Financial Performance - For the first half of 2022, the company reported revenue of RMB 3,630.2 million, a decrease of RMB 645.8 million or 15.1% compared to RMB 4,276.0 million in the same period of 2021[15]. - Gross profit for the first half of 2022 was RMB 1,709.0 million, down RMB 432.9 million or 20.2% from RMB 2,141.9 million in the first half of 2021[15]. - Profit attributable to equity holders was RMB 222.0 million, a decline of RMB 376.9 million or 62.9% from RMB 598.9 million in the same period of 2021[15]. - The revenue decline was primarily due to strategic adjustments in the sales of its own brand milk powder and increased support to distributors during challenging market conditions[38]. - The gross margin decreased from 50.1% in 2021 to 47.1% in 2022, attributed to increased discounts offered to distributors amid intense market competition[39]. - The profit attributable to equity holders for the first half of 2022 was RMB 222.0 million, a decrease of RMB 376.9 million or 62.9% compared to the same period in 2021[49]. - The company reported a total comprehensive income of RMB 221,988,000 for the six months ended June 30, 2022, compared to RMB 203,188,000 for the same period in 2021, showing an increase of 9.0%[106]. Sales and Market Trends - The core business of the company's own brand formula milk powder generated sales of RMB 2,951.2 million, a decrease of RMB 795.3 million or 21.2% year-on-year[16]. - Sales of the company's own milk powder decreased by RMB 770.7 million or 37.6% to RMB 1,279.3 million compared to RMB 2,050.0 million in the first half of 2021[17]. - The overall market demand for infant formula milk powder in China declined by 4.0% year-on-year in the first half of 2022, according to AC Nielsen data[15]. - The company's own brand formula milk powder accounted for 81.3% of total revenue, down from 87.6% in the same period of 2021[16]. - Revenue from the Chinese market was RMB 3,063,014 thousand, down 19% from RMB 3,775,940 thousand in the previous year[140]. Product Development and Innovation - 海普诺凯1897推出首款母乳低聚糖奶粉，标志着产品结构的重大升级[23]. - 佳贝艾特推出多款新产品，包括儿童成长营养配方羊奶粉，进一步拓展市场[23]. - The company has submitted a patent for goat milk protein peptides with DPP-V inhibition function, which won the "China Patent Award Excellent Award" and supports the development of diverse goat milk powder products[26]. - The company holds over 70 domestic and 50 international projects, with goat milk powder-related patents accounting for 50% of China's goat milk powder patents[26]. Strategic Initiatives - The company is actively adjusting sales strategies for its core brand, Haipinokai 1897, to provide fresher and higher-quality products while reducing inventory pressure on distributors[17]. - The company aims to strengthen its global supply chain and enhance brand competitiveness despite the challenges faced in the market[15]. - The company believes that the adjustments made to the distribution strategy will yield long-term benefits for its business[17]. - The company aims to reduce carbon emissions and establish a sustainable green supply chain as part of its commitment to corporate social responsibility[31]. - The company will continue to adhere to its core strategy of "Golden Decade" to drive growth and innovation in the market[34]. Financial Position and Assets - Total assets as of June 30, 2022, were RMB 9,377.4 million, a decrease of RMB 147.8 million from RMB 9,525.2 million at the end of 2021[50]. - The net asset value increased by RMB 504.2 million to RMB 5,963.5 million as of June 30, 2022, compared to RMB 5,459.3 million at the end of 2021[50]. - The current ratio improved to 2.03 times as of June 30, 2022, compared to 1.68 times at the end of 2021, mainly due to new shares issued[52]. - Cash and cash equivalents decreased to RMB 1,764.3 million from RMB 2,262.2 million at the end of 2021[56]. - The group had outstanding borrowings of RMB 1,271.9 million as of June 30, 2022, down from RMB 1,303.0 million as of December 31, 2021, with 47.7% of the borrowings due within one year[59]. Corporate Governance and Compliance - The company has adopted the corporate governance code as per the listing rules to enhance shareholder value and accountability[72]. - The audit committee has reviewed the interim report and the unaudited financial statements for the period[74]. - The company has established written guidelines for securities trading by senior management and employees to ensure compliance with regulations[73]. - The new share option plan was conditionally approved on May 26, 2022, allowing the board to grant options to selected participants, including employees and directors, for a total of up to 10% of the issued shares as of the approval date, equating to 180,854,584 shares[81]. Community Engagement and Social Responsibility - The company donated RMB 17.6 million worth of materials to support local communities and was awarded the "2021 Corporate Social Responsibility Industry Model Award" for the fourth consecutive year[31]. - The company remains cautiously optimistic about the industry outlook despite challenges, focusing on strengthening core business and brand, and enhancing global supply chain efficiency[32].
澳优(01717) - 2022 - 中期财报