Wens Foodstuff posts 4.96 billion yuan nine-month net loss on lower hog prices

Wens Foodstuff Group (温氏股份, 300498.SZ) reported a net loss attributable to shareholders of 4.961 billion yuan for the first nine months of 2026, according to its quarterly report as covered by CLS, Yicai, 36Kr and Jiemian. 36Kr said net profit in the same period a year earlier was 5.256 billion yuan. Nine-month revenue was 72.197 billion yuan, down 4.74% year on year. [ 1 , 2 , 3 , 4 ]

For the third quarter alone, revenue was 25.450 billion yuan, down 1.88% year on year, and net loss attributable to shareholders was 596 million yuan. CLS noted that the second-quarter net loss was 3.296 billion yuan, and said the company remained loss-making in the third quarter. The company said the change was mainly due to a sharp fall in the price of hogs, its main product, which led to a large loss in its pig business. [ 1 , 3 , 4 ]

Jiemian called the company a leading pig producer and said its shares rose 1.2% to 16.04 yuan at the time of writing on October 22, after first falling. A staff member on the company's investor hotline told Jiemian that most of the nine-month loss came in the first half, which they put at 4.4 billion yuan, and that the cause was low hog prices across the industry. The same person said the third-quarter loss narrowed mainly because the chicken business did well. [ 4 ]

Sales data in the company's announcement, as cited by Jiemian, showed hog sales volume rising from 2.7421 million head in July to 2.9883 million in September, and revenue from 3.662 billion yuan to 4.056 billion yuan. The average hog price was 10.80 yuan per kg in July, 10.86 in August and 10.75 in September, which was 18.44% lower than a year earlier. Chicken sales rose from 112.5924 million birds to 125.9571 million, with revenue from 2.721 billion yuan to 3.731 billion yuan, and the average price rose from 11.49 to 14.20 yuan per kg, up 4.95% year on year in September. [ 4 ]

Jiemian said that at an investor event in September the company expected a possible consolidation turning point in hog prices around the Spring Festival, though it said industry and market views differ on the timing and size of a reversal. The company said the industry broadly expects profit in 2027 with fairly high certainty, depending on prices in the third and fourth quarters of this year and on capacity reduction. It gave reasons why capacity reduction has been slow, including stronger finances at large producers. [ 4 ]

Jiemian also cited national statistics showing 36.02 million breeding sows at the end of the third quarter, down 10.7% year on year and 96.0% of the normal level of 37.5 million. It described this as the first fall below the regulatory benchmark since the capacity control mechanism began. It also quoted CITIC Securities, Great Wall Securities and Guosheng Securities, which expect supply pressure to ease or prices to recover. [ 4 ]