By-health(300146)2023-03-17 16:00Financial Performance - In 2022, the company achieved a sales revenue of 7.861 billion RMB, a year-on-year increase of 5.79%, while the net profit attributable to shareholders was 1.386 billion RMB, a year-on-year decrease of 20.99%[3]. - The company's revenue for 2022 was approximately ¥7.86 billion, representing a 5.79% increase compared to ¥7.43 billion in 2021[27]. - Net profit attributable to shareholders for 2022 was approximately ¥1.39 billion, a decrease of 20.99% from ¥1.75 billion in 2021[27]. - The net cash flow from operating activities for 2022 was approximately ¥1.38 billion, down 24.19% from ¥1.82 billion in 2021[27]. - Basic earnings per share for 2022 were ¥0.82, a decline of 22.64% compared to ¥1.06 in 2021[27]. - The company's fourth-quarter revenue was approximately ¥1.70 billion, with a net profit attributable to shareholders of approximately -¥96 million[29]. - The company reported a weighted average return on equity of 13.46% for 2022, down 5.88 percentage points from 19.34% in 2021[27]. Market Position and Opportunities - The retail market size for vitamins and dietary supplements in China was 200.1 billion RMB in 2022, with a growth rate of approximately 4.9%, and the company's market share stood at 10.3%, maintaining the leading position[3]. - The aging population in China presents significant growth opportunities for the dietary supplement market, with projections indicating that by 2050, 24% of the population will be aged 65 and above[7]. - The aging population in China is projected to exceed 300 million by 2025, creating significant market opportunities for the dietary supplement industry[33]. Product Development and Innovation - The company has developed over 30 customized raw materials and obtained 96 invention patents related to raw materials and formulations[36]. - The company is focusing on research in areas such as anti-aging and precision nutrition, establishing a long-term layout for new functional products[48]. - The company has introduced a new probiotic tablet formulation as part of its product expansion strategy[54]. - The company aims to implement a long-term goal of comprehensive health interventions through scientific nutrition, focusing on precision nutrition and health improvement[36]. Quality Control and Management - The company emphasizes quality control as a core value, with a commitment to exceed national standards and maintain strict quality management practices[11]. - The company is enhancing its quality management processes by investing in precision inspection equipment and training quality management personnel[11]. - The company has established a continuous and intelligent production line, enhancing production efficiency and product quality[37]. Strategic Initiatives and Future Plans - The year 2023 is viewed as a pivotal time for new strategic layouts in the post-pandemic era, marking the beginning of a new growth cycle for the company[9]. - The company aims to increase its market share in the saturated basic nutrient market while actively pursuing new product development in untapped markets[5]. - The company plans to achieve a double-digit revenue growth in 2023 compared to the previous year, although this goal is subject to uncertainties in the future operating environment[120]. Risks and Challenges - The company faces risks from rising raw material prices, which could impact product gross margins, and is actively managing supplier relationships to mitigate these risks[13]. - The company acknowledges the increasing regulatory scrutiny in the dietary supplement industry, which may impact long-term development and competitive dynamics[12]. - The company is experiencing intensified competition from international brands entering the Chinese market and is focusing on enhancing its research and development capabilities[14]. Corporate Governance and Compliance - The company emphasizes its commitment to improving corporate governance in accordance with relevant regulations, ensuring compliance and operational independence[133]. - The company maintains a clear separation from its controlling shareholder, ensuring independent operations and decision-making[133]. - The company has established specialized committees within the board to provide professional opinions and support decision-making processes[134]. Investor Relations and Communication - The company held multiple investor communication activities throughout 2022, including online meetings and phone communications with various institutional investors[131]. - The company actively engages with investors to discuss future development prospects and operational strategies[132]. - The company emphasizes investor relations management, utilizing multiple channels for communication, including online performance briefings and investor visits[135]. Social Responsibility and Sustainability - The company has engaged in over 14,000 public welfare activities since 2011, including the "Health Express Nutrition China Tour" initiative[187]. - The company donated over 10 million RMB to support UNICEF's projects on infant nutrition from 2020 to 2022[188]. - The company has committed to sustainable practices in energy conservation and greenhouse gas emissions reduction[186].