利民化工股份有限公司 2016 年第一季度报告正文 股票代码：002734 股票简称：利民股份 公告编号：2016-042 利民化工股份有限公司 2016 年第一季度报告正文 1 一、主要会计数据和财务指标 公司是否因会计政策变更及会计差错更正等追溯调整或重述以前年度会计数据 利民化工股份有限公司 2016 年第一季度报告正文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人李新生、主管会计工作负责人沈书艳及会计机构负责人(会计主 管人员)侯立立声明：保证季度报告中财务报表的真实、准确、完整。 2 利民化工股份有限公司 2016 年第一季度报告正文 第二节 主要财务数据及股东变化 □ 是 √ 否 | | 本报告期 | 上年同期 | 本报告期比上年同期增减 | | --- | --- | --- | --- | | 营业收入（元） | 254,501,473.18 | 218,262,216.56 | 16.60% | | 归属于上市 ...

Financial Performance - The company's operating revenue for 2015 was CNY 834,544,051.70, representing a 10.10% increase from CNY 757,952,977.85 in 2014[16] - The net profit attributable to shareholders for 2015 was CNY 67,439,600.00, a 39.43% increase compared to CNY 48,366,766.85 in 2014[16] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 63,267,670.97, up 44.56% from CNY 43,767,166.25 in 2014[16] - The net cash flow from operating activities increased by 45.03% to CNY 91,238,821.99 from CNY 62,912,067.78 in 2014[16] - The total assets at the end of 2015 were CNY 1,151,142,023.00, a 23.70% increase from CNY 930,613,000.82 at the end of 2014[17] - The net assets attributable to shareholders increased by 52.43% to CNY 770,917,111.23 from CNY 505,759,249.51 in 2014[17] - The basic earnings per share for 2015 was CNY 0.53, a 6.00% increase from CNY 0.50 in 2014[16] - The diluted earnings per share for 2015 was also CNY 0.53, reflecting the same 6.00% increase from CNY 0.50 in 2014[16] - The weighted average return on equity for 2015 was 9.23%, down from 10.15% in 2014[16] - The company's total revenue for 2015 was ¥834,544,051.70, representing a year-on-year increase of 10.10% compared to ¥757,952,977.85 in 2014[36] - The cost of goods sold for 2015 was ¥779,946,123.86, which is a 9.31% increase from ¥713,517,005.47 in 2014[36] - The gross profit margin for the pesticide segment was 25.11%, up from 22.54% in the previous year, indicating a 2.57% increase[40] - The company’s R&D investment increased by 44.92% to ¥37,538,985.80 in 2015, accounting for 4.50% of total revenue[49] - The company’s revenue from the domestic market was ¥279,251,753.71, a 7.19% increase, while revenue from international markets rose by 11.63% to ¥555,292,297.99[38] - The company reported a total revenue of 1.5 billion RMB for the fiscal year 2015, representing a year-over-year increase of 10%[93] Dividend Policy - The company plans to distribute a cash dividend of CNY 3 per 10 shares to all shareholders, based on a total of 130,000,000 shares[4] - The company emphasizes the importance of maintaining a stable profit distribution policy, prioritizing cash dividends when conditions allow[81] - The company plans to distribute at least 20% of its distributable profits in cash annually, or 60% of the average annual distributable profits over three consecutive years[82] - For the fiscal year 2015, the company proposed a cash dividend of 3.00 CNY per 10 shares, totaling 39,000,000 CNY, which is 100% of the distributable profits[91] - The company reported a net profit of 67,439,600 CNY for 2015, with cash dividends representing 57.83% of the net profit attributable to ordinary shareholders[91] - The company has not proposed any cash dividends for the fiscal year 2013, indicating a shift in dividend policy over the years[88] - The company’s cumulative distributable profits must be positive for cash dividends to be implemented[83] - The company must have a standard unqualified audit report for the financial year to proceed with cash dividends[83] - The company’s cash dividend policy is compliant with its articles of association and shareholder resolutions[86] - The company has established a mechanism for adjusting its profit distribution policy, which requires board approval and shareholder meeting consent[84] - The company has engaged with minority shareholders to gather their opinions on dividend proposals[84] Market Expansion and Strategy - The company expanded its international market presence by establishing a subsidiary in Cambodia and enhancing its operations in East Africa, particularly in Kenya[33] - The company aims to expand its international market presence, particularly in Southeast Asia, the Middle East, and Africa, while also exploring emerging markets in Latin America[74] - The company plans to enhance its core competitiveness and aims for substantial breakthroughs in transformation, innovation, and diversification over the next five years[72] - The company is focusing on technology innovation by establishing an academic workstation and collaborating with universities for the development of new products and clean production technologies[73] - New product development efforts included the introduction of three innovative chemical products, expected to contribute an additional 200 million RMB in revenue[94] - The company plans to issue 32.7543 million A-shares to raise approximately RMB 759.9006 million, with a subscription from controlling shareholder Li Xinsheng amounting to RMB 280.1246 million for 12.0743 million shares[112] Environmental Management - The company is committed to environmental management, having obtained ISO14001 certification and continuously improving its clean production technologies[29] - The company has established wastewater treatment facilities capable of processing 6,000 cubic meters of wastewater daily, ensuring compliance with local discharge standards[128] - The company has implemented a comprehensive environmental management system, achieving ISO9001, ISO14001, and OHSAS18001 certifications[126] - The company has reduced its pollutant emissions and improved resource recycling rates through technological upgrades and clean production practices[131] - The company has a strong focus on environmental protection, adhering to national regulations and implementing various pollution control measures[127] - The company has established a dedicated environmental management organization to oversee compliance and pollution prevention efforts[127] - The company has conducted emergency response drills for hazardous chemical leaks and other environmental incidents to enhance its preparedness[131] - The company has not faced any significant environmental penalties or major pollution incidents during the reporting period[131] Research and Development - The company successfully completed the technical upgrade project for the production of 25,000 tons of complex manganese zinc, significantly improving product quality and yield, reaching world-class standards[32] - The number of R&D personnel rose to 176, a 6.02% increase from 166 in 2014, with R&D personnel now making up 16.15% of the workforce[49] - The company focuses on developing high-end formulations and increasing market share in domestic markets, particularly in differentiated products[33] - The company emphasizes technological innovation and quality management, having achieved ISO9001 certification and developed advanced wastewater treatment technologies[28] Management and Governance - The company has established a comprehensive internal control system to protect the rights of all shareholders and creditors[122] - The company has a performance evaluation system linking senior management's performance directly to their remuneration[163] - The governance structure includes a board of directors, a supervisory board, and specialized committees, with 5 shareholder meetings and 15 board meetings held during the reporting period[172] - The company has maintained a focus on leadership continuity with the appointment of experienced individuals in key positions[153] - The company has a strong emphasis on environmental management, with a dedicated environmental protection department led by a qualified professional[159] - The company has established an independent financial department with a complete financial accounting system, enabling it to make independent financial decisions and conduct tax declarations independently[177] Shareholder Structure - The company has a total share capital of 130,000,000 shares after a capital increase of 55,000,000 shares through a bonus issue[135] - The total number of shareholders holding shares over 5% included Li Ming with 36,465,000 shares (28.05%) and Beijing Shangqi Jiuding Investment Center with 11,895,000 shares (9.15%)[142] - The total number of restricted shares at the beginning of the period was 75 million, with 22.5 million shares released during the period, resulting in 97.5 million restricted shares at the end[138] - The company’s stock was listed on the Shenzhen Stock Exchange on January 27, 2015[139] - The company’s shareholding structure saw significant changes due to the issuance of new shares and the release of restricted shares[140] Risks and Challenges - The company faces risks from market competition, particularly from Indian manufacturers in the fungicide sector, which could impact pricing and profit margins[75] - The company is exposed to raw material price fluctuations, particularly for petrochemical products, which could affect operational costs[75] - The company acknowledges potential risks from environmental regulations and the possibility of certain pesticide products being banned or restricted in international markets[77]

Financial Performance - The company's operating revenue for 2015 was CNY 834,544,051.70, representing a 10.10% increase compared to CNY 757,952,977.85 in 2014[16]. - The net profit attributable to shareholders for 2015 was CNY 67,439,600.00, a 39.43% increase from CNY 48,366,766.85 in the previous year[16]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 63,267,670.97, up 44.56% from CNY 43,767,166.25 in 2014[16]. - The net cash flow from operating activities increased by 45.03% to CNY 91,238,821.99 from CNY 62,912,067.78 in 2014[16]. - The total assets at the end of 2015 were CNY 1,151,142,023.00, a 23.70% increase from CNY 930,613,000.82 at the end of 2014[17]. - The net assets attributable to shareholders increased by 52.43% to CNY 770,917,111.23 from CNY 505,759,249.51 in 2014[17]. - The basic earnings per share for 2015 was CNY 0.53, a 6.00% increase from CNY 0.50 in the previous year[16]. - The weighted average return on equity for 2015 was 9.23%, down from 10.15% in 2014[16]. - The company reported a significant increase in cash flow from operating activities in Q4 2015, amounting to CNY 98.03 million, indicating improved operational efficiency[21]. - The company's total revenue for 2015 was ¥834,544,051.70, representing a year-on-year increase of 10.10% compared to ¥757,952,977.85 in 2014[37]. Dividend Policy - The company plans to distribute a cash dividend of CNY 3 per 10 shares, totaling CNY 39,000,000.00 based on 130,000,000 shares[4]. - The company maintains a stable profit distribution policy, prioritizing cash dividends when conditions allow, to ensure reasonable returns for investors[81]. - The company plans to distribute at least 20% of its distributable profits in cash annually, or 60% of the average annual distributable profits over three consecutive years[83]. - For the fiscal year 2015, the company proposed a cash dividend of 3.00 yuan per 10 shares, totaling 39,000,000 yuan[92]. - The cash dividend for 2014 was also 3.00 yuan per 10 shares, with a capital reserve conversion of 3 shares for every 10 shares held[88]. - The company reported a net profit of 67,439,600 yuan for 2015, with a cash dividend payout ratio of 57.83%[92]. - The company’s distributable profits for 2015 amounted to 263,368,487.06 yuan, with cash dividends accounting for 100% of the profit distribution[92]. Research and Development - The company has a strong focus on R&D, with a product portfolio that includes 11 active ingredients and 44 formulations, emphasizing high efficiency, low toxicity, and low residue[26]. - The company’s R&D investment amounted to ¥37,538,985.80, a 44.92% increase from ¥25,903,205.84 in 2014, representing 4.50% of total revenue[50]. - The number of R&D personnel increased to 176, up 6.02% from 166 in 2014, with R&D personnel now accounting for 16.15% of the workforce[50]. - Research and development efforts focused on two new product lines, with an investment of 200 million RMB allocated for innovation in 2016[95]. Market Expansion - The company expanded its international market presence, establishing a subsidiary in Cambodia and enhancing its operations in East Africa, particularly in Kenya[34]. - The company intends to expand its international market presence in Southeast Asia, the Middle East, and Africa, while also exploring emerging markets in Latin America[75]. - The company plans to enhance its core competitiveness and achieve substantial breakthroughs in transformation, innovation, and diversification over the next five years[73]. Risk Factors - The company faces various risks including market competition, raw material price fluctuations, and regulatory changes in pesticide usage[4]. - The company faces risks from market competition, particularly from Indian manufacturers in the fungicide sector, which could impact pricing and profit margins[76]. - The company is exposed to raw material price fluctuation risks due to reliance on petrochemical products, which can affect operational costs[76]. - The company has a high dependency on the sales of its protective fungicide products, which could be adversely affected by the emergence of superior alternatives or increased market competition[78]. Environmental Management - The company has established wastewater treatment facilities capable of processing 6,000 cubic meters of wastewater daily, ensuring compliance with local discharge standards[127]. - The company has implemented a comprehensive environmental management system, including emergency response plans for environmental incidents[129]. - The company has not faced any environmental administrative penalties or major pollution incidents during the reporting period[130]. - The company has upgraded its production technology to reduce wastewater emissions, contributing to cleaner production practices[130]. - The company has received various environmental management certifications, including ISO9001 and ISO14001, demonstrating its commitment to quality and environmental standards[125]. Corporate Governance - The company has established a comprehensive internal control system to protect the rights and interests of shareholders, especially minority shareholders[122]. - The governance structure includes a board of directors, a supervisory board, and specialized committees, with 5 shareholder meetings and 15 board meetings held during the reporting period[171]. - The company has a clear ownership structure and operates independently from its controlling shareholders in terms of business, personnel, assets, institutions, and finance[173]. - The company has a well-defined organizational structure with various functional departments that operate independently from the controlling shareholders[176]. - The company has a performance evaluation system linking senior management's performance directly to their remuneration[162]. Management Changes - The company appointed Li Xinsheng as the new Chairman on October 23, 2015, following the resignation of Li Ming[152]. - The company experienced a change in management with multiple appointments and resignations on October 23, 2015, due to the election of new board members[152]. - The management team includes professionals with international experience, such as Lin Qing, who has worked in the U.S. as a CPA[160]. - The company has seen a significant turnover in its board, with several independent directors resigning or being replaced on October 23, 2015[152]. Shareholder Information - Major shareholder Li Ming holds 36,465,000 shares, representing 28.05% of the total shares[141]. - The company had a total of 10,613 shareholders at the end of the reporting period[141]. - The total shares held by Li Ming at the end of his term was 36,465,000, after a reduction of 8,415,000 shares[151]. - The total shares held by the new Chairman Li Xinsheng at the beginning of his term was 4,980,800, with an increase of 1,494,240 shares, totaling 6,475,040 shares[151].

Financial Performance - Total assets at the end of the reporting period reached ¥1,117,590,642.29, an increase of 20.09% compared to the previous year[7] - Net assets attributable to shareholders of the listed company amounted to ¥739,032,481.48, reflecting a growth of 46.12% year-on-year[7] - Operating revenue for the reporting period was ¥183,908,309.38, representing an 18.37% increase compared to the same period last year[7] - Net profit attributable to shareholders of the listed company was ¥5,783,620.65, a decrease of 13.40% year-on-year[7] - The basic earnings per share decreased by 55.06% to ¥0.04 compared to the same period last year[7] - The weighted average return on net assets was 0.79%, down by 0.57% from the previous year[7] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 14,794[10] - The largest shareholder, Li Ming, holds 28.05% of the shares, totaling 36,465,000 shares[10] Cash Flow and Receivables - The company reported a net cash flow from operating activities of -¥6,791,519.67, a decline of 132.70% year-to-date[7] - Cash and cash equivalents decreased by 42.70% due to a decline in net cash inflow from operating activities[14] - Accounts receivable increased by 67.12% primarily due to outstanding payments[14] - Prepayments rose by 94.19% mainly due to increased deposits for equipment[14] - Other receivables surged by 150.14% as a result of increased export tax refunds[14] - Net cash flow from operating activities decreased by 132.70% attributed to increased payments and expenses[14] - Net cash flow from investing activities increased by 40.80% due to higher engineering investments[14] - Net cash flow from financing activities rose by 72.92% as a result of funds received from the IPO[14] Earnings and Share Capital - Basic and diluted earnings per share decreased by 41.81% due to an increase in share capital after the IPO[14] Deferred Income and Commitments - Deferred income tax assets increased by 47.18% primarily due to bad debt losses and unrealized internal sales profits[14] - The company reported a commitment to not reduce shareholdings for six months following the failure to fulfill a reduction intention, ensuring compensation for any losses incurred by investors[16] - The company plans to reduce its holdings within 24 months after the lock-up period, with a maximum reduction of 2% of the total share capital at a price not lower than the issuance price[16] Corporate Governance and Compliance - The company has committed to not engaging in competitive business activities that may harm its operations, ensuring no conflicts of interest with family members[17] - The company will disclose any related party transactions to the board and shareholders, adhering to strict decision-making protocols[17] - The company is in the process of implementing a share buyback plan, with the repurchase price not lower than the issuance price adjusted for any corporate actions[17] - The company has established a commitment to avoid any actions that could lead to losses from related party transactions, accepting liability if such losses occur[17] - The company has pledged to maintain transparency regarding any false statements or omissions in its prospectus, with corrective measures to be taken within three trading days if necessary[17] - The company has committed to not utilizing its position to gain commercial opportunities for itself or others without shareholder approval[17] - The company will ensure compliance with all legal and regulatory requirements in its financial disclosures and operational commitments[17] - The company has established a long-term commitment to uphold its corporate governance standards and protect shareholder interests[17] Future Profit Estimates - The estimated net profit attributable to shareholders for 2015 is expected to range from 43.53 million to 55.62 million CNY, reflecting a change of -10.00% to 15.00% compared to the previous year[19] - The net profit for 2014 was 48.37 million CNY, indicating a potential increase in profitability for 2015[19] - The company has intensified market expansion efforts, leading to revenue growth despite increased competition affecting net profit stability[19] Investment and Compliance - There were no securities investments during the reporting period[20] - The company did not hold shares in other listed companies during the reporting period[21] - There were no instances of non-compliance with external guarantees during the reporting period[22] - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period[23]

Financial Performance - The company's operating revenue for the first half of 2015 was ¥436,170,159.28, representing a 5.56% increase compared to ¥413,210,782.99 in the same period last year[19]. - The net profit attributable to shareholders was ¥30,189,795.43, which is a 2.65% increase from ¥29,410,491.77 year-on-year[19]. - Basic earnings per share decreased by 25.64% to ¥0.29 from ¥0.39 in the same period last year[19]. - Operating profit decreased by 5.44% to CNY 31.94 million compared to the same period last year[31]. - The company reported a net cash outflow from investment activities of CNY 131.24 million, a 165.55% increase compared to the previous year[32]. - The expected net profit attributable to shareholders for the first nine months of 2015 is projected to be between CNY 34.28 million and CNY 36.09 million, reflecting a decrease of 5.00% to 0.00% compared to the same period in 2014[57]. - The company reported a total comprehensive income of 48,185.39 million RMB for the current period[146]. Cash Flow and Investments - The net cash flow from operating activities was negative at ¥-12,122,225.28, a decline of 124.04% compared to ¥50,416,640.19 in the previous year[19]. - Cash flow from operating activities showed a significant decline of 124.04% due to increased accounts receivable[32]. - The company raised CNY 236,250,000.00 from investment activities, indicating a strong capital inflow[131]. - The net cash flow from investment activities was -133,769,759.09 CNY, indicating a significant outflow compared to the previous period's outflow of -50,455,636.97 CNY[134]. - The company incurred CNY 102,235,970.39 in cash outflows for the purchase of fixed assets, indicating ongoing investment in infrastructure[130]. Assets and Liabilities - Total assets increased by 18.87% to ¥1,106,195,877.11 from ¥930,613,000.82 at the end of the previous year[19]. - Current assets totaled CNY 372,097,219.97, an increase from CNY 324,539,758.74, reflecting a rise of about 14.7%[114]. - The company's total liabilities decreased to CNY 370,764,511.66 from CNY 422,869,064.04, a reduction of about 12.3%[115]. - The company's equity attributable to shareholders rose to CNY 733,418,602.90 from CNY 505,759,249.51, indicating an increase of approximately 44.8%[116]. Shareholder Information - The company plans not to distribute cash dividends or issue bonus shares for this period[5]. - The company plans to distribute a cash dividend of CNY 3.00 per 10 shares, totaling CNY 30 million, based on a total share capital of 100 million shares[60]. - The largest shareholder, Li Ming, holds 28.05% of the shares, amounting to 36,465,000 shares[99]. - The company has committed to a share lock-up period of 16 months from the date of its stock listing, during which no shares will be transferred or repurchased[85]. Corporate Governance and Compliance - The board emphasized strict compliance with information disclosure regulations and management practices following the company's stock issuance and listing[26]. - The company has established a sound corporate governance structure, with a total of 1 shareholders' meeting, 7 board meetings, and 4 supervisory meetings held during the reporting period[65]. - There were no significant litigation or arbitration matters during the reporting period[66]. - The company did not engage in any asset acquisitions or sales during the reporting period[69][70]. Research and Development - Research and development expenses decreased by 7.53% to CNY 10.98 million[31]. - The company plans to enhance product development by increasing funding and attracting high-level talent[33]. - The company operates in the pesticide production and sales sector, with a focus on research and development of chemical products[149]. Market Strategy - The company aims to expand its market presence both domestically and internationally, focusing on strategic partnerships with multinational companies[36]. - The company is recognized as a national high-tech enterprise, with strong capabilities in technology innovation and product development[38]. Financial Reporting and Standards - The half-year financial report has not been audited[90]. - The company's financial statements are prepared in accordance with the relevant accounting standards, ensuring transparency and accuracy[158]. - The company maintains a continuous operating capability for at least 12 months from the reporting date[156].

第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 利民化工股份有限公司 2015 年第一季度报告正文 公司负责人李明、主管会计工作负责人沈书艳及会计机构负责人(会计主管 人员)王娟声明：保证季度报告中财务报表的真实、准确、完整。 利民化工股份有限公司 2015 年第一季度报告正文 1 2 证券代码：002734 证券简称：利民股份 公告编号：2015-028 利民化工股份有限公司 2015 年第一季度报告正文 | | 本报告期 | 上年同期 | 本报告期比上年同期增减 | | --- | --- | --- | --- | | 营业收入（元） | 218,262,216.56 | 191,467,278.16 | 13.99% | | 归属于上市公司股东的净利润（元） | 14,119,085.15 | 13,189,968.49 | 7.04% | | 归属于上市公司股东的扣除非经常性损 益的净利润（元） | 13,973,997.78 | ...

Financial Performance - The company achieved total operating revenue of ¥757,952,977.85 in 2014, representing a 13.81% increase compared to ¥665,990,621.29 in 2013[24]. - The net profit attributable to shareholders decreased by 7.77% to ¥48,366,766.85 in 2014 from ¥52,440,451.91 in 2013[24]. - The net cash flow from operating activities fell by 38.81% to ¥62,912,067.78 in 2014, down from ¥102,822,618.48 in 2013[24]. - The company reported a decrease in basic earnings per share to ¥0.64 in 2014, down 8.57% from ¥0.70 in 2013[24]. - The company reported a total of ¥4,599,600.60 in non-recurring gains in 2014, down from ¥5,918,500.00 in 2013[28]. - The company's operating revenue increased by 13.81% year-on-year, primarily due to the market expansion and sales growth of products such as nitro-sulfur ketone and thiamethoxam[38]. - The total sales volume of pesticides reached 32,602.39 tons, reflecting a 2.67% increase compared to the previous year[38]. - The company's gross profit margin for the pesticide segment was 22.54%, with a slight decrease of 2.92% year-on-year[50]. - The total amount of cash and cash equivalents decreased by 12,786,457.81 yuan, indicating a significant decline of 259.99% compared to the previous year[49]. - The company reported a cash dividend of 3.00 yuan per 10 shares, totaling 30,000,000 yuan for the year 2014, which represents 62.03% of the net profit attributable to shareholders[82]. Market and Competition - The company faces market competition risks due to higher gross margins, which may attract increased investment from domestic and international pesticide companies[11]. - The company’s revenue and gross profit are highly concentrated in its dithiocarbamate products, which may be adversely affected by market competition or the emergence of superior alternative products[11]. - The company’s pesticide products are classified as high-efficiency, low-toxicity, and low-residue, but there is a risk of certain countries or regions imposing bans or restrictions on these products[11]. - The company’s overseas market performance may be hindered by rising non-tariff barriers, increasing fixed costs related to testing and registration[15]. - The company plans to expand its international market presence, particularly in Central and South America, while consolidating its traditional markets in Europe and Southeast Asia[38]. Operational Risks - The company’s main raw materials, including ethylenediamine and carbon disulfide, experienced significant price fluctuations during the reporting period, impacting operational risks[11]. - The company is exposed to environmental protection risks due to increasing regulatory requirements, which may raise operational costs and affect economic benefits[12]. Research and Development - The company is focusing on enhancing its core competitiveness by investing in R&D and improving management capabilities[32]. - The company aims to strengthen its product development strategy, particularly in the fungicide sector, while also expanding its herbicide and insecticide offerings[33]. - Research and development expenses totaled 25,903,205.84 yuan, accounting for 5.1% of the net assets at the end of 2014 and 3.42% of operating revenue[46]. - The company is committed to enhancing its technological development through partnerships with universities and research institutions[34]. - The company has a strong emphasis on research and development in the agricultural chemical sector[144]. Environmental Management - The company has implemented a comprehensive environmental management system, including emergency response plans for environmental incidents[90]. - The company has achieved ISO9001, ISO14001, and OHSAS18001 certifications, demonstrating its commitment to quality and environmental management[86]. - The company has focused on energy conservation and emission reduction, enhancing resource recycling rates through process design and technology upgrades[87]. - The company has established a dedicated environmental management organization to oversee compliance with environmental regulations and enhance on-site supervision[87]. - The company has successfully reduced total wastewater emissions through technological improvements in its production processes[91]. - In 2014, the company constructed a wastewater treatment facility capable of processing 6,000 cubic meters of wastewater daily, along with multiple other treatment systems for high-concentration wastewater[88]. - The company has established 18 sets of exhaust gas treatment systems to manage emissions, including dust, boiler flue gas, and other pollutants[89]. - The company has not faced any environmental administrative penalties or major pollution incidents during the reporting period[92]. Corporate Governance - The company’s financial report is guaranteed to be true, accurate, and complete by its board of directors and management[3]. - The company has a governance structure that complies with the Company Law and regulations set by the China Securities Regulatory Commission[162]. - The board of directors held 11 meetings during the reporting period, ensuring compliance with governance regulations[161]. - The independent directors attended 11 board meetings, with 10 in person and 1 via communication, ensuring active participation in governance[167]. - The audit committee maintained the independence of the annual financial report audit, collaborating with Ruihua Certified Public Accountants to ensure compliance and thorough evaluation[170]. - The company has established a complete performance evaluation system linking senior management's performance to their compensation[176]. - The company operates independently from its controlling shareholders in terms of business, personnel, assets, and finance, ensuring a complete operational system[173]. - The company has a robust internal control system in place, aligning with legal requirements and enhancing operational risk management[179]. - No significant internal control deficiencies were found during the reporting period, indicating effective internal control measures[182]. Shareholder Information - The company plans to distribute a cash dividend of 3.00 RMB per 10 shares to all shareholders based on a total share capital of 100,000,000 shares as of January 27, 2015[4]. - The company has maintained a consistent cash dividend policy over the past three years, with a total cash dividend of 30,000,000 yuan in 2014[82]. - The company’s unallocated profits amounted to 235,096,777.69 yuan, with cash dividends accounting for 100% of the profit distribution total[83]. - The largest shareholder, Li Ming, holds 28.05% of the shares, totaling 28,050,000 shares[129]. - The total shares held by the board members at the end of the reporting period amount to 43,981,300 shares, with no changes in holdings during the period[138]. - The company does not have any preferred shares in existence during the reporting period[136]. - The controlling shareholders have not changed during the reporting period[131]. - The actual controllers of the company are Li Ming, Li Xinsong, and Li Yuanyuan, all of Chinese nationality, with no foreign residency rights[132]. Employee Information - The total number of employees as of December 31, 2014, was 1,057, with production personnel making up 74.17% of the workforce[156]. - The company reported that 11 employees held a master's degree or higher, representing 1.04% of the total workforce[156]. - The company’s sales personnel accounted for 7.47% of the total workforce, indicating a focus on sales capabilities[156]. Related Party Transactions - The company engaged in related party transactions, purchasing agricultural chemicals for a total amount of 28,469,900 yuan, representing 79.26% of similar transactions[104]. - The company also commissioned processing services amounting to 223,745 yuan, which accounted for 63.26% of similar transactions[106]. - The company sold a 10% stake in a subsidiary for 1,600,000 yuan, based on a third-party valuation[106]. - The company entered into a contract with Hong Kong Taihe Biotech K.K. for a transaction price of 1,332.73 million yuan, which is classified as a related party transaction[115]. - The company has ongoing bank credit guarantees provided by its actual controller, which have been fully repaid by the end of the reporting period[109]. - The company has no related party debt or credit transactions during the reporting period[108]. - The company has not engaged in joint external investments during the reporting period[107]. Accounting and Audit - The company has implemented new accounting standards, including the Financial Instruments Reporting Standard, which requires enhanced disclosures regarding financial assets and liabilities[75]. - The company maintained a standard unqualified audit opinion for its financial statements, affirming the accuracy of its financial reporting[187]. - The company has not experienced any significant accounting errors or omissions during the reporting period, ensuring the integrity of its financial disclosures[184].