Core Insights - Huaxi Biological Technology Co., Ltd. reported a significant decline in financial performance for the year 2024, with total revenue of 5.37 billion yuan, a decrease of 11.61% year-on-year, and a net profit attributable to shareholders of 174 million yuan, down 70.59% from the previous year [1][2]. Financial Performance - The company's operating income for 2024 was 5,370,770,254.64 yuan, compared to 6,075,923,853.74 yuan in 2023, reflecting an 11.61% decrease [2]. - The net profit attributable to shareholders was 174,267,399.74 yuan, a decline of 70.59% from 592,555,911.37 yuan in 2023 [2]. - The net profit after deducting non-recurring gains and losses was 107,271,950.81 yuan, down 78.13% from 490,482,932.05 yuan in the previous year [2]. - Cash flow from operating activities was 564,505,133.92 yuan, a decrease of 19.32% compared to 699,648,201.22 yuan in 2023 [2]. Asset and Equity Position - As of the end of 2024, the total assets amounted to 8,656,731,837.99 yuan, an increase of 2.20% from 8,470,008,293.83 yuan at the end of 2023 [2]. - The net assets attributable to shareholders were 6,810,170,453.97 yuan, a slight decrease of 1.93% from 6,944,100,603.15 yuan in the previous year [2]. Reasons for Performance Decline - The company attributed the overall pressure on operating results to several factors, including management transformation costs exceeding 70 million yuan, increased long-term strategic investments, and significant investments in emerging businesses exceeding 100 million yuan [2]. - The company also conducted impairment tests on accounts receivable, inventory, and goodwill, resulting in a large impairment provision of approximately 189 million yuan [2]. - The consumer goods sector faced challenges due to intensified market competition, cyclical fluctuations, and strategic adjustments [2]. Compensation for Executives - In 2024, the total pre-tax compensation for 34 current and former executives and core technical personnel was 43.55 million yuan, representing a year-on-year increase of 71.23% from 25.43 million yuan in 2023 [3]. - The chairman and general manager, Zhao Yan, received a total compensation of 2.23 million yuan, an increase from 2.02 million yuan in 2023 [3].