FIRST TRACTOR(SH:601038)2021-03-29 16:00Financial Performance - In 2020, the total operating revenue reached ¥7,582,476,787.76, a 30.06% increase from ¥5,681,547,536.68 in 2018[28]. - The net profit attributable to shareholders was ¥280,150,740.30, a significant increase of 355.71% compared to ¥61,475,427.17 in 2019[28]. - The net cash flow from operating activities was ¥1,248,778,258.13, up 277.58% from ¥330,731,669.68 in 2019[28]. - The company's total assets increased by 6.14% to ¥12,342,608,882.99 at the end of 2020, compared to ¥11,629,022,385.51 at the end of 2019[28]. - Basic earnings per share rose to ¥0.2842, a 355.45% increase from ¥0.0624 in 2019[28]. - The weighted average return on equity increased to 6.66%, up 5.14 percentage points from 1.52% in 2019[28]. - Total revenue for 2020 reached RMB 758,248,000, an increase of 30% compared to RMB 583,018,000 in 2019[37]. - Net profit for 2020 was RMB 28,096,000, a significant increase from RMB 12,651,000 in 2019, marking a growth of 121%[37]. - Total assets as of December 31, 2020, amounted to RMB 1,234,261,000, up from RMB 1,162,902,000 in 2019, reflecting a growth of 6.2%[37]. - The company's total liabilities increased to RMB 736,709,000 in 2020 from RMB 684,516,000 in 2019, representing a rise of 7.6%[37]. Dividend Distribution - The company plans to distribute a cash dividend of RMB 0.75 per 10 shares, totaling RMB 84,273,395.63, based on a total share capital of 1,123,645,275 shares[8]. - In 2020, the company reported a cash dividend of 0.75 RMB per 10 shares, amounting to 84,273,395.63 RMB, which represents 30.08% of the net profit attributable to ordinary shareholders[92]. Audit and Compliance - The company received a standard unqualified audit report from Dahua Certified Public Accountants[7]. - The company is committed to ensuring the accuracy and completeness of its financial reports, as stated by its management[6]. - The company has not violated decision-making procedures for providing guarantees[10]. - The company has not experienced any major litigation or arbitration matters during the reporting period[103]. - There are no significant changes in accounting policies or estimates that would impact the financial statements[102]. - The company has not faced any risks of suspension or termination of listing during the reporting period[102]. - The company has not made any profit forecasts that were not met during the reporting period[99]. - The company and its controlling shareholder, China Yituo, maintained a good credit status during the reporting period, with no significant debts overdue or unfulfilled court judgments[105]. Operational Performance - The company focused on its core business and improved product profitability, leading to a robust operational performance in 2020 despite the pandemic[31]. - The company has maintained its focus on advanced agricultural machinery manufacturing, with no significant changes in its main business operations during the reporting period[40]. - The company is implementing a two-tier R&D model, combining headquarters and subsidiaries to enhance product development efficiency[40]. - The agricultural machinery market saw significant growth in 2020, driven by rising grain prices and increased farmer enthusiasm for planting[40]. - The company is advancing its product technology, with key projects like the continuously variable transmission tractor entering trial phases in 2020[43]. - The company is committed to enhancing its core technology and product quality, targeting world-class standards in tractor manufacturing[86]. - The company will implement cost management strategies across the entire product chain to improve operational efficiency[86]. Research and Development - Research and development expenses totaled 339,036,171.41 RMB, accounting for 4.53% of operating income[65]. - The number of R&D personnel was 1,193, representing 15.89% of the total workforce[65]. - The company is committed to enhancing its research and development capabilities to meet the rising demand for intelligent agricultural products and comply with stricter emission standards[90]. - The company is focusing on the implementation of key research projects and the industrialization of products to seize opportunities in the new round of industry upgrades[90]. Market Expansion - The company expanded its overseas market presence, achieving significant growth in key regions such as Asia and Russian-speaking areas[46]. - The company is focusing on international market expansion and optimizing entry strategies for overseas markets[86]. - The company is focusing on international market expansion, particularly in Africa, while facing challenges from the COVID-19 pandemic and natural disasters affecting purchasing power[87]. Related Party Transactions - The company engaged in significant related party transactions, including a procurement agreement with China Yituo, with a transaction amount of 95 million RMB and an actual transaction amount of 61.71 million RMB, accounting for 9.77% of similar transactions[108]. - The sales agreement with China Yituo involved a transaction amount of 37 million RMB, with an actual transaction amount of 31.22 million RMB, representing 4.24% of similar transactions[108]. - The company entered into a deposit service agreement with China Yituo, with a transaction amount of 280 million RMB and an actual transaction amount of 181.78 million RMB, representing 40.72% of similar transactions[111]. - The loan service agreement with China Yituo had a transaction amount of 130 million RMB, with an actual transaction amount of 95.32 million RMB, accounting for 42.31% of similar transactions[111]. Social Responsibility - The poverty alleviation efforts resulted in the reduction of poverty incidence in the supported village from 0.34% in 2019 to 0% by the end of 2020, with 7 individuals lifted out of poverty[157]. - The company invested 80,000 yuan in industrial poverty alleviation projects, helping 7 registered impoverished individuals to escape poverty[159]. - The company provided assistance to 23 impoverished students with a total funding of 500 yuan[160]. - The company plans to maintain existing support policies and funding for poverty alleviation in 2021, ensuring stability in assistance efforts[163]. - The company has actively engaged in social responsibility initiatives, as detailed in its annual social responsibility report[164]. Environmental Compliance - The company reported an average concentration of particulate matter at 7.23 mg/m³ and a total emission of 32.33 tons for particulate matter, while non-methane total hydrocarbons had an average concentration of 12.99 mg/m³ and a total emission of 2.25 tons[165]. - The company has implemented pollution control upgrades in its casting systems and exhaust gas treatment for engines, significantly reducing air pollutant emissions per unit volume[168]. - The company has established an emergency response plan for environmental incidents, including a response team and necessary equipment, and conducted drills to enhance its pollution incident response capabilities[170]. - The company has developed a self-monitoring plan for pollutants, utilizing both online monitoring and third-party testing to ensure compliance with environmental regulations[171]. Shareholder Information - The total number of common shareholders as of the end of the reporting period was 42,909, with 42,566 being A-share holders and 343 being H-share holders[182]. - The largest shareholder, China Yituo Group Co., Ltd., holds 410,690,578 shares, representing 41.66% of the total shares[185]. - HKSCC Nominees Limited is the second-largest shareholder with 387,879,319 shares, accounting for 39.34%[185]. - The report indicates that the top ten shareholders do not have any related party relationships or concerted actions among them[186]. - The company has no strategic investors or general legal entities that have become top ten shareholders through new share placements[186].