MINHE(SZ:002234)2021-04-26 16:00Financial Performance - The company's operating revenue for 2020 was ¥1,681,883,981.38, a decrease of 48.66% compared to ¥3,276,052,000.43 in 2019[21]. - The net profit attributable to shareholders for 2020 was ¥66,675,728.92, down 95.86% from ¥1,609,973,794.84 in 2019[21]. - The net cash flow from operating activities was ¥237,190,334.58, representing an 86.35% decline from ¥1,737,331,871.88 in 2019[21]. - The basic earnings per share for 2020 was ¥0.22, a decrease of 95.87% compared to ¥5.33 in 2019[21]. - The company's total operating revenue for 2020 was ¥1,681,883,981.38, a decrease of 48.66% compared to ¥3,276,052,000.43 in 2019[58]. - The revenue from the poultry industry was ¥1,635,117,136.46, accounting for 97.22% of total revenue, with a year-on-year decline of 49.33%[58]. - The sales revenue from chicks decreased by 61.22% to ¥875,557,063.47, primarily due to a significant drop in selling prices[58]. - The gross profit margin for the poultry segment was 20.32%, down from the previous year, with a gross profit of ¥332,175,447.65[60]. - The company reported a total sales volume of 32,415,000 chicks, an increase of 9.89% from 29,497,000 in 2019[61]. - The revenue from chicken products was ¥664,321,347.81, representing 39.50% of total revenue, with a decline of 21.94% compared to the previous year[58]. Shareholder Returns - The company reported a profit distribution plan of 3 RMB per 10 shares (including tax) based on 348,960,212 shares, with no bonus shares issued[10]. - The cash dividend for 2020 represents 157.01% of the net profit attributable to ordinary shareholders, which was RMB 66,675,728.92[101]. - In 2019, the company distributed a cash dividend of RMB 6.00 per 10 shares, amounting to RMB 181,227,979.20, which was 11.26% of the net profit attributable to ordinary shareholders[101]. - The total distributable profit for the year 2020 was RMB 1,191,454,087.30, with the cash dividend accounting for 100% of this amount[103]. - The company has not proposed any stock bonus or capital reserve transfer to increase share capital for the year 2020[104]. Operational Challenges - The main product, broiler chick prices, is subject to significant fluctuations, impacting the company's profitability due to its high gross margin and elasticity[6]. - The company faces risks from raw material price volatility, particularly for corn and soybean meal, which are influenced by various market factors[8]. - Labor costs and utility expenses are rising, contributing to increased operational costs for the company[8]. - The company faces significant risks related to disease prevention and control, which is a major risk in the breeding industry[38]. Environmental and Sustainability Efforts - The company is investing in environmental protection measures, including biogas projects, to comply with stricter regulations and enhance sustainability[9]. - The company has developed a complete ecological agricultural cycle, transforming waste into organic fertilizers and biogas, contributing to sustainable development[140]. - The company has implemented strict measures for environmental protection, including regular monitoring of noise and wastewater emissions, with no violations reported[142]. - The company has a wastewater treatment facility with a design capacity of 1,200 m³/day, ensuring compliance with environmental standards[142]. Research and Development - The company is focused on expanding its market presence and enhancing its product offerings through ongoing research and development efforts[10]. - The company has developed technologies for artificial insemination and broiler breeding, enhancing fertilization rates and reducing feed costs[34]. - The number of R&D personnel increased by 60% to 48, although their proportion of total employees decreased to 0.51%[73]. - The company applied for 2 new patents and was granted 3 new utility model patents during the reporting period[73]. Corporate Governance - The company has maintained a continuous relationship with the auditing firm Zhongxinghua CPA for 15 years, with the current auditors having served for 3 and 2 years respectively[112]. - The company has no violations regarding external guarantees during the reporting period[128]. - The governance structure complies with the latest regulations and has not faced any administrative penalties from regulatory bodies[177]. - The board consists of 9 members, including 3 independent directors, and operates under established committees[178]. Market Position and Strategy - The company is recognized as a leading enterprise in the poultry industry, holding various industry positions and certifications, including BRC and ISO certifications[45]. - The company has established a comprehensive sales network covering Shandong province and surrounding areas, focusing on direct sales to large and medium-sized breeding enterprises[40]. - The company is focused on developing a modern agricultural industry chain that integrates poultry breeding and biotechnology[95]. - The company plans to further develop food deep processing business to extend its industrial chain and enhance ecological balance and safety[44]. Financial Management - The company has entrusted financial management with a total amount of 24,000,000 CNY, including 9,000,000 CNY in bank financial products and 15,000,000 CNY in broker financial products[130]. - The company did not engage in any related party transactions during the reporting period[119]. - The company has an independent financial accounting system, enabling it to make autonomous financial decisions without sharing bank accounts with the controlling shareholder[181]. Employee and Management Structure - The total number of employees in the company is 4,531, with 3,283 in the parent company and 1,248 in major subsidiaries[171]. - The company has implemented a training program to enhance employee skills and career development[174]. - The company has established performance evaluation standards and incentive mechanisms for directors, supervisors, and senior management, ensuring transparency and compliance with legal requirements[179]. - The company has a total remuneration of 1,525,000 RMB for directors and senior management during the reporting period[169].