Wens Foodstuffs (300498 CH): Price Recovery from Trough Narrows 3Q26 Losses

Wens Foodstuff significantly narrowed its losses QoQ in 3Q26, as rising yellow-feather broiler prices supported poultry profits and hog farming losses narrowed sequentially. The complementary earnings profiles of its poultry and hog businesses are increasingly evident, while production costs remain highly competitive. Despite deep losses across the industry, the company achieved broadly breakeven operating cash flow in 9M26. Hog sales reached 26.51mn head in 9M26, with approximately 8.70mn head sold in 3Q26; the average commercial hog selling price rose approximately RMB1.3/kg QoQ to RMB10.8/kg, and all-in hog farming costs were approximately RMB12.0/kg, implying a loss of around RMB144/head versus approximately RMB325/head in 2Q26. Broiler sales totaled approximately 996mn birds in 9M26, with about 363mn birds in 3Q26;