YKA(SZ:300999)2024-03-22 16:00Dividend and Share Information - The company plans to distribute a cash dividend of 1.11 RMB per 10 shares to all shareholders, based on a total of 5,421,591,536 shares[2]. - The company has a total of 5,421,591,536 shares outstanding, which will be the basis for the dividend distribution[2]. - The company operates under the stock code 300999 on the Shenzhen Stock Exchange[6]. Financial Performance - The company's operating revenue for 2023 was CNY 251.5 billion, a decrease of 2.32% compared to 2022[11]. - Net profit attributable to shareholders was CNY 2.85 billion, down 5.43% year-on-year[11]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 1.32 billion, a significant decline of 58.5% compared to the previous year[11]. - The company's cash flow from operating activities showed a remarkable increase of 1957.53%, reaching CNY 14.92 billion[11]. - The total assets at the end of 2023 amounted to CNY 238.5 billion, reflecting a growth of 4.63% from the previous year[11]. - The average return on equity was 3.16%, down from 3.43% in 2022[11]. - The total operating revenue for 2023 was CNY 251,523,736, a decrease of 2.32% compared to CNY 257,485,444 in 2022[93]. - The company reported a total revenue of CNY 251.52 billion in 2023, with a slight decline of 2.32% from CNY 257.49 billion in 2022[61]. Risk Management - The company has identified 17 major risk factors that could impact its operations, including industry competition, macroeconomic fluctuations, and supply chain risks[2]. - The company has a comprehensive risk management strategy in place to address identified risks, including food safety and quality control[2]. - The company is exposed to risks from macroeconomic fluctuations, which could affect consumer confidence and demand for high-end products[37]. - The reliance on imported raw materials for edible oils poses a risk due to potential policy changes affecting the industry[38]. - The company faces operational performance volatility risks due to market price fluctuations, increased competition, and seasonal sales characteristics[46]. - The company is exposed to exchange rate risks due to importing raw materials priced in USD, implementing hedging strategies to mitigate these risks[48]. - Changes in tax incentives for agricultural processing could negatively impact the company's profitability, prompting ongoing monitoring of tax policies[49]. - Geopolitical risks from the Russia-Ukraine conflict and US-China trade tensions may adversely affect the company's procurement and production costs[52]. Market and Industry Trends - The edible oil industry in China is experiencing stable growth with significant market opportunities, driven by rising consumer demand for high-quality and healthy products[21]. - The kitchen food segment experienced a decline in overall profit due to falling prices of wheat and flour, despite an increase in sales volume[12][13]. - The feed raw materials and oil technology segment saw significant profit growth, particularly in the second half of the year due to rising prices of soybean meal[14]. - The wheat flour industry is seeing a shift towards higher quality and nutrition, with increasing demand for specialized flour products amid stable overall consumption[23]. - The soybean supply was tight in Q3 2023, leading to a price rebound for soybean meal, although annual prices trended downward due to global supply factors[24]. - The company continues to focus on the agricultural and food processing industry, providing high-quality grain and oil products[20]. - The company holds a leading position in the domestic agricultural and food processing industry, with "Golden Dragon Fish" ranked first in the edible oil brand index for 13 consecutive years[27]. Product Development and Innovation - The company has launched several new products, including a premium olive oil and a health-focused plant-based oil, catering to specific customer needs and regional preferences[58]. - The new product line includes over 10 items, such as the "Golden Fish" brand's organic rice and various specialty oils, aimed at enhancing market presence[58]. - The company is developing new plant protein products to meet the nutritional needs of humans and pets, aiming to establish a strong technical barrier in the health product sector[107]. - The company has successfully developed a low-sodium and zero-additive soy sauce series, enhancing the nutritional value and safety of its products[107]. - The company is focusing on developing fermented feed raw materials to meet the industry's demand for cost reduction and efficiency improvement[108]. - The company aims to enhance its competitiveness in the peanut and sesame product market by developing a new processing technology system[108]. Supply Chain and Procurement - The company actively develops new quality suppliers and regularly evaluates existing suppliers to ensure timely raw material supply[43]. - The company relies heavily on its top five suppliers for raw materials, which account for a significant portion of total procurement, posing a risk of supply disruption if market conditions change[42]. - The procurement model includes major categories such as soybeans, rice, wheat, and oils, with a focus on efficiency and flexibility in purchasing[54]. - The production network is designed for maximum efficiency and economies of scale, with several comprehensive enterprise clusters established in key locations[55]. - The company has established a robust supply chain management system that allows for nationwide coordination of production to meet customer demands[55]. Corporate Governance and Investor Relations - The company has a dedicated investor relations email for inquiries: jinlongyu_ir@cn.wilmar-intl.com[7]. - The company has established a robust investor relations management system, facilitating communication through various channels including shareholder meetings and investor hotlines[166]. - The company’s governance practices comply with relevant laws and regulations, ensuring transparency and protection of shareholder rights[166]. - The company’s independent financial department operates under a strict accounting system, ensuring compliance with financial regulations[167]. - The company held 1 annual general meeting and 1 extraordinary general meeting during the reporting period, passing a total of 14 resolutions[164]. Research and Development - Research and development expenses reached 267,249 thousand yuan in 2023, reflecting a 9.55% increase from 243,943 thousand yuan in 2022[105]. - The company’s R&D investment as a percentage of operating revenue was 0.11% in 2023, up from 0.09% in 2022[110]. - The number of R&D personnel increased slightly to 327 in 2023, a 0.31% rise from 326 in 2022[110]. - The company is investing 500 million in research and development for new technologies aimed at improving production efficiency[181]. - The company’s R&D expenditure increased by 18% in 2023, reflecting its commitment to innovation and sustainability[200]. Future Outlook and Strategic Initiatives - The company is actively developing new markets and improving channel construction, with a focus on online sales and content e-commerce marketing[85]. - The company plans to focus on expanding its kitchen food and feed raw materials businesses, leveraging its scale and integrated operations to enhance efficiency and reduce costs[151]. - The company aims to strengthen integrated marketing and resource sharing to accelerate business growth, emphasizing customer needs and optimizing marketing strategies[152]. - The company will continue to develop nutritious and healthy food products tailored to consumer preferences, including local specialties to capture niche markets[153]. - The company is committed to sustainable development, promoting clean energy and participating in social responsibility initiatives[159]. - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2025[200]. Financial Management and Investment - The company has implemented a digital learning platform to enhance employee training and development[91]. - The company has not engaged in speculative derivative investments during the reporting period[124]. - The company has established a management system for hedging business to enhance internal control and professional training[123]. - The total amount raised from the initial public offering was approximately RMB 13.93 billion, with a net amount of RMB 13.69 billion after deducting issuance costs[125]. - The company has authorized the use of up to RMB 450,000 million of idle raised funds for cash management, effective from January 1, 2023, to December 31, 2023[131].