BUSEN(SZ:002569)2023-04-28 16:00Financial Performance - The company reported a total revenue of 1.2 billion RMB for the year 2022, representing a year-on-year decrease of 15%[15]. - The net profit attributable to shareholders was 150 million RMB, down 25% compared to the previous year[15]. - The company's operating revenue for 2022 was ¥138,315,708.87, a decrease of 50.43% compared to ¥279,012,085.49 in 2021[22]. - The net profit attributable to shareholders was -¥71,027,828.25 in 2022, representing a decline of 318.17% from ¥32,556,654.38 in 2021[22]. - The basic earnings per share for 2022 was -¥0.49, a decrease of 313.04% from ¥0.23 in 2021[22]. - The total assets at the end of 2022 were ¥295,613,214.70, down 22.72% from ¥382,518,666.52 at the end of 2021[22]. - The net assets attributable to shareholders decreased by 35.86% to ¥159,227,754.67 at the end of 2022 from ¥248,263,647.45 at the end of 2021[22]. - The company's cash flow from operating activities was -¥21,549,622.24 in 2022, an improvement of 32.35% compared to -¥31,852,225.11 in 2021[22]. - The company reported a cumulative net loss of RMB 341.17 million as of December 31, 2022, with negative cash flow from operating activities for three consecutive years[181]. - The company had a frozen bank account amounting to RMB 8.53 million, indicating significant uncertainty regarding its ability to continue as a going concern[181]. Revenue Breakdown - The total revenue for 2022 was ¥138,315,708.87, representing a decrease of 50.43% compared to ¥279,012,085.49 in 2021[47]. - The apparel manufacturing sector accounted for ¥103,746,230.33, which is 75.01% of total revenue, down 58.24% from ¥248,431,215.25 in 2021[47]. - Direct sales increased by 30.37% to ¥38,214,607.64, making up 27.63% of total revenue[47]. - The company reported a significant decline in franchise sales, which dropped 74.26% to ¥31,545,411.58, representing 22.81% of total revenue[47]. - Online sales decreased by 23.52% to ¥1,340,336.54, accounting for 0.97% of total revenue[47]. Strategic Initiatives - The company plans to focus on expanding its online sales channels, aiming for a 30% increase in e-commerce revenue in 2023[15]. - Future guidance includes a projected revenue growth of 10% for 2023, driven by new product launches and market expansion efforts[15]. - The company is exploring potential mergers and acquisitions to enhance its market position, with a focus on complementary brands[15]. - The company aims to enhance its direct sales model and expand its new retail business to improve overall sales performance[38]. - The company plans to upgrade its clothing business comprehensively, focusing on expanding the men's clothing market and enhancing product competitiveness[92]. Market Challenges - The company faces risks including macroeconomic fluctuations and operational challenges, which may impact future performance[5]. - The retail sales of clothing and textile products in China decreased by 7.7% in 2022, indicating a challenging market environment[32]. - The company recognizes the challenges in the textile industry but remains optimistic about growth opportunities driven by policy support and consumer recovery[90]. - The company faces market competition risks due to a crowded menswear market, which may impact revenue if consumer confidence does not recover[99]. - Rising labor costs pose a risk to profitability, with the minimum wage in Shaoxing adjusted to 2,070 RMB per month, necessitating improved management efficiency and talent retention strategies[100]. Governance and Compliance - The company strictly adheres to information disclosure regulations, ensuring timely and accurate information is available to all shareholders[108]. - The company maintains complete independence from its controlling shareholders in terms of assets, personnel, finance, and operations, with no related party transactions[110]. - The company has a complete and independent organizational structure, ensuring clear responsibilities and workflows among its governance bodies[111]. - The company is under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure laws, which reflects issues with timely information disclosure[157]. - The company faced administrative penalties for failing to disclose important information in a timely manner, leading to regulatory actions[195]. Operational Efficiency - The company is focused on creating a "Bosen Fashion Industry Ecosystem" to diversify its product offerings[93]. - The company aims to implement a new retail strategy and introduce new technologies and supply chain models to strengthen its existing men's clothing business[93]. - The company will focus on optimizing its operational efficiency through improved management systems in merchandise, retail, performance, and supply chain[94]. - The company is actively forming a market expansion team to enhance its direct sales model and improve brand recognition in the men's clothing sector[180]. - The company plans to optimize its management structure to reduce operational costs and improve efficiency[180]. Human Resources - The total number of employees at the end of the reporting period was 578, with 604 employees receiving compensation[140]. - The company has established a comprehensive compensation management system, including fixed salary, performance pay, and welfare allowances[141]. - The total hours of outsourced labor amounted to 198,704 hours, with total payments for outsourced labor reaching ¥5,103,422.58[144]. - The company conducted annual training programs covering various aspects, including management skills and professional knowledge[143]. - The management team has extensive experience in the textile and apparel industry, which is crucial for the company's operational success[121]. Future Outlook - The company plans to invest in new technologies to streamline operations and reduce costs in the upcoming fiscal year[116]. - The company has set a performance guidance for 2023, targeting a revenue growth of approximately 5%[116]. - The company is committed to sustainability initiatives, aiming to reduce its carbon footprint and improve supply chain transparency[116]. - The company aims to improve user engagement and retention through enhanced customer service and marketing strategies[116]. - The company is exploring new strategies for market expansion and product development to drive future growth[198].