Xinjiang Tecon Animal Husbandry Bio-Technology Co Ltd

Tiankang Bio released its 2026 interim report, showing total operating revenue of 8.325 billion yuan, down 5.89% year on year, while net profit attributable to the parent company was a loss of 441 million yuan, swinging from profit to loss with a decline of 230.50%. Net cash inflow from operating activities was 1.496 billion yuan, down 7.60% year on year. The company's asset-liability ratio was 55.56%, gross margin was 1.43%, return on equity was negative 6.96%, and diluted earnings per share was negative 0.32 yuan.

Tiankang Bio expects a net loss attributable to the parent of 400 million to 520 million yuan for the first half of 2026, compared with a profit of 338 million yuan in the same period last year. The company slaughtered 1.8484 million hogs in the first half, up 20.95 percent year on year, but persistently low hog prices led to periodic losses in the hog farming business, while the pharmaceutical business also saw a significant decline. Earlier, the company acquired a 51 percent stake in Qiangdu Livestock for 1.275 billion yuan. After the consolidation in June, the scale of hog slaughter increased substantially, but the risk of the industry cycle has not dissipated. If hog prices continue to fall, the target's profitability will come under pressure.