ZJQY(SH:600210)2020-04-29 16:00Financial Performance - The company reported a total distributable profit of RMB 1,470,784,303.11 as of December 31, 2019, with a proposed cash dividend of RMB 0.2 per share, amounting to a total of RMB 303,347,231.60 for the year, resulting in a cash dividend payout ratio of 61.38%[4]. - The company's operating revenue for 2019 was CNY 9,210,963,560.33, representing a year-on-year increase of 2.23% compared to CNY 9,009,856,257.37 in 2018[20]. - Net profit attributable to shareholders for 2019 was CNY 494,198,437.20, an increase of 14.20% from CNY 432,742,261.14 in 2018[20]. - The net profit after deducting non-recurring gains and losses was CNY 417,637,798.00, which is a significant increase of 55.63% compared to CNY 268,348,988.13 in 2018[20]. - The company's total assets at the end of 2019 were CNY 10,781,154,162.32, reflecting a 3.92% increase from CNY 10,374,314,906.91 at the end of 2018[20]. - Basic earnings per share for 2019 were CNY 0.326, up 14.39% from CNY 0.285 in 2018[21]. - The weighted average return on equity increased to 10.30% in 2019, up from 9.91% in 2018, indicating improved profitability[21]. - The company reported a net cash flow from operating activities of CNY 988,690,621.13, a slight decrease of 0.93% from CNY 997,989,536.41 in 2018[20]. - The company’s net assets attributable to shareholders increased by 10.04% to CNY 4,917,669,704.03 at the end of 2019 from CNY 4,469,125,496.99 at the end of 2018[20]. Dividend Policy - The company plans to maintain the total dividend amount unchanged even if there are changes in the total share capital before the dividend distribution date[4]. - The company has committed to minimizing related party transactions and ensuring they are conducted at market prices, with a long-term commitment effective from July 18, 2014[122]. - The company plans to distribute cash dividends annually, with a minimum of 30% of the average distributable profit over the last three years to be distributed in cash[117]. - In mature stages without significant capital expenditure, the cash dividend proportion should be at least 80% of the profit distribution[117]. - In mature stages with significant capital expenditure, the cash dividend proportion should be at least 40%[117]. - In growth stages with significant capital expenditure, the cash dividend proportion should be at least 20%[117]. - The company has distributed a total of 3,232,669,936.45 RMB in cash dividends since its listing in 1999[117]. - In 2019, the cash dividend amount was 303,347,231.60 RMB, representing 61.38% of the net profit attributable to ordinary shareholders[118]. Audit and Compliance - The company has received a standard unqualified audit report from Lixin Certified Public Accountants, ensuring the accuracy and completeness of the financial report[4]. - The board of directors and senior management have confirmed the authenticity and completeness of the annual report, taking legal responsibility for any misrepresentation or omissions[4]. - The company has not faced any administrative penalties from the China Securities Regulatory Commission in the last 36 months[124]. - The company has confirmed that its financial statements have not received any adverse opinions from auditors in the past year[124]. - The company has maintained compliance with court judgments and has no significant debts due that remain unpaid[134]. Risk Management - The company has outlined potential risks that may adversely affect its future development, with detailed countermeasures provided in the report[4]. - The company emphasizes the importance of investor awareness regarding investment risks associated with forward-looking statements made in the report[4]. - The company is facing risks from domestic economic fluctuations, which may impact consumer spending and thus affect its packaging business; it plans to mitigate this by exploring new clients and foreign markets[110]. - The volatility of raw material prices, particularly those derived from petroleum, poses a risk; the company will closely monitor oil prices and adjust inventory strategies accordingly[110]. - Seasonal fluctuations in the beverage industry may affect sales; the company intends to diversify its product range to reduce dependency on seasonal beverage sales[110]. Research and Development - The company applied for 122 national patents in 2019, with 77 patents granted, including 7 invention patents[41]. - Total R&D investment amounted to CNY 178.05 million, representing 1.93% of operating revenue, with 471 R&D personnel, accounting for 6.70% of the total workforce[58]. - The company aims to enhance its talent pool by providing systematic training for mid-level management, in collaboration with educational institutions[109]. - The company plans to push for the listing of its subsidiary to optimize capital structure and enhance market presence[109]. - The company will focus on expanding the beverage packaging market, particularly targeting small and medium-sized clients, and aims to enhance product innovation to adapt to market changes[109]. Environmental Initiatives - The company has implemented various environmental protection measures in 2019, including compliance with new regulations on VOCs emissions and water pollution prevention, resulting in improved environmental performance[72]. - The company has made significant investments in environmental governance, aligning with national policies to combat air pollution and improve sustainability practices[72]. - Environmental investment amounted to ¥38,687,400, representing 0.42% of total revenue[95]. - Shanghai Ziquan Beverage Co., Ltd. has a wastewater treatment system with a capacity of 1,700 tons per day, operating continuously[157]. - Shanghai Ziquan Label Co., Ltd. has implemented VOCs treatment devices for printing process exhaust, which are continuously operational[157]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 109,804, a decrease from 111,391 at the end of the previous month[167]. - The actual controller of the company is Shen Wen, who is also the chairman and president of Shanghai Zijiang (Group) Co., Ltd.[172]. - The company has not reported any changes in the shareholding structure of its senior management during the reporting period[178]. - The total pre-tax remuneration for all directors and senior management during the reporting period amounted to 971.04 thousand yuan[178]. - The company has not granted any equity incentives to directors and senior management during the reporting period[182]. Operational Performance - The company’s quarterly revenue showed fluctuations, with Q2 2019 achieving the highest revenue of CNY 2,401,169,936.93[23]. - The company achieved total operating revenue of 9.21 billion RMB, an increase of 2.23% compared to the previous year[42]. - Operating costs amounted to 8.75 billion RMB, rising by 1.06% year-on-year[42]. - The operating profit reached 610 million RMB, reflecting a growth of 10.04% from the previous year[42]. - The company has established strategic partnerships with major beverage brands, enhancing its competitive edge in the beverage OEM sector[102].