NANSHAN ALUMINIUM(SH:600219)2023-04-28 16:00Financial Performance - The net profit excluding non-recurring items for 2022 was CNY 19.47 billion, representing a 14.63% increase compared to CNY 33.37 billion in 2021[5]. - The company's operating revenue for 2022 was CNY 34.95 billion, an increase of 21.68% compared to CNY 28.73 billion in 2021[26]. - The net profit attributable to shareholders for 2022 was CNY 3.52 billion, reflecting a 3.07% increase from CNY 3.41 billion in 2021[26]. - The net cash flow from operating activities increased by 51.01% to CNY 6.67 billion in 2022, up from CNY 4.42 billion in 2021[26]. - The company achieved a revenue of CNY 34,951,222,450.58 in 2022, an increase of 21.68% compared to the previous year[71]. - The net profit for 2022 reached CNY 394,384,490, an increase of 6.03% compared to the previous year[71]. - The gross profit margin for the aluminum products sector decreased by 4.09 percentage points to 20.74%[76]. - The company’s aluminum deep processing products accounted for 88.58% of total revenue, with alumina powder contributing 10.60%[76]. Assets and Investments - Total assets reached CNY 647.26 billion in 2022, reflecting a 2.45% increase from CNY 631.78 billion in 2021[5]. - The company's total assets as of the end of 2022 were CNY 64.73 billion, a 2.45% increase from CNY 63.18 billion at the end of 2021[26]. - The company reported a significant increase in derivative financial assets, with a year-end balance of 9,380,225.00 RMB, up from 1,424,724.68 RMB at the beginning of the year[34]. - The company’s investments in new aluminum alloy technologies are aligned with the growing demand for lightweight materials in the automotive sector, particularly for electric vehicles[105]. Research and Development - The company has a commitment to research and development in new products and technologies, although specific details were not provided in the extracted content[12]. - Total R&D expenses amounted to CNY 1,485,964,344.08, representing 4.25% of total revenue[83]. - The number of R&D personnel is 2,199, accounting for 12.35% of the total workforce[84]. - The company has established a comprehensive R&D platform, including a national-level aluminum alloy processing engineering technology research center, to drive innovation and enhance product competitiveness[65]. Market Strategy and Expansion - The company is focused on market expansion and strategic initiatives, with ongoing assessments of potential mergers and acquisitions[12]. - The company aims to enhance its market influence and fill the domestic gap in automotive plate products, responding to national policies and industry trends[42]. - The company is actively expanding its market presence in Africa and emerging markets, successfully signing cooperation agreements with local canning enterprises[44]. - The company is focusing on high-end industrial profiles, aiming to enhance its competitive edge in the aerospace and automotive sectors while optimizing product structure[56]. Environmental and Sustainability Initiatives - The company is committed to sustainable development, maintaining strategic partnerships with key clients in both domestic and international markets, including major beverage companies[54]. - The company has invested approximately 31,950.47 million CNY in environmental protection during the reporting period[159]. - The company has developed a low-carbon production strategy, including the use of clean energy and recycling initiatives[167]. - The company achieved a reduction of 3,417,934 tons in greenhouse gas emissions compared to 2021[168]. Governance and Compliance - The board of directors has ensured the authenticity, accuracy, and completeness of the annual report[7]. - The company has not violated decision-making procedures for external guarantees[10]. - The company has established a comprehensive internal control system and conducted an evaluation of its effectiveness as of December 31, 2022[153]. - The company has maintained a consistent remuneration structure for its board members over the reporting period[123]. Risks and Challenges - The company is facing various risks as outlined in the management discussion and analysis section of the annual report[10]. - The company faces risks from fluctuations in aluminum ingot prices, which are tied to market supply and demand, potentially impacting business operations[110]. - Increased competition in the aluminum processing industry is expected due to the entry of new domestic and foreign companies, leading to a focus on high-end product applications[111]. - Supply chain risks are present due to the complexity of the supply chain for high-end aluminum products, influenced by political and exchange rate risks[112]. Shareholder Returns and Dividends - The company plans to distribute a cash dividend of CNY 0.40 per 10 shares, totaling approximately CNY 468.34 million[8]. - The company is committed to improving shareholder returns, with a proposed dividend increase of 5% for the next fiscal year[125]. - The company’s net profit attributable to ordinary shareholders for the year was 3,515,523,059.52 RMB, with a cash dividend payout ratio of 13.32%[149]. Related Party Transactions - The company is involved in various related party transactions, including agreements with Nanshan Group for comprehensive service provisions[132]. - Catering and accommodation services from Longkou Nanshan International Conference Center Co., Ltd. amounted to RMB 1,885,675.54, representing 14.64% of similar transaction amounts[188]. - The company engaged in related party transactions, including RMB 52,267.09 for catering and accommodation services from Longkou Donghai Moon Bay Seaview Hotel Co., Ltd., accounting for 0.41% of similar transaction amounts[188].