JSSH(SZ:000518)2018-06-19 16:00Financial Performance - The company's operating revenue for 2017 was CNY 346,054,646.61, representing a 5.73% increase compared to CNY 327,313,301.33 in 2016[18]. - The net profit attributable to shareholders for 2017 was CNY 7,288,394.73, a significant increase of 62.94% from CNY 4,472,925.91 in 2016[18]. - The basic earnings per share for 2017 was CNY 0.0071, up 65.12% from CNY 0.0043 in 2016[18]. - The company reported a significant decrease in net profit after deducting non-recurring gains and losses, which was negative CNY 14,881,852.83 in 2017, compared to positive CNY 571,115.46 in 2016, a decrease of 2,705.75%[18]. - The company reported a net profit attributable to ordinary shareholders of approximately 7.29 million in 2017, with a profit distribution plan of 0.00%[75]. - The company reported a net profit of 28,021,300.1 yuan from its subsidiary Beijing Sihuan Bio-Pharmaceutical Co., with total assets of 419,640,071 yuan[65]. - The company reported a total profit of CNY 75.69 million, a significant increase from CNY 1.59 million in the previous year, reflecting a growth of approximately 4,653%[184]. Cash Flow and Liquidity - The net cash flow from operating activities was negative CNY 10,785,813.91, a decline of 193.14% compared to CNY 11,579,773.72 in 2016[18]. - Operating cash inflow increased by 17.60% to ¥362,422,720.30, while operating cash outflow rose by 52.97% to ¥453,688,363.43[50]. - The company reported a net cash outflow from operating activities of CNY 10.79 million, contrasting with a net inflow of CNY 11.58 million in the previous year[188]. - The ending balance of cash and cash equivalents decreased to 2,269,199.59 yuan from 3,275,963.60 yuan, indicating a reduction in liquidity[193]. - The company experienced a net decrease in cash and cash equivalents of 1,006,764.01 yuan, contrasting with an increase of 3,270,091.46 yuan in the previous period, signaling cash management issues[193]. Assets and Liabilities - Total assets at the end of 2017 were CNY 931,628,406.78, down 8.43% from CNY 1,017,357,931.64 at the end of 2016[18]. - The total amount of accounts receivable was ¥112,408,616.90, which accounted for 12.07% of total assets[55]. - The total non-current assets decreased from CNY 341,458,948.04 to CNY 161,843,311.62, a decline of approximately 52.6%[171]. - Total liabilities decreased to CNY 129,325,360.05 from CNY 219,709,908.49, a reduction of 41.19%[178]. - The company has no long-term borrowings or bonds payable as of the end of the reporting period[173]. Inventory and Sales - The company reported a significant increase in inventory levels, with Interleukin inventory rising by 188.65% to 625,310 units[41]. - Total inventory rose to ¥584,108,713.27, up 17.33% from the previous year, largely due to the addition of inventory from Guangxi Intercontinental Forestry Investment Co., Ltd.[55]. - The sales volume of Interleukin decreased by 6.86% to 4,150,567 units, while production increased by 7.66% to 4,559,247 units[41]. - EPO sales volume increased by 14.17% to 4,552,480 units, with production rising by 18.60% to 4,632,410 units[41]. Strategic Initiatives and Market Focus - The company plans not to distribute cash dividends or issue bonus shares for the year[6]. - The company plans to consolidate its existing market in the pharmaceutical industry and aims to develop new products and expand into new markets[69]. - The company aims to improve its internal controls and management levels in 2018 to achieve its development goals[68]. - The company is recognized as a national high-tech enterprise with advanced technology and high product quality in the biopharmaceutical sector[31]. - The company’s strategic focus includes transitioning towards the ecological agriculture and forestry sector, leveraging the growing demand for urban landscaping[29]. Shareholder and Governance Structure - The total number of shares outstanding is 1,029,556,222, with 1,029,535,693 being unrestricted shares[109]. - The largest shareholder, Wang Hongming, holds 14.00% of the shares, totaling 144,138,394 shares, with 96,660,000 shares pledged[111]. - The company has no controlling shareholder or actual controller, indicating a dispersed shareholding structure[113][115]. - The board of directors consists of six members, including three independent directors, ensuring compliance with legal requirements[143]. - The company has established a comprehensive corporate governance structure to protect minority shareholders' rights[99]. Employee and Management Information - The total number of employees in the company is 280, with 272 in major subsidiaries and 8 in the parent company[134]. - The total remuneration for directors, supervisors, and senior management during the reporting period amounts to 114.74 million yuan[133]. - The average age of the current board members is approximately 46 years, indicating a relatively young leadership team[121]. - Xu Yin resigned as Chief Financial Officer on May 24, 2017, due to personal reasons[123]. - The company has seen a complete turnover in its board of directors and supervisors, with all positions being filled by new appointees[122]. Audit and Compliance - The audit opinion issued was a standard unqualified opinion, confirming the fair presentation of financial statements[160]. - The internal control audit report was disclosed on April 28, 2018, with no major defects found[156]. - The company has not been subject to any penalties from securities regulatory agencies in the past three years[129]. - Independent directors raised objections regarding the appointment of certain executives, reflecting their active role in governance[146].