Shuanghui Development 2025 Annual Report: Profit Growth Demonstrates Resilience, Reform Benefits Gradually Materialize

Under multiple challenges such as weak consumer demand, restructuring of distribution channels, and intensified market competition, the domestic meat industry leader Shuanghui Development has delivered an annual report that is “resilient.”

In 2025, the company achieved operating revenue of 59.274 billion yuan, with a net profit attributable to shareholders of 5.105 billion yuan, representing a year-on-year growth of 2.32%. The total external sales volume of meat products reached 3.42 million tons, up 7.81% year-on-year.

The operational resilience demonstrated by Shuanghui Development during the industry adjustment period is not only due to its solid foundation across the entire industry chain but also benefits from the company’s forward-looking layout in products, channels, and digitalization. With the in-depth implementation of the “industrialization, diversification, internationalization, and digitalization” strategy, Shuanghui Development is building a diversified growth pole that transcends cycles.

Counter-Cyclical Growth Shows Resilience

In 2025, the meat industry remained in the downward phase of the “pig cycle.” Live pig prices fluctuated at a low level. According to data monitored by the Ministry of Agriculture and Rural Affairs, the average prices for live pigs, piglets, and pork in 2025 were 14.44, 32.99, and 25.23 yuan/kg, respectively, down 9.2%, 15.4%, and 8.8% year-on-year.

At the same time, the overall driving force for pork consumption in 2025 was weak. Data jointly released by the Ministry of Agriculture and Rural Affairs, the National Development and Reform Commission, and other five departments indicated that the per capita pork consumption of residents was 26.6 kg, a year-on-year decrease of 5.4%, marking a continuous decline for two years, with a drop of 7.8% in 2024.

Against this backdrop, while the entire industry faced performance pressure, Shuanghui Development achieved counter-cyclical profit growth through “volume compensating for price,” demonstrating the operational resilience of an industry leader.

In 2025, the company realized revenue of 59.274 billion yuan, with total profit amounting to 6.673 billion yuan, up 0.2% year-on-year; the net profit attributable to shareholders was 5.105 billion yuan, up 2.32% year-on-year; and the net profit excluding non-recurring gains and losses was 4.939 billion yuan, up 2.63% year-on-year.

The total external sales volume of meat products for the year reached 3.42 million tons, up 7.81% year-on-year, setting a historical new high. Among these, the sales volume of fresh poultry products was 406,200 tons, up 20.07% year-on-year; the sales volume of fresh pork products was 1.556 million tons, up 15.83% year-on-year. The strong growth in sales significantly cushioned the impact of falling pork prices on the company’s performance.

From a business perspective, the meat products and slaughtering businesses remain the performance pillars of Shuanghui Development. The slaughtering business achieved operating revenue of 29.250 billion yuan, accounting for about 49.35% of total revenue; the meat products business achieved operating revenue of 23.527 billion yuan, accounting for about 39.69%. The gross profit margins of both major businesses have improved, with the profit per ton of meat products being approximately 4,736 yuan, a slight increase of 0.8% year-on-year, maintaining a historically high level.

Notably, Shuanghui Development’s “other businesses” (mainly including poultry and pig farming, as well as poultry slaughtering and sales, etc.) achieved revenue of 12.063 billion yuan, a year-on-year increase of 21.12%.

It is worth noting that Shuanghui Development continues its consistent high dividend policy. In 2025, it plans to distribute a cash dividend of 8.00 yuan (including tax) for every 10 shares to all shareholders. Including the interim dividend, the total cash dividend for the year reached 5.024 billion yuan, with a dividend payout ratio as high as 98.42%. Since its listing, Shuanghui Development has implemented cash dividends for 26 consecutive years, fulfilling its commitment to shareholder returns with tangible actions.

Shuanghui Development’s “Internal Strength”

Data shows that the market size of China’s meat products is expected to reach 2.18 trillion yuan in 2025, which is vast, but it still faces issues such as cost fluctuations caused by the upstream pig cycle, product homogeneity, and increased operational difficulties due to fragmented distribution channels.

Faced with a complex market environment, Shuanghui Development is still able to achieve profit growth, which is backed by a profound “internal strength” honed through market cycles.

It is important to note that the average gross profit margin in the meat products industry is only 5-7%, and the ability to control costs directly determines the survival threshold and development space for enterprises. One of the secrets of Shuanghui Development is that the company has achieved a complete ecological coverage from feed, farming, slaughtering, processing, to sales. The entire industry chain layout not only smooths out raw material price fluctuations but also continuously explores cost reduction and efficiency improvement through efficient collaboration across all links.

Currently, the company has 20 modern slaughtering bases nationwide, including Baoquanling, Shenyang, and Fuxin, with an annual slaughtering capacity of over 26 million pigs, ranking among the industry leaders. At the same time, it has built more than 30 high-standard meat processing bases nationwide, with an annual production capacity exceeding 2 million tons, maintaining the top market share in the industry.

Moreover, in response to the shift in consumer markets from “basic needs” to “quality, convenience, and health,” as well as the emergence of a K-shaped consumption structure (with both high-end and cost-effective demands), Shuanghui Development demonstrates keen market insight.

The company has constructed a diversified product matrix covering four major categories: high-temperature, low-temperature, frozen, and snacks, boasting over a thousand products. On one hand, the company consolidates its basic consumer base, with the classic star product “Shuanghui Wangzong” firmly established; on the other hand, it actively explores new high-end and health-oriented market segments.

In response to health trends, Shuanghui Development has launched low-sugar, low-fat, low-sodium, high-protein products such as “Shuanghui Pro Pork Sausage” and “Light Salt Luncheon Meat” to meet quality consumption needs. Leveraging high-end brands like Smithfield and Argal, the company introduces Western-style specialty products while launching the Chinese brand “Lufu Zhai” to develop products like sauced beef shank and spicy chicken, promoting the industrialization of Chinese products.

Additionally, on the channel side, Shuanghui Development has established a comprehensive channel layout, creating a multi-dimensional sales network that integrates online and offline, traditional and emerging channels. By the end of 2025, the number of distributors had reached 22,427, a net increase of 1,563 from the beginning of the year, with over 2 million sales terminals, forming a capillary network that deeply covers the national market. At the same time, the company is vigorously expanding new channels such as e-commerce live streaming, instant retail, community group buying, and bulk snacks.

Reform Dividends Gradually Realized

The financial report is not only a summary of past achievements but also a window to observe future strategies. In the face of industry uncertainties, Shuanghui Development is guided by the “Four Modernizations” strategy (industrialization, diversification, internationalization, and digitalization), injecting continuous momentum for long-term development.

It is noteworthy that in the rapidly evolving landscape of AI technology, Shuanghui Development is actively embracing technological reform. Looking ahead to 2026, Shuanghui Development plans to invest approximately 1.3 billion yuan for the whole year, with funding needs mainly met through its own funds. Investment directions include new projects, ongoing projects, technological transformation projects, and investments in individual equipment, with a focus on promoting automation, intelligence, and digital upgrades.

Specifically, in terms of technological upgrades, the company will accelerate the wide application of IoT, AI, BI, RPA, and other technologies in production, sales, marketing, supply chain, farming, and management processes.

In the production segment, AI visual recognition, intelligent evaluation, and automated processes will be used to drive cost reduction and efficiency improvement; in the sales segment, the company will deepen the digital construction of channels to empower point development and channel operations.

On the product side, the company plans to strengthen the development of high-end and cost-effective products and develop new products with zero sugar, low sodium, and clean labels around the concept of nutritional health to meet diversified and quality consumption needs.

Some analysts point out that future competition in the meat products industry will ultimately be a contest of overall supply chain efficiency and sustainable business models. Shuanghui, through its full-link layout and industry chain collaboration, will continue to lead with its cost control capabilities, technological research and development strength, and all-channel operational capabilities. Layer upon layer of flywheel motion allows Shuanghui Development to continuously expand its advantages amid industry fluctuations.

Several brokerage firms have given positive evaluations of Shuanghui Development’s performance in 2025 and its future outlook. Huachuang Securities believes that the company’s transformation in the meat products business has shown significant results, with emerging channels growing rapidly. It is expected that the meat products segment will achieve good growth in 2026, with profit per ton remaining high; the slaughtering business continues to expand its share under “steady volume and increased profits”; losses in the farming business are expected to narrow, making overall operations more stable, maintaining a “strong buy” rating. Shenwan Hongyuan Securities also stated that considering the growth in the company’s sales volume and profitability, it has slightly raised its future profit forecast.

Editor | Zhang Boran