HXSS(SH:600477)2021-03-26 16:00Financial Performance - The company's operating revenue for 2020 was approximately RMB 8.14 billion, representing a year-on-year increase of 22.70% compared to RMB 6.63 billion in 2019[23]. - The net profit attributable to shareholders for 2020 was approximately RMB 723.93 million, a significant increase of 54.38% from RMB 468.92 million in 2019[23]. - The basic earnings per share for 2020 was RMB 0.336, reflecting a growth of 54.13% compared to RMB 0.218 in 2019[24]. - The company's total assets at the end of 2020 were approximately RMB 8.96 billion, an increase of 2.07% from RMB 8.78 billion at the end of 2019[23]. - The net cash flow from operating activities for 2020 was negative RMB 14.31 million, a decline of 110.08% compared to positive RMB 141.90 million in 2019[23]. - The company reported a total of RMB 360.67 million in non-recurring gains and losses for 2020, compared to RMB 144.15 million in 2019[28]. - The weighted average return on equity for 2020 was 19.42%, an increase of 5.11 percentage points from 14.31% in 2019[24]. - The total operating revenue for the reporting period was CNY 8.14 billion, an increase of 22.7% compared to the previous year[64]. - The net profit attributable to shareholders was CNY 724 million, reflecting a year-on-year growth of 54.38%[64]. Dividend Distribution - The company plans to distribute a cash dividend of 1.05 RMB per 10 shares, totaling 226,142,428.16 RMB (including tax) to shareholders[7]. - In 2020, the company distributed a cash dividend of 1.05 RMB per 10 shares, totaling approximately 226.14 million RMB, which represents 31.24% of the net profit attributable to ordinary shareholders[120]. - The company completed a dividend distribution of 215,373,741.10 RMB (including tax) to ordinary shareholders during the reporting period[165]. Corporate Governance - The company reported a standard unqualified audit opinion from Da Hua Certified Public Accountants[6]. - The company has confirmed that all board members attended the board meeting[6]. - The company has a board of directors consisting of 7 members, with independent directors accounting for over one-third of the total[165]. - The company held 18 board meetings in 2020 to diligently review various proposals and fulfill its responsibilities[165]. - The company maintains a commitment to transparent information disclosure, ensuring timely and accurate communication with investors[165]. - The company has established a governance structure that ensures clear responsibilities and coordination among its decision-making bodies[165]. Market Position and Strategy - The company aims to leverage its technological and brand advantages to expand its market presence, particularly in the "Belt and Road" initiative countries[44]. - The company aims to become a world-class green building integrated service provider, focusing on expanding its traditional steel structure business and enhancing market share through technological innovation and smart management[110]. - The company is focusing on innovation and digital transformation to enhance its competitive edge in the steel structure market[107]. - The company aims to significantly increase new contracts and sales revenue in 2021 compared to 2020, while actively expanding into markets along the "Belt and Road" initiative[111]. - The company plans to enhance its total contracting business and advance the construction of intelligent production lines and information management platforms[111]. Research and Development - The company has over 300 design and R&D personnel, with more than 200 holding advanced degrees and titles, enhancing its technical capabilities[50]. - The company has participated in over 70 national and industry standards, contributing to more than 400 national patent achievements in various construction technologies[50]. - The company launched the "Steel Concrete Bundled Structure Design Software," which has been officially used by the company and its partners[50]. - The company has undertaken multiple key national R&D projects, significantly contributing to the development of the steel structure construction industry in China[50]. - The company established the Hangxiao Industrialized Green Building Research Institute, enhancing its R&D capabilities in industrialized green buildings[50]. - The company established an Industrial Internet Research Institute in 2020 to create a new manufacturing system in the steel structure industry, focusing on data-driven production management[115]. - The total R&D investment, including both capitalized and expensed amounts, was CNY 342.12 million, with 588 R&D personnel, making up 11.69% of total employees[4]. Legal Matters - The company is currently involved in significant litigation, including a construction contract dispute with Baotou Guorui Carbon Valley Co., Ltd., which is in the execution phase following a first-instance judgment[134]. - Another ongoing litigation involves a construction contract dispute with Inner Mongolia Kaide Real Estate Development Co., Ltd., with the second-instance judgment upholding the original ruling and execution in progress[130]. - The company is pursuing a construction contract dispute with Tianjin Gaosheng Real Estate Development Co., Ltd., which is also in the execution phase following a first-instance judgment[130]. - The company has a construction contract dispute with Xinjiang Ru Yi Fashion Textile Technology Co., Ltd., which has entered a reorganization process, with a court ruling approving the reorganization plan[134]. - The company has ongoing legal disputes regarding construction contracts, with a total amount of 48.57 million and 13.54 million pending payments from different clients[136]. Employee and Social Responsibility - The company emphasizes the importance of talent development and adheres to national labor laws to protect employee rights[165]. - The company provided training for 51,028 participants across 39 training sessions during the reporting period, emphasizing employee skill enhancement[168]. - The company donated a total of 4 million RMB to the Xiaoshan District Charity Association in 2020, supporting public welfare initiatives[168]. - The company has cumulatively contributed over 70 million RMB in poverty alleviation and charitable donations since 2015[168]. - The company has established 13 spray painting workstations with a closed-loop system for waste gas treatment, ensuring compliance with environmental standards[173]. - The company has implemented a VOC online monitoring system for 24-hour surveillance, connected to the Zhejiang environmental monitoring platform[178]. Financial Management - The company raised a total of RMB 1,230,349,105.81 through debt financing during the reporting period[93]. - The company made equity investments totaling RMB 54,150 million during the reporting period[98]. - The company has ongoing efforts to expand its market presence and improve operational efficiency through strategic partnerships and legal recoveries[138]. - The company has engaged in various wealth management activities, with a total investment amount of 70 million RMB and an annualized return rate of 3.60% for one of the wealth management products[161]. - The company has fully recovered all investments from its wealth management activities, ensuring no losses were incurred[161]. Industry Trends - The steel structure industry is experiencing a shift towards green building practices, with a projected increase in prefabricated steel structure residential projects, particularly in Shandong and Jiangxi provinces[107]. - By 2025, the proportion of prefabricated buildings in new construction is expected to reach 30%, with steel structures being a key component of this growth[107]. - The competitive landscape in the steel structure industry is shifting towards leading enterprises, with market share increasingly concentrated among top players[107].