As a company with significant influence in the pig breeding and feed business, Dongrui Co., Ltd. (stock code: 001201) faced multiple challenges within and outside the industry in 2023. This article will thoroughly analyze the 2023 financial data of Dongrui Co., Ltd. and explore its performance in terms of key financial indicators such as assets, liabilities, profit, and cash flow, and the operating conditions behind it.
Judging from the balance and liability data, the total assets of Dongrui Co., Ltd. increased from 4.716 billion yuan at the end of 2022 to 6.095 billion yuan, an increase of 29.23%, indicating that the size of the company is expanding. Total liabilities also increased from 1.61 billion yuan to 2,588 billion yuan, and the balance ratio increased from 34.14% to 42.47%, reflecting the company's increased financial leverage to expand the scale of operations. Despite the increase in liabilities, net assets attributable to shareholders of listed companies have also increased, thus maintaining the stability of the company's capital structure.
In terms of profit, Dongrui Co., Ltd.'s revenue in 2023 was 1,037 billion yuan, down 14.77% year on year, mainly due to the decline in pig sales prices. Net profit was -516 million yuan. Compared with 42.9 million yuan in the same period last year, the company changed from profit to loss, mainly affected by the continued slump in pig prices throughout the year. Furthermore, the sharp decline in gross margin and net profit margin also reflects the cost pressure and declining profitability problems faced by the company.
In terms of cash flow, net cash flow from operating activities was -178 million yuan, a sharp decrease compared with 12.4 million yuan in the same period last year, mainly due to a decrease in sales revenue due to falling pig prices. Despite this, the company's net cash flow generated through fund-raising activities increased substantially, demonstrating the company's ability to raise capital and supporting its long-term development.
In summary, Dongrui Co., Ltd. faced the serious challenge of low pig market prices in 2023, which led to a decline in both the company's operating income and net profit, and its profitability was seriously affected. However, by increasing financial leverage and effective capital raising activities, the company has maintained the stability of its capital structure and laid the foundation for future development. Looking forward to the future, Dongrui Co., Ltd. needs to further optimize the cost structure, improve operating efficiency, and actively seek market diversification to meet industry challenges and restore and enhance profitability.