SPM(SH:600459)2021-04-14 16:00Financial Performance - In 2020, the company achieved a total profit of CNY 412,967,261.55 and a net profit of CNY 363,989,024.03, with a net profit attributable to shareholders of CNY 326,123,108.71[6] - The company's operating revenue for 2020 was CNY 28,926,477,766.67, representing a year-on-year increase of 35.46% compared to CNY 21,354,996,597.18 in 2019[25] - The net profit attributable to shareholders for 2020 was CNY 282,922,013.18, which is a 59.49% increase from CNY 177,390,230.66 in 2019[25] - Basic earnings per share for 2020 increased by 33.93% to CNY 0.75, up from CNY 0.56 in 2019[26] - The total assets of the company at the end of 2020 were CNY 9,570,767,430.58, reflecting a 27.01% increase from CNY 7,535,681,579.96 at the end of 2019[25] - The company reported a net cash flow from operating activities of CNY 56,537,649.07 in 2020, a significant recovery from a negative cash flow of CNY -851,368,571.15 in 2019[25] - The total profit for the year was ¥412,967,261.55, reflecting a 35.97% increase compared to ¥303,715,998.55 in 2019[50] - Net profit reached ¥363,989,024.03, up 40.03% from ¥259,942,797.53 in the prior year[50] Dividend Policy - The proposed cash dividend is CNY 2.3 per 10 shares, totaling CNY 100,672,842.53, which represents 30.87% of the net profit attributable to shareholders[6] - The company’s cash dividend distribution ratio has decreased from 50.88% in 2019 to 30.87% in 2020, reflecting a strategic shift in profit allocation[115] - The cash dividend per 10 shares was RMB 2.30 in 2020, down from RMB 2.70 in 2019[115] - The company did not issue any bonus shares or stock increases in 2020, maintaining a consistent approach to shareholder returns[115] - The company has committed to distributing at least 10% of its distributable profits as cash dividends annually from 2018 to 2020, with a cumulative distribution of no less than 30% of the average annual distributable profits over the three years[124] Business Operations and Strategy - The company plans to increase its total share capital from 437,708,011 shares to 569,020,415 shares through a capital reserve transfer of 3 shares for every 10 shares held[6] - The company plans to continue expanding its business in precious metal resource recycling and precursor materials, which contributed to the profit growth in 2020[28] - The company aims to achieve a revenue target of 34 billion yuan in 2021, focusing on the precious metals new materials industry chain advantages[105] - The company is exploring the establishment of an online trading platform for precious metals to facilitate seamless physical transactions[105] - The company intends to increase R&D investment and accelerate the development of key core technologies, aiming for breakthroughs in new products like gas engine purification catalysts[105] Risk Management - The company has outlined potential risks in its business operations, which are detailed in the report[9] - The company emphasizes that forward-looking statements do not constitute substantive commitments to investors, highlighting the importance of investment risk awareness[6] - The company recognizes the risks associated with precious metal price fluctuations and market demand influenced by macroeconomic conditions[109] Governance and Compliance - The company has a comprehensive governance structure and has achieved certifications for quality management systems, enhancing operational efficiency[43] - The company has committed to avoiding any substantial competition with its controlling shareholder, Yunnan Investment Holding Group, ensuring operational independence[118] - The company has established measures to ensure independence in personnel, finance, assets, and operations between itself and its controlling shareholder, Guizhou Yanyuan Platinum Industry[124] - The company has not reported any significant accounting policy changes or major accounting errors during the reporting period[130] - The company maintains a focus on governance and compliance, as evidenced by the absence of regulatory penalties[198] Environmental Responsibility - The company has passed the ISO14001 environmental management system certification and publishes its environmental report annually[158] - The company conducts regular environmental monitoring, including quarterly monitoring of production waste gas and semi-annual testing of wastewater[157] - The company has established emergency response plans for environmental incidents, which have been filed with local environmental authorities[156] Market and Industry Insights - The precious metals industry is critical for various sectors, including aerospace, electronics, and environmental protection, highlighting the strategic importance of the company's offerings[39] - The global precious metals market size in 2019 was $196.35 billion, with China's market size reaching $76.86 billion, accounting for 39.1% of the global market[84] - Precious metals are crucial in the automotive industry for catalytic converters, with significant growth potential as domestic production accelerates under stricter emission standards[90] Research and Development - Research and development expenses totaled ¥587.89 million, accounting for 2.03% of operating revenue, with 391 R&D personnel representing 28.67% of the total workforce[71] - The company operates 7 national-level innovation platforms and 8 provincial-level platforms, enhancing its R&D capabilities[72] - The company has 72 ongoing technology projects, including 7 application research projects and 64 key technology projects for new products[72]