JSZY(SH:600770)2014-04-25 16:00Financial Performance - The company reported a net profit of -488,728,376.77 RMB for the year 2013, resulting in a year-end distributable profit of -465,847,323.40 RMB after accounting for the beginning retained earnings of 78,111,053.37 RMB and cash dividends of 55,230,000.00 RMB[5]. - Basic earnings per share for 2013 was -0.61 RMB, a decrease of 2,133.33% compared to 0.03 RMB in 2012[23]. - The weighted average return on net assets was -24.22% in 2013, a decrease of 25.20 percentage points from 0.98% in 2012[23]. - The company did not propose any profit distribution or capital reserve transfer to share capital for the year 2013 due to the negative net profit[5]. - The diluted earnings per share also stood at -0.61 RMB for 2013, reflecting the same decline as the basic earnings per share[23]. - The company reported a significant net loss of RMB 679.33 million in 2013, a decrease of 2,187.28% compared to the previous year[27]. - Operating revenue for 2013 was RMB 371.51 million, down 26.11% from RMB 502.79 million in 2012[26]. - The total assets decreased by 20.38% to RMB 5.08 billion at the end of 2013, down from RMB 6.38 billion in 2012[26]. Cash Flow and Investments - The net cash flow from operating activities increased dramatically to RMB 574.88 million, a rise of 862.21% compared to RMB 59.75 million in 2012[26]. - Cash and cash equivalents decreased by 30.12% to ¥787,389,199.39, as funds were used for external investments[49]. - The company reported a significant impairment risk for the amorphous silicon production line due to operational instability and market conditions[66]. - The company has invested a total of 515 million yuan in non-listed financial enterprises, with significant stakes in various insurance and banking institutions[57]. - The total amount of entrusted financial management reached CNY 114,370,000, with actual returns of CNY 1,478,356.81[60]. Operational Highlights - The company successfully connected its 20MW solar power project in Xinjiang to the grid by the end of 2013, laying a solid foundation for future market expansion[28]. - The subsidiary Zongyi Superconducting achieved its first profit in 2013, with significant growth in production and market sales of its superconducting filter technology[29]. - Shenzhen Yineda successfully transitioned its target market to government application projects, significantly increasing its market share in various sectors[30]. - The GSC3280 chip developed by Shenzhou Longxin successfully entered mass production, with expectations for bulk sales in 2014, highlighting the company's focus on innovation[31]. Research and Development - Research and development expenses decreased by 10.55% to ¥19,259,372.40 from ¥21,530,175.77 year-on-year[35]. - Total R&D expenditure accounted for 5.18% of operating revenue, with a net asset ratio of 0.59%[42]. - The company is focusing on the development of thin-film solar cells, addressing the need for innovation in technology and marketing to differentiate from crystalline silicon solar cells[81]. Corporate Governance and Compliance - The company’s financial report received a standard unqualified audit opinion from the accounting firm[5]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties during the reporting period[6]. - There were no violations of decision-making procedures regarding external guarantees during the reporting period[6]. - The company has maintained the same accounting firm, Lixin Certified Public Accountants, for 14 years, with an audit fee of CNY 1,450,000[116]. Shareholder and Equity Information - The company approved a cash dividend of CNY 0.05 per share for the fiscal year 2012, totaling CNY 55.23 million distributed to shareholders[102]. - The company aims to distribute at least 30% of its average distributable profits over the last three years in cash dividends, subject to certain conditions[100]. - The total number of shares outstanding is 1,104,600,000, with 97.96% being tradable shares[121]. - The largest shareholder, Nantong Zongyi Investment Co., Ltd., holds 29.09% of the shares, totaling 321,323,958 shares, with 270,500,000 shares pledged[127]. Future Outlook and Strategy - The company plans to enhance its asset management capabilities by diversifying into fund management and fixed-income investments[32]. - The company aims to enhance the profitability of its high-tech enterprises and expedite their direct access to capital markets, leveraging their initial profitability achieved after years of effort[87]. - The company is actively pursuing a non-public issuance of A-shares, which was approved by the China Securities Regulatory Commission on January 29, 2014[104]. - The company is committed to enhancing its independent innovation capabilities and developing products with proprietary intellectual property rights, particularly in core areas related to national security[82].