HIKING(SH:600735)2021-04-28 16:00Financial Performance - The company's operating revenue for 2020 was CNY 1,242.70 million, a decrease of 13.37% compared to 2019[20]. - The net profit attributable to shareholders for 2020 was CNY 44.73 million, down 38.48% from the previous year[20]. - The net profit after deducting non-recurring gains and losses was CNY 43.81 million, a decrease of 32.67% year-on-year[20]. - The net cash flow from operating activities was CNY 105.99 million, down 15.58% compared to 2019[20]. - The basic earnings per share for 2020 was CNY 0.1190, a decline of 38.47% from the previous year[21]. - The weighted average return on equity was 4.71%, a decrease of 3.08 percentage points compared to 2019[21]. - The total assets at the end of 2020 were CNY 1,312.29 million, a decrease of 5.62% from the end of 2019[20]. - The net assets attributable to shareholders at the end of 2020 were CNY 934.21 million, down 4.73% from the end of 2019[20]. - The company reported a decrease in net profit for each quarter, with the fourth quarter net profit at CNY 9.79 million[24]. - The revenue from hair products was CNY 818.93 million, a decline of 26.21% compared to the previous year[61]. - The textile and apparel business generated revenue of CNY 213.70 million, down 18.11% year-on-year[61]. - The company reported a total investment of 127,860,000.00 in bank wealth management products, with an outstanding balance of 82,510,000.00[129]. - The consolidated revenue for 2020 was CNY 1,242,698,690.19, primarily from hair products and textiles[194]. Dividend Policy - The company plans to distribute a cash dividend of RMB 0.36 per 10 shares to all shareholders, based on the total share capital on the dividend distribution date[5]. - For the 2020 fiscal year, the company plans to distribute a cash dividend of 0.36 RMB per 10 shares, totaling 13,535,722.66 RMB, which is 30.26% of the net profit attributable to shareholders[110]. - The company has maintained a consistent cash dividend policy over the past three years, with cash dividends per 10 shares of 0.61 RMB in 2018, 0.63 RMB in 2019, and 0.36 RMB in 2020[110]. - The company distributed a cash dividend of 0.63 yuan per 10 shares (including tax), maintaining a cash dividend rate of over 30% for three consecutive years[139]. Audit and Compliance - The company has received a standard unqualified audit report from Zhongtian Accounting Firm[4]. - The company guarantees the authenticity, accuracy, and completeness of the annual report, with all board members present at the meeting[8]. - The company has not faced any violations in decision-making procedures regarding external guarantees[7]. - The company has not reported any significant accounting errors or changes in accounting policies that would affect its financial statements[117]. - The audit report provided a standard unqualified opinion on the financial statements, affirming compliance with accounting standards[192]. Business Operations and Strategy - The company acquired a 50% stake in Qingdao Senhui for 37.8 million RMB to diversify its business into graphite new materials[38]. - The company purchased 100% of Qingdao Tainuo Human Resources Management Co., Ltd. for 2 million RMB to enhance its elderly care management talent[39]. - The company plans to expand its market presence through the establishment of a joint venture for used cars with Carchs in Japan, investing 66.66% equity[41]. - The company is leveraging its partnership with Carchs to expand its used car export business, focusing on commercial vehicles[48]. - The company aims to enhance international trade by focusing on "stabilizing customers and securing orders" amidst the ongoing COVID-19 pandemic, while controlling production costs to minimize export impacts[97]. - The company plans to strengthen its production capabilities in countries with favorable political and economic environments, particularly in Cambodia and Bangladesh, while exploring production bases in Vietnam, India, and Thailand[98]. - The company is exploring a unique business model for the export of used cars, aiming to establish domestic inspection standards and processes[95]. Employee and Management - The company employed 1,800 staff members by the end of 2020, ensuring all employees signed formal labor contracts and received timely social insurance contributions[138]. - The total remuneration paid to all directors, supervisors, and senior management during the reporting period amounts to 1,141,300 yuan (pre-tax)[170]. - The company has established a comprehensive training system for employees, including pre-employment training, on-the-job training, and professional development programs[176]. - The company’s remuneration policy links employee salaries to professional capabilities, position, and performance, promoting a performance-driven culture[175]. Environmental Compliance - The company’s wastewater discharge was reported at 0.755 tons of ammonia nitrogen with a concentration of 6.23 mg/L, complying with environmental standards[142]. - The company’s wastewater treatment facilities have a processing capacity significantly exceeding current discharge volumes, ensuring stable compliance with discharge standards[143]. - The total discharge of pollutants from Qingdao Zhongmian did not exceed the approved total discharge amount, with all pollutants meeting standards[147]. - The wastewater treatment facility has a designed capacity of 3,000 tons per day, and the actual discharge of wastewater was 290,650 tons, indicating a significant capacity surplus[147]. - The company has committed to transparency by publishing all monitoring results on the Shandong Province Pollution Source Information Sharing System website[147]. Risk Management - The company faces risks from ongoing COVID-19 impacts, macroeconomic fluctuations, exchange rate volatility, and intensified industry competition, which could affect its business performance[104]. - The company is implementing measures to mitigate risks, including adjusting export structures, innovating products, and optimizing talent management[106].