WLGF(SH:603779)2022-04-22 16:00Financial Performance - The net profit attributable to shareholders for 2021 was -414,035,672.13 RMB, representing an increase in losses of 88.40% compared to -219,761,772.64 RMB in 2020[6]. - The operating revenue for 2021 was 473,988,432.67 RMB, which is a 20.76% increase from 392,499,745.83 RMB in 2020[21]. - The basic earnings per share for 2021 was -1.24 RMB, a decline of 87.88% compared to -0.66 RMB in 2020[22]. - The weighted average return on equity for 2021 was -25.00%, a decrease of 7.42 percentage points from -17.58% in 2020[23]. - The company reported a significant increase in losses from non-recurring items, with a net profit of -370,587,362.91 RMB, up 102.36% from -183,129,770.00 RMB in 2020[21]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the fiscal year 2021, representing a growth of 15% compared to the previous year[101]. - The company reported a total comprehensive loss of CNY 457,265,498.94 in 2021, compared to a loss of CNY 208,391,264.04 in 2020, reflecting an increase in comprehensive loss of about 119.8%[192]. Cash Flow and Assets - The cash flow from operating activities for 2021 was 59,771,200.62 RMB, up 21.65% from 49,134,716.34 RMB in 2020[21]. - The total assets at the end of 2021 were 1,428,640,571.80 RMB, a decrease of 24.42% from 1,890,180,065.10 RMB at the end of 2020[21]. - The company's cash and cash equivalents were reported at ¥37,257,601.06, a significant drop from ¥70,054,820.99, representing a decline of approximately 46.9%[184]. - The company's total equity decreased to ¥690,316,351.57 from ¥1,151,355,353.92, reflecting a decline of about 40.1%[186]. - The net cash flow from operating activities increased by 21.65% to ¥59,771,200.62, primarily due to a reduction in material and grape payments[52]. - The net cash flow from investing activities improved by 50.81%, decreasing to -¥10,967,292.61, mainly due to reduced fixed asset purchases[52]. Production and Sales - The company focused on marketing strategies centered around its organic wine products, particularly the Weilang Organic Wine series, and plans to continue expanding its market presence in 2022[29]. - The company achieved a revenue of ¥473,988,432.67 in 2021, representing a year-on-year growth of 20.76%[38]. - Organic wine production was 5,633.76 thousand liters, a decrease of 0.23% year-on-year, while sales increased by 3.13% to 5,465.87 thousand liters[43]. - Traditional dry wine production increased by 28.95% to 5,197.24 thousand liters, with sales rising by 17.27% to 4,872.09 thousand liters[43]. - The company added 86 new distributors during the reporting period, bringing the total to 417, an increase of 27 compared to the end of 2020[72]. Research and Development - The company is committed to innovation in its production processes, developing new products such as different styles of brandy and sweet wines to meet market demand[30]. - The company's R&D expenses for the current period amounted to ¥1,348,531.28, representing 0.28% of total revenue[48]. - The number of R&D personnel is 23, accounting for 2.59% of the total workforce[49]. - The company reported a significant reduction in research and development expenses, which fell to RMB 1,348,531.28 in 2021 from RMB 3,612,958.31 in 2020, a decrease of 62.7%[191]. Market Strategy and Expansion - The company plans to enhance its brand image and market penetration through multi-channel strategies and product diversification in 2022[29]. - The company is exploring market expansion into Southeast Asia, targeting a 5% market share within the next two years[101]. - Marketing strategies will focus on digital channels, aiming for a 25% increase in online sales by the end of 2022[101]. - The company plans to enhance its online sales strategy by developing exclusive online products and expanding online sales channels[77]. Governance and Compliance - The company has established a robust internal control system to enhance governance and operational efficiency[91]. - The board of directors consists of 9 members, including 3 independent directors, and held 10 meetings during the reporting period[90]. - The company has not faced any penalties from securities regulatory agencies in the past three years, suggesting compliance with regulations[110]. - The company strictly adheres to information disclosure regulations, ensuring timely and accurate communication with investors[91]. Environmental Responsibility - The company adheres to environmental regulations, with wastewater discharge from the Huangcheng plant meeting the standard of 31 mg/L for COD concentration[127]. - The company aims for zero wastewater discharge and continuously improves wastewater treatment processes to enhance recycling rates[130]. - The company has implemented ultra-low emission renovations to significantly reduce the impact of production processes on air quality[130]. - The company has established an emergency response team for environmental incidents and regularly conducts emergency drills[132].