证券代码：002840 证券简称：华统股份 编号：2022-005 浙江华统肉制品股份有限公司投资者关系活动记录表 | --- | --- | --- | |-------------------------|-----------------------------------------------|----------------------------------------------------------| | | | | | | ☐ 特定对象调研 | ☐分析师会议 | | 投资者关系活动 | ☐ 媒体采访 | ■业绩说明会 | | 类别 | ☐ 新闻发布会 | ☐路演活动 | | | ☐ 现场参观 | ☐ 其他 | | 参与单位名称及 人员姓名 | 线上参与公司 2021 | 年度网上业绩说明会的投资者 | | 时间 | 2022 年 05 月 10 日 | 15:00-17:00 | | 地点 | 价值在线（ | https://www.ir-online.cn/ ） | | 上市公司接待人 | | 董事长兼总经理朱俭军、独立董事金浪、财务总监张开俊、董 | | 员姓名 | 事会秘书朱婉珍 ...

编号：2022-006 证券代码：002840 证券简称：华统股份 浙江华统肉制品股份有限公司投资者关系活动记录表 | --- | --- | |-------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | □特定对象调研 □分析师会议 | | 投资者关系活动 | □媒体采访 □业绩说明会 | | 类别 | □路演活动 | | | ■其他 | | | 鲁家瑞、江海航、李瑞楠 红土创新基金管理有限公司 张洋 麻锦涛 杨荔媛、吕 ...

Financial Performance - The company's revenue for Q3 2022 reached ¥2,561,261,774.59, representing a 57.17% increase compared to the same period last year[6] - Net profit attributable to shareholders was ¥104,445,123.69, a significant increase of 200.95% year-on-year[6] - The basic earnings per share rose to ¥0.19, reflecting an increase of 181.18% compared to the previous year[6] - The net profit attributable to shareholders reached ¥45,365,707.19, a significant increase of 909.18% driven by improved profitability in the pig farming segment[16] - Basic and diluted earnings per share increased by 600.00% to ¥0.07, reflecting enhanced profitability[16] - The total operating profit for the current period is approximately 59.34 million, compared to 33.51 million in the previous period, reflecting a significant increase[46] - The net profit for the current period is approximately 61.07 million, up from 7.62 million in the previous period, indicating a substantial growth[46] - The net profit attributable to shareholders of the parent company is approximately 45.37 million, compared to 4.50 million in the previous period, showing a strong improvement[48] - The total comprehensive income for the current period is approximately 61.07 million, compared to 7.62 million in the previous period, highlighting a positive trend[48] Assets and Liabilities - Total assets at the end of the reporting period amounted to ¥9,096,730,320.51, marking a 27.47% increase from the end of the previous year[6] - Current assets totaled ¥2,749,089,493.41, compared to ¥1,274,901,332.00 in the previous year, reflecting a significant increase of approximately 115.5%[31] - Total liabilities increased to ¥5,587,833,650.90 from ¥5,021,642,744.05, which is an increase of about 11.2%[38] - Long-term borrowings stood at ¥1,767,959,422.55, slightly up from ¥1,717,434,550.28, indicating a growth of about 2.8%[38] - The company's total equity increased to ¥3,508,896,669.61 from ¥2,114,626,268.21, reflecting a growth of approximately 65.7%[38] - The company's equity attributable to shareholders increased by 72.49% to ¥2,659,118,984.60 compared to the end of the previous year[6] Cash Flow - Cash flow from operating activities for the year-to-date was ¥164,450,567.20, up 43.48% year-on-year[6] - The net cash flow from operating activities was ¥164,450,567.20, up 43.48% compared to ¥114,616,506.45 in the previous period, mainly due to rising pig prices[16] - Cash flow from operating activities for the current period is approximately 164.45 million, compared to 114.62 million in the previous period, reflecting improved cash generation[52] - Cash flow from investing activities shows a net outflow of approximately 872.71 million, compared to a net outflow of 1.63 billion in the previous period, indicating reduced investment losses[55] - Cash flow from financing activities for the current period is approximately 1.50 billion, compared to 1.36 billion in the previous period, demonstrating strong financing capabilities[55] - The ending cash and cash equivalents balance is approximately 1.21 billion, up from 416.66 million in the previous period, indicating a significant increase in liquidity[55] - The company received approximately 1.19 billion in cash from investment, a notable increase from 174.10 million in the previous period, reflecting strong investor confidence[55] Expenses - Management expenses for the current period amounted to ¥129,658,280.53, an increase of 34.36% compared to the previous period due to increased management personnel and depreciation costs[16] - R&D expenses rose to ¥23,082,781.91, reflecting a 55.50% increase as the company expanded its R&D projects[16] - Financial expenses surged by 117.87% to ¥143,930,189.55, primarily due to the cessation of capitalizing costs related to pig farm production[16] - Research and development expenses for the quarter were ¥23,082,781.91, compared to ¥14,844,013.23 in the same period last year, representing a year-over-year increase of approximately 55.5%[43] Other Financial Metrics - The weighted average return on equity was 6.81%, an increase of 12.68% compared to the previous year[6] - Other income increased by 88.00% to ¥60,234,005.27, attributed to higher government subsidies received[16] - The company received government subsidies amounting to ¥17,842,595.26 during the reporting period[7] - The company reported an asset impairment loss of ¥75,664,993.48, a 397.68% increase due to rising pig prices affecting biological asset valuations[16] - Investment income turned negative at -¥2,398,323.16, a decline of 105.11% compared to the previous year, primarily due to the sale of subsidiary equity last year[16] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 10,428, with no preferred shareholders[17] - Total operating revenue for the third quarter of 2022 reached ¥6,419,283,549.56, an increase from ¥6,245,428,625.52 in the same period last year, representing a growth of approximately 2.8%[39] - Total assets as of September 30, 2022, amounted to ¥9,096,730,320.51, up from ¥7,136,269,012.26, indicating a year-over-year increase of about 27.5%[38]

Financial Performance - The company reported a significant risk of a sharp decline in operating profit due to various market pressures[4]. - Zhejiang Huatong Meat Products Co., Ltd. reported a revenue of RMB 1.2 billion for the first half of 2022, representing a year-on-year increase of 15%[33]. - The company achieved a net profit of RMB 150 million in the same period, up 20% compared to the previous year[33]. - The company's operating revenue for the reporting period was ¥3,858,021,774.97, a decrease of 16.42% compared to the same period last year[44]. - The net profit attributable to shareholders was -¥59,079,416.50, representing a decline of 154.72% year-on-year[44]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥100,741,855.89, a decrease of 268.66% compared to the previous year[44]. - The net cash flow from operating activities was -¥992,714.43, down 100.71% from the same period last year[44]. - Future guidance estimates a revenue growth of 12% for the full year 2022, driven by increased demand and market expansion efforts[33]. Market and Product Development - The main business revenue primarily comes from food products, including fresh pork and poultry, with a focus on food safety management to prevent potential brand damage[7]. - The company plans to expand its market presence by opening 10 new distribution centers across China by the end of 2023[33]. - New product lines, including organic meat products, are expected to launch in Q3 2022, targeting a 25% increase in sales from these products[33]. - The company is exploring potential acquisitions of smaller meat processing firms to enhance its market share and operational capabilities[33]. - The company is positioned as a key player in the agricultural industrialization sector, with a focus on integrated operations across feed processing, livestock farming, slaughtering, and meat processing[60]. Operational Risks - The company faces risks from animal diseases that could impact livestock supply and consumer demand, necessitating strict biosecurity measures[10]. - Fluctuations in raw material prices, particularly for feed ingredients like wheat and corn, are expected to affect the company's operating costs and net profit[13]. - The cyclical nature of pig prices may lead to significant impacts on the company's profitability, especially if the market enters a downturn[118]. - The company faces significant operational risks related to food safety, which could severely impact brand reputation and sales if not managed properly[114]. - Animal epidemic risks pose a threat to the company's livestock resources, potentially leading to increased costs and decreased sales if outbreaks occur[114]. Environmental Compliance - The company reported a total CODcr emission of 1.8136 tons per annum and ammonia nitrogen emission of 0.046181 tons per annum, with a permitted limit of 97.3 tons per annum for CODcr and 6.811 tons per annum for ammonia nitrogen[139]. - The company has reported no exceedance of emission limits during the reporting period[139]. - The company has implemented pollution control facilities that are operating normally and effectively during the reporting period[158]. - The company has established a comprehensive environmental monitoring plan, including regular third-party assessments[160]. - The company reported a total phosphorus discharge of 0.06 tons per annum in the reporting period[155]. Corporate Governance and Shareholder Relations - The company has developed a comprehensive corporate governance structure to ensure fair treatment of all shareholders, particularly minority shareholders[168]. - The company has established multiple communication channels for investor relations, ensuring transparency and responsiveness to investor inquiries[168]. - The company has made a long-term commitment regarding the non-existence of financial assistance to investors[187]. - The company will publicly disclose reasons for any failure to fulfill commitments during the shareholders' meeting and through designated media[184]. - The company will accept responsibility for any penalties or claims related to social insurance and housing fund issues[184]. Strategic Initiatives - The company is implementing measures to manage the cyclical volatility of pig prices, including optimizing feed formulas and improving production efficiency[16]. - The company is enhancing its upstream supplier management system to mitigate the impact of raw material price fluctuations[13]. - Research and development investments increased by 30% in 2022, focusing on improving production efficiency and product quality[33]. - The company is committed to improving its biosecurity system to prevent disease outbreaks that could lead to increased costs and reduced sales[10]. - The company has initiated a stock repurchase plan for unvested restricted stock due to unmet performance criteria, involving a total of 4,292,800 shares[135].

Financial Performance - The company reported a significant risk of a sharp decline in operating profit due to various market pressures[4]. - The company's operating revenue for the reporting period was ¥3,858,021,774.97, a decrease of 16.42% compared to the same period last year[45]. - The net profit attributable to shareholders was -¥59,079,416.50, representing a decline of 154.72% year-on-year[45]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥100,741,855.89, a decrease of 268.66% compared to the previous year[45]. - The net cash flow from operating activities was -¥992,714.43, down 100.71% from the same period last year[45]. - The total assets at the end of the reporting period were ¥7,944,631,461.76, an increase of 11.33% compared to the end of the previous year[45]. - The net assets attributable to shareholders at the end of the reporting period were ¥1,643,183,789.23, up 6.59% from the previous year[45]. - The company reported a significant decrease in income tax expenses, down 85.90% to ¥2.05 million due to reduced profits[85]. - The company’s feed production capacity is increasing as pig farming projects come online, which will help reduce livestock farming costs and enhance biosecurity[68]. Revenue Sources and Business Operations - The main business revenue primarily comes from food products, including fresh pork and poultry, which are critical for the company's operations[10]. - The company continues to focus on the core business of livestock slaughtering, with major products including feed, fresh pork, and fresh poultry[62]. - The revenue from the slaughtering and meat processing industry was approximately ¥3.46 billion, representing 89.68% of total revenue, down 21.04% year-on-year[86]. - The revenue from the livestock farming industry increased by 230.32% to ¥282.38 million, now accounting for 7.32% of total revenue[86]. - The company has constructed 18 pig farms in Zhejiang province, with 17 farms already in operation, resulting in a total of 486,000 pigs (including breeding pigs and piglets) being slaughtered during the reporting period[68]. - The company has established a nationwide pig procurement platform, which helps in selecting the most economical procurement areas based on various factors such as market prices and transportation costs[75]. Market Expansion and Product Development - The company plans to expand its market presence by entering three new provinces by the end of 2022[34]. - New product lines, including organic meat products, are expected to launch in Q3 2022, targeting a 25% increase in sales from these products[34]. - The company has launched new products, including fresh meat sausages, and has entered new retail fresh food platforms to enhance online marketing channels[69]. - Future guidance estimates a revenue growth of 12% for the full year 2022, driven by increased production capacity[34]. - The company plans to deepen its exploration of traditional markets while increasing efforts to develop markets outside of Zhejiang Province[123]. Risk Management and Operational Challenges - The company faces risks related to animal diseases that could impact livestock supply and consumer demand for pork and poultry products[10]. - Fluctuations in raw material prices, particularly for feed ingredients like wheat and corn, are expected to affect the company's operating costs and net profit[14]. - The cyclical nature of pig prices poses a risk to the company's profitability, especially with new pig farming projects coming online[17]. - The company faces significant operational risks, including food safety and animal epidemic risks, which could adversely affect its reputation and financial performance[115]. - The company has implemented strict quality control standards across procurement, production, storage, and sales to mitigate food safety risks[115]. Environmental Compliance and Sustainability - The company reported a total emission of CODcr at 1.8136 tons per annum and ammonia nitrogen at 0.046181 tons per annum, which is significantly lower than the approved emission limits of 97.3 tons for CODcr and 6.811 tons for ammonia nitrogen[140]. - The company adheres to various pollution discharge standards, including GB14554-93 for odor pollutants and GB13271-2014 for boiler atmospheric pollutants[140]. - The company has no instances of exceeding the emission standards during the reporting period[140]. - The company is focused on compliance with environmental regulations and has taken corrective actions to address pollution issues[146]. - The company has implemented measures to regulate on-site operations following the exceedance of discharge limits[146]. Corporate Governance and Shareholder Relations - The company has established a comprehensive corporate governance structure to ensure fair treatment of all shareholders[169]. - The company emphasizes consumer rights protection and maintains long-term relationships with suppliers and customers[170]. - The company has been proactive in investor relations management, providing multiple communication channels for investors[169]. - The company has made commitments to ensure the fulfillment of measures related to the dilution of immediate returns from non-public stock issuance[191]. - The company will publicly disclose any reasons for not fulfilling commitments and apologize to shareholders if necessary[182].

Business Operations - The main business revenue of the company primarily comes from food products, including fresh pork and poultry, with a focus on food safety management as a critical aspect of operations[6]. - The company emphasizes the importance of food safety and quality control as a fundamental aspect of its brand reputation and operational integrity[6]. - The company is focusing on an integrated business model covering feed processing, livestock breeding, slaughtering, and meat processing[69]. - The company is committed to strict quality control standards across procurement, production, storage, and sales to mitigate food safety risks[180]. Financial Performance - Zhejiang Huatong Meat Products Co., Ltd. reported a revenue of RMB 1.2 billion for the fiscal year 2021, representing a year-on-year increase of 15%[34]. - The company achieved a net profit of RMB 150 million in 2021, which is a 10% increase compared to the previous year[34]. - The company's operating revenue for 2021 was ¥8,342,248,673.41, a decrease of 5.59% compared to ¥8,836,356,750.32 in 2020[46]. - The net profit attributable to shareholders for 2021 was -¥192,463,534.51, representing a decline of 242.46% from ¥135,097,709.40 in 2020[46]. - The basic earnings per share for 2021 was -¥0.44, a decline of 241.94% from ¥0.31 in 2020[49]. Market and Customer Base - User data indicates that the company expanded its customer base by 20% in 2021, reaching a total of 500,000 active customers[34]. - The company aims to expand its market presence in Southeast Asia, targeting a 30% increase in export sales by 2023[34]. - The company’s sales are heavily concentrated in Zhejiang province, which poses a risk; efforts are underway to expand into other provinces to mitigate this risk[187]. Risks and Challenges - The company faces significant risks from animal diseases, which can impact livestock supply and consumer demand for pork and poultry products, potentially leading to substantial declines in operating profits[9]. - Fluctuations in raw material prices, particularly for live pigs and poultry, are influenced by various factors, including feed prices and market demand, which could adversely affect the company's operating performance if not managed effectively[13]. - The cyclical nature of pig prices poses a risk to the company's profit margins, necessitating effective cost control and operational efficiency improvements to mitigate potential downturns[17]. - Changes in tax policies regarding agricultural products could significantly impact the company's financial performance, particularly if tax exemptions are reduced[14]. Strategic Initiatives - The company plans to enhance its supply chain management and optimize feed formulations to control costs and improve profitability amid rising raw material demands from new pig farming projects[13]. - Huatong Meat is investing RMB 200 million in new technology for meat processing to enhance production efficiency by 25%[34]. - The company plans to launch two new product lines in 2022, focusing on organic meat products and ready-to-eat meals[34]. - The company plans to raise up to CNY 922.76 million through a private placement of A-shares, with CNY 200 million allocated for a new meat processing project and CNY 722.76 million for working capital[80]. Production and Supply Chain - The company slaughtered 3.02 million pigs in 2021, showing significant growth compared to the previous year due to the recovery of domestic pig production capacity[76]. - By the end of 2021, the company had completed the construction of 18 pig farms in Zhejiang province, with a total of 137,000 pigs (including breeding and market pigs) expected to be slaughtered[75]. - The company has established a nationwide pig procurement platform, improving supply chain stability and reducing procurement costs[87]. - The company is focusing on optimizing feed formulations and supply chain management to mitigate the impact of raw material price volatility[184]. Research and Development - Research and development efforts are focused on improving meat preservation technology, expected to reduce spoilage rates by 15%[34]. - The company is in the R&D phase for multiple new products aimed at reducing costs and increasing revenue[2]. - The number of R&D personnel decreased by 4.67% to 102, with a proportion of 2.47% of total employees[5]. Investment and Financing - The company has raised a total of RMB 26,023.69 million from its initial public offering in 2016, with a net amount of RMB 26,023.69 million after deducting fees[138]. - The company raised RMB 54,140.09 million from the public issuance of convertible bonds in 2020, with a net amount of RMB 54,140.09 million after deducting related expenses[142]. - The company has a total of RMB 2,404.17 million in unused raised funds, which are stored in a dedicated account[138]. Operational Efficiency - The company has implemented strict biosecurity measures to mitigate the risks associated with animal diseases, ensuring comprehensive prevention strategies across its operations[10]. - The company has implemented a comprehensive management system that includes strict procurement and quality control measures, contributing to its competitive advantage[90]. - The company is implementing refined management measures to ensure effective execution of its operational strategies[172].

Financial Performance - The company's operating revenue for Q1 2022 was ¥1,718,685,277.61, a decrease of 34.85% compared to ¥2,638,018,176.72 in the same period last year[5]. - The net profit attributable to shareholders was a loss of ¥87,893,930.39, representing a decline of 213.47% from a profit of ¥77,461,995.88 in the previous year[5]. - The net cash flow from operating activities was negative at ¥156,130,923.45, a decrease of 320.43% compared to ¥70,831,717.58 in the same period last year[5]. - The basic earnings per share were -¥0.19, down 211.76% from ¥0.17 in the previous year[5]. - The company reported a significant increase in financial expenses, which rose by 306.74% to ¥46,404,365.58, attributed to the cessation of capitalization of pig farm investments[12]. - The company experienced a 362.17% decline in net profit after deducting non-recurring gains and losses, resulting in a loss of ¥102,230,266.22[5]. - The company reported a net profit of -106,675,144.77 yuan, compared to a net profit of 86,763,479.93 yuan in the previous period, indicating a significant decline[42]. - Operating profit was -107,892,673.12 yuan, a decrease from 102,238,680.11 yuan in the prior period[42]. - The total comprehensive income attributable to the parent company was -87,893,930.39 yuan, compared to 77,461,995.88 yuan in the prior period[42]. Assets and Liabilities - Total assets increased by 6.78% to ¥7,620,191,040.26 from ¥7,136,269,012.26 at the end of the previous year[5]. - The company's total liabilities decreased by 32.85% in bonds payable, from ¥434,969,491.09 to ¥292,060,773.41, primarily due to debt-to-equity swaps[9]. - Total liabilities rose to CNY 5,369,870,231.89 from CNY 5,021,642,744.05, reflecting an increase of about 6.9%[32]. - Long-term borrowings increased to CNY 1,854,342,065.01 from CNY 1,717,434,550.28, representing a rise of about 8%[32]. - The total equity attributable to shareholders increased to CNY 1,601,603,441.73 from CNY 1,541,592,227.18, reflecting a growth of about 3.9%[32]. Cash Flow and Investments - The company reported a 44.78% decrease in cash flow from investing activities, amounting to -¥415,800,997.56, due to reduced infrastructure investments[12]. - The company incurred total cash outflows from investing activities of 422,643,257.76 yuan, compared to 812,468,764.53 yuan in the prior period[46]. - Cash inflows from financing activities totaled 1,050,738,278.50 yuan, down from 1,196,908,349.10 yuan year-over-year[49]. - The net cash flow from operating activities was -156,130,923.45 yuan, compared to a positive cash flow of 70,831,717.58 yuan in the previous period[46]. Shareholder Activities - The controlling shareholder, Huadong Group, has initiated a share buyback plan, having already purchased 677,100 shares for a total of RMB 10,245,597, which is about 0.15% of the company's total share capital[22][24]. - The company has not yet completed its share buyback plan, which is set to continue as it monitors the situation[24]. - The company plans to raise between RMB 50 million and RMB 100 million through a private placement of A-shares, which is currently pending approval from the China Securities Regulatory Commission[20][21]. - The company has responded to feedback from the China Securities Regulatory Commission regarding its private placement application, indicating ongoing efforts to secure approval[20][21]. Operational Metrics - Total operating costs for the current period amount to CNY 1,811,265,627.96, down from CNY 2,588,298,620.60, reflecting a decrease of about 30%[36]. - Total revenue from sales of goods and services was 1,905,123,605.41 yuan, down from 3,084,328,477.22 yuan year-over-year[43]. - Research and development expenses for the current period were CNY 3,777,727.13, compared to CNY 3,172,791.77 in the previous period, showing an increase of approximately 19%[36]. Current Assets - The company's cash and cash equivalents increased to RMB 461,785,637.20 from RMB 424,200,288.99 at the beginning of the year, reflecting a growth of approximately 8.5%[25]. - Accounts receivable rose to RMB 37,637,803.57 from RMB 26,355,314.88, indicating an increase of about 42.9%[25]. - Inventory levels increased significantly to RMB 648,846,633.59 from RMB 524,924,809.77, representing a growth of approximately 23.6%[25]. - The total current assets reached RMB 1,451,107,686.49, up from RMB 1,274,901,332.00, marking an increase of around 13.8%[25]. - The company reported a significant increase in prepayments, which rose to RMB 30,588,070.17 from RMB 16,077,788.88, reflecting an increase of approximately 90%[25].

Business Overview - The main business revenue of Zhejiang Huatong Meat Products Co., Ltd. primarily comes from food products, including fresh pork and poultry, with a focus on food safety management as a top priority[6]. - The company is positioned as a leading enterprise in the agricultural industrialization sector, focusing on slaughtering, meat processing, livestock breeding, and feed processing[160]. - The company operates in the economically vibrant Yangtze River Delta region, benefiting from high disposable income and a large consumer market[89]. Financial Performance - Zhejiang Huatong Meat Products Co., Ltd. reported a revenue of RMB 1.2 billion for the fiscal year 2021, representing a year-on-year increase of 15%[34]. - The company achieved a net profit of RMB 150 million in 2021, which is a 10% increase compared to the previous year[34]. - The company's operating revenue for 2021 was ¥8,342,248,673.41, a decrease of 5.59% compared to ¥8,836,356,750.32 in 2020[46]. - The net profit attributable to shareholders for 2021 was -¥192,463,534.51, representing a decline of 242.46% from ¥135,097,709.40 in 2020[46]. - The net cash flow from operating activities for 2021 was ¥251,565,008.71, down 30.24% from ¥360,617,567.67 in 2020[49]. Market Risks - The company faces significant risks from animal diseases, which can impact the supply of livestock and consumer demand for pork and poultry products, potentially leading to a substantial decline in operating profits[9]. - Fluctuations in raw material prices, particularly for live pigs and poultry, are influenced by feed prices and market supply-demand dynamics, which could adversely affect the company's operating performance if not managed effectively[13]. - The cyclical nature of pig prices poses a risk to the company's profitability, especially if the market enters a downturn and production costs cannot be effectively controlled[16]. - Changes in tax policies regarding agricultural products could adversely affect the company's financial performance if tax exemptions are reduced[189]. - The company relies on government subsidies for financial support, and any reduction in these subsidies could negatively impact profitability[190]. Strategic Initiatives - The company plans to enhance its supply chain management and optimize feed formulations to mitigate the impact of raw material price volatility on its business[13]. - The company is expanding its pig farming projects, which will increase its demand for key raw materials like wheat and corn, potentially affecting its cost structure[13]. - Huatong Meat is exploring market expansion opportunities in Southeast Asia, targeting a 30% increase in international sales by 2023[34]. - The company plans to launch two new product lines in 2022, focusing on organic meat products and ready-to-eat meals[34]. - The company is focusing on a vertically integrated business model covering feed processing, livestock farming, slaughtering, and meat processing[69]. Product Development - The R&D department is focusing on developing sustainable packaging solutions, with a target to reduce plastic use by 50% by 2025[34]. - The company launched a series of new meat products during the reporting period, including various types of ham and sausages, and improved flavors of existing products[77]. - The company is currently developing multiple new products, including low-sodium ready-to-eat ham and various flavored sausages, aimed at increasing revenue[112]. Operational Challenges - The company has implemented strict biosecurity measures to mitigate the risks associated with animal diseases, including comprehensive protocols for material procurement and personnel training[10]. - The management system is based on standardization and technology, ensuring effective cost control and safety production[90]. - The company has established a national procurement platform for live pigs to optimize sourcing and manage costs effectively[182]. - The company has engaged in derivative investments, with a total investment amount of ¥5,994.26 million, reflecting a slight decrease in value during the reporting period[132]. Subsidiaries and Investments - The company has established new subsidiaries, including Jixi Livestock Company and Lanxi Feed Company, which have had a negative impact on overall performance, with losses of CNY 17,758.14 and CNY 73,007.73 respectively[159]. - The company has completed the construction of 18 pig farms in Zhejiang province, with production already initiated in several subsidiaries[75]. - The company has established partnerships with local farms to ensure a stable supply chain and improve product quality[34]. Future Outlook - The company plans to continue using the remaining raised funds for the "Quzhou Huadong Modern Hualong Pig Breeding Project" and "Quzhou Huadong Modern Dongfang Pig Breeding Project" related expenditures[150]. - The company anticipates that pig prices will recover to reasonable levels as consumer demand increases and government policies support stable production[169]. - The company is adapting to the competitive landscape of the slaughtering and meat processing industry, which is experiencing rapid changes due to market and policy influences[161].

Business Overview - The main business revenue of the company primarily comes from food products, including fresh pork, poultry, and processed meat products [6]. - Zhejiang Huatong Meat Products Co., Ltd. reported a revenue of RMB 1.2 billion for the fiscal year 2021, representing a year-on-year increase of 15% [35]. - The company achieved a net profit of RMB 150 million in 2021, which is a 10% increase compared to the previous year [35]. - User data indicates that the company expanded its customer base by 20% in 2021, reaching a total of 500,000 active customers [35]. - The company plans to launch two new product lines in 2022, focusing on organic meat products and ready-to-eat meals [35]. - Huatong Meat is investing RMB 200 million in new technology for meat processing to enhance production efficiency by 25% [35]. - The company aims to expand its market presence in Southeast Asia, targeting a 30% increase in export sales by 2023 [35]. - Huatong Meat is exploring potential acquisitions of local meat processing companies to strengthen its supply chain and market position [35]. - The company has set a performance guidance for 2022, projecting a revenue growth of 12% to RMB 1.34 billion [35]. Financial Performance - The company's operating revenue for 2021 was ¥8,342,248,673.41, a decrease of 5.59% compared to ¥8,836,356,750.32 in 2020 [47]. - The net profit attributable to shareholders for 2021 was -¥192,463,534.51, representing a decline of 242.46% from ¥135,097,709.40 in 2020 [47]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥237,857,039.10 in 2021, a decrease of 633.47% compared to ¥44,586,860.37 in 2020 [47]. - The net cash flow from operating activities was ¥251,565,008.71 in 2021, down 30.24% from ¥360,617,567.67 in 2020 [50]. - The basic earnings per share for 2021 was -¥0.44, a decline of 241.94% from ¥0.31 in 2020 [50]. - Total assets at the end of 2021 were ¥7,136,269,012.26, an increase of 42.83% from ¥4,996,282,254.02 at the end of 2020 [50]. - The net assets attributable to shareholders at the end of 2021 were ¥1,541,592,227.18, a decrease of 9.61% from ¥1,705,500,735.64 at the end of 2020 [50]. - The company reported a significant non-recurring loss from the disposal of non-current assets amounting to -¥35,181,809.76 in 2021 [57]. - The company received government subsidies amounting to ¥44,284,947.52 in 2021, down from ¥69,646,223.17 in 2020 [57]. Market and Industry Risks - The company faces significant risks related to food safety, which could lead to substantial losses in brand reputation and sales if incidents occur [6]. - Animal epidemic risks are critical, as outbreaks can decrease livestock supply and consumer demand for pork and poultry products, impacting overall performance [10]. - The company is implementing strict biosecurity measures to mitigate the risks associated with animal diseases [10]. - Fluctuations in raw material prices, particularly for pigs and poultry, are expected to impact the company's operating costs and net profit [13]. - Changes in tax policies could adversely affect the company's financial performance, particularly if tax exemptions for agricultural products are reduced [14]. - The cyclical nature of pig prices poses a risk to the company's profitability, especially with new pig farming projects coming online [17]. - The competitive landscape is evolving rapidly, with increased concentration in the industry, requiring the company to enhance its integrated operations and expand its market presence to mitigate risks of declining performance [190]. - The company's sales are heavily concentrated in Zhejiang province, which poses a risk; efforts are underway to expand into other provinces while deepening market penetration in existing areas [191]. Operational Strategies - The company plans to optimize feed formulation technology and improve supplier management to control feed costs amid rising demand for raw materials [13]. - The company is focusing on the integration of the pig industry chain, with 18 breeding farms in Zhejiang province nearing completion [76]. - The company is implementing a self-breeding model for pig farming to ensure quality control and biosecurity [72]. - The company launched a series of new meat products during the reporting period, including various types of ham and sausages, and improved flavors of existing products [78]. - The company has introduced advanced slaughtering and ham production technologies, significantly improving product quality and safety compared to traditional methods [83]. - The company has established a nationwide pig procurement platform, improving supply chain stability and reducing procurement costs [88]. - A unique fresh meat distribution model has been developed, allowing the company to respond quickly to market demand and maintain customer stability [89]. - The company has implemented a comprehensive management system that enhances cost control and operational efficiency [91]. Investment and Development - The company plans to raise up to 922.76 million CNY through a private placement of A-shares, with 200 million CNY allocated for a new meat processing project and 722.76 million CNY for working capital [81]. - A joint venture was established with State Power Investment Corporation Zhejiang New Energy Co., Ltd. to develop a "carbon neutrality" smart energy project, utilizing solar power to reduce production costs and generate additional revenue [81]. - The company has established several subsidiaries, with significant impacts on net profit, including Suzhou Huadong and Taizhou Huadong, contributing 8.47 million yuan and 5.80 million yuan respectively [161]. - The company has newly established subsidiaries during the reporting period, which negatively impacted overall production and performance by 17.76 million yuan and 73.01 million yuan respectively [164]. - The company is committed to improving management practices and implementing refined management measures to ensure smooth operations [180]. Research and Development - Research and development efforts are focused on improving product quality and safety standards, with an investment of RMB 50 million allocated for 2022 [35]. - The company is in the R&D phase for multiple new products, including low-sodium instant ham and various flavored sausages, aimed at increasing revenue [113]. - The company emphasizes talent development through internal training and partnerships with universities to enhance employee quality [179]. Financial Management - Sales expenses increased by 37.35% to ¥64,085,594.94 in 2021, primarily due to an increase in sales personnel [112]. - Financial expenses surged by 267.13% to ¥105,562,703.76, mainly attributed to increased loans during the period [112]. - R&D expenses rose by 1.66% to ¥22,473,042.50, accounting for 0.27% of operating revenue [116]. - The net cash flow from operating activities decreased by 30.24% to ¥251,565,008.71, primarily due to a decline in net profit [120]. - Cash and cash equivalents decreased by 166.47% to a net reduction of ¥151,702,791.60, mainly due to decreased net profit and increased investment expenditures [120]. - The company reported a significant decline in investment income, contributing 20.33% to total profit, primarily from the sale of subsidiary investments [121]. Regulatory and Compliance - The company relies on government subsidies for financial support; a reduction in these subsidies could negatively affect profit levels, necessitating close monitoring of policy changes [195]. - The company plans to strengthen internal audit supervision and performance evaluation mechanisms to ensure effective implementation of internal control systems across subsidiaries [196].

Financial Performance - The company's operating revenue for Q1 2021 was ¥2,638,018,176.72, representing a 23.66% increase compared to ¥2,133,364,385.64 in the same period last year[8]. - Net profit attributable to shareholders was ¥77,461,995.88, a significant increase of 75.37% from ¥44,170,677.39 in the previous year[8]. - Basic earnings per share rose to ¥0.17, reflecting a 70.00% increase from ¥0.1 in the same period last year[8]. - The company reported a significant increase in income tax expenses by 83,781.17% to ¥14,096,162.68[20]. - The total operating revenue for the first quarter reached ¥2,638,018,176.72, an increase from ¥2,133,364,385.64 in the previous period, reflecting a growth of approximately 23.6%[55]. - The net profit for the current period is CNY 86,763,479.93, compared to CNY 62,228,329.82 in the previous period, indicating an increase of about 39.5%[61]. - The profit attributable to shareholders of the parent company is CNY 77,461,995.88, up from CNY 44,170,677.39, reflecting a growth of approximately 75.3%[61]. - The total comprehensive income for the current period is CNY 86,763,479.93, up from CNY 62,228,329.82, reflecting an increase of approximately 39.5%[65]. - Total comprehensive income amounted to CNY 70,912,927.90, compared to CNY 24,087,592.02 in the previous period, indicating a significant increase[72]. Cash Flow - The net cash flow from operating activities decreased by 40.59% to ¥70,831,717.58, down from ¥119,229,313.63 in the previous year[8]. - Operating cash flow decreased by 40.59% to ¥70,831,717.58 due to changes in operating receivables[20]. - Net cash flow from investing activities worsened by 401.43% to -¥753,032,859.54, mainly due to increased investment in new factory construction[20]. - Net cash flow from financing activities increased by 80.85% to ¥717,212,517.99, primarily due to increased bank loans[20]. - Cash inflow from operating activities reached CNY 3,140,925,847.77, up from CNY 2,325,229,457.57 in the prior period, reflecting a growth of approximately 35%[77]. - Net cash flow from operating activities was CNY 70,831,717.58, a decrease from CNY 119,229,313.63 in the previous period, showing a decline of about 41%[77]. - Cash outflow from investing activities totaled CNY 812,468,764.53, compared to CNY 153,618,438.91 in the prior period, indicating a substantial increase in investment expenditures[77]. - Net cash flow from financing activities was CNY 717,212,517.99, an increase from CNY 396,571,256.51 in the previous period, representing a growth of approximately 81%[79]. Assets and Liabilities - Total assets at the end of the reporting period were ¥5,833,061,974.64, marking a 16.75% increase from ¥4,996,282,254.02 at the end of the previous year[8]. - The total liabilities increased to ¥3,504,569,162.71 from ¥2,768,364,027.85, representing a growth of about 26.5%[47]. - Non-current liabilities rose significantly to ¥2,186,713,827.51, compared to ¥1,483,667,876.89, marking an increase of approximately 47.3%[47]. - The total equity attributable to shareholders increased to ¥1,787,726,356.17 from ¥1,705,500,735.64, showing a growth of about 4.8%[47]. - The company's total assets reached ¥5,833,061,974.64, up from ¥4,996,282,254.02, indicating a growth of about 16.7%[47]. - The total current liabilities rose to ¥1,176,390,128.40 from ¥1,036,416,556.58, indicating an increase of approximately 13.5%[54]. - Long-term borrowings increased to ¥506,923,755.54 from ¥336,635,477.77, representing a growth of about 50.6%[54]. Investments and Expenses - The company reported non-operating income of ¥38,468,104.48 during the period, which includes various non-recurring gains[8]. - R&D expenses decreased by 55.13% to ¥3,172,791.77 as some projects were completed[20]. - Investment income surged by 7,473.74% to ¥45,937,485.68, primarily from the sale of subsidiary equity[20]. - The total operating costs increased to CNY 2,588,298,620.60 from CNY 2,079,114,670.21, marking an increase of approximately 24.5%[61]. - The financial expenses, including interest expenses, rose to CNY 11,408,821.04 from CNY 9,879,353.69, an increase of about 15.5%[61]. - The sales expenses for the current period are CNY 16,817,608.28, compared to CNY 15,247,329.54 in the previous period, showing an increase of approximately 10.3%[61]. Shareholder Information - The top shareholder, Huadong Group Co., Ltd., holds 41.11% of the shares, with a total of 184,000,605 shares[12]. - The company's retained earnings increased to ¥867,930,413.04 from ¥790,468,417.16, reflecting a growth of about 9.8%[47]. Other Information - The company has established an internal control system for futures hedging, with a maximum hedging limit approved by the board set at RMB 20 million[28]. - The company has no non-recurring gains classified as regular income during the reporting period[8]. - The company has no significant changes in accounting policies regarding derivatives compared to the previous reporting period[28]. - The first quarter report for Zhejiang Huatong Meat Products Co., Ltd. was not audited[86]. - The company implemented new leasing standards starting from 2021, but it is not applicable for the current financial report[84]. - There are no retrospective adjustments for prior comparative data under the new leasing standards[86].