XSS(SH:600117)2021-04-27 16:00Financial Performance - The net profit attributable to the parent company for 2020 was ¥59,137,078.87, while the total distributable profit was -¥2,018,240,830.24 due to accumulated losses[5]. - The company reported a net profit of -¥43,997,756.85 for the parent company in 2020, leading to a decision not to distribute cash dividends or issue bonus shares[5]. - The company's operating revenue for the year was approximately CNY 10.08 billion, representing a 2.33% increase from the previous year[22]. - Net profit attributable to shareholders decreased by 38.20% to CNY 59.14 million compared to CNY 95.69 million in the previous year[22]. - The net cash flow from operating activities increased significantly by 137.96% to CNY 920.05 million, up from CNY 386.63 million[22]. - The company reported a basic earnings per share of CNY 0.06, down 33.33% from CNY 0.09 in the previous year[22]. - The total profit for 2020 was 223 million yuan, showing a significant increase of 71.54% from 130 million yuan in 2019[41]. - The net profit attributable to the parent company decreased by 38.54% to 59 million yuan in 2020 from 96 million yuan in 2019[41]. Research and Development - Research and development expenses surged by 476.06% to CNY 305.89 million, reflecting increased investment in product quality and production processes[27]. - The company has established a comprehensive R&D platform in collaboration with institutions like Beihang University and the Chinese Academy of Sciences, focusing on special steel materials[37]. - The company developed and expanded its product range, achieving a growth of 175% in new product development volume, reaching 86,000 tons[42]. - Total R&D investment amounted to ¥305,888,119.23, representing 3.04% of operating revenue[67]. - R&D expenses increased by 476.06% compared to the previous period, primarily due to increased investment in product quality, production process optimization, and product structure adjustment[66]. Operational Challenges and Risks - The company has acknowledged the existence of risks in its future development plans, as detailed in the management discussion and analysis section[6]. - The report indicates that the company will continue to monitor and address potential risks in its strategic planning[6]. - The company is focused on future business development needs despite the current operational challenges[5]. - The company faces risks from the ongoing COVID-19 pandemic, which may impact economic recovery and raw material prices, affecting profitability[90]. - The company is part of a competitive landscape with four major regional special steel groups in China, which may intensify market competition[88]. Environmental Compliance - The total emissions of particulate matter were 2,880.69 tons, with sulfur dioxide emissions at 523.48 tons and nitrogen oxides at 670.28 tons during the reporting period[121]. - The company achieved compliance with emission standards across all monitored discharge points, with specific concentrations such as 1.92 mg/m³ for the second refining discharge point and 4.12 mg/m³ for the first dust removal discharge point[125]. - The company has maintained a 100% compliance rate for pollutant discharge and has passed national certification for 14 consecutive years, receiving the ISO14001 environmental management system certification[132]. - The company has established a comprehensive environmental management system, revising 23 management regulations to ensure compliance with increasing national environmental standards[132]. - The company is committed to ongoing improvements in environmental performance, as evidenced by the successful management of various pollutants, including a total phosphorus level of 0.43 mg/L, well within the 2.0 mg/L limit[127]. Corporate Governance - The audit report issued by Dahua Certified Public Accountants confirmed the financial report's authenticity and completeness for the year[5]. - The company has not faced a situation where more than half of the directors could not guarantee the authenticity of the annual report[6]. - There were no violations of decision-making procedures regarding external guarantees[6]. - The company has not faced any risks of suspension or termination of listing during the reporting period[102]. - The company has implemented strict review processes for candidates for the board to ensure compliance with regulations[191]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 60,155, an increase from 56,829 at the end of the previous month[147]. - The largest shareholder, Xining Special Steel Group, held 369,669,184 shares, representing 35.37% of the total shares, with 111,860,000 shares pledged[147]. - The employee stock ownership plan allowed for the purchase of up to 3,899,000 shares, with a maximum funding amount of 22.45824 million RMB[146]. - The company has maintained a cash dividend policy aimed at maximizing shareholder returns, with no revisions to the relevant provisions in the Articles of Association during the reporting period[94]. - In the past three years, the company has not distributed any dividends, with net profits attributable to ordinary shareholders being CNY 59.14 million in 2020, CNY 95.69 million in 2019, and a loss of CNY 2.05 billion in 2018[95]. Employee and Training Programs - The total number of employees in the parent company and major subsidiaries is 3,838, with 2,824 in the parent company and 1,014 in major subsidiaries[175]. - The company completed 62 company-level training programs, training 6,733 participants, and 5,779 internal training programs at the secondary unit level, training 77,890 participants, achieving the training goals set at the beginning of the year[177]. - A total of 1,308 large-scale training programs were conducted throughout the year, training 49,048 participants over 1,909 class hours, with 669 programs focused on political theory training, involving 35,901 participants[180]. - The employee composition includes 2,370 production personnel, 119 sales personnel, 217 technical personnel, 55 financial personnel, 107 administrative personnel, and 970 others[175]. - The educational background of employees shows 600 with a bachelor's degree or higher, 1,259 with a college or vocational degree, and 1,979 with a technical school education or lower[175].