NXBM(SH:600449)2023-03-21 16:00Financial Performance - In 2022, the company's total revenue from its wholly-owned subsidiary Wuhai Saima reached CNY 325.66 million, a year-on-year increase of 20.14%[9] - The operating profit for Wuhai Saima was CNY 30.20 million, reflecting a growth of 5.97% compared to the previous year[9] - The net profit for Wuhai Saima increased by 19.92% year-on-year, amounting to CNY 25.79 million[9] - The company's wholly-owned subsidiary Shizuishan Saima achieved a revenue of CNY 201.10 million, up 41.03% year-on-year[9] - Shizuishan Saima's operating profit surged by 71.33% to CNY 35.53 million, with net profit rising by 71.78% to CNY 30.18 million[9] - The revenue from the company's controlling subsidiary Jiahua Cement was CNY 222.09 million, an increase of 8.56% year-on-year[9] - However, Jiahua Cement's operating profit decreased by 7.22% to CNY 11.78 million, and net profit fell by 20.97% to CNY 10.24 million due to rising raw material costs[9] - The controlling subsidiary Saima IoT reported a remarkable revenue of CNY 4,214.79 million, a significant increase of 253.52% year-on-year[9] - The company reported a net fundraising amount of 714,535,500 RMB from the issuance of 50,917,900 shares, increasing the total share capital to 195,133,900 shares[14] - The company’s operating revenue for 2022 was approximately RMB 8.66 billion, an increase of 49.71% compared to RMB 5.78 billion in 2021[153] - The net profit attributable to shareholders for 2022 was approximately RMB 528.95 million, a decrease of 33.98% from RMB 801.24 million in 2021[153] - The net cash flow from operating activities for 2022 was approximately RMB 787.47 million, down 40.80% from RMB 1.33 billion in 2021[153] Challenges and Industry Conditions - The company faces challenges due to significant overcapacity in the cement industry and rising raw material costs, which are expected to impact profitability[39] - The increase in revenue, operating profit, and net profit was attributed to higher sales of cement and clinker, which offset the decline in aggregate sales, despite rising product prices[36] - The company plans to implement centralized procurement to stabilize supply and control costs amid rising raw material prices[126] - The company is committed to supply-side structural reforms to address the overcapacity issue and enhance industry concentration through regional market integration and technological innovation[39] - The company faces risks from overcapacity and rising costs of raw materials, particularly coal, which may impact production costs[126] Subsidiary Performance - In 2022, the company's wholly-owned subsidiary Wuhai Xishui achieved operating revenue of 680.97 million yuan, an increase of 11.56% year-on-year, with operating profit of 55.73 million yuan, up 81.84%, and net profit of 40.93 million yuan, an increase of 40.73%[36] - The company's controlling subsidiary Qingshui Co. reported operating revenue of CNY 749.66 million, a year-on-year increase of 2.05%, but net profit decreased by 25.57% to CNY 127.03 million[2] - Gansu Cement, another controlling subsidiary, had operating revenue of CNY 611.78 million, down 4.21%, with net profit decreasing by 29.93% to CNY 119.28 million[3] - Tianshui Cement reported operating revenue of CNY 674.37 million, a decrease of 10.40%, with net profit down 26.86% to CNY 117.78 million[4] - Wuzhong Saima achieved operating revenue of CNY 332.21 million, an increase of 15.46%, but net profit decreased by 27.70% to CNY 43.95 million[5] - The subsidiary Karaqin reported operating revenue of CNY 353.45 million, down 25.43%, with net profit decreasing by 70.58% to CNY 16.50 million[6] - The subsidiary Zhongning Saima had operating revenue of CNY 197.51 million, a decrease of 32.06%, with net profit down 93.67% to CNY 2.32 million[7] - Saima Kejin reported operating revenue of CNY 278.15 million, a decrease of 22.18%, with net profit down 8.16% to CNY 25.65 million[8] Cash Flow and Financial Position - The net cash flow from operating activities for the company was negative at CNY -145.81 million, compared to a positive CNY 964.29 million in the previous year[5] - The company’s cash and cash equivalents at the end of the period stood at CNY 1,323.40 million, compared to CNY 1,239.10 million at the end of the previous year[5] - The total owner's equity at the end of the period is 4,510,229,335.21 RMB, reflecting an increase of 401,436,663.03 RMB during the year[12] - The comprehensive income for the period amounts to 721,817,961.17 RMB, indicating a significant contribution to the overall equity[11] - The company has a capital reserve of 1,778,365,666.22 RMB, which remains unchanged from the previous year[11] - The retained earnings at the end of the period are 1,857,752,784.68 RMB, showing a growth from the previous year[12] - The company has a total capital stock of 47,818,100 shares as of December 31, 2022[15] - The company has a shareholding ratio of 49.03% held by China National Building Material Group Corporation[15] Corporate Governance and Compliance - The company has been optimizing its corporate governance structure in response to regulatory changes, ensuring compliance and effective decision-making processes[58] - The company maintains independence from its controlling shareholder, ensuring no asset occupation without compensation and independent operations across all functions[104] - The company has established a comprehensive internal control system to enhance governance and ensure compliance with regulations[105] - The company emphasizes accurate and complete information disclosure, enhancing communication with investors to protect their rights[105] Future Outlook and Strategic Initiatives - The company plans to sell 13.15 million tons of cement and clinker, and 4.2 million tons of aggregates, targeting a revenue of 5 billion yuan from basic building materials[124] - The company aims to enhance its "I Find Car" digital logistics platform, focusing on external expansion and improving user experience[125] - The company is exploring opportunities for mergers and acquisitions to enhance its market position, but no specific targets were mentioned[149] - The company is advancing a major asset restructuring by merging with Zhongjian Information and acquiring controlling stakes in subsidiaries related to cement operations[158] - The company is promoting the development of a new energy-efficient and environmentally friendly clinker production line with a capacity of 4,000 tons per day[158] - The company aims to enhance its digital transformation to improve energy efficiency and reduce carbon emissions across the industry[160] Environmental and Technological Focus - The company emphasizes the importance of adapting to increasing environmental protection standards, which could impact production operations if not addressed[48] - The company is committed to green development and will continue to upgrade energy-saving and environmental protection technologies to meet changing standards[126] - The company is focusing on the integration of new technologies such as 5G and cloud computing to monitor carbon emissions in real-time[160] - The company is focusing on green and low-carbon development in line with national policies, aiming for significant breakthroughs in key technologies during the 14th Five-Year Plan[185] - The company plans to enhance its digital logistics capabilities by integrating advanced technologies such as AI and big data[187] Shareholder and Management Information - The total pre-tax remuneration for the former president was 2.2855 million CNY, while the current president received 1.8812 million CNY during the reporting period[110] - The company’s board of directors has undergone changes, with new appointments and departures noted in the report[110] - The company has not reported any requests for extraordinary general meetings from preferred shareholders[107] - The management team, including the chairman and president, confirmed the accuracy and completeness of the financial report[132] Miscellaneous - The company did not distribute stock dividends or convert capital reserves into share capital in 2022[133] - The company did not report any significant new product developments or technological advancements during the conference call[149] - The company's financial reporting includes significant internal transactions and balances that are offset in the consolidated financial statements[38]