LK(SH:600388)2021-04-27 16:00Financial Performance - In 2020, the company's sales revenue reached 10.181 billion CNY, showing a consistent growth trend over the years[7]. - The company's operating revenue for 2020 was ¥10,180,764,557.17, a decrease of 6.90% compared to ¥10,935,027,561.90 in 2019[66]. - The net profit attributable to shareholders for 2020 was ¥702,788,631.29, down 17.42% from ¥851,029,698.37 in 2019[66]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥485,158,731.32, a decrease of 27.71% compared to ¥671,109,880.63 in 2019[66]. - Basic earnings per share decreased by 17.50% to CNY 0.66 from CNY 0.80 in the previous year[69]. - Diluted earnings per share fell by 23.75% to CNY 0.61 compared to CNY 0.80 in 2019[69]. - The company achieved operating revenue of 10.18 billion RMB, a decrease of 6.90% compared to the previous year[104]. - Net profit attributable to the parent company was 703 million RMB, with a net cash flow from operating activities of 2.09 billion RMB, reflecting a significant increase of 12,575.50%[104][106]. Assets and Liabilities - The total assets at the end of 2020 were ¥25,130,454,747.55, an increase of 16.44% from ¥21,583,010,928.64 at the end of 2019[66]. - The net assets attributable to shareholders at the end of 2020 were ¥6,196,900,542.16, an increase of 8.54% from ¥5,709,424,504.05 at the end of 2019[66]. - The company’s total liabilities increased due to acquisitions, impacting the cash flow from investing activities negatively by ¥2,461,554,949.13[123]. - The company reported goodwill of approximately ¥517.99 million, primarily from the acquisition of Taizhou Dechang[125]. - Short-term borrowings decreased by 42.24% to approximately ¥1.18 billion, attributed to reduced financing needs[125]. Research and Development - The company has been involved in over 117 national and provincial technology innovation projects, demonstrating its commitment to R&D[16]. - The company has developed and applied over 500 units of its internationally advanced dry ultra-clean technology, ranking first globally in application performance[27]. - Research and development expenses increased by 4.35% to 482 million RMB, indicating a focus on technological innovation[106]. - The company is actively pursuing new technologies, including anaerobic fermentation technology for kitchen waste and high-efficiency energy-saving drying technology[100]. - The company has established a strong talent pool, including top industry experts and returnee PhDs, to drive innovation and market expansion[90]. Market Position and Expansion - The company has a market share of over 50% in the ultraviolet disinfection system for municipal wastewater treatment[32]. - The company is recognized as a leading enterprise in the environmental protection industry and is the largest manufacturer of air pollution control equipment globally[82]. - The company has been actively participating in the "Belt and Road" initiative, expanding its business coverage to over 40 countries and regions[20]. - The company has expanded its product applications across various industries, including power, construction, metallurgy, and chemicals, with exports to over 40 countries[90]. - The company aims to enhance its core competitiveness by focusing on technological innovation and increasing R&D investment, particularly in areas related to carbon neutrality and environmental protection[155]. Environmental Initiatives - The company has achieved a daily waste disposal capacity exceeding 6,600 tons through multiple waste incineration power generation projects, with near-zero pollutant emissions[33]. - The company has an annual hazardous waste disposal capacity exceeding 268,000 tons, utilizing various disposal processes including incineration and flexible landfilling[34]. - The company aims to focus on expanding its environmental protection business in line with national policies promoting green development and low-carbon initiatives[128]. - The company plans to enhance its capabilities in air quality improvement, water resource management, and soil safety utilization during the 14th Five-Year Plan period[145]. - The company emphasizes the importance of quality and excellence in its products, maintaining a commitment to continuous improvement and innovation[149]. Shareholder and Dividend Policies - The company plans to distribute a cash dividend of ¥1.8 per 10 shares, totaling ¥192,430,825.38, subject to shareholder approval[47]. - In 2020, the company distributed a cash dividend of 1.80 RMB per 10 shares, totaling 192,430,825.38 RMB, which represents 27.38% of the net profit attributable to ordinary shareholders[174]. - The company plans to distribute at least 30% of the average distributable profit over the next three years, based on current profitability and cash flow conditions[179]. - The company will propose a profit distribution plan annually based on its profitability and future funding needs, subject to shareholder approval[179]. - The company has committed to maintaining independence in operations and avoiding conflicts of interest with its controlling shareholder, ensuring no competitive business activities[177]. Corporate Governance and Compliance - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[48]. - The company has not violated any decision-making procedures for providing guarantees[48]. - The company has not faced any risks of suspension or termination of listing during the reporting period, ensuring continued market presence[185]. - The company has maintained a good integrity status, with no instances of failing to fulfill court judgments or overdue debts[185]. - The company has appointed Rongcheng Accounting Firm for auditing, with a remuneration of ¥3.45 million for the audit period of two years[182].