Gelonghui September 10 | Shennong Seed Industry (300189.SZ) announced that on September 6, 2024, Super Typhoon No. 11 of this year made landfall in Wengtian Town, Wenchang City, Hainan Province. At the time of landfall, the maximum wind force near the center was above level 17, making it the strongest autumn typhoon to land in China since 1949, causing serious disasters in many parts of Hainan.
After the typhoon warning was issued, Hainan Shennong Seed Industry Technology Co., Ltd. (hereinafter referred to as the “Company”) has initiated an emergency plan to prevent Taiwan in advance, actively organized and investigated hidden risks, focusing on wind and flood control preparations for assets and facilities related to the company's wholly-owned Sun Company in Danzhou City, Hainan Province (hereinafter referred to as “Shennong Seed Source”), and implemented a series of protective measures to reinforce and protect deep-sea aquaculture cages, transfer of engineering facilities, research and production equipment, etc., and stopped production in an orderly manner.
After the typhoon disaster, some of the company's base buildings, equipment, inventory, etc. were damaged to a certain extent, but there were no casualties. The main losses are concentrated at the Shennong Seed Source Deep Water Cage Breeding Base and the Takane Temporary Breeding Base. Preliminary estimates suggest that the direct loss amount of the invested costs is about 20 million yuan, and the indirect loss amount of gross profit from sales is expected to be around 31 million yuan. The damage to deep-water cage equipment is currently being assessed. The company has made every effort to organize emergency repairs, and will quickly carry out repairs and resume production. It is expected that there will be no significant impact on the company's financial situation.