BAOSHENG SCI(SH:600973)2016-04-22 16:00Financial Performance - The company's operating revenue for 2015 was CNY 12,988,430,155.11, representing a year-on-year increase of 6.79% compared to CNY 12,162,376,384.85 in 2014[19] - The net profit attributable to shareholders of the listed company was CNY 160,501,087.38, an increase of 24.73% from CNY 128,674,351.66 in the previous year[19] - The net profit after deducting non-recurring gains and losses was CNY 161,386,744.71, up 30.91% from CNY 123,277,338.08 in 2014[19] - Basic earnings per share increased by 24.60% to CNY 0.390 in 2015 compared to CNY 0.313 in 2014[20] - Diluted earnings per share rose by 26.33% to CNY 0.379 in 2015 from CNY 0.300 in 2014[20] - Net profit attributable to shareholders for Q4 2015 was CNY 60,365,826, marking a significant increase from CNY 16,842,898 in Q1 2015[22] - The total revenue for the year 2015 reached ¥12.59 billion, an increase of 8.37% compared to the previous year[52] - Net profit reached ¥166,582,935.55, up 28.76% compared to the previous year[48] - The company's EBITDA for 2015 was ¥637,960,251.30, representing a 28.91% increase compared to ¥494,886,237.70 in 2014[191] Assets and Liabilities - The company's total assets at the end of 2015 were CNY 8,849,165,515.78, a 3.25% increase from CNY 8,570,705,035.83 in 2014[19] - The net assets attributable to shareholders of the listed company increased by 5.6% to CNY 2,175,962,167.38 from CNY 2,060,532,167.45 in 2014[19] - The debt-to-asset ratio decreased to 73.99% in 2015 from 75.07% in 2014, reflecting a reduction in liabilities[191] - The total bank credit limit was ¥1,112,500,000, with ¥358,672,000 utilized, leaving a remaining credit of ¥753,828,000[193] Cash Flow - The cash flow from operating activities showed a significant decline, with a net outflow of CNY 25,471,529.90 compared to a net inflow of CNY 75,526,040.35 in the previous year, a decrease of 133.73%[19] - The company reported a net cash flow from operating activities of CNY -686,727,460.58 in Q4 2015, following a positive cash flow of CNY 793,749,119.43 in Q3 2015[23] - The cash interest coverage ratio decreased by 29.53% to 1.0256 in 2015, down from 1.4553 in 2014, indicating a decline in cash flow available for interest payments[191] Dividends and Share Capital - The company plans to distribute a cash dividend of CNY 0.90 per 10 shares, totaling CNY 50,921,354.88, which accounts for 31.73% of the net profit attributable to shareholders[2] - The total share capital will increase to 905,268,531 shares after a capital reserve transfer of 6 shares for every 10 shares held[2] - The cash dividends for the previous three years were CNY 41,138,745.70 in 2014, CNY 32,910,996.56 in 2013, and CNY 30,473,145.00 in 2012, with respective payout ratios of 31.97% and 33.12%[95] Research and Development - The company adopted a "R&D + production + sales + service" business model to enhance product and market structure[31] - The company is focusing on new product and technology development to meet market demands and improve product quality[31] - Research and development expenditure was ¥257,989,656.93, a slight increase of 0.77% from the previous year[51] - The company developed 46 new products during the reporting period, with 20 products recognized at the provincial level, including 9 at the international advanced level[45] Market and Competition - The domestic cable industry is facing intensified competition, with many small and medium-sized enterprises experiencing operational difficulties[32] - The demand for special cables is expected to grow in sectors such as communication, renewable energy, and transportation[30] - The company is implementing a dual-channel sales strategy, combining traditional sales with e-commerce platforms[31] - The electric wire and cable industry is characterized by a low concentration of enterprises, with the top 20 companies holding less than 15% of the market share[72] Governance and Compliance - The company has not reported any significant mergers or acquisitions during the year, suggesting a focus on organic growth[146] - The company has established a robust internal control system to improve risk management and operational compliance[169] - The company maintained a profit distribution policy in its articles of association to ensure fair returns to investors[169] - The company evaluated the independence and professionalism of the external auditor, believing that the audit reports accurately reflected the company's actual situation[172] Risks and Challenges - The company faces risks related to changes in electricity industry investment policies, which could impact market demand for its products[86] - The company is at risk of losing core technical personnel, which could affect its competitive advantage in the market[88] - The company relies on a concentrated supplier base for raw materials, particularly copper rods, which poses a risk to production costs if suppliers fail to deliver[90] Employee and Management - The total number of employees in the parent company is 2,670, while the main subsidiaries have 2,287 employees, resulting in a total of 4,957 employees[157] - The actual remuneration paid to directors, supervisors, and senior management during the reporting period amounted to 5.1296 million yuan[154] - The company has implemented a compensation management system that links salary levels to market standards and performance assessments[158] Social Responsibility - The company raised nearly 300,000 RMB through employee participation in the "5.19 Charity Day" event, demonstrating its commitment to social responsibility[117] - The company implemented a paperless office initiative and adopted energy-saving technologies, leading to a significant reduction in resource consumption and waste generation[116]