Stock Code: 002496 Stock Abbreviation: *ST Fuhong Announcement No.: 2026-035
Jiangsu Fuhong Bio-Agriculture Co., Ltd.
Announcement on the Reply to the 2025 Annual Report Inquiry Letter from the Shenzhen Stock Exchange
Jiangsu Fuhong Bio-Agriculture Co., Ltd. (hereinafter referred to as the "Company" or "Fuhong Shares") received the "Inquiry Letter Regarding the 2025 Annual Report of Jiangsu Fuhong Bio-Agriculture Co., Ltd." (Company Annual Report Inquiry Letter [2026] No. 73, hereinafter referred to as the "Inquiry Letter") issued by the Listed Company Management Department II of the Shenzhen Stock Exchange on April 27, 2026. In accordance with the requirements of the Shenzhen Stock Exchange, the Board of Directors has conducted an investigation and hereby provides the following responses to the matters involved in the Inquiry Letter:
In the responses to the questions in the Inquiry Letter, any discrepancies between the sum of the items and the total are due to rounding. Any future plans or forward-looking forecasts in this response do not constitute a commitment by the Company to investors.
I. Regarding the Company's Operating Performance by Segment
- The annual report shows that the Company's pesticide formulation and fertilizer business revenue was 175 million yuan, a year-on-year increase of 25.19%; operating costs were 145 million yuan, a year-on-year increase of 46.65%, with the cost increase far exceeding the revenue increase. The gross margin for this business was 17.18%, a decrease of 12.12 percentage points from 29.30% in the previous year. The production, sales, and inventory volumes of pesticide formulations and fertilizers were 5733.29T/KL, 3379.48T/KL, and 3020.40T/KL respectively, all showing significant year-on-year growth. The notes indicate that Shangwei Ecology was included in the consolidation scope during the reporting period, and new small-molecule functional fertilizers were added. Please:
(1) List the revenue, cost, and gross margin of the pesticide formulation and fertilizer business by quarter and by product, and if there is significant fluctuation in gross margin between quarters, please explain the reasons;
[Company Response]:
- The revenue, cost, and gross margin of the Company's pesticide formulation and fertilizer business by product for the 1st to 4th quarters of 2025 are as follows:
Unit: 10,000 yuan
| Product | Item | Q1 | Q2 | Q3 | Q4 | Full Year |
|---|---|---|---|---|---|---|
| Pesticide Formulation | Operating Revenue | 3,329.64 | 2,868.97 | 1,037.20 | 4,228.99 | 11,464.80 |
| Operating Cost | 2,283.02 | 2,432.50 | 840.70 | 3,637.77 | 9,193.99 | |
| Gross Margin | 31.43% | 15.21% | 18.95% | 13.98% | 19.81% | |
| Fertilizer Business | Operating Revenue | 1,293.70 | 1,575.60 | 893.23 | 2,233.34 | 5,995.87 |
| Operating Cost | 1,150.64 | 1,308.48 | 845.73 | 1,961.72 | 5,266.57 | |
| Gross Margin | 11.06% | 16.95% | 5.32% | 12.16% | 12.16% |
II. Reasons for Significant Fluctuations in Quarterly Gross Margin
(I) Pesticide Formulation Business