XINSAI CO.,LTD(SH:600540)2025-04-27 08:00Financial Performance - In 2024, Xinjiang Sailimu Modern Agriculture Co., Ltd. reported a consolidated net loss of ¥260,813,593.08, with the net loss attributable to the parent company amounting to ¥243,991,232.23[7]. - The parent company achieved a net profit of -¥20,122,210.24 for the year, leading to a total accumulated undistributed profit of -¥544,284,672.12, resulting in a total available profit for distribution of -¥564,406,882.36[7]. - The company's operating revenue for 2024 reached ¥1,636,455,978.28, representing a 68.42% increase compared to ¥971,635,206.65 in 2023[24]. - The net profit attributable to shareholders was a loss of ¥243,991,232.23, a significant decrease of 1,758.96% from a profit of ¥14,707,470.15 in the previous year[24]. - The net cash flow from operating activities decreased by ¥1,435,733,073.42, a decline of 10.07 billion yuan compared to the previous year, primarily due to increased purchases and unsold inventory[28]. - The company's total assets increased by 52.78% to ¥4,682,762,458.52 in 2024, up from ¥3,064,983,333.46 in 2023[26]. - The weighted average return on equity dropped to -40.17% in 2024 from 2.01% in 2023, a decrease of 42.18 percentage points[27]. - The basic earnings per share for 2024 was -¥0.4197, compared to ¥0.0253 in 2023, reflecting a substantial decline[27]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥299,879,739.19, compared to -¥35,538,895.48 in 2023[26]. - The company's net assets decreased by 33.45% to ¥485,345,703.05 in 2024 from ¥729,336,935.28 in 2023[26]. Corporate Governance - The board of directors decided not to distribute cash dividends or increase capital reserves for the fiscal year 2024, pending approval at the 2024 shareholders' meeting[7]. - The company has established a standardized salary and performance evaluation process to enhance corporate governance[39]. - The company’s compliance governance structure was strengthened, with 29 party committee meetings and 8 board meetings held during the reporting period[40]. - The company has established measures to ensure the independence of its operations from its controlling shareholders[143]. - The company has committed to enhancing its internal control and auditing processes for the upcoming fiscal year[145]. - The company has established a robust corporate governance structure, ensuring compliance with legal regulations and effective decision-making processes[136]. - The company held 7 supervisory board meetings during the reporting period, ensuring compliance with legal and regulatory requirements[139]. - A total of 126 periodic reports and temporary announcements were published in 2024, adhering to the information disclosure management regulations[140]. - The company has not experienced any insider trading violations or significant leaks of sensitive information during the reporting period[142]. - The company emphasizes communication with investors, addressing inquiries related to operations, development, and governance[143]. Market and Industry Analysis - The company is currently focusing on its agricultural technology development and market expansion strategies[8]. - The increase in operating revenue was attributed to higher sales volumes of cotton and related products, as well as increased sales from the biological protein segment[27]. - The company faced challenges including reduced market demand for key products, increased financial and storage costs, and a decline in cotton subsidies compared to the previous year[28]. - The total cotton planting area in China reached 42.574 million acres in 2024, an increase of 1.8% year-on-year, with a total production of 6.164 million tons, up 9.7% from the previous year[44]. - The average cotton yield in Xinjiang was 154.9 kg per acre, an increase of 7.6% year-on-year, contributing to 92.25% of the national total production[44]. - The cotton consumption in China for 2024 is projected to reach 8.165 million tons, accounting for 32.4% of global consumption[100]. - The company’s strategic focus includes enhancing cotton quality, reducing costs, and increasing efficiency to strengthen its competitive edge in the cotton industry[101]. - The cotton processing capacity in Xinjiang is experiencing severe overcapacity, leading to intensified competition in the industry[111]. - The integration of the cotton market between the military and local regions aims for a unified market by the end of 2025, increasing competition among processing enterprises[113]. Environmental and Social Responsibility - The company invested over 10 million yuan in safety and environmental protection throughout the year, achieving a zero-accident target[41]. - The company has implemented pollution control facilities, achieving a 99% recycling rate for wastewater through a closed-loop system[183]. - The company reported no instances of exceeding emission standards during the reporting period[182]. - The company received one administrative penalty related to environmental protection in 2024, which has been rectified[188]. - The company has actively engaged in green development practices, adhering to environmental laws and regulations throughout its operations[192]. - The company made a total donation of 1.56 million yuan for government events and support for veterans[192]. Research and Development - The company has established a postdoctoral research station to address technical challenges and enhance product development, resulting in 17 patent certificates obtained[66]. - The company processed 200,000 tons of cottonseed concentrated protein annually, achieving a protein content of over 60% while reducing the free gossypol content[52]. - Research and development expenses totaled 580,895.20, representing 0.04% of the operating income[84]. - The company employed 27 R&D personnel, making up 5.18% of the total workforce[85]. - The company is actively involved in the development of new technologies and products to enhance its competitive edge in the market[156]. Future Plans and Projections - The company aims to achieve a revenue of 6.4 billion yuan in 2025, reflecting a strategic focus on high-quality development and innovation[125]. - The company plans to implement a profit distribution plan and capital reserve conversion to increase share capital in 2023[157]. - The company plans to disclose the 2023 annual performance forecast, which is expected to align with the financial data verified by the auditor, without significant deviations[162]. - The company is set to discuss the 2024 fixed asset investment plan and the production and operation plan for 2024 in upcoming meetings[158]. - The company plans to utilize idle raised funds to temporarily supplement working capital[159]. Financial Management - The company has set financial budget plans for 2024, indicating a proactive approach to financial management[157]. - The company has maintained effective internal financial controls without any significant deficiencies identified during the internal control evaluation[163]. - The current domestic accounting firm, Tianjian Accounting Firm, has a remuneration of 600,000 RMB for the audit services[199]. - The internal control audit will also be conducted by Tianjian Accounting Firm, with a remuneration of 290,000 RMB[200]. - The company has renewed the appointment of Tianjian Accounting Firm for the 2024 financial report audit and internal control audit[200].