LYCG(SH:600491)2021-08-05 16:00Financial Performance - The company's operating revenue for 2020 was CNY 17,786,683,374.72, a decrease of 16.99% compared to CNY 21,427,094,520.39 in 2019[21] - The net profit attributable to shareholders for 2020 was CNY 808,940,712.64, down 20.75% from CNY 1,020,747,158.55 in 2019[21] - The net cash flow from operating activities was CNY 317,733,871.09, a decrease of 12.28% compared to CNY 362,198,215.70 in 2019[21] - Basic earnings per share for 2020 were CNY 0.53, down 20.90% from CNY 0.67 in 2019[22] - The weighted average return on net assets decreased to 7.36% in 2020 from 10.05% in 2019, a decline of 2.69 percentage points[22] - The company reported a decrease in net profit after deducting non-recurring gains and losses to CNY 631,478,393.88, down 24.89% from CNY 840,705,361.31 in 2019[21] - The total operating cost also fell by 17.56% to CNY 15,858,053,636.00 from CNY 19,236,451,739.01 year-on-year[68] - The gross profit margin for the main business was 10.77%, an increase of 0.62 percentage points compared to the previous year[68] Dividends and Profit Distribution - The company plans to distribute a cash dividend of CNY 0.5 per 10 shares, totaling CNY 76,487,897.75[5] - The company distributed a cash dividend of 0.72 CNY per 10 shares in 2019, amounting to 110,142,572.76 CNY[129] - The company’s cash dividend for 2020 represents approximately 9.46% of the net profit attributable to ordinary shareholders[133] - The company has a structured approach to profit distribution, requiring board approval and shareholder consultation before any changes[127] - The company’s cash dividend distribution for 2018 was 0.6 CNY per 10 shares, totaling 91,785,477.30 CNY[133] Operational Developments - The company has successfully bid for a total of 81 PPP projects with a total investment amount exceeding ¥90 billion, focusing on economically developed areas and various sectors including urban development and public services[33] - The company has developed the S-SYSTEM product system in the prefabricated steel structure field, achieving a leading position in domestic integration[29] - The company has established a comprehensive operational management platform through its wholly-owned subsidiary, focusing on various sectors such as healthcare, culture, and environmental protection[35] - The company has maintained a strong competitive advantage in construction with various qualifications, including special-grade general contracting for housing construction and first-grade general contracting for municipal public works[30] - The company has expanded its operational capabilities by establishing specialized subsidiaries for various operational management services, enhancing its service offerings in the PPP sector[35] Market Trends and Future Outlook - The market for prefabricated steel structure buildings is expected to grow significantly, as the penetration rate in China is still low compared to over 50% in developed countries[44] - The company aims to continuously iterate and update its product system, focusing on "assembly" as a means and "performance improvement" as the goal to accelerate industrialization[36] - The company is positioned to benefit from the increasing emphasis on performance management in PPP projects, as the market shifts from quantity to quality[42] - The prefabricated construction market in China is projected to reach CNY 4.7 trillion by 2025, driven by improved standards and policies[116] Corporate Governance and Compliance - The company has established a comprehensive compliance management system to enhance governance and protect the interests of stakeholders[158] - The company emphasizes the protection of minority shareholders' rights and interests throughout its governance practices[192] - The company has disclosed its internal control self-assessment report, available on the Shanghai Stock Exchange website[197] - A standard unqualified opinion internal control audit report for the fiscal year 2020 was issued by Lixin Certified Public Accountants[198] Social Responsibility - The company has actively engaged in social responsibility initiatives, focusing on education and poverty alleviation projects[154] - The company donated a total of 6.392 million yuan to support medical personnel during the COVID-19 pandemic and contributed 36 million yuan to Ningbo University for educational development[161] - The company provided CNY 74.8 million in total for poverty alleviation efforts, including CNY 19.8 million for supporting 30 impoverished students[156] Legal Matters - The company is involved in a lawsuit with Chengdu Aux Wealth Plaza Investment Co., Ltd., claiming a total of 179,720,578.19 CNY for construction progress payments and interest[140] - The company has a pending lawsuit against Tongliao Western Urban-Rural Development Co., Ltd., seeking 141,915,713.8 CNY for overdue construction payments and related damages[141] - The first-instance judgment in the lawsuit against Tongliao Western Urban-Rural Development Co., Ltd. ordered the defendant to pay 69,773,360.96 CNY plus interest, calculated at the People's Bank of China’s loan interest rate[141] Employee and Management Structure - The company employed a total of 5,035 staff, including 2,345 production personnel, 334 sales personnel, and 1,678 technical personnel[184] - The total pre-tax remuneration for all listed executives amounted to approximately 10.96 million CNY[175] - The company has a structured performance evaluation system to improve overall performance management[185] - The company continues to focus on retaining key management personnel to ensure operational stability[175]