SA(601021)2025-04-29 12:43Financial Performance - The net profit of the parent company for 2024 is CNY 1,626,928,876, while the consolidated net profit attributable to shareholders is CNY 2,272,944,296[6]. - The proposed cash dividend per share is CNY 0.82 (including tax), with a total cash dividend amounting to CNY 797,631,161.78, representing 35.09% of the consolidated net profit attributable to shareholders[6]. - The total amount for cash dividends and share repurchases is CNY 864,491,149.95, accounting for 38.03% of the consolidated net profit attributable to shareholders[7]. - The company's operating revenue for 2024 reached CNY 19,999,927,181, representing an increase of 11.50% compared to CNY 17,937,857,423 in 2023[25]. - The net profit attributable to shareholders for 2024 was CNY 2,272,944,296, a slight increase of 0.69% from CNY 2,257,429,466 in 2023[25]. - The net cash flow from operating activities decreased by 11.94% to CNY 5,894,967,142 in 2024 from CNY 6,694,171,165 in 2023[25]. - The total assets as of the end of 2024 were CNY 43,835,011,780, a decrease of 0.91% from CNY 44,237,902,712 at the end of 2023[25]. - The net assets attributable to shareholders increased by 10.36% to CNY 17,380,895,272 at the end of 2024 compared to CNY 15,749,909,879 at the end of 2023[25]. - The basic earnings per share for 2024 was CNY 2.33, up by 0.87% from CNY 2.31 in 2023[26]. - The weighted average return on equity for 2024 was 13.72%, a decrease of 1.60 percentage points from 15.32% in 2023[26]. Operational Highlights - The company completed a private placement of 62,086,092 shares in 2022, raising approximately CNY 2,999,999,965.44[27]. - The total share capital increased to 978,548,805 shares as of December 31, 2022, and remained the same through 2024[27]. - The company has maintained a consistent financial performance despite fluctuations in cash flow and asset values[25]. - Total operating revenue for the year was 20,000,000,000 RMB, with a quarterly breakdown of 5,168,038,809 RMB in Q1, 4,707,064,198 RMB in Q2, 6,101,642,741 RMB in Q3, and 4,023,181,433 RMB in Q4[29]. - The company maintained a flight safety record with a major accident rate of 0 and spent 457,242 million yuan on safety production-related expenses in 2024[43]. - The fleet included 129 Airbus A320 series aircraft, with an average age of 7.5 years, and the company introduced 3 Airbus A321neo and 8 Airbus A320neo aircraft during the year[45]. - The company operated a total of 212 flight routes by the end of 2024, with domestic routes accounting for 159 and international routes for 51[46]. - The overall available seat kilometers increased by 16.1% year-on-year, with domestic and international routes growing by 7.7% and 81.3% respectively[46]. - The company opened new routes to Japan and South Korea in 2024, with a total of 8 and 3 flight points respectively, exceeding 2019 peak levels[50]. Market and Economic Outlook - The company expects global economic growth to be around 3.2% in 2024, with ongoing challenges from geopolitical risks and supply chain restructuring[37]. - The company reported a significant increase in international route passenger volume, which grew by 115.12% year-over-year[35]. - The company is navigating a competitive landscape with both state-owned and private airlines, as well as foreign competitors[128]. - The civil aviation industry is expected to achieve a dynamic balance between supply and demand, with significant growth in key metrics such as passenger and cargo transport volumes[130]. - The market-oriented pricing reform initiated in December 2020 is anticipated to enhance competition and expand domestic aviation market demand[136]. - The company plans to restore international and regional capacity to over 90% of 2019 levels, with international capacity accounting for over 20%[142]. Risk Management - The company has detailed potential risks in its report, which investors are advised to review[11]. - The company emphasizes the importance of balancing short-term operational needs with long-term development plans in its profit distribution proposal[8]. - The company faces risks related to seasonal fluctuations in air travel demand, with peak seasons typically occurring during Spring Festival and July-August[153]. - The company is exposed to competition from both domestic low-cost airlines and international carriers, which may impact pricing strategies[154]. - The company is at risk of pilot shortages due to the increasing demand for experienced pilots amid fleet expansion[156]. - The company will strengthen its risk management framework to address economic cycle risks affecting the aviation industry[152]. Corporate Governance - The board of directors consists of 8 members, including 3 independent directors, ensuring compliance with legal requirements[164]. - The independent directors actively participated in board meetings, providing professional opinions on significant matters, contributing to sound decision-making[164]. - The supervisory board is composed of 3 members, including 1 employee representative, with a majority having accounting and auditing expertise[166]. - The company has established a comprehensive internal control system that effectively mitigates operational risks and ensures compliance with relevant laws and regulations[166]. - The company has a performance evaluation system in place, with clear performance indicators for all positions, enhancing accountability and motivation[167]. Employee and Talent Development - The company has a total of 8,489 employees, with 6,654 in the parent company and 1,835 in major subsidiaries[195]. - The company completed 179,743 training hours with 229,156 participants in 2024, emphasizing the importance of talent development[198]. - The company plans to implement an employee stock ownership plan for 2024, aimed at enhancing employee engagement and aligning interests[170]. - The company will continue to develop its talent pool, emphasizing the training of management, technical, and skilled personnel[150][151]. Sustainability and Innovation - The company aims to enhance its sustainability initiatives, targeting a 50% reduction in carbon emissions by 2025[176]. - The company is focused on leveraging big data and artificial intelligence to enhance operational efficiency and decision-making[191]. - Research and development investments have increased by 30%, focusing on innovative technologies in the aviation sector[178]. Future Plans - The company plans to enhance its auxiliary business revenue as a core competitive advantage, focusing on e-commerce sales and customer experience[91]. - The company aims to optimize its low-cost airline business model while expanding its fleet and route network to enhance competitiveness in the international market[138]. - The company plans to change the financial report auditor and internal control auditor for the 2024 fiscal year[171].