Haixin Foods (SZ:002702)2024-04-25 10:42Financial Performance - The company's operating revenue for 2023 was approximately ¥1.72 billion, representing a 5.82% increase compared to ¥1.62 billion in 2022[18]. - The net profit attributable to shareholders was ¥2.27 million, a significant decrease of 96.41% from ¥63.22 million in 2022[18]. - The net cash flow from operating activities was negative at ¥23.42 million, a decline of 113.60% compared to ¥172.18 million in 2022[18]. - The total assets at the end of 2023 reached approximately ¥2.16 billion, an increase of 22.58% from ¥1.77 billion at the end of 2022[18]. - The company reported a weighted average return on equity of 0.24%, down from 7.80% in the previous year[18]. - The company's total revenue for the reporting period reached 171,582.40 million CNY, representing a year-on-year increase of 5.82%[38]. - The revenue from the "Hai Xin" brand, which includes various frozen products, was 112,122.44 million CNY, contributing 12,856.31 million CNY from new products[37]. - The company achieved a revenue of RMB 1.716 billion in 2023, representing a year-on-year growth of 5.82%[49]. - The gross profit margin for the overall business was 19.68%, reflecting a decrease of 2.77% year-on-year[38]. - The comprehensive expense ratio increased to 17.86%, reflecting a year-on-year rise of 0.16 percentage points[49]. Market Position and Strategy - The company is positioned as a leading player in the frozen fish and meat products industry, being the first listed company in this sector[31]. - The frozen food market in China is projected to grow from ¥168.85 billion in 2022 to ¥213.09 billion by 2025, indicating a strong industry trend[28]. - The company aims to reduce seasonal sales fluctuations by increasing the share of non-seasonal products in its portfolio[30]. - The company is focusing on brand building and product quality enhancement to meet the increasing consumer demand for high-quality frozen food products[29]. - The company is developing new products such as low-salt fish paste and quinoa fish balls, focusing on quality and nutritional characteristics[66]. - The company is pursuing market expansion through partnerships and acquisitions in the marine sector[99]. Operational Structure - The company has a total of 12 wholly-owned subsidiaries and 2 holding subsidiaries, indicating a strong operational structure[11]. - The company operates in various sales channels, including modern channels, e-commerce, and direct supply to large chain restaurants[11]. - The company has established a clear credit policy for distributors, with the top five distributors contributing 21,054.91 million CNY, accounting for 12.39% of total revenue[40]. - The company continues to focus on technological research and product quality to maintain customer trust and achieve stable long-term performance[34]. Risk Management - The company emphasizes the importance of understanding the difference between plans, forecasts, and commitments, urging investors to be aware of investment risks[4]. - The company has detailed the main risks it will face in the future and the corresponding countermeasures in the report[4]. - The company is exposed to raw material price fluctuation risks, which could impact production costs and overall performance[103]. - The company recognizes management risks associated with scaling operations and plans to improve management capabilities and governance mechanisms[104]. - The company has established a confidentiality system to mitigate risks related to core technical personnel turnover and technology leakage[104]. Governance and Compliance - The company reported a strict adherence to governance structures as per relevant laws and regulations, with no discrepancies noted during the reporting period[112]. - The company has established a transparent performance evaluation and incentive mechanism for its directors and senior management, ensuring compliance with legal standards[111]. - The company has a complete and independent asset structure, with no guarantees provided for shareholders or related entities, safeguarding its interests[114]. - The company has implemented a wastewater treatment system with a processing capacity of 1,500 m³/d, ensuring compliance with environmental discharge standards[158]. - The company has established emergency response plans for environmental incidents, which have been filed with local environmental authorities[159]. Shareholder Engagement - The company actively engages in investor relations, ensuring timely and accurate information disclosure to all shareholders[112]. - The first temporary shareholders' meeting in 2023 had an investor participation rate of 25.45% on March 20, 2023[116]. - The annual shareholders' meeting for 2022 had a participation rate of 42.06% on May 22, 2023[116]. - The total shares held by the board members at the end of the reporting period was 46.70 million shares, with an increase of 1.7 million shares during the period[118]. Employee Management - The company reported a total of 2,091 employees at the end of the reporting period, with 468 in the parent company and 1,623 in major subsidiaries[132]. - The company has a total of 727 training sessions conducted for employees during the reporting period, covering various roles from new hires to senior management[134]. - The company has established a performance-based salary system, linking employee compensation to operational and management indicators[133]. Environmental Responsibility - The company maintains a proactive approach to environmental management, regularly updating compliance evaluations based on new regulations[156]. - The company has successfully integrated environmental protection measures into its production processes, reflecting its commitment to sustainability[156]. - The company has committed to strict compliance with environmental regulations and has made significant investments in environmental protection during its production processes[159]. Future Outlook - The company achieved a budgeted revenue growth of approximately 5.03% for 2024, with projected sales expenses of 190 million and management expenses of 93.37 million[98]. - The company plans to optimize supply chain management to reduce raw material and operational costs, enhancing production efficiency and product quality[98]. - The company intends to implement a talent development plan to enhance employee skills and management capabilities[99].