Zoomlion(HK:01157)2021-04-22 08:32Business Performance - In 2020, Zoomlion achieved its best-ever operating performance and quality, driven by a focus on intelligent, digital, and green transformation[23]. - The company achieved operating revenue of RMB 65.11 billion in 2020, representing a year-on-year increase of 50.34%[34]. - Net profit attributable to shareholders reached RMB 7.30 billion, up 66.55% compared to the previous year[34]. - The basic earnings per share increased to RMB 0.98, reflecting a growth of 68.97% year-on-year[29]. - The total assets at the end of 2020 amounted to RMB 116.27 billion, a 26.29% increase from the previous year[29]. - The net cash flow from operating activities was RMB 7.42 billion, up 19.33% from 2019[29]. - The company reported a net profit of RMB 7,371 million for 2020, an increase from RMB 4,285 million in 2019, showcasing strong financial performance[77]. - The company's revenue increased by 50.34% from RMB 43,307 million in 2019 to RMB 65,109 million in 2020, driven by strong market demand in the engineering machinery sector[82]. Strategic Initiatives - The company accelerated the development of advanced manufacturing, with a focus on emerging industries, establishing a trillion-level industrial cluster[23]. - Zoomlion is advancing towards deep intelligence, automation, and new energy in its technology and product offerings[23]. - The company is building over 18 globally leading lighthouse factories as part of its smart industrial city initiative[23]. - Zoomlion is committed to accelerating the construction of its smart industrial city, focusing on efficiency, ecology, and intelligence[25]. - The company plans to optimize its industrial layout and global resource allocation to drive better development through higher levels of openness[25]. - The company emphasizes the importance of intelligent manufacturing as a core future competitiveness factor[23]. - The company plans to expand its emerging business in agricultural machinery, optimizing product structure and enhancing manufacturing process control[63]. Research and Development - Continuous investment in R&D is prioritized, with a focus on core technologies and new product development to drive sustainable growth[63]. - The company filed nearly 800 patent applications in the year, with about 50% being invention patents, and was awarded 350 patents, ranking first in the machinery industry for authorized invention patents[53]. - Research and development expenses increased to RMB 3,345 million in 2020 from RMB 1,516 million in 2019, highlighting a commitment to innovation[77]. Market Performance - Sales revenue from construction machinery products was RMB 61.38 billion, marking a 49.75% increase year-on-year[36]. - The agricultural machinery sector showed increased market activity due to government support and rising grain prices[34]. - The company achieved significant growth in core product orders and sales, with concrete machinery, engineering cranes, and construction hoisting machinery showing continuous high growth and increasing market share[37]. - The domestic market share for truck cranes and crawler cranes reached historical highs, with truck cranes over 30 tons leading the industry in sales, and crawler cranes holding the top domestic market position[37]. Environmental Commitment - The company emphasizes a commitment to sustainable development and corporate social responsibility, focusing on resource conservation and environmental protection[127]. - The company invested approximately RMB 59 million in environmental protection technology upgrades in 2020[134]. - The total greenhouse gas emissions amounted to approximately 204,410.92 tons in 2020, an increase from 169,007.69 tons in 2019[140]. - The company has established a comprehensive environmental management system to ensure compliance with environmental laws and regulations[136]. - The company plans to continue improving air quality through technological means and various production methods[136]. Employee Engagement and Welfare - The company has added nearly 4,500 new employees during the reporting period, contributing to stable employment in society[154]. - The total number of employees exceeds 23,500, with 66.16% of employees aged 35 or younger, indicating a sustainable employment structure[154]. - The company has established various employee welfare programs, including health check-ups and diverse paid leave systems[154]. - The company has adhered to all relevant labor laws, achieving a 100% labor contract signing rate[152]. Community Support and Social Responsibility - In 2020, the company invested over 27.41 million yuan in targeted poverty alleviation and social welfare initiatives, benefiting more than 10,000 individuals in impoverished areas[181]. - The company donated a total of 1.26 million yuan in anti-epidemic materials and 2.5 million yuan in cash to support COVID-19 relief efforts[183]. - The company has cumulatively donated over 28 million yuan to the "Love Changes Destiny" charity project over 18 years, aiding more than 45,000 impoverished college students[183]. - The company organized cash donations of 2.5 million RMB from employees to support COVID-19 prevention efforts[188]. Safety and Compliance - The company has established safety production committees at both group and subsidiary levels to ensure effective safety management[158]. - The company has not reported any work-related fatalities in the past three years, including the reporting period[159]. - The company has implemented a comprehensive performance evaluation system for safety production, aiming to reduce the total number of accidents[158]. - The company strictly adheres to labor standards and has not employed any child labor during the reporting period, ensuring compliance with national laws[167].