Shenqi(SH:900904)2023-04-28 16:00Financial Performance - The company's operating revenue for 2022 was ¥2,388,617,677.74, representing a 3.72% increase compared to ¥2,303,032,719.00 in 2021[20]. - The net profit attributable to shareholders decreased by 30.37% to ¥48,477,141.78 from ¥69,622,537.91 in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses increased by 25.90% to ¥48,622,804.98, compared to ¥38,620,695.82 in 2021[20]. - The net cash flow from operating activities increased by 73.25% to ¥319,232,403.36, up from ¥184,263,469.22 in 2021[20]. - Basic and diluted earnings per share decreased by 30.77% to ¥0.09 from ¥0.13 in the previous year[21]. - The weighted average return on equity decreased by 0.94 percentage points to 2.07% compared to 3.01% in 2021[21]. - The total assets at the end of 2022 were ¥3,381,085,508.75, reflecting a 7.37% increase from ¥3,148,970,121.43 in 2021[20]. - The net profit attributable to shareholders was 4,847.71 million yuan, a decrease of 30.37% compared to the previous year[32]. - The total assets at the end of 2022 amounted to 338,108.55 million yuan, with net assets of 232,744.99 million yuan, a decline of 0.72% year-on-year[33]. Dividend Distribution - The company plans to distribute a cash dividend of 1 RMB per 10 shares, totaling 53,407,162.8 RMB based on a total share capital of 534,071,628 shares as of December 31, 2022[6]. - The company implemented a cash dividend policy, distributing CNY 1 per 10 shares, totaling CNY 53,407,162.80, which represents 76.71% of the net profit attributable to ordinary shareholders[184]. - The net profit attributable to ordinary shareholders for the year was CNY 69,622,537.91[184]. Audit and Compliance - The company has received a standard unqualified audit report from Lixin Certified Public Accountants[5]. - There are no non-operating fund occupations by controlling shareholders or related parties reported[8]. - The company has not violated decision-making procedures for external guarantees[8]. - The company is committed to ensuring the authenticity, accuracy, and completeness of the annual report[4]. - The company has conducted self-inspections regarding fund occupation and illegal guarantees, finding no violations[154]. - There were no significant deficiencies in internal control during the reporting period[188]. - The company has not received a "non-standard opinion audit report" from its accounting firm[200]. Risk Management - The company has detailed potential risks in the section "Discussion and Analysis of Future Development" of the annual report[8]. - The company faces risks from policy changes and intensified competition in the pharmaceutical industry, particularly due to centralized procurement and price pressures[138]. - The company has established a dynamic warning mechanism to monitor policy changes and adapt its business strategies accordingly to maintain steady growth[139]. - Rising raw material costs due to stricter production standards and environmental regulations pose a risk to profit margins, as companies cannot pass these costs onto consumers[143]. - Drug development involves high costs and risks, with potential uncertainties affecting expected outcomes[144]. - Stricter environmental protection policies will increase compliance costs for pharmaceutical manufacturers, impacting profitability[145]. - The company is committed to improving its environmental management and compliance with regulations to mitigate risks associated with environmental standards[147]. Research and Development - Continuous investment in R&D led to advancements in various product lines, including anti-tumor, cardiovascular, and pediatric products, with some research outcomes reaching domestic leading levels[36]. - The company is actively exploring the innovation and development of traditional Chinese medicine, focusing on the registration and industrialization of classic formulas[36]. - The company has made significant progress in the industrialization of potential products, achieving breakthroughs in sales and quality standards[37]. - The company has established a comprehensive quality assurance system, continuously updating and improving its quality management practices[40]. - The company holds a total of 120 patents, including 69 invention patents, ensuring a strong intellectual property position[64]. - The R&D team consists of 303 personnel, with over 46% holding degrees above bachelor's level, indicating a strong technical foundation[101]. - The company collaborates with research institutions such as Guizhou University of Traditional Chinese Medicine to enhance its R&D capabilities[101]. - The company's R&D investment amounted to 106,462.40 million RMB, representing 1.93% of operating revenue and 1.94% of net assets, with a capitalization ratio of 0%[107]. Market and Sales Strategy - The company is committed to ensuring the safety and efficacy of its products through ongoing post-marketing studies and quality improvements[91]. - The company aims to enhance its oncology product line and maintain its leading position in the sodium cantharidate series of anti-tumor products through systematic development and new indication research[131]. - The company plans to increase R&D investment and collaborate with research institutions to develop chemical drugs, traditional Chinese medicine, and health products, following a "one product, one strategy" approach[132]. - The company is focusing on improving product quality standards and developing potential products, targeting a new profit growth point with苗药 (Miao medicine) varieties[132]. - The company is expanding its market share in the health sector, leveraging the "Healthy China" strategy and enhancing the sales of potential products like杜仲双降袋泡剂 (Du Zhong Double Reduction Granules) and维E三油胶丸 (Vitamin E Three Oil Capsules)[133]. - The company is enhancing its internal control systems to mitigate operational risks and improve efficiency, especially in light of increasing regulatory pressures in the pharmaceutical industry[135]. Corporate Governance - The company has a board of directors consisting of 9 members, including 3 independent directors, meeting the requirement of one-third independent representation[153]. - The company has established a performance evaluation standard and procedure for senior management to ensure accountability[154]. - The controlling shareholder, Shenqi Holdings, has not interfered with the company's operations, maintaining independence in assets, business, and finance[156]. - The company has implemented a comprehensive information disclosure management system to ensure transparency and protect shareholder rights[154]. - The company has established specialized committees under the board, including strategy and investment, audit, and remuneration committees, to enhance governance[153]. - The company respects the rights of stakeholders, including creditors and employees, fostering collaborative development[154]. - The company has adhered to the latest corporate governance requirements set by regulatory authorities, continuously improving its governance structure[152]. Employee Management - The total number of employees in the parent company is 6, while the main subsidiaries employ 1,564, resulting in a total of 1,570 employees[176]. - The company has established a salary policy that links employee compensation to company and individual performance, with a focus on long-term development strategies[178]. - The company plans to conduct various training programs, including legal, ethical, and product knowledge training, to enhance employee skills and overall management levels[179]. - The company has a structured approach to employee training, focusing on both internal and external training methods to improve overall employee quality[179]. Environmental Responsibility - The company invested CNY 3.83 million in environmental protection measures during the reporting period[192]. - The company has set up an environmental protection management organization and implemented measures to control pollutant emissions[193]. - The company did not disclose any social responsibility or ESG reports during the reporting period[195].