NB CONSTRUCTION(SH:601789)2017-04-07 16:00Financial Performance - The company's operating revenue for 2016 was CNY 13,695,796,802.68, representing a 3.16% increase compared to CNY 13,276,230,505.00 in 2015[18]. - The net profit attributable to shareholders of the listed company was CNY 195,386,531.53, up 2.29% from CNY 191,004,899.58 in the previous year[18]. - The total assets of the company increased by 6.57% to CNY 13,033,719,613.47 from CNY 12,229,840,391.01 in 2015[18]. - The net cash flow from operating activities surged by 152.20% to CNY 399,599,576.88, compared to CNY 158,446,288.54 in 2015[18]. - Basic earnings per share for 2016 was CNY 0.2002, representing a 2.3% increase compared to CNY 0.1957 in 2015[19]. - Diluted earnings per share for 2016 was CNY 0.2002, up from CNY 0.1957 in 2015, reflecting a 2.3% growth[20]. - The weighted average return on equity decreased to 8.15% in 2016, down by 0.26 percentage points from 8.41% in 2015[20]. - The total revenue for the year was RMB 13.696 billion, reflecting a year-on-year growth of 3.16%[40]. - Net profit for the year was RMB 205 million, representing a year-on-year increase of 3.97%[38]. - The company reported a total revenue of 84,446,712.30 CNY for the year 2016[117]. Cash Flow and Dividends - The company plans to distribute a cash dividend of CNY 0.70 per 10 shares, totaling CNY 68,325,600.00 for the year 2016[2]. - In 2016, the company reported a net profit of 195,386,531.53 RMB, with a cash dividend payout ratio of 34.97%[101]. - The company has a policy to prioritize cash dividends, with a minimum of 80% cash distribution during mature stages without significant capital expenditures[99]. - The company will not conduct high cash dividends if operating cash flow is negative for two consecutive years[99]. - The company distributed a cash dividend of 1.20 RMB per 10 shares, totaling 58,564,800 RMB, which represents 30.66% of the net profit attributable to the parent company[135]. Assets and Liabilities - The total assets of the company reached RMB 13.034 billion, an increase of 6.57% year-on-year[38]. - The company's total liabilities included long-term borrowings of CNY 130 million, a 188.89% increase from the previous year[55]. - The company's total liabilities reached CNY 10,482,035,884.60, compared to CNY 9,826,246,918.74, reflecting an increase of approximately 6.66%[190]. - The total liabilities reached ¥1,469,179,350.19, while total equity stood at ¥1,877,550,738.17, resulting in a debt-to-equity ratio of approximately 0.78[194]. Operational Highlights - The company achieved a total business volume of 17.97 billion yuan in 2016, representing a year-on-year growth of 69.47%[34]. - The company secured contracts worth 13.56 billion yuan in residential construction, 2.24 billion yuan in municipal engineering, and 667 million yuan in decoration and renovation[34]. - The company’s main business includes construction engineering surveying, design, and installation, with a focus on large-scale projects[27]. - The company has a complete and compact industrial chain, covering surveying, design, construction, municipal engineering, and more, enhancing its ability to provide comprehensive construction services[31]. Legal and Compliance Issues - The company has been involved in multiple significant litigation cases, indicating ongoing financial disputes with various clients[111]. - The company is actively pursuing legal actions to recover overdue payments, reflecting a strategy to manage receivables effectively[112]. - The company has initiated litigation against Ningbo Qianhe Real Estate for unpaid project payments totaling RMB 53 million, with RMB 25.2 million received as of March 2017[119]. - The company has received a civil judgment requiring Lu Wang Logistics to pay 38,371,720 RMB in overdue payments and 4,713,643.01 RMB in penalties for delayed payments[113]. Strategic Initiatives - The company aims to expand its market presence beyond Ningbo, leveraging its brand strength and successful project execution[27]. - The company plans to focus on the "Belt and Road" initiative and PPP projects to expand its market presence and enhance its competitive edge[86]. - The company intends to enhance its technological innovation capabilities to improve industry competitiveness by undertaking complex projects and promoting technological achievements[88]. - The company is committed to improving its management capabilities and internal mechanisms to enhance operational standards and risk management[92]. Research and Development - Research and development expenses increased by 87.21% to RMB 149.8 million, driven by increased investment in R&D[41]. - Research and development expenses totaled CNY 14.98 million, accounting for 0.11% of total revenue, with 313 R&D personnel representing 8.20% of the total workforce[51]. Corporate Governance - The company has a structured approach to communicate with minority shareholders regarding profit distribution proposals[99]. - The company has appointed Da Xin Accounting Firm for auditing services with a remuneration of CNY 1.3 million[110]. - The company has a diverse board composition, including independent directors and experienced engineers, promoting effective governance[158]. - The company has maintained a stable management team, with key positions held since 2006, ensuring continuity in strategic direction[159]. Employee and Community Engagement - The company invested over 2 million RMB in health check-ups for employees and established 20 "Love Stations" for sanitation workers, reflecting its commitment to social responsibility[137]. - The company emphasizes a people-oriented approach, focusing on improving employee working conditions and fostering a win-win situation[135]. - The company has actively engaged in community volunteer services, conducting over 20 activities during the reporting period[137].