34 national patents and 9 software copyrights. Through ongoing collaboration with institutions including South China Agricultural University, the company undertook national "14th Five-Year Plan" R&D projects, won the Guangdong Provincial Agricultural Technology Promotion Award, and led the approval of the Guangdong Provincial Local Standard "Technical Specifications for Biosafety in Multi-Story (Building) Large-Scale Pig Farms." 

Active Support for Rural Revitalization: Advancing ESG Initiatives

The company's investments in new quality productivity extend beyond efficiency and cost reduction to green ecology and rural revitalization. In 2024, it signed a Strategic Cooperation Framework Agreement with the Guangdong Academy of Agricultural Sciences' Institute of Animal Science to jointly develop environmentally friendly pig farms, providing practical cases and technical support for sustainable agricultural development. 

Furthermore, adhering to the principles of "reduce, reuse, recycle," the company integrated crop cultivation with its four major project sites to establish a circular farming system. Through organic fertilizer application, it improved soil fertility and supported farmers' production. Statistics indicate the company donated over 1,600 tons of organic fertilizer last year, helping villagers reduce costs and increase income. 

Shenzhen Kingkey Smart Agriculture Times has long actively responded to national policies and deeply participated in rural revitalization initiatives. In 2024, it established "Guangdong Kingkey Smart Agriculture Times Ecological Agriculture Co., Ltd." to expand the "company + family farms" model, leveraging advanced technology spillover effects to stimulate rural economic vitality and promote industrial upgrading. In rural public welfare, the company invested a total of RMB3.38 million in 2024 through initiatives including holiday visits, care for the elderly and children, educational donations, cultural sponsorships, and rural infrastructure funding, comprehensively supporting rural revitalization. 

With continuous efforts in environmental, social and governance (ESG) areas, the company has received numerous accolades including "Outstanding Rural Revitalization Practice Case for Listed Companies," "ESG Exemplary Enterprise Award," and "High-Quality Development Listed Company." 

As an agricultural and animal husbandry listed enterprise, Shenzhen Kingkey Smart Agriculture Times remains committed to its strategic focus on agriculture, anchored to the goal of high-quality development. The successful transformation and cost-efficiency achievements in 2024 have laid a solid foundation for its growth in smart farming. Moving forward, the company will continue to pursue high-quality development, deepen its expertise in smart agriculture, and establish itself as a benchmark for agricultural industrialization, creating more value for shareholders and society while contributing to rural revitalization and agricultural modernization.