ZZEPC(SH:600023)2017-04-07 16:00Financial Performance - The company's operating revenue for 2016 was CNY 39.18 billion, a decrease of 1.29% compared to CNY 39.69 billion in 2015[19] - The net profit attributable to shareholders for 2016 was CNY 6.28 billion, down 10.03% from CNY 6.98 billion in 2015[19] - Basic earnings per share for 2016 were CNY 0.46, a decrease of 14.81% from CNY 0.54 in 2015[20] - The weighted average return on equity for 2016 was 11.09%, down 2.79 percentage points from 13.88% in 2015[20] - The net profit attributable to shareholders after deducting non-recurring gains and losses for 2016 was CNY 1,447,613,241.02, a decrease from CNY 2,645,148,871.86 in 2015[23] - The total revenue from electricity sales was ¥362.42 billion, with a slight decrease of 0.51% compared to the previous year[59] - The company's total revenue for 2016 was CNY 391.77 billion, achieving 89.04% of the budgeted CNY 440.01 billion[82] - The total profit for 2016 was CNY 86.99 billion, which is 93.67% of the planned CNY 92.87 billion[82] - The net profit attributable to the parent company's shareholders for 2016 was CNY 62.77 billion, exceeding the budget by 0.64%[82] Cash Flow and Investments - The net cash flow from operating activities increased by 5.49% to CNY 13.35 billion in 2016, compared to CNY 12.66 billion in 2015[19] - The net cash flow from operating activities for 2016 was CNY 4,164,023,217.69, compared to CNY 4,226,625,758.80 in 2015[23] - The net cash flow from investing activities improved to -¥3,688,337,115.08, a 21.03% increase from the previous year, primarily due to increased investment income and reduced capital expenditures[54] - The net cash flow from financing activities decreased to -¥6,352,951,644.00, a 36.92% improvement compared to the previous year, attributed to reduced debt repayments and increased financing lease receipts[54] - The company reported a total investment of 65.01 million RMB in poverty alleviation efforts, including funding for 141 impoverished students[124] Assets and Liabilities - The total assets at the end of 2016 were CNY 105.84 billion, reflecting a 2.10% increase from CNY 103.66 billion at the end of 2015[19] - The total liabilities were CNY 39.53 billion, slightly down from CNY 39.79 billion, indicating a decrease of about 0.6%[174] - The total equity of the company reached CNY 66.31 billion, up from CNY 63.87 billion, representing an increase of approximately 3.7%[174] - Current assets totaled CNY 24.81 billion, compared to CNY 21.59 billion at the beginning of the year, marking a growth of around 15.8%[173] - Cash and cash equivalents increased to CNY 15.77 billion from CNY 12.46 billion, a rise of approximately 26.5%[172] Operational Efficiency - The total power generation of the company's controlled units reached 103.767 billion kWh, representing a year-on-year growth of 13.39%[37] - The average utilization hours of coal-fired power equipment dropped to 4,165 hours in 2016, the lowest since 1964[34] - The comprehensive cost per kWh decreased by 1.01 cents, with coal cost (excluding coal price fluctuations) down by 0.29 cents and financial costs down by 0.4 cents[38] - The average coal consumption for power generation was 296.83 grams/kWh, a decrease of 2.51 grams/kWh year-on-year, reflecting improved efficiency[62] Dividends and Shareholder Returns - The company plans to distribute a cash dividend of CNY 2.30 per 10 shares to all shareholders for the 2016 fiscal year[4] - The cash dividend amount for 2016 is approximately 3.13 billion RMB, accounting for 49.83% of the net profit attributable to ordinary shareholders[90] - The cash dividend amount for 2015 was approximately 3.67 billion RMB, which represented 52.64% of the net profit attributable to ordinary shareholders[90] Market Position and Strategy - The company is the largest coal-fired power enterprise in Zhejiang Province, managing and controlling about half of the province's total installed capacity[30] - The company has a diversified energy portfolio, including investments in nuclear power, holding stakes in several quality nuclear power enterprises[30] - The company is actively expanding its heating and photovoltaic projects, with 12 heating renovation projects and 12 photovoltaic projects in the preliminary stages[39] - The company plans to continue expanding its capacity and improving operational efficiency through ongoing projects and technological upgrades[64] Governance and Compliance - The company has implemented a strict internal control system, establishing a comprehensive internal control manual and risk database to enhance operational compliance[157] - The internal control audit report issued by Tianjian Accounting Firm confirmed that the company maintained effective financial reporting internal controls as of December 31, 2016[164] - The company has not reported any significant deficiencies in internal controls during the reporting period[164] - The company has a clear cash dividend policy that was approved at the 2013 annual general meeting and is reflected in the company’s articles of association[88] Related Party Transactions - The total amount of related party transactions with Zhejiang Energy Group was approximately RMB 1.82 billion, accounting for 100% of the total related transactions[103] - The largest transaction was with Zhejiang Provincial Natural Gas Company, amounting to RMB 1.66 billion, representing 91.23% of the total related transactions[103] - The company engaged in related transactions with Zhejiang Energy Group Financial Co., Ltd., with a maximum deposit balance of CNY 35 billion and a loan limit of CNY 40 billion for 2016, which were not exceeded[108] Social Responsibility - The company is actively involved in social responsibility initiatives, including targeted poverty alleviation and educational support[125] - The company has committed to implementing advanced energy-saving and emission-reduction technologies to support Zhejiang's goal of becoming a national clean energy demonstration province[125] - The company successfully ensured power supply during major events, contributing approximately 49% of the total regulated power generation in the province during the G20 summit[41]