SEP(SH:600021)2018-04-02 16:00Financial Performance - In 2017, Shanghai Electric Power achieved a net profit of CNY 221,524,947.80, with a remaining distributable profit of CNY 1,686,551,045.46 after accounting for cash dividends and reserves[5]. - The company's operating revenue for 2017 was CNY 18,844,317,471.65, representing a 12.26% increase compared to CNY 16,786,936,451.41 in 2016[22]. - The net profit attributable to shareholders decreased by 14.96% to CNY 928,023,882.33 in 2017 from CNY 1,091,340,887.99 in 2016[22]. - The basic earnings per share for 2017 was CNY 0.3851, down 14.97% from CNY 0.4529 in 2016[21]. - The weighted average return on equity decreased to 6.98% in 2017 from 8.22% in 2016, a decline of 1.24 percentage points[21]. - The net cash flow from operating activities was CNY 4,152,136,588.40, a decrease of 9.47% compared to CNY 4,586,320,474.25 in 2016[22]. - The company reported a significant decrease of 70.96% in net profit attributable to shareholders after deducting non-recurring gains and losses, amounting to CNY 243,744,928.12 in 2017[22]. - The net profit from non-recurring gains in 2017 was CNY 684.28 million, significantly higher than the previous years[27]. - The company reported a decrease in available-for-sale financial assets, with a change of approximately -CNY 239.46 million impacting profits[30]. - The net profit attributable to the parent company was 928 million RMB, a decrease of 14.96% compared to the previous year[52]. Revenue and Growth - The company achieved an operating revenue of 18.84 billion RMB, a year-on-year increase of 12.26%[52]. - The company completed a total power generation of 40.81 billion kWh, up 13.76% year-on-year[49]. - The profit from heating services reached 340 million RMB, an increase of 6.55% year-on-year[49]. - The company reported a total revenue of 768.93 million for the year 2017[179]. - The total revenue for the nine companies increased from CNY 30,718.64 million in 2017 to CNY 44,754.95 million in 2019, reflecting a growth of approximately 45.6% over the three years[114]. Assets and Investments - Total assets increased by 14.28% to CNY 80,913,969,430.61 at the end of 2017, up from CNY 70,800,348,133.99 at the end of 2016[22]. - The company completed equity investments totaling CNY 528,543,300, a 352.11% increase from CNY 116,905,500 in the same period of 2016[80]. - The total installed capacity at the end of 2017 was 12,897.8 MW, with 2,756.8 MW of new projects put into operation[74]. - The company reported a total guarantee amount of ¥86.5 million at the end of the reporting period, excluding guarantees to subsidiaries[138]. - The total amount of guarantees provided by the company, including those to subsidiaries, is approximately ¥3.95 billion, which accounts for 30.98% of the company's net assets[138]. Operational Efficiency - The company completed ultra-low emission retrofitting for 9 coal-fired units, totaling 2.794 million kilowatts, resulting in a reduction of 2,442 tons of pollutants including smoke, sulfur dioxide, and nitrogen oxides year-on-year[145]. - The average utilization hours for thermal power plants increased to 4,108 hours, up by 212 hours compared to the previous year[76]. - The company has implemented a performance evaluation and incentive mechanism based on EVA to enhance employee motivation and creativity[195]. - The company has established a scientific and effective incentive and restraint mechanism for its remuneration management system[188]. - The company aims to enhance energy efficiency and environmental protection through ongoing upgrades of operational units and the application of new energy technologies[146]. Market Expansion and Strategy - The company has expanded its overseas operations, obtaining qualifications for engineering construction in the EU and providing services in countries like Equatorial Guinea and Iraq[35]. - The company aims to enhance its technology service quality and transition towards high-end technical services, including technology consulting and product development[35]. - The company plans to expand its renewable energy capacity, particularly in wind and solar sectors, to meet growing demand[73]. - The company is focusing on expanding its renewable energy portfolio, particularly in wind and solar power generation[88]. - The company has committed to a "going out" strategy to accelerate overseas expansion and transformation towards a greener economy[146]. Corporate Governance and Management - The company has a structured approach to corporate governance, ensuring accountability and transparency in its operations[188]. - The board of directors consists of independent members with diverse expertise, ensuring effective governance[180]. - The management team includes experienced professionals with backgrounds in various sectors of the energy industry[180]. - The company has made significant changes in its board and supervisory personnel, with multiple elections and appointments due to restructuring[190][192]. - The company guarantees the independence of Shanghai Electric's financial operations, ensuring no shared bank accounts with controlling entities[103]. Future Outlook - Future outlook indicates a focus on technological advancements and market expansion strategies to enhance operational efficiency and profitability[73]. - The company plans to ensure a total profit of 1.37 billion CNY, striving for 2 billion CNY, and a net profit attributable to the parent company of 500 million CNY, aiming for 1 billion CNY[93]. - The company expects the total assets to reach 112 billion CNY by 2020[92]. - The company anticipates that non-fossil energy consumption will account for over 15% of total energy consumption by 2020, with natural gas consumption aiming for 10%[90]. - The company plans to address competition issues with Shanghai Electric by restructuring or disposing of certain energy generation assets within five years after the completion of the transaction[100].