ZHONGYINCASHMERE(SZ:000982)2022-03-31 16:00Business Model and Strategy - The company reported a significant business model shift, establishing a dual main business model of "cashmere business + industrial investment" after restructuring in 2019[24]. - The company has a focus on expanding into the new energy lithium battery materials industry, reflecting its strategic growth direction[24]. - The company’s strategy includes a dual main business model focusing on cashmere and new energy lithium battery materials, aligning with national policies and development goals[56]. - The company aims to enhance its competitive and profitability capabilities in the lithium battery sector through the implementation of its expansion plans[47]. - The company has established a dual main business model focusing on cashmere business and industrial investment, aiming to explore investment and acquisition opportunities in both related and cross-industry sectors[62]. - The company is committed to enhancing product quality and developing new products and processes to improve profitability[142]. - The company is focusing on expanding its market presence and enhancing its product offerings through strategic management changes[165]. Financial Performance - The company's operating revenue for 2021 was ¥433,495,168.53, representing a 206.21% increase compared to ¥141,569,708.11 in 2020[25]. - The net profit attributable to shareholders for 2021 was ¥40,874,329.77, up 23.80% from ¥33,015,544.31 in 2020[25]. - The net profit after deducting non-recurring gains and losses was ¥23,520,014.45, a significant increase of 1,616.77% from -¥1,550,664.95 in 2020[25]. - The net cash flow from operating activities improved to ¥21,697,001.85 in 2021, a 151.54% increase from -¥42,097,210.38 in 2020[29]. - The total assets at the end of 2021 were ¥1,343,222,885.74, an increase of 8.42% from ¥1,238,886,856.84 at the end of 2020[29]. - The net assets attributable to shareholders at the end of 2021 were ¥1,165,819,403.58, up 3.26% from ¥1,129,040,967.60 at the end of 2020[29]. - The basic earnings per share for 2021 were ¥0.0097, reflecting a 25.97% increase from ¥0.0077 in 2020[29]. - The company achieved a total operating revenue of 433.50 million yuan, an increase of 206.21% compared to the previous year[66]. - The operating cost was 353.37 million yuan, up 197.02% year-on-year, resulting in a gross margin of 18.48%, which increased by 2.52%[66]. - The textile industry contributed 66.87% of total revenue, amounting to 289.89 million yuan, with a year-on-year growth of 107.25%[69]. - The new energy sector, primarily from lithium iron phosphate sales, generated 143.61 million yuan, accounting for 33.13% of total revenue[69]. Investments and Acquisitions - The company engaged in mergers and acquisitions to enter the new energy lithium battery materials sector, expanding its business beyond cashmere products[41]. - The company entered the lithium iron phosphate industry through acquisition in March 2021, with a subsidiary capable of producing 4,200 tons annually, and plans to establish an 80,000-ton production project[47]. - The company has invested in the lithium battery materials sector, establishing partnerships and acquiring stakes in related companies to capitalize on the growth opportunities in the new energy industry[56]. - The company has invested 25 million yuan in Ningbo Liwen Energy Storage System Co., Ltd., acquiring a 2.2727% stake, focusing on the application of lithium iron phosphate batteries in light vehicles[60]. - The company completed the acquisition of Doujiangyan Juhe New Materials Co., Ltd. for 42,000,000.00 CNY, achieving 100% ownership[104]. - The company has completed the acquisition of 100% equity in Sichuan Xinrui Heng Lithium Energy Technology Co., Ltd. for 50,000,000.00 yuan[114]. - The company has acquired two subsidiaries, Sichuan Ligu New Energy Technology Co., Ltd. and Dujiangyan Juhengyi New Materials Co., Ltd., which are expected to have a significant impact on overall operations[136]. Market and Industry Trends - The cashmere industry showed signs of recovery in 2021, with increased demand and stable prices following the pandemic's impact in 2020[42]. - The demand for lithium-ion battery materials is driven by the rapid development of the new energy vehicle industry and the increasing need for energy storage in renewable energy sectors[45]. - The domestic lithium iron phosphate (LFP) battery installation volume reached 79.8 GWh in 2021, accounting for 51.7% of the total, with a year-on-year growth rate of 227.4%, four times that of ternary batteries[47]. - The shipment volume of lithium iron phosphate materials in China was 12.4 million tons in 2020, representing a year-on-year increase of 41%, and exceeded 17.8 million tons in the first half of 2021[47]. - The company aims to expand its lithium iron phosphate capacity while facing increased competition from other industry players[142]. Governance and Management - The company maintains independence from its controlling shareholder, ensuring autonomous business operations and decision-making[148]. - The company has established an independent production and operational system, ensuring no reliance on shareholders or related parties for production[149]. - The board of directors and supervisory board operate independently, ensuring effective governance and management[149]. - The company has a complete organizational structure that aligns with its operational needs, promoting efficient management[149]. - The company has established a robust internal governance structure in compliance with the Company Law and its articles of association[149]. - The company held a shareholder meeting on May 18, 2021, to elect new board members due to the expiration of the seventh board's term[162]. - The current board includes independent directors Zhang Gang and Wang Xinyuan, with terms expiring in May 2024[162]. - The company is committed to maintaining transparency and effective governance during this transition period[165]. Future Outlook - In 2022, the company will continue to optimize its cashmere business and expand its new energy industry to achieve rapid growth in revenue and profit[137]. - The company plans to restore and expand its cashmere product export market while adopting flexible cashmere storage strategies based on market conditions[137]. - The first phase of the new project aims to establish a production line with an annual capacity of 20,000 tons of lithium iron phosphate, with preparations underway[140]. - The company has outlined a strategic goal to achieve a 15% market share in the luxury cashmere segment by 2025[180]. - The company plans to establish an investment management center for new energy materials in Chengdu[200].