HNZHKJ(SZ:000702)2022-04-07 16:00Financial Performance - The company reported a significant increase in revenue for 2021, with total revenue reaching RMB 1.2 billion, representing a year-on-year growth of 15%[15]. - The company's operating revenue for 2021 was ¥1,431,564,907.07, representing a 34.00% increase compared to ¥1,068,295,560.24 in 2020[20]. - The company achieved a total revenue of 1,431.56 million CNY in 2021, with a net profit attributable to the parent company of -224.29 million CNY, indicating significant operational pressure due to market conditions[39]. - The company reported a net profit attributable to shareholders was -¥224,289,996.42 in 2021, a significant decline of 768.74% from ¥33,539,213.35 in 2020[20]. - The company reported a net profit of -CNY 33,261.46 million for the year, indicating ongoing financial challenges[64]. - The total operating revenue for 2021 reached ¥1,431,564,907.07, representing a 34.00% increase compared to ¥1,068,295,560.24 in 2020[44]. - The company reported a basic earnings per share of -¥0.8412 in 2021, down from ¥0.1258 in 2020[20]. - The company reported a total operating cost of ¥1,385,304,679.98, which is a 47.97% increase from the previous year[48]. - The overall gross margin for 2021 was 2.86%, down from the previous year, reflecting a decrease of 9.12%[48]. Market Expansion and Strategy - The company plans to expand its market presence by entering three new provinces in 2022, aiming for a 10% increase in market share[15]. - Future guidance indicates a revenue target of RMB 1.5 billion for 2022, reflecting a growth rate of 25%[15]. - The company plans to continue expanding its breeding operations while adjusting its poultry farming scale based on market conditions[51]. - The company aims to enhance its market share by optimizing formula technology and adjusting product structure, targeting a significant increase in feed sales volume[90]. - The company plans to establish a complete industry chain from raw materials to the dining table, integrating pig breeding, feed processing, raw material trading, and pig slaughtering[90]. - A strategic acquisition of a local competitor is in progress, which is anticipated to increase the company's customer base by 40%[104]. Product Development and Innovation - New product development includes the launch of a premium feed line, expected to contribute an additional RMB 100 million in revenue in 2022[15]. - The company is investing 100 million yuan in R&D for innovative technologies to improve product offerings and sustainability[104]. - The company has completed key research projects aimed at enhancing feed efficiency and management techniques for poultry and pigs, which are expected to positively impact future sales[61]. - The company has implemented a digital procurement platform to enhance transparency and reduce procurement costs, supporting its feed and breeding industries[35]. Competition and Market Challenges - The company is facing increased competition, with larger firms expanding their market share, necessitating strategic adjustments[5]. - The company faced challenges in the market due to an oversupply of pigs and a decline in pork prices, impacting overall demand and profitability[31]. - The company has faced challenges from declining pig market prices and rising feed raw material costs, necessitating a focus on cost control and management optimization[39]. - Risks identified include fluctuations in raw material prices, which could impact profitability if prices rise significantly[5]. Research and Development - The company has allocated RMB 50 million for research and development in new technologies to enhance production efficiency[15]. - Research and development (R&D) investment amounted to CNY 11,294,835.12, down 21.99% from CNY 14,479,442.49 in 2020, with R&D expenditure accounting for 0.79% of operating revenue[63]. - The number of R&D personnel decreased by 25.00% from 92 in 2020 to 69 in 2021, with the proportion of R&D staff dropping from 7.26% to 5.55%[62]. Financial Management and Governance - The company will not distribute cash dividends for the year, focusing on reinvestment for growth[7]. - The company has established an independent financial department with a separate accounting system and bank accounts, ensuring financial independence from the controlling shareholder[101]. - The company has a structured decision-making process for determining executive compensation[117]. - The company has a total of 15 board meetings held during the reporting period, with resolutions published on the designated platforms[119]. Social Responsibility and Community Engagement - The company actively engages in corporate social responsibility, balancing shareholder value with obligations to employees and society[152]. - The company invested over 300,000 yuan in poverty alleviation efforts, reducing the poverty incidence rate from 23% to 0.66% in the targeted village[155]. - The company established a high-standard village service center and a village health clinic to support community development[155]. Environmental Compliance - The company has established a comprehensive wastewater treatment process with a daily treatment capacity of 280 cubic meters[149]. - The company faced a fine of 30,000 yuan for failing to publicly disclose pollution discharge information as required[150]. - The company is classified as a key pollutant discharge unit by environmental protection authorities[148]. Employee Management - The total number of employees at the end of the reporting period was 1,243, with 521 in the parent company and 722 in major subsidiaries[130]. - The company has established a salary management mechanism that links compensation to position, contribution, and company performance[132]. - The educational background of employees showed 11 with master's degrees or above, 90 with bachelor's degrees, 220 with associate degrees, and 922 with high school education or below[131].