The company's profit last year was lower than expected, especially in the fourth quarter. According to media reports, Arowana Company, a leading A-share food company, released a financial report showing that revenue increased by 14% last year, while profit only increased by 1 1%. Previously, the organization predicted that the company's profit was at least 7 billion, but the final financial report showed that the company only had a profit of 6 billion. It can be said that this figure is far less than expected. It is also because of this news that Arowana's share price plummeted immediately after it released its financial report. Many investors think that the financial data of Arowana is not as good as expected.

Especially in the fourth quarter of last year, the company only wanted to make a profit of 900 million yuan, much lower than previous quarters. As for the reason for the sudden drop in profits, the company explained that the futures derivatives purchased by the company suffered losses, but because the company has inventory, the future profits should be able to return to normal as the inventory is sold.

Others pointed out that the share price of Arowana has been adjusting since last year. As a food company, its P/E ratio is really too high, but the profit of 6 billion has a market value of 600 billion. This is obviously unreasonable. This price-earnings ratio is almost catching up with technology companies, and the future adjustment of Arowana's share price may not end. Those who want to add positions will have to wait for a while.

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It may be futures hedging business. Arowana said,? In the fourth quarter of 2020, compared with the fourth quarter of 20 19, the performance of feed raw materials business declined, mainly due to the increase in raw material prices and the impact of hedging derivatives priced at market value at the end of the year. ?

However, in general, the hedging operation of an enterprise corresponds to the spot, and the closing loss of hedging will also correspond to the appreciation of the spot. Arowana said that the loss of futures hedging business will be gradually reversed with product sales. However, it's hard to say how much I can go back.