Jangho(SH:601886)2014-03-28 16:00Financial Performance - The company achieved a revenue of CNY 11.90 billion in 2013, representing a year-on-year increase of 32.4% compared to CNY 8.99 billion in 2012[32]. - The net profit attributable to shareholders decreased by 39.2% to CNY 290.83 million in 2013 from CNY 478.50 million in 2012[32]. - The company reported a net cash flow from operating activities of -CNY 208.66 million, an improvement from -CNY 240.43 million in the previous year[33]. - The company’s total assets increased by 21.96% to CNY 15.17 billion at the end of 2013, up from CNY 12.44 billion at the end of 2012[24]. - The company achieved an operating revenue of 11.902 billion RMB in 2013, representing a year-on-year growth of 32.4%[35]. - The total amount of new contracts won in 2013 reached 21.7 billion RMB, a year-on-year increase of 49%, with the interior decoration business growing by 355% to 8 billion RMB[35]. - The company reported a total profit of 884.94 million for the year 2012, with a dividend distribution plan implemented during the reporting period[110]. - The company reported a significant increase in total assets, reaching CNY 4.70 billion by the end of the reporting period[185]. Dividends and Shareholder Returns - The company reported a total dividend distribution of RMB 92,324,000, with a cash dividend of RMB 0.80 per share based on a total share capital of 1,154,050,000 shares[4]. - The company distributed a cash dividend of 0.8 RMB per 10 shares in 2013, with a total dividend payout of approximately 92.32 million RMB, reflecting a payout ratio of 31.74% of the net profit attributable to shareholders[72]. - The company allocated CNY 39.56 million to surplus reserves, while distributing CNY 112 million to shareholders[188]. - The company distributed CNY 145,600,000.00 to shareholders during the year, indicating a commitment to returning value to investors[199]. Ownership and Share Structure - The company’s controlling shareholder remains Liu Zaiwang, with no changes since the listing[20]. - The company had a total of 45,228 shareholders at the end of the reporting period, with the top ten shareholders holding significant stakes[100]. - Beijing Jiangheyuan Holdings Co., Ltd. held 28.18% of shares, amounting to 315,645,200 shares, with 157,822,600 shares being added during the reporting period[100]. - Liu Zaiwang, an individual shareholder, held 25.36% of shares, totaling 284,086,566 shares, with an increase of 142,043,283 shares during the reporting period[100]. - The company’s shareholder structure indicates a strong presence of domestic non-state-owned entities[100]. - The actual controllers of the company are Liu Zaiwang and Fu Haixia, who are husband and wife, indicating a unified control structure[104]. Subsidiaries and Business Operations - The company has a total of 99% ownership in its subsidiary, Jianghe Curtain Wall (India) Co., Ltd.[9]. - The company has a total of 49% ownership in its subsidiary, Jianghe Curtain Wall (Qatar) Co., Ltd.[9]. - The company operates multiple wholly-owned subsidiaries across various countries, including Australia, Malaysia, and Canada[8]. - The company has completed 85.61% of the planned investment in the Beijing headquarters project, with RMB 47,041.34 million actually invested[57]. - The company has expanded its engineering performance and brand advantages by undertaking significant landmark projects, including the new CCTV headquarters and Beijing Capital Airport T3 terminal[48]. Legal and Compliance Issues - The company is involved in multiple lawsuits, including a claim for unpaid construction fees amounting to RMB 15,461,677.29, with a court ruling expected to favor the company[74]. - A lawsuit against Xin Hongda Group for a contract breach involves a claim of USD 2,582,820.00, with the company anticipating a favorable outcome[74]. - The company is facing anti-dumping investigations in Canada and the US, with measures including the establishment of a Mexican subsidiary to mitigate risks[76]. - The company has reported a provision for bad debts amounting to RMB 1,565,131.37 related to ongoing litigation[74]. - The company has engaged in related party transactions for logistical services, ensuring compliance with fair pricing practices[79]. Financial Management and Capital Structure - The company has increased its long-term loans, indicating a strategy to finance its growth and expansion[45]. - The total amount of guarantees provided by the company, including those to subsidiaries, is 4,136,998,110.80 RMB, which accounts for 88% of the company's net assets[82]. - The company has a management fee of 8% on the actual cost of services provided by related parties, totaling 39,481,930.86 RMB[80]. - The company has committed to pay bond interest and principal on time, with overdue interest at a rate 50% higher than the bond's coupon rate[85]. - The company will not distribute profits to shareholders or undertake significant capital expenditures if unable to repay bond principal and interest on time[85]. Research and Development - Research and development expenses rose by 26.93% to CNY 372.57 million in 2013, compared to CNY 293.54 million in 2012[33]. - The company launched standardized design systems, including the S60 and U80 curtain wall systems, enhancing design efficiency and accuracy[30]. - The company has established a leading prefabricated assembly furniture production line, achieving multiple global certifications in the interior decoration sector[49]. - The company is actively pursuing new technology development and product innovation to stay competitive in the market[112]. Governance and Management - The company has established a strong governance structure with independent directors and a diverse board composition to ensure effective oversight[117]. - The board of directors consists of nine members, including three independent directors, with a term of three years for each director[134]. - The supervisory board, composed of three members, is responsible for overseeing the company's management and financial status, ensuring the interests of all shareholders are protected[134]. - The company has implemented a performance evaluation and incentive mechanism for senior management, which is continuously improved[144]. - The company has established a governance structure consisting of the shareholders' meeting, board of directors, supervisory board, and senior management, ensuring compliance with relevant laws and regulations[132]. Market Outlook and Strategy - The company plans to achieve a bidding target of 25.5 billion RMB in 2014, with 13 billion RMB from curtain wall systems and 12.5 billion RMB from interior decoration systems, indicating significant revenue growth potential[64]. - The company aims to enhance its market share in the construction decoration industry through quantitative management and strategic acquisitions of high-quality enterprises with unique business advantages[62]. - The construction decoration industry in China is expected to consolidate, with a target of reducing the number of enterprises by approximately 20% by 2015, leading to the emergence of large-scale enterprises with strong technical capabilities[61]. - The company is focusing on overseas business model transformation in regions like the Americas, Australia, and the Middle East to mitigate operational risks and enhance efficiency[63].