TEC(SH:600780)2020-03-26 16:00Financial Performance - The company's operating revenue for 2019 was RMB 6,614,814,601.66, representing a 9.75% increase compared to RMB 6,027,096,849.88 in 2018[23] - The net profit attributable to shareholders for 2019 was RMB 279,994,964.23, which is a 25.01% increase from RMB 223,970,466.72 in the previous year[23] - The net cash flow from operating activities was RMB 1,069,224,349.65, showing a decrease of 5.08% compared to RMB 1,126,440,611.21 in 2018[23] - The total assets at the end of 2019 were RMB 8,297,694,692.08, a decrease of 30.71% from RMB 11,975,078,822.90 at the end of 2018[23] - The company's net assets attributable to shareholders increased to RMB 5,381,858,509.27, reflecting a growth of 5.49% from RMB 5,101,863,545.04 in 2018[23] - Basic earnings per share for 2019 were RMB 0.2442, up 24.97% from RMB 0.1954 in 2018[26] - The weighted average return on equity increased to 5.34%, up 0.82 percentage points from 4.52% in the previous year[26] - The company plans to distribute a cash dividend of RMB 0.80 per 10 shares, totaling RMB 91,720,201.84 based on the total share capital of 1,146,502,523 shares[6] Operational Highlights - The company’s core business is in the electricity sector, focusing on thermal power generation and distribution[34] - The performance is driven by increased self-generated electricity and control over generation and management costs[34] - The company procures electricity from Shanxi Electric Power Company and sells it to end-users, optimizing grid structure to reduce losses[34] - The company operates in a cyclical industry, with its performance closely tied to electricity demand and pricing[34] - The company operates four 320,000 kW coal-fired generating units, which are fully equipped with desulfurization systems, achieving ultra-low emissions[37] - The company’s electricity supply covers 60% of the heating demand in Yangquan City and Pingding County[37] - The company has completed all upgrades for desulfurization, denitrification, and dust removal, meeting national environmental standards[43] Market and Industry Trends - In 2019, the total electricity consumption in China reached 72,255 billion kWh, representing a year-on-year growth of 4.5%[36] - The total power generation from large-scale power plants in 2019 was 71,422.1 billion kWh, with a year-on-year increase of 3.5%[36] - By the end of 2019, the total installed power generation capacity in China was 201,066 MW, an increase of 5.8% compared to 2018[36] - The new installed power generation capacity in 2019 was 10,173 MW, a decrease of 20.4% year-on-year[36] - The company faces increasing operational pressures due to ongoing electricity market reforms and rising fuel costs[102] - The company expects a recovery in electricity demand growth in 2020, with overall supply and demand expected to be balanced, despite regional and structural tightness[96] Environmental and Social Responsibility - The company achieved a 100% operational rate for desulfurization, denitrification, and dust removal facilities, with average emissions of 1.68 mg/m³ for dust, 17.68 mg/m³ for sulfur dioxide, and 29.62 mg/m³ for nitrogen oxides, all below the regulatory limits[159] - The company has not received any environmental penalties in 2019, indicating compliance with environmental regulations[160] - The company donated a total of 833,100 RMB for poverty alleviation, helping 1,129 registered poor individuals to escape poverty[144] - The company implemented 10 industrial poverty alleviation projects with an investment of 28.76 million RMB[147] - The company has received recognition for its poverty alleviation efforts, including awards for exemplary work in the field[151] Future Outlook and Strategies - For 2020, the company aims to achieve electricity generation of 5.8 billion kWh, electricity sales of 13 billion kWh, and operating revenue exceeding 6.897 billion yuan, with operating costs controlled within 6.049 billion yuan[104] - The company plans to enhance operational efficiency and expand market share through improved marketing strategies and new business development[104] - The company is focusing on green development and enhancing safety management to ensure stable electricity supply and network security[104] - The company will explore new profit growth points in response to the accelerating electricity market reform and the transition to a diversified competitive landscape[107] Governance and Compliance - The company emphasizes compliance and governance, ensuring timely and accurate information disclosure to protect shareholders' rights[51] - The company has committed to maintaining operational independence and avoiding related party transactions that could harm shareholder interests[121] - The company has implemented new accounting standards starting January 1, 2019, which did not impact the financial statements[125] - The company has not faced any penalties from securities regulatory agencies in the past three years[197] Human Resources - The company employs a total of 4,799 staff, with 1,534 in production, 1,358 in sales, and 1,069 in technical roles[200] - The total remuneration for all directors, supervisors, and senior management personnel at the end of the reporting period amounted to CNY 2.552 million[196] - The remuneration for senior management is structured as an annual salary system, consisting of a basic salary, performance salary, and term incentive income[196]