Orinko(SH:688219)2023-04-27 16:00Financial Performance - The company's operating revenue for 2022 was approximately RMB 5.18 billion, representing a year-on-year increase of 5.68% compared to RMB 4.90 billion in 2021[26]. - The net profit attributable to shareholders for 2022 was approximately RMB 59.19 million, reflecting a 9.50% increase from RMB 54.05 million in 2021[26]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately RMB 30.23 million, a significant increase of 78.77% compared to RMB 16.91 million in 2021[26]. - The net cash flow from operating activities for 2022 was approximately RMB 128.87 million, a decrease of 34.24% from RMB 195.97 million in 2021[26]. - The company's total assets at the end of 2022 were significantly higher than at the end of 2021, indicating growth in asset base[26]. - The company's total assets increased by 24.93% year-on-year, reaching approximately CNY 6.44 billion, primarily due to the issuance of convertible bonds[28]. - Basic earnings per share rose to CNY 0.13, an increase of 8.33% compared to CNY 0.12 in 2021[27]. - The weighted average return on equity improved to 3.48%, up by 0.29 percentage points from the previous year[27]. - The company achieved a net profit of CNY 15.03 million in Q4 2022, with a significant recovery from previous quarters[31]. Dividend and Share Repurchase - The company plans to distribute a cash dividend of 0.20 CNY per 10 shares, totaling approximately 8,970,872.64 CNY (including tax) based on a total share capital of 459,283,632 shares[6]. - The total amount of cash dividends and share repurchases for 2022 is approximately 100,069,087.49 CNY, which represents 169.07% of the net profit attributable to shareholders for the year[6]. - The company repurchased shares amounting to 91,098,214.85 CNY during the year, excluding transaction fees[6]. - The company has not proposed a capital reserve transfer to increase share capital or a stock dividend for 2022[6]. Operational Risks and Governance - The company has detailed various operational risks and corresponding countermeasures in the report[4]. - The company has received a standard unqualified audit report from Tianjian Accounting Firm[5]. - The board of directors and supervisory board members have confirmed the authenticity, accuracy, and completeness of the annual report[4]. - The company has not faced any non-operational fund occupation by controlling shareholders or related parties[10]. - The company has not violated decision-making procedures for providing guarantees[10]. - The company has not experienced any situation where more than half of the directors cannot guarantee the authenticity of the annual report[10]. - The company has established a comprehensive internal control system to enhance risk management and operational efficiency[57]. Research and Development - Research and development expenses accounted for 4.07% of operating revenue, reflecting a slight increase from 3.94% in 2021[27]. - The company has developed new materials for battery thermal management systems, addressing performance issues in traditional materials and filling market gaps[47]. - The company has received multiple awards for its innovative materials, including recognition for long-chain nylon materials and environmentally friendly coatings[48]. - The company has established a specialized engineering materials platform to achieve import substitution, with a production capacity of 3,000 tons for long-chain nylon materials[46]. - The company is focusing on expanding its presence in the new energy vehicle and green energy sectors, optimizing product structure, and enhancing cost control[39]. - The company is actively engaged in R&D to meet the increasing performance demands of materials in emerging sectors such as smart homes and new energy vehicles[73]. - The company has achieved mass production of materials for energy storage applications, collaborating with clients like Guoxuan High-Tech and Xinwangda, indicating a strong foothold in the energy sector[98]. - The company has invested ¥31.80 million in the modification of bio-based materials, which is also in the mass production stage[86]. Market and Industry Trends - The global modified plastics market size was $63.45 billion in 2022, with a projected CAGR of 7.4% from 2022 to 2030, expecting to reach 13 million tons by 2026[63]. - The modified plastics industry faces high capital requirements, with significant investments needed for R&D and capacity expansion to remain competitive[65]. - The demand for high-quality modified plastics is anticipated to rise due to advancements in smart homes and new energy vehicles[172]. - The overall market for modified plastics is expected to grow as applications expand across various industries, including electronics and construction[152]. - The company is positioned to benefit from the growing demand for high-end modified plastics due to industry policies promoting domestic production and innovation[142]. Management and Governance Changes - The company held a total of 3 shareholder meetings during the reporting period, including 1 annual meeting and 2 extraordinary meetings, with all proposals passed and no rejected resolutions[184]. - The total remuneration for all directors, supervisors, and senior management personnel at the end of the reporting period amounted to 993.37 million RMB[199]. - The company’s management team has remained stable, with no significant changes in key positions during the reporting period[187]. - Li Jianyi was appointed as the General Manager during the 16th meeting of the second board of directors[200]. - Fang Anping was appointed as the Deputy General Manager during the 16th meeting of the second board of directors[200]. - Wang Canyao was appointed as both Deputy General Manager and core technical personnel during the 9th meeting of the second board of directors[200]. - Song Haiyan and Wu Jiang resigned for personal reasons[200]. - Li Rongqun resigned as Deputy General Manager and core technical personnel for personal reasons[200]. Future Outlook and Strategic Initiatives - The company plans to continue expanding its market presence and invest in new product development to drive future growth[26]. - The management expressed optimism about achieving better financial performance in the upcoming fiscal year, supported by strategic initiatives[26]. - The company aims to align its operations with national policies on carbon neutrality and sustainability, which may influence future strategies[26]. - The company plans to continue investing in innovation and market development in specialized engineering materials[39]. - The company will leverage both internal and external resources to enhance its R&D system, combining frontier technology research with application technology development[174].