Yanghe(002304)2024-04-26 17:44Financial Performance - Revenue for 2023 reached 33.13 billion yuan, a year-on-year increase of 10.04%[11] - Net profit attributable to shareholders was 10.02 billion yuan, up 6.80% compared to the previous year[11] - Operating cash flow surged by 68.06% to 6.13 billion yuan[11] - Basic earnings per share (EPS) stood at 6.6487 yuan, reflecting a 6.80% growth[11] - Adjusted net profit (excluding non-recurring items) rose by 6.10% to 9.84 billion yuan[11] - Revenue for 2023 reached 33.126 billion yuan, a year-on-year increase of 10.04%[19] - Net profit attributable to shareholders of the listed company was 10.016 billion yuan, a year-on-year increase of 6.8%[19] - Total operating revenue for 2023 reached RMB 32.49 billion, a year-on-year increase of 10.13%[23] - Revenue in 2023 reached 33.126 billion yuan, a year-on-year increase of 10.04%, with net profit attributable to shareholders of 10.016 billion yuan, up 6.8% year-on-year[37] - Total revenue for 2023 reached 33.13 billion yuan, a 10.04% increase from 30.10 billion yuan in 2022[197] - Net profit attributable to the parent company increased by 9.87% to 48.75 billion yuan in 2023 from 44.36 billion yuan in 2022[193] - Net profit attributable to parent company shareholders reached RMB 10,015,930,040.27, an increase from RMB 9,377,865,479.41 in the previous year[198] - Total comprehensive income amounted to RMB 10,020,815,498.62, up from RMB 9,397,295,367.62 in the prior year[199] - Basic earnings per share increased to RMB 6.6487 from RMB 6.2252 in the previous year[199] - Operating income for the parent company rose to RMB 13,212,200,864.23 from RMB 11,492,807,889.95 in the previous year[200] - Investment income for the parent company increased to RMB 6,555,756,927.65 from RMB 5,820,859,899.66 in the prior year[200] - Interest income for the parent company grew to RMB 718,317,862.75 from RMB 601,536,203.50 in the previous year[200] - Total profit for the company reached RMB 13,217,833,119.07, up from RMB 12,503,283,891.37 in the prior year[198] - Income tax expense increased to RMB 3,197,064,562.60 from RMB 3,113,849,969.51 in the previous year[198] - Operating profit rose to RMB 13,242,569,628.49 from RMB 12,509,205,260.39 in the prior year[198] Asset and Liability Management - Total assets increased by 2.68% to 69.79 billion yuan at the end of 2023[11] - Shareholders' equity grew by 9.40% to 51.94 billion yuan[11] - Total assets increased to 69.79 billion yuan in 2023, up from 67.97 billion yuan in 2022[191][192] - Cash and cash equivalents rose to 25.81 billion yuan in 2023, compared to 24.38 billion yuan in 2022[191] - Inventory grew to 18.95 billion yuan in 2023, up from 17.73 billion yuan in 2022[191] - Long-term equity investments surged to 1.23 billion yuan in 2023, a significant increase from 32.98 million yuan in 2022[191] - Fixed assets decreased to 5.31 billion yuan in 2023, down from 5.79 billion yuan in 2022[191] - Construction in progress nearly doubled to 1.46 billion yuan in 2023, up from 757.15 million yuan in 2022[191] - Total current liabilities decreased to 17.18 billion yuan in 2023, down from 19.93 billion yuan in 2022[192] - Contract liabilities declined to 11.10 billion yuan in 2023, compared to 13.74 billion yuan in 2022[192] - Accounts receivable dropped significantly to 3.53 million yuan in 2023, down from 45.14 million yuan in 2022[191] - Other current assets increased substantially to 1.02 billion yuan in 2023, up from 129.69 million yuan in 2022[191] - Total assets grew by 2.68% to 69.79 billion yuan in 2023 compared to 67.97 billion yuan in 2022[193] - Total liabilities decreased by 13.23% to 17.74 billion yuan in 2023 from 20.45 billion yuan in 2022[193] - Inventory increased by 6.48% to 12.30 billion yuan in 2023 from 11.55 billion yuan in 2022[194] - Long-term equity investments grew by 16.50% to 9.53 billion yuan in 2023 from 8.18 billion yuan in 2022[194] - Contract liabilities decreased by 8.19% to 16.05 billion yuan in 2023 from 17.49 billion yuan in 2022[195] - Cash and cash equivalents decreased slightly by 0.66% to 23.08 billion yuan in 2023 from 23.23 billion yuan in 2022[194] - Total equity attributable to the parent company increased by 9.40% to 51.94 billion yuan in 2023 from 47.48 billion yuan in 2022[193] Liquor Sales and Product Categories - Revenue from high-end and mid-range liquor products was 28.539 billion yuan, an increase of 8.82% year-on-year[22] - Revenue from ordinary liquor products was 3.95 billion yuan, an increase of 20.70% year-on-year[22] - The company's products are divided into high-end, mid-range, and ordinary liquor, with high-end and mid-range liquor priced at or above 100 yuan per 500ml[21] - Revenue from high-end and mid-range liquor products increased by 8.82% to RMB 28.54 billion, maintaining a gross margin of 80.26%[23] - The liquor industry accounted for 98.08% of total revenue, with sales of 32.489 billion yuan, a year-on-year increase of 10.13%[39] - White liquor sales accounted for 97.78% of total revenue, reaching 32.39 billion yuan, a year-on-year increase of 10.40%[39] - Red wine sales decreased by 37.99% year-on-year, with revenue of 99.85 million yuan[39] - The company's total sales volume decreased by 14.93% year-on-year to 166,154.73 tons[42] - Red wine sales volume decreased by 30.10% year-on-year to 1,682.34 tons, with production volume decreasing by 41.05%[42] - The company's inventory volume decreased by 15.74% year-on-year to 39,176.04 tons[42] Sales Channels and Distribution - The company's main sales model is offline distribution, supplemented by online direct sales[22] - Wholesale distribution revenue accounted for RMB 32.05 billion, up 10.12% year-on-year, with a gross margin of 76.17%[23] - Online direct sales revenue grew by 11.25% to RMB 436.81 million, but gross margin decreased by 6.90% to 71.70%[23] - Revenue from outside the province accounted for 55.70% of total revenue, reaching 18.451 billion yuan, a year-on-year increase of 11.75%[39] - Wholesale distribution accounted for 96.76% of total revenue, reaching 32.053 billion yuan, a year-on-year increase of 10.12%[39] - Online direct sales revenue reached 436.81 million yuan, a year-on-year increase of 11.25%[39] - The number of distributors outside the province increased by 568 to 5,829, while the number of distributors within the province decreased by 17 to 2,960[24] Research and Development - Research and development expenses increased by 12.30% year-on-year, reaching 284,753,881.33 yuan[50] - R&D investment in 2023 increased by 11.87% to 291,491,760.35 yuan, accounting for 0.88% of revenue[55] - The number of R&D personnel increased by 7.67% to 632, with a 11.61% increase in bachelor's degree holders[54] - The company's R&D projects focus on improving product quality and comfort, with key milestones expected by 2024[54] - Capitalized R&D expenditure decreased by 3.48% to 6,737,879.02 yuan, with a lower capitalization rate of 2.31%[55] Environmental and Social Responsibility - The company integrates environmental protection into its development strategy, promoting green brewing and ecological practices[80] - The company's wastewater discharge concentrations are within the permitted limits, with no cases of exceeding standards reported[136] - Jiangsu Yanghe Brewery's wastewater treatment station processed 1.701 million tons of wastewater in 2023, with COD reduction of 14,736.97 tons, ammonia nitrogen reduction of 227.37 tons, total nitrogen reduction of 387.27 tons, and total phosphorus reduction of 168.05 tons[137] - Jiangsu Shuanggu Distillery's wastewater treatment station processed 805,500 tons of wastewater in 2023, with COD reduction of 7,099.79 tons, ammonia nitrogen reduction of 101.96 tons, total phosphorus reduction of 56.528 tons, and total nitrogen reduction of 158.76 tons[138] - Guizhou Guijiu Group's wastewater treatment station processed 68,000 tons of wastewater in 2023, with COD reduction of 335.91 tons, ammonia nitrogen reduction of 8.74 tons, total nitrogen reduction of 19.53 tons, and total phosphorus reduction of 2.25 tons[138] - Jiangsu Yanghe Brewery invested 96 million yuan in its wastewater treatment station, which covers 19,000 square meters and has a daily treatment capacity of 10,000 tons[137] - Jiangsu Shuanggu Distillery invested 42.5 million yuan in its wastewater treatment station, which covers 15,000 square meters and has a daily treatment capacity of 5,400 tons[138] - Guizhou Guijiu Group invested 18.5 million yuan in its wastewater treatment station, which covers 1,980 square meters and has a daily treatment capacity of 700 tons[138] - Jiangsu Yanghe Brewery's biogas boilers produced 150,000 tons of steam in 2023, generating economic benefits of 26.6 million yuan[137] - Jiangsu Shuanggu Distillery's biogas boilers produced 37,600 tons of steam in 2023[138] - Jiangsu Yanghe Brewery's Siyang branch produced 91,600 tons of steam in 2023, generating economic benefits of 17.98 million yuan[138] - The company invested 62.58 million yuan in sewage operation and environmental management in 2023 and paid 663,100 yuan in environmental protection tax[140] - The company donated 10 million yuan to support disaster relief and reconstruction efforts in Zhuozhou City, Hebei Province, following the flood disaster[143] - The company donated 10 million yuan to support earthquake relief and post-disaster youth assistance in Jishishan County, Gansu Province[143] - The company launched the "Dream Blue China Aerospace Fund Scholarship" to support aerospace talent development[143] - The company initiated the "Dunhuang Protection Plan" in collaboration with the Dunhuang Grottoes Protection Research Foundation of China[143] - The company implemented the "Village-Enterprise Co-construction" project, supporting agricultural product sales and rural development in Zhangdu Village[143] - The company established the "Weekend Haircut Room" in Zhangdu Village as part of its rural revitalization efforts[143] - The company organized the "Sorghum Harvest Festival" to promote high-quality grain cultivation and rural prosperity[143] - The company provided one-on-one assistance to low-income and special hardship families in Qiuzhuang Village[143] Corporate Governance and Leadership - The company's board of directors consists of 11 members, including 4 independent directors, ensuring compliance with legal requirements[79] - The company's supervisory board has 5 members, including 2 employee representatives, maintaining legal compliance[79] - The company held its 2022 annual general meeting with a 76.67% investor participation rate on May 31, 2023[83] - The 2023 first extraordinary general meeting had a 66.23% investor participation rate on September 15, 2023[84] - The company maintains independence in business, personnel, assets, organization, and finance from its controlling shareholder[82] - The company has established a transparent performance evaluation and incentive mechanism for management[79] - The company emphasizes investor relations management, ensuring equal information access for all shareholders[80] - The company continuously improves its internal control systems to enhance governance and risk management[81] - The company ensures no significant differences between its governance practices and regulatory requirements[81] - Chairman Zhang Liandong has been in office since February 23, 2021, with a term ending on April 2, 2027, and holds 0 shares[85] - Vice Chairman and President Zhong Yu has been in office since February 10, 2015, with a term ending on April 2, 2027, and holds 0 shares[85] - Director Wang Kai holds 2,400 shares, with no changes in shareholding during the reporting period[85] - Director Zheng Bujun holds 45,000 shares, with no changes in shareholding during the reporting period[85] - Liu Huashuang resigned as Director and Executive President on February 24, 2023, due to personal reasons[89] - Chen Taisong was appointed as Vice President on November 10, 2023, after resigning as Supervisor due to work adjustments[90] - Lin Qing was elected as Chairman of the Supervisory Committee on April 2, 2024, after resigning as Vice President due to work adjustments[90] - Zheng Bujun was elected as Director on April 2, 2024, after resigning as Vice President due to work adjustments[90] - Fan Xiaolu, Chen Taisong, Zhang Xueqian, and Song Zhimin were appointed as Vice Presidents on November 10, 2023[90] - Zhang Liandong, born in September 1968, is the current Chairman and Party Secretary of the company, with extensive experience in government and corporate leadership[92] - Zhong Yu, born in May 1964, serves as the Vice Chairman and President, holding multiple prestigious titles including China Brewing Master and Senior Engineer[92] - Yang Weiguo, born in January 1974, is the Chairman of Jiangsu Yanghe Group and Jiangsu Shuanggu Group, with a background in government and media roles[93] - Wang Kai, born in August 1977, is a Director and Deputy General Manager of Shanghai Haiyan Logistics Development Co., Ltd., with experience in brand management and logistics[93] - Chen Jun, born in January 1976, is the Vice President and Director, with a strong background in finance and government roles[93] - Zheng Bujun, born in January 1967, is a Director and General Manager of the Siyang Branch, with extensive experience in corporate management and logistics[93] - Dai Jianbing, born in September 1971, is a Director and Deputy General Manager of Sujiu Group Trade Co., Ltd., specializing in sales and regional management[93] - Nie Yao, born in June 1977, is an Independent Director and a Professor at Jiangnan University, with expertise in biotechnology and academia[93] - Lu Guoping, born in March 1960, is an Independent Director and a Professor at Nanjing Audit University, with a focus on accounting and corporate governance[93] - Lin Qing, born in May 1975, is the Chairwoman of the Supervisory Board and Vice Chairman of Sujiu Group Trade Co., Ltd., with a background in finance and government[94] - Company executives include Zhong Yu (President), Chen Jun (Vice President), Yin Qiuming (Vice President and CFO), Li Yuling (Vice President), Fan Xiaolu (Vice President), and Chen Taisong (Vice President)[96] - Zhang Xueqian serves as Vice President and Product Director, while Song Zhimin is Vice President and Management Director[97] - Lu Hongzhen holds the position of Board Secretary and HR Deputy Director[97] - Yang Weiguo is the Chairman of Jiangsu Yanghe Group Co., Ltd., and does not receive remuneration from the shareholder unit[98] - Wang Kai serves as Deputy General Manager of Shanghai Haiyan Logistics Development Co., Ltd., and receives remuneration[98] - Xu Youheng is a Director of Jiangsu Yanghe Group Co., Ltd., and does not receive remuneration[98] - Ma Wenxiang holds multiple positions, including General Manager of Shanghai Jieqiang Tobacco, Sugar & Alcohol (Group) Co., Ltd., and receives remuneration[98] - Xu Youheng also serves as Chairman of multiple companies, including Suqiang Tongji Rural Microfinance Co., Ltd., and does not receive remuneration[100] - The company has executives holding positions in various other units, such as Suqian Industrial Development Group Co., Ltd., and Jiangsu Shuanggu Group Co., Ltd.[99] - The total pre-tax remuneration for directors, supervisors, and senior management in the reporting period was 21,049,300 yuan, with the highest individual remuneration being 1,979,400 yuan for both the Chairman and the Vice Chairman & President[102][103] Shareholder and Investor Relations - The company proposed a cash dividend of 4.66 yuan per 10 shares[2] - Weighted average return on equity (ROE) was 20.34%, slightly down by 0.69 percentage points[11] - The company announced a dividend distribution plan of 4.66 yuan per share, totaling 7.020 billion yuan, as part of