Bestore(SH:603719)2022-03-21 16:00Financial Performance - The company achieved a net profit attributable to shareholders of RMB 281,534,491.27 for the year 2021[7]. - The company's revenue for 2021 reached RMB 9,323,612,113.46, representing an 18.11% increase compared to RMB 7,894,076,441.60 in 2020[31]. - The net profit attributable to shareholders for 2021 was RMB 281,534,491.27, a decrease of 18.06% from RMB 343,579,525.05 in 2020[31]. - The net profit after deducting non-recurring gains and losses was RMB 205,910,494.68, down 25.15% from RMB 275,088,370.70 in the previous year[31]. - The net cash flow from operating activities increased by 24.82% to RMB 412,174,692.07 in 2021, compared to RMB 330,206,908.43 in 2020[31]. - The total assets as of the end of 2021 were RMB 5,429,789,111.43, reflecting a 29.78% increase from RMB 4,183,883,908.62 at the end of 2020[31]. - The net assets attributable to shareholders increased by 3.03% to RMB 2,145,654,599.85 at the end of 2021, compared to RMB 2,082,597,875.64 at the end of 2020[31]. - Basic earnings per share for 2021 were RMB 0.70, a decrease of 19.54% from RMB 0.87 in 2020[31]. - The weighted average return on net assets for 2021 was 13.18%, down 5.00 percentage points from 18.18% in 2020[31]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion yuan, representing a year-over-year growth of 25%[144]. Dividends and Share Repurchase - The total distributable profit of the parent company as of December 31, 2021, was RMB 445,634,144.76[7]. - A cash dividend of RMB 2.12 per 10 shares (including tax) will be distributed, totaling RMB 84,372,480.80[7]. - The total cash dividend amount, including share repurchase, was RMB 184,206,896.34, accounting for 65.43% of the net profit[8]. - The company repurchased shares totaling RMB 99,834,415.54 during 2021[8]. Operational Efficiency and Market Strategy - The company has maintained a focus on enhancing its operational efficiency and optimizing its product offerings to meet consumer demand[31]. - The company plans to continue expanding its market presence and invest in new product development to drive future growth[31]. - The company is optimizing its offline market layout while enhancing online business integration[39]. - The company has adopted a multi-channel sales strategy, including direct stores, franchise stores, e-commerce platforms, and community e-commerce channels, to enhance customer interaction and service delivery[54]. - The company has established a supply chain management model that emphasizes procurement efficiency and product freshness through a "sales-driven procurement" approach[53]. Product Development and Innovation - The company focused on product innovation in children's snacks and seasonal gift boxes, achieving effective results in 2021[39]. - R&D investment reached 39.67 million yuan, up 17.64% compared to 2020, with 86 new products launched and 47 products in reserve[41]. - The company launched its first major product, a pork jerky, achieving a sales milestone of over ¥500 million[39]. - The company has launched 565 new SKUs in 2021, bringing the total to 1,555 SKUs across 15 product categories[49]. - The company plans to continue focusing on product R&D and technological advancements in core categories[67]. Risks and Challenges - The company has described potential risks in the annual report, which investors should pay attention to[12]. - The company’s future plans and strategic developments are subject to investment risks and do not constitute a commitment to investors[9]. - Raw material price volatility poses a risk, particularly for agricultural products, which have seen price increases due to the pandemic and supply chain issues[125]. - The competitive landscape in the snack food industry is intensifying, with new entrants potentially impacting the company's market share and pricing power[125]. - Food safety and quality risks are critical, as the company has implemented stringent quality control measures but remains vulnerable to external factors affecting raw materials[128]. Governance and Compliance - The company emphasizes transparency and timely information disclosure, adhering to the regulations set by the China Securities Regulatory Commission[132]. - The company has a structured supervisory board that effectively monitors major financial and operational matters, safeguarding the interests of shareholders[132]. - The company has maintained independence from its controlling shareholders and actual controllers, with no significant changes in competitive conditions affecting its operations[133]. - The company has established effective management controls over its subsidiaries, ensuring alignment with strategic goals and budgetary plans[186]. Employee Development and Compensation - The total number of employees in the parent company is 3,181, while the total number of employees in major subsidiaries is 8,216, resulting in a combined total of 11,397 employees[174]. - The company has established a competitive and incentive-based compensation system, regularly adjusting salary structures to align with market levels and ensure fairness and motivation among employees[175]. - The company has implemented a training program that covered over 20,000 participants in 2021, focusing on leadership and key business talent development[178]. - The company has established a structured talent development framework through its "Liangpin Business School," which includes eight major plans to enhance employee capabilities[178]. Sustainability and Social Responsibility - The company actively engages in sustainable packaging practices to reduce carbon emissions and unnecessary plastic use[192]. - The company prioritizes procurement from underdeveloped areas to support local farmers and promote economic development[196]. - The board of directors highlighted the commitment to sustainability initiatives, with a target of reducing carbon emissions by 20% over the next three years[144].