SIRIO(SZ:300791)2023-04-20 16:00Financial Performance - The company's revenue for 2022 was CNY 2,507,261,818.80, representing a 5.84% increase compared to CNY 2,368,947,616.87 in 2021[27]. - The net profit attributable to shareholders for 2022 was CNY 212,285,578.09, a decrease of 8.43% from CNY 231,834,489.00 in the previous year[27]. - The net profit after deducting non-recurring gains and losses was CNY 196,364,305.45, down 6.40% from CNY 209,799,088.33 in 2021[27]. - The operating cash flow for 2022 increased by 30.31% to CNY 444,859,757.32, compared to CNY 341,377,365.21 in 2021[27]. - The total assets at the end of 2022 were CNY 4,185,817,139.24, a 9.57% increase from CNY 3,820,110,170.19 at the end of 2021[27]. - The net assets attributable to shareholders at the end of 2022 were CNY 2,701,523,987.39, reflecting a 6.16% increase from CNY 2,544,779,706.22 in 2021[27]. - The basic earnings per share for 2022 were CNY 1.1793, down 8.42% from CNY 1.2877 in 2021[27]. - The diluted earnings per share for 2022 were CNY 1.1677, a decrease of 4.15% from CNY 1.2182 in the previous year[27]. - The weighted average return on equity for 2022 was 8.12%, down from 9.77% in 2021[27]. Market Overview - In 2022, the global retail scale of nutritional health foods reached $176.8 billion, with a compound annual growth rate (CAGR) of 6% over the past three years, expected to exceed 6% in the next three years, reaching $214.4 billion by 2025[38]. - The Chinese nutritional health food market size reached $35.8 billion in 2022, projected to be the largest incremental market globally over the next three years[40]. - The U.S. nutritional health food market grew to over $56 billion in 2022, with 75% of consumers using dietary supplements, indicating a significant increase in consumption since the pandemic[39]. - In Europe, the nutritional health food market exceeded $23 billion in 2022, with major countries like Italy, the UK, Germany, and France steadily increasing their market shares[42]. - The Australian and Southeast Asian nutritional health food market reached $13.7 billion in 2022, expected to grow at a CAGR of over 8% to exceed $17 billion by 2025[43]. Product Development and Innovation - The company launched over 500 new products in 2022, with a domestic new product conversion rate exceeding 30%[70]. - The company has established a full dosage form development capability, focusing on core forms such as soft capsules, nutritional gummies, and beverages, as well as innovative forms like plant-based soft capsules and other unique products[49]. - The company aims to enhance product repurchase rates through innovative flavor profiles and packaging, catering to diverse customer needs and preferences[53]. - The company introduced several new health food products, including Tian Can® Tomato Lycopene Soft Capsules and Tian Can® Red Yeast Natto Capsules, with registration valid until 2027[84]. - The registration of multiple products in a short timeframe reflects the company's proactive approach to capturing market opportunities in the health supplement sector[86][87]. Strategic Partnerships and Collaborations - The company has established strategic partnerships with well-known enterprises such as Bayer, Mars, and Tmall International, enhancing its market position and customer base[55]. - The company is actively involved in the formulation and revision of industry regulations to ensure compliance with evolving legal standards[7]. - The integration of Best Formulations will focus on achieving collaborative growth and value realization through strategic synergies and resource sharing[160]. Governance and Management - The company maintains a governance structure consisting of the shareholders' meeting, board of directors, supervisory board, and senior management, ensuring coordination and checks and balances among decision-making, supervision, and operations[167]. - The board of directors comprises 7 members, including 3 independent directors, meeting legal and regulatory requirements[170]. - The company has established a performance evaluation system linking employee income to work performance and company results, with senior management compensation tied to both company and individual performance[174]. - The company has a diverse management team with extensive backgrounds in pharmaceuticals and investment, enhancing its strategic capabilities[190][191]. Financial Management and Investments - The company has committed to invest CNY 69,585.63 million in the Ma'anshan production expansion project, with 74.34% of the investment completed by the end of the reporting period[136]. - The company reported a significant decrease in financing cash inflow by 99.25% to ¥7,608,831.18 in 2022 from ¥1,019,514,097.89 in 2021, primarily due to the issuance of convertible bonds in 2021[118]. - The total amount of funds raised by the company in 2021 was CNY 101,340.86 million, with CNY 20,238.49 million utilized during the reporting period[131]. Risk Management and Compliance - The company has identified potential risks and has outlined measures to mitigate these risks in its report[161]. - The company strictly adheres to information disclosure obligations, ensuring timely and accurate communication with all stakeholders[176]. - The company has a dedicated audit department reporting directly to the audit committee, enhancing governance and compliance[175]. Consumer Trends and Market Demand - Consumer health awareness has significantly increased, with over 80% of consumers showing greater concern for health compared to the past, and 60% using health supplements to improve their health[143]. - The demand for nutritional health products is becoming more diversified and refined, with a growing consumer base that is increasingly younger and more health-conscious[145]. - The market for nutritional health products is expected to grow due to supportive policies and capital investments, especially in light of China's aging population[146].