Shenli(SH:603819)2017-04-09 16:00Financial Performance - The company's operating revenue for 2016 was RMB 555,230,431.98, a decrease of 3.18% compared to RMB 573,459,802.76 in 2015[20] - The net profit attributable to shareholders of the listed company was RMB 45,646,983.29, down 0.33% from RMB 45,798,730.21 in the previous year[20] - The net profit after deducting non-recurring gains and losses was RMB 42,523,437.81, a decrease of 7.71% compared to RMB 46,075,271.95 in 2015[20] - The net cash flow from operating activities was negative RMB 57,302,165.50, a decline of 173.55% from RMB 77,905,276.80 in 2015[20] - Basic earnings per share for 2016 decreased by 3.92% to CNY 0.49 compared to CNY 0.51 in 2015[21] - The weighted average return on equity fell to 9.13% in 2016, down from 10.29% in 2015, a decrease of 1.16 percentage points[21] - Total revenue for the fourth quarter reached CNY 147,560,579.36, with net profit attributable to shareholders at CNY 10,957,743.18[23] - The company reported a net cash flow from operating activities of -CNY 9,950,272.91 in the fourth quarter[23] Assets and Liabilities - The total assets at the end of 2016 were RMB 777,171,637.08, an increase of 43.64% from RMB 541,040,647.96 at the end of 2015[20] - The net assets attributable to shareholders of the listed company increased by 56.50% to RMB 727,105,158.14 from RMB 464,589,974.92 at the end of 2015[20] - Total liabilities decreased by 34.31% year-on-year, attributed to the increase in total assets from the public offering of A-shares[39] - The total amount of guarantees provided by the company, excluding those to subsidiaries, is RMB 168,000,000.00, which accounts for 23.11% of the company's net assets[115] - There were no guarantees provided to shareholders, actual controllers, or their related parties during the reporting period[115] Cash Flow and Investments - The company's cash and cash equivalents increased by 85.38% compared to the previous year, primarily due to the net proceeds of RMB 226,083,300 from the public offering of 30 million A-shares in 2016[38] - The company raised CNY 226.08 million from its initial public offering, significantly increasing cash reserves[64] - The company reported a significant increase in accounts receivable, up 201.24% to CNY 30.84 million, due to changes in payment terms from major customers[66] - The company received government subsidies amounting to RMB 1,748,108.11, contributing to non-operating income[69] Research and Development - The company filed for 15 invention patents and 13 utility model patents during the reporting period, indicating ongoing investment in R&D[32] - The company’s R&D expenditure was CNY 21.71 million, a decrease of 13.23% from the previous year[48] - The total R&D expenditure was CNY 21.71 million, representing 3.91% of total revenue, with 67 R&D personnel making up 11.55% of the total workforce[61] Market and Industry Outlook - The global silicon/steel stamping industry is projected to reach approximately USD 60 billion, with the cost of rotor and stator laminations accounting for about 30% of total motor costs[34] - The demand for electric motors remains strong across various sectors, including transportation and energy, indicating a robust market environment[74] - The company is positioned to benefit from the global shift of electric motor manufacturing to developing countries, enhancing market opportunities[74] Shareholder and Dividend Policy - The company proposed a cash dividend of RMB 1.2 per 10 shares, totaling RMB 14,400,000 to be distributed to shareholders[2] - The company is committed to maintaining a cash dividend policy, with a minimum cash dividend ratio of 20% of distributable profits when net profits are positive[93] - In 2016, the company distributed a cash dividend of 1.2 yuan per 10 shares, with a total cash dividend amounting to 45,646,983.29 yuan, representing 31.55% of the net profit attributable to shareholders[96] Governance and Compliance - The company has not faced any risks of suspension or termination of its listing, indicating a stable operational status[110] - The company has no major litigation or arbitration matters during the reporting period, indicating a stable legal standing[110] - The independent directors did not raise any objections to company matters during the reporting period[159] Employee and Management Structure - The total number of employees in the parent company is 537, and the total number of employees in major subsidiaries is 43, resulting in a combined total of 580 employees[151] - The company has established a comprehensive salary and benefits system, combining fixed salaries based on qualifications and performance-based incentives[152] - The company has a training system in place that includes various training programs covering corporate culture, leadership, and professional skills[153] Risks and Challenges - The company faces risks related to macroeconomic fluctuations, which could adversely affect electric motor market demand and lead to a decline in operating profits if global economic indicators continue to decline[87] - The primary raw material, silicon steel, is sourced from major suppliers like Baosteel and WISCO, leading to a high concentration risk; any disruption in supply could negatively impact production[89] - The company is exposed to price volatility of silicon steel, which can significantly affect production costs and cash flow, especially during periods of sharp price increases or decreases[89]