JSSS(SH:600220)2017-04-18 16:00Financial Performance - The company achieved a net profit attributable to shareholders of 152,880,318.17 CNY in 2016, representing a 37.42% increase compared to 111,254,159.40 CNY in 2015[3]. - Total operating revenue for 2016 was 2,092,172,271.84 CNY, a 2.08% increase from 2,049,556,352.03 CNY in 2015[22]. - The company's net assets attributable to shareholders increased by 8.49% to 1,953,854,541.94 CNY at the end of 2016, compared to 1,800,962,284.00 CNY at the end of 2015[23]. - Total assets rose by 6.12% to 4,502,610,870.77 CNY at the end of 2016, up from 4,242,786,792.09 CNY at the end of 2015[23]. - Basic earnings per share increased by 37.34% to CNY 0.0857 in 2016 compared to CNY 0.0624 in 2015[24]. - The company reported a negative distributable profit of -51,872,610.76 CNY at the end of 2016, leading to no profit distribution or capital increase for the year[3]. - The company reported a net profit contribution of 17.82% from its subsidiary, Xin Qiao Thermal Power, with a net profit of 33,916,348.77 RMB[76]. - The company’s subsidiary, Huantang Thermal Power, contributed 15.95% to the net profit with a net profit of 32,511,714.31 RMB[76]. Cash Flow and Investments - The net cash flow from operating activities decreased by 42.54% to 276,281,392.15 CNY in 2016, down from 480,836,427.73 CNY in 2015[22]. - The cash flow from operating activities showed a significant fluctuation, with a negative cash flow of CNY 33,081,230.63 in the first quarter, followed by a positive cash flow of CNY 455,056,279.99 in the fourth quarter[27]. - The company reported a net cash flow from investment activities increased by 122.65% to ¥154,813,829.62, primarily due to the recovery of entrusted loans[62]. - The company reported a total cash and cash equivalents at the end of the period increased to CNY 636,971,443.31 from CNY 272,020,838.83 in the previous period[181]. - The cash inflow from financing activities was CNY 1,844,167,407.75, down 31.5% from CNY 2,680,287,149.00 in the previous period[180]. Revenue Segments - The company's textile industry revenue was CNY 1,462,401,589.92, a decrease of 3.27% from the previous year, while the cost of goods sold decreased by 6.34%[33]. - The thermal power segment's revenue increased by 18.65% to CNY 579 million, with a gross margin of 26.72%, up by 4.96 percentage points[42]. - The textile segment reported a revenue of CNY 1.46 billion, a decrease of 3.27%, while the gross margin improved by 2.53 percentage points to 23.16%[41]. Research and Development - The company applied for 118 patents in 2016, with 71 granted, including 4 invention patents[36]. - Research and development expenses totaled ¥14,123,954.96, representing 0.6751% of total operating revenue[60]. - The company plans to enhance its core competitiveness by increasing R&D efforts and improving quality management in 2017[81]. Market Position and Strategy - The company anticipates stable operation in the textile industry in 2017, supported by recovering international market demand and domestic economic stability[34]. - The company aims to implement a globalization strategy to strengthen its high-end brand and maintain strong product pricing power[81]. - The company is positioned as a leading enterprise in the wool spinning industry, focusing on high-end products and technology-driven innovation[67]. Shareholder Information - The total number of common stock shareholders at the end of the reporting period was 137,951, an increase from 133,377 at the end of the previous month[116]. - The largest shareholder, Jiangsu Sunshine Group Co., Ltd., held 150,663,362 shares, representing 8.448% of the total shares[119]. - The total voting rights held by the top four shareholders combined is 29.988%[121]. Governance and Compliance - The company has maintained a strict cash dividend policy since its establishment, ensuring transparency and protection of minority shareholders' rights[84]. - The company has not faced any penalties from securities regulatory authorities in the past three years[135]. - The company has established a training program to enhance the overall quality and business skills of employees, focusing on both internal and external training[138]. Risks and Challenges - The company has outlined potential risks in its future development strategies, which investors should be aware of[4]. - The company faces risks from rising raw material prices, particularly wool and coal, which could impact production costs and profitability[82]. - The textile industry is facing challenges such as declining domestic demand and environmental pressures, necessitating a shift towards sustainable development[68]. Financial Health - The company's total liabilities increased to 2,298,913,854.48 CNY, compared to 2,195,606,235.14 in the previous year, representing a rise of 4.7%[165]. - The company's total equity rose to CNY 2,203,697,016.29, compared to CNY 2,047,180,556.95, marking an increase of 7.6%[165]. - The company reported a net loss of CNY 51,872,610.76 for the year, an improvement from a net loss of CNY 190,443,111.29 in the previous year[169].