NEWLAND(SZ:000997)2018-04-20 16:00Financial Performance - The company's operating revenue for 2017 was ¥4,855,897,041.02, representing a 37.02% increase compared to ¥3,543,922,751.49 in 2016[16]. - The net profit attributable to shareholders for 2017 was ¥654,083,057.52, a 41.78% increase from ¥461,347,309.47 in 2016[16]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥593,765,606.56, up 47.71% from ¥401,971,225.27 in 2016[16]. - The company's total assets at the end of 2017 were ¥8,577,645,473.64, a 36.64% increase from ¥6,277,336,811.77 at the end of 2016[16]. - The net assets attributable to shareholders increased by 97.88% to ¥4,835,215,136.00 at the end of 2017 from ¥2,443,488,166.56 at the end of 2016[16]. - The basic earnings per share for 2017 was ¥0.6877, reflecting a 38.20% increase from ¥0.4976 in 2016[16]. - The company reported a negative net cash flow from operating activities of ¥275,911,509.18 in 2017, a decline of 124.93% compared to ¥1,106,628,416.09 in 2016[16]. Dividend Policy - The company plans to distribute a cash dividend of 0.80 RMB per 10 shares to all shareholders based on the total share capital as of December 31, 2017[4]. - The company distributed cash dividends of RMB 80,864,793.36 in 2017, representing 12.36% of the net profit attributable to ordinary shareholders[120]. - In 2016, the cash dividend amounted to RMB 56,274,825.48, which was 12.20% of the net profit attributable to ordinary shareholders[120]. - For 2015, the cash dividend was RMB 75,089,759.84, accounting for 22.41% of the net profit attributable to ordinary shareholders[120]. - The cash dividend policy is compliant with the company's articles of association and shareholder resolutions[117]. - The company has maintained a cash dividend payout ratio of 100% for the reported period[121]. - The total distributable profit for 2017 was RMB 1,028,095,708.86[121]. - The company did not propose any capital reserve fund to increase share capital in 2017[121]. - The cash dividend per 10 shares for 2017 was set at RMB 0.80 (including tax)[121]. - The company has a mature development stage with no significant capital expenditure plans, ensuring a minimum cash dividend ratio of 80%[121]. Business Operations - The company has not changed its main business since its listing, and there have been no changes in the controlling shareholder[15]. - The company launched various services on its merchant service platform, including comprehensive payment, merchant finance, and electronic invoicing[24]. - The company provides a range of payment services through its subsidiary, including barcode payment and NFC payment solutions[24]. - The company focuses on small and micro financial services, offering customized loan solutions based on big data analysis[25]. - The company has established a "Star POS" merchant service platform, providing comprehensive services including payment, ERP, marketing, and finance for small and micro enterprises, leveraging a market of 98.15 million entities in China[31]. - The company achieved a significant growth in the payment service sector, with a total of 58.627 billion card transactions amounting to 68.67 trillion yuan, representing a year-on-year increase of 52.96% and 21.54% respectively[32]. - The company is the largest POS machine supplier in the Asia-Pacific region and the third largest globally, with a total of 31.1886 million connected POS devices in China, an increase of 6.6536 million from the previous year[34]. Research and Development - The company is actively expanding its research and development in information recognition technology, aiming to capture a larger market share in logistics, warehousing, and electronic payment sectors[35]. - In 2017, the company's R&D expenses amounted to ¥396,024,488.80, representing 8.16% of total revenue, an increase of 74.64% compared to 2016[75]. - The company employed 2,595 R&D personnel in 2017, a 53.82% increase from 1,687 in 2016[76]. Market Expansion - The company expanded its international market presence, selling over 300,000 POS devices across regions including Japan, the USA, and Southeast Asia[53]. - The company is focused on international expansion, establishing subsidiaries in North America and Europe to enhance its overseas marketing system[110]. - The company has established new subsidiaries to enhance resource integration and optimize asset structure, including Shanghai New大陆奋新科技信息服务有限公司 and 四川新大陆信息工程有限公司[98]. Corporate Governance - The company has ensured that minority shareholders have ample opportunities to express their opinions and protect their legal rights[117]. - The company has made commitments to avoid any actions that could harm shareholder interests, particularly for minority shareholders, ensuring fair treatment[126]. - The company has pledged to minimize related party transactions and ensure they are conducted at market prices[126]. - The company has committed to transparency in its financial dealings and adherence to legal regulations regarding shareholder rights and corporate governance[126]. Social Responsibility - The company donated 200,000 yuan through the Fujian Provincial Poverty Alleviation Foundation for poverty alleviation projects in 2017[156]. - A solar power project in Xian Village was initiated with a total investment of 600,000 yuan, expected to generate over 60,000 yuan annually for the village[156]. - The company helped sell over 2,000 free-range chickens, generating more than 500,000 yuan in revenue for local farmers[156]. - The company established a "helping fund" to provide essential living supplies and repair unsafe housing for 24 registered impoverished households[159]. - The company secured 1.8 million yuan for rural beautification projects, including road repairs and community square construction in Shangzhi Village[158]. - A drinking water project was completed in Shangzhi Village with an investment of over 800,000 yuan, ensuring safe water for over 1,500 residents[158]. - The company organized volunteer services with over 50 employees visiting impoverished households to strengthen community ties[157]. Financial Management - The total amount of cash and cash equivalents increased by ¥479,038,097.53, but this represented a decrease of 39.68% compared to the previous year[78]. - The company reported a total of 8,000 million in funds raised through a collective trust plan with a floating interest rate of 7.00%[145]. - The company has invested in high liquidity and high credit quality bonds and money market instruments, including but not limited to bond repurchase and interbank lending[150]. - The company is focusing on high credit quality and liquidity in its investment strategy, targeting bonds and money market instruments[148]. Shareholder Information - The total share capital of the company increased from 938,399,518 shares to 1,010,809,917 shares due to a non-public issuance of 72,647,459 shares[168]. - The company’s basic earnings per share, diluted earnings per share, and net assets per share will be affected by the increase in share capital[172]. - Major shareholders include Newland Technology Group with a 30.56% stake and Central Huijin Asset Management with a 2.83% stake[181]. - The actual controller of the company is Hu Gang, who is also the chairman of Newland Technology Group Co., Ltd.[185]. Compliance and Risk Management - The company has not faced any penalties for environmental violations during the reporting period[163]. - The company has not reported any significant litigation or arbitration matters during the reporting period[135]. - The company faces risks from market competition, particularly in the rapidly changing IoT industry, and will adjust its strategies accordingly[110].