HUAFA(SZ:000020)2014-06-26 16:00Financial Performance - The company's operating revenue for 2013 was ¥626,821,044.64, a decrease of 13.41% compared to ¥723,891,496.54 in 2012[21]. - The net profit attributable to shareholders for 2013 was -¥6,517,401.44, representing a decline of 301.04% from ¥3,241,897.70 in 2012[21]. - The net cash flow from operating activities was -¥69,353,440.38, a significant decrease of 476.53% compared to ¥18,419,090.98 in the previous year[21]. - The basic earnings per share for 2013 was -¥0.023, a decline of 301.75% from ¥0.0114 in 2012[21]. - The weighted average return on equity was -2.35%, a decrease of 3.51 percentage points from 1.16% in 2012[21]. - The company reported a significant decrease in cash and cash equivalents, with a net decrease of CNY 49,544,183.56, reflecting a 560.92% increase compared to the previous year[42]. - The company reported a net profit of -6,517,401.44 CNY for 2013, indicating a negative retained earnings situation[60]. - The company reported a net loss of CNY 6,517,401.44, compared to a net profit of CNY 3,241,897.70 in the previous year, indicating a significant decline in profitability[151]. - The total owner's equity at the end of the current period is 280,181,050.91 CNY, a decrease from the previous year's total of 268,289,527.28 CNY[166]. Revenue Breakdown - Injection molding business generated revenue of CNY 244.09 million, an increase of 26% compared to the previous year[31]. - Polystyrene business revenue reached CNY 76.83 million, up 21% year-on-year[31]. - LCD display business revenue fell to CNY 264.17 million, a decrease of approximately 37%[32]. - Property leasing revenue was CNY 33.27 million, down about 14% due to challenges in attracting tenants[32]. - The total revenue from display devices was CNY 264,167,431.84, a decrease of 36.81% year-on-year, with a gross margin of 2.88%[44]. Assets and Liabilities - The total assets at the end of 2013 amounted to ¥731,348,499.86, an increase of 7.29% from ¥681,645,093.97 at the end of 2012[21]. - The total liabilities increased to RMB 457,684,850.39 from RMB 401,464,043.06, representing a rise of about 14.0%[145]. - The company's total equity decreased to CNY 264,828,077.42 from CNY 268,289,527.28, a decline of 1.7%[149]. - Short-term loans increased to CNY 162,140,601.13, representing 22.17% of total assets, an increase of 6.08% from the previous year[48]. Cash Flow - The cash inflow from operating activities was CNY 408,744,234.62, a decrease of 44.4% from CNY 734,514,147.17 in the previous year[156]. - The total cash inflow from financing activities was 488,889,296.63 CNY, while the cash outflow was 457,333,878.70 CNY, resulting in a net cash flow of 31,555,417.93 CNY[158]. - The cash and cash equivalents at the end of the period amounted to 50,704,319.86 CNY, down from 100,248,503.42 CNY at the beginning of the period[158]. Shareholder Information - The company reported a total of 26,022 shareholders at the end of the reporting period, an increase from 25,751 in the previous period[75]. - Wuhan Zhongheng Group holds 41.14% of the company's shares, amounting to 116,489,894 shares, which are currently pledged[75]. - The company has not distributed any cash dividends in the last three years due to negative retained earnings[60]. Corporate Governance - The board of directors consists of 7 members, with 3 independent directors, meeting the requirement of having more than one-third independent representation[106]. - The company has implemented a strict insider information management system to prevent insider trading, with no violations reported during the reporting period[110]. - The annual shareholders' meeting approved all proposed resolutions, including the financial budget for 2013 and the profit distribution plan for 2012[111]. Internal Control and Audit - The company maintained a standard unqualified audit opinion for its financial statements for the year 2013[134]. - No significant internal control deficiencies were found during the reporting period, indicating effective internal controls[129]. - The internal control audit report confirmed that the company maintained effective financial reporting internal controls as of December 31, 2013[130]. Employee Information - The total number of employees at the end of the reporting period was 1,047, with no retired personnel requiring expense coverage[97]. - The educational background of employees shows that 86.15% hold a bachelor's degree, 9.17% have an associate degree, and only 0.19% are master's or graduate students[101]. - Production personnel accounted for 76.98% of the workforce, while sales personnel made up 2.01%[98]. Business Strategy and Future Outlook - The company plans to expand its industrial business orders by maintaining existing partnerships and acquiring new clients, targeting brands like Gree and TCL[55]. - The company will focus on the development and promotion of new products while controlling costs to diversify its product line[55]. - The company is facing risks from the real estate market adjustment and plans to broaden financing channels to mitigate these risks[57].