ycec(SH:600248)2021-04-27 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥127.72 billion, representing a year-over-year increase of 22.18% compared to ¥104.54 billion in 2019[26]. - Net profit attributable to shareholders for 2020 reached approximately ¥2.83 billion, an increase of 83.95% from ¥1.54 billion in 2019[26]. - The weighted average return on equity increased to 19.75% in 2020, up by 6.67 percentage points from 10.35% in 2019[26]. - The total assets of the company as of the end of 2020 were approximately ¥181.97 billion, reflecting a 25.29% increase from ¥145.24 billion at the end of 2019[26]. - The company reported a basic earnings per share of ¥0.4886 for 2020, an increase of 83.95% compared to ¥0.3221 in 2019[26]. - The company experienced a significant decrease in net profit after deducting non-recurring gains and losses, which fell by 57.31% to approximately ¥128.19 million in 2020[26]. - The company reported a total of ¥2.74 billion in non-recurring gains for 2020, primarily from the merger activities[30]. - The company's total equity attributable to shareholders decreased by 1.40% to approximately ¥15.69 billion at the end of 2020 compared to ¥15.91 billion at the end of 2019[26]. - The net cash flow from operating activities for 2020 was negative at approximately -¥2.67 billion, showing a slight improvement from -¥2.66 billion in 2019[26]. Dividend Distribution - The company plans to distribute a cash dividend of RMB 0.62 per 10 shares, totaling RMB 232,579,986.08, based on a total share capital of 3,751,290,098 shares[8]. - The company proposed a cash dividend of RMB 0.62 per 10 shares for the 2020 fiscal year, totaling RMB 232,579,986.08, which represents 8.22% of the net profit attributable to ordinary shareholders[142]. - For the 2019 fiscal year, the cash dividend was RMB 0.2 per 10 shares, amounting to RMB 18,359,053.44, which accounted for 6.21% of the net profit attributable to ordinary shareholders[142]. - The cash dividend for the 2018 fiscal year was RMB 1.0 per 10 shares, totaling RMB 91,795,267.20, which was 32.62% of the net profit attributable to ordinary shareholders[142]. - The company has modified its dividend policy to enhance shareholder returns while considering its development strategy and profitability[140]. - The company’s dividend distribution plan has been approved by the shareholders' meeting, ensuring compliance with corporate governance standards[140]. - The company has maintained a consistent approach to dividend distribution over the past three years, reflecting its commitment to shareholder value[143]. Corporate Governance and Compliance - The company has received a standard unqualified audit report from Tianzhi International Accounting Firm[7]. - The board of directors and senior management have guaranteed the authenticity and completeness of the annual report[6]. - The company ensures the independence of its financial department and accounting system, maintaining separate bank accounts from other controlled entities[156]. - The company commits to not using the assets of the listed company as collateral for its own debts[156]. - The company guarantees that all personnel, assets, and financial operations of the listed company remain independent and separate from its other controlled enterprises[156]. - The company will ensure that any related party transactions are conducted at fair market prices and comply with legal regulations[158]. - The company commits to maintaining a sound corporate governance structure for the listed company, ensuring independent decision-making[156]. Strategic Focus and Market Position - The company initiated a share swap merger with Shaanxi Construction Engineering, which is expected to impact future financial performance positively[26]. - Post-restructuring, the company shifted its primary business focus to construction, holding 9 first-class general contracting qualifications in construction engineering and 4 in municipal public works[42]. - The company aims to expand its international market presence, particularly in regions aligned with the Belt and Road Initiative[50]. - The company is actively seeking growth opportunities in alignment with national strategic development plans, including the Belt and Road Initiative[128]. - The company plans to achieve a contract signing amount of 320 billion RMB and an operating income of 140 billion RMB in 2021[133]. - The company will focus on expanding its market share both domestically and internationally, particularly in the Southeast Asian market under the Belt and Road Initiative[135]. Risk Management - There are no significant risk events reported during the reporting period, and potential risks are detailed in the report[10]. - The company has identified a high asset-liability ratio as a financial risk and plans to enhance its receivables collection efforts[136]. - The company recognizes the risk of macroeconomic policy changes affecting the construction industry and will adjust its management strategies accordingly[136]. - The company will implement a safety development strategy to mitigate risks associated with natural disasters and safety incidents during construction[136]. Operational Highlights - The company completed 49 construction projects, all meeting contract targets, including major projects like the Dalian Hengli Petrochemical PTA-5 line[57]. - The company signed new contracts worth CNY 115.38 billion in 2020, reflecting a year-on-year increase of 19%[45]. - The total new contracts signed during the reporting period amounted to CNY 274.91 billion, with operating revenue reaching CNY 127.72 billion, a year-on-year increase of 22.18%[62]. - The company completed 933 projects during the reporting period, with a total value of CNY 82.95 billion, including CNY 57.74 billion in housing construction[109]. - The total number of ongoing projects is 2,331, with a total value of CNY 415.61 billion, primarily in domestic markets[110]. Research and Development - The total R&D expenditure amounted to ¥589.48 million, representing 0.46% of total revenue[78]. - The company has 2,382 R&D personnel, making up 7.51% of the total workforce[81]. - The company has achieved a 267% completion rate for its annual patent application plan, with 24 patents granted, indicating strong innovation capabilities[57]. - The company has over 10,000 mid-to-senior technical personnel, including 2,583 with senior titles, indicating a strong talent pool[50]. Future Outlook - The company anticipates substantial opportunities in the construction sector due to ongoing urban renewal initiatives and rural revitalization efforts outlined in the 14th Five-Year Plan[128]. - The company is positioned to benefit from the ecological and environmental projects, which are expected to see increased demand in the coming years[128]. - The management emphasized a focus on sustainability initiatives, aiming for a reduction in carbon footprint by K% by 2025[171].