Gelonghui, March 26, 丨 China Shengmu (01432.HK) announced that for the year ended December 31, 2023, operating income was 3.52 billion yuan, up 5.5% year on year; profit attributable to parent company owners was 86.076 million yuan, a decrease of 79.3% year on year; the board of directors of the company recommended a final dividend of 0.23 HK cents per common share (2022: HK1.13 HK cents).
The Group's main business is dairy farming, production and sale of high-end desert organic raw milk and high-quality non-organic raw milk. The Group focuses on the production and sale of organic milk in the desert, while meeting the diversified needs of customers for high-quality raw milk, and continuously develops a variety of functional raw milk to enrich the company's product structure and enhance the company's profitability. In 2023, the Group's daily fresh milk production exceeded 2,000 tons for the first time, reaching 2,119 tons. Among them, there are 18 certified organic farms, which produce 1,667 tons of fresh milk per day; 2 DHA dairy farms, which produce 133 tons of fresh milk per day; and 1 organic A2 dairy farm, which produces 34 tons of fresh milk per day. The diversified and high-end product structure gives the Group a clear competitive advantage in the raw milk industry.
As of December 31, 2023, the Group operated 34 ranches, including 2 fattening cattle ranches. The number of dairy cows and fattening cows in the Group was 148,029, an increase of 8.6% over the end of the previous year. Among them, the number of organic cows kept was 96,165 and the number of non-organic cows was 51,864.
During the year, the Group continued to optimize the herd structure, strategically retiring inefficient cows, and the overall quality of the herd improved markedly. The proportion of adult dairy cows was about 47.0%, and reserve cows maintained a healthy and benign development trend.