XINJI ENERGY(SH:601918)2018-03-29 16:00Financial Performance - The company's operating revenue for 2017 was approximately ¥7.47 billion, representing a 38.18% increase compared to ¥5.40 billion in 2016[18]. - The net profit attributable to shareholders for 2017 was approximately ¥22.13 million, a significant decrease of 90.84% from ¥241.74 million in 2016[18]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately ¥141.59 million, an increase of 366.76% compared to ¥30.33 million in 2016[18]. - The net cash flow from operating activities for 2017 was approximately ¥2.16 billion, which is a 109.13% increase from ¥1.03 billion in 2016[18]. - The basic earnings per share for 2017 were ¥0.009, down 90.32% from ¥0.093 in 2016[19]. - The diluted earnings per share for 2017 were also ¥0.009, showing the same percentage decrease as the basic earnings per share[19]. - The weighted average return on net assets for 2017 was 0.48%, a decrease of 5.00 percentage points from 5.48% in 2016[19]. - The company did not propose any profit distribution for 2017, opting to retain the undistributed profits for future development[4]. Revenue and Sales - The company achieved total operating revenue of CNY 7,467.48 million, with coal mining revenue of CNY 4,667.46 million, an increase of 8.14% year-on-year, and electricity revenue of CNY 2,800.01 million, an increase of 234.60% year-on-year[39]. - The revenue from the electricity business surged by 234.60% to 280 million RMB, primarily due to the commissioning of the Lixin power plant in late 2016[37]. - The company reported a total of 5,322,133,400 tons of coal resources, with 2,071,688,100 tons being recoverable[57]. - Sales revenue from thermal coal reached CNY 6.218 billion, with a gross profit of CNY 2.236 billion[61]. Costs and Expenses - The total cost of coal mining was CNY 413,817.19 million, reflecting a 20.20% increase compared to the previous year, with significant increases in safety expenses by 149.92% and repair costs by 41.31%[42][44]. - The electricity production cost totaled CNY 232,412.92 million, a substantial increase of 257.91% year-on-year, primarily due to the commissioning of the Banjic Power Plant in the second half of 2016[43][45]. - The company’s financial expenses increased by 19.91% to 1.039 billion RMB, indicating rising costs in financing[36]. - The company reported a significant increase in material costs for coal mining, totaling CNY 37,100.13 million, up 43.20% year-on-year[44]. - Labor costs for coal mining reached CNY 138,832.01 million, reflecting a 9.90% increase year-on-year due to improved company performance[44]. Assets and Liabilities - The total assets at the end of 2017 were approximately ¥30.59 billion, a decrease of 2.61% from ¥31.41 billion at the end of 2016[18]. - The net assets attributable to shareholders at the end of 2017 were approximately ¥4.79 billion, reflecting a 6.19% increase from ¥4.51 billion at the end of 2016[18]. - The company's total liabilities included CNY 1.736 billion in long-term payables, which increased by CNY 501.056 million or 40.56% due to financing lease activities[54]. - The company's debt-to-asset ratio remains high at 82.29%, prompting the board to propose no cash dividends or capital reserve transfers for 2017[76]. Cash Flow - In 2017, the company's total cash inflow was CNY 19.928 billion, with operating activities contributing CNY 8.073 billion, accounting for 40.51% of total inflows, and an increase of CNY 1.984 billion or 33.80% year-on-year[48]. - The total cash outflow for 2017 was CNY 20.098 billion, with operating activities accounting for CNY 5.913 billion, where cash paid for goods was CNY 1.678 billion, representing 28.37% of operating expenditures[49]. - The company’s cash flow from financing activities was CNY 11.79 billion, accounting for 59.16% of total cash inflows, mainly from bank loans and financing lease funds[48]. Future Outlook - The company expects a coal production of 15.5 million tons and an electricity generation of 9.543 billion kWh in 2018, with total profit expected to grow year-on-year[70]. - The company aims to implement a "Three-Four-Five" development strategy, focusing on clean energy, intelligent demonstration bases, and light asset management[69]. - The coal industry is expected to maintain a balance in supply and demand in 2018, with coal prices projected to return to a reasonable range[68]. - The company’s asset-liability ratio is expected to decrease steadily, addressing previous high levels due to past investments[70]. Corporate Governance and Management - The company has established a governance structure compliant with relevant laws, ensuring clear responsibilities and effective operation among shareholders, the board, and management[145]. - The management team includes professionals with extensive experience in finance, engineering, and management, contributing to the company's strategic direction[133]. - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to 619.49 million yuan[126]. - The company has undergone changes in its board and management, with several new appointments and resignations due to various reasons, including work changes and personal reasons[138]. Social Responsibility - In 2017, the company achieved the goal of helping 29 impoverished individuals escape poverty through targeted assistance measures[102]. - The company provided 260,000 RMB in donations for poverty alleviation, including 200,000 RMB for the construction of an industrial park[102]. - The company has made significant investments in poverty alleviation projects, including 20 million RMB in industrial development[104]. Legal and Compliance - The company has a significant ongoing lawsuit against Anhui Liu Zhuang Real Estate Co., with a claim amounting to RMB 39,410.5 million[85]. - The company has not faced any risks of suspension or termination of listing during the reporting period[83]. - The company has not reported any major litigation or arbitration matters beyond the ongoing case with Liu Zhuang Real Estate[83].