XSS(SH:600117)2023-04-28 16:00Financial Performance - The net profit attributable to shareholders for 2022 was -1,150,677,727.48 RMB, resulting in a total distributable profit of -4,334,111,827.70 RMB[4]. - The company decided not to distribute cash dividends or issue bonus shares for 2022 due to accumulated losses and current operational conditions[5]. - The audited net assets attributable to shareholders were negative, indicating ongoing concerns about the company's ability to continue as a going concern[8]. - The company has faced continuous net losses for three consecutive accounting years, raising significant investment risks[8]. - Adjusted revenue for 2022 was approximately $7.76 billion, a decrease of 36.59% compared to the previous year[22]. - Net loss attributable to shareholders was approximately -$1.15 billion, showing a slight increase in loss of 0.30% from the prior year[22]. - Basic earnings per share for 2022 was -$1.10, unchanged from 2021, while diluted earnings per share also remained at -$1.10[23]. - Total revenue for 2022 was ¥7,757,232,800.30, a decrease of 36.59% compared to ¥12,234,346,202.67 in 2021, primarily due to reduced steel sales volume and prices[24]. - The company reported a net loss of approximately ¥1.63 billion, an improvement of 39.01% from -¥2.67 billion in the previous year[48]. - The company reported a total loss of CNY 16 million in profit, a 38.95% improvement from a loss of CNY 26.21 million in 2021[33]. Operational Efficiency - Cash flow from operating activities decreased by 72.68% to approximately $390.35 million compared to the previous year[22]. - The company's net assets attributable to shareholders were approximately -$857.28 million, a significant decrease of 391.56% from the previous year[22]. - The company implemented a "Four Fast" strategy, focusing on rapid procurement, production, sales, and payment collection to improve operational efficiency[34]. - The effective operation rate of main equipment reached 99.77%, with a year-on-year reduction in equipment failure downtime[36]. - The company focused on optimizing production organization and reducing costs, leading to a decrease in energy costs and logistics expenses[34]. Industry Challenges - The steel industry faced significant challenges in 2022, with crude steel production declining by 1.7% to 1.018 billion tons and apparent consumption down by 3.4% to 0.96 billion tons[38]. - The steel industry saw a 72.27% decline in total profits for member enterprises, with total profits amounting to CNY 9.82 billion in 2022[38]. - The company has faced challenges due to high raw material costs and a decrease in steel sales volume and prices, impacting overall profitability[49]. - The steel industry is experiencing intense competition, with a notable decline in profits due to policies like "dual control" and "dual carbon," leading to increased industry consolidation[80]. Financial Position - The company's total assets decreased by 9.51% to approximately $16.79 billion at the end of 2022 compared to the end of 2021[22]. - Long-term borrowings decreased by 56.13% to ¥804,250,000.00, primarily due to reclassification to current liabilities[24]. - The company's total liabilities increased by 43.60% to approximately ¥1.14 billion, mainly due to an increase in advance payments for steel[66]. - The company's total assets were reported at ¥16,785,474,237.84, down from ¥18,548,641,133.48, representing a decline of 9.5%[194]. - The total equity attributable to shareholders fell to ¥-857,278,876.46, compared to ¥294,032,527.29 in the previous year, indicating a negative shift in equity position[194]. Environmental Management - The company invested approximately 118.35 million yuan in environmental protection during the reporting period[124]. - The total emission control limits for pollutants were set at 4,592 tons for particulate matter, 2,517 tons for sulfur dioxide, and 4,691 tons for nitrogen oxides[125]. - The company has established a mechanism for environmental protection and has complied with national pollution discharge standards[125]. - The company has constructed over 50 pollution treatment facilities, including a wastewater treatment center with a daily capacity of 20,000 tons, achieving 100% recycling of treated wastewater[128]. - The company has received ISO14001 environmental management system certification for 16 consecutive years, ensuring adherence to national emission standards[128]. Governance and Compliance - The company has strengthened its internal control systems in compliance with regulatory requirements, enhancing governance and decision-making capabilities[85]. - A total of 64 temporary announcements were disclosed during the reporting period, ensuring transparency and compliance with information disclosure regulations[85]. - The company has not faced any penalties from the China Securities Regulatory Commission in the past three years[100]. - The company’s internal control evaluation report was deemed to be true, complete, and effective[105]. - The company has not disclosed any significant internal control deficiencies during the reporting period[120]. Future Strategies - The company plans to expand its market presence and invest in new technologies to enhance competitiveness in the steel industry[69]. - Future strategies include potential market expansion and new product development to enhance revenue streams[200]. - The company aims to improve cash flow and financial structure by introducing strategic investors and enhancing cooperation with suppliers[149]. - The company is committed to structural adjustments and green development, aligning with national policies for manufacturing and industrial transformation[78].