NXBM(SH:600449)2015-03-19 16:00Financial Performance - The company's operating revenue for 2014 was CNY 3,892.64 million, a decrease of 7.47% compared to CNY 4,206.87 million in 2013[28]. - The net profit attributable to shareholders for 2014 was CNY 271.51 million, down 9.73% from CNY 300.77 million in 2013[28]. - The basic earnings per share for 2014 was CNY 0.57, a decline of 9.52% from CNY 0.63 in 2013[24]. - The company's revenue for 2014 was CNY 3.893 billion, which was 90.12% of the planned revenue of CNY 4.32 billion[43]. - The gross profit margin for cement and clinker was 26.35%, a decrease of 4.41% compared to the previous year[45]. - The company reported a total of CNY 11.99 million in non-recurring gains and losses for 2014, compared to a loss of CNY 28.16 million in 2013[26]. - The company reported a net profit attributable to shareholders of 271.51 million RMB for 2014, with a cash dividend distribution of 86.07 million RMB, representing 31.70% of the net profit[74]. - The company reported a net profit increase, with retained earnings rising to RMB 1,576,926,986.66, up 11.51% from RMB 1,414,307,950.16[164]. Shareholder Information - The company plans to distribute a cash dividend of 1.8 RMB per 10 shares to shareholders based on a total share capital of 478,181,042 shares at the end of 2014[3]. - The company has a cash dividend policy that mandates at least 30% of the average distributable profit over the last three years to be distributed as cash dividends if profits are available[74]. - The total number of shares outstanding after the recent changes is 478,181,042, with 52.46% being unrestricted circulating shares[107]. - The total share capital as of December 31, 2014, is 47,818.10 million shares, with a significant portion (47.56%) held by China National Materials Group Corporation[189]. Business Operations - The company has maintained its main business focus on the production and sales of cement and related products since its listing in 2003[19]. - The company has not experienced any significant changes in its main business since its establishment[18]. - The company sold 14.20 million tons of cement in 2014, a slight increase of 0.58% year-on-year, while the average selling price decreased by CNY 12.11 per ton[29]. - The company produced 14.19 million tons of cement in 2014, achieving 106.69% of its production plan[43]. - The company plans to produce 14.68 million tons of cement and 2.92 million cubic meters of concrete in 2015, targeting revenue of CNY 4.017 billion[67]. - The company has suspended cement operations in Qinghai Province and deregistered a subsidiary in the region[28]. Financial Position - The total assets at the end of 2014 were CNY 8,129.91 million, an increase of 1.63% from CNY 7,999.68 million at the end of 2013[28]. - The company's total equity investment decreased by 77.25% year-on-year to CNY 106.68 million, primarily due to the acquisition of a 49% stake in Kaijin Concrete[52]. - The company's cash and cash equivalents increased by 40.95% to CNY 506.54 million compared to the previous year[49]. - The company's total liabilities increased to CNY 3,630,190,522.07, up 3.44% from CNY 3,509,097,913.11[164]. - The company's equity attributable to shareholders increased to RMB 4,236,111,206.87, up 4.27% from RMB 4,062,909,569.99[164]. Investment and Acquisitions - The company acquired a 49% stake in Saima KJ for CNY 197.56 million, making it a wholly-owned subsidiary[28]. - The company has acquired 100% equity of Ningxia Saima Concrete Co., Ltd. by purchasing the remaining 49% stake, enhancing its market position[79]. - The company completed the acquisition of 55% equity in Wuhai Xishui, which became a wholly-owned subsidiary, leading to related transactions of 4.4466 million RMB for electricity purchases[85]. Risk Management - The company is facing significant market competition risks due to overcapacity in the cement industry and a downturn in the real estate sector, which has increased operational difficulties[71]. - The company has faced financing risks due to high costs and difficulties in securing funds in an overcapacity industry[72]. - The company is committed to addressing any undisclosed debts or liabilities prior to the merger, ensuring that the merged entity does not bear unreasonable risks[93]. Corporate Governance - The company has maintained a stable relationship with its accounting firm, with the audit fee increasing from 700,000 RMB to 800,000 RMB for the current year[96]. - The company has committed to strict compliance with national regulations regarding corporate governance and competition avoidance[94]. - The board of directors consists of 8 members, including 3 independent directors, ensuring effective decision-making and oversight[139]. - The company has established a comprehensive internal control management manual to enhance governance and ensure compliance with regulations[140]. Employee Information - The company has a total of 5,292 employees, with 3,612 in production, 596 in sales, 574 in technical roles, 92 in finance, and 418 in administration[133]. - The employee compensation structure is based on job performance, consisting of job performance salary, allowances, and seniority pay, reflecting the principle of "pay for performance"[134]. - The total remuneration for senior management during the reporting period amounted to RMB 729.223 million (pre-tax)[125]. Future Strategies - The company is focusing on cost control and plans to enhance procurement strategies to reduce costs while promoting technological advancements[67]. - The company aims to strengthen quality management and improve production processes to maintain product quality and market competitiveness[68]. - The company is investing in new projects, including a 4,500 tons/day clinker cement production line, to enhance operational efficiency[68]. - Future development strategies include expanding into non-metallic materials and technology equipment sectors[123].