YouYou Foods(603697)2023-03-30 16:00Financial Performance - The company's operating revenue for 2022 was CNY 1,024,419,323.56, a decrease of 16.01% compared to CNY 1,219,673,293.94 in 2021[23]. - The net profit attributable to shareholders for 2022 was CNY 153,600,459.43, down 30.13% from CNY 219,838,024.82 in the previous year[23]. - The basic earnings per share for 2022 was CNY 0.50, a decline of 30.56% compared to CNY 0.72 in 2021[24]. - The total assets at the end of 2022 were CNY 2,047,625,246.93, representing a decrease of 3.34% from CNY 2,118,410,553.88 at the end of 2021[23]. - The net cash flow from operating activities for 2022 was CNY 199,389,741.23, down 19.46% from CNY 247,580,890.02 in 2021[23]. - The weighted average return on equity for 2022 was 8.24%, a decrease of 3.78 percentage points from 12.02% in 2021[24]. - The net assets attributable to shareholders at the end of 2022 were CNY 1,859,503,020.96, a slight decrease of 2.19% from CNY 1,901,233,630.33 at the end of 2021[23]. - The company's total revenue for 2022 reached CNY 1,024.42 million, with a net profit attributable to shareholders of CNY 153.60 million[33]. Cash Flow and Investments - The net cash flow from operating activities was CNY 199,389,741.23, a decrease of 19.46% compared to the previous year[45]. - Cash inflow from operating activities decreased by 18.18% to ¥1,112,159,946.73 compared to the previous year[60]. - Cash outflow from operating activities decreased by 17.90% to ¥912,770,205.50 compared to the previous year[60]. - Total cash inflow from investment activities decreased by 65.95% to ¥1,043,579,320.71 compared to the previous year[60]. - Total cash outflow from investment activities decreased by 73.59% to ¥930,900,712.30 compared to the previous year[60]. - The company's cash and cash equivalents increased by 64.15% to ¥268,161,337.86, representing 13.10% of total assets[63]. Market and Product Development - New product launches included the "Wandering Peanut" and "Magic Duck" series, which cater to diverse consumer needs and enhance market competitiveness[35]. - The introduction of new pre-packaged food products expanded the company's market presence and consumer engagement[35]. - The company emphasized a differentiated marketing strategy to stabilize its market share and enhance brand visibility[34]. - The company aims to enhance its market share and develop new types of spicy snacks while strengthening brand promotion and marketing networks[78]. Challenges and Strategic Responses - The company faced challenges in 2022 due to high raw material prices and external factors like the Russia-Ukraine conflict, impacting its operational environment[33]. - The company focused on cost control and efficiency improvements, optimizing procurement and manufacturing processes to mitigate rising costs[33]. - Raw material costs constitute over 80% of the company's main business costs, and fluctuations in raw material prices pose a significant risk to profitability; the company plans to optimize procurement strategies to mitigate this risk[83]. - The company faces intensified market competition in the spicy chicken feet sector; it plans to enhance product quality and after-sales service to maintain competitive advantages[85]. Corporate Governance and Compliance - The supervisory board consists of 3 members, including 1 employee representative, complying with legal requirements[89]. - The company actively fulfilled information disclosure obligations, ensuring timely and accurate communication with investors through various platforms[89]. - The company maintains independence from its controlling shareholders in business, personnel, assets, and finance, with no competition or conflicts of interest reported[90]. - The company has established a robust investor relations strategy, including performance briefings and interactive platforms for effective communication[89]. Employee and Management Practices - The company has a total of 1,189 employees, with 667 in production, 171 in sales, 98 in technical roles, 27 in finance, and 226 in administration[113]. - The company organized 647 training sessions during the reporting period, with a total of 15,619 participants[116]. - The company has implemented an employee stock ownership plan, which was approved in a board meeting on March 15, 2021[121]. - The company continues to focus on employee incentives to enhance performance and align interests with shareholders[121]. Financial Management and Audit - The company appointed Xinyong Zhonghe Accounting Firm as the auditor for the 2022 fiscal year, with an audit fee of CNY 500,000[141]. - The audit report confirmed that the financial statements fairly reflect the company's financial position as of December 31, 2022[181]. - The internal control system was effectively executed during the reporting period, with no significant deficiencies identified[125]. - The company has maintained effective internal controls related to financial statements as of December 31, 2022, according to the audit by the accounting firm[126]. Shareholder and Stock Information - The company reported a cash dividend of 200,879,640 RMB, which represents 91.38% of the net profit attributable to ordinary shareholders in the consolidated financial statements[120]. - The profit distribution plan includes a cash dividend of 6.5 RMB per 10 shares, with no stock bonus or capital increase from capital reserves[120]. - The major shareholder, Lu Youzhong, holds a 49.24% stake in the company, while other significant shareholders include Zhao Ying with 12.83% and Lu Xin with 5.09%[175]. - The company has no controlling shareholder or actual controller, indicating a stable ownership structure[171].