SHREG(SZ:000803)2023-04-19 16:00Financial Performance - The company's operating revenue for 2022 was ¥1,790,872,297.10, representing a 116.62% increase compared to ¥826,736,786.17 in 2021[21]. - The net profit attributable to shareholders for 2022 was ¥84,975,464.13, a 5.55% increase from ¥80,506,295.75 in 2021[21]. - The net cash flow from operating activities was negative at -¥16,774,309.78, an improvement of 85.88% from -¥118,765,879.93 in 2021[21]. - The total assets at the end of 2022 were ¥5,582,930,404.63, a 102.26% increase from ¥2,760,240,863.18 at the end of 2021[22]. - The basic earnings per share for 2022 was ¥0.25, a decrease of 10.71% from ¥0.28 in 2021[21]. - The weighted average return on net assets for 2022 was 6.39%, down from 9.09% in 2021[22]. - The company reported a total non-operating income of CNY 5,583,202.33, a significant increase compared to CNY 1,964,539.85 in the previous period, reflecting a growth of approximately 184%[28]. - The government subsidies recognized in the current period amounted to CNY 2,137,757.33, down from CNY 3,528,265.62, indicating a decrease of about 39.5%[28]. - The company's net profit attributable to shareholders reached CNY 84,975,500, reflecting a 5.55% increase from the previous year[69]. - Total assets of the company grew to CNY 558,293,040, an increase of 102.26% compared to the previous year[69]. Operational Changes and Strategy - The company has undergone significant business changes, shifting its main operations to include organic waste treatment and resource utilization since 2020[20]. - The company is positioned as a leading enterprise in the organic solid waste investment and operation sector, focusing on urban organic waste disposal and resource utilization[31]. - The company is actively expanding its capacity through bidding and acquisitions, aiming to enhance its market presence in the organic waste management sector[50]. - The company has established various subsidiaries and partnerships to enhance its operational capabilities in the renewable energy sector[16]. - The company has a focus on renewable energy and environmental solutions, aligning with market trends towards sustainability[16]. - The company is involved in the processing of kitchen waste and purchased oils to produce renewable products, contributing to the circular economy[50]. - The company has established a strategic focus on the dual fields of environmental protection and energy, aligning with national policies promoting green energy[49]. Market Opportunities - The market for kitchen waste resource utilization is expected to grow rapidly, driven by national policies promoting waste classification and the "no-waste city" initiative[32]. - The company anticipates significant market expansion opportunities due to the increasing demand for kitchen waste processing, which is the largest and most valuable segment of municipal solid waste[32]. - The global biodiesel market is projected to grow, with waste cooking oil being a key resource, as it has a CO2 reduction potential of up to 83% compared to traditional fossil fuels[38]. - The EU's renewable energy directive aims to increase the share of biodiesel consumption, with targets set to rise from 14% to 29%, indicating a robust demand for biodiesel in the future[41]. - The company is leveraging its technological and financial resources to lead the industry during this period of rapid growth in the kitchen waste processing market[37]. Governance and Management - The company has a clear ownership structure and asset rights, ensuring control and disposal rights over its assets[145]. - The company has implemented a comprehensive management system for personnel and financial resources[145]. - The governance structure is consistent with relevant laws and regulations, ensuring effective collaboration among governance bodies[144]. - The company has established an independent financial resource center and accounting system[145]. - The company has conducted multiple extraordinary general meetings throughout 2022, with varying participation rates[148]. - The company has appointed new independent directors, including Wang Shouhai, Qin Yu, and He Chun, on December 28, 2022[153]. - The company has a structured compensation management system based on performance and responsibilities[164]. - The board of directors includes professionals with diverse backgrounds, ensuring a well-rounded approach to corporate governance and strategy[157]. Research and Development - Research and development expenses increased by 78.31% to ¥15,729,804.74, primarily due to new acquisition projects[84]. - The number of R&D personnel increased by 71.15% to 89 in 2022, up from 52 in 2021[87]. - The company has ongoing R&D projects aimed at utilizing waste resources, including a microalgae project that started in October 2022[85]. - The company has improved its oil extraction rate by 0.5%-1% through the application of advanced vortex pulping technology in its kitchen waste processing projects[67]. - The company has achieved a 10% increase in biogas production through the application of a composite agent in anaerobic fermentation technology, optimizing biogas composition[67]. Employee and Compensation - The total number of employees at the end of the reporting period was 1,551, with 69 in the parent company and 1,482 in major subsidiaries[176]. - The company reported a total of 1,632 employees receiving salaries during the period[176]. - The average remuneration for directors and supervisors was approximately 496,000 yuan per person[164]. - The company has established an annual training plan to enhance employee skills and maintain competitive advantage in the market[179]. - The company has a stable salary policy that links compensation to performance, ensuring internal equity and external competitiveness[178]. Environmental and Regulatory Compliance - The company is committed to complying with environmental regulations and has plans to upgrade wastewater treatment facilities to meet stricter standards[123]. - The company has identified significant market potential in the kitchen waste processing sector, which is a priority for the implementation of waste classification systems[123]. - The company has implemented a futures hedging policy with a maximum investment limit of 12 million CNY, aimed at mitigating operational risks[114]. - The internal control audit report issued a standard unqualified opinion, confirming effective internal control over financial reporting as of December 31, 2022[197]. - The company has not identified any significant or important defects in non-financial reporting internal controls during the reporting period[198].