Shanghai Kaichuang Marine International Co Ltd

The Shanghai Stock Exchange issued an inquiry letter regarding the performance fluctuations in Kaichuang International's 2025 annual report and 2026 first-quarter report. The company replied that its 2025 net profit rose 20.76% to 74 million yuan, mainly driven by increased canned food sales in the North American market, a doubling of krill catch that diluted costs, and a reduction in income tax expenses. In the first quarter of 2026, revenue was 501 million yuan, down 14.13% year-on-year, with a net loss of 35 million yuan, a decline of 372.22% year-on-year. The main reason was a temporary fishing ban in the Gilbert Islands waters of Kiribati, which caused tuna catch volumes to drop 24.96% to 23,500 tonnes, preventing fixed costs from being spread, and reducing gross profit in that segment by 92.41 million yuan year-on-year. Regarding the anomaly of the lowest quarterly revenue but highest net profit in the third quarter of 2025, the company explained that it received a subsidy of 53.5386 million yuan from the Shanghai Municipal Agriculture and Rural Affairs Commission during that period. Under the net method, this was used to offset operating costs, pushing the book gross margin of tuna to 71.75%. Excluding the subsidy, net profit attributable to the parent company was approximately 8.25 million yuan, and quarterly gross profits matched changes in catch volumes, with no cross-period profit adjustments.