CREC(SZ:000736)2014-02-27 16:00Financial Performance - The company achieved operating revenue of ¥854,656,165.06 in 2013, representing a 33.48% increase compared to ¥640,296,733.49 in 2012[22]. - Net profit attributable to shareholders decreased by 51.8% to ¥60,267,414.63 in 2013 from ¥125,031,849.64 in 2012[22]. - The net profit after deducting non-recurring gains and losses increased by 135.43% to ¥91,299,496.03 in 2013[22]. - The company reported a significant decline in net cash flow from operating activities, with a net outflow of ¥1,589,488,096.68 in 2013, compared to a net inflow of ¥297,751,480.49 in 2012, marking a 633.83% decrease[22]. - Total assets increased by 63.86% to ¥4,645,423,119.02 at the end of 2013, up from ¥2,834,921,764.18 at the end of 2012[22]. - The company reported a total comprehensive income attributable to the parent company of ¥60,267,414.63, down from ¥122,180,184.32 in the previous year[193]. - The net profit for the year was ¥46,945,539.27, a decrease of 61.5% from ¥121,894,935.67 in the previous year[193]. - Basic and diluted earnings per share decreased to ¥0.20 from ¥0.42, representing a decline of 52.4%[193]. - Total operating costs increased to ¥747,514,875.44, up 27% from ¥588,630,825.10 in the previous year[193]. - Investment income decreased significantly to ¥10,309,251.00 from ¥86,081,972.45, a drop of 88.0%[193]. Business Operations - The company reported a significant change in its main business focus to real estate development and management following a major asset restructuring completed in December 2008[19]. - The company’s main business operations include real estate development, property management, and high-tech development[19]. - The company signed sales agreements for a total area of 14.49 million square meters, with a signed sales amount of ¥879,791,500 in 2013[32]. - The company expanded its project portfolio by acquiring three new land projects with a total price of ¥2,488 million, adding approximately 818,300 square meters of construction area[30]. - The company completed construction of approximately 34,300 square meters and had about 344,900 square meters under construction by the end of 2013[29]. - Real estate sales revenue reached CNY 805,727,217.63, reflecting a growth of 34.93% year-on-year[36]. - The company reported a significant increase in production volume by 147.64%, totaling CNY 2,975,482,659.91 in 2013[37]. Cash Flow and Liquidity - Operating cash inflow from operating activities was CNY 2,437,621,428.82, a 95.27% increase from CNY 1,248,338,539.76 in 2012[45]. - The net cash flow from operating activities was negative at CNY -1,589,488,096.68, a decline of 633.83% compared to the previous year[45]. - The company’s cash and cash equivalents decreased by 120.24%, totaling CNY -62,078,816.15[45]. - The company reported a significant increase in cash flow from financing activities compared to the previous period, indicating improved liquidity management[199]. - The cash flow from operating activities showed a decline compared to the previous period, highlighting potential challenges in revenue generation[199]. Risk Management - The company has detailed risk factors in its report, highlighting the risks and countermeasures related to future development[13]. - The company emphasizes that the future development outlook does not constitute a substantive commitment to investors, urging them to pay attention to investment risks[5]. - The company has identified risks related to land reserves and competition, emphasizing the need for ongoing market research and project expansion[74]. Corporate Governance - The company emphasizes compliance with laws and regulations, ensuring the protection of shareholders' rights, especially for minority shareholders[81]. - The company has established a sound internal control system to balance the powers of the shareholders' meeting, board of directors, and supervisory board[81]. - The company has a structured approach to governance with independent directors and a clear remuneration policy[145]. - The company’s management team includes individuals with extensive experience in finance and real estate development[144]. - The company has established various governance structures and management systems, including a development strategy system and a comprehensive budget system[154]. Shareholder Information - The total number of shares is 297,193,885, with 56.84% being limited shares and 43.15% being unrestricted shares[122]. - The largest shareholder, China Housing Development Company, holds 53.32% of the shares, totaling 158,460,235 shares[126]. - The number of shareholders increased from 12,681 to 13,186 during the reporting period[126]. - The company has a remaining undistributed profit of ¥27,052,660.02 to be carried forward to the next fiscal year[82]. Future Outlook - The company anticipates a significant decline in net profit due to reduced real estate business activity, impacting overall financial performance[71]. - The company plans to ensure effective progress on ongoing projects, including the completion of the Zhongfang F Federation and Zhongfang Qianxun projects, which are expected to stabilize performance[73]. - The company aims to expand its real estate project portfolio in 2014, targeting new project acquisitions based on operational conditions[73]. - The company anticipates continued macroeconomic policy constraints on the real estate market, impacting development strategies and project investments[74]. Audit and Compliance - The company has engaged Ruihua Certified Public Accountants for auditing services during the reporting period[20]. - The audit report issued by Ruihua Certified Public Accountants provided a standard unqualified opinion on the financial statements for the year ended December 31, 2013[182]. - The company’s management is responsible for the fair presentation of financial statements, ensuring compliance with accounting standards and maintaining necessary internal controls[185].