BEIJING (Reuters) - Chinese animal feed maker Beijing Dabeinong Technology Group Co Ltd 002385.SZ said on Wednesday its first-half net profit plunged 67.67% as an African swine fever outbreak hurt feed demand and hit earnings from its pig farms.
The firm reported net income 33.6 million yuan ($4.76 million) compared with profits of 104 million yuan a year ago. Revenue was 8.1 billion yuan, down 10.26%.
The company is one of China’s biggest feed makers with output of 4.6 million tonnes last year, most of it targeted at pigs.
The African swine fever epidemic has swept through the country’s huge hog herd over the last year reducing its size by at least a third and severely hurting feed demand.
Dabeinong said its pig farming operations have also suffered, without providing detail. It moved into pig production in 2016 with a goal of producing 10 million pigs by 2021. Last year it produced 1 million from its wholly-owned farms.
The company, which also makes crop seeds and vaccines, said in May that chairman Shao Genhuo, its controlling shareholder with a 42.25% stake in the firm, planned to shed up to a 3% stake in the company within three months.
Reporting by Dominique Patton. Editing by Jane Merriman
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