Jingjia Corporation Expects 70-80% Profit Decline in 2022

Feb.06.2023
Jingjia Corporation Expects 70-80% Profit Decline in 2022
Packaging company Jinka's 2022 net profit may fall 70-80% YoY due to macroeconomic factors, reduced sales and asset write-offs.

Recently, Jingjia Co., Ltd. released a earnings forecast, stating that the net profit attributable to shareholders of the listed company is expected to be approximately RMB 204 million to 306 million in 2022, representing a year-on-year decrease of 70% to 80%.


Source Image: Jingjia Corporation


The main reason for the change in performance is:


Due to factors such as fluctuations in the global and domestic macroeconomic conditions and increased competition in the market, the sales and prices of the company's primary products have experienced a decline, leading to a decrease in profitability.


According to Regulation No. 8 on Accounting Supervision Risk Warning - Impairment of Goodwill, and taking into account factors such as market competition and actual operational conditions, the company will provision for impairment of goodwill in the asset group of its subsidiary, Jiangsu Shuntai Packaging Printing Technology Co., Ltd., based on the principle of prudence. The estimated amount provisioned is between RMB 300 million and RMB 400 million.


During this reporting period, the estimated amortization of share-based compensation expenses resulting from the implementation of a restricted stock incentive plan amounted to 66.16 million RMB, with an expected amount of 17.73 million RMB for the year 2021.


In 2021, the company changed the classification of its equity holdings in Shenzhen Huada Beidou Technology Co., Ltd. from long-term investments to financial assets held for trading, which were subsequently measured at fair value. This resulted in investment income and fair value changes amounting to RMB 94,521.5 million, which is considered as non-recurring gains and losses. It is expected that the impact of these gains on the current reporting period will be minimal.


In 2021, the company gained investment returns of RMB 58.48 million due to the step-by-step merger of Qingdao Inno Packaging Technology Co., Ltd., and an investment return of RMB 21.12 million from the disposal of equity in Qingdao Jiayi Ze Printing and Packaging Co., Ltd. These incomes were classified as non-recurring gains and losses and were not applicable in this reporting period. The fair value changes of the original equity were included in the investment income amount.


Shenzhen Jinjia Group is a leading modern large-scale comprehensive packaging industry group in China, with top production scale, research and innovation capabilities, and core competitiveness. The company currently has 18 production bases nationwide, producing high-tech and high value-added tobacco labels and products, premium packaging for well-known consumer brands, and new packaging materials such as laser paper/film and tobacco film.


References:


Shenzhen Jingjia Group Co., Ltd. releases 2022 performance forecast.



Disclaimer

This article is provided solely for professional research, industry discussion, and informational purposes. Any references to brands, companies, products, technologies, or policies are made for factual reporting and analytical purposes only, and do not constitute endorsement, recommendation, promotion, or advertising by 2Firsts.

Nicotine-containing products, including but not limited to cigarettes, e-cigarettes, heated tobacco products, and nicotine pouches, carry significant health risks. Readers are responsible for complying with all applicable laws and regulations in their respective jurisdictions, including age restrictions and access limitations.

The information contained in this article should not be regarded as investment, legal, medical, regulatory, or commercial advice. While 2Firsts strives to ensure the accuracy and reliability of its content, it does not assume liability for any direct or indirect loss arising from errors, omissions, inaccuracies, or reliance on the information contained herein.

This article is not intended for individuals below the legal age for accessing tobacco or nicotine-related information in their jurisdiction.

 

Copyright Notice

This article is either original content produced by 2Firsts or content reproduced, translated, summarized, or adapted from third-party sources with attribution where applicable. The intellectual property rights of the original content remain with 2Firsts or the respective original rights holders.

No individual or organization may copy, reproduce, distribute, republish, modify, translate, or otherwise use this content without prior authorization. Any unauthorized use may result in legal action.

For copyright-related inquiries, corrections, or removal requests, please contact: info@2firsts.com.

 

AI-Assisted Translation and Editing Notice

Portions of this article may have been translated, edited, or reviewed with the assistance of artificial intelligence tools to improve efficiency and readability. Due to the limitations of AI-assisted translation and editing, discrepancies, omissions, or inaccuracies may exist when compared with the original source.

Where applicable, readers are advised to refer to the original source for the most complete and accurate information. If you identify any errors or believe that any content infringes upon your rights, please contact us at info@2firsts.com, and we will review and address the matter promptly.

Reuters: India Seeks to Dismiss Adani Nicotine Pouch Challenge as Mumbai Airport Dispute Moves to Court
Reuters: India Seeks to Dismiss Adani Nicotine Pouch Challenge as Mumbai Airport Dispute Moves to Court
Reuters reported on July 13, 2026, that India is seeking to dismiss Adani Airports’ legal challenge over nicotine pouch sales at Mumbai International Airport’s duty-free shops. Adani denies wrongdoing and argues that existing drug and cosmetics regulations do not apply to duty-free sales or nicotine pouches.
Innovation
Jul.14 by 2Firsts Perspectives
WIRED Investigation: Chinese-Made Vapes Turn to 6-Methyl-Nicotine and Other Analogs, Challenging U.S. Regulation
WIRED Investigation: Chinese-Made Vapes Turn to 6-Methyl-Nicotine and Other Analogs, Challenging U.S. Regulation
U.S. technology and investigative publication WIRED has examined how nicotine analogs are emerging as a new challenge for the country’s vape regulatory framework. The article argues that after the U.S. expanded federal oversight of nicotine products in 2022, some manufacturers began using nicotine-like compounds such as 6-methyl-nicotine that may fall outside existing definitions. Researchers cited by WIRED said some nicotine analogs could be more potent than traditional nicotine, although human health impacts remain unclear. U.S. policymakers are considering broader definitions of nicotine to bring these compounds under federal oversight.
Jul.27
UK PM Andy Burnham Shifts Business Rates Policy, Supporting Hospitality While Raising Pressure on Vape Shops
UK PM Andy Burnham Shifts Business Rates Policy, Supporting Hospitality While Raising Pressure on Vape Shops
UK Prime Minister Andy Burnham’s government is adjusting business rates policy to support hospitality businesses while some other sectors, including vape retailers, face higher operating cost pressures. According to Streamline Feed, AJ Bell and other reports, the policy shift reflects a redistribution of business rate burdens as the government seeks to support sectors facing economic pressure. For UK vape shops, the change comes amid a broader regulatory environment shaped by the disposable vape ban, the upcoming Vaping Products Duty and increased compliance requirements.
News
Jul.24
California Lawmakers Pass Disposable Nicotine Vape Ban, With Sales Prohibition Set for 2028
California Lawmakers Pass Disposable Nicotine Vape Ban, With Sales Prohibition Set for 2028
According to CBS Los Angeles on August 27, 2026, California lawmakers have passed Assembly Bill 762, which would phase out disposable, battery-embedded nicotine vapes in the state. If signed by Governor Gavin Newsom, manufacturing and importation of the covered products would be prohibited beginning January 1, 2027, followed by a sales ban on January 1, 2028. Driven primarily by concerns over electronic waste, lithium-battery fires and environmental pollution, the legislation would further shift California’s legal vape market toward rechargeable, refillable or replaceable-pod devices.
Aug.28
 PMI Opens Generative AI Center in Portugal to Support Global Operations
PMI Opens Generative AI Center in Portugal to Support Global Operations
According to information released by Portugal’s Trade & Investment Agency (AICEP) in July 2026, Philip Morris International (PMI) has established a global Generative Artificial Intelligence Factory (GenAI Factory) at its Portuguese subsidiary Tabaqueira. The center will support PMI’s global operations by developing and deploying AI solutions focused on industrial process optimization, data analytics, operational automation and AI application development. The initiative strengthens Portugal’s role in PMI’s global technology and innovation network.
Aug.27
Florida Governor DeSantis Expands TANF Restrictions, Blocking Welfare Benefits From Buying Tobacco and Vapes
Florida Governor DeSantis Expands TANF Restrictions, Blocking Welfare Benefits From Buying Tobacco and Vapes
Florida Governor Ron DeSantis announced an expansion of Temporary Assistance for Needy Families (TANF) restrictions that would prohibit Electronic Benefit Transfer (EBT) funds from being used to purchase tobacco and vaping products. The state will amend its TANF State Plan and submit the changes for federal approval. Florida officials said the restrictions would not affect eligibility for temporary cash assistance or the amount of benefits received, but would change how funds can be spent.
Aug.25