JSSS(SH:600220)2014-04-14 16:00Financial Performance - In 2013, the company's operating revenue was CNY 2,342,008,104.40, a decrease of 17.21% compared to CNY 2,828,923,978.13 in 2012[20] - The net profit attributable to shareholders was CNY 106,905,914.30, a significant recovery from a loss of CNY 1,361,482,812.58 in 2012[20] - The cash flow from operating activities increased by 941.54% to CNY 411,174,979.87 from CNY 39,477,699.20 in 2012[20] - The total assets decreased by 11.12% to CNY 3,848,350,916.79 from CNY 4,330,061,820.95 in 2012[20] - The company's net assets increased by 7.01% to CNY 1,628,183,018.61 from CNY 1,521,565,760.37 in 2012[20] - Basic earnings per share improved to CNY 0.0599 from a loss of CNY 0.7634 in 2012[21] - The weighted average return on equity was 6.79%, recovering from -61.74% in 2012[21] - The company reported a net profit of CNY 106,905,914.30 for the year 2013, with no cash dividend distribution proposed[54] - The company reported a net loss of CNY 331,252,401.46 for the year, compared to a loss of CNY 456,602,048.93 in the previous year, indicating an improvement in performance[119] Revenue Breakdown - The textile industry revenue decreased by 17.58% to CNY 1,637,013,135.04, primarily due to a reduction in the scope of consolidation[26] - The thermal power industry revenue decreased by 2.11% to CNY 672,192,284.20, attributed to a slight decline in sales prices[26] - The company no longer engages in the polysilicon business, resulting in a 100% revenue decline in that sector[25] - The top five customers contributed CNY 1,006,947,153.87, accounting for 43.00% of total revenue[28] - Domestic sales revenue was ¥1,466,529,358.73, reflecting a decrease of 14.05% compared to the previous year[39] Cost Management - Operating costs decreased by 24.19% to CNY 1,893,435,888.56, reflecting improved cost management[26] - Sales expenses decreased by 42.08% to CNY 19,667,730.15, mainly due to a reduced scope of consolidation[34] - Management expenses decreased by 44.85% to CNY 180,719,660.48, also attributed to a reduced scope of consolidation[34] - Research and development expenses were CNY 17,629,729.36, down 8.60% from the previous year[26] Strategic Focus - The company plans to focus on risk management and future development strategies as outlined in the board report[11] - The company aims to enhance its core competitiveness by increasing R&D efforts and improving quality management in 2014[49] - The company will focus on brand building to maintain product competitiveness and address rising costs[50] - The company faces risks from rising labor costs, raw material price fluctuations, and exchange rate risks, and plans to mitigate these through various strategies[52] Corporate Governance - The company has revised its cash dividend policy to enhance transparency and better return to investors, ensuring the protection of minority shareholders' rights[53] - The company has not disclosed any major litigation, arbitration, or media disputes during the reporting period[55] - The company engaged in related party transactions, including purchasing clothing and raw materials at market prices, with transaction amounts of CNY 1,250.63 million and CNY 6,754.19 million respectively[57] - The company has not implemented any stock incentive plans or disclosed their impacts during the reporting period[56] Shareholder Information - The total number of shareholders at the end of the reporting period was 207,434, a decrease from 208,812[71] - The largest shareholder, Jiangsu Sunshine Group Co., Ltd., holds 8.448% of the voting rights, equivalent to 150,663,362 shares[75] - The second-largest shareholder, Chen Lifeng, holds 8.309% of the voting rights, equivalent to 148,181,020 shares[75] - A total of 38,413,000 unrestricted circulating shares, representing 21.54% of the total share capital, were transferred among major shareholders[75] Employee Information - The total number of employees in the parent company is 4,480, and in major subsidiaries, it is 1,649, resulting in a total of 6,129 employees[86] - The professional composition includes 5,220 production personnel, 175 sales personnel, 420 technical personnel, 24 financial personnel, 130 administrative personnel, and 160 others[86] - The educational background of employees shows 8 with master's degrees, 230 with bachelor's degrees, 920 with associate degrees, 350 with vocational degrees, and 4,621 with high school or lower education[86] Internal Control and Compliance - The company has established a system for accountability regarding significant errors in annual report disclosures, enhancing the accuracy and timeliness of information disclosure[105] - The internal control self-assessment report for 2013 was prepared and disclosed, with a standard unqualified opinion issued by the auditing firm[108] - The company confirmed no independence issues with its controlling shareholder regarding business, personnel, assets, and finances[101] - The company has not identified any significant deficiencies in internal control design and execution as of the end of the reporting period[105] Financial Position - The total assets as of December 31, 2013, amounted to CNY 3,848,350,916.79, a decrease from CNY 4,330,061,820.95 at the beginning of the year[116] - Total liabilities decreased from CNY 2,510,258,029.13 to CNY 1,934,940,938.22, a reduction of approximately 23%[117] - The total equity attributable to shareholders rose from CNY 1,488,093,588.11 to CNY 1,613,443,235.58, an increase of approximately 8%[119] Research and Development - The company applied for 77 patents in 2013, including 3 invention patents and 62 design patents[41] - The total R&D expenditure was ¥17,629,729.36, accounting for 0.92% of net assets and 0.75% of operating income[35] Market Position and Future Outlook - The company is focusing on enhancing its market position and exploring new strategies for growth[136] - The financial report indicates a need for strategic adjustments to improve profitability moving forward[136] - The company has not reported any new product developments or significant market expansions in the current financial year[121]