DZUG(SH:600635)2019-03-29 16:00Financial Performance - The company achieved a consolidated net profit attributable to the parent company of RMB 478,488,753.97 in 2018, with a tax-adjusted profit of RMB 316,600,158.14[7] - The company's operating revenue for 2018 was CNY 4,941,709,870.41, representing a 7.38% increase compared to CNY 4,602,108,248.71 in 2017[29] - The net profit attributable to shareholders for 2018 was CNY 478,488,753.97, a slight increase of 0.92% from CNY 474,133,398.26 in 2017[29] - The net profit after deducting non-recurring gains and losses increased by 82.91% to CNY 389,926,015.07 from CNY 213,181,819.01 in 2017[29] - The total profit for 2018 was 489 million RMB, a decrease of 22.06% from the previous year[65] - The company's net asset return rate was 6.42%, down by 0.14 percentage points from 6.56% in the previous year[65] - The company reported a net profit of 88,562,738.90 RMB for the current period, with significant contributions from various non-operating income sources[39] Dividends and Profit Allocation - A cash dividend of RMB 0.60 per 10 shares (including tax) is proposed, totaling RMB 177,146,080.50, with retained undistributed profits of RMB 693,969,849.05[7] - The company plans to allocate 10% of the 2018 net profit, amounting to RMB 31,660,015.81, to statutory reserves[7] - The total distributable profit available for distribution is RMB 871,115,929.55, after accounting for previous undistributed profits and the proposed dividend[7] - The cash dividend for the fiscal year 2018 represented 37.02% of the net profit attributable to ordinary shareholders, which was 47,848.88 million CNY[124] Assets and Liabilities - The total assets at the end of 2018 were CNY 21,592,362,814.96, up 4.09% from CNY 20,744,021,224.12 at the end of 2017[29] - The company's net assets attributable to shareholders at the end of 2018 were CNY 7,459,681,430.71, an increase of 3.02% from CNY 7,240,742,720.43 at the end of 2017[32] - The company's total liabilities at the end of the period were 15,000,000,000 CNY, with a significant portion attributed to short-term financing[84] - The company's total assets are reported at RMB 15,510,867,693.47, with net assets of RMB 8,634,864,078.99[108] Cash Flow - The net cash flow from operating activities decreased by 44.73% to CNY 280,254,371.31 from CNY 507,040,713.85 in 2017[29] - The company’s financing activities generated a net cash flow of -75 million RMB, a decline of 102.75% compared to 2.75 billion RMB in the previous year[68] - The net cash flow from operating activities decreased by 44.73% to 280,254,371.31 CNY due to increased gas purchase payments[82] Investments and Acquisitions - The company acquired 80% of Shanghai Dazhong Logistics Co., which operates over 900 vehicles, enhancing its logistics capabilities in the LPG distribution sector[49] - The company invested 2 billion RMB in Beijing Aiqi Rui Dong Investment Management Center, holding a 9.43% stake[98] - The company acquired 100% equity of Shanghai Ruyu for approximately 1.08 billion RMB, and 49% equity of Shanghai Huiran for approximately 527.14 million RMB[98] - The company has invested RMB 80 million in bank wealth management products and RMB 70 million in insurance wealth management products, both with a balance of the same amount[159] Risk Management and Compliance - The company reported no significant risk events during the reporting period, indicating a stable operational environment[9] - The company emphasizes the importance of risk awareness in forward-looking statements, advising investors to consider investment risks[8] - The company is committed to maintaining a strong governance structure, ensuring compliance with relevant laws and regulations[61] - The company has established an environmental self-monitoring plan in compliance with relevant regulations[186] Environmental and Social Responsibility - The company has implemented strict environmental management practices, including regular inspections and compliance with environmental laws, ensuring stable and efficient operation of pollution control facilities[184] - The company has actively participated in poverty alleviation efforts, donating 35,000 copies of educational materials to 119 schools in Yunnan Province[169] - The company has committed to continue focusing on social needs and increasing tax contributions while actively engaging in social welfare initiatives[171] - The company operates multiple wastewater treatment plants, primarily in Shanghai, Jiangsu, and Lianyungang, under regional franchise agreements with local governments[183] Market Outlook and Industry Trends - The natural gas industry in China is in a growth phase, with a projected compound annual growth rate of over 10% in urban gas consumption by 2020[51] - The government aims to increase the share of natural gas in the primary energy consumption structure, targeting 4.7 billion users by 2020[51] - The overall market for sewage treatment is expected to expand significantly due to the "13th Five-Year Plan," creating substantial opportunities in urban and rural wastewater treatment[90] - The company anticipates a favorable outlook for the natural gas industry, expecting a "golden decade" of growth due to increased LNG imports and infrastructure development[109]