CREAT(SZ:002350)2016-04-15 16:00Financial Performance - The company's operating revenue for 2015 was ¥1,462,220,055.31, representing an increase of 8.49% compared to ¥1,347,774,548.30 in 2014[18]. - The net profit attributable to shareholders for 2015 was ¥42,804,306.61, a decrease of 41.87% from ¥73,629,637.22 in 2014[18]. - The net cash flow from operating activities increased significantly by 404.85% to ¥35,112,494.50 from ¥6,955,063.15 in 2014[18]. - The basic earnings per share for 2015 was ¥0.20, down 41.18% from ¥0.34 in 2014[18]. - Total assets at the end of 2015 were ¥1,932,256,169.38, an increase of 12.82% from ¥1,712,655,897.93 at the end of 2014[18]. - The net assets attributable to shareholders at the end of 2015 were ¥1,089,258,954.28, a slight increase of 0.93% from ¥1,079,196,647.65 at the end of 2014[18]. - The weighted average return on equity for 2015 was 3.96%, down from 7.03% in 2014[18]. - The company achieved operating revenue of CNY 1,462.22 million, representing a year-on-year growth of 8.49%[36]. - The net profit attributable to shareholders was CNY 42.80 million, a significant decline of 41.87% year-on-year[36]. Dividend Distribution - The company plans to distribute a cash dividend of 0.5 RMB per 10 shares to all shareholders, based on a total of 218,280,000 shares[6]. - The cash dividend proposal for 2015 is pending approval from the shareholders' meeting[144]. - The company has a policy to distribute at least 10% of the annual distributable profits in cash dividends, with a cumulative distribution of no less than 30% of the average annual distributable profits over the last three years[131]. - Cumulative cash dividends from 2012 to 2014 amounted to 8,512,920 yuan, representing 85.06% of the average annual net profit attributable to shareholders during that period[135]. - The company’s total distributable profits after the 2015 dividend distribution will be 143,843,276.59 yuan, which will be carried over to the next year[144]. Strategic Direction and Market Expansion - The report outlines the company's strategic direction and market expansion plans for the upcoming year[5]. - The company is focused on developing new technologies and products, including smart distribution automation solutions[11]. - The company plans to expand its product applications beyond the power grid to sectors such as railways and wind power[33]. - The company is actively pursuing research and development in smart grid technologies and automated control systems[11]. - The company is positioned as a leading manufacturer in the distribution equipment sector, with a focus on technological innovation and product development[26]. - The company plans to enhance its R&D efforts in new technologies, focusing on innovation to drive future growth[186]. - The company aims to expand its market presence through new product development and technology advancements[180]. Risk Management - The company emphasizes the importance of risk awareness regarding future plans and strategies, indicating that forward-looking statements do not constitute binding commitments[5]. - The report includes a detailed analysis of risk factors and countermeasures in the management discussion section[6]. - The company faces risks from increasing market competition and high customer concentration, primarily relying on State Grid Corporation and Southern Power Grid[123]. - The company is aware of the risks associated with new business developments and plans to manage these through careful acquisition strategies and operational oversight[125]. Research and Development - The company has accumulated 140 patent authorizations, including 17 invention patents, 122 utility model patents, and 1 design patent[31]. - The company applied for 7 new patents during the reporting period, including 2 invention patents and 5 utility model patents, and received 17 patent authorizations[41]. - R&D investment decreased by 12.99% to ¥54,353,684.85 in 2015, accounting for 3.72% of operating revenue[64]. - The number of R&D personnel decreased by 5.10% to 242, representing 14.02% of total employees[64]. Acquisitions and Subsidiaries - The company completed the establishment of a new subsidiary and acquired 60% of Zhengzhou Kaixin Electric Co., Ltd., enhancing its transition from a manufacturer to a service provider[43]. - The company established a new subsidiary, Henan Keri Electric Power Equipment Operation and Maintenance Co., Ltd., during the reporting period[155]. - The company merged with Zhengzhou Kaixin Electric Co., Ltd. under non-common control during the reporting period[155]. - The company disposed of its subsidiary Shanghai Keri Environmental Technology Co., Ltd. through cancellation during the reporting period[155]. Compliance and Governance - The board of directors has confirmed the accuracy and completeness of the annual report, ensuring no false statements or omissions[4]. - The financial report is guaranteed to be true, accurate, and complete by the responsible executives[4]. - The company has committed to not engaging in any business that directly or indirectly competes with its main operations in China, ensuring no conflicts arise in the future[145]. - The company has strictly adhered to its commitments regarding the non-competition with Beijing Keri North Technology Development Co., ensuring compliance with relevant regulations[146]. Financial Management - The company reported a net increase in cash and cash equivalents of ¥94,199,363.79, a 52.06% improvement year-on-year[67]. - The company has a long-term investment strategy, with a focus on expanding its market presence through acquisitions and partnerships[75]. - The company has committed to improving its financial performance through effective management of its investment projects[80]. - The company maintained a AAA credit rating, ensuring asset and fund security while fostering good relationships with lending banks[190]. Customer and Market Engagement - The company has a strong marketing team with over 160 personnel, 80% of whom have more than 5 years of experience[32]. - The company is actively participating in the formulation of technical standards for the power distribution industry, contributing to its reputation and expertise[40]. - The company confirmed sales revenue of 31,896.27 million from contracts with the State Grid Corporation across 15 provinces as of December 31, 2015[178]. - The company has been actively involved in public bidding for projects across 17 provinces, with a total revenue of 1,941.67 million yuan confirmed in November 2015[180].