Hunan (SH:600476)2016-04-25 16:00Financial Performance - The company reported a net profit attributable to shareholders of -39,529,770.11 RMB for 2015, a decrease of 647.79% compared to the previous year's profit of 7,216,217.89 RMB[2]. - Total revenue for 2015 was 203,040,430.86 RMB, representing a year-on-year increase of 25.81% from 161,386,450.54 RMB in 2014[19]. - The company's net cash flow from operating activities was -20,177,551.08 RMB, worsening from -4,955,868.63 RMB in 2014[19]. - The total assets at the end of 2015 were 338,440,185.95 RMB, a decrease of 9.21% from 372,778,956.48 RMB at the end of 2014[19]. - The net assets attributable to shareholders decreased by 17.13% to 191,227,758.47 RMB from 230,757,528.58 RMB in 2014[19]. - Basic earnings per share for 2015 were -0.245 RMB, a decline of 644.44% compared to 0.045 RMB in 2014[20]. - The weighted average return on equity was -18.74%, down 21.92 percentage points from 3.18% in 2014[20]. - The company reported a gross margin of 5.22% in the postal industry, with a year-on-year increase of 2.07 percentage points[43]. - The company achieved an operating revenue of CNY 203.04 million in 2015, representing a year-on-year growth of 25.81%[39]. - The net profit attributable to shareholders was a loss of CNY 39.53 million, an increase in loss of CNY 46.75 million compared to the previous year[39]. Operational Strategy - The company is focusing on optimizing and integrating operations to reduce costs and improve efficiency, with a strategic emphasis on the postal market[35]. - The company has established three major market segments: external postal markets, Hunan postal services, and group company business, with sales increasing year-on-year[35]. - The company is actively pursuing technology research and development, particularly in the areas of GIS Beidou technology applications and smart parcel lockers[27]. - The company aims to enhance its core competitive advantages through independent innovation and the development of proprietary products[35]. - The company has received significant support from the China Post Group, enhancing its market position and resource access[31]. - The company is committed to risk control while cautiously expanding into external industries, focusing on familiar sectors such as public security and finance[36]. - The company has developed a comprehensive self-controlled software and hardware industry chain, positioning itself as a key IT service provider in the postal industry[30]. Legal and Compliance Issues - The company has faced litigation involving Hunan Xiangyou Real Estate Co., Ltd. and others, with the case being accepted by the Hunan Province Changsha Intermediate People's Court on March 20, 2015[77]. - The company is involved in a lawsuit regarding a contract dispute with Zhuzhou Xinglian Technology Co., Ltd., with an amount in dispute of 202 million RMB[79]. - The company has a pending case against Shenzhen Zhongdian Digital Display Co., Ltd. for an amount of 116.1 million RMB, with the court ruling that the company bears no legal responsibility[79]. - The company has been involved in multiple lawsuits, with significant amounts at stake, indicating potential financial risks[78]. - The company has taken measures to address litigation risks, including appealing unfavorable court decisions[78]. - The company has been active in legal proceedings, with several cases ongoing in 2015, reflecting its engagement in dispute resolution[79]. - The company has reported on its litigation status in various announcements, ensuring transparency with stakeholders[77]. Shareholder and Equity Information - The company reported a total of 15,391 ordinary shareholders at the end of the reporting period, an increase from 12,942 at the end of the previous month[94]. - Beijing Zhongyou Asset Management Co., Ltd. became the controlling shareholder after receiving 53,128,388 shares, representing 32.98% of the total share capital[93]. - The company engaged in daily related party transactions with China Post Group and its subsidiaries, with an actual transaction amount of RMB 178.93 million against an estimated amount of RMB 170 million for 2015[82]. - The company has a total of 9 leasing agreements with various entities, generating rental income of RMB 2.14 million from these leases[86]. - The company has a controlling shareholder, Beijing Zhongyou Asset Management Co., established on June 26, 2007, primarily engaged in investment management and asset management[98]. - The actual controller is China Post Group Corporation, which holds significant stakes in other listed companies, including 62,924,213 shares in Bank of Communications[101]. Corporate Governance - The company appointed Tianzhi International Accounting Firm as the auditor for the 2015 financial year, with an audit fee of 50 million RMB[76]. - The company has not faced any penalties from regulatory bodies during the reporting period[126]. - The company actively engages with investors, ensuring equal access to information for all shareholders[125]. - The company’s governance structure is deemed complete and compliant with regulatory standards[126]. - The company has established a compensation and assessment committee to oversee executive remuneration[115]. - The company’s governance structure has been updated to reflect recent changes in leadership and management[116]. Employee and Management Information - The total number of employees in the parent company is 344, with 40 retirees that the company needs to support[118]. - The professional composition includes 146 technical personnel, 73 customer service personnel, and 35 sales personnel[118]. - The compensation structure consists of 60% base and position salary, 20% quarterly performance, and 20% annual performance[119]. - In 2015, the company conducted various external training programs, including project management and safety assessment training[120]. - The company has not outsourced any labor, with total outsourced labor hours and payments both at 0[121]. Financial Reporting and Audit - The financial statements were approved for release on April 22, 2016[188]. - The financial statements are prepared based on the assumption of going concern and comply with the latest accounting standards issued by the Ministry of Finance[194]. - The company's accounting currency is Renminbi (RMB)[197]. - The company follows specific accounting treatment methods for mergers under common control and non-common control[198][200].