NEW JCM(SZ:300157)2017-04-17 16:00Financial Performance - The company's operating revenue for 2016 was ¥1,352,144,100.67, representing a 61.01% increase compared to ¥839,805,308.17 in 2015[30]. - The net profit attributable to shareholders for 2016 was ¥84,953,818.78, a 13.19% increase from ¥75,051,661.18 in 2015[30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥21,415,792.07, a decrease of 130.88% compared to ¥69,341,891.06 in 2015[30]. - The net cash flow from operating activities was -¥202,784,101.45, which is a 230.48% increase in losses compared to -¥61,360,403.04 in 2015[30]. - The total assets at the end of 2016 were ¥5,745,391,102.86, an increase of 48.24% from ¥3,875,844,823.43 at the end of 2015[30]. - The net assets attributable to shareholders at the end of 2016 were ¥3,757,545,062.52, a 63.04% increase from ¥2,304,610,862.13 at the end of 2015[30]. - The basic earnings per share for 2016 remained at ¥0.13, unchanged from 2015[30]. - The diluted earnings per share for 2016 also remained at ¥0.13, unchanged from 2015[30]. - The weighted average return on equity for 2016 was 2.69%, a decrease of 0.62% from 3.31% in 2015[30]. - The quarterly operating revenue for Q4 2016 was ¥486,992,119.10, contributing significantly to the annual revenue[32]. Strategic Initiatives - The company has completed acquisitions of several major companies over the past six years, including Langfang New Saipu and Boda Ruiheng, which has increased management risks due to rapid growth[13]. - The company aims to enhance its goodwill management as part of its strategy to strengthen the value management of acquired enterprises[13]. - The company has established equity investment funds, which may have long investment recovery periods and face competitive risks in the market[16]. - The company has established a comprehensive energy service group, transitioning from a software technology company to a high-tech integrated energy service provider[40]. - The company has established investment funds to optimize its industrial structure and accelerate business expansion, indicating a strategic approach to capital management[63]. Risk Management - The company has a significant accounts receivable balance at the end of the reporting period, which poses a risk to operating performance and cash flow if not collected timely[14]. - The company has taken measures to manage accounts receivable risks, including setting aside provisions for bad debts[15]. - The company acknowledges potential risks from political, economic, and natural disasters that could adversely affect operations[17]. Research and Development - The company has established a comprehensive research and development system, including a postdoctoral research station and collaboration with international experts, enhancing its technological capabilities[62]. - The company has developed over 20 sets of oil and gas exploration and development software products, covering major exploration and development stages, with many technologies at the domestic leading level and some at the international advanced level[58]. - The company has a strong team of geologists and extensive experience in reservoir research, which is essential for integrated service offerings and capacity evaluation[59]. - The company has successfully diversified its geological research applications into new fields such as nuclear geology, geothermal geology, and unconventional energy, utilizing existing software technologies[61]. Market Expansion - The company is expanding its market presence in North America, targeting a 25% increase in market share by 2018[67]. - The company is focused on leveraging its comprehensive oil service capabilities and geological research advantages to achieve healthy domestic and international growth[10]. - The company has emphasized green services and rapid development in non-oil businesses, including environmental engineering and financial trade[41]. Talent Management - The company emphasizes the importance of retaining high-quality technical and management personnel to support its development goals[11]. - The company is committed to a positive cycle of talent management, fostering young technical personnel to support its strategic objectives[11]. Dividend Policy - The company plans not to distribute cash dividends, issue bonus shares, or increase capital from reserves[7]. - The company decided not to distribute cash dividends for the 2016 fiscal year to ensure operational stability and enhance risk resistance, with retained earnings to be used for working capital[180]. - The company’s profit distribution decisions involve thorough discussions with independent directors and consideration of minority shareholders' opinions[174]. Subsidiary Performance - The subsidiary LandOcean Investment Co. reported a net loss of -11,261,772 USD[154]. - The subsidiary Beijing Boda Ruiheng Technology Co., Ltd. achieved a net profit of 62,932,105.2 CNY[154]. - The company reported a net profit of -8,130,106.7 USD from its subsidiary Energy Prospecting USA Inc.[154]. Compliance and Governance - The company has established commitments to avoid illegal occupation of funds and assets, ensuring fair and transparent transactions[187]. - The company has committed to strict adherence to its promises regarding related party transactions and competitive activities[190]. - The company has outlined measures to ensure that no competitive business activities will occur post-transaction completion[186].