TAM(SH:603789)2023-05-26 16:00Financial Performance - In 2022, the company's operating revenue was CNY 243.91 million, a decrease of 39.30% compared to CNY 401.85 million in 2021[21] - The net profit attributable to shareholders was a loss of CNY 158.78 million, improving from a loss of CNY 185.46 million in 2021[21] - The company's total assets decreased by 19.23% to CNY 1.08 billion at the end of 2022, down from CNY 1.33 billion in 2021[21] - The basic earnings per share for 2022 was -CNY 0.6107, compared to -CNY 0.7133 in 2021[22] - The weighted average return on equity was -29.08% in 2022, compared to -26.45% in 2021[23] - The company reported a cash flow from operating activities of -CNY 15.98 million, a decline of 163.49% from CNY 25.17 million in 2021[21] - The company's operating costs for 2022 were CNY 250.35 million, down 39.32% from CNY 412.60 million in the previous year[52] - The company's total revenue for 2022 was 23,309.68 million, a decrease of 40.58% compared to the previous year[55] - The net cash flow from operating activities was negative CNY 15.98 million, a decline of 163.49% from a positive CNY 25.17 million in the previous year[52] - The company reported a net loss of ¥403,105,949.86 for the year, compared to a loss of ¥244,415,665.37 in the previous year, indicating a worsening of approximately 64.9%[187] Market and Industry Challenges - The company has indicated potential risks in its industry and market environment, which investors should be aware of[6] - The company faced challenges from the global food supply crisis and increased competition, impacting overall performance and market share[30] - The agricultural machinery industry in China faces challenges such as reliance on imports for key technologies and components, with a need for higher mechanization levels in southern regions[38] - Increased competition in the agricultural machinery market poses a risk, as new entrants may lead to price wars and affect the company's market position[81] - The company faces risks related to raw material price fluctuations, particularly steel, which could increase production costs and impact profitability if prices rise[86] Product Development and Innovation - New product developments included the launch of unmanned driving hydraulic tillers and plant protection drones, with ongoing research into electric and hydrogen-powered agricultural machinery[34] - The company is focusing on developing differentiated products such as runway facilities, recycling fertilizer facilities, and seedling production lines to create new profit growth points[35] - The company plans to enhance research and development in high-end, green, and intelligent agricultural machinery, focusing on user demand and structural market opportunities[72] - The company is committed to developing new products in the fields of unmanned driving and green power, with a focus on high-tech content and added value[72] - Research and development expenses increased by 4.47% to CNY 33.71 million in 2022, compared to CNY 32.27 million in the previous year[52] Operational Efficiency and Cost Management - The company aims to enhance operational performance by focusing on cost control, channel management, product and supply chain optimization, and technological advancements[73] - The company has reduced sales expenses by 7.97% to CNY 36.40 million in 2022, reflecting cost-saving measures due to decreased sales volume[52] - The company is establishing a manufacturing base in Central China to reduce operational costs, particularly in logistics and supply chain, while enhancing sales and service in the Xinjiang region[36] - The company aims to optimize service processes and enhance service capabilities, successfully being selected as a model for service-oriented manufacturing by the Ministry of Industry and Information Technology[49] Governance and Management Changes - The company appointed He Dejun as the new chairman on October 26, 2022, following the resignation of Xu Minsheng[99] - The company reported a significant management change with the resignation of several key personnel, including the vice president Qian Juping on January 10, 2023[99] - The company emphasizes the importance of maintaining strong governance through its board and supervisory committee[100] - The company has established a performance evaluation and incentive mechanism for directors, supervisors, and senior management to ensure transparency and compliance with legal regulations[93] Shareholder and Financial Structure - The company has established a cash dividend policy, committing to distribute no less than 30% of the distributable profits each year[122] - Due to a loss in 2022 and negative retained earnings, the company will not distribute profits or increase capital reserves for the year[123] - The total number of common shareholders as of the end of the reporting period is 24,773, an increase from 24,183 at the end of the previous month[157] - The controlling shareholder is Zhejiang Green Pulse Yicheng Technology Development Co., Ltd., which was established on August 6, 2020[161] Legal and Compliance Issues - The company is involved in significant litigation matters, with claims totaling RMB 20.35 million related to patent infringement against Jiangsu Wode Agricultural Machinery Co., Ltd. and others[143] - The total amount involved in litigation cases reported is RMB 35.916 million, indicating a substantial legal exposure for the company[143][144] - The company has not reported any significant internal control deficiencies during the reporting period[126] - The company has implemented a system for managing insider information to comply with legal requirements and ensure confidentiality[93]