2019-03-29 16:00Financial Performance - The company achieved a net profit attributable to shareholders of 1.128 billion yuan in 2018, a 67.71% increase compared to the previous year[11]. - Total revenue for 2018 was approximately CNY 30.71 billion, a decrease of 8.15% compared to the previous year[21]. - Net profit attributable to shareholders was CNY 1.13 billion, representing a growth of 67.71% year-over-year[21]. - Basic earnings per share for 2018 was CNY 0.37, an increase of 8.82% from CNY 0.34 in 2017[22]. - The company's total assets at the end of 2018 were CNY 91.32 billion, a decrease of 1.14% from the previous year[21]. - The net asset attributable to shareholders was CNY 28.58 billion, an increase of 5.05% compared to the end of 2017[21]. - In Q4 2018, the net profit attributable to shareholders was CNY 217.15 million, with a quarterly revenue of CNY 8.49 billion[24]. - The company reported a significant increase in net profit after deducting non-recurring gains and losses, reaching CNY 782.31 million, up 59.07% year-over-year[21]. - The weighted average return on equity for 2018 was 3.90%, an increase of 0.26 percentage points from the previous year[22]. - The comprehensive gross profit margin improved by 2.18 percentage points to 23.00%[41]. Business Expansion and Strategy - New signed effective contracts amounted to 34.93 billion yuan, representing a year-on-year growth of 8.7%[11]. - The company expanded its business scope to include power electronics, finance, logistics, trade, new energy, and industrial intelligent equipment[9]. - The company aims to enhance its international business and has signed major projects, including in Egypt, indicating a positive development trend[11]. - The company is committed to a new development strategy focusing on wind power revitalization, modern service industry expansion, and strengthening international business[13]. - The company is focusing on market expansion in wind power and international business to strengthen its market position[42]. - The company plans to produce 21 million kilowatts of power generation equipment in 2019, aiming for steady revenue growth and continuous profit increase[78]. - The company will focus on three key battles: revitalizing the wind power industry, expanding modern manufacturing services, and strengthening international business[79]. Research and Development - Significant advancements in R&D included the completion of the domestic highest parameter 630℃ supercritical reheating unit and the successful trial ignition of a self-developed 50MW heavy-duty F-class gas turbine[12]. - The company added 326 valid patents during the reporting period, bringing the total to 1,670 patents[33]. - The company successfully developed the world's largest 1 million kilowatt mixed-flow hydropower unit, overcoming key technical challenges[33]. - The company is advancing the development of 7MW and 10MW offshore wind turbine prototypes, achieving domestic certification for the 10MW design[35]. - Research and development expenses increased by 17.68% to RMB 1.689 billion, reflecting the company's focus on innovation[43]. Financial Management - Net cash flow from operating activities was negative CNY 551.78 million, a decline of 130.01% compared to the previous year[21]. - The company reported a non-recurring gain from the disposal of non-current assets amounting to ¥32,142,369.14 in 2018, compared to ¥16,950,674.48 in 2017[25]. - The fair value changes of trading financial assets resulted in a profit of ¥147,518,045.82 for the company in 2018, with trading financial assets increasing from ¥2,305,996,477.96 to ¥3,122,839,818.04[28]. - The company’s trading financial assets increased by ¥794,721,425.26, reflecting a strong performance in financial investments[28]. - The company’s total financial expenses decreased by 337.26% year-on-year, primarily due to changes in foreign exchange gains and losses, resulting in a net foreign exchange gain of CNY 220 million[54]. Market Position and Competition - The market share for 200MW and above thermal power units reached 46.3%, while the nuclear island market share was 65.9%[11]. - The company’s core business in power generation equipment manufacturing remains competitive, with operations in nearly 70 countries and regions worldwide[29]. - The proportion of revenue from coal power decreased from 44.2% to 42.1%, while revenue from new energy increased from 9.7% to 13.1%[38]. - The company is experiencing difficulties in cash flow due to slowed construction progress on certain power station projects, prompting enhanced cash collection efforts to maintain normal operations[84]. Corporate Governance and Shareholder Relations - The company has established a financial services framework agreement to provide deposit and loan services, enhancing its financial operations[100]. - The company has maintained fair pricing and conditions for related party transactions, ensuring no harm to the interests of the company and its shareholders[99]. - The company has a comprehensive governance structure in compliance with relevant laws and regulations, ensuring effective checks and balances among its governance bodies[183]. - The company respects the rights of all shareholders, particularly minority shareholders, ensuring their interests are protected[179]. Social Responsibility and Community Engagement - The company is focused on poverty alleviation efforts, aiming to help three counties achieve poverty alleviation by 2020[113]. - The company is implementing various poverty alleviation projects, including agricultural support and educational initiatives in targeted counties[115]. - The company has established scholarships and financial aid to improve local education quality[115]. - The company has committed to improving living conditions for impoverished households through various community projects[115]. - The company successfully helped 28,387 registered impoverished individuals to escape poverty in 2018[122]. Future Outlook - The company provided a positive outlook for the next quarter, projecting revenue growth of 25%[159]. - The company plans to implement new operational strategies aimed at improving efficiency by 8% over the next year[160]. - The management emphasized the importance of sustainability initiatives, aiming for a 30% reduction in carbon emissions by 2025[160]. - The company has set a future outlook with a revenue target of 12 billion RMB for the next fiscal year, which reflects a projected growth rate of 20%[161].