Financial Performance - The company's revenue for the year ended December 31, 2020, was RMB 50.117 billion, representing a 14.34% increase from RMB 43.832 billion in 2019[10]. - The profit attributable to equity holders of the company was RMB 1.995 billion, a 48.11% increase from RMB 1.347 billion in the previous year[10]. - The company achieved a gross profit margin of 20.88%, slightly down from 21.98% in the previous year[10]. - The company's operating profit for 2020 was RMB 4.294 billion, an increase of RMB 1.112 billion or 34.94% from RMB 3.182 billion in the previous year[34]. - The net financial expenses for the company decreased to RMB 94 million, down RMB 184 million or 66.18% from RMB 278 million in the previous year[35]. - The company maintained a basic and diluted earnings per share of RMB 0.258, up 48.28% from RMB 0.174 in 2019[10]. - The total assets of the company as of December 31, 2020, were RMB 116.048 billion, reflecting a 7.64% increase from RMB 107.816 billion in 2019[11]. - The total liabilities of the company were RMB 70.339 billion, a 3.48% increase from RMB 67.975 billion in 2019[11]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion RMB, representing a year-over-year growth of 20%[75]. Revenue Breakdown - The aerospace complete machine business generated revenue of RMB 19.059 billion, a growth of RMB 2.101 billion or 12.39% compared to RMB 16.958 billion in the previous year[30]. - The aerospace supporting systems and related businesses reported revenue of RMB 24.924 billion, an increase of RMB 3.974 billion or 18.97% from RMB 20.950 billion in the previous year[30]. - The aerospace engineering services business achieved revenue of RMB 6.135 billion, a rise of RMB 211 million or 3.56% compared to RMB 5.924 billion in the previous year[31]. - The revenue from the aircraft manufacturing business for 2020 was RMB 19.059 billion, an increase of 12.39% year-on-year[50]. - The revenue from the aviation support systems and related businesses for 2020 was RMB 24.924 billion, an increase of 18.97% year-on-year[51]. - The revenue from the aviation engineering services business for 2020 was RMB 6.135 billion, an increase of 3.56% year-on-year[53]. Strategic Developments - The company completed the acquisition of 100% equity in AVIC Helicopter, enhancing the overall competitiveness of its helicopter products[22]. - The AC332, a new 4-ton class civil helicopter, was launched, marking a significant development in the company's product line[22]. - The L15 advanced trainer aircraft received the National Science and Technology Progress First-Class Award, highlighting the company's commitment to R&D[22]. - The company aims to enhance its R&D capabilities and optimize its investment structure, focusing on disruptive technologies and resource integration in the aviation sector[25]. - The company plans to strengthen its aviation technology innovation capabilities and implement strategic aviation technology projects[59]. - The company aims to become a flagship provider of high-tech military and civilian aviation products and services, ensuring smooth operations despite the pandemic[54]. Cash Flow and Investments - As of December 31, 2020, the group's cash and cash equivalents net amount was RMB 22.809 billion, primarily generated from cash and bank deposits at the beginning of the year and operating income[42]. - The net cash inflow from operating activities for 2020 was RMB 465 million, a decrease of RMB 4.913 billion or 91.35% compared to the previous year[44]. - The net cash inflow from investment activities for 2020 was RMB 2.413 billion, an increase of RMB 4.945 billion compared to the net cash outflow of RMB 2.532 billion in the previous year[44]. - The net cash inflow from financing activities for 2020 was RMB 1.290 billion, an increase of RMB 767 million or 146.65% compared to the previous year[44]. - The remaining raised funds as of December 31, 2020, were approximately RMB 601 million, which will be used for aviation product investments and general working capital[60]. - The company has invested a total of RMB 5.137 billion from raised funds for the production and R&D of advanced trainer aircraft, helicopters, and aviation composite materials[60]. Shareholder and Market Engagement - The company actively engaged in share repurchase to enhance market confidence and protect investor interests[22]. - A total of 34,459,000 H-shares were repurchased and canceled to maintain market confidence and protect investor interests[55]. - The proposed final dividend for the year 2020 amounts to RMB 385,566,612.10, which translates to RMB 0.05 per share, an increase from RMB 0.03 per share in 2019[82]. - The company repurchased and canceled a total of 34,459,000 H shares during the year, reducing the total H share capital from 6,245,121,836 to 6,210,662,836 shares[87]. - Major shareholder China Aviation Industry holds 3,499,531,569 H shares, representing 56.35% of the total issued H shares[89]. Corporate Governance - The company has established a governance structure to enhance corporate governance levels through coordination among various committees and management[165]. - The board consists of eight members, including two executive directors and three independent non-executive directors, ensuring a balance of power and independent judgment[171]. - The company emphasizes compliance with Chinese laws and regulations, revising several governance documents to enhance operational efficiency and regulatory adherence[170]. - The board regularly reviews the overall strategy, business objectives, and performance metrics, ensuring accountability for financial data integrity and risk management[172]. - The company has implemented internal controls to ensure compliance with relevant laws and regulations in China, with no significant violations reported that could impact business performance[157]. Environmental and Social Responsibility - The company emphasizes compliance with environmental protection laws and aims to enhance its environmental governance level[81]. - The company continues to strengthen its environmental management and promote green development initiatives[81]. - The company will continue to pursue green aviation manufacturing and fulfill its social responsibilities while maintaining strategic focus and steady progress in its operations[25]. Related Transactions - The company continues to engage in related transactions with AVIC Trust, increasing the original limit for financial products from RMB 800 million to RMB 1.15 billion[111]. - The mutual supply and guarantee agreement with AVIC Electronics includes engineering and equipment contracting services until December 31, 2023[109]. - The financial services framework agreement with AVIC Finance includes non-exclusive deposit, loan, settlement, and guarantee services until December 31, 2023[110]. - The company has confirmed that all related transactions are conducted under normal business conditions and comply with general commercial terms[131]. - The independent non-executive directors have reviewed the related transactions and confirmed their compliance with the company's overall interests[131].
中航科工(02357) - 2020 - 年度财报