Chicken farmer sees 2,700% profit leap


  • Business
  • Wednesday, 10 Jul 2019

Beijing: A poultry company from eastern China said its profit will soar as much as 2,693% thanks to higher prices of white-feathered chickens.

Shandong Yisheng Livestock and Poultry Breeding Co expects to report first-half net income of 900 million to 905 million yuan (US$131mil), compared with just 32 million yuan in the same period last year, according to a filing to the Shenzhen stock exchange. The profit guidance followed “significant price hikes” on white-feathered broilers due to tight supply. Broilers are chickens raised for meat production.

Yisheng’s shares rose as much as 7.5% yesterday before paring the gains and closing little changed. They’ve now advanced 200% this year.

“The way a company’s earnings can go up more than 2,000% is sure to attract attention, but even with a shortage in supply, that kind of growth can only show it had a very low base to begin with,” said Yang Hao, an analyst at China Post Securities Co in Beijing.

“Earnings that fluctuate like this do not belong to companies of high quality.” — Bloomberg

Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
   

Next In Business News

Asia shares spooked by US inflation scare, hope for Fed calm
Asia shares spooked by US inflation scare, slip to 7-week lows Thursday
Bitcoin ticks back in Asia after Musk tweet sent price down 17%
Tesla stops taking bitcoin payments for vehicles over climate concerns
Vegetable Oils surge, Soy futures reach highest since 2012
Jobs, inflation data surprises not changing Fed plans
Oil price rises to 8-wk high on demand hopes, U.S. export decline
GLOBAL MARKETS-Wall Street skids on inflation fears; USD, bond yields jump
Capitalising on loan growth
Teo Seng invests in new equipment

Stories You'll Enjoy


Vouchers