LH(SH:600099)2022-05-31 16:00Financial Performance - In 2021, Linhai Co., Ltd. achieved a net profit of CNY 9,514,023.77, representing a 23.19% increase compared to CNY 7,722,787.28 in 2020[7]. - The company's operating revenue for 2021 was CNY 841,449,093.16, a 40.34% increase from CNY 599,596,430.72 in 2020[24]. - The company reported a net profit attributable to shareholders after deducting non-recurring gains and losses of CNY 8,823,932.70, a 44.18% increase from CNY 6,120,252.55 in 2020[24]. - The total profit reached 11.53 million RMB, reflecting a growth of 32.93% compared to the previous year[42]. - Net profit attributable to shareholders was 9.51 million RMB, up 23.19% year-on-year[42]. - The total assets amounted to 687.72 million RMB, an increase of 17.40% from the end of the previous year[42]. - The asset-liability ratio stood at 28.40%, rising by 10.92 percentage points from the previous year[42]. Cash Flow and Financial Health - The net cash flow from operating activities was negative at CNY -6,717,192.96, compared to a positive CNY 33,787,782.61 in 2020[24]. - The net cash flow from operating activities for the year was reported at ¥13.14 million, indicating a positive cash flow situation[29]. - The net cash flow from operating activities decreased significantly to -CNY 6.72 million from CNY 33.79 million in the previous year[72]. - The net increase in cash and cash equivalents was -CNY 13.58 million, a significant decline from an increase of CNY 22.31 million in 2020[72]. Research and Development - Research and development expenses increased by 75.53%, totaling 12.93 million RMB[44]. - The company is actively pursuing new product development, with three new products receiving provincial-level certification, indicating a commitment to innovation[34]. - The company is committed to increasing R&D investment and focusing on high-end value chains in the agricultural machinery sector[107]. - The company has invested 500 million yuan in research and development for new technologies in the upcoming year[130]. Market and Sales Performance - The company achieved a significant increase in special vehicle sales, particularly in European markets like France and the Czech Republic, enhancing its overseas sales channels[33]. - The motorcycle industry experienced a 13% year-over-year increase in production and sales, with the company focusing on medium-displacement scooters[38]. - The company reported a 58% increase in the production and sales of all-terrain vehicles in 2021, with exports rising by 65%[36]. - The company plans to enhance overseas market communication and expand sales channels, particularly in key European markets like France and the Czech Republic[60]. - The company achieved self-operated exports of 188.53 million yuan in 2021, indicating progress in building independent sales channels in overseas markets[121]. Operational Efficiency and Management - The company has made progress in its internal management, focusing on quality control and cost reduction initiatives to enhance operational efficiency[35]. - The company is addressing cost control by focusing on reducing procurement costs and managing internal expenses effectively[111]. - The company has established a comprehensive internal control system and conducted an effectiveness evaluation, with no significant deficiencies reported during the reporting period[152]. - The internal control audit report issued by DaHua Accounting Firm confirmed that the company maintained effective financial reporting internal controls as of December 31, 2021[155]. Strategic Plans and Future Outlook - The company plans to retain profits for new product development and market expansion, opting not to distribute dividends for 2021[7]. - The company aims to enhance its product competitiveness and innovate its business model, focusing on high-quality development and expanding its market presence in special vehicles and agricultural machinery[107]. - The company plans to strengthen its international sales channels, particularly in key markets like France and the Czech Republic, to cultivate strong new clients in the special vehicles sector[110]. - The company has outlined a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15%[130]. Related Party Transactions and Governance - The company reported a total revenue of 50.18 million, with a year-on-year increase of 188.88%[127]. - The actual amount of related party transactions in 2021 was CNY 6,279.91 million, compared to an estimated amount of CNY 7,460 million, indicating a variance due to product structure adjustments[173]. - The audit identified the completeness of related party relationships and transactions as a key audit matter due to its significant impact on financial results[198]. - The company is committed to resolving significant changes in competition and related party business activities[122]. Environmental and Social Responsibility - The company invested a total of 195,204 RMB in environmental protection measures during the reporting period[159]. - The company adheres to a green and low-carbon development philosophy, ensuring all investment projects comply with environmental protection requirements[159]. - The company will continue to actively fulfill its social responsibilities, aligning its interests with societal obligations[162].