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.

Data|China’s May Vape Exports Fall 10.3%; January–May Shipments Slip 0.9%
Data|China’s May Vape Exports Fall 10.3%; January–May Shipments Slip 0.9%
China’s vape-related exports fell 10.25% year on year in May 2026, marking a second consecutive monthly decline, although exports recovered modestly from April. January-May exports totaled US$4.018 billion, down 0.86% from a year earlier and broadly in line with 2025 levels.
Special Report
Jun.29
KT&G’s Lil Strengthens Market Lead in Korea as Heated Tobacco Share Reaches 47.4%
KT&G’s Lil Strengthens Market Lead in Korea as Heated Tobacco Share Reaches 47.4%
According to South Korea’s UpKorea, KT&G’s heated tobacco brand Lil reached a 47.4% share of Korea’s heated tobacco stick market in the first quarter of 2026. The company is expanding its next-generation products (NGP) business through product development, technology investment and overseas growth. KT&G reported NGP sales of 890.1 billion won (approximately US$650 million) in 2025, up significantly from 279.3 billion won in 2020. Lil products are now available in 34 markets, while KT&G continues building its technology portfolio through patents and multiple product platforms.
Jul.23
South Korea Rejects 16 Trillion Won Tax-Evasion Claim Over Chinese Synthetic Nicotine
South Korea Rejects 16 Trillion Won Tax-Evasion Claim Over Chinese Synthetic Nicotine
The South Korean government rejected allegations that Chinese synthetic-nicotine e-liquids were linked to about 16 trillion won in tobacco tax evasion, saying China does not ban synthetic nicotine exports and the estimate is difficult to verify, while acknowledging that pre-law synthetic-nicotine inventory is effectively difficult to tax.
Market
Jun.25
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
Product | Geek Bar Expands Meloso Lineup With the Launch of Meloso Max 2
Product | Geek Bar Expands Meloso Lineup With the Launch of Meloso Max 2
Geek Bar has added Meloso Max 2 to its official product lineup, further expanding its disposable vape portfolio. As the latest generation of the Meloso series, the new device introduces upgrades in endurance, device interaction and industrial design while reinforcing Geek Bar’s strategy of offering differentiated disposable products across multiple usage scenarios.
Jun.26
Italy and Greece Oppose Ireland’s Nicotine Product Bill, Raising EU Regulatory Concerns
Italy and Greece Oppose Ireland’s Nicotine Product Bill, Raising EU Regulatory Concerns
Italy and Greece have opposed Ireland’s proposed nicotine product regulations, arguing that the measures could affect EU market coordination and the free movement of products. Ireland plans to introduce stricter rules covering nicotine products including vapes and nicotine pouches, with measures involving packaging, marketing and sales controls. The dispute highlights differences among EU member states between stronger public health protections and maintaining regulatory consistency within the bloc’s single market.
Jul.29