柳钢股份(601003) - 2022 Q4 - 年度财报

Financial Performance - Total assets decreased from RMB 72.53 billion in 2021 to RMB 71.41 billion in 2022, a decline of 1.54%[3] - Revenue for 2022 decreased to 51,075,036,914.20 RMB from 60,960,757,170.65 RMB in 2021, representing a decline of approximately 16.2%[8] - Net profit for 2022 was -3,534,292,991.28 RMB, compared to a net profit of 2,297,836,819.93 RMB in 2021, indicating a significant loss[7] - Operating profit for 2022 was -4,255,310,454.68 RMB, a sharp decline from 2,366,696,357.71 RMB in 2021[7] - Total comprehensive income for 2022 was -3,534,292,991.28 RMB, a significant decline from 2,297,836,819.93 RMB in 2021[7] - The company's total revenue for the reporting period was 80.725 billion yuan, a year-on-year decrease of 12.94%[19] - The company's net profit attributable to shareholders was -1.333 billion yuan, a significant decrease compared to the previous year[15] - Net loss attributable to shareholders in 2022 was RMB 2.342 billion[145] - No cash dividend distribution or capital reserve conversion proposed for 2022 due to negative net profit[145] Asset and Liability Changes - Inventory decreased significantly from RMB 16.48 billion in 2021 to RMB 8.40 billion in 2022, a reduction of 49.03%[3] - Fixed assets increased from RMB 35.70 billion in 2021 to RMB 37.48 billion in 2022, an increase of 4.99%[3] - Short-term borrowings decreased from RMB 5.98 billion in 2021 to RMB 2.39 billion in 2022, a reduction of 60.00%[3] - Long-term borrowings increased from RMB 15.71 billion in 2021 to RMB 20.36 billion in 2022, an increase of 29.61%[3] - Total current liabilities decreased from RMB 28.95 billion in 2021 to RMB 27.14 billion in 2022, a decline of 6.25%[3] - Deferred tax assets increased significantly from RMB 214.57 million in 2021 to RMB 889.30 million in 2022, an increase of 314.42%[3] - Total non-current assets increased from RMB 44.83 billion in 2021 to RMB 48.11 billion in 2022, an increase of 7.31%[3] - Total liabilities increased from RMB 44.66 billion in 2021 to RMB 47.28 billion in 2022, an increase of 5.87%[3] - Total equity decreased from RMB 27.87 billion in 2021 to RMB 24.13 billion in 2022, a decline of 13.42%[3] - Total assets at the end of 2022 were 71.412 billion RMB, a decrease of 1.54% compared to 72.533 billion RMB at the end of 2021[69] - Total liabilities at the end of the reporting period were 48.85 billion yuan, a year-on-year increase of 6.22%[34] Production and Sales - The company's total ironmaking capacity is 10.17 million tons, with no capacity under construction[17] - The company's total steelmaking capacity is 12.5 million tons, with no capacity under construction[18] - The company's total rolling capacity is 9 million tons, with no capacity under construction[18] - The company's medium plate production increased by 13.91% year-over-year to 1.6212 million tons, with sales increasing by 12.65% to 1.6092 million tons[24] - Cold-rolled steel strip production rose by 7.50% to 1.2102 million tons, with sales up 6.89% to 1.1866 million tons[24] - Hot-rolled steel strip production surged by 58.65% to 1.955 million tons, with sales increasing by 59.29% to 1.939 million tons[24] - Galvanized steel strip production and sales both increased by 98.29% to 724,400 tons[24] - Steel billet production decreased by 16.57% to 5.7298 million tons, with sales down 16.87% to 5.7105 million tons[24] - Iron, steel, and finished product production in 2022 were 15.03 million tons, 17.57 million tons, and 11.83 million tons, respectively, with year-on-year changes of -11.78%, -8.89%, and -4.16%[34] - Iron production target: 18.9 million tons[103] - Steel production target: 22.7 million tons[103] - Steel product production target: 17.81 million tons (including cold-rolled base plates)[103] Costs and Expenses - Raw material costs for steel and steel billets accounted for 61.06% of total costs, a decrease of 5.94% compared to the previous year[26] - Fuel and power costs for steel and steel billets increased by 5.47% to 15.2699 billion yuan, accounting for 19.45% of total costs[26] - Depreciation costs for steel and steel billets rose significantly by 41.81% to 2.0237 billion yuan, making up 2.58% of total costs[26] - Hot-rolled steel strip raw material costs increased by 45.76% to RMB 5.42 billion, accounting for 6.90% of total costs[27] - Galvanized steel strip raw material costs surged by 73.62% to RMB 2.16 billion, representing 2.75% of total costs[27] - R&D expenses for 2022 decreased to 361,849,883.36 RMB from 962,426,693.10 RMB in 2021, reflecting a reduction of approximately 62.4%[8] - Financial expenses for 2022 increased to 515,220,915.92 RMB from 157,768,454.43 RMB in 2021, indicating a rise of approximately 226.5%[8] - Interest expenses for 2022 were 518,454,967.57 RMB, up from 319,440,405.73 RMB in 2021[8] - Management expenses decreased by 9.44% year-on-year, mainly due to reduced labor costs[44] - R&D expenses decreased by 41.38% year-on-year, primarily due to reduced investment in R&D materials[44] - Financial expenses increased by 74.71% year-on-year, mainly due to increased interest expenses on long-term loans and bonds, as well as increased exchange losses[44] Environmental and Sustainability - The company's industrial water recycling rate reached 98.3%, with over 51 million tons of wastewater regenerated annually[32] - The company's green initiatives include advanced wastewater treatment facilities and low-emission technologies, with a focus on sustainability[32] - Environmental protection investment in 2022 reached RMB 683.53 million[151] - CO2 emissions from Liuzhou Steel in 2022 totaled 18.29 million tons[152] - SO2 emissions from Liuzhou Steel in 2022 were 3,518.26 tons[152] - NOx emissions from Liuzhou Steel in 2022 reached 11,066.54 tons[152] - CO2 emissions from Guangxi Steel in 2022 totaled 10.72 million tons[153] - SO2 emissions from Guangxi Steel in 2022 were 3,293.31 tons[153] - The company has invested a total of 2500 million RMB in the A2 coal yard shed project, 5500 million RMB in the coke oven gas PDS full desulfurization capacity expansion project, 6500 million RMB in the ultra-low emission dust removal transformation of the No. 1 and No. 5 coke ovens, and 2200 million RMB in the No. 2 sintering machine tail finished product dust collector transformation[154] - The company has built four industrial wastewater treatment stations with an investment of 160 million RMB, recycling and reusing over 50 million tons of reclaimed water annually[154] - The company has installed a total of 137 sets of silencers to reduce noise pollution, with quarterly monitoring ensuring noise levels are within standard limits[157] - The company has completed environmental impact assessments for various projects, including the 1X135MW power generation project for blast furnace gas recovery and utilization, and the ultra-low emission transformation of the No. 2 360㎡ sintering system[158] - The company has conducted 47 pollution emergency drills in 2022, focusing on key processes such as coke tar and crude benzene leakage, oil spill, ammonia water leakage, radiation safety, and ship oil spill[160] - The company has established a comprehensive environmental pollution emergency response mechanism, including an emergency leadership organization and rescue teams, with clear responsibilities and procedures[160] - The company has implemented a self-monitoring program for environmental emissions, adhering to regulations such as the "Pollutant Discharge Permit Management Regulations" and the "Technical Guidelines for Self-Monitoring of Pollutant Discharge Units"[161] - The company has achieved significant CO2 reduction by utilizing waste heat, waste pressure, and surplus gas for power generation, with 40.18 billion kWh generated at the headquarters, accounting for 73.95% of total electricity consumption, and 30.46 billion kWh generated at Guangxi Steel, accounting for 84.38% of total electricity consumption[156] - The company has established a solid waste management system, including the "Solid Waste Management Measures" and the "Liugang Waste Classification and Disposal Implementation Rules," ensuring effective and compliant management of hazardous waste[155] - The company has implemented advanced energy-saving technologies, such as coke dry quenching power generation, sintering ring cooler waste heat recovery power generation, and blast furnace top TRT power generation, contributing to energy conservation and emission reduction[156] - The company reduced carbon dioxide equivalent emissions by 2,009,391 tons through measures such as coke dry quenching power generation, sintering ring cooler waste heat recovery power generation, and blast furnace top TRT power generation[162] - The company disclosed a separate Social Responsibility Report, available at http://www.sse.com.cn, detailing its ESG and sustainability efforts[162] - The company implemented 11 rural revitalization assistance projects and actively participated in various rural support activities, including industrial aid, consumption aid, and educational aid[162] Corporate Governance and Management - The company's total number of employees is 16,079, with 10,292 in the parent company and 5,787 in major subsidiaries[142] - The company's employee composition includes 12,367 production personnel, 146 sales personnel, 1,003 technical personnel, 136 financial personnel, and 1,369 administrative personnel[142] - The company's education level breakdown shows 296 employees with postgraduate degrees, 3,879 with bachelor's degrees, 7,848 with associate degrees, and 4,056 with high school or below[142] - The company paid a total of 271,370,405.50 yuan for labor outsourcing[144] - The company plans to apply for a comprehensive credit line of up to 36.9 billion yuan from financial institutions[141] - The company's 2021 financial statements were reviewed twice by the Audit Committee, confirming compliance with regulations and accurate reflection of financial status[140] - The company's training plan focuses on improving employee skills and career development through various methods, including online learning platforms[143] - The company's governance structure complies with the "Guidelines for Corporate Governance of Listed Companies" and there are no significant differences with regulatory requirements[139] - The company's controlling shareholder, Liugang Group, has committed to avoiding any business activities that compete with the company[139] - The company's Audit Committee held 4 meetings in 2022 to review financial reports and internal control evaluations[140] - The company held a total of 16 board meetings in 2022, including 4 nomination committee meetings to review and approve the qualifications of senior management and directors[130][135] - The company revised and improved various governance rules and systems, including the "Articles of Association", "Rules of Procedure for Shareholders' Meetings", "Rules of Procedure for Board Meetings", and "Independent Director Work System"[130][138] - The company focused on deepening enterprise reform, promoting effective investment, and building a green development brand to enhance core competitiveness and achieve high-quality development[137] - The company strictly complied with regulations to protect shareholder interests, ensure standardized operation of shareholders' meetings, and maintain independence of the board and supervisory committee[138] - The company's controlling shareholder fulfilled its obligations in good faith, did not interfere with company decisions, and all related-party transactions were conducted fairly and disclosed properly[138] - The company's board of directors confirmed that no violations were found in the preparation and review of the 2021 financial statements[167] - The company adjusted employee salaries in 2022 based on performance, market conditions, and the principle of sharing risks and rewards with employees[169] - The company's salary distribution is tilted towards key and technical positions, with low employee turnover rate[170] - The company has appointed Tianzhi International Accounting Firm (Special General Partnership) as its financial audit institution for 2022, with a total audit fee of 1 million RMB (700,000 RMB for financial audit and 300,000 RMB for internal control audit)[174] - The company has established a complete environmental management system and has obtained certification, strictly managing according to the system standards[178] - The company's controlling shareholder, Liugang Group, has made commitments to ensure the independence of the listed company in terms of assets, personnel, and finance[179] Related-Party Transactions - The company's total purchase amount from Guangxi Liugang International Trade Co., Ltd. reached 1,318,871.87 million yuan, accounting for 30.08% of similar transactions[182] - The purchase amount from Guangxi Liuzhou Iron and Steel Group Co., Ltd. was 398,146.37 million yuan, representing 43.20% of similar transactions[182] - The company purchased goods worth 341,029.62 million yuan from Zhigang Industrial Co., Ltd., accounting for 15.19% of similar transactions[182] - The purchase amount from Guangxi Liugang Zhongjin Stainless Steel Co., Ltd. was 335,549.71 million yuan, representing 47.15% of similar transactions[183] - The company's sales to Guangxi Liuzhou Iron and Steel Group Co., Ltd. amounted to 2,850,189.48 million yuan, accounting for 19.96% of similar transactions[183] - Sales to Guangxi Liugang Zhongjin Stainless Steel Co., Ltd. reached 227,211.35 million yuan, representing 38.74% of similar transactions[183] - The company's sales to Liuzhou Xinyou Chemical Co., Ltd. were 166,082.34 million yuan, accounting for 100% of similar transactions[183] - The purchase amount from Guangxi Liugang Environmental Protection Co., Ltd. was 32,070.20 million yuan, representing 100% of similar transactions[183] - The company's sales to Guangxi Liugang Environmental Protection Co., Ltd. amounted to 34,360.78 million yuan, accounting for 20.78% of similar transactions[183] - The purchase amount from Guangxi Liugang Logistics Co., Ltd. was 33,769.94 million yuan, representing 79.36% of similar transactions[183] Shareholder and Equity Information - The total number of ordinary shareholders at the end of the reporting period was 51,615[193] - The company issued corporate bonds with a total value of RMB 4 billion, with a single issuance of RMB 1 billion at an interest rate of 4.5%[192] - The largest shareholder, Guangxi Liuzhou Iron and Steel Group Co., Ltd., holds 74.57% of the company's shares[195] - The second-largest shareholder, Wang Wenhui, holds 8.08% of the company's shares, with 203,469,540 shares pledged[195] - Barclays Bank PLC holds 1.10% of the company's shares, with a total of 28,261,647 shares[195] - Hong Kong Securities Clearing Company Ltd. holds 0.99% of the company's shares, with a total of 25,311,682 shares[195] - The company's corporate bonds have a credit rating of AAA, with a maturity date of September 11, 2023[192] - The company's total share capital and equity structure remained unchanged during the reporting period[190] - The company's corporate bonds were approved by the China Securities Regulatory Commission under document number ZJXK (2020) 1378[192] - The company's corporate bonds are fixed-rate bonds with an annual interest payment[192] - The company issued corporate bonds with a total amount of 1,000,000,000 yuan, with an interest rate of 4.5%, and the principal will be repaid in one lump sum upon maturity[200] - The company paid interest to all holders of the "20 Liugang 01" bond for the period from September 11, 2021, to September 10, 2022[200] - The company's controlling shareholder is Guangxi Liuzhou Iron and Steel Group Co., Ltd., which holds 74.57% of the company's shares[198] - The company's actual controller is the State-owned Assets Supervision and Administration Commission of Guangxi Zhuang Autonomous Region[198] - The company's controlling shareholder, Guangxi Liuzhou Iron and Steel Group Co., Ltd., was established on July 1, 1958, and its main business includes steel rolling, mechanical processing and repair, cement manufacturing, mining, gas and oxygen production, and automobile cargo transportation[196] Innovation and Technology - The company successfully developed 24 new high-value-added products, including non-oriented silicon steel[48] - The company implemented the first 5G+ unmanned automatic molten iron tank capping system in China and the first unmanned mobile cloud warehouse in Guangxi[49] - The company is focusing on digital transformation and innovation, aiming to build a fully digitalized factory and enhance cooperation with internet leaders[112] - The company is optimizing its organizational structure and reducing management layers to improve efficiency and reduce costs[112] - The company is strengthening risk management, particularly in production safety, financial security, and trade risks[112] Remuneration and Shareholding - The total number