DHCT(SH:600844)2020-04-29 16:00Financial Performance - The company's operating revenue for 2019 was approximately ¥1.23 billion, a decrease of 14.21% compared to ¥1.43 billion in 2018[21]. - The net profit attributable to shareholders for 2019 was a loss of approximately ¥269.43 million, compared to a profit of ¥2.06 million in 2018, marking a significant decline[21]. - The basic earnings per share for 2019 was -¥0.265, compared to ¥0.002 in 2018, indicating a substantial decline[23]. - In 2019, the company reported total operating income of CNY 1,229,601,164.26, with a significant decline in net profit attributable to shareholders, totaling -CNY 269,425,882.31, representing a decrease compared to the previous year[24]. - The company reported a net loss of approximately 432.8 million yuan for the year 2019, compared to a profit of 2.06 million yuan in 2018[97]. - The net loss attributable to shareholders was CNY -269,425,782.31, compared to a profit of CNY 2,056,765.46 in the previous year[189]. - The company's retained earnings showed a negative balance of CNY -979,670,879.62 in 2019 compared to CNY -710,245,097.31 in 2018, indicating a worsening financial position[181]. Assets and Liabilities - The total assets at the end of 2019 were approximately ¥3.15 billion, down 6.99% from ¥3.39 billion at the end of 2018[22]. - The net asset attributable to shareholders decreased to approximately ¥1.85 billion, a reduction of 12.68% from ¥2.12 billion in 2018[22]. - Total assets decreased from CNY 3,392,136,458.76 in 2018 to CNY 3,154,863,731.74 in 2019, a decline of approximately 7%[182]. - Total liabilities increased from CNY 634,927,637.48 in 2018 to CNY 734,782,712.13 in 2019, an increase of about 16%[181]. - The company's total equity decreased from CNY 2,757,208,821.28 in 2018 to CNY 2,420,081,019.61 in 2019, a decline of approximately 12%[181]. Cash Flow - The company reported a net cash flow from operating activities of approximately ¥7.22 million, a decrease of 98.05% from ¥370.23 million in 2018[22]. - The cash flow from operating activities for the year was CNY 95,928,728.40, with a notable negative cash flow of -CNY 298,553,524.22 in the fourth quarter[25]. - The company's cash flow from operating activities decreased significantly by 98.05%, amounting to CNY 7.22 million[40]. - The total cash outflow from operating activities reached 22,927,949.31 in 2019, significantly higher than 7,694,440.32 in 2018, marking an increase of 197.56%[197]. - The cash inflow from operating activities was only 2,983.50 in 2019, a drastic drop from 6,253,970.20 in 2018[197]. Production and Market Conditions - The company produced 22,000 tons of ethylene glycol and 8,000 tons of oxalic acid, but did not meet its production targets due to system stability issues, resulting in a substantial production gap[28][29]. - The company faced challenges in the ethylene glycol market, with prices remaining low and production capacity increasing, leading to a supply pressure that affected profitability[31][32]. - In 2019, the domestic ethylene glycol production capacity increased by 231,000 tons, with a total capacity of approximately 13.07 million tons, indicating a trend of overcapacity in the market[32][33]. - The average selling price of ethylene glycol dropped by approximately 33.7% compared to the previous year, leading to operational losses[36]. - The company's main product, ethylene glycol, saw a revenue decline of 28.64% year-on-year, with a gross margin decrease of 17.1%[42]. Investments and R&D - The company invested a total of ¥1.9 billion in joint ventures for projects related to synthetic gas and fuel ethanol, which faced operational delays[4]. - The company's research and development for the PGA project has made some progress, but large-scale industrial production is still a distance away[36]. - Research and development expenses totaled 4.88 million, representing 3.97% of total revenue[52]. - The company reported a significant increase in research and development expenses, totaling CNY 48,759,412.56, up from CNY 40,177,963.88 in 2018[188]. Governance and Compliance - The company has complied with the requirements of the Company Law and the Securities Law, ensuring a sound corporate governance structure[152]. - The internal control audit for the 2019 financial report was conducted by Zhongxinghua Accounting Firm, which issued an unqualified opinion with emphasis[160]. - The company has not faced any risks of suspension or termination of its listing during the reporting period[106]. - The company has not reported any significant accounting errors that would require correction during the reporting period[104]. Environmental and Social Responsibility - The company has not experienced any environmental pollution incidents or violations during the reporting period[121]. - The desulfurization project has achieved a removal rate of over 95% for sulfur dioxide, with a total investment of 23 million yuan[118]. - The wastewater treatment project is operating well, with a total investment of 22.4 million yuan, meeting the required discharge standards[118]. - Environmental investment amounted to 35.64 million RMB, representing 2.899% of operating revenue[82]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 44,441, an increase from 43,902 at the end of the previous month[125]. - Jiangsu Danhua Group Co., Ltd. holds 180,050,050 shares, accounting for 17.71% of total shares, with 44,000,000 shares pledged[128]. - The top five customers accounted for 61.02% of total sales, with no sales to related parties[48].