Juewei underreported revenue for five years — China's 'duck neck king' got ST'd

Juewei Food, China's largest braised snack chain and the 'duck neck king' with over 15,000 stores at its peak, was caught systematically underreporting revenue from 2017 to 2021. The company failed to recognise franchise store renovation revenue in its annual reports, understating revenue by 5.48% in 2017, 3.79% in 2018, 2.20% in 2019, 2.39% in 2020 and 1.64% in 2021 — a total of roughly ¥700 million over five years.

On September 23, 2025, the CSRC's Hunan bureau imposed a special-treatment (ST) designation on the stock, restricting daily trading to a 5% limit. The company and its executives were fined a combined ¥8.5 million, with chairman Dai Wenjun personally fined ¥2 million. The financial crisis was compounded by a collapse in the core business: Juewei closed roughly 5,000 stores from its 2023 peak of 15,950, reported its first-ever annual loss in 2024 (¥191 million), and projected a further loss of up to ¥220 million for 2025. Market cap had fallen by roughly ¥50 billion from its peak.