Financial Performance - Revenue for 2020 increased by 14% to HK$206.1 million, up from HK$181.2 million in 2019, while gross profit rose 12% to HK$77.1 million[20]. - Net profit after tax attributable to equity holders increased by 50% to HK$86.2 million, translating to earnings per share of HK3.44 cents[20]. - For the year ended December 31, 2020, China Renewable Energy recorded a turnover of HK$206.1 million, a 14% increase from HK$181.2 million in 2019[30]. - Gross profit for the period increased by 12% to HK$77.1 million, compared to HK$68.6 million in 2019[30]. - Net profit attributable to equity holders increased by 50% to HK$86.2 million, with earnings per share of HK$3.44 cents, up from HK$57.4 million or HK$2.29 cents per share in 2019[30]. - The Group's total bank borrowings as of December 31, 2020, were HK$673.3 million, compared to HK$648.5 million in 2019[30]. - The appreciation of Renminbi during 2020 resulted in a net exchange gain of HK$17.6 million[30]. - The Group maintains a strong cash position with bank deposits of HK$192.9 million as of December 31, 2020[30]. - As of December 31, 2020, the Group's total assets amounted to HK$2,904.3 million, with a healthy cash position of HK$192.9 million[21]. - The net asset value per share increased to HK76.4 cents, reflecting improved financial health[21]. Power Generation and Capacity - The total gross power generating capacity of the Group reached 738 MW, with net power generating capacity increasing by 10% to 427 MW following the completion of the Songxian Wind Farm[14]. - Total power consumption in China increased by 3% in 2020, reaching 7,511,000 GWh, while wind and solar power generation capacity rose by 34% and 23% respectively[34]. - The Group's net power generating capacity increased by 10% to 427 MW, with total gross power generating capacity at 738 MW[34]. - Total wind power output for the Group was 1,350.1 GWh in 2020, nearly unchanged from 1,356.3 GWh in 2019[34]. - The Songxian Wind Farm began contributing to revenues starting in May 2020, following its completion in the first half of the year[34]. - The fully operational Henan Songxian 74 Mega-Watt wind project contributed positively, offsetting the overall poor wind resources[30]. Market and Industry Outlook - Looking ahead, the company expects to benefit from the full-year operations of Songxian and anticipates continued reductions in curtailment rates[22]. - The global emphasis on renewable energy is expected to accelerate, particularly with the U.S. re-entering the Paris Agreement, which may benefit the company's operations in China[22]. - The company anticipates ongoing support from China for renewable energy initiatives, aligning with global trends[23]. - Future outlook indicates that China will continue to enhance the importance of renewable energy in its economy, benefiting China Renewable Energy[25]. - The company expects a continued decrease in power curtailment in 2021 due to the full-year operation of the Songxian project[25]. Risk Management and Corporate Governance - Risk management is integrated into daily operations and corporate strategy, with a proactive approach to identifying and mitigating risks across six categories[43]. - The Company has established a risk management and internal control system, with the Board overseeing its effectiveness and management responsible for its implementation[170]. - The Internal Audit and Risk Management Department provides independent assurance on the effectiveness of the Group's risk management and internal control systems[173]. - The Audit Committee reviews the effectiveness of the Group's risk management and internal control systems at least annually[192]. - The Company has adopted a whistleblowing guideline to allow employees to report concerns confidentially regarding financial reporting and other serious misconduct[147]. Corporate Structure and Board Composition - The Company maintained a balanced board with seven Directors, including four Executive Directors and three Independent Non-executive Directors, ensuring strong independent oversight[87]. - The Company complied with the Corporate Governance Code, maintaining at least three Independent Non-executive Directors throughout the year, with one possessing appropriate professional qualifications[88]. - The Board is collectively responsible for promoting the success of the Group and maximizing financial performance and Shareholders' value[93]. - The Company has arranged appropriate liability insurance for its Directors, with coverage reviewed annually[101]. - The roles of Chairman and CEO are currently held by the same individual, Mr. OEI Kang, Eric, with the Board considering this structure effective for business operations[92]. Employee and Community Engagement - The Group's operations employed a total of 97 employees as of December 2020, focusing on attracting and retaining skilled personnel[54]. - The Group plans to explore additional means to contribute to the communities it operates in as it grows larger and more profitable[59]. - The Company encourages Directors to enroll in professional development courses to enhance their awareness of good corporate governance practices[168]. Dividend Policy - The Company has adopted a Dividend Policy aimed at allowing shareholders to participate in profits while retaining adequate reserves for future growth[198]. - Factors considered before proposing dividends include actual and expected financial performance, retained earnings, debt to equity ratio, and future expansion plans[199]. - The declaration and payment of dividends are subject to restrictions under the laws of the Cayman Islands and the Company's Articles of Association[200].
中国再生能源投资(00987) - 2020 - 年度财报