Chunlan(Group) corporation disclosed its annual report on April 27, 2022. The company achieved a total operating revenue of 240 million in 2021, with a year-on-year decrease of 7.7%. The net profit attributable to the parent company was 99.233 million, with a year-on-year increase of 149.1%.
Air conditioner made a great contribution to the revenue in this period
From the perspective of business structure, air conditioner is the main source of business income. Specifically, the operating revenue of air conditioner was 160 million, accounting for 92.1% of revenue and 26.7% of gross profit margin. Real estate accounted for a small proportion of revenue. The business decreased by 79.07% year on year, and the performance shrank rapidly.
Due to the unsatisfying sales volume and production of the company's household air conditioner, as well as its own uneconomical production, the company has suspended the production of household air conditioners since 2016. Instead, according to the market demand, the company has prepared plans to entrust related parties and non-related parties for production. The entrusted products are sold by the company and its subsidiaries in an agent mode. The comprehensive competitive advantage of the company's product market is not prominent, which restricts the shipment of products. The former gross profit margin is lower than the industry average level and makes little contribution to the company's profits.
The company's main products are household room air conditioners, which are widely used in homes, offices and other places. The product provides treated air to the enclosed space through the refrigeration system, air circulation and purification device, which plays a role in regulating the air temperature of the room.
During the period, the expense ratio increased by 2.2%, and the operating cash flow increased by 790.3%
In 2021, the operating cost of the company was 140 million, a year-on-year decrease of 11.3%, which was higher than the decline rate of 7.7% of operating revenue, and the gross profit margin increased by 2.5%. The expense rate during the period was 20%, with an increase of 2.2% over the previous year. Operating cash flow rose 79.3% to 300 million.
