Yunnan Jinggu Forestry subsidiary announces temporary production halt

Yunnan Jinggu Forestry (SSE: 600265) announced its subsidiary, Tang County Huiyin Wood Industry, will temporarily halt production. Huiyin Wood’s particleboard line will suspend operations for up to 51 days, including 14 days for equipment maintenance. The fiberboard line will be down for up to 23 days. The company cites low customer demand, sufficient inventory, scheduled maintenance, and the upcoming Lunar New Year holiday as reasons. Huiyin Wood contributed 92.54% of the parent company's total artificial board output and 87.90% of its revenue in the first nine months of 2024. The temporary halt is expected to reduce Q1 2025 artificial board output by 23,200 cubic meters compared to the same period last year. Management believes existing inventory will meet sales needs during the shutdown and does not anticipate a material impact on 2025 financial results.