CBC(SZ:200017)2022-04-25 16:00Financial Performance - The company's operating revenue for 2021 was CNY 165,246,577.95, representing a 40.21% increase compared to CNY 117,857,480.17 in 2020[21]. - The net profit attributable to shareholders was a loss of CNY 1,986,692.82, a decrease of 152.48% from a profit of CNY 3,785,834.68 in 2020[21]. - The net cash flow from operating activities increased by 297.59% to CNY 15,673,932.87, up from CNY 3,942,228.96 in the previous year[22]. - The basic earnings per share for 2021 was -CNY 0.0036, a decline of 152.17% from CNY 0.0069 in 2020[22]. - The total assets at the end of 2021 were CNY 97,363,437.22, reflecting a 6.13% increase from CNY 91,742,769.99 at the end of 2020[22]. - The net assets attributable to shareholders decreased by 18.22% to CNY 8,918,538.16 from CNY 10,905,230.98 in 2020[22]. - The weighted average return on equity was -20.04%, a decrease of 62.05% from 42.01% in 2020[22]. - The net profit after deducting non-recurring gains and losses was -CNY 4,548,872.83, a decline of 248.09% from CNY 3,071,751.90 in 2020[21]. Market Trends - The jewelry market in China is dominated by gold jewelry, which holds a market share of 60.13%, while diamonds and jade account for 13.97% and 9.85% respectively[31]. - The demand for gold jewelry has shown a stable growth trend, particularly benefiting from the recovery of the economy and the release of pent-up consumer demand post-pandemic[32]. - The import value of diamond jewelry in China reached its highest level in 2021, indicating a strong rebound in the market[33]. - The jewelry industry is experiencing increased concentration, with larger brands gaining market share as consumer preferences shift towards quality and brand value[34]. Business Operations - The company operates in the bicycle and lithium battery materials sector, with a focus on electric bicycles and related components[45]. - The implementation of the new national standard for electric bicycles has enhanced safety performance and is expected to increase the market for lithium battery applications[44]. - The company has established a comprehensive supply chain with major diamond suppliers, enhancing its cost control and product quality[40]. - The company has implemented a closed-loop business process and risk control system, ensuring effective management of supply, information, and funds[43]. - The company is actively expanding its customer base, targeting well-known brands with over 500 retail stores, as well as smaller regional brands[41]. Inventory and Sales - As of the end of the reporting period, the company's jewelry business inventory balance was approximately 7.69 million yuan, an increase of 27.92% compared to the beginning of the period[49]. - The inventory distribution includes finished jewelry at 1.97 million yuan (25.59%), raw materials (gold) at 3.42 million yuan (44.48%), and diamonds at 1.62 million yuan (21.14%)[50]. - Jewelry and gold sales volume increased by 68.59% to 73,628 pieces, reflecting strong demand in this segment[64]. - The jewelry and gold business accounted for 80.43% of total revenue, with sales reaching CNY 132.92 million, up 52.66% year-over-year[61]. Corporate Governance - The company has no controlling shareholder or actual controller, ensuring independent business operations[100]. - The company is committed to improving its governance structure in compliance with relevant laws and regulations[100]. - The company has a diverse board with members holding various professional backgrounds, including finance, law, and engineering[110]. - The independent directors have extensive experience in auditing, legal affairs, and investment management, contributing to the company's governance[110]. - The company has maintained a stable management team with no resignations or dismissals reported during the year[108]. Restructuring and Financing - The company plans to raise up to 29.36 million CNY through a private placement of A-shares to enhance liquidity, which may lead to a change in control[56]. - The company has resolved significant debt issues through restructuring, achieving a positive net asset value and maintaining stable operations in its core bicycle business[149]. - The company aims to introduce a restructuring party with a net asset valuation of no less than 2 billion yuan and a projected net profit of at least 200 million yuan in the year of restructuring[151]. - The company plans to issue up to 137,836,986 new shares through a private placement, with approval from the China Securities Regulatory Commission[136]. Employee and Management - The total number of employees at the end of the reporting period was 61, with 35 in the parent company and 26 in major subsidiaries[125]. - The professional composition of employees includes 19 technical personnel, 12 sales personnel, and 11 production personnel[125]. - The company has a total of 61 employees with varying educational backgrounds, including 1 with a master's degree, 21 with bachelor's degrees, and 21 with associate degrees[126]. - The company conducted regular training activities aimed at enhancing employee skills and management quality[128]. Challenges and Risks - The overall economic environment remains challenging, with pressures from demand contraction and supply shocks impacting business operations[54]. - The company is facing multiple pressures including demand contraction and supply shocks, which are impacting operational efficiency and costs[95]. - The company is monitoring the impact of local COVID-19 outbreaks on its supply chain and operational costs[95].