Financial Services Association, April 24 (Reporter Wu Weiling) After announcing the 2023 and 2024 Q1 results, Ganyuan Foods (002991.SZ) opened low in early trading today and fell to a standstill during the intraday period for a while, drawing investors' attention.

At the company's performance briefing held this afternoon, the company's chairman Yan Binsheng said in response that stock price fluctuations are affected by various factors, that the company's management has full confidence in the business development in 2024, and that the company's products and channel development are very healthy.

Financial reports show that in 2023, Ganyuan Foods achieved operating income of 1,848 billion yuan, an increase of 27.36% over the previous year; net profit attributable to shareholders of listed companies was 329 million yuan, an increase of 107.82% over the previous year. In the first quarter of this year, the company achieved operating income of 586 million yuan, an increase of 49.75% over the previous year; net profit attributable to shareholders of listed companies was 91.29 million yuan, an increase of 65.3% over the previous year.

Today, Ganyuan Foods opened low in early trading, falling 8.54% a minute later, then falling all the way down to a standstill. Although the intraday market rebounded, it failed to turn red throughout the day. By the close, it was reported at 86.45 yuan/share, down 4.45%. Previously, the company's stock price experienced a wave of rise. Since the low on February 6, it has recorded a cumulative increase of 36.59%, and the highest price has reached 91.36 yuan/share.

A CFA reporter noticed that in the first quarter, the company's gross profit margin was 35.39%, down 0.96 percentage points from the same period last year. Looking at the breakdown, the gross margin of the distribution model increased by 1.52%, while the gross profit of the e-commerce model decreased by 10.55%. In response, Zhang Ting, director of the company, explained that mainly during the Spring Festival, the scale of online sales increased, and at the same time, promotions and discounts on products such as gift boxes were strong.

“The e-commerce profit situation in the first quarter was affected by short-term phased effects, and there will be no continuous significant impact on profits throughout the year. The company is also actively organizing the operating forces of traditional and emerging e-commerce channels, and gradually addressing the pressure on the cost side and cost side in terms of management.” At the results meeting, Zhang Ting, secretary of the company's board of directors, said.

It is worth noting that along with changes in casual snack channels, related companies are expanding their sales scale, while gross margins are under pressure, and cost control has become an issue that the industry needs to face.

Zhang Ting further said that looking at the whole year, the company optimizes product raw material costs at the source. This year, e-commerce channel companies will continue to increase sales of core classic products on the one hand, and introduce new products adapted to online marketing on the other hand to promote an overall increase in scale. At the same time, the company will strengthen online fee control and optimize the operating model to help increase the profit level of e-commerce channels.

Zhang Ting also mentioned that the company has already started overseas business work. Bean products are highly accepted by overseas customers. The company has made breakthroughs in adding new overseas customers and orders. Currently, it is still in the early stages of business development. In the future, with team formation and product expansion, the overseas business layout will be further improved.