JLSG(SH:600189)2022-04-29 16:00Financial Performance - The company achieved a net profit attributable to shareholders of RMB 105,290,472.76 for the year 2021[8]. - The parent company reported a net profit of RMB 38,454,401.29 for 2021, with a cumulative distributable profit of negative RMB 1,801,199,729.03[8]. - The net profit attributable to shareholders of the listed company was CNY 105,290,472.76, an increase of 26.94% compared to the previous year[21]. - The company achieved operating revenue of CNY 1,470,952,179.44, representing a year-on-year growth of 7.21%[21]. - The basic earnings per share for 2021 was CNY 0.15, up 25.00% from CNY 0.12 in 2020[24]. - The weighted average return on equity increased to 6.84%, up by 1.10 percentage points from 5.74% in 2020[24]. - The total assets at the end of 2021 were CNY 5,050,595,734.03, a 4.23% increase from the previous year[21]. - The company's net assets attributable to shareholders reached CNY 1,592,668,813.86, marking a 7.08% increase year-on-year[21]. - The company achieved operating revenue of 1,470.95 million RMB, an increase of 98.94 million RMB year-on-year[61]. - The net profit attributable to the parent company was 105.29 million RMB, an increase of 22.35 million RMB year-on-year[61]. Profit Distribution - The board of directors approved a profit distribution plan for 2021, stating that no profit distribution or capital reserve increase will occur[8]. - As of December 31, 2021, the cumulative distributable profit was negative RMB 1,084,684,256.05[8]. - The company decided not to distribute profits for the fiscal year 2021, nor to increase capital reserves through stock conversion[159]. Operational Strategy - The company is focusing on high-quality development and strategic project implementation to navigate external challenges[33]. - The company maintained a strategic focus on the natural mineral water industry, emphasizing product quality and steady channel development, while also upgrading its wooden door and home furnishing segments towards smart home solutions[35]. - The company adopted a dual market development strategy for its natural mineral water segment, focusing on both systematic maintenance of existing markets and strategic partnerships in less established markets[40]. - The company aims to achieve a revenue target of 1,485 million yuan and a cost of 927 million yuan for 2022[106]. - The company plans to maintain a dual focus on its main business of natural mineral water while upgrading its garden and wooden door home business models[105]. Market Presence and Development - The company expanded its market presence in Guangdong while solidifying its foothold in Suzhou, Yunnan, Xi'an, Henan, and Shandong, enhancing brand recognition in economically developed areas[38]. - The company established over 10,000 standard stores and more than 10,000 terminal model stores to support its "thousand towns, ten thousand stores" initiative[40]. - The company’s "泉阳泉" mineral water brand has been recognized as a "Chinese famous brand" and a "national geographical indication protected product"[59]. Risk Management - The company faced various risks as detailed in the management discussion and analysis section of the report[9]. - The company recognizes the ongoing risks posed by the COVID-19 pandemic, which may affect logistics and project execution[107]. - The company acknowledges the impact of macroeconomic changes on its business segments, particularly in relation to consumer spending and infrastructure investment[107]. Governance and Compliance - The company held three annual general meetings and twenty-two board meetings during the reporting period, ensuring compliance with legal and regulatory requirements[114]. - The company maintained a high standard of information disclosure, ensuring all shareholders had equal access to company information through various communication platforms[116]. - There were no significant differences between the company's governance practices and the relevant laws and regulations[117]. - The company did not experience any major insider trading incidents during the reporting period, ensuring the protection of shareholder interests[117]. - The company is committed to enhancing its governance structure and internal controls to ensure sustainable development and protect shareholder rights[113]. Employee Management and Development - The company employed a total of 2,108 staff members, with 452 in the parent company and 1,656 in major subsidiaries[151]. - The company has established a performance evaluation system for senior management, linking compensation to performance metrics[163]. - The company emphasizes talent development, fostering a professional management team to drive long-term growth[60]. - The company emphasizes the importance of youth training and talent development as part of its strategic initiatives[156]. Environmental and Social Responsibility - The company emphasizes ecological priority and green development, actively promoting the protection of water sources in the Changbai Mountain area[167]. - The company actively supports social responsibility initiatives, including disaster relief efforts in Zhengzhou and providing resources during the COVID-19 pandemic[175]. - The company is committed to sustainable development, integrating social value into its business practices and actively engaging with stakeholders[172]. Audit and Financial Oversight - The audit report issued by Da Hua Certified Public Accountants was a standard unqualified opinion[7]. - The internal control system was independently audited, receiving a standard unqualified opinion from the auditing firm[165]. - The audit committee confirmed that the internal control evaluation report accurately reflects the company's internal control effectiveness[145]. Related Party Transactions - The company engaged in related transactions amounting to RMB 89.66 million for purchasing materials, accounting for 44.83% of the expected total related transactions for daily operations[199]. - The company accepted labor services worth RMB 2.17 million, representing 10.84% of the expected total related transactions for daily operations[199]. - The rental income from the leasing agreement with Hongshi Forestry Bureau for forest management was RMB 36 million per year, effective until December 31, 2023[199].