Financial Performance - For the year ended December 31, 2022, the total revenue was RMB 12,144,980, a decrease of 11.7% compared to RMB 13,755,242 in 2021[2] - The adjusted net profit for 2022 was RMB 2,575,122, reflecting a decline from RMB 5,442,613 in 2021[3] - The gross profit margin for 2022 was 43.3%, down from 53.6% in 2021[2] - The total revenue for the group was RMB 12,144,980 thousand, a decrease of 11.7% compared to RMB 13,755,242 thousand in 2021[22] - Gross profit for the period was RMB 5,259,632 thousand, down 28.7% from RMB 7,377,039 thousand in 2021, resulting in a gross margin of 43.3%[22] - Adjusted net profit decreased by 52.7% to RMB 2,575,122 thousand from RMB 5,442,613 thousand in 2021, primarily due to a decline in sales revenue from enterprise customers and increased expenses[22] - The net profit for the year was RMB 2,510,316 thousand, a decline of 52.5% from RMB 5,286,967 thousand in 2021[58] Revenue Breakdown - Export revenue accounted for 81.5% of total revenue, significantly increasing from 66.0% in 2021, with a notable rise in the second half of the year[8] - Sales revenue in the U.S. market decreased by 22.7%, with its share of total revenue dropping from 35.5% to 31.1%[9] - In the European market, sales revenue increased by 53.4%, rising from 22.1% of total revenue to 38.3%[10] - Revenue from enterprise customers decreased to RMB 10,679,372 thousand, a decline of 15.2% compared to RMB 12,593,523 thousand in 2021, primarily due to regulatory impacts in the US and China[24] - Revenue from retail customers increased to RMB 1,465,608 thousand, representing a growth of approximately 26.2% from RMB 1,161,719 thousand in 2021, driven by strong R&D capabilities and successful new product launches[25] Research and Development - The total R&D expenditure amounted to RMB 1,372,258 thousand, representing a 104.6% increase year-on-year, and accounting for 11.3% of revenue, up from 4.9% the previous year[13] - The group added over 320 R&D personnel during the review period, bringing the total to over 1,500, which is more than 40% of the total non-production staff[12] - The group established 7 new research institutes focusing on new materials, medical research, and health and beauty applications of atomization technology[12] - The group has applied for a total of 5,662 patents globally, including 2,695 invention patents, with 2,254 new patent applications filed during the review period[14] - Research and development expenses increased significantly to RMB 1,372,258 thousand in 2022, compared to RMB 670,629 thousand in 2021, reflecting a rise of 104.5%[58] Market and Product Development - The company is focusing on long-term competitiveness through increased investment in core technology R&D and talent development[5] - The company aims to expand its product line in the special-purpose atomization products sector to increase market share[5] - The company launched disposable electronic vaporization products, achieving revenue of RMB 1,931,028 thousand, a growth of 1,919.2% compared to RMB 95,634 thousand in 2021[11] - The company aims to expand its market share in specialized atomization products by entering more niche markets with new product launches[13] - The company plans to invest in R&D, including the establishment of a group-level research institute in Shenzhen and the development of new heating technologies[105] Operational Efficiency - The company successfully implemented an SAP system to enhance management capabilities, laying a solid foundation for long-term development[6] - The group has introduced advanced product development management processes to enhance manufacturability and automation feasibility in product design[16] - The group successfully implemented an SAP system to improve operational efficiency across procurement, production, sales, and financial management[15] - The company is upgrading its group-level ERP system and existing factories to enhance operational efficiency[105] Challenges and Risks - The company faced challenges from the ongoing COVID-19 pandemic, impacting production, logistics, and supply chains[5] - The cost of raw materials accounted for 73.3% of total sales costs, up from 70.0% in the previous year, primarily due to increased sales of low-margin disposable products[30] - Distribution and selling expenses rose to RMB 387,671 thousand, an increase of 101.0% from RMB 192,916 thousand in 2021, representing 3.2% of total revenue[31] Shareholder Communication and Governance - The company has maintained compliance with corporate governance principles, adhering to all code provisions except for the separation of the roles of Chairman and CEO[89] - The board consists of eight directors, including three independent non-executive directors, ensuring adequate checks and balances[89] - The company established various communication channels with shareholders, including printed and electronic reports, annual meetings, and dedicated investor relations teams[94] - The board expressed confidence in the company's long-term strategy and growth potential, as evidenced by recent share purchases by directors totaling HKD 201,410,020[100] Dividends and Share Buybacks - The company plans to distribute a final dividend of HKD 0.08 per ordinary share for the year ended December 31, 2022[4] - The company declared a mid-year dividend of HKD 0.10 per share for 2022, down from HKD 0.21 per share in 2021[80] - The total dividend paid for the year was approximately RMB 1,448,103 thousand, a decrease of 38.8% compared to RMB 2,369,905 thousand in 2021[80] - The company aims to enhance shareholder value through its share buyback program, reflecting confidence in its business outlook[98] Future Outlook - The global electronic vaporization equipment market is projected to grow at a compound annual growth rate (CAGR) of approximately 18.5% from 2022 to 2027[7] - The global heated tobacco products market is expected to grow at a CAGR of about 18.5%, with a projected market size of approximately USD 16,600 million by 2027[19] - The global special purpose vaporization equipment market is anticipated to grow at a CAGR of around 18.4%, reaching approximately USD 2,784.6 million by 2027[19] - The company aims to apply for additional resources from PMTA to launch more products in the medical and pharmaceutical sectors[105]
思摩尔国际(06969) - 2022 - 年度业绩