YISHENG(SZ:002458)2024-03-06 16:00Business Performance - The company reported a net profit of 724,870.87 yuan for the reporting period, with a significant increase in the production of commercial broiler chicks[16]. - The total revenue for 2023 reached approximately CNY 3.22 billion, a significant increase from CNY 2.11 billion in 2022, representing a year-on-year growth of 53%[38]. - Chicken revenue accounted for 92.41% of total revenue, amounting to CNY 2.98 billion, compared to CNY 1.90 billion in 2022, reflecting a growth of 57.3%[38]. - The company's poultry revenue reached approximately CNY 2.98 billion, a year-on-year increase of 57.14%[68]. - The pig revenue was CNY 53.20 million, reflecting a year-on-year growth of 53.21%[68]. - The dairy revenue amounted to CNY 61.21 million, with a slight decline of 3.83% compared to the previous year[68]. - The total sales volume for poultry was 722,195,131 units, representing a 10.89% increase from 2022[64]. - The production volume for poultry reached 726,684,685 units, marking a 10.62% increase year-on-year[64]. - The company achieved operating revenue of 3,224.68 million yuan, an increase of 52.71% year-on-year, and net profit attributable to shareholders of 540.79 million yuan, up 247.34% year-on-year[81]. Market Outlook - Chicken meat consumption in China is expected to grow, with a shift in consumer demand towards healthier options, indicating a promising market outlook[18]. - The company is positioned to benefit from the increasing demand for white-feathered broiler chicken products due to rising living standards and changing consumer preferences[153]. - The company anticipates further growth in the livestock industry due to stricter quality and safety regulations, leading to increased market share for leading enterprises[173]. Research and Development - The company has initiated several key R&D projects, including the development of the Yisheng 909 small white feather chicken breed, which aims to enhance production performance and expand market competitiveness[36]. - The company is actively involved in national key research and development projects, including one focused on the integrated breeding and promotion of new poultry varieties, which has made significant progress in various areas[100]. - The company’s research and development investment focuses on key infectious diseases and management challenges in poultry farming, improving customer satisfaction and loyalty[99]. - The company has achieved significant progress in research and development, including the approval of two new key research projects related to disease prevention and bio-veterinary drug creation[116]. Breeding and Production - The company has become the largest seller of white feather broiler chicks in China, continuously expanding the breeding volume of parent stock chickens[20]. - The self-bred "Yisheng 909" small white feather broiler chicken variety has received national recognition, marking a significant achievement in the breeding industry[20]. - The company has established a strong presence in the Shandong region, generating 60.09% of total revenue, which highlights its market dominance in this area[38]. - The company continues to expand its parent stock breeding capacity and increase the production of commercial broiler chicks, enhancing its market position and mitigating risks from market fluctuations[95]. - The company is focusing on expanding its breeding capacity for both poultry and pigs to enhance risk resistance and profitability[62]. - The company plans to expand its breeding scale for parent stock white feather broilers, aiming to increase market share for commercial broiler chicks[175]. - The company is accelerating the construction of pig breeding farms, aiming to establish a modern breeding system for pigs based on successful experiences in chicken breeding[175]. Financial Management - The company's cash and cash equivalents at the end of 2023 amounted to approximately 909.29 million, representing 13.83% of total assets, up from 7.57% at the beginning of the year[112]. - The company completed a stock issuance to specific targets, raising a total of 1.16 billion, which will primarily be used for parent pig breeding and hatching projects[116]. - The company raised a total of 116,000 million yuan through a private placement, with a net amount of 113,910.66 million yuan after deducting issuance costs, and has utilized 46,295.73 million yuan of the raised funds[129]. - The net cash flow from financing activities decreased by 49.61% year-on-year, primarily due to increased cash payments for debt repayment as a result of company profits and fundraising[111]. Supply Chain and Procurement - The company has a strong reliance on foreign suppliers for breeding stock, which poses a risk if supply is disrupted due to disease or other factors[33]. - The total procurement amount from the top five suppliers is ¥429,882,445.08, accounting for 28.47% of the annual total procurement[73]. - The procurement amount from related parties among the top five suppliers is 4.38% of the annual total procurement[73]. - To mitigate raw material price volatility, the company has established strategic partnerships with multiple suppliers and employs a procurement bidding mechanism to stabilize costs[158]. Biosecurity and Disease Management - The company has established a disease monitoring laboratory to ensure the health of breeding pigs, maintaining a negative status for several infectious diseases[32]. - The company has developed several patents related to disease detection and prevention in poultry, enhancing its competitive edge in the industry[21]. - The company emphasizes disease prevention in poultry farming, implementing strict management systems to prevent pathogens from entering breeding sites[158]. - The company is committed to disease purification strategies in its breeding operations to ensure the health of its breeding stock[175]. Governance and Investor Relations - The company has established a robust internal management and control system to enhance operational governance and information disclosure[183]. - The cumulative voting system was implemented to ensure equal rights for all shareholders during board elections, promoting fair governance practices[183]. - The company is enhancing its investor relations management to improve communication with shareholders and investors[167]. - The company held multiple investor relations activities throughout 2023, focusing on industry conditions, future development plans, and market outlooks[178][180].