JFLB(002762)2021-04-29 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥313.13 million, a decrease of 28.55% compared to ¥438.28 million in 2019[17]. - The net profit attributable to shareholders for 2020 was approximately ¥32.60 million, down 30.05% from ¥46.60 million in 2019[17]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥23.23 million, a decline of 40.37% from ¥38.95 million in 2019[17]. - The net cash flow from operating activities for 2020 was approximately ¥84.03 million, a decrease of 17.01% compared to ¥101.26 million in 2019[17]. - The basic earnings per share for 2020 was ¥0.09, down 30.77% from ¥0.13 in 2019[17]. - The total assets at the end of 2020 were approximately ¥1.10 billion, an increase of 2.60% from ¥1.07 billion at the end of 2019[17]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥988.53 million, a slight decrease of 0.64% from ¥994.87 million at the end of 2019[17]. - The weighted average return on equity for 2020 was 3.30%, down from 4.73% in 2019, reflecting a decline of 1.43%[17]. Revenue Breakdown - In 2020, the company's total revenue for the four quarters was approximately ¥313 million, with a significant increase in Q4 revenue to ¥107.85 million, up from ¥52.44 million in Q1[22]. - Revenue from the maternal and infant consumer goods sector was CNY 308,391,362.22, accounting for 98.49% of total revenue, with a year-on-year decline of 29.29%[84]. - The sales volume of maternal and infant consumer goods decreased by 29.36% to 6,135,684 units in 2020 from 8,685,262 units in 2019[87]. - The revenue from the "other" category increased by 120.56% to CNY 4,738,775.72, compared to CNY 2,148,539.63 in 2019[81]. Market Trends - The overall market for maternal and infant products faced challenges in 2020, with a 3.93% decline in retail sales and a 14.89% drop in newborn registrations compared to the previous year[27]. - The mother and baby industry market size reached 4,085.7 billion yuan in 2020, with a projected growth to 4,776.1 billion yuan by the end of 2021, reflecting a compound annual growth rate of 17% from 2015 to 2019[142]. - The market size of China's maternal and infant products industry expanded from 300 billion RMB in 2018 to 408.57 billion RMB in 2020, with projections to exceed 700 billion RMB by 2024[146]. - The contribution of consumption in 5-6 tier cities to maternal and infant products increased by 5% year-on-year in 2020, driven by improved e-commerce and logistics infrastructure[146]. Strategic Initiatives - The company plans to distribute a cash dividend of ¥0.6 per 10 shares, totaling approximately ¥21.24 million based on a base of 354,025,000 shares[4]. - The company has focused on enhancing its online marketing strategies, including live streaming and community marketing, to better engage with younger consumer demographics[28]. - The company has adjusted its sales strategy to enhance online marketing and channel expansion, resulting in a significant increase in online sales through platforms like Tmall, Taobao, and JD.com[45]. - The company is actively exploring the maternal and infant health sector by investing in Guangdong Kunrun Health Technology Development Co., Ltd.[66]. Operational Adjustments - The company has reduced its number of stores to 1,015, a decrease of 118 stores year-on-year, with 138 direct stores and 877 franchise stores[47]. - The company has closed underperforming direct stores, resulting in a 49.82% decrease in long-term deferred expenses[56]. - The company has adopted a cautious approach towards opening new offline stores, particularly those requiring significant investment[132]. - The company is shifting its focus towards online business expansion due to the impact of COVID-19 on offline retail operations[132]. Research and Development - The company has established several research and development centers, including a baby clothing R&D center and a maternal and infant care product R&D center, to enhance product innovation[71]. - R&D investment in 2020 amounts to ¥13,381,859.69, representing 4.27% of operating revenue, an increase of 1.08% compared to 2019[108]. - The number of R&D personnel increased by 14.29% to 160, representing 16.53% of total staff[108]. Risk Management - The company has indicated potential risks in its future operations as outlined in the report, which investors are advised to review[5]. - The company has faced risks related to raw material price fluctuations, particularly in cotton and synthetic fibers, and is taking measures to mitigate these risks[49]. - The company has implemented strict quality control measures for outsourced production to ensure product quality and safety[176]. Corporate Governance - The company has appointed Huaxing Accounting Firm (Special General Partnership) as its auditor, with an audit fee of 650,000 RMB[199]. - The company has not reported any important changes in accounting estimates during the reporting period[196]. - The company has confirmed that it will not incur any losses due to violations of commitments made by its controlling shareholders[191].