QJBIOCH(SH:600796)2023-04-26 16:00Financial Performance - The net profit attributable to shareholders for the year 2022 was 206 million yuan, representing a year-on-year increase of 39.28%, primarily due to increased investment income [23]. - The company achieved operating revenue of CNY 2.01 billion in 2022, a decrease of 1.09% compared to the previous year [24]. - Net profit attributable to shareholders increased by 39.28% to CNY 206.05 million in 2022, up from CNY 147.94 million in 2021 [24]. - The company's cash flow from operating activities was CNY 401.94 million, reflecting a 9.03% increase from CNY 368.65 million in 2021 [24]. - The total revenue for the year was approximately 2,004,405,817.88, a decrease of 21.97% compared to the previous year [80]. - The revenue from domestic sales was 1,919,614,964.03, reflecting a decrease of 1.67% year-over-year [80]. - The revenue from international sales increased by 25.35% to 84,790,853.85, with a gross margin of 44.57% [80]. - The gross margin for the overall business was 21.91%, a slight decrease of 0.76% year-over-year [80]. - The company reported a significant increase in the disposal of medical waste, with a sales volume of 12,038.91 tons, up by 67.87% [81]. - The total revenue for the year reached 1,565,271,459.56 million, a slight increase of 0.19% compared to the previous year [91]. Dividend Distribution - The company plans to distribute a cash dividend of 1.02 yuan per 10 shares, totaling 88.39 million yuan, based on a total share capital of 866,585,766 shares [5]. - The company distributed cash dividends totaling 86,658,576.60 yuan (including tax) to shareholders in 2022 [39]. - The cash dividend distributed accounted for 42.90% of the net profit attributable to ordinary shareholders in the consolidated financial statements [183]. - The company has a cash dividend policy that mandates a minimum distribution of 30% of the average distributable profit over the last three years [180]. - The company has not proposed a cash profit distribution plan despite having positive distributable profits for shareholders during the reporting period [182]. Operational Efficiency and Cost Management - The company saved 799.2352 million yuan through optimized procurement processes, with a total bidding budget of 146.1833 million yuan and an actual winning bid of 138.190948 million yuan [35]. - The company reported a decrease in financing cash flow, with a net outflow of 343.83 million RMB, compared to a net inflow of 570.27 million RMB in the previous year [77]. - The total cost of raw materials decreased by 21.57% to 128,792,348.43, compared to 164,219,951.72 in the previous year [83]. - Total manufacturing costs decreased by 23.35% to $234,453,816.03 from $305,865,496.46 [84]. - The company plans to implement strict cost control measures to improve financial management and reduce operational costs [125]. Environmental and Social Responsibility - The company actively participated in social welfare activities, contributing a total of 771,500 yuan to local schools and poverty alleviation efforts [39]. - The company invested 8.762 million yuan in environmental protection during the reporting period [189]. - The company is committed to enhancing safety management and ensuring compliance with environmental standards across its operations [127]. - The company has established a standardized hazardous waste storage facility, ensuring compliance with environmental management requirements [192]. - The company is classified as a key pollutant discharge unit in terms of air and water environment, adhering to relevant environmental standards [190]. Corporate Governance and Management - The company has confirmed that all board members attended the board meeting, ensuring the authenticity and completeness of the annual report [8]. - The company received a standard unqualified audit report from Tianjian Accounting Firm [4]. - The company has established an independent financial management department with a separate accounting system and independent bank accounts, ensuring no interference from the controlling shareholder in financial decisions [143]. - The company has held multiple shareholder meetings, approving various proposals related to financial management and governance, ensuring compliance with regulations [145]. - The company has undergone a board and management restructuring effective from May 30, 2022 [149]. Research and Development - Research and development expenses amounted to 31.45 million RMB, a slight decrease of 1.81% from 32.03 million RMB in the previous year [76]. - The company is developing a third-generation pyrolysis device aimed at improving operational stability and efficiency, which is expected to enhance market competitiveness [97]. - The company has established a research center for microbial fermentation and biological active products, enhancing its competitive edge in the market [72]. - The company completed the development and registration of several new pesticide formulations, including high-concentration products [100]. - The company is actively expanding its product line with microbial fertilizers, enhancing its market presence and profitability [101]. Market and Industry Trends - The water industry in China is projected to reach a revenue scale of 562.5 billion yuan by 2026, with a compound annual growth rate of 12.92% from 2010 to 2020 [47]. - The smart water industry market size was approximately 12.48 billion yuan in 2020, with an expected growth to 21.4 billion yuan by 2023, reflecting a compound annual growth rate of about 20% [48]. - The biopesticide industry is expected to see a stable supply of pesticides to ensure national food security, with a focus on green and efficient development in line with the "14th Five-Year Plan" for agriculture [119]. - The pesticide industry is facing pressure from high raw material prices, with some products experiencing significant price drops, impacting profitability for producers [120]. - The company aims to leverage opportunities from carbon neutrality and domestic international dual circulation, focusing on digital empowerment and business innovation as key drivers [122]. Risk Management - The company has established a risk prevention and control mechanism, including pre-risk prevention, in-process monitoring, and post-evaluation optimization [186]. - The company is managing risks related to accounts receivable and cash flow, particularly due to the reliance on BOT and PPP models which can lead to slower cash inflows [136]. - The company is monitoring raw material price trends, especially natural gas, which has seen significant price increases due to geopolitical factors [137]. - The company has detailed risk factors in the report, advising investors to review the section on potential risks [7]. - The company has no significant internal control deficiencies during the reporting period [186].