BEH-P(SH:600791)2019-04-12 16:00Financial Performance - The company's operating revenue for 2018 was approximately CNY 1.016 billion, representing a 36.66% increase compared to CNY 743 million in 2017[22]. - The net profit attributable to shareholders for 2018 was CNY 50.35 million, a slight increase of 1.56% from CNY 49.57 million in 2017[22]. - The net profit after deducting non-recurring gains and losses was CNY 2.07 million, showing a significant decrease of 94.58% compared to CNY 38.22 million in 2017[22]. - The basic earnings per share for 2018 remained at CNY 0.11, unchanged from 2017[23]. - The weighted average return on equity for 2018 was 3.08%, a slight decrease from 3.16% in 2017[24]. - The company achieved a total operating revenue of 1,015.58 million RMB, representing a year-on-year growth of 36.66%[41]. - The net profit for the period was 37.54 million RMB, a significant increase of 156.40% compared to the previous year[41]. - The company's comprehensive gross margin decreased by 23.76% due to a reduction in the proportion of high-margin projects recognized during the period[41]. - The company reported a total of 35,000 square meters of residential area available for sale in Beijing, with 35,000 square meters already pre-sold[67]. - The total comprehensive income for 2018 was CNY 36,726,471.30, compared to CNY 14,964,005.63 in the previous year, indicating a growth of 145.0%[195]. Assets and Liabilities - The total assets at the end of 2018 reached CNY 6.765 billion, an increase of 7.36% from CNY 6.301 billion at the end of 2017[22]. - The total liabilities increased to CNY 3,641,158,161.91, compared to CNY 3,447,904,687.74 at the beginning of the year, reflecting an increase of approximately 5.61%[188]. - The company's total equity increased to CNY 1,756,099,011.88 from CNY 1,181,940,209.62, reflecting a growth of 48.5%[194]. - The total liabilities to equity ratio stands at approximately 1.16, indicating a balanced leverage position[188]. - The company has maintained a stable capital structure with total equity representing about 46.2% of total assets[188]. Cash Flow - The net cash flow from operating activities for 2018 was negative CNY 460.83 million, an improvement from negative CNY 1.011 billion in 2017[22]. - The cash flow from operating activities showed a net outflow of 460.83 million RMB, indicating increased land payments[43]. - The net cash flow from investing activities was 364,123,945.30 yuan, an increase of 364,142,649.06 yuan year-on-year due to the disposal of equity in an associated company[56]. - The net cash flow from financing activities decreased by 83.34% to 83,546,288.86 yuan, primarily due to increased dividend payments[56]. - The company’s cash flow from operating activities showed significant improvement, contributing to overall financial health[199]. Investments and Projects - The company established a joint venture, 京能置业（天津）有限公司, with a registered capital of 1.2 billion RMB, where the company holds a 51% stake[35]. - The company successfully acquired a new project in Tianjin with a land area of 188,600 square meters and a total construction area of 354,000 square meters[40]. - The company continues to increase its land reserves to meet future development needs[41]. - The company reported an investment income of 78,456,602.33 yuan from the transfer of 31% equity in Tianjie Company, receiving 364,250,000.00 yuan in cash[57]. - The company plans to achieve a total area of 60.44 million square meters for new construction and resumption of projects in 2019, with 25.99 million square meters designated for new starts[89]. Dividend and Profit Distribution - The company distributed a cash dividend of CNY 0.16 per 10 shares, totaling CNY 7.25 million for all shareholders[7]. - The company has revised its profit distribution policy to ensure a minimum cash dividend of 10% of the distributable profit each year[94]. - The profit distribution policy emphasizes cash dividends as the preferred method, with stock dividends considered under favorable conditions[95]. - The company has not proposed a cash profit distribution plan for the reporting period despite having positive distributable profits, as it aims to retain earnings for future investments[101]. - The independent directors believe the profit distribution plan aligns with long-term development needs and does not harm the interests of shareholders, especially minority shareholders[99]. Management and Governance - The company appointed Mr. Wang Huailong as the new General Manager, effective from December 14, 2018, until the next management transition[142]. - The company has established a strict performance evaluation mechanism for senior management, adhering to the "Performance Management Measures for Senior Executives"[164]. - The company has effectively maintained independence from its controlling shareholder in business, personnel, assets, institutions, and finance[162]. - The company has implemented a strict internal control system to enhance compliance and operational efficiency[157]. - The company’s management structure has undergone significant changes with multiple appointments and elections in December 2018[145]. Market and Strategic Focus - The company emphasized a focus on first and second-tier cities, with ongoing projects including 京能·四合上院 and 京能·海语城[34]. - The company will focus on key cities in the Beijing-Tianjin-Hebei, Yangtze River Delta, and Pearl River Delta regions, aligning with national strategies such as the integration of Beijing-Tianjin-Hebei and the construction of Xiong'an New Area[87]. - The company aims to enhance its business model and service methods, improving product quality and service to maintain competitive advantages[86]. - The company plans to actively explore financing channels to optimize capital structure and reduce financing costs, addressing potential financing risks due to tightening policies[92]. - The company has established a mechanism to track and analyze policy changes to mitigate risks associated with regulatory changes in the real estate sector[92].