KORRUN(SZ:300577)2023-04-26 16:00Financial Performance - In 2022, the net profit attributable to shareholders of the listed company decreased due to a decline in government subsidies and losses from affiliated companies[6]. - The company's operating revenue for 2022 was ¥2,740,992,092.80, representing a 19.75% increase compared to ¥2,288,965,219.73 in 2021[46]. - The net profit attributable to shareholders for 2022 was ¥46,868,521.11, a decrease of 73.98% from ¥180,097,266.88 in 2021[46]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥20,158,041.18, down 79.01% from ¥96,055,913.91 in 2021[46]. - The cash flow from operating activities for 2022 was ¥106,668,959.73, an increase of 124.89% compared to ¥47,431,155.37 in 2021[46]. - The total assets at the end of 2022 were ¥3,516,343,481.76, a slight increase of 0.10% from ¥3,512,868,985.65 at the end of 2021[46]. - The basic earnings per share for 2022 were ¥0.20, down 73.33% from ¥0.75 in 2021[46]. - The company reported a significant decline in net profit in the fourth quarter, with a loss of ¥22,942,367.78 attributable to shareholders[48]. - The company received government subsidies amounting to ¥48,425,452.10 in 2022, compared to ¥89,497,772.68 in 2021[52]. Business Strategy and Growth - The company aims to become a respected world-class innovative consumer goods company, focusing on high-quality customer strategies and expanding production capacity[6]. - The global bag market and textile and apparel market each exceed one trillion in size, presenting significant growth opportunities[12]. - The company has successfully increased revenue from the acquired Nike core supplier by over 600% within four years[12]. - The company is focusing on internal operational improvements, including product system iteration, channel adjustments, and marketing strategy optimization, to enhance brand performance[20]. - The company aims to respond to national strategic directions by exploring green transformation and high-quality development paths[24]. - The overall sales data for bags is expected to rise significantly in 2023, driven by the recovery of the travel market[22]. - The company is actively pursuing internationalization and responding to the "Belt and Road" initiative to enhance its global influence[24]. - The company aims to enhance its OEM manufacturing business by expanding its key customer base and exploring new product categories, targeting an overall net profit margin improvement[146]. Innovation and Product Development - The company has introduced innovative products, such as the world's lightest travel suitcase using bulletproof materials and smart follow luggage utilizing precise wireless positioning technology[14]. - The company emphasizes the importance of innovation across various aspects, including product, manufacturing, sales, and operational management[15]. - The company is developing new environmentally friendly materials, including biodegradable polyester fabrics, to enhance product offerings[118]. - The company plans to launch new products based on research into ergonomic designs for backpacks and innovative travel luggage[118]. - The brand team is committed to developing high-quality, aesthetically pleasing products to strengthen brand power and explore rapid growth paths[18]. Operational Efficiency and Management - The OEM manufacturing business achieved a historical revenue high in 2022, with over 50% year-on-year growth, solidifying its position as a global industry leader[19]. - The company plans to enhance digitalization and smart manufacturing levels to improve factory efficiency and management[24]. - The company emphasizes a strong supply chain management capability to ensure product quality and competitive pricing[62]. - The company has implemented SAP and MES systems to improve operational efficiency and responsiveness[87]. - The company is focused on optimizing channel layouts and improving operational efficiency to enhance profitability[116]. Social Responsibility and Sustainability - The company is committed to sustainable development, aiming to create value for stakeholders while pursuing social responsibilities[15]. - The company emphasizes the importance of social responsibility, engaging in initiatives like poverty alleviation workshops and promoting green transformation through solar power projects[27]. - The company aims to build high-level international smart and green factories to solidify its core competitive advantages[25]. Challenges and Risks - The brand operation business faced significant challenges in 2022, contributing to the lowest profit level since the company's listing, largely due to a decline in the overall bag industry[20]. - The company acknowledges external challenges in 2023 but is determined to leverage its strengths to capture market opportunities[29]. - The company faces risks related to high customer concentration, which could adversely affect profitability if major clients reduce orders; strategies include deepening existing client relationships and expanding the customer base[149]. - Fluctuations in raw material prices and rising labor costs pose risks to profitability; the company plans to optimize pricing strategies and enhance cost management while establishing production bases in lower-cost regions like India and Indonesia[149]. - Currency exchange rate fluctuations may impact export operations; the company will implement measures to manage financial planning and mitigate risks associated with currency volatility[151]. Shareholder and Governance - The company expresses gratitude to investors for their support and is committed to overcoming challenges for future growth[29]. - The company has implemented a stock incentive plan for its employees, with specific allocations for key personnel[165]. - The total pre-tax remuneration for the board of directors and senior management amounted to 6.88 million CNY[172]. - The company has maintained a stable management team, with no reported resignations or dismissals during the reporting period[165]. - The company is committed to maintaining transparency and accountability in its governance practices[182]. Employee Engagement and Development - The total number of employees at the end of the reporting period was 11,662, with 272 at the parent company and 11,390 at major subsidiaries[186]. - The company conducted 118 training sessions in 2022, covering 7,647 participants, as part of its commitment to employee development[189]. - The total expense for the employee stock ownership plans in 2022 amounted to 12.65 million yuan, which positively impacted employee motivation and operational efficiency[200].