Stock Code: 002714 StockAbbreviation: Muyuan Foods Announcement No.: 2024-024
Bond Code: 127045 BondAbbreviation: Muyuan
Convertible Bond
Summary of 2023Annual Report of Muyuan Foods Co., Ltd.
I．Important Notes
This summary is abstracted from the 2023Annual Report of Muyuan Foods Co., Ltd.. Investors
may refer to the full text of the report through the media designated by the China Securities
Regulatory Commission (CSRC) for further details of the business performance, financial situation
and future development plans of Muyuan Foods Co., Ltd. (hereinafter referred to as "the Company").
All directors attended the board meeting on which this report was reviewed.
Notes on non-standard audit opinion
Applicable NotApplicable
Preliminary plan for profit distribution or capitalization of reserves in the reporting period as
deliberated by the board
Applicable NotApplicable
The Company plans no cash dividend distribution, bonus issue, or converting capital reserve into
share capital.
II. Basic Information of the Company
1. Company Profile
Stock abbreviation Muyuan Foods Stock code 002714
Stock Exchange for stock listing Shenzhen Stock Exchange
Stock abbreviation before change (if any) None
Contact information Secretary of the Board SecuritiesAffairs
Representative
Name Qin Jun Cao Fang
Longsheng Industrial Park, Longsheng Industrial Park,
OfficeAddress Wolong District, Nanyang City, Wolong District, Nanyang
Henan Province, China City, Henan Province, China
Fax 0377-66100053 0377-66100053
Telephone 0377-65239559 0377-65239559
E-Mail myzqb@muyuanfoods.com myzqb@muyuanfoods.com

2. Main Business or Products Introduction during the Reporting Period
(I) Summary of the Company’s Operation
In 2023, the Company sold 63.816 million pigs, including 62.267 million commercial pigs (of
which, 13.266 million were sold to the wholly-owned subsidiary Muyuan Meat Co., Ltd. and its
subsidiaries), 1.367 million piglets, and 181 thousand breeding pigs.And totally, 13.260 million pigs
were slaughtered and 1.405 million tons of fresh and frozen pork products were sold in 2023.
As a result, the Company achieved an operating revenue of RMB 110.86 billion yuan in 2023,
showing a YOY decrease of 11.19%. Among the total revenue, the revenue attributable to slaughter
and meat processing is RMB 21.86 billion yuan, representing a YOY increase of 48.54%. The net
profit was RMB -4.17 billion yuan, representing a YOY decrease of 127.91%.
In 2023, the Company made continuous efforts in refined management to enhance pig health
and production management and improved pig farming results. In 2023, the Company improved its
major production indicators, and the annual average full cost of raising a commercial pig was around
15 yuan per kilogram. In the coming years, the Company will continue to make smooth the technical
path and optimize production management. With better herd health level, various production
indicators are expected to be further improved.
In 2023, the Company made continuous efforts in improving the efficiency of slaughterhouses
that are in operation, expanding meat sales markets and channels, optimizing client structure and
improving operating results. As a results, the capacity utilization rate of the slaughtering and meat
processing division increased to 46% in 2023 from the 25% in 2022 and the loss per pig reduced
significantly. In2024,theslaughteringandmeatprocessingdivisionwillstrivetomakemoreprogress
in the development of markets, channels, and customer demands, and make better internal production
management to enhance its comprehensive operational capability and profitability, so as to supply
high-quality pork products to customers across the country.
The year 2023 witnessed the Company’s further transformation from a high-speed development
to a high-quality and stable development. The Company continuously promoted the construction of
supportingfacilitiesforplanned pigfarms, improvedthebiosecurityinfrastructures, and strengthened
the cost-control ability of pig farming. It also expanded to the upstream and downstream of the
industrial chain.Asubsidiary of grain trading was established to lower purchase costs.And slaughter
business was distributed to match the existing pig production capacity to provide more high-quality
pork foods to the public. As of the end of 2023, the Company had 308 wholl