2023-03-30-深交所-京粮B_2022年年度报告（英文版）_125页_4mb

Hainan Jingliang Holdings Co., Ltd. Annual Report 2022 Summary

• Company and Business Overview: The company is primarily engaged in oils and oilseeds processing, trading, and food processing, operating mainly in Beijing, Tianjin, and Hebei. Major products include soybean oil, rapeseed oil, sunflower seed oil, sesame paste, potato chips, and bread. The company is involved in supplying products to KFC and other food chains.

• Financial Highlights:

  • Total Assets: RMB 6.105 billion (up 0.97% from 2021).
  • Revenue: RMB 12.858 billion (up 9.31%).
  • Net Profit: RMB 141 million (down 30.84%).
  • Cash Flow: Net cash used in operating activities was RMB -533 million.

• Shareholder Structure:

  • Chairman Wang Chunli leads the Board of Directors.
  • Key shareholders: Beijing Grain Group Co., Ltd. (major shareholder) and individual shareholders like Wang Yuecheng.

• Accounting Policies: The company follows Chinese Accounting Standards for Business Enterprises (ASBE), with a focus on revenue recognition, financial instrument measurement, asset impairment, and fair value accounting.

• Significant Risks:

  • Credit Risk: High exposure to customers, with receivables totaling RMB 770 million.
  • Liquidity Risk: High leverage (debt-to-asset ratio over 87%), with significant foreign currency exposure.
  • Market Risk: Interest rate and exchange rate fluctuations could impact financial instruments.

• Related Party Transactions: Extensive dealings with parent company Beijing Grain Group and other affiliated entities, totaling over RMB 5.8 billion in revenue and expenses.

• Dividends and Profit Distribution: No profit distribution planned for 2022, pending shareholder approval. No dividends paid or accrued for the year.

• Material Contracts: Includes lease agreements, share-based payments, and government subsidies, with disclosures related to conditional obligations.

Conclusion: The company faces challenges in profitability but maintains strong asset stability. Foreign currency risk and credit risk are key concerns, while strategic focus on food and oil processing drives revenue growth.