AVIC SAC(SH:600760)2019-03-14 16:00Financial Performance - The company reported a net profit of 74,550.47 million RMB for the year 2018, with a net profit attributable to the parent company of 74,323.94 million RMB[6]. - The company's operating revenue for 2018 was approximately ¥20.15 billion, representing a 3.56% increase compared to ¥19.46 billion in 2017[21]. - The net profit attributable to shareholders for 2018 was approximately ¥743.24 million, a 5.16% increase from ¥706.78 million in 2017[21]. - The net profit after deducting non-recurring gains and losses for 2018 was approximately ¥709.96 million, a significant increase of 92.21% compared to ¥369.37 million in 2017[21]. - The company's total assets at the end of 2018 were approximately ¥28.44 billion, a 7.77% increase from ¥26.39 billion at the end of 2017[21]. - The net assets attributable to shareholders at the end of 2018 were approximately ¥7.86 billion, reflecting a 10.23% increase from ¥7.13 billion at the end of 2017[21]. - The basic earnings per share for 2018 was ¥0.53, a 3.92% increase from ¥0.51 in 2017[22]. - The weighted average return on equity for 2018 was 9.89%, a decrease of 3.78 percentage points from 13.67% in 2017[22]. - The company reported a net cash flow from operating activities of approximately ¥235.20 million in 2018, a decrease of 92.80% compared to ¥3.27 billion in 2017[21]. Revenue and Costs - The company achieved a total revenue of CNY 2,015,086.46 million, representing a year-on-year growth of 3.56%[35]. - The operating costs for the year were CNY 1,831,902.34 million, which is a 4.04% increase from the previous year[37]. - Revenue from the aviation manufacturing industry reached ¥19,807,790,003.22, with a year-on-year increase of 9.47%[38]. - Total operating costs for the aviation manufacturing sector were ¥18,002,824,882.24, representing 99.31% of total costs[41]. Research and Development - Research and development expenses amounted to CNY 171,619.07 million, showing a growth of 5.72% year-on-year[36]. - The company had 2,275 R&D personnel, making up 14.74% of the total workforce[45]. - The company emphasizes the importance of technological innovation and management innovation to enhance core competitiveness[60]. Corporate Governance and Compliance - The company has a commitment to maintain independence in personnel, assets, and financial aspects as part of its corporate governance[72]. - The company has not provided guarantees in violation of regulatory decision-making procedures[8]. - The company has not engaged in non-operating fund occupation by controlling shareholders or related parties[7]. - The company has established a quality management system to ensure product quality throughout the entire process, but still faces potential quality risks due to complex production processes[64]. Environmental Responsibility - The company has established seven wastewater treatment stations to ensure wastewater meets discharge standards before entering the municipal pipeline[109]. - The company has implemented various pollution control measures, including bag dust collectors and desulfurization towers for boiler emissions[109]. - The company has not experienced any environmental pollution incidents and has not received any environmental administrative penalties during the reporting period[105]. - The company has maintained compliance with environmental protection laws and standards, with no exceedances in pollutant emissions[107]. Shareholder Information - The largest shareholder, China Aviation Industry Corporation, holds 1,011,326,269 shares, representing 72.22% of the total shares[123]. - The top ten shareholders collectively hold a significant portion of the company's shares, with the second-largest shareholder, China Huarong Asset Management, owning 53,576,997 shares, or 3.83%[123]. - The total number of ordinary shareholders reached 47,056 by the end of the reporting period, an increase from 45,455 at the end of the previous month[122]. Future Outlook - The company plans to achieve operating revenue of 22.026 billion RMB and a net profit of 812 million RMB for the 2019 fiscal year[62]. - The company aims to enhance its capabilities in aviation weaponry and equipment development as part of the national defense modernization strategy[52]. - The company is actively pursuing market expansion and innovation in response to the national military-civilian integration development strategy[53]. Legal and Regulatory Matters - The company faced no significant litigation or arbitration matters during the year[84]. - The company was ordered to repay a debt of CNY 51,558,585 and interest due to a lawsuit from the Weihai Economic and Technological Development Zone Management Committee[85]. - The company confirmed that there were no significant deficiencies in internal control during the reporting period[158]. Financial Audit and Reporting - The company’s financial report has been audited by Ruihua Certified Public Accountants, which issued a standard unqualified opinion[5]. - The company’s financial statements for 2018 were prepared in accordance with the revised format issued by the Ministry of Finance, adopting a retrospective adjustment method[78]. - The independent auditor issued a standard unqualified opinion on the effectiveness of the company's internal control over financial reporting[159].