HSSM(SZ:002290)2023-03-29 16:00Financial Performance - The company's operating revenue for 2022 was ¥2,133,261,940.03, a decrease of 5.98% compared to ¥2,268,832,965.66 in 2021[19] - The net profit attributable to shareholders for 2022 was ¥65,931,950.95, down 19.57% from ¥81,975,951.20 in the previous year[19] - The basic earnings per share decreased by 18.18% to ¥0.27, down from ¥0.33 in 2021[19] - The company achieved total revenue of ¥2,133,261,940.03 in 2022, a decrease of 5.98% compared to the previous year[37] - The net profit attributable to shareholders was ¥65,931,950.95, down 19.57% year-on-year[37] - The revenue from home appliance composite materials was ¥2,090,975,276.00, accounting for 98.02% of total revenue, also reflecting a 5.98% decline[39] - Domestic business revenue was ¥1,635,309,110.06, representing 76.66% of total revenue, with a year-on-year decrease of 9.07%[39] - Export business revenue increased by 7.08% to ¥455,666,165.94, making up 21.36% of total revenue[39] Cash Flow and Assets - The net cash flow from operating activities increased by 70.47% to ¥188,992,286.74, compared to ¥110,866,912.67 in 2021[19] - Operating cash inflow increased by 7.34% to ¥1,481,542,675.03 in 2022, while net cash flow from operating activities rose by 70.30% to ¥188,992,286.74[50] - Total assets at the end of 2022 were ¥1,529,187,222.50, a decline of 6.46% from ¥1,634,854,623.94 at the end of 2021[20] - The net increase in cash and cash equivalents was negative at -¥24,500,929.83, a decline of 333.88% compared to the previous year[50] Research and Development - The company plans to increase R&D investment to enhance product structure and quality, responding to evolving customer demands[34] - The company holds 88 patents, including 7 invention patents, 1 design patent, and 80 utility model patents, showcasing its R&D capabilities[35] - R&D expenses decreased by 7.65% to ¥69,070,451.32 in 2022 from ¥74,793,459.17 in 2021, accounting for 3.24% of operating revenue[48] - R&D personnel increased by 1.08% to 187, with the proportion of R&D staff remaining stable at 23.64%[48] Market Position and Strategy - The company is positioned as one of the largest manufacturers of home appliance composite materials in China, with a significant market share in the mid-to-high-end segment[34] - The company aims to expand its market share by focusing on user-centered product development and improving brand advantages[34] - The company has established long-term stable supply relationships with major brands such as Samsung, LG, and Panasonic, enhancing its market competitiveness[32] Risks and Challenges - The company faces potential risks including industry competition, raw material price fluctuations, and exchange rate volatility[4] - The company recognizes the risk of intensified competition in the domestic composite materials market, driven by the rapid development of the home appliance sector[66] - The company faces potential risks from fluctuations in raw material prices, particularly steel, which constitutes a significant portion of production costs[66] - The company is exposed to exchange rate risks due to overseas transactions primarily settled in USD, which could impact net profits[68] Corporate Governance - The company maintains independence from its controlling shareholder in business, personnel, assets, institutions, and finance[73] - The board of directors consists of 9 members, including 3 independent directors, representing one-third of the total[74] - The company has established an internal audit system to effectively control daily operations and major matters[75] - The company emphasizes the protection of stakeholders' rights while maximizing profits[74] Environmental Responsibility - The company invested significantly in environmental protection facilities, with annual expenditures for the operation of waste gas and wastewater treatment facilities[124] - The company paid environmental protection taxes of 12,000 yuan for the year, as it was below the national emission standards by over 50%[124] - The company has a comprehensive self-monitoring plan for environmental emissions, with quarterly water and air quality tests conducted[124] - The company adheres to strict pollution discharge standards, with specific compliance measures in place for wastewater and waste gas emissions[121] Shareholder Relations - The company held its first extraordinary general meeting in 2022 with a 20.03% investor participation rate[79] - The company conducted its annual general meeting in April 2022, achieving a 19.95% investor participation rate[79] - The company emphasizes the importance of maintaining good relationships with suppliers and customers, adhering to principles of honesty and mutual benefit[126] - The company has committed to timely and accurate information disclosure to ensure all shareholders have equal access to company information[126] Employee Management - The total number of employees at the end of the reporting period was 791, including 97 at the parent company and 694 at major subsidiaries[102] - The company implemented a dynamic compensation mechanism based on job roles and performance assessments, adjusting employee salaries and benefits according to national laws and regional living standards[104] - The company has established a comprehensive internal training system, focusing on enhancing employees' skills and professional capabilities to achieve sustainable development[105] Audit and Compliance - The audit opinion for the financial statements was a standard unqualified opinion, issued on March 28, 2023[192] - The financial statements were prepared in accordance with the accounting standards applicable to enterprises[192] - The company has maintained effective internal controls related to revenue recognition[195] - There were no significant uncertainties regarding the company's ability to continue as a going concern identified in the audit[200]