TENGDA CONST.(SH:600512)2015-04-03 16:00Financial Performance - The company's operating revenue for 2014 was CNY 2,913,530,799.82, representing a 57.36% increase compared to CNY 1,851,527,560.66 in 2013[21] - The net profit attributable to shareholders of the listed company decreased by 84.09% to CNY 24,021,244.38 from CNY 150,971,393.78 in the previous year[21] - The net profit after deducting non-recurring gains and losses was CNY 15,418,206.53, down 40.17% from CNY 25,770,731.43 in 2013[21] - Basic earnings per share decreased by 85.00% to CNY 0.03 in 2014 compared to CNY 0.20 in 2013[23] - Weighted average return on equity dropped by 11.45 percentage points to 2.06% in 2014 from 13.51% in 2013[23] - Non-operating income for 2014 amounted to CNY 8,603,037.85, a significant decrease from CNY 125,200,662.35 in 2013[26] - The company reported a decrease in net profit due to non-recurring losses, with a loss from non-current asset disposal amounting to CNY 379,604.33 in 2014[25] - The company reported a net profit of CNY 1.21 million from Shanghai Chengdao Municipal Construction Co., with total assets of CNY 192.69 million and net assets of CNY 30.33 million in 2014[67] - The company reported a net loss attributable to shareholders of approximately 51.59 million, indicating a challenging financial year[186] Cash Flow and Assets - The cash flow from operating activities turned positive with a net amount of CNY 7,220,201.74, a significant improvement of 120.09% from a negative CNY 35,931,203.54 in 2013[21] - The total assets at the end of 2014 were CNY 5,661,251,317.62, an increase of 2.23% from CNY 5,537,914,940.35 in 2013[21] - The company's gross profit margin for 2014 was approximately 10.73%, with total costs amounting to CNY 2.601 billion, a 64.30% increase from the previous year[34][40] - The company reported a net cash flow from operating activities of CNY 7.22 million, a turnaround from a negative CNY 35.93 million in the previous year, representing a 120.09% improvement[34] - The company reported a total current assets of RMB 4,601,377,218.45 as of December 31, 2014, an increase from RMB 4,536,308,705.56 at the beginning of the year, reflecting a growth of approximately 1.43%[164] - Cash and cash equivalents at the end of the reporting period amounted to RMB 639,258,485.16, up from RMB 598,040,495.85, indicating an increase of about 6.67%[164] - The company's accounts receivable stood at RMB 443,639,533.68, showing a slight increase from RMB 435,247,302.72, which is approximately 1.01% growth[164] - The inventory balance was RMB 3,270,105,625.65, a minor decrease from RMB 3,272,552,429.42, reflecting a decline of about 0.07%[164] Dividends and Shareholder Information - The company plans to distribute a cash dividend of CNY 0.20 per 10 shares, totaling an estimated distribution of CNY 20,360,744.58[2] - In 2014, the company approved a cash dividend of 0.20 RMB per 10 shares, totaling 20,360,744.58 RMB, which represents 84.76% of the net profit attributable to shareholders[79] - As of December 31, 2014, the total number of shareholders increased to 68,727 from 62,023[118] - The largest shareholder, Ye Yangyou, holds 4.49% of the shares, with no shareholder exceeding 5%[121] - The company has no controlling shareholder, with the largest shareholder holding less than 5%[121] Project and Contract Information - The company secured new contracts totaling approximately CNY 2.64 billion during the reporting period, primarily in Zhejiang Province and Shanghai[28] - The total construction contracts signed by the company have continuously increased, with 52 projects currently under construction, each exceeding CNY 50 million[36] - Major clients include the Hangzhou Urban Infrastructure Development Center, contributing CNY 240.99 million, accounting for 33.28% of total revenue[37] - The company won a bid for the "Qingdao Li Cang District Zaoshan Road Project" with a contract value of approximately ¥119.99 million and a duration of 460 days[34] - The company secured the "Road Bridge Airport to Wenling New River Highway Reconstruction Project" with a contract value of approximately ¥80.66 million and a duration of 24 months[35] Management and Governance - The company has maintained a low turnover rate among core management and key technical personnel, ensuring a team with over 20 years of rich on-site construction experience[55] - The company has a total of 14 companies under its control, with 13 being wholly-owned or controlled subsidiaries and 1 being an associate company[56] - The company has implemented a competitive job system and is gradually improving its project manager management model to enhance core competitiveness[54] - The company’s board of directors consists of 9 members, including 3 independent directors, ensuring compliance with legal requirements[145] - The company has seen changes in its board, with Zhu Husheng resigning as an independent director due to regulatory requirements[134] Risks and Challenges - The company faces risks related to economic cycles and macroeconomic policies that significantly impact the construction industry[77] - The company is exposed to risks from accounts receivable turnover and liquidity due to the long duration of large infrastructure projects[78] - The company is also at risk from fluctuations in raw material and labor costs, which can affect overall project expenses[78] Future Outlook and Strategy - The company plans to maintain a steady operational strategy in 2015, focusing on high-difficulty municipal projects and enhancing brand development in real estate[73] - The company aims to expand its market share in the national subway construction market while ensuring its presence in the Yangtze River Delta region[74] - The company will enhance its financial planning and management to optimize asset utilization and broaden financing channels for new real estate projects[74] - The company intends to adapt to the new normal of the real estate market by increasing construction and sales efforts for ongoing projects[73]