Financial Performance - The company achieved a net profit of CNY 187.65 million for the year 2020, with a total distributable profit of CNY 1.16 billion[5]. - A cash dividend of CNY 1.30 per 10 shares (including tax) is proposed, amounting to a total of CNY 180.88 million for distribution to shareholders[5]. - The company has not proposed any stock dividends or capital reserve transfers for the year[5]. - In 2020, the company's operating revenue was CNY 36,984,103,357.21, an increase of 8.30% compared to CNY 34,148,442,630.41 in 2019[21]. - The net profit attributable to shareholders was CNY 603,044,901.16, a decrease of 55.43% from CNY 1,353,037,508.58 in the previous year[21]. - The basic earnings per share decreased by 61.95% to CNY 0.43 from CNY 1.13 in 2019[22]. - The net cash flow from operating activities increased by 74.64% to CNY 3,183,370,128.95, primarily due to increased cash receipts from sales and VAT refunds[23]. - The company reported a total non-recurring profit and loss of CNY 204,870,761.48 in 2020, compared to CNY 104,752,131.44 in 2019, indicating a year-over-year increase of 95.5%[29]. Assets and Liabilities - Total assets at the end of 2020 were CNY 28,403,068,107.05, representing a 24.01% increase from CNY 22,904,043,411.43 in 2019[21]. - The weighted average return on equity decreased to 5.09% from 15.03% in 2019, a decline of 9.94 percentage points[23]. - The company’s cash and cash equivalents increased by 46.81% to CNY 3.38 billion, attributed to new project launches and increased liquidity[68]. - The asset-liability ratio increased to 57.60%, up by 17.36% from 49.08% in the previous year[174]. - The total number of ordinary shares decreased by 3,464,104 shares, resulting in a total of 1,396,103,680 shares outstanding[165]. Production Capacity and Expansion - The company maintained a production capacity of 5 million tons for civil polyester filament by the end of 2020, with plans to increase this to 6 million tons in 2021, alongside an additional 600,000 tons of polyester staple fiber capacity[34]. - The PTA project reached a production capacity of 5 million tons, which is crucial for the company's vertical integration strategy in the polyester filament industry[35]. - The company plans to expand its PTA capacity to 10 million tons by 2025, with a current expansion project of 4 million tons underway[35]. - The company’s polyester filament production capacity increased from 1.7 million tons in 2014 to 5 million tons in 2020, while PTA project capacity reached 5 million tons[49]. - The company’s PTA project utilized BP's latest technology, reducing solid waste by 95%, greenhouse gas emissions by 65%, and wastewater discharge by 75% compared to traditional methods[49]. Research and Development - Research and development expenses decreased by 11.98% to CNY 602,289,679.87[52]. - The company aims to enhance its R&D spending to 1.2% of main business revenue by 2020, with a 15% annual growth in patent authorizations[74]. - The company applied for 77 patents during the reporting period, with 50 patents granted, including 14 invention patents[81]. - The company has been recognized for its technological innovations, including awards for its flexible production technologies and collaborations with renowned scientists to enhance research capabilities[44]. Environmental Compliance - The company has implemented comprehensive pollution prevention facilities that comply with environmental laws and regulations, ensuring normal operation and maintenance[143]. - Major pollutants from Zhongwei Chemical Fiber include wastewater with COD emissions of 2.4463 tons and SO2 emissions of 28.826 tons, both within the regulatory limits[141]. - The company has engaged third-party monitoring agencies to conduct annual assessments of water, air, and noise pollution, with online monitoring systems connected to government oversight[149]. - The company has demonstrated significant environmental performance through effective pollution control technologies and compliance with emission standards[144]. Corporate Governance and Compliance - The company has committed to not engaging in any competitive activities with its subsidiaries during the reporting period[114]. - The company will ensure that any changes in shareholding will be reported promptly to the stock exchange[115]. - The company has established a framework to ensure that its direct and indirect controlled entities do not engage in competing businesses[118]. - The company’s management will be held accountable for any violations of the commitments made regarding return compensation measures[121]. - The company has appointed several independent directors and executives with extensive experience in academia and industry, enhancing its governance structure[197]. Market Outlook and Strategy - The company anticipates continued market expansion and product development in the upcoming fiscal year[21]. - The company is focusing on green development, aiming to meet national energy consumption and pollution discharge standards by 2020[75]. - The company is positioned to benefit from the expected growth in demand for differentiated and functional polyester fibers[78]. - The company aims to enhance its comprehensive competitiveness through scale expansion, technological innovation, and quality improvement[101].