Polyrocks(SH:688669)2023-03-27 16:00Financial Performance - The company's operating revenue for 2022 reached CNY 3,957,415,541.72, representing a year-on-year increase of 55.7%[20]. - The net profit attributable to shareholders decreased by 45.77% to CNY 45,048,409.19, primarily due to new business development and a decline in sales of modified plastic particles[22]. - The cash flow from operating activities increased by 105.15% to CNY 87,059,619.40, attributed to business expansion and increased customer payments[20]. - The total assets grew by 13.92% to CNY 4,084,955,686.29, driven by increases in accounts receivable and inventory[20]. - Basic earnings per share fell by 47.25% to CNY 0.48, reflecting the decrease in net profit attributable to shareholders[21]. - The company achieved a revenue of 3.957 billion RMB in 2022, representing a 55.70% increase year-over-year[32]. - Operating costs rose to 3.479 billion RMB, an increase of 63.67% compared to the previous year[32]. - The company reported a decrease in gross margin for chemical raw materials by 16.52 percentage points, with a gross margin of 7.49%[93]. - The gross margin for new chemical materials decreased by 1.04 percentage points to 13.52%[93]. Dividend and Capital Structure - The company plans to distribute a cash dividend of RMB 1.00 per 10 shares (including tax) and to increase capital by 3 shares for every 10 shares held, resulting in a total cash dividend of RMB 9,333,333.40 (including tax) based on a total share capital of 93,333,334 shares, with a cash dividend payout ratio of 20.72% for 2022[5]. - The company has a total share capital of 93,333,334 shares as of December 31, 2022, reflecting its capital structure[5]. - The total dividend amount distributed, including cash and stock dividends, is 45,048,409.19 RMB, accounting for 20.72% of the net profit attributable to ordinary shareholders[200]. - The company issued 3 additional shares for every 10 shares held as a stock dividend[200]. Research and Development - Research and development expenses accounted for 3.24% of operating revenue, a decrease from the previous year[21]. - The company achieved a total R&D expenditure of ¥128,219,072.41 in 2022, representing a 31.81% increase compared to ¥97,274,036.23 in the previous year[62]. - The company added 31 domestic invention patents, 29 utility model patents, and 2 design patents during the reporting period, bringing the total to 312 patents, including 153 domestic invention patents[74]. - The company has established the Jushi Research Institute to support various business lines and is focusing on biodegradable materials, biopharmaceutical films, and graphene applications among other advanced technologies[35]. - The company is focusing on the development of new materials and technologies, as indicated by recent government policies supporting the chemical industry[122]. Operational Risks and Compliance - The company has detailed various operational risks and corresponding mitigation measures in the report, highlighting a proactive approach to risk management[4]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties, ensuring financial integrity[7]. - The company has not reported any violations of decision-making procedures regarding external guarantees, ensuring compliance with regulatory standards[8]. - The company has a robust quality control system in place, adhering to various international standards such as ISO9001:2015 and IATF16949:2016, ensuring product quality throughout the entire process[77]. Market Position and Strategy - The company has established strategic partnerships with numerous well-known domestic and international enterprises to enhance its market position[37]. - The company is actively integrating its upstream and downstream supply chains, achieving 577 million RMB in revenue from liquefied petroleum gas business[34]. - The company is transitioning from low-end processing to high-end R&D and manufacturing, reducing reliance on imported high-end modified plastics[52]. - The company has been recognized as a national-level "specialized, refined, distinctive, and innovative" small giant enterprise in 2022[35]. - The company is focusing on the development of biodegradable plastics and circular economy initiatives in line with government regulations[124]. Future Outlook and Growth Plans - The company plans to continue expanding its business and developing new products to stabilize revenue streams[22]. - The company anticipates a strong rebound in demand for LCD TV panels, with a projected 19% year-on-year growth in orders by Q2 2023[45]. - The company aims for continuous high-speed revenue growth in 2023 while enhancing operational efficiency to improve profit margins[153]. - The company plans to launch new products in Q3 2023, targeting a revenue increase of 15% from these innovations[169]. - The company is exploring partnerships to enhance distribution channels and improve customer reach[169]. Employee and Governance - The company has a total of 1,855 employees, with 464 in the parent company and 1,391 in major subsidiaries[191]. - The total remuneration for all directors, supervisors, and senior management personnel at the end of the reporting period amounted to 6.98 million RMB[178]. - The company has established a training program for employees, focusing on systematic training for new hires and ongoing professional development[193]. - The company has implemented a strict insider information management system to minimize the number of individuals with access to sensitive information[159]. Financial Integrity and Audit - The company has received a standard unqualified audit report from Zhongxinghua Accounting Firm, reinforcing the reliability of its financial statements[5]. - The company’s asset-liability ratio stands at 57.77%, indicating a moderate level of financial leverage[89]. - The company reported a foreign exchange loss of 2,474.64 million yuan due to currency fluctuations, with foreign sales accounting for 33.44% of total revenue[87].