lolo(SZ:000848)2017-04-27 16:00Shareholder Information - The company plans to distribute a cash dividend of 4.00 RMB per 10 shares to all shareholders, based on a total share base of 978,562,728 shares[6]. - The total share capital of the company is 1,150 million shares, with the largest shareholder holding 38.9% and the second largest shareholder holding 26%[18]. - The company has a total share capital of 978,562,728 shares as of December 31, 2016[80]. - The company will not issue bonus shares or convert capital reserves into share capital in the 2016 profit distribution plan[74]. - The cash dividend distribution represents 86.91% of the net profit attributable to ordinary shareholders for 2016, which is 450,367,055.47 CNY[77]. - The largest shareholder, Wanxiang San Nong Group Co., Ltd., held 40.68% of the shares, amounting to 398,119,878 shares[114]. - The second largest shareholder, Sunshine Property Insurance Co., Ltd., holds 84,874,677 shares, representing 8.49% of the total shares[115]. - The company reported a total share capital of 978,562,728 shares after the implementation of the 2015 profit distribution plan, which included a cash dividend of 2.00 RMB per 10 shares and a bonus issue of 3 shares for every 10 shares held[111]. Financial Performance - The company's operating revenue for 2016 was ¥2,520,897,586.14, a decrease of 6.85% compared to ¥2,706,238,122.26 in 2015[20]. - The net profit attributable to shareholders for 2016 was ¥450,367,055.47, down 2.78% from ¥463,234,690.64 in 2015[20]. - The net cash flow from operating activities increased by 4.51% to ¥831,482,030.70 in 2016, compared to ¥795,629,027.23 in 2015[20]. - The total assets at the end of 2016 were ¥3,096,330,515.89, reflecting a 24.28% increase from ¥2,491,426,927.93 at the end of 2015[20]. - The net assets attributable to shareholders increased by 17.88% to ¥1,976,194,172.91 at the end of 2016, compared to ¥1,676,375,229.44 at the end of 2015[20]. - The company achieved operating revenue of CNY 2,520,897,586.14 in 2016, representing a decrease of 6.85% compared to the previous year[37]. - The net profit attributable to the parent company was CNY 45,036,710, a decline of 2.78% year-on-year, primarily from beverage operations[37]. - The company reported a total revenue of 1.5 billion RMB for the fiscal year, representing a year-over-year growth of 10%[134]. - The company's operating revenue for the current period is CNY 2,645,677,963.04, a decrease of 6.4% compared to CNY 2,826,384,896.07 in the previous period[187]. - The net profit for the current period is CNY 455,723,878.84, down 2.0% from CNY 468,582,293.17 in the previous period[186]. Market Position and Strategy - The company maintained a market share of 90% in the almond milk beverage sector, with an annual production capacity exceeding 500,000 tons[29]. - The company is positioned as a leading player in the plant protein beverage sector, benefiting from increasing consumer demand for healthy products[67]. - The company aims to enhance its market share and core competitiveness by continuously developing new products and improving operational performance in 2017[67]. - The company will focus on health themes, increase new product offerings, and enhance brand loyalty through advertising and promotions[68]. - The company is actively involved in setting industry standards, having participated in the formulation of almond milk and walnut milk national standards[32]. - The company launched new products including "Xiao Lulu" and "Lulu Selected Series," enhancing its product line and brand image[41]. - The company is considering strategic acquisitions to enhance its product portfolio, with a budget of 300 million RMB allocated for potential deals[134]. Research and Development - The company has over 30 years of experience in producing plant protein beverages and holds multiple patents, showcasing its strong technical capabilities[31]. - The company has established a provincial-level R&D center and obtained various quality management certifications, including ISO9001 and ISO22000[33]. - Research and development expenses for the reporting period totaled ¥13,064,535.13, which is 0.52% of the company's operating income[54]. - The number of R&D personnel increased by 5.41% to 156, representing 10.24% of the total workforce[55]. - The company is investing 50 million RMB in R&D for new technologies aimed at improving production efficiency[134]. Corporate Governance - The company emphasizes risk awareness and encourages investors to pay attention to investment risks as part of its corporate governance strategy[6]. - The company has a comprehensive financial reporting system in place, ensuring the accuracy and completeness of its financial statements[5]. - The company has a dedicated accounting firm, Tianzhi International Accounting Firm, ensuring compliance with financial regulations[19]. - The company reported no significant internal control deficiencies during the reporting period, indicating effective internal governance[159]. - The internal control audit report issued a standard unqualified opinion, confirming the effectiveness of the company's internal controls as of December 31, 2016[168]. - The company established a performance-based salary system for senior management, linking compensation to management effectiveness and operational results[158]. Operational Challenges - The company faced a challenging market environment with overall industry profit declining, necessitating innovative strategies to maintain performance[37]. - The average annual growth rate of the beverage industry has declined to 3.87% as of 2016, indicating a challenging market environment[66]. - The company experienced a decrease in sales and profits at Beijing Lulu due to production stoppage for renovations[65]. - The company reported a significant increase in inventory levels, up 144.81% year-on-year, attributed to pre-holiday stockpiling for the Spring Festival[47]. Employee and Management Changes - The total number of employees in the company is 1,524, with 1,189 in the parent company and 335 in major subsidiaries[141]. - The company appointed Lu Yongming as the Vice Chairman and General Manager on November 18, 2016, following the board's re-election[127]. - Li Zhaojun was dismissed as General Manager on November 18, 2016, due to the board's re-election[127]. - The company experienced a change in its board composition, with several members, including Wang Qiumin and Chen Guizhang, leaving their positions due to term expiration[127]. - The company’s independent directors, including Guo Yaxiong and Chen Aizhen, also left their positions following the board's re-election[127]. Financial Health and Assets - The company's total assets included cash of ¥2,161,877,794.10, which accounted for 69.82% of total assets[58]. - The company reported a total current assets of RMB 2,457,710,656.75 as of December 31, 2016, an increase from RMB 1,852,164,953.09 at the beginning of the year, representing a growth of approximately 32.7%[176]. - Cash and cash equivalents reached RMB 2,161,877,794.10, up from RMB 1,502,165,833.15, indicating a growth of about 44%[176]. - The total liabilities and shareholders' equity were reported to be in line with the company's financial health, ensuring stability for future operations[173]. - The company maintained zero significant deficiencies in financial reporting and internal controls, indicating strong compliance and operational integrity[161].