2025-03-28-深交所-京粮B_2024年年度报告（英文版）_203页_12mb

Hainan Jingliang Holdings Co., Ltd. 2024 Annual Report Summary

Core Content

Hainan Jingliang Holdings Co., Ltd. (hereinafter referred to as the "Company") is a publicly listed company on the Shenzhen Stock Exchange with stock codes 000505 and 200505. The company primarily engages in oils and oilseeds processing and trading, as well as food processing. It operates under multiple well-known brands such as "Gu Chuan", "Lv Bao", "Gu Bi", "Huo Niao", "Xiao Wangzi", "MS Dong", and "Jianqiang de Tudouzai". The company has a significant market presence, with some of its brands ranked among the most valuable in China.

Main Business and Products

Main Business

• Oils and Oilseeds Processing and Trading: The company refines, bottles, markets, imports, and exports raw oils and oilseeds such as sesame, soybean, corn germ, sunflower seeds, and peanuts.
• Food Processing: Focuses on R&D, production, and sales of snack food and bakery products.

Main Products

• Oils and Oilseeds: Includes soybean oil, corn oil, sunflower seed oil, peanut oil, rapeseed oil, flaxseed oil, olive oil, sesame oil, and paste.
• Food Products: Includes chips, pastries, and bread.

Industry Trends

• The vegetable oil processing industry is experiencing growth in niche oils such as sunflower seed oil, tea oil, corn oil, and rice bran oil due to industrial integration and differentiated competition.
• The food processing industry has great potential for integration, driven by diversified consumption demand and product variety, although it is dominated by a few major brands.

Financial Overview

Key Accounting Data and Financial Indicators (Past Three Years)

• Total Assets: Increased by 3.14% from 2023 to 2024, reaching RMB 6,700,959,305.96.
• Equity Attributable to Shareholders: Slightly decreased by -0.76% to RMB 3,143,289,575.69.
• Operating Revenue: Decreased by -3.92% to RMB 11,434,843,516.27.
• Net Profit Attributable to Shareholders: Dramatically dropped by -74.47% to RMB 26,130,520.86.
• Net Cash from Operating Activities: Significantly declined by -199.99% to RMB -109,470,721.95.
• Earnings Per Share (Basic and Diluted): Both decreased by -71.43% to RMB 0.04.
• Weighted Average Return on Equity: Declined from 4.73% in 2022 to 0.83% in 2024.

Quarterly Financial Highlights

• Operating Revenue: Varied significantly across quarters, with the highest in Q1 and lowest in Q4.
• Net Profit Attributable to Shareholders: Negative in Q4, with a notable decline in Q2.
• Net Cash from Operating Activities: Fluctuated greatly, with a significant negative value in Q2.

Shareholder Information

• Number of Ordinary Shareholders: Increased from 52,377 to 52,981.
• Preferred Shareholders: None in the reporting period.
• Top 10 Shareholders:
  • Beijing Grain Group Co., Ltd.: Holds 39.68% of shares.
  • Beijing State-Owned Capital Operation and Management Company Limited: Holds 6.67%.
  • Wang Yuecheng: Holds 5.43%.
  • Zhao Jin, Zhang Min, Chen Tianhua, Tong Zhenzhu, Kong Jiehua, and others: Hold less than 5% each.
• Shareholder Relationships:
  • Beijing Grain Group is indirectly owned by Beijing State-Owned Capital Operation and Management Company Limited.
  • Wang Yuecheng resigned from a senior position but still holds shares in the company.

Bonds and Financial Indicators

• Outstanding Bonds: One corporate bond issued in 2023, with a balance of RMB 30,000,000 and an interest rate of 2.88%.
• Key Financial Indicators (2023–2024):
  • Asset-liability Ratio: Increased from 44.97% to 47.61%.
  • Net Profit After Non-recurring Items: Decreased by -112.80% to RMB -10,722,700.
  • EBITDA’s Total Debt Ratio: Decreased from 18.20% to 8.91%.
  • Interest Cover Ratio: Declined from 3.26 to 0.87.

Significant Events

• Performance Decline: The company experienced a year-on-year decline in profits due to:
  • Edible Oil Segment: Reduced product prices and increased processing costs.
  • Food Segment: Lower sales and profit margins due to market competition and traditional distribution challenges.
• Impairment Losses: The company recorded impairment losses on assets and estimated liabilities for unresolved litigation to accurately reflect its financial status.

Auditor's Report

• Audit Opinion: The auditor issued an unqualified opinion, confirming that the financial statements were prepared in accordance with applicable accounting standards and fairly present the company's financial position and performance.
• Key Audit Matters:
  • Revenue Recognition: The auditor focused on the accuracy of revenue recognition and conducted procedures such as cutoff testing, analytical procedures, and document verification.
  • Goodwill Impairment: The auditor evaluated the goodwill impairment test, including the assumptions and forecasts used, and confirmed that no impairment was necessary based on the recoverable amount of the asset group.

Conclusion

The report provides a comprehensive overview of Hainan Jingliang Holdings' operations, financial performance, and shareholder structure for the year 2024. The company's financial performance showed a significant decline, primarily due to market pressures and cost increases in the edible oil and food segments. The auditor confirmed the financial statements to be accurate and in compliance with accounting standards. The company has a strong brand presence and continues to operate in a competitive but growing industry.