On January 20, 2026, China’s pork enterprise giant, Hunan Xinfeng Holdings Co., Ltd. (Xinfeng), announced that it expects a net loss of 700 million to 960 million yuan for the fiscal year 2025, shifting from profit to loss. In the same year, Xinfeng reported an increase of 1 million in pig sales compared to the previous year.
Xinfeng released the “2025 Annual Performance Forecast Deficit Announcement” on January 20. The announcement indicated, “It is expected that the net profit attributable to the owners of the parent company for the year 2025 will be between -700 million yuan and -960 million yuan. It is also anticipated that the net profit attributable to the owners of the parent company after deducting non-recurring gains and losses for the year 2025 will be between -720 million yuan and -980 million yuan. Compared with the same period last year (statutory disclosure data), a loss is expected.”
In the previous year of 2024, Xinfeng had a profit of 39.3204 million yuan.
The announcement explained the reasons for the losses, stating, “The main reason is the significant decrease in the prices of live pigs during the reporting period compared to the same period last year. Due to the decline in live pig prices, the company made provisions for inventory depreciation on consumable biological assets in accordance with enterprise accounting standards and prudence principles.” Additionally, “If there are significant fluctuations in the prices of live pigs, feed, and raw materials in the market, deviating significantly from the company’s expectations, it may lead to an impairment of the company’s biological assets beyond the original forecast, resulting in a decline in performance for 2025.”
An article by “Daily Economic News” on January 20 reported that Xinfeng’s pig sales for 2025 were approximately 5.4224 million, compared to 4.1663 million in 2024, indicating an over 25% increase in pig sales volume for Xinfeng in 2025. Xinfeng’s main business operations include pig farming, meat sales, and feed processing, with pig sales revenue accounting for a significant proportion. The drop in pig prices has severely impacted the company, leading to significant losses.
Another Chinese pork enterprise giant, Wuhan Muyuan Food Co., Ltd. (Muyuan Group), is also expecting a significant decline in profits in 2025. In the “2025 Annual Performance Forecast” released on January 16, Muyuan Group stated that the net profit for 2025 is expected to decrease by 12.2% to 17.79% compared to the previous year, while the net profit attributable to shareholders of the listed company after deducting non-recurring gains and losses is anticipated to decrease by 14.12% to 19.45% on a year-on-year basis. The profit has also seen a sharp decline.
2025 is widely seen as a downturn year in the pig cycle, mainly due to the industry’s high capacity, continued low market demand, and rising costs of pig farming inputs such as feed. These factors have contributed to the Chinese pig farming market remaining at a low level.
Public records show that Hunan Xinfeng Holdings Co., Ltd. was established on June 26, 2001. The company went public on the Shanghai Stock Exchange in June 2004, with its main business covering pig farming, feed production, meat processing, and live pig exports.