HONGHUI(002802)2025-04-27 07:41Financial Performance - The company's operating revenue for 2024 reached ¥455,509,321.19, representing a 22.19% increase compared to ¥372,785,557.60 in 2023[6]. - Net profit attributable to shareholders for 2024 was ¥59,240,089.28, up 16.43% from ¥50,881,971.70 in 2023[6]. - The net profit after deducting non-recurring gains and losses was ¥53,027,342.40, a significant increase of 33.35% from ¥39,765,167.51 in 2023[6]. - Basic and diluted earnings per share for 2024 were both ¥0.33, reflecting a 17.86% increase from ¥0.28 in 2023[6]. - Total assets at the end of 2024 were ¥688,358,316.36, a decrease of 4.56% from ¥721,281,294.05 at the end of 2023[6]. - The company's net assets attributable to shareholders decreased by 5.95% to ¥626,032,856.62 from ¥665,644,408.04 at the end of 2023[6]. - The company achieved operating revenue of 455.51 million yuan, an increase of 22.19% year-on-year[52]. - The net profit attributable to shareholders was 59.24 million yuan, reflecting a year-on-year growth of 16.43%[52]. - R&D expenses totaled 26.75 million yuan, accounting for 5.87% of operating revenue, with 2 new authorized invention patents and 5 invention patents applied for during the reporting period[52]. - The company’s water-based emulsion products generated revenue of 142.41 million yuan, significantly increasing compared to the previous year[53]. Dividend Distribution - The company plans to distribute a cash dividend of 1.00 CNY per 10 shares (including tax) to all shareholders, with no bonus shares issued[4]. - The company plans to distribute a cash dividend of RMB 2.50 per 10 shares, totaling RMB 44,750,496.5, based on 179,001,986 shares after buybacks, to be implemented on July 22, 2024[146]. - For the 2024 interim dividend, the company will distribute RMB 1.20 per 10 shares, totaling RMB 21,416,638.32, based on 178,471,986 shares after buybacks, to be implemented on November 6, 2024[147]. - The company reported a net profit attributable to shareholders of RMB 59,240,089.28 for the year 2024, with distributable profits amounting to RMB 245,120,751.14[151]. - The cash dividend distribution policy is designed to ensure a minimum of 20% of profits are distributed as cash dividends during profit distribution[150]. Operational Stability - The company has not changed its main business since its listing, indicating stability in its operations[18]. - The company has not reported any changes in its controlling shareholders since its establishment, indicating stable ownership[18]. - The company operates under the Shenzhen Stock Exchange, with stock code 002802, and is headquartered in Wuxi, Jiangsu Province[15]. - The company has established long-term relationships with suppliers of key raw materials, ensuring stable supply and quality for production[39]. Research and Development - The company is focusing on the development of water-based emulsion (resin) products, which are expected to see increased demand in various industries, particularly in construction and automotive sectors[29]. - The company is investing in product research and development to optimize existing formulations and develop new water-based resin products to meet industry changes[31]. - The company holds 34 national invention patents, 13 utility model patents, and 1 design patent, indicating strong R&D capabilities in the industry[42]. - The company has a strong R&D platform that includes small-scale and pilot-scale testing capabilities, enhancing its innovation capacity[48]. - The company is committed to continuous investment in R&D, technology, and facilities to adapt to market demands and enhance product offerings[31]. Market Trends and Strategy - The global market for water-based epoxy resins is anticipated to grow, with significant consumption in the U.S. and China, driven by industrialization and environmental regulations[29]. - The Chinese government is promoting the reduction of high VOCs solvent-based coatings and encouraging the development of environmentally friendly coatings, which aligns with the company's strategic direction[30]. - The company aims to enhance its market position by focusing on technological innovation and expanding its product range, particularly in water-based coatings and environmentally friendly chemical materials[97]. - The company plans to optimize its product structure based on market demand for water-based coatings, functional resins, and environmentally friendly chlorinated vinyl copolymer resins to create new growth points[99]. Risk Management - The company acknowledges risks related to raw material price fluctuations, market policy changes, and environmental safety, urging investors to be aware of these risks[4]. - The company is currently facing market and operational risks that may affect its investment plans and project goals[45]. - The company recognizes risks from raw material price fluctuations, exchange rate volatility, and geopolitical instability in export regions, and plans to adjust pricing and procurement strategies accordingly[102][103]. Governance and Compliance - The financial report confirms that all board members attended the meeting to review the annual report, ensuring accountability for the report's accuracy[4]. - The company maintained strict compliance with laws and regulations, ensuring transparent governance and protecting shareholder rights[111]. - The board of directors and supervisory board operated independently, with no non-operational fund transfers from controlling shareholders[112]. - The company achieved full independence in business operations, assets, personnel, and finance, with no reliance on controlling shareholders[115]. - The company has a diverse board of directors with various professional backgrounds, including finance and management, enhancing its governance structure[120]. Environmental Responsibility - The company adheres to various environmental protection laws and standards, ensuring compliance in its production operations[164]. - The company has implemented measures to control emissions, with a total discharge amount of 7.094 tons per year, compliant with industry standards[167]. - The company has established a new materials R&D center, receiving environmental approval for its operations[165]. - The company invested a total of 9.8965 million yuan in environmental governance and protection during the reporting period[172]. - The company emphasizes sustainable development by integrating clean production practices throughout its operations[170]. Employee Management - The company has established a comprehensive and reasonable salary system to motivate employees and enhance their career development[143]. - The company has a training management system in place to ensure employees are equipped with necessary skills and knowledge for their roles[144]. - The number of R&D personnel remained stable at 50, with a slight increase in the proportion of bachelor's degree holders to 50%[70]. - The company has a dedicated safety production management team with independent functions, conducting monthly comprehensive safety inspections[180]. Future Outlook - The company aims for a year-on-year growth of 15% to -15% in product sales volume, revenue, and net profit attributable to shareholders in 2025[101]. - The company plans to control operating costs at around 70% of revenue and maintain a period expense ratio of approximately 16%, with R&D expenses expected to be around 4% of revenue[101]. - The company will focus on internal management, including monitoring the USD/RMB exchange rate and raw material market dynamics to maintain reasonable inventory levels[100].