GDMZH(SH:600382)2021-04-29 16:00Financial Performance - In 2020, the company's operating revenue was CNY 568,279,740, a decrease of 52.09% compared to CNY 1,186,105,451 in 2019[24]. - The net profit attributable to shareholders was CNY 333,754,417.78, down 10.04% from CNY 371,003,912.38 in the previous year[24]. - The net cash flow from operating activities decreased by 45.25% to CNY 215,390,457.71 from CNY 393,405,597.42 in 2019[24]. - The basic earnings per share decreased to CNY 0.42, down 10.64% from CNY 0.47 in 2019[25]. - The weighted average return on equity decreased to 5.40%, down from 6.40% in the previous year[25]. - The company reported a significant reduction in accounts receivable by 62.86%, primarily due to the collection of trade payments as per contract agreements[59]. - The company reported a significant increase in investment income, reaching RMB 490,335,426.64, a year-on-year increase of 3,760.71%[76]. - The revenue from primary land development business was RMB 530,352,349.52, an increase of 20.08% compared to the previous year[77]. - The company’s trade business revenue was RMB 31,476,853.84, a decrease of 66.63% compared to the previous year[77]. - The company’s financial expenses increased by 25.23% to RMB 32,692,176.08, with interest expenses rising by 35.25%[76]. Assets and Investments - The total assets at the end of 2020 were CNY 8,140,066,818.54, an increase of 4.51% from CNY 7,788,548,910.82 in 2019[24]. - The company's net assets attributable to shareholders increased by 5.99% to CNY 6,360,029,155.22 from CNY 6,000,413,839.33 in 2019[24]. - The fair value of investments increased from RMB 1.22 billion at the beginning of the year to RMB 1.30 billion by year-end, reflecting a gain of RMB 83.03 million[31]. - The company’s long-term equity investments increased by 100.00%, indicating a strategic focus on enhancing investment returns[61]. - The company’s inventory saw a dramatic increase of 37,755.13%, attributed to the reclassification of other current assets under new revenue standards[59]. - The company’s deferred tax assets rose by 144.97%, mainly due to increased credit impairment losses under new financial instrument standards[61]. - The company’s fixed assets decreased by 32.42%, resulting from the disposal of obsolete fixed assets[61]. - The cumulative investment in cooperative projects reached CNY 2,689,010,296.00, with a provision for impairment of CNY 239,402,274.56[100]. Dividends and Shareholder Returns - The proposed cash dividend is CNY 1 per 10 shares, totaling CNY 78,893,381.50, which accounts for 25.62% of the distributable profit[5]. - The company reported a net profit of CNY 342,211,115.40 for 2020, with a proposed cash dividend of CNY 1.00 per 10 shares, totaling CNY 78,893,381.50, which represents 25.62% of the distributable profit[144]. - In 2019, the company distributed a cash dividend of CNY 0.60 per 10 shares, amounting to CNY 36,412,329.90, which was 11.44% of the distributable profit[141]. - The company has committed to distributing at least 10% of the annual distributable profits as cash dividends, with a cumulative distribution of no less than 30% of the average annual distributable profits over the last three years[150]. - The company’s remaining undistributed profit after the proposed dividend for 2020 will be CNY 229,096,622.36, carried over to 2021[144]. Project Developments - The company is involved in PPP projects and real estate development, with a total investment of RMB 5.90 billion in the "Hongguiyuan" project[35]. - The "Classic City" real estate project has a planned investment of RMB 5.60 billion, with a total construction area of approximately 303,634 square meters[38]. - The company invested RMB 600 million in the "Liankang City" real estate development project, with a total construction area of approximately 434,661.48 square meters[50]. - The company invested RMB 168 million in the "Honghe Dijing" real estate development project, covering a total area of approximately 82,796.52 square meters[53]. - The company is involved in the "Nanshan New City" land development project with a total funding commitment of up to RMB 7.5379 billion[56]. - The company has completed construction and acceptance of 25 buildings in the Honggui Garden Project, with all units delivered to customers[101]. - In the Classic City Development Project, 99% of the exterior wall finishes are completed, and 98% of the indoor public area renovations are finished[102]. Risk Management and Compliance - The company reported a significant risk of being subject to delisting warnings due to the audit report issued by the accounting firm[8]. - The company has acknowledged major internal control deficiencies as noted in the audit report[9]. - The company plans to enhance risk management in 2021 by improving internal controls for the PPP model projects and ensuring timely recovery of funds from cooperative investment projects[137]. - The company emphasizes the importance of adhering to regulatory requirements for information disclosure to maintain transparency and protect investor interests[133]. - The company has engaged an independent valuation firm to assess the fair value of joint investment projects and subsidiaries[163]. - The company has taken measures to ensure that any business opportunities that may compete with Guangdong Mingzhu are reported and transferred to the company[150]. - The company has emphasized the importance of maintaining the interests of minority shareholders in its operations[150]. Corporate Governance - The company has appointed Huaxing Accounting Firm for the 2020 audit, replacing Guangdong Zhengzhong Zhujiang Accounting Firm, with an audit fee of RMB 700,000[171]. - The actual controller has provided a letter of commitment to guarantee the repayment of any funds occupied by related parties, ensuring financial security for the company[166]. - The board of directors is taking measures to address the issues raised in the audit report to ensure the company's sustainable development[161]. - The company has engaged Guangdong Zhongguangxin Asset Appraisal Co., Ltd. to assess the fair value of its equity investments, respecting the independent judgment of the appraisal firm[164]. - The company has no significant litigation or arbitration matters during the reporting period, indicating a stable legal standing[172]. Social Responsibility - The company donated RMB 16,600,000.00 for poverty alleviation efforts in 2020, which was fully invested as registered capital in an industry poverty alleviation company[185]. - The company donated RMB 1 million to support COVID-19 prevention efforts, reflecting its commitment to social responsibility[190]. - The company is not listed as a key pollutant discharge unit in the 2020 Meizhou environmental protection directory[188]. - The company has not experienced any incidents detrimental to social and economic development or environmental protection[190].