FULING POWER(SH:600452)2021-04-08 16:00Financial Performance - The company's operating revenue for 2020 was RMB 2,654,394,609.19, representing a year-on-year increase of 1.24% compared to RMB 2,621,898,127.41 in 2019[22]. - The net profit attributable to shareholders of the listed company was RMB 400,781,780.19, a slight increase of 1.02% from RMB 396,725,409.01 in the previous year[22]. - The net cash flow from operating activities was RMB 1,122,894,439.10, showing a decrease of 3.42% compared to RMB 1,162,686,084.18 in 2019[22]. - The total assets at the end of 2020 reached RMB 5,978,948,759.10, marking a significant increase of 23.54% from RMB 4,839,792,070.78 in 2019[22]. - The company's net assets attributable to shareholders increased to RMB 1,924,048,524.90, reflecting a growth of 3.74% from RMB 1,854,633,748.43 in the previous year[22]. - The basic earnings per share for 2020 was RMB 0.91, up from RMB 0.90 in 2019, indicating a growth of 1.11%[23]. - The weighted average return on equity decreased to 19.78%, down 4.35 percentage points from 24.13% in 2019[23]. - The company reported non-recurring gains of CNY 23,034,158.96 for 2020, which included CNY 19,155,119.29 from the disposal of non-current assets[27]. - The company achieved a net profit of RMB 15,237.79 million in 2020, surpassing the promised target of RMB 13,888.77 million[134]. Cash Flow and Investments - The net cash flow from operating activities in Q4 2020 reached CNY 723,430,522.44, a substantial recovery from a negative cash flow of CNY -11,193,955.53 in Q1 2020[26]. - Cash and cash equivalents increased by 101.85% to CNY 700,418,875.62, attributed to reserved funds for asset acquisition payments[65]. - The net cash flow from investing activities increased, mainly due to a decrease in payments for fixed assets and long-term assets[63]. - Cash paid for the acquisition of fixed assets and other long-term assets decreased by 53.61%, reflecting reduced payments for energy-saving project investments[49]. Revenue Breakdown - The company's revenue from the electricity sector was CNY 1,263,539,168.41, with a year-on-year decrease of 7.79% and a gross margin of 2.97%, down by 2.70 percentage points[55]. - The energy-saving sector generated revenue of CNY 1,390,855,440.78, reflecting an 11.13% year-on-year increase and a gross margin of 36.57%, up by 0.44 percentage points[55]. - The total electricity sales revenue for 2020 was RMB 139,575.96 million, reflecting a 7.92% decrease year-on-year due to reduced sales volume and policy-driven price discounts during the pandemic[90]. Shareholder Returns - The company plans to distribute a cash dividend of RMB 2.2 per 10 shares, totaling RMB 96,588,800, which will increase the total share capital to 61,465,600 shares after the distribution[5]. - The company has maintained a consistent dividend policy over the past three years, with a steady increase in the payout ratio[108]. - The cash dividend distribution plan is subject to approval at the company's annual general meeting[112]. Strategic Initiatives - The company initiated a private placement to raise funds for acquiring energy-saving assets from nine provincial energy service companies under the State Grid Corporation, with the approval process ongoing as of March 2021[32]. - The company is actively seeking to expand its market space through new business initiatives such as non-power outage operations and smart drone inspections[45]. - The company is focusing on enhancing its energy efficiency and reducing carbon emissions, aligning with national goals of carbon peak by 2030 and carbon neutrality by 2060[99]. - The company plans to acquire energy-saving assets from nine subsidiaries under the State Grid, marking a new phase in its energy-saving business layout[45]. Risk Management - The company has outlined potential risks in its future development strategy, emphasizing the importance of investor awareness regarding investment risks[6]. - The company faces risks related to potential changes in tax incentives for energy-saving projects, which could affect profitability[104]. Governance and Compliance - The company has committed to avoiding related party transactions that could harm the interests of minority shareholders[120]. - The company has not faced any major litigation or arbitration matters during the reporting period[128]. - The company has not encountered any risks of suspension or termination of its listing status[128]. - The company has maintained a strict governance structure, ensuring independence from its controlling shareholder and compliance with legal regulations[186]. Employee and Management Structure - The total number of employees in the parent company is 706, with 361 retirees that the company needs to support[181]. - The company has implemented a comprehensive training plan to enhance employee skills, achieving a 100% execution rate for training programs[183]. - The remuneration for directors and senior management is determined based on performance assessments and approved by the remuneration committee[175]. Market Position and Competition - The company anticipates intensified competition in the electricity market due to ongoing reforms, which may impact its traditional electricity supply business[101]. - The electricity industry is undergoing a critical period of structural and product transformation, with a focus on clean energy development and optimization of the electricity structure[69].