*ST正邦(002157) - 2021 Q1 - 季度财报

Important Notice Management Statement The board, supervisory board, and senior management affirm the report's truthfulness and completeness, with key executives also guaranteeing financial statement accuracy - The company's board of directors, supervisory board, and senior management guarantee the report's content is true, accurate, and complete, free from false records, misleading statements, or major omissions[2] - Company head Lin Feng, chief accountant Wang Yonghong, and head of accounting department Xiong Zhuolin declare that the financial statements in the quarterly report are true, accurate, and complete[2] Company Profile Key Accounting Data and Financial Indicators Q1 2021 saw a 78.07% revenue increase, but net profit attributable to shareholders dropped 76.63%, with operating cash flow at -3.66 billion RMB and total assets up 17.67% | Item | Current Period (RMB) | Prior Period (RMB) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | Operating Revenue (RMB) | 12,705,330,076.23 | 7,134,956,714.87 | 78.07% | | Net Profit Attributable to Shareholders (RMB) | 211,639,955.91 | 905,617,024.79 | -76.63% | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) (RMB) | 686,985,526.90 | 996,462,730.32 | -31.06% | | Net Cash Flow from Operating Activities (RMB) | -3,657,782,405.25 | -1,938,920,258.02 | -88.65% | | Basic Earnings Per Share (RMB/share) | 0.07 | 0.36 | -80.56% | | Weighted Average Return on Net Assets | 0.89% | 9.20% | -8.31% | | Total Assets (RMB) | 69,729,793,156.28 | 59,259,566,548.38 (Beginning of Period) | 17.67% (vs. Beginning of Period) | | Net Assets Attributable to Shareholders (RMB) | 23,755,667,155.80 | 23,252,100,795.55 (Beginning of Period) | 2.17% (vs. Beginning of Period) | - During the reporting period, total non-recurring gains and losses amounted to -475 million RMB, primarily consisting of -522 million RMB from disposal of non-current assets[4] Shareholder Information As of the period-end, the company had 148,209 common shareholders, with the top two holding 46.54% and significant pledges, and some top ten shareholders having related party ties - At the end of the reporting period, the company had 148,209 common shareholders[6] | Shareholder Name | Shareholding Percentage | Number of Shares Held | Pledge or Freeze Status | | :--- | :--- | :--- | :--- | | Zhengda Group Co., Ltd. | 24.76% | 779,677,352 | Pledged 544,761,397 | | Jiangxi Yonglian Agricultural Holdings Co., Ltd. | 21.78% | 685,826,602 | Pledged 452,371,280 | | LIEW KENNETH THOW JIUN | 5.39% | 169,636,419 | - | | Gongqingcheng Bangding Investment Co., Ltd. | 2.41% | 75,987,841 | Pledged 75,987,841 | - Among the top ten shareholders, Zhengda Group Co., Ltd., Jiangxi Yonglian Agricultural Holdings Co., Ltd., Gongqingcheng Bangding Investment Co., Ltd., and Gongqingcheng Bangyou Investment Co., Ltd. are controlled by the same ultimate beneficial owner and have related party relationships[7] Significant Events Changes in Key Financial Data and Reasons Financial changes were driven by rapid expansion, with revenue up 78.07% from hog sales, significant increases in inventory and construction in progress, and a sharp decline in operating cash flow due to higher raw material payments - Operating revenue increased by 78.07% year-on-year, primarily due to the expansion of hog farming scale and increased sales volume[10] - Inventory increased by 53.00% from the beginning of the period, mainly due to the expansion of the company's production and operation scale and an increase in consumable biological assets[10] - Construction in progress increased by 111.41% from the beginning of the period, primarily due to increased payments for engineering projects during the current period[10] - Net cash flow from operating activities decreased by 88.65% year-on-year, mainly due to increased payments for raw material purchases[10] Progress of Significant Events The company advanced capital operations and incentive plans, including stock option grants, employee stock purchases, and the listing of new A-shares, while establishing three industrial funds and noting high share pledges by the controlling shareholder - The company implemented the 2021 stock option and restricted stock incentive plan, completing the initial grant registration, awarding 50.91 million restricted shares to 1,800 individuals and 24.22 million stock options to 1,560 individuals[11][12][13] - The company completed the stock purchase for the first phase of its employee stock ownership plan, acquiring a cumulative 12,027,140 shares, representing 0.39% of the total share capital[14] - Newly issued shares from the company's 2020 non-public offering of A-shares were listed on February 1, 2021[16] - The company, through its wholly-owned subsidiaries, participated in establishing three industrial investment funds: Anhui Guoyuan Zhengda, Guangdong Hengbang, and Jiangsu Qiequan Bangyu, all of which have completed industrial and commercial registration[17][18][19] - As of March 31, 2021, controlling shareholder Zhengda Group and its concerted parties had cumulatively pledged 68.84% of their total shares, representing 34.86% of the company's total share capital[22] Financial Asset Investments The company made no securities investments but engaged in minimal live hog futures trading for hedging familiarity, with a 2 million RMB investment and a 400 RMB gain, deeming risks controllable - The company had no securities investments during the reporting period[25] | Investment Type | Initial Investment Amount (Million RMB) | Amount Purchased During Reporting Period (Million RMB) | Amount Sold During Reporting Period (Million RMB) | Period-End Investment Amount (Million RMB) | Actual Gain/Loss During Reporting Period (Million RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | | Live Hog Futures | 0.2 | 0.18876 | 0.18880 | 0 | 0.00004 | - The primary purpose of the company's derivative investments is to familiarize itself with internal hedging operational procedures in preparation for future large-scale participation, with main risks being price and liquidity risks[26] Use of Raised Funds As of March 31, 2021, the company continued investing raised funds, completing 2016 projects with surplus funds for working capital, while 2018 and 2020 funds are mostly in project construction, with some temporarily supplementing working capital - The 2016 non-public offering fundraising projects are complete, with 137 million RMB in remaining funds permanently used to supplement working capital[27] - Approximately 800 million RMB from the 2018 non-public offering has been cumulatively invested, with 178 million RMB temporarily used to supplement working capital[28] - A cumulative 394 million RMB from the 2020 convertible bond offering has been invested, with 1.16 billion RMB temporarily used to supplement working capital[28] - During the reporting period, 1.75 billion RMB from the 2020 non-public offering was invested, with cumulative investments reaching 4.75 billion RMB and a remaining balance of 2.73 billion RMB[28] Investor Relations Activities In Q1 2021, the company held three investor relations events via phone and roadshow, discussing monthly sales, hog release pace, and breeding pig conditions with various institutions | Reception Date | Reception Method | Reception Object | Main Discussion Content | | :--- | :--- | :--- | :--- | | 2021年01月07日 | Phone Communication | Changjiang Securities, China Merchants Fund, etc. | Monthly sales analysis, etc. | | 2021年01月29日 | Phone Communication | Yinhua Fund, Changxin Fund, etc. | Hog release pace, etc. | | 2021年03月10日 | Roadshow Event | Qianhai Kaiyuan Fund, E Fund, etc. | Breeding pig conditions, etc. | Financial Statements Consolidated Balance Sheet As of March 31, 2021, total assets grew 17.67% to 69.73 billion RMB, driven by prepayments, inventory, and construction in progress, while total liabilities rose 28.78% to 44.69 billion RMB, mainly from notes and accounts payable | Item | March 31, 2021 (RMB) | December 31, 2020 (RMB) | Change | | :--- | :--- | :--- | :--- | | Total Assets | 69,729,793,156.28 | 59,259,566,548.38 | +17.67% | | Total Liabilities | 44,690,347,878.72 | 34,701,465,987.35 | +28.78% | | Total Equity Attributable to Parent Company Owners | 23,755,667,155.80 | 23,252,100,795.55 | +2.17% | - Asset expansion was significant, with inventory (primarily consumable biological assets) increasing from 13.45 billion RMB to 20.58 billion RMB, and construction in progress rising from 1.19 billion RMB to 2.52 billion RMB[33][34] - Liability growth was primarily driven by operating liabilities, with notes payable surging from 1.04 billion RMB to 5.37 billion RMB, and accounts payable increasing from 3.44 billion RMB to 5.15 billion RMB[34] Consolidated Income Statement Q1 2021 saw total operating revenue rise 78.07% to 12.71 billion RMB, but total operating costs surged 97.14%, including a 180.41% increase in management expenses, leading to a 76.63% drop in net profit attributable to parent company shareholders | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | Year-on-Year Change | | :--- | :--- | :--- | :--- | | I. Total Operating Revenue | 12,705,330,076.23 | 7,134,956,714.87 | +78.07% | | II. Total Operating Costs | 12,081,940,388.11 | 6,128,619,350.73 | +97.14% | | Including: Operating Costs | 10,166,640,668.32 | 5,325,722,670.80 | +90.89% | | Management Expenses | 1,361,557,218.66 | 485,561,760.16 | +180.41% | | III. Operating Profit | 704,040,311.23 | 1,012,769,996.76 | -30.48% | | V. Net Profit | 223,745,820.13 | 920,927,345.43 | -75.70% | | Net Profit Attributable to Parent Company Shareholders | 211,639,955.91 | 905,617,024.79 | -76.63% | Consolidated Cash Flow Statement Q1 2021 saw tight cash flow, with operating activities at -3.66 billion RMB due to increased payments, investing activities at -1.45 billion RMB, and a 5.12 billion RMB decrease in period-end cash and cash equivalents | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -3,657,782,405.25 | -1,938,920,258.02 | | Net Cash Flow from Investing Activities | -1,453,855,109.54 | -310,551,814.35 | | Net Cash Flow from Financing Activities | -10,806,293.99 | 3,123,896,161.89 | | Net Increase in Cash and Cash Equivalents | -5,122,469,867.87 | 874,409,030.11 | - Total cash outflow from operating activities was 20.08 billion RMB, with 14.47 billion RMB attributed to 'cash paid for goods and services,' which was the primary reason for negative operating cash flow[48] Explanation of Financial Statement Adjustments Effective January 1, 2021, the company adopted new lease standards, retrospectively adjusting financial statements to recognize right-of-use assets and lease liabilities, and adjusting related accounts without restating prior comparative data - The company first adopted the new lease accounting standards effective January 1, 2021, and adjusted the financial statements at the beginning of the current period[52] | Adjustment Item (Consolidated Statement) | Before Adjustment (Dec 31, 2020) | After Adjustment (Jan 1, 2021) | Adjustment Amount | | :--- | :--- | :--- | :--- | | Right-of-Use Assets | 0 | 3,687,671,414.20 | +3,687,671,414.20 | | Long-term Deferred Expenses | 1,741,445,974.16 | 515,389,327.39 | -1,226,056,646.77 | | Lease Liabilities | 0 | 2,461,614,767.43 | +2,461,614,767.43 | Audit Report The company's 2021 first-quarter report remains unaudited - The company's first-quarter report is unaudited[58]