KHB(SZ:002022)2023-03-22 16:00Financial Performance - The company's operating revenue for 2022 was ¥6,969,862,627.72, representing a 43.58% increase compared to ¥4,268,011,808.72 in 2021[20] - The net profit attributable to shareholders for 2022 was ¥970,845,080.02, which is a 14.16% increase from ¥721,016,662.06 in 2021[20] - The net cash flow from operating activities reached ¥2,153,632,187.55, marking a significant increase of 99.55% compared to ¥775,342,174.21 in the previous year[20] - Basic earnings per share for 2022 were ¥1.8878, up 14.09% from ¥1.4026 in 2021[20] - The net profit after deducting non-recurring gains and losses was ¥952,357,688.19, reflecting a 13.88% increase from ¥704,501,000.58 in 2021[20] - Total assets increased to ¥8,813,157,013.32, up 26.71% from ¥6,955,215,549.19[21] - Net assets attributable to shareholders rose to ¥4,814,922,149.78, reflecting a 24.34% increase from ¥3,872,397,866.89[21] Dividend and Shareholder Information - The company plans to distribute a cash dividend of ¥6 per 10 shares to all shareholders, with no bonus shares or capital reserve conversion[4] - The proposed cash dividend for the 2022 fiscal year is ¥6 per 10 shares, with no stock dividends or capital reserve transfers planned[152] Market and Industry Insights - The company operates in the in vitro diagnostic market, which is rapidly growing due to factors like aging population and increased healthcare spending[33][34] - The global in vitro diagnostics (IVD) market size was $67.11 billion in 2019 and is projected to reach $91.09 billion by 2027, with a CAGR of 4.8% from 2020 to 2027[35] - China's IVD market grew from approximately RMB 42.75 billion in 2015 to about RMB 80.57 billion in 2019, with a CAGR of 17.2%[36] - By 2030, China's IVD market is expected to reach RMB 288.15 billion, capturing 33.2% of the global market share[36] Product Development and R&D - The company has over 100 projects in different stages of research and development, with more than 260 approved reagents and instruments by the National Medical Products Administration[44] - The company emphasizes R&D investment, having undertaken over 30 major national science and technology projects[44] - The company continues to invest in R&D, focusing on new product development across multiple product lines, including biochemical and molecular diagnostics[48] - Research and development expenses increased by 68.71% to ¥250,493,757.83 in 2022, up from ¥148,472,181.49 in 2021, reflecting a significant increase in R&D investment[64] Sales and Revenue Breakdown - The company's self-produced products accounted for 77.34% of total revenue, with a significant growth of 62.19% year-on-year[53] - Domestic sales contributed 90.48% of total revenue, showing a substantial increase of 68.62% compared to 2021[53] - The total sales volume of self-produced diagnostic reagents reached 13,996,293 boxes in 2022, a year-on-year increase of 58.49% compared to 8,830,845 boxes in 2021[56] - The sales volume of self-produced medical instruments surged to 52,157 units, marking a 159.59% increase from 20,092 units in 2021[56] Corporate Governance and Management - The company has established a transparent performance evaluation and incentive mechanism for directors, supervisors, and senior management to ensure the achievement of development strategies and operational goals[103] - The board of directors consists of seven members, including four independent directors, ensuring compliance with legal and regulatory requirements[102] - The company has implemented a performance evaluation system for senior management, with a new assessment method established for 2022[141] - The company has maintained a stable management structure with no significant changes in senior management during the reporting period[112] Risk Management and Compliance - The company has identified potential risks in its future operations, which are detailed in the management discussion section of the report[4] - The company faces risks from regulatory changes in the in vitro diagnostics industry, which could adversely affect its operations[95] - The company acknowledges the long development cycle for new products, which typically takes 3-5 years, and is implementing measures to mitigate R&D risks[96] - The company has established departments to ensure timely registration of products in domestic and international markets, reducing registration risks[97] Financial Audit and Reporting - The company’s financial statements have been audited by Da Hua Certified Public Accountants[19] - The company has appointed Dahua Accounting Firm for the 2022 annual audit, with an audit fee of ¥2,120,000, marking the first year of service[183] - The internal control audit report for Kehua Bio-engineering Co., Ltd. indicates effective financial reporting internal controls as of December 31, 2022, with a standard unqualified opinion[164] Employee and Compensation Information - The total number of employees at the end of the reporting period is 2,709, with 921 in the parent company and 1,788 in major subsidiaries[143] - Total pre-tax compensation for the company's directors, supervisors, and senior management during the reporting period amounted to CNY 552.03 million[129] - The company has implemented a performance-oriented compensation management system to enhance employee development and satisfaction[169] Strategic Initiatives and Future Plans - The company plans to focus on cardiovascular health, liver disease, kidney disease, infectious diseases, tumors, reproductive health, and maternal and child health, aiming for comprehensive disease management[91] - The company aims to expand into the in vitro diagnostic reagent raw material market, ensuring strategic safety for product development and production[92] - The company is expanding its drug metabolism and genetic disease application areas through the development of new drug gene testing kits, with several products expected to be registered in 2023 and 2024[68] Legal Matters - The company reported a total litigation amount of approximately ¥1,050,433,000 related to arbitration with Tianlong Technology Co., Ltd. and Suzhou Tianlong Biotechnology Co., Ltd.[187] - The company has not faced any significant penalties or rectification measures during the reporting period[189]