Financial Performance - Revenue for the year was RMB 7,131.1 million, a decrease of 1.6% from RMB 7,247.4 million in 2019[5] - Net profit attributable to owners of the company was RMB 1,560.5 million, down 13.4% from RMB 1,801.3 million in the previous year[5] - The company's EBITDA decreased slightly from approximately RMB 31 billion in 2019 to about RMB 30 billion in 2020[23] - Gross profit decreased by RMB 98,000,000 or 4.0% to RMB 2,342,500,000, with gross margin dropping from 33.7% to 32.9%[67] - The profit attributable to the owners of the company decreased from RMB 1,801,300,000 for the year ended December 31, 2019, to RMB 1,560,500,000 for the year ended December 31, 2020, primarily due to a decline in average selling prices, increased impairment losses, and foreign exchange losses[75] - Basic earnings per share decreased from RMB 33.1 cents for the year ended December 31, 2019, to RMB 28.7 cents for the year ended December 31, 2020[75] Sales and Production - Total sales volume of cement and clinker reached 19.9 million tons, an increase of 3.1% compared to 19.3 million tons in 2019[5] - The sales volume of aggregates increased significantly by 73.7% to 3.44 million tons from 1.98 million tons in 2019[5] - Cement sales volume increased by 4.3% from approximately 18,800,000 tons in 2019 to approximately 19,600,000 tons in 2020[63] - In 2020, cement sales in Shaanxi decreased by approximately 4.5% to about 7,700,000 tons, with an average selling price of RMB 291 per ton, down from RMB 333 per ton in 2019[41] - In the Guanzhong region, cement sales increased by nearly 11.3% to approximately 8,550,000 tons, with an average selling price dropping by about 7.8% to RMB 294 per ton[43] - In Xinjiang, cement sales rose by approximately 14.0% to about 2,040,000 tons, with an average selling price of RMB 406 per ton, down from RMB 440 per ton in 2019[44] Assets and Liabilities - The company’s total assets increased by 29.7% to RMB 18,906.2 million from RMB 14,579.8 million in 2019[5] - The net debt amounted to RMB 2,237,000,000 as of December 31, 2020, compared to RMB 1,613,000,000 in 2019, with a net debt to equity ratio of 21.2%[77] - The company’s net asset liability ratio was 21.2% as of December 31, 2020, compared to 17.5% in 2019, indicating ongoing monitoring of its capital structure[77] Dividends - The proposed final dividend per share increased by 36.5% to 8.6 cents from 6.3 cents in the previous year[5] - The board proposed a final dividend of RMB 0.086 per ordinary share and a special dividend of RMB 0.034 per ordinary share, celebrating the company's 10th anniversary and rewarding shareholders[24] - The proposed final dividend and special dividend will be paid on July 30, 2021, subject to approval at the annual general meeting[158] Environmental Initiatives - The company has implemented energy-saving measures, reducing electricity consumption by approximately 30% and CO2 emissions by about 22,000 tons per million tons of cement produced[15] - The company’s nitrogen oxide emissions per ton of clinker have decreased by approximately 60% due to the installation of De-NOx equipment across its plants in Shaanxi, Xinjiang, and Guizhou[15] - Significant investments were made in environmental protection, achieving pollutant discharge concentrations well below national standards[28] - The company aims to enhance its environmental policies by implementing green mining projects to minimize soil and mining pollution[145] Market Position and Strategy - The company maintained a strong market position in southern Shaanxi, benefiting from high infrastructure demand, resulting in stable profit margins despite low demand conditions due to the COVID-19 pandemic[14] - The company is focusing on meeting the development needs of infrastructure and urbanization in Western China[8] - The company plans to continue enhancing its competitive edge through energy efficiency and cost advantages in the cement industry starting from 2021[19] - The company plans to focus on high-quality development and international expansion while enhancing operational quality and internal management[33] Cost Management - The company has successfully maintained cost reduction measures throughout 2020, ensuring stable profits despite the pandemic's impact[14] - The company will continue to implement cost reduction measures and efficiency improvements to maintain stable profit margins[39] - Sales cost decreased by 0.4% from RMB 4,806,900,000 in 2019 to RMB 4,788,600,000 in 2020[64] Governance and Compliance - The board consists of eight members, including two executive directors, three non-executive directors, and three independent non-executive directors, ensuring compliance with listing rules[89] - The company has established a comprehensive risk management system and internal controls, which are regularly reviewed by the board[96] - The audit committee consists of three independent non-executive directors, with Mr. Li Gangwei serving as the chairman, and has reviewed the consolidated financial statements for the year ended December 31, 2020[98] Charitable Contributions - Charitable donations by the group reached RMB 24,700,000 for the year ended December 31, 2020, compared to RMB 3,700,000 in 2019[162]
西部水泥(02233) - 2020 - 年度财报