CORUN(SH:600478)2020-04-27 16:00Financial Performance - The company's net profit attributable to shareholders for 2019 was -357,881,276.90 RMB, resulting in a cumulative undistributed profit of -516,450,581.26 RMB by the end of 2019[7]. - The board of directors proposed no profit distribution for 2019 due to the negative cumulative undistributed profit, in accordance with the Company Law and the Articles of Association[7]. - The company's operating revenue for 2019 was $2,079,700,166.26, representing a year-over-year increase of 9.88% compared to $1,892,632,403.82 in 2018[27]. - The net profit attributable to shareholders of the listed company was -$357,881,276.90 in 2019, a significant decline from a profit of $21,720,705.01 in 2018[27]. - The net cash flow from operating activities improved to $25,142,404.60 in 2019, compared to a negative cash flow of -$50,716,975.12 in 2018[27]. - The company's total assets increased slightly by 0.98% to $6,411,333,381.04 in 2019 from $6,349,008,097.65 in 2018[27]. - The basic earnings per share for 2019 was -0.228 yuan, a decrease of 1,620% from 0.015 yuan in 2018[28]. - The weighted average return on equity dropped to -18.59% in 2019, down 19.62 percentage points from 1.03% in 2018[28]. - The company reported a net cash flow from operating activities of CNY 25,142.40 million, a significant improvement from a negative cash flow of CNY 50,716.98 million in the previous year[97]. - The net profit attributable to the parent company was a loss of CNY 35,788.13 million[94]. Investments and R&D - Research and development expenses surged by 158.02% to $66,676,120.62 in 2019, compared to $25,841,170.49 in 2018, reflecting increased investment in technology[31]. - Research and development expenses increased by 158.02% to CNY 66,676.12 million compared to the previous year[97]. - The number of R&D personnel is 603, representing 20.91% of the total workforce[2]. - The company plans to accelerate the industrialization of fuel cell technology and establish strategic partnerships with downstream hydrogen fuel cell stack enterprises[93]. Market and Industry Trends - The company operates in the energy-saving and new energy vehicle sector, focusing on battery materials, batteries, and hybrid system technology services[47]. - The hybrid vehicle market is expected to grow due to supportive government policies and increasing consumer acceptance of hybrid technology[52]. - The government has implemented multiple policies to support energy-saving vehicles, which is beneficial for the hybrid vehicle industry[53]. - The proportion of new energy vehicle credits required will increase to 14%, 16%, and 18% for the years 2021, 2022, and 2023 respectively, creating new pressure for automakers[57]. - The market share of HEVs rose from 23% in 2017 to 29% in 2019, while the share of EVs declined from 64% to 55% during the same period[64]. - The annual growth rate of HEV sales reached 39.5%, indicating strong demand despite overall market declines[69]. Production and Capacity - The company plans to expand production capacity to 480,000 sets per year by June 2021, driven by increased demand from Toyota's HEV supply chain[73]. - The company’s HEV foam nickel production line achieved full-load production in 2019, with sales volume reaching 2.88 million square meters, resulting in a 13% year-on-year revenue increase[81]. - The company’s CHS platform has completed product platform construction for passenger cars, light commercial vehicles, and heavy-duty trucks, with successful commercialization of hybrid technology[88]. Environmental Compliance - The company has established pollution control facilities, including a wastewater treatment plant and dust collection system, both operational since November 2012, ensuring compliance with environmental standards[177]. - The company reported no instances of exceeding pollution discharge limits for key pollutants such as COD, ammonia nitrogen, and total nickel[171]. - The company has implemented strict environmental protection measures, ensuring compliance with the Environmental Protection Law and achieving stable pollutant discharge standards[185]. - The company has established a comprehensive environmental monitoring system, conducting daily monitoring of pollutant emissions and regular inspections by professional agencies[185]. Corporate Governance and Compliance - The company received a standard unqualified audit report from Da Xin Accounting Firm, ensuring the accuracy and completeness of the financial report[6]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties during the reporting period[9]. - The company has not provided any guarantees in violation of regulatory decision-making procedures[9]. - The company has no significant litigation or arbitration matters during the reporting period[154]. - The company has no major contracts or leasing matters affecting its financial performance[161]. Shareholder and Capital Management - The company issued new shares, increasing its capital reserve by 72.88% to $1,405,634,285.28 in 2019, compared to $813,051,333.69 in 2018[33]. - The total number of ordinary shares increased from 1,469,686,680 to 1,653,281,386 shares, reflecting an increase of 183,594,706 shares due to the issuance for asset acquisition[194]. - The company repurchased a total of 6,259,470 shares, accounting for 0.38% of the total share capital, with a total expenditure of approximately RMB 24.22 million, at a maximum price of RMB 4.19 per share[168].