Securities code: 002157 securities abbreviation: Jiangxi Zhengbang Technology Co.Ltd(002157) Announcement No.: 2022-009 bond Code: 112612 bond abbreviation: 17 Zhengbang 01
Bond Code: 128114 bond abbreviation: Zhengbang convertible bond
Jiangxi Zhengbang Technology Co.Ltd(002157)
2021 annual performance forecast
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
1、 Expected performance of the current period
1. Performance forecast period: January 1, 2021 to December 31, 2021
2. Expected performance in 2021: the expected net profit is negative.
The current reporting period of the project: from January 1, 2021 to December 31, 2021, the same period of last year
Loss attributable to listed companies: 18.2 million yuan – 1970 million yuan; Profit: 574413.71; net profit of shareholders decreased by 416.84% – 442.96% over the same period of last year
Net profit after deducting non recurring losses: 17.3 million yuan – 1.88 million yuan; Profit: 599511.90 profit: 388.57% – 413.59% yuan over the same period of last year
Basic earnings per share loss: 5.8002 yuan / share – 6.2782 yuan / share earnings: 2.2871 yuan / share
Operating income: 46.5 million yuan – 49.5 million yuan 49166354 million yuan
Operating income after deduction: RMB 46.4 million – RMB 49.4 million, RMB 490445672 million
2、 Communication with accounting firms
The company has pre communicated with the accounting firm responsible for the audit of the company’s annual report on matters related to the performance forecast, and there is no significant difference between the company and the accounting firm in this performance forecast.
This performance forecast has not been pre audited by certified public accountants.
3、 Explanation of performance change reasons
1. During the reporting period, the company sold 14.9267 million pigs, a year-on-year increase of 56.14%. Due to the decline of pig market price in China, the company’s average single head sales price was 16.60 yuan / kg, a year-on-year decrease of 16.10 yuan / kg, and the single head income decreased by 1653 yuan. The increase of sales volume combined with the decrease of sales price affected the profit of 8.873 billion yuan. The company has a single industry and its profit contribution is mainly pig breeding business. Compared with diversified companies, it is more affected by pig cycle.
2. From 2019 to 2020, due to the impact of the epidemic, the total number of sows in China decreased sharply. In order to ensure supply and obtain profits, the company expanded rapidly by outsourcing high-priced sows. During the reporting period, thanks to the rapid increase of the company’s own sows and the continuous decline of pig prices in China, the company made a strategic transformation from rapid development to high-quality development. It not only disposed of the inefficient sows purchased at high prices in the early stage, but also further optimized the population in order to improve the efficiency of sows, optimize resources, reduce costs and ensure the safety of funds, A total of 2.2 million dead Amoy fertile sows and reserve sows, with a loss of 6.2-6.8 billion yuan. At the end of the reporting period, the company had 380000 breeding sows, 220000 reserve sows and 100000 GGP + GP in total.
3. From 2019 to 2020, the whole industry was in a state of rapid expansion. The company significantly and rapidly increased the pig production capacity through self construction, transformation and leasing. However, affected by the continuous decline of pig prices in the Chinese market and the epidemic situation during the reporting period, the overall capacity utilization rate of the company was low, resulting in losses such as depreciation of vacant fences, and the inefficient and uneconomical rental farms were cleared, As a result, the losses of prepaid rent, return compensation and materials of the leased field are about 1.5 billion yuan in total.
4. During the reporting period, the company accrued inventory falling price reserves in accordance with the relevant provisions and requirements of the accounting standards for business enterprises. Inventories are measured at the lower of cost and net realizable value. Net realizable value refers to the estimated selling price of each region minus the expected costs and related expenses of pigs on hand to the listing date. When its net realizable value is lower than the cost, the inventory falling price reserve is withdrawn. Due to the impact of the pig cycle, the pig price remained depressed in 2021, and the net realizable value was lower than the cost. The company made a total of about 1.2 billion yuan.
5. During the reporting period, the company’s amortized equity expenses totaled about 280 million yuan, as follows: the company’s reserved stock option and restricted stock incentive plan in 2018 unlocked 2.705 million shares during the reporting period, and the amortized expenses were about 30 million yuan; The first restricted stock incentive plan in 2019 unlocked 23.0400 shares during the reporting period, and the amortization expense was about 56 million yuan; In 2019, the reserved restricted stock incentive plan unlocked 1.535 million shares during the reporting period, and the amortization expense was about 10 million yuan; In 2021, the stock option and restricted stock incentive plan were terminated due to the company’s failure to meet the assessment performance. According to the accounting standards: if the granted equity instruments are cancelled during the waiting period, the enterprise shall treat the cancelled equity instruments as accelerated exercise, and immediately include the amount to be recognized in the remaining waiting period into the current profit and loss, with an amortization expense of about 186 million yuan.
6. During the reporting period, due to the serious epidemic situation in the north of the Yangtze River, the overall breeding performance was poor and the death of pigs was serious. Subsequently, based on the consideration of too large management radius and the overall layout of the company, the scale of the northern market will be further reduced.
4、 Risk tips and other instructions
1. The overall capital situation of the company is good. The breeding business sector of the company adopts the cash sales method. The sales of live pigs are collected quickly, and the liquidity of biological assets is strong. The sales outside the feed business sector are stable, which can provide continuous cash inflow. The company’s overall cash flow is stable, and there is no risk of capital chain rupture. The company will reasonably arrange the business plan and development rhythm on the premise of ensuring its own cash flow safety;
2. The information disclosure media currently designated by the company are securities times, Securities Daily, Shanghai Securities News and cninfo（ http://www.cn.info.com.cn. ）；
3. This performance forecast is the result of the company’s preliminary calculation, and the specific financial data will be disclosed in detail in the company’s 2021 annual report. Please make careful decisions and pay attention to investment risks.
It is hereby announced.
Jiangxi Zhengbang Technology Co.Ltd(002157) board of directors
January 29, 2002
