EMT(SH:601208)2021-04-29 16:00Financial Performance - In 2020, the company achieved operating revenue of CNY 1,881,078,267.80 and a net profit attributable to shareholders of CNY 175,494,792.60, representing a year-on-year increase of 38.96% in net profit[6]. - The company's operating revenue for 2020 was CNY 1,881,078,267.80, an increase of 8.40% compared to CNY 1,735,366,951.57 in 2019[25]. - Net profit attributable to shareholders was CNY 175,494,792.60, representing a significant increase of 140.83% from CNY 72,871,524.03 in the previous year[25]. - The net profit after deducting non-recurring gains and losses was CNY 145,416,473.02, up 168.27% from CNY 54,206,158.88 in 2019[25]. - The company's total assets increased by 29.98% to CNY 4,197,030,169.94 at the end of 2020, compared to CNY 3,228,954,756.19 at the end of 2019[25]. - Basic earnings per share rose to CNY 0.29, a 141.67% increase from CNY 0.12 in 2019[25]. - The company reported a net cash flow from operating activities of CNY 159,691,034.58, a decrease of 33.27% from CNY 239,304,024.64 in 2019[25]. - The company reported total revenue of approximately ¥1.85 billion, with a gross profit margin of 25.70%[150]. Dividend and Share Capital - The company plans to distribute a cash dividend of CNY 1 per 10 shares, totaling CNY 68,373,547.10, which accounts for 38.96% of the net profit attributable to shareholders[6]. - The total share capital will increase from 693,065,471 shares to 898,186,112 shares following a capital reserve transfer of 3 shares for every 10 shares held[6]. Risks and Audit - The company has no significant risks that could materially affect its operations during the reporting period[11]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties[11]. - The company’s financial report has been audited by Zhihong Accounting Firm, which issued a standard unqualified opinion[5]. Research and Development - The company focuses on the research, manufacturing, and sales of new chemical materials, particularly in optical films, electronic materials, and environmentally friendly flame retardant materials[36]. - The company has applied for 28 patents in 2020, with 10 patents granted, including a first-class award for key technology in environmentally friendly flame-retardant polyester fibers[46]. - The company has established strategic partnerships with renowned universities and research institutions to enhance its R&D capabilities[45]. - Research and development expenses rose to 116.83 million RMB, a 23.50% increase from the previous year[62]. - The company is committed to the research and development of new chemical materials, focusing on optical films, flame-retardant materials, and electronic materials to meet the growing demand in new energy and 5G communication sectors[180]. Market and Product Strategy - The company plans to expand its product offerings and market presence in sectors such as renewable energy, smart grids, and 5G communications[36]. - The company is focusing on the development of new materials, particularly in the special metal functional materials and advanced composite materials sectors, as outlined in the "Made in China 2025" initiative[83]. - The company aims to achieve a clean energy transmission capacity of 300 million kilowatts by 2025, with a target of 50% of energy coming from clean sources[89]. - The company is investing in a project to produce 10 million square meters of functional film materials annually, targeting the OLED flexible display market[103]. - The company aims to extend its product offerings in the OLED flexible display sector, enhancing its competitive edge through existing technology and process accumulation[103]. Operational Efficiency - The company has implemented a "group management, industrial operation, and base operation" management model to enhance operational efficiency and market responsiveness[37]. - The company plans to enhance lean management practices to improve efficiency and reduce costs, focusing on inventory management and energy management[187]. - The company is closely monitoring raw material price fluctuations, which significantly impact overall costs, and is enhancing procurement management to mitigate risks[194]. Acquisitions and Investments - The company implemented a merger and acquisition strategy, acquiring Shengtong Optical Technology for 556 million RMB to strengthen its market position in optical-grade polyester films[61]. - The company invested RMB 556 million to acquire 100% equity of Shandong Victory Optical Technology Co., Ltd., with the control of its net assets and operational decisions transferred by June 30, 2020[152]. - The company plans to invest a total of RMB 42.03 million in a project to produce 100 million square meters of functional film materials, with a projected completion time of 3 years[156]. Market Trends and Projections - The global photovoltaic market is expected to grow significantly, with cumulative installed capacity projected to reach 1,721 GW by 2030, driven by increasing demand for clean energy[165]. - The anticipated global shipment of display panels is expected to reach 3.468 billion units by 2022, with an overall market size exceeding $130 billion[174]. - The 5G commercial network construction in China is projected to generate approximately 484 billion yuan in direct output in 2020, increasing to 3.3 trillion yuan by 2025 and 6.3 trillion yuan by 2030, with a compound annual growth rate of 29% over ten years[175].