JSSS(SH:600220)2018-05-11 16:00Financial Performance - The company achieved a net profit attributable to shareholders of CNY 120,993,936.10 in 2017, a decrease of 20.86% compared to CNY 152,880,318.17 in 2016[4]. - Total operating revenue for 2017 was CNY 2,150,841,213.13, reflecting a growth of 2.80% from CNY 2,092,172,271.84 in 2016[20]. - The net cash flow from operating activities increased by 42.96% to CNY 394,962,696.82 in 2017, compared to CNY 276,281,392.15 in 2016[20]. - The company reported a net profit of CNY 115,465,248.41 after deducting non-recurring gains and losses, a decrease of 4.34% from CNY 120,705,788.40 in 2016[20]. - Basic earnings per share decreased by 20.89% to CNY 0.0678 in 2017 compared to CNY 0.0857 in 2016[21]. - The weighted average return on equity fell by 2.13 percentage points to 6.01% in 2017 from 8.14% in 2016[21]. - The company reported a decrease in net profit from 152,880,318.17 RMB in 2016 to 120,993,936.10 RMB in 2017, reflecting a decline of approximately 21%[77]. - The company reported a total comprehensive income of 120,993,936.10 RMB for the period, contributing to the overall equity increase[180]. Assets and Liabilities - The company's total assets at the end of 2017 were CNY 4,721,753,325.44, up 4.87% from CNY 4,502,610,870.77 at the end of 2016[20]. - The company's total liabilities increased by 82.50% in financing activities, primarily due to increased cash payments for debt repayment[55]. - Total liabilities were CNY 2,403,657,285.50, compared to CNY 2,298,913,854.48 at the start of the year, reflecting an increase of about 4.56%[161]. - The company's equity increased to CNY 2,318,096,039.94 from CNY 2,203,697,016.29, showing a growth of approximately 5.20%[162]. - The total liabilities increased to ¥2,503,120,401.11, compared to ¥2,457,917,384.24 in the previous year, reflecting a growth of 1.8%[165]. Dividends and Profit Distribution - The company decided not to distribute dividends for 2017 due to the low distributable profit of less than CNY 0.1 per share and the investment needs for the Ethiopia project[4]. - The actual distributable profit at the end of the year was 76,146,562.63 RMB, but the company proposed not to distribute dividends due to the profit being less than 0.1 RMB per share and the investment needs for the Ethiopia project[76][78]. - The company reported a profit distribution of CNY 0.00, with no allocations made to surplus reserves or dividends[185]. Industry and Market Position - The textile manufacturing industry is a key sector for the company, focusing on high-end woolen products and maintaining a leading position in the domestic market[31]. - The company has been recognized among the top 10 competitive enterprises in the Chinese wool spinning and knitting industry[31]. - The textile industry is experiencing a shift from capacity expansion to value growth, with a focus on high-end products and technological innovation[62]. - The company is a leading player in the domestic wool spinning industry, recognized among the top 10 competitive enterprises in the wool spinning and knitting sectors[61]. Research and Development - The company applied for 134 patents in 2017, with 3 granted, and successfully passed product evaluations for 4 new products[35]. - Research and development expenses totaled ¥14,449,719.70, representing 0.6718% of total revenue, with 186 R&D personnel making up 5.02% of the total workforce[54]. Environmental Compliance - The company has established wastewater treatment facilities to pre-treat wastewater before centralized processing, ensuring compliance with environmental standards[106]. - The company has implemented automatic online monitoring systems at all discharge points, with data connected to local environmental monitoring platforms[108]. - The company has maintained normal operation of all environmental protection facilities, meeting relevant emission standards during the reporting period[106]. Corporate Governance - The company has maintained a standard unqualified audit opinion from its accounting firm, indicating the reliability of its financial statements[8]. - The company emphasizes fair treatment and equal opportunities in its compensation policy, linking remuneration to job value, employee performance, and team performance[133]. - The company has implemented measures to improve corporate governance, ensuring compliance with the latest regulations and enhancing transparency[139]. Shareholder Information - The major shareholder, Jiangsu Sunshine Group Co., Ltd., holds 150,663,362 shares, representing approximately 29.988% of the voting rights[116]. - The company has a total of 133,089 ordinary shareholders as of the end of the reporting period, an increase from 132,584 at the end of the previous month[113]. - The total number of shares held by directors and senior management at the beginning of the reporting period was 292,481,020, which decreased to 148,181,020 by the end of the period, reflecting a reduction of 144,300,000 shares[123]. Future Outlook - The company plans to enhance its global strategy by increasing brand value and accelerating overseas factory establishment[71]. - The company plans to focus on market expansion and new product development as part of its future strategy[167]. - The textile industry is expected to maintain steady growth, transitioning towards high-quality development in 2018[68].