LMZ(SH:600249)2021-03-30 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥685.43 million, a decrease of 42.24% compared to ¥1.19 billion in 2019[21]. - The net profit attributable to shareholders for 2020 was approximately ¥58.01 million, a significant recovery from a loss of ¥53.81 million in 2019[22]. - The net profit after deducting non-recurring gains and losses was approximately ¥902,077.21, compared to a loss of ¥119.50 million in the previous year[22]. - The company's total assets at the end of 2020 were approximately ¥2.56 billion, a decrease of 5.14% from ¥2.69 billion at the end of 2019[22]. - The net cash flow from operating activities for 2020 was approximately ¥14.87 million, a decline of 83.26% from ¥88.80 million in 2019[22]. - The company's net assets attributable to shareholders increased by 2.84% to approximately ¥2.13 billion at the end of 2020, compared to ¥2.07 billion at the end of 2019[22]. - Basic earnings per share for 2020 was CNY 0.1055, a recovery from a loss of CNY 0.10 in 2019[24]. - The weighted average return on equity for 2020 was 2.76%, improving from -3.04% in 2019[24]. - The company reported a significant decrease in sales expenses by 36.68% to ¥103.74 million, and management expenses decreased by 17.3% to ¥61.92 million[56]. - The total operating revenue for 2020 was ¥685,431,238.99, a decrease of approximately 42.3% compared to ¥1,186,674,091.12 in 2019[189]. - The company's gross profit margin improved, with gross profit for 2020 at ¥169,924,920.25, compared to a gross loss in 2019[189]. Strategic Focus - The company decided not to distribute profits for 2020, opting to reinvest the retained earnings into new product development and marketing efforts[5]. - The company is focusing on sustainable high-quality development despite previous years' losses, indicating a strategic shift towards long-term growth[5]. - The company plans to continue focusing on market expansion and new product development to enhance future performance[30]. - The company aims to focus on the integration of traditional Chinese medicine and daily chemicals, enhancing consumer quality of life through innovation[90]. - In 2021, the company plans to prioritize "market expansion and cost control," emphasizing "efficiency first while considering scale" in its operations[91]. Risk Management - The company has outlined potential risks in its future development, including industry and market risks[8]. - The company faces risks from intensified market competition, with the daily chemical industry entering a mature phase and experiencing slow growth[93]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties during the reporting period[7]. Corporate Governance - The company has established a complete corporate governance structure and improved information disclosure quality, receiving a good evaluation for its disclosure work during the reporting period[119]. - The company has made commitments to ensure independence and avoid competition with its controlling shareholders and related parties[104]. - The company has not proposed any capital reserve transfer to increase share capital in the last three years[100]. - The company has not faced any penalties from securities regulatory agencies in the past three years, indicating a stable compliance record[142]. - The company has established a robust internal control system, ensuring effective operation and legal compliance in decision-making processes[119]. Social Responsibility - The company actively participated in pandemic relief efforts, donating over 3 million RMB in cash and materials to support frontline workers and local communities[119]. - The company has successfully helped the designated poverty alleviation village, Peixiu Village, achieve poverty alleviation status during the reporting period[119]. - The company has implemented a comprehensive environmental management system, ensuring compliance with local pollution discharge regulations and obtaining the national pollution discharge permit valid until March 9, 2025[120]. - The company has actively promoted oral health knowledge through its museum and public outreach initiatives, enhancing scientific literacy in the community[119]. Employee Management - The total number of employees in the parent company and major subsidiaries is 1,506, with 499 in the parent company and 1,007 in subsidiaries[143]. - The company has established a performance evaluation management system to enhance its incentive system, emphasizing value orientation where higher performance leads to higher compensation[144]. - The company has a training program aimed at improving employee skills and ensuring a sustainable talent pool for future growth[146]. - The total number of employees with postgraduate degrees is 33, while those with a bachelor's degree number 303[143]. Financial Position - The company maintained a stable capital structure with total equity of ¥2,121,252,531.94 in 2020 compared to ¥2,062,333,918.15 in 2019[183]. - The company reported a year-end undistributed profit of RMB 69,570.69 million for 2020, following a net profit increase of RMB 5,322.40 million[98]. - The company’s financial report indicates a focus on improving operational efficiency and reducing liabilities in the upcoming fiscal year[180]. - Total current assets decreased from ¥1,924,846,831.74 in 2019 to ¥1,812,151,935.33 in 2020, a decline of approximately 5.8%[181]. Shareholder Information - The largest shareholder, Guangxi Liuzhou Industrial Investment Development Group Co., Ltd., holds 183,360,652 shares, representing 33.34% of the total shares[126]. - The company has no other significant shareholders with more than 10% ownership[131]. - The actual controller of the company is the Liuzhou Municipal Government State-owned Assets Supervision and Administration Commission[131]. - The company has no reported changes in the controlling shareholder during the reporting period[130].