On March 8, GLONGHUI | Primitive Animal Husbandry (01431.HK) announced that the company expects to record a net loss of about RMB 320 million to RMB 370 million for the year ending December 31, 2023, compared with a net profit of about RMB 23 million for the previous year.
According to the Board of Directors, the net loss was mainly due to (i) changes in the fair value of biological assets due to a decrease in the price of raw milk, resulting in increased losses in sales costs; and (ii) impairment losses recorded by the property, plant and equipment of an indirect wholly-owned subsidiary of the company.