Bossco(SZ:300422)2016-03-16 16:00Financial Performance - The company's gross profit margins for the years 2013, 2014, and 2015 were 35.90%, 33.39%, and 29.11% respectively, indicating a declining trend in profitability [6]. - The company's operating revenue for 2015 was CNY 504,673,304.37, representing an increase of 80.04% compared to CNY 280,314,215.27 in 2014 [24]. - The net profit attributable to shareholders for 2015 was CNY 42,991,961.20, a growth of 37.52% from CNY 31,262,281.28 in 2014 [24]. - The company's total assets at the end of 2015 reached CNY 1,042,039,375.55, marking a 74.94% increase from CNY 595,669,703.37 at the end of 2014 [24]. - The company's operating profit increased by 30.63% to ¥41,757,669.37, while net profit attributable to shareholders rose by 37.52% to ¥42,991,961.20 [61]. - The company reported a significant increase in other receivables, which rose by 262.92% to CNY 48,960,122.79, mainly due to new project performance guarantees [51]. - The company achieved a 91.61% increase in operating costs, totaling CNY 357,773,153.94, up from CNY 186,723,981.62 in the previous year [53]. - The company reported a net cash flow from operating activities of -CNY 74,889,171.28, a decrease of 12,818.75% compared to the previous year [89]. Assets and Liabilities - As of the end of 2015, the company's net accounts receivable were 380.25 million RMB, and long-term receivables were 35.46 million RMB, together accounting for 39.89% of total assets [11]. - The company's asset-liability ratios at the end of 2013, 2014, and 2015 were 59.81%, 65.67%, and 64.58% respectively, indicating a high level of financial leverage [10]. - The total liabilities increased significantly, with short-term borrowings rising by 45.66% to CNY 319,000,000.00, reflecting increased bank loans [51]. - The company's fixed assets increased by 91.18% to CNY 70,496,742.24, primarily due to the completion of construction projects [51]. - The company's cash and cash equivalents increased by 2858.46% to ¥71,446,068.48, primarily due to funds raised from the company's IPO and bank loans [56]. Investment and Funding - The company plans to raise up to 550 million RMB through a private placement of up to 25 million shares to fund PPP project construction and supplement working capital [4]. - The company has actively pursued PPP (Public-Private Partnership) projects, successfully winning a PPP project for a water supply project in Sihong County with a contract value of 306.7 million RMB [46]. - The company intends to invest raised funds into the expansion of its environmental equipment manufacturing base, technology research and development center, and to repay bank loans [131]. - The company executed a capital reserve increase of 62,000,000 shares, doubling the total share capital from 62,000,000 to 124,000,000 shares [122]. Research and Development - The company has developed key technologies such as the Upflow Anaerobic Reactor (UMAR) for high-concentration organic wastewater treatment, which has been recognized as a national key new product [37]. - Research and development expenses increased by 106.89% to ¥16,005,012.54, reflecting the company's intensified efforts in new product development [56]. - The number of R&D personnel increased to 247, making up 40.36% of the total workforce [86]. - The company is focusing on expanding into new fields such as soil remediation, solid waste disposal, and flue gas treatment, aiming to transform into a comprehensive environmental service provider [47]. Market Position and Strategy - The company emphasizes the importance of maintaining competitive advantages in technology innovation and cost control to mitigate increasing market competition risks [6]. - The company is focused on expanding its market reach and enhancing its service offerings through strategic partnerships and technological advancements [17]. - The company aims to maintain its leading position in the industrial wastewater treatment sector while exploring new profit growth points [117]. - The company is committed to international market expansion, enhancing brand recognition and leveraging opportunities from the Belt and Road Initiative [114]. Shareholder and Dividend Policy - The company proposed a cash dividend of 0.60 RMB per 10 shares, based on a total share capital of 127,285,000 shares [2]. - The cash dividend for 2015 represented 17.76% of the net profit attributable to ordinary shareholders, which was RMB 42,991,961.20 [129]. - The total distributable profit for shareholders in 2015 was RMB 139,799,914.27, with cash dividends accounting for 100% of the profit distribution [124]. - The company emphasizes a proactive profit distribution policy to enhance shareholder returns and maintain stability and reasonableness in dividend payouts [131]. Compliance and Governance - The company has retained Tianzhi International Accounting Firm for auditing services, ensuring compliance and transparency in financial reporting [23]. - The management team is composed of highly educated individuals with overseas study backgrounds, contributing to the company's strategic direction and decision-making [49]. - The company is committed to fulfilling all public commitments made during its initial public offering, with a focus on protecting investor interests [132]. - The company has implemented strict measures for information disclosure in accordance with relevant regulations and market principles, including public bidding for normal business cooperation [136]. Environmental Commitment - The company emphasizes its commitment to clean production, particularly in the paper-making industry, utilizing the BSC-type chlorine dioxide preparation system for efficient bleaching processes [18]. - The company is actively involved in the development of advanced technologies for the treatment of difficult-to-degrade wastewater, utilizing the Upflow Heterogeneous Oxidation Tower (UHOFe) for effective pollutant removal [17]. - The company has developed an integrated technology system for heavy metal pollution treatment, achieving compliance with national control standards for heavy metal ions in wastewater [43]. - The company is focused on maintaining the legal rights and interests of minority shareholders, ensuring no harm to their interests from the controlling shareholders' actions [135].