Financial Performance - For the year ended December 31, 2020, the profit attributable to the owners of the Company recorded RMB770 million, representing a year-on-year growth of 126%[14]. - Earnings before tax increased to RMB784.4 million, a year-on-year growth of 123%[12]. - The company's revenue grew by 9.2% year-on-year, reaching RMB6,020 million[45]. - The gross profit margin before raw milk fair value adjustment increased by 2.7 percentage points to 40.8%[45]. - The Group's cash EBITDA grew by 10.7% year-on-year to RMB2,264.9 million, with a cash EBITDA margin increase to 37.6%[110]. - Basic earnings per share increased to RMB12.07 cents, up from RMB5.54 cents in the previous year[110]. - The total operating expenses increased by 25.7% year-over-year to RMB568.6 million, up from RMB452.2 million in 2019[100]. - The total staff costs for the reporting year were approximately RMB 585.6 million, an increase of about 19.2% from RMB 491.0 million in 2019[137]. Production and Operations - The total milk production during the year reached 1.49 million tons, an increase of 7% year-on-year[14]. - The average annualized unit yield of each milkable cow reached 11.1 tons, representing a year-on-year increase of 5%[14]. - The Group had about 247.4 thousand dairy cows at the end of the year, a steady year-on-year increase of 6%[14]. - The total sales volume of raw milk reached approximately 1.46 million tons in 2020, up 6.6% from 1.37 million tons in 2019[52][53]. - The average milk yield per milkable cow increased to 11.1 tons in 2020, a 4.7% increase from 10.6 tons in 2019, contributing to a total annual milk production of 1.49 million tons, up 7.2% year-on-year[56][57]. - The unit cost of raw milk was successfully controlled at RMB2.29 per kg in 2020, a decrease of 1.2% from RMB2.32 per kg in 2019[90]. - The Group operated a total of 26 dairy farms with 247,371 dairy cows as of December 31, 2020, an increase from 233,618 in 2019, representing a year-on-year growth of 5.6%[52][53]. Market and Industry Trends - China's milk production reached 34.4 million tonnes, representing a year-on-year growth of 7.5%[40]. - The average selling price of raw milk increased to RMB4.13/kg, a year-on-year growth of 2.2%[45]. - Total dairy imports in China increased by 10.4% year-on-year, totaling 3.281 million tonnes[40]. - The milk sufficiency rate in China decreased to 65.3%, marking a decline for five consecutive years[40]. - The raw milk market is expected to remain in short supply, driving an increase in milk prices, with the Company positioned to benefit from this trend[139]. Sustainability and Innovation - The company is committed to sustainable development, emphasizing ecology and environmental protection in its operations[31]. - The Group has established a green recycling industrial chain for sustainable development, including biogas power generation facilities at each farm[76]. - The company launched a new skimmed milk product, showcasing an innovative production model that integrates forage grass planting, cow breeding, and milk processing within two hours[33]. - The Group's operational strategies focus on raising unit output and raw milk quality through scientific breeding and feeding techniques[62]. - The company is committed to continuous research to improve milk yield and cow health, collaborating with experts to enhance genetic quality and operational efficiency[55][62]. Corporate Governance and Leadership - The Board of Directors of China Modern Dairy Holdings Ltd. comprises nine members, including two executive Directors and three independent non-executive Directors[179]. - The Company has complied with the Corporate Governance Code throughout the reporting year, with one exception regarding the attendance of a non-executive Director at the annual general meeting[174]. - The Group's management is responsible for day-to-day operations under the supervision of the executive Directors, ensuring effective leadership and control[179]. - The Company has implemented comprehensive liability insurance for Directors and senior management to protect against potential risks[180]. - The Group's management team includes professionals with extensive backgrounds in major dairy companies like Mengniu and Yili[170]. Future Strategies - The Company aims to double both herd size and milk yield over the next five years, targeting more than 500,000 cows and an annual fresh milk yield of 3.6 million tons by 2025[143]. - The implementation of the "Five-Year Leading Plan" has commenced, focusing on expanding production capacity to enhance overall competitiveness[144]. - The Group aims to maintain its leadership position in the dairy farming industry by leveraging its unique geographical advantages and innovative farming models[52].
现代牧业(01117) - 2020 - 年度财报