WALVAX(SZ:300142)2022-03-18 16:00Financial Performance - In 2021, the company achieved a net profit attributable to shareholders of CNY 427,747,681.59, a decrease of 57.36% year-on-year [4]. - The company's R&D expenses increased by 252.13% compared to the previous year, significantly impacting net profit [4]. - Main business revenue for 2021 was CNY 3,462.83 million, representing a growth of 17.82% year-on-year [4]. - The decline in net profit was primarily due to increased R&D expenses and fair value losses on investments [4]. - The net profit attributable to shareholders for 2021 was ¥427,747,681.59, a decrease of 57.36% from ¥1,003,186,827.75 in 2020 [14]. - The net profit after deducting non-recurring gains and losses was ¥591,146,772.49, down 17.33% from ¥715,043,344.98 in the previous year [14]. - The net cash flow from operating activities increased significantly to ¥705,276,750.42, a 517.62% rise from ¥114,192,983.21 in 2020 [14]. - The total assets at the end of 2021 were ¥13,674,114,325.61, up 41.87% from ¥9,638,289,331.56 at the end of 2020 [14]. - The net assets attributable to shareholders increased by 29.63% to ¥8,484,232,085.82 from ¥6,544,755,378.08 in 2020 [14]. - The basic earnings per share for 2021 were ¥0.2727, a decrease of 58.16% compared to ¥0.6518 in 2020 [14]. - The diluted earnings per share were ¥0.2719, down 57.74% from ¥0.6434 in the previous year [14]. - The company reported a significant increase in cash flow from operating activities in Q4 2021, reaching ¥440,179,358.04 [17]. R&D and Product Development - The company continues to maintain stable growth in its core business, with ongoing product development expected to drive future growth [4]. - The company has established a leading vaccine R&D and industrialization technology platform, supported by national programs and international collaborations [31]. - The company is advancing the clinical research and registration of new products, including the bivalent HPV vaccine, which is currently under review for production approval [36]. - The new mRNA COVID-19 vaccine is in Phase III clinical research, while the recombinant COVID-19 vaccine (chimpanzee adenovirus vector) is in Phase II clinical research [36]. - The company is actively pursuing the development of various vaccines, including a quadrivalent influenza vaccine and a recombinant enterovirus 71 vaccine, which are currently in clinical research stages [37]. - The company has built an mRNA vaccine technology platform, which is currently under continuous development, focusing on various vaccines including COVID-19 variants [45]. - The company is focused on the research and development of new products, including the bivalent HPV vaccine and multi-valent vaccines, to ensure seamless clinical research and production application [101]. Market and Industry Trends - In 2021, China's pharmaceutical manufacturing industry achieved revenue of CNY 2,928.85 billion, a growth of 20.1% year-on-year, with a profit total of CNY 627.14 billion, increasing by 77.9% [25]. - The domestic vaccine industry saw rapid growth, with China producing over 4.5 billion doses of COVID-19 vaccines in 2021, making it the highest producer globally [25]. - The global vaccine market surged from approximately USD 40 billion to around USD 150 billion due to COVID-19 vaccine sales, indicating a significant market expansion [26]. - The pharmaceutical industry in China is expected to continue growing, driven by factors such as rising disposable income and an improved healthcare system [25]. - The COVID-19 pandemic has catalyzed rapid development in new products and technologies related to vaccines and treatments, leading to significant industry transformation [26]. Sales and Revenue - The company achieved total operating revenue of CNY 346,283.11 million, representing a year-on-year growth of 17.82% [32]. - Sales revenue from self-produced vaccine products reached CNY 342,841.07 million, an increase of 18.47% year-on-year [33]. - The 13-valent pneumococcal conjugate vaccine generated sales revenue of CNY 274,627.01 million, reflecting a significant growth of 65.59% compared to 2020 [33]. - The total revenue for the company decreased by 29.91% to CNY 31,314,217 from CNY 44,675,761 in the previous year [35]. - The sales of the 23-valent pneumonia vaccine dropped significantly by 84.26%, from CNY 5,745,195 to CNY 904,383 [35]. Investment and Financial Management - The company invested ¥1,659,561,800.00 during the reporting period, a 76.98% increase compared to the previous year [77]. - The company completed significant equity investments, including ¥207,000,000.00 in Kunming Watson Biotechnology Co., Ltd., achieving 100% ownership [78]. - The company reported a fair value change loss of CNY 280.74 million for other non-current financial assets investments during the reporting period [81]. - The company has a total of CNY 1.4 billion in other equity instrument investments, with a fair value of CNY 561 million at the end of the reporting period [81]. - The company has a remaining unused fundraising amount of CNY 26.16 million, with no violations in the management of raised funds [82]. Corporate Governance and Shareholder Relations - The company has established a comprehensive governance structure to protect the rights of shareholders, particularly minority shareholders [109]. - The company has committed to transparency in information disclosure, adhering to relevant laws and regulations [112]. - The company plans to issue H shares and list on the Hong Kong Stock Exchange, with 18 related proposals approved during the shareholder meetings [114]. - The company has maintained independence from major shareholders in terms of business, personnel, assets, and finance [113]. - The company actively engages with investors through various channels, ensuring equal access to information [113]. Environmental and Social Responsibility - The company emphasizes environmental protection and sustainable development, integrating these principles into all management processes [183]. - The company has implemented a comprehensive environmental management system to minimize operational impacts on the environment [183]. - In December 2021, the company signed donation agreements totaling 11.5 million yuan to support women's health initiatives and grassroots medical personnel [183]. - The company has committed to social responsibility initiatives, including donations to public welfare projects [137]. - The company aims to improve operational efficiency, targeting a 10% reduction in production costs by implementing advanced manufacturing technologies [129]. Employee Management and Development - The company has implemented an employee stock ownership plan and stock option incentive plan to enhance employee engagement and retention [144]. - The total remuneration for senior management during the reporting period amounted to CNY 3,755.74 million [135]. - The company emphasizes the importance of talent development through various training programs, including the "Vaccination Science Literacy" course and EMBA/MBA programs [145]. - The company has a structured approach to determining the compensation levels for its executives [134]. - The total number of employees increased to 12,000, indicating a growth in operational capacity [120].