Financial Performance - The net profit attributable to shareholders for 2019 was CNY 72,594,659.69, with a cash dividend distribution of CNY 30,000,000, representing 41.33% of the net profit[7]. - The company reported a revenue of RMB 1.2 billion for the fiscal year 2019, representing a year-over-year growth of 15%[21]. - The gross profit margin for the year was 35%, indicating a stable profitability despite market fluctuations[21]. - The company reported a net profit of RMB 300 million for 2019, with a net profit margin of 25%[21]. - In 2019, the company's operating revenue reached ¥843,990,066.84, an increase of 3.23% compared to 2018[31]. - The net profit attributable to shareholders was ¥72,594,659.69, reflecting a growth of 7.00% year-over-year[31]. - The net cash flow from operating activities significantly increased by 77.70% to ¥74,139,331.83 in 2019[31]. - The company's total assets grew by 88.91% to ¥1,420,672,863.15 at the end of 2019[31]. - The net assets attributable to shareholders surged by 116.00% to ¥1,195,574,996.33 compared to the end of 2018[31]. - Basic earnings per share increased by 8.00% to ¥0.81 in 2019[34]. Dividend Policy - The company plans to distribute a cash dividend of CNY 2.50 per 10 shares (including tax) to all shareholders[7]. - The profit distribution plan has been approved by the board and will be submitted for shareholder meeting approval[7]. - The company does not plan to increase capital reserves or issue bonus shares for the 2019 fiscal year[7]. - The company distributed cash dividends totaling RMB 30 million for the fiscal year 2019, which represents 41.33% of the net profit attributable to shareholders[177]. - For the fiscal year 2018, the company distributed cash dividends of RMB 20.36 million, accounting for 30.31% of the net profit attributable to shareholders[177]. - The proposed cash dividend for 2019 is RMB 2.50 per 10 shares, based on a total share capital of 120 million shares[176]. - The cash dividend for 2018 was RMB 2.26 per 10 shares, based on a total share capital of 90 million shares[177]. - The company has a policy that mandates a minimum cash dividend ratio of 80% for mature companies without significant capital expenditure plans[175]. - The board of directors must consider industry characteristics and development stages when proposing cash dividend policies[175]. Research and Development - The company has allocated RMB 50 million for R&D in advanced gas purification technologies in 2020[21]. - The R&D expenditure as a percentage of operating revenue rose to 3.02%, an increase of 0.38 percentage points from 2018[34]. - The total R&D investment for the period was ¥25,446,617.71, representing 3.02% of the operating revenue[70]. - The number of R&D personnel is 88, accounting for 10.41% of the total workforce[70]. - The ongoing projects had a total investment of ¥25,480,110.95, with the net R&D investment amounting to ¥25,446,617.71 after internal offsets[71]. - The project "Carbonyl Sulfur R&D" has an expected total investment of ¥3,000,000, with a current investment of ¥325,463.20, aiming for 99.95% purity and scalable production[72]. - The project "High Purity Sulfur Dioxide Production R&D" has a current investment of ¥813,309.33, targeting 99.995% purity and scalable production[72]. - The project "High Purity Ethylene R&D" has a current investment of ¥45,666.72, aiming for 99.995% purity and scalable production[75]. - The project "High Purity Carbon Dioxide R&D" has a total expected investment of ¥4,950,000, with a current investment of ¥684,035.26, targeting 99.999% purity and scalable production[78]. - The project "Standard Gas Configuration R&D" has an expected investment of ¥4,500,000, aiming for the production of national secondary standard substances with a gas composition error control within ±0.5%[81]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2022[21]. - A strategic acquisition of a local competitor is under consideration, which could enhance market competitiveness and operational efficiency[21]. - The company aims for a revenue growth target of 12% for the fiscal year 2020, driven by new product launches and market expansion[21]. - The company is focusing on enhancing its supply chain efficiency, aiming to reduce operational costs by 5% in the upcoming year[21]. - The company is involved in key national scientific research projects, enhancing its technological capabilities in specialty gas production[58]. - The company is actively pursuing both vertical and horizontal development strategies to enhance its market position and product range[164]. - The company aims to achieve over 80% coverage of domestic 8-inch and above integrated circuit manufacturers, having already entered the supply chains of major global semiconductor companies like Intel and Micron[168]. Risk Management - The report includes a detailed description of existing risks in the "Discussion and Analysis of Operating Conditions" section[5]. - The company emphasizes the importance of investor awareness regarding investment risks associated with forward-looking statements[8]. - The company is facing risks related to market competition, product quality, and fluctuations in raw material prices[102][106]. Compliance and Governance - The company has received a standard unqualified audit report from Lixin Certified Public Accountants[6]. - There are no non-operating fund occupations by controlling shareholders or related parties[9]. - The company has no violations of decision-making procedures for external guarantees[9]. - Independent directors and supervisors must review and provide opinions on the profit distribution plan before it is submitted to the shareholders' meeting[175]. - The company has committed to not transferring or entrusting the management of shares held prior to the IPO for 12 months from the listing date[185]. - Major shareholders will not reduce their holdings for 36 months post-IPO, and any reduction thereafter must not be below the issue price[185]. - The company will ensure that any share reduction complies with the regulations of the China Securities Regulatory Commission and the Shanghai Stock Exchange[191]. - The company has established a framework to ensure transparency and fairness in related party transactions, with legal accountability for any manipulation of profits[200].