DFP(SH:601515)2014-04-08 16:00Financial Performance - The company achieved operating revenue of CNY 1,801,526,695.49 in 2013, representing a year-on-year increase of 2.06%[23]. - Net profit attributable to shareholders reached CNY 702,620,585.12, up 17.64% compared to the previous year[23]. - The company's basic earnings per share increased to CNY 1.26, reflecting a growth of 15.60% from 2012[24]. - The total assets of the company rose by 15.67% to CNY 3,223,566,675.72 at the end of 2013[23]. - The total comprehensive income for the year was RMB 722,638,541.62, compared to RMB 613,159,963.16 in the previous year, an increase of 17.9%[200]. - The total equity attributable to shareholders reached RMB 2,383,138,810.36, compared to RMB 2,255,610,070.13, reflecting a growth of 5.7%[199]. Dividend Policy - The company plans to distribute no cash dividends for the 2013 fiscal year, opting instead to increase its share capital by issuing 556,000,000 additional shares, doubling the total share capital to 1,112,000,000 shares[6]. - The cash dividends distributed in the first half of 2013 amounted to ¥361,400,000, representing 51.44% of the net profit attributable to shareholders for the year[6]. - The company distributed a cash dividend of 3.80 yuan per 10 shares in 2012, totaling 211,280,000 yuan, and a cash dividend of 6.50 yuan per 10 shares in 2013, totaling 361,400,000 yuan[106][107]. Share Capital and Structure - The company reported a significant increase in total share capital, with a proposed capital reserve conversion of 100%[6]. - The total number of shares before the change was 556,000,000, with 500,000,000 being restricted shares and 56,000,000 being unrestricted shares[130]. - After the change, the number of restricted shares decreased by 28,650,000 to 471,350,000, while unrestricted shares increased to 84,650,000[131]. - The percentage of restricted shares decreased from 89.93% to 84.78%, while unrestricted shares increased from 10.07% to 15.22%[130]. - The number of shareholders at the end of the reporting period was 6,049, with a notable increase in the number of shareholders compared to the previous period[139]. Business Operations and Strategy - The company is focusing on expanding into three major business segments: packaging printing, PET base films, and electronic cigarettes[28]. - The company has maintained its main business operations without any changes since its listing[19]. - The company is actively pursuing technological upgrades and project relocations, including a land agreement for approximately 78 acres in Guizhou[55]. - The company plans to strengthen cost control through optimizing production processes and improving management systems[95]. - The company aims to enhance the standardized management of newly acquired enterprises to align with its operational standards[99]. Research and Development - The company invested CNY 81,377,970.10 in research and development, marking a 5.67% increase from the previous year[30]. - The total R&D expenditure was 81,377,970.10 yuan, accounting for 4.52% of operating revenue and 3.33% of net assets[45]. - The company applied for 42 patents and obtained 31 patents, including 12 invention patents and 19 utility model patents[46]. - The company has a strong R&D team, demonstrating comprehensive technical strength in developing PET polyester films and heat-insulating explosion-proof films[66]. Risks and Challenges - The company faces risks related to international anti-smoking policies that may impact the tobacco industry and its own business operations[11]. - New business segments including PET base film, functional film, and electronic cigarette products are subject to market competition and development risks[11]. - The company faces risks from new fixed asset depreciation affecting profit levels, with strategies to ensure projects are operational and generate economic benefits in 2014[101]. - The company is expanding its second and third industries to mitigate risks from policy adjustments in the tobacco industry[102]. Corporate Governance - The company received a standard unqualified audit report from Jiangsu Suya Jincheng Accounting Firm[5]. - The company’s financial report is guaranteed to be true, accurate, and complete by its board of directors and management[4]. - The company has committed to distributing at least 35% of its distributable profits in cash dividends each year[124]. - The company has implemented a strict insider information management system and reported insider information to regulatory authorities as required[174]. - The company has maintained independence from its controlling shareholder in terms of business, personnel, assets, and finances[183]. Employee and Management Structure - The company employed a total of 1,419 staff, with 696 in the parent company and 723 in major subsidiaries[165]. - The professional composition of employees includes 976 production personnel, 43 sales personnel, 219 technical personnel, 25 financial personnel, and 156 administrative personnel[165]. - The company has implemented a diversified compensation system based on job performance, ensuring internal and external equity in salaries[166]. - The total remuneration for the board members and senior management during the reporting period amounted to 658.74 million yuan[152]. Acquisitions and Investments - The company completed the acquisition of 69% of Luliang Fupai Color Printing Co., Ltd., furthering its external merger and acquisition strategy[54]. - The company invested CNY 40 million to establish a joint venture in the electronic cigarette market, increasing its investment in Shanghai Green New Electronic Technology Co., Ltd. to CNY 120 million[55]. - The company has made significant progress in developing new technologies such as high-quality laser transfer printing and nitrogen UV printing[66]. Market Presence - The revenue from non-cigarette packaging printing (including alcohol, pharmaceuticals, and food packaging) grew by 31.00% to CNY 2,789.81 million[31]. - The company expanded its market presence in the non-cigarette label business, obtaining qualified supplier status from several well-known liquor companies, which is expected to enhance performance in 2014[54]. - The company’s revenue from the Southwest region decreased by 1.28%, while the Northwest region saw a substantial increase of 114.87%[60][61].