On April 16, Great-Sun Foods Co.Ltd(603336) released its annual report for 2021, which showed that the company’s revenue in 2021 was 974 million yuan, a year-on-year increase of 1.06%, and the net profit was 469854 million yuan, a year-on-year decrease of 35.78%.
For the decline in net profit, Great-Sun Foods Co.Ltd(603336) said that the main reason was the decline in the unit price of fruit sales during the reporting period; Fixed depreciation and amortization increased, production and manufacturing costs increased, resulting in a decline in gross profit margin; The new food, grain and oil business is in the early stage of business promotion, has not formed a scale effect, and has a negative gross profit.
Great-Sun Foods Co.Ltd(603336) said that during the reporting period, the company cut into the quick-frozen food and grain and oil industry, carried out the R & D, production, sales, cold chain warehousing and distribution of quick-frozen food and the blending, processing and filling business of edible oil, and gradually expanded the business that can play a synergistic role with the main business. As of the end of the reporting period, the newly developed business has not yet formed a scale, the overall operating revenue accounts for a relatively small proportion, and the company’s main business has not changed significantly.
The annual report also shows that Great-Sun Foods Co.Ltd(603336) has the risk of inventory depreciation or unsalable Great-Sun Foods Co.Ltd(603336) explained that due to the obvious seasonality and regionality of fruit and vegetable products, some fruit and vegetable products have the anti seasonal sales characteristics of centralized procurement in peak season and gradual digestion after harvest. During the digestion period of off-season sales, due to the continuous change of market conditions, there may be risks such as the decline of fruit and vegetable product prices and the reduction of profit space; Or because of the change of residents’ consumption tendency, the products are unsalable. If the market changes sharply and the shelf life of fruit and vegetable products is limited, the company may face the risk of devaluation, unsalable or low price disposal of inventory products.
It is reported that Great-Sun Foods Co.Ltd(603336) was founded on December 10, 1992 and listed on the Shanghai Stock Exchange in November 2016. Its main business includes planting management, post harvest acquisition, origin pre cooling, frozen storage, pre selection and grading, processing and packaging, cold chain distribution, etc. of fruit and vegetable products.
