KEXING BIOPHARM CO.(SH:688136)2023-04-21 16:00Financial Performance - The net profit attributable to the parent company showed a significant decline, resulting in a loss compared to the same period last year[4]. - The company's operating revenue for 2022 was approximately RMB 1.316 billion, representing a 2.39% increase compared to RMB 1.285 billion in 2021[24]. - The net profit attributable to shareholders of the listed company for 2022 was a loss of approximately RMB 90.295 million, a decrease of 193.61% from a profit of RMB 96.464 million in 2021[24]. - The basic earnings per share for 2022 was -0.45 yuan, down 191.84% from 0.49 yuan in 2021[25]. - The total assets of the company at the end of 2022 were approximately RMB 3.159 billion, an increase of 11.65% from RMB 2.829 billion at the end of 2021[24]. - The net cash flow from operating activities for 2022 was a negative RMB 85.888 million, a decline of 191.36% compared to RMB 94.013 million in 2021[24]. - The company reported a significant decline in fair value gains, with a loss of CNY -5,350,509.21 compared to a gain of CNY 47,458,024.75 in the previous year, indicating market volatility[118]. - The company achieved total revenue of 1,315,875,590.34 CNY, representing a year-on-year growth of 2.39%[99]. - The company reported a significant increase in revenue, achieving a total of $500 million for the fiscal year, representing a 20% growth year-over-year[171]. Research and Development - In 2022, the company's R&D expenses increased by 57.21% year-on-year, amounting to 70.35 million RMB[4]. - The company is actively expanding its R&D team, with a significant increase in high-level R&D personnel compared to the previous year[4]. - Research and development expenses increased by 57.21% year-on-year, accounting for 14.69% of operating revenue in 2022[25]. - The company has introduced several senior pharmaceutical PhDs with extensive experience from multinational pharmaceutical companies to enhance its R&D capabilities[40]. - The company is focusing on expanding its product pipeline in the fields of antiviral, oncology, and immune diseases[36]. - The company has made significant advancements in inhalation formulation technology, achieving domestic leadership in this area[69][70]. - The company has seen a 20% increase in R&D personnel with master's degrees or higher during the reporting period[75]. - The company is actively pursuing clinical trials for multiple R&D projects, indicating a robust pipeline for future product development[75]. - The company has received five clinical trial approval notices for various projects, including the polyethylene glycol recombinant human granulocyte colony-stimulating factor injection project[134]. - The company achieved a research and development investment of 193.30 million RMB, representing a year-on-year increase of over 57.21%[138]. Market Expansion and Sales - The company has made significant progress in overseas commercialization and has seen rapid growth in export revenue[34]. - In 2022, the company achieved overseas sales revenue of $161 million, a 61% increase year-over-year, marking a historical high[41]. - The company has established subsidiaries in Singapore, Mexico, Egypt, and Brazil to enhance its international market competitiveness[41]. - The company has established a marketing distribution network covering nearly 20,000 terminals in the domestic market[61]. - The company is focusing on international business expansion and deepening its presence in emerging markets, while domestic market revenue has shown a slight decline[102]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[171]. - The company is considering strategic acquisitions to enhance its market position, targeting firms with a combined revenue of 500 million[178]. Corporate Governance - The company has not proposed any special arrangements for corporate governance in the report[10]. - The company emphasizes that forward-looking statements regarding future plans and strategies do not constitute substantive commitments to investors[8]. - There were no significant differences in corporate governance compared to regulations set by the China Securities Regulatory Commission[164]. - The company maintained a consistent governance structure without any significant changes in voting rights or red-chip architecture during the reporting period[167]. - The total remuneration for the chairman was reported at 0 million yuan, while the general manager received 106.63 million yuan[169]. - The company has a clear strategy for maintaining independence from its controlling shareholder, ensuring autonomous operational capabilities[164]. Risks and Challenges - The company faces potential risks of continued losses if it maintains substantial R&D investments or if there are adverse changes in the macroeconomic environment, industry policies, competitive landscape, or downstream demand[4]. - The company has detailed potential risks in the "Management Discussion and Analysis" section of the report[4]. - The company faces risks related to reliance on overseas suppliers for key raw materials, which may impact operations due to potential supply delays or price increases[94]. - The company emphasizes strict quality management in compliance with national regulations to mitigate risks associated with drug quality control[94]. Employee and Management Structure - The total number of employees in the parent company is 597, while the main subsidiaries employ 810, resulting in a total of 1,407 employees[194]. - The company has 208 R&D personnel, indicating a strong focus on research and development[194]. - The management team consists of experienced professionals with diverse backgrounds in finance and operations, enhancing strategic decision-making[170]. - The company has a competitive salary structure that includes basic salary, performance pay, performance bonuses, and position allowances[195]. - The company emphasizes a diversified incentive system to enhance employee engagement and performance[196]. Future Outlook - The company provided guidance for the next fiscal year, projecting revenue growth of 25% to $625 million[171]. - Future guidance indicates a focus on technological advancements and new product development to drive growth[170]. - The overall outlook remains positive, with expectations for continued growth and market expansion initiatives[170]. - The company plans to deepen cooperation with leading enterprises in the animal health industry to enhance its product pipeline and commercialization[154].