GuangDong GuangHong (000529)2022-04-27 16:00Financial Performance - In 2021, the company's operating revenue reached ¥3,637,711,649.08, representing a 7.16% increase compared to ¥3,394,669,520.30 in 2020[22]. - The net profit attributable to shareholders was ¥331,084,864.83, up by 5.01% from ¥315,293,864.60 in the previous year[22]. - The net cash flow from operating activities decreased significantly by 65.37%, amounting to ¥199,305,207.08 compared to ¥575,580,973.18 in 2020[22]. - Total assets increased by 21.56% to ¥4,710,560,379.06 from ¥3,875,185,385.83 in 2020[23]. - The net assets attributable to shareholders rose by 12.74% to ¥2,315,021,651.70 from ¥2,053,449,989.31 in the previous year[23]. - Basic earnings per share increased by 5.56% to ¥0.57 from ¥0.54 in 2020[22]. - The company reported a decrease in the weighted average return on net assets to 15.25% from 16.46% in 2020[22]. - The company achieved a total operating revenue of 3.638 billion yuan in 2021, representing a year-on-year growth of 7.16%[50]. - Operating profit reached 442 million yuan, an increase of 9.65% compared to the previous year[50]. - The total profit amounted to 488 million yuan, reflecting a year-on-year growth of 17.78%[50]. - Net profit for the year was 385 million yuan, which is a 9.58% increase from the previous year[50]. Revenue and Sales - The company reported a sales revenue of 860.42 million yuan for frozen pork, down 7.61% year-on-year, while frozen beef and lamb sales increased by 44.05% to 517.05 million yuan[43]. - The inventory of frozen pork increased by 7.75% to 9,928 tons, while frozen beef and lamb inventory surged by 131.2% to 1,193 tons[47]. - The book publishing industry contributed ¥1,617,125,227.93, accounting for 44.45% of total revenue, with an 8.61% increase compared to the previous year[57]. - The food industry generated ¥2,020,586,421.15, making up 55.55% of total revenue, with a year-on-year growth of 6.03%[57]. - Frozen product sales increased by 16.62% to ¥1,664,203,464.69, while cold storage operations saw a 3.78% rise to ¥89,145,558.38[57]. - The company’s revenue from Guangdong province was ¥3,537,366,243.50, representing 97.24% of total revenue, with a 4.70% increase year-on-year[59]. - Revenue from outside Guangdong province skyrocketed by 526.64% to ¥100,345,405.58, indicating significant market expansion[59]. Investments and Subsidiaries - The company established a wholly-owned subsidiary, Guangdong Nanhai Yellow Poultry Development Co., Ltd., with an investment of ¥15 million, completed registration on February 21, 2021[65]. - The company also set up Guangdong Guanghong Agricultural and Animal Husbandry Development Co., Ltd. with a total investment of ¥10 million, which was registered on July 5, 2021[66]. - The company established several wholly-owned subsidiaries to enhance future operational capabilities, which did not significantly impact current performance[104]. - The company plans to invest a total budget of RMB 395.5673 million for the construction of a large-scale pig farming project, aiming to supply approximately 300,000 high-quality pigs annually once fully operational[155]. - The company will establish Guangdong Guanghong Animal Husbandry Development Co., Ltd. with a registered capital of RMB 10 million, fully funded by the company[155]. - The company will invest RMB 50 million to set up Guangdong Guanghong Smart Port Food Industry Development Co., Ltd. in Zengcheng District, Guangzhou[156]. Governance and Compliance - The company emphasizes the importance of accurate financial reporting, with key personnel confirming the report's authenticity[5]. - The company has established a governance structure compliant with relevant laws and regulations, including a board of directors and supervisory board[123]. - The board consists of 8 members, including 3 independent directors, ensuring effective oversight and decision-making[123]. - The company has implemented strict insider trading prevention measures, ensuring no incidents of insider trading occurred during the reporting period[124]. - The company has established a clear organizational structure with distinct responsibilities among its governance bodies[125]. - The company has not reported any major equity sales during the reporting period[101]. Market Trends and Future Outlook - The cold chain logistics industry is projected to grow rapidly, supported by government policies and increasing consumer demand for diverse food products[32]. - The company is focusing on agricultural technology development and service expansion to enhance operational efficiency[88]. - Future guidance indicates a commitment to improving profitability and operational performance in the upcoming quarters[88]. - The company plans to enhance its market presence through strategic partnerships and collaborations in the agricultural sector[88]. - The company is exploring opportunities for mergers and acquisitions to strengthen its market position[88]. - The company aims to increase its product offerings in the agricultural sector, including feed additives and fertilizers[88]. Environmental and Social Responsibility - The company has implemented measures to address environmental issues, including the installation of permanent deodorization facilities and the use of odor-reducing agents in feed[179]. - The company received a fine of RMB 100,000 for exceeding odor emission standards, but it did not impact operations significantly[179]. - The company has established a biogas pool and wastewater treatment station, both of which are operating normally[177]. - The company is focused on establishing a sustainable and eco-friendly farming model that includes waste resource utilization and pollution reduction[182]. - The company has committed to avoiding conflicts of interest and ensuring fair treatment of all shareholders during its acquisition processes[186]. - The company emphasizes transparency and communication with investors through various channels, including shareholder meetings and online voting[182]. Employee and Management Information - The total number of employees at the end of the reporting period was 1,675, with 58 from the parent company and 1,617 from major subsidiaries[159]. - The total compensation for the management team was reported at 1.2 million RMB, with 9 out of 14 executives receiving remuneration during the reporting period[143]. - The total pre-tax compensation for the chairman, Cai Biao, is 241.97 million[144]. - The total pre-tax compensation for the general manager, Miao Anmin, is 205.47 million[144]. - The company has implemented training programs to enhance employee skills in various areas, including compliance and financial management[162]. Financial Reporting and Audit - The company maintained effective internal control over financial reporting as of December 31, 2020, in accordance with relevant regulations[152]. - The internal control audit report was issued with a standard unqualified opinion, confirming alignment with the board's self-assessment[173]. - The company has not issued any non-standard audit reports for the current period[190]. - The current domestic accounting firm is Lixin Certified Public Accountants (Special General Partnership) with an audit service fee of 1.13 million CNY[198]. - The internal control audit service was approved by the board on August 20, 2021, and later by the shareholders on September 9, 2021[198].