HZSY(SH:600191)2022-04-29 16:00Financial Performance - The net profit attributable to the parent company for 2021 was CNY 9,966,999.42, a significant increase of 107.95% compared to a net loss of CNY 125,302,443.18 in 2020[6]. - The total operating revenue for 2021 was CNY 42,234,362.75, representing a year-on-year increase of 9.30% from CNY 38,639,412.05 in 2020[22]. - The basic earnings per share for 2021 was CNY 0.0206, recovering from a loss of CNY 0.2584 in 2020, marking an increase of 107.97%[23]. - The company's total assets at the end of 2021 were CNY 1,756,043,116.72, a decrease of 1.70% from CNY 1,786,359,303.93 at the end of 2020[22]. - The net cash flow from operating activities for 2021 was CNY -17,713,786.75, worsening from CNY -7,907,285.64 in 2020[22]. - The weighted average return on equity for 2021 was 0.59%, an increase of 7.59 percentage points from -7.00% in 2020[23]. - The net assets attributable to shareholders at the end of 2021 were CNY 1,674,252,766.87, a slight decrease of 0.73% from CNY 1,686,575,498.72 at the end of 2020[22]. - The company reported a decrease of 2.89% in revenue from core business activities, with CNY 35,571,412.02 in 2021 compared to CNY 36,631,600.38 in 2020[22]. Cash Flow and Investments - The company established a wholly-owned subsidiary, Huazi Trading Co., Ltd., with an investment of CNY 10 million in November 2021, which generated a net revenue of CNY 592.89 million and a net profit of CNY 414.94 million by the end of the reporting period[31]. - The company's investment activities generated a net cash flow of CNY 65,457,421.82 million, a 109.47% increase compared to the previous year[36]. - The company reported a significant investment in financial assets, with an initial investment of 71.703 million yuan in Huaxia Bank, resulting in a reportable investment income of 3.30222 million yuan[56]. - The company incurred a total of CNY 14,423,980.00 in cash outflows from financing activities during 2021[171]. - The net cash flow from investment activities for 2021 was 55,457,421.82, up from 31,296,654.31 in 2020, showing a positive trend in investment returns[173]. Subsidiaries and Business Operations - The company established a wholly-owned subsidiary, Baotou Huazi Trading Co., Ltd., which was included in the consolidated financial statements[43]. - The company is exploring new development strategies and profit growth points, focusing on commissioned processing of grain through its new subsidiary[33]. - The company has increased its grain sales business during the reporting period[44]. - The company holds 100% of Baotou Huazi Sugar Reserve Co., Ltd., which has total assets of 55.5459 million yuan and a net profit of -1.17978 million yuan at the end of the reporting period[57]. - The company is expanding its logistics and national storage capabilities to enhance production efficiency and meet market demands[62]. Shareholder and Governance - The company ensures compliance with corporate governance regulations, maintaining independence in operations and financials from the controlling shareholder[67]. - The board of directors and supervisory board operate independently, ensuring major decisions are made according to legal procedures[67]. - The company has implemented strict information disclosure practices, ensuring timely and accurate communication with all shareholders[68]. - The company has established a system for accountability regarding major errors in annual report disclosures[68]. - The company maintains a clear separation of interests in related party transactions, ensuring fairness and compliance with regulations[68]. Market and Strategic Outlook - The company provided an optimistic outlook for the next quarter, projecting revenue growth of 25%[75]. - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[75]. - The company is considering strategic acquisitions to bolster its product offerings, with a budget of $100 million allocated for potential deals[75]. - A new marketing strategy has been implemented, aiming to increase brand awareness by 30% over the next six months[75]. - The management team emphasized the importance of sustainability initiatives, aiming for a 40% reduction in carbon footprint by 2025[77]. Employee and Management Structure - The total number of employees in the parent company and major subsidiaries is 430, with 288 in production roles[88]. - The educational background of employees includes 231 with high school or below, 117 with associate degrees, and 82 with bachelor's degrees or higher[89]. - The company’s remuneration policy aligns with national regulations and includes social insurance and housing fund contributions for employees[90]. - Total compensation for all directors, supervisors, and senior management amounted to 73.22 million[81]. Financial Position and Equity - The total equity attributable to shareholders decreased to CNY 1,674,252,766.87, down 0.7% from CNY 1,686,575,498.72 in 2020[158]. - The company reported a comprehensive loss of -22,289,731.27 for the year, indicating challenges in profitability despite positive investment cash flows[178]. - The total equity at the beginning of the year was 1,791,239,784.13 RMB, showing a decline from the previous year's total[185]. - The company has not faced any significant legal or regulatory discrepancies in its governance practices[69]. - The company has not proposed any employee stock ownership plans or other incentive measures during the reporting period[95].