FEIDA ENVIRO(SH:600526)2022-03-31 16:00Financial Performance - The company's operating revenue for 2021 was CNY 3,384,106,894.85, an increase of 8.77% compared to CNY 3,111,281,414.84 in 2020[24]. - The net profit attributable to shareholders of the listed company rose by 4.26% to CNY 54,547,577.70 from CNY 52,319,352.86 in the previous year[24]. - The net cash flow from operating activities decreased by 36.74% to CNY 158,128,938.86, primarily due to an increase in tax expenses and a reduction in VAT refunds[24]. - The total assets at the end of 2021 were CNY 6,884,780,032.12, reflecting a 2.11% increase from CNY 6,742,652,277.60 at the end of 2020[24]. - The basic earnings per share for 2021 remained at CNY 0.10, unchanged from 2020[25]. - The weighted average return on net assets increased to 2.64% in 2021 from 2.60% in 2020[25]. - The fourth quarter revenue accounted for 46.41% of the annual total, attributed to the timing of project execution and revenue recognition[27]. - Non-operating income from the disposal of non-current assets amounted to CNY 81,087,272.98 in 2021, compared to CNY 7,178,931.74 in 2020[29]. - The company reported a decrease in the net profit after deducting non-recurring gains and losses, which was CNY -33,096,161.56 for 2021, an improvement of 10.54% from the previous year[24]. - The company achieved a total consolidated revenue of approximately ¥3.38 billion and a net profit of approximately ¥50.46 million for the reporting period, with a year-over-year increase of 4.26% in net profit attributable to shareholders due to cost savings and increased asset disposal gains[46]. Debt and Liabilities - The company confirmed a debt amount of RMB 12.31 million from Qinghai Salt Lake Magnesium Industry, with a deferred confirmation of RMB 26.40 million[7]. - The company provided a guarantee for Zhejiang Shenying Group with an actual balance of RMB 157 million, and has compensated RMB 158.27 million in principal and interest[9]. - The company has accumulated a bad debt provision of RMB 59.96 million for the properties acquired as collateral from Shenying Group[11]. - By the end of 2021, the company's consolidated asset-liability ratio was 68.28%, an increase of 0.08 percentage points from the beginning of the year[46]. - The total guarantee amount (including guarantees to subsidiaries) is CNY 265,667,950.70, accounting for 12.17% of the company's net assets[186]. - The total guarantee amount to subsidiaries during the reporting period is CNY 122,903,040.50, with a balance of CNY 265,667,950.70 at the end of the reporting period[186]. Market and Business Development - The company achieved a new non-electric market order of 1.9 billion yuan, representing a year-on-year growth of 11.6%[32]. - The overseas division successfully recovered funds amounting to 371 million yuan and secured new orders worth 382 million yuan[32]. - The company is actively expanding into new markets, particularly in atmospheric pollution control and ultra-low emissions in the steel industry[32]. - The company is focusing on carbon reduction technologies and has initiated feasibility studies for CCUS projects[35]. - The company is positioned to benefit from the ongoing growth in the solid waste treatment industry, driven by recent policy changes and the implementation of the new Solid Waste Law[40]. - The company aims to expand its market presence by enhancing its brand in both domestic and international markets, leveraging the "Belt and Road" initiative to strengthen international cooperation[73]. Research and Development - The company filed 107 patents, receiving authorization for 53, and completed the revision of 4 national standards and 15 industry standards[35]. - Research and development expenses rose by 8.95% to approximately ¥102.47 million, compared to ¥94.05 million in the previous year[48]. - The company is focusing on innovation in pollution control technologies and accelerating the research and application of new materials and processes in environmental protection equipment[73]. - The company has established a comprehensive technical research and development system, including a national-level engineering laboratory and various provincial research centers[42]. - The company aims to enhance its technological capabilities by investing in R&D for key technologies, including carbon footprint and carbon label technologies[99]. Governance and Compliance - The company received a standard unqualified audit report from Tianjian Accounting Firm[4]. - The company has maintained effective internal controls in all major aspects of its operations during the reporting period[104]. - The company has established an independent financial department and decision-making system, ensuring operational independence from its controlling shareholder, Hangzhou Steel Group[105]. - The company has a robust governance structure that complies with relevant laws and regulations, with no significant discrepancies noted[104]. - The company has committed to managing non-listed assets effectively to reduce competition with Feida Environmental, with plans for potential asset restructuring within three years based on market conditions[159]. Environmental Compliance - The company adheres to pollution discharge standards, with total emissions of 26.419 tons of sulfur dioxide, 2.1355 tons of particulate matter, and 123.8025 tons of nitrogen oxides for the year[142]. - The wastewater treatment system is designed to achieve normal reuse, utilizing advanced treatment processes[147]. - The company has established an emergency response plan for environmental incidents[150]. - The environmental monitoring scheme is in place, ensuring compliance with national standards and proper documentation[151]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[154]. Legal Matters - The company is involved in significant litigation, including a guarantee dispute with Shen Ying Group, with a compensation amount of 57,143,683.08 yuan[170]. - The company has a pending arbitration case regarding a share transfer payment of 15,032,622.41 yuan[170]. - The company has faced a court ruling requiring it to pay 2,042,832 yuan to Xiamen Bai Ruifu Environmental Technology Co., Ltd.[170]. - The company has reached a settlement in a case involving overdue contract payments of 635,760 yuan with Huaxi Energy Industrial Co., Ltd.[170]. - The company has initiated litigation against Wuhan East Lake New Technology Development Zone People's Court, requesting payment of contract amounting to 7,300,000 yuan from Kaidi Ecological Environment Technology Co., Ltd.[172]. Employee and Management - The total number of employees in the parent company and major subsidiaries is 1,759, with 697 in the parent company and 1,062 in subsidiaries[130]. - The professional composition includes 768 production personnel, 130 sales personnel, 516 technical personnel, 46 financial personnel, 165 administrative personnel, and 134 others[130]. - The company has implemented an innovative compensation distribution mechanism, emphasizing performance-based pay and rewarding contributions, with a focus on technical and frontline personnel[131]. - Over 30 training sessions were organized in the year, with participation from approximately 2,000 employees, focusing on management, market, technology, and project skills[133]. - The company has established a performance evaluation mechanism for senior management, linking performance assessments to salary distribution[136].