ANHUI EXPRESSWAY(SH:600012)2015-03-29 16:00Financial Performance - The net profit for the year 2014, according to Chinese accounting standards, was RMB 960,082 thousand, while under Hong Kong accounting standards, it was RMB 935,313 thousand[4]. - The total distributable profit for shareholders for 2014 was RMB 935,313 thousand, leading to a proposed cash dividend of RMB 2.30 per 10 shares, totaling RMB 381,480.30 thousand[4]. - The company's operating revenue for 2014 was approximately RMB 2.34 billion, a slight increase of 0.41% compared to RMB 2.33 billion in 2013[35]. - The net profit attributable to shareholders for 2014 was approximately RMB 860.87 million, representing a 1.53% increase from RMB 847.91 million in 2013[35]. - The total assets of the company as of December 31, 2014, were approximately RMB 11.53 billion, a decrease of 5.49% from RMB 12.20 billion in 2013[35]. - The net cash flow from operating activities for 2014 was approximately RMB 1.60 billion, an increase of 6.88% compared to RMB 1.49 billion in 2013[35]. - The basic earnings per share for 2014 were RMB 0.519, up 1.53% from RMB 0.511 in 2013[36]. - The weighted average return on equity for 2014 was 11.83%, a decrease of 0.71 percentage points from 12.54% in 2013[36]. - The total profit for the year was RMB 1,171,532 thousand, reflecting a decrease of 3.07% from RMB 1,208,587 thousand in the previous year[58]. - Net profit attributable to shareholders was RMB 860,866 thousand, an increase of 1.53% from RMB 847,910 thousand in 2013, primarily due to revenue growth and a gain of RMB 39 million from the transfer of 300 million shares of Xin'an Financial[58]. Business Operations - The company’s main business includes holding, operating, and developing toll highways within and outside Anhui Province, with a secondary business in pawn services established in 2012[23]. - The company managed a total of 484 kilometers of operational toll roads as of December 31, 2014[29]. - Toll revenue reached RMB 2,223,793 thousand, marking a 1.62% increase year-over-year, driven by recovery in traffic on the Gaojie Expressway[59]. - The average daily traffic volume on the Gaojie Expressway increased by 19.82%, contributing to a 33.15% rise in toll revenue for that segment[65]. - The company’s core business focuses on the operation of transportation infrastructure in Anhui Province, benefiting from a unique geographical advantage[88]. Investments and Financing - The company completed an investment of RMB 400 million in the second phase of the Ningxuanhang Expressway construction, with a cumulative investment of RMB 1.358 billion[55]. - The company plans to utilize self-owned funds, bank loans, and corporate bonds to meet the funding needs for ongoing investment projects[117]. - The company has approved the issuance of short-term financing bonds totaling up to RMB 1 billion, with registration valid for 2 years[156]. - The company has also approved the issuance of corporate bonds totaling up to RMB 1.2 billion, with a maximum term of 8 years[157]. - The company provided entrusted loans totaling RMB 18.5 million to Ningxuanhang, with a cumulative total of RMB 27 million in entrusted loans[97]. Risk Management - The company is facing challenges such as slow growth in its main business and increasing pressure from policies and competition from high-speed rail[51]. - The company faces risks from economic downturns, policy exemptions, and changes in road network environments, which could impact toll revenue[60]. - The company has a financial risk due to high capital investment and long return cycles, and it plans to control costs through comprehensive budget management[124]. - The company is focusing on risk control and supervision in its financial business to mitigate losses from non-performing loans[55]. Shareholder and Governance - The company has maintained a cash dividend policy for 19 consecutive years, with a cash dividend of RMB 2.3 per 10 shares in 2014, totaling RMB 381,480,300, which is 44.31% of the net profit attributable to shareholders[133]. - The company is committed to maintaining communication with minority shareholders regarding profit distribution policies and ensuring their interests are protected[129]. - The company has established an American Depositary Receipt (ADR) program with 50 million receipts registered, each representing 10 H shares listed in Hong Kong[150]. - The company has retained its accounting firms for 13 years, with fees of RMB 135,000 for domestic services and RMB 70,000 for international services[147]. - The company has made adjustments in its board and supervisory roles, appointing new members to enhance governance[195]. Employee and Management - The total number of employees in the parent company is 1,545, while the main subsidiaries have 471 employees, resulting in a total of 2,016 employees[197]. - The company has a total of 1,447 production staff, 94 technical staff, 34 financial staff, and 441 administrative staff, maintaining a diverse workforce[197]. - The company emphasizes a broadband salary system to motivate employees and link performance assessments to salary distribution[198]. - The company has implemented a performance assessment system that covers all employees, ensuring accountability and reward based on performance[198]. - The total remuneration for all directors, supervisors, and senior management personnel at the end of the reporting period amounted to RMB 1.8276 million[192].