2021-03-30 16:00Financial Performance - The company achieved a net profit attributable to shareholders of 9.93 billion RMB in 2020, an increase of 46.76% compared to 2019[19]. - Total operating revenue for 2020 was 171.26 billion RMB, representing a 13.37% increase from 2019[19]. - The net profit after deducting non-recurring gains and losses was 9.59 billion RMB, a significant increase of 505.10% compared to the previous year[19]. - The net profit attributable to shareholders for 2020 was ¥9.93 billion, up from ¥6.76 billion in 2019, representing a growth of 46.06%[23]. - The basic earnings per share for 2020 was ¥0.81, a 44.64% increase from ¥0.56 in 2019[21]. - The net cash flow from operating activities for 2020 was approximately ¥45.03 billion, an increase of 112.38% compared to ¥21.20 billion in 2019[20]. - The company reported a significant increase in net cash flow from operating activities, reaching RMB 45.03 billion, a 112.38% increase year-on-year[54]. - The company reported a net profit of ¥6.07 billion in Q4 2020, significantly higher than ¥2.72 billion in Q3 2020[25]. - The company’s financial expenses decreased significantly by 17.60% year-on-year, optimizing its capital structure[46]. - The company’s net profit after deducting non-recurring gains and losses was 9.593 billion CNY, a substantial increase of 80.08 billion CNY, representing a growth of 505.10%[41]. Operational Highlights - The company operated a fleet with a capacity exceeding 3.07 million TEUs, ranking third globally according to Alphaliner data[31]. - The company expanded its operations to 278 international routes and 54 coastal routes in China by the end of the reporting period[28]. - The company completed a total cargo volume of 26.3445 million TEUs, a growth of 2.35% compared to 25.7391 million TEUs in 2019[42]. - The company’s container fleet size increased to 536 vessels with a capacity of 3,073,684 TEUs, a growth of 3.6% year-on-year[42]. - The company launched 45 new shipping routes to its controlled terminals, providing stable cargo support during the pandemic[42]. - The company’s container terminal throughput in 2019 ranked first in the world, with a total throughput capacity target of 13.6 million TEUs[38]. - The company’s box volume in emerging markets and third-country markets increased by 3.6% and 3.0% respectively[42]. - The company’s foreign trade e-commerce transaction volume increased by 270% in 2020, reflecting the expansion of its online service capabilities[44]. Strategic Initiatives - Future outlook includes continued market expansion and potential mergers and acquisitions to enhance competitive positioning[6]. - The company emphasizes the importance of risk management in its forward-looking statements, advising investors to be cautious[6]. - The company is focused on expanding its terminal services to increase revenue and market share[34]. - The company aims to enhance its service quality and operational efficiency through continuous innovation in its business model[39]. - The company is committed to sustainable development and has implemented various energy-saving and emission-reduction technologies to minimize environmental impact[47]. - The company is actively pursuing market expansion in emerging and regional markets, aligning with the Belt and Road Initiative[48]. - The company plans to enhance its global network layout and optimize shipping routes in response to the ongoing pandemic and changing trade dynamics[48]. - The company aims to strengthen its dual-brand strategy to improve service capabilities and enhance end-to-end solutions for customers[49]. Digital Transformation - The company emphasized digital transformation and enhancing customer value as part of its strategic focus for future growth[29]. - The company is focusing on digital transformation to improve online service capabilities and enhance customer experience through IoT and blockchain technologies[50]. - The company’s digital transformation efforts included the launch of the first blockchain bill of lading with property rights attributes in November 2020[45]. - The company accelerated its digital transformation, leveraging the IRIS4 system for remote service responsiveness during the pandemic[70]. - The company has established the GSBN (Global Shipping Business Network) to enhance data exchange and digital transformation efforts[70]. Governance and Compliance - The company has committed to maintaining operational independence from its controlling shareholder, ensuring no interference in business decisions that could harm shareholder interests[96]. - The company has established long-term commitments to avoid conflicts of interest and ensure fair market practices in all transactions[98]. - The company has not proposed any cash profit distribution plans despite positive profits, indicating a strategy focused on growth and reinvestment[95]. - The company has not engaged in share buybacks during the reporting period, further emphasizing its strategy of reinvestment[95]. - The company guarantees the accuracy and completeness of information provided during the transaction process, assuming legal responsibility for any misrepresentation[101]. Employee and Management - The company employed a total of 29,379 staff, with 9,546 retired employees requiring financial support[174]. - The total compensation for all directors, supervisors, and senior management amounted to RMB 38.7215 million[169]. - The company follows a performance-based salary system for its executives, linking compensation to annual assessment results and task completion[156]. - The management team includes Chairman Xu Lirong and Vice Chairman Huang Xiaowen, with various executives holding significant positions[153]. - The company has implemented an employee stock ownership plan in accordance with state regulations, involving strategic investors and employee participation[111]. Market Outlook - The company anticipates global economic growth of 5.5% in 2021, with a projected 8.1% increase in global trade volume[47]. - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15%[166]. - The company aims to enhance its operational capacity by adding 10 new vessels to its fleet by the end of 2022[158]. - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2025[158]. - The company is exploring strategic acquisitions to bolster its service offerings, with a budget allocation of $500 million for potential deals in 2021[158]. Financial Instruments and Bonds - COSCO Finance (2011) Ltd. issued a 4% credit-enhanced bond with a balance of CNY 10.00 billion, maturing on December 3, 2022[194]. - COSCO SHIPPING PORTS FINANCE (2013) CO. LTD. issued a 4.375% secured note with a balance of CNY 3.00 billion, maturing on January 31, 2023[194]. - The funds from the 4% credit-enhanced bond are primarily used for operational activities, including working capital, repaying bank loans, and capital expenditures[196]. - Both bonds have been serviced on time without any defaults reported[194].