BAMC(SH:601137)2019-04-22 16:00Financial Performance - The net profit attributable to shareholders for 2018 was CNY 341,053,551.38, with a distributable profit of CNY 324,313,773.61 after statutory reserve allocation[4]. - The total distributable profit available for shareholders reached CNY 992,494,316.24, including retained earnings from the previous year[4]. - The proposed cash dividend is CNY 0.8 per 10 shares, totaling CNY 49,109,869.92, based on a share base of 613,873,374 shares[5]. - The total cash dividends distributed in 2018, including share repurchase amounts, amounted to CNY 143,126,695.46, representing 41.97% of the net profit attributable to shareholders[6]. - The company's operating revenue for 2018 was approximately CNY 6.06 billion, representing a 5.33% increase compared to 2017[25]. - The net profit attributable to shareholders for 2018 was approximately CNY 341.05 million, reflecting an 11.62% increase year-over-year[25]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately CNY 329.83 million, up 13.77% from the previous year[25]. - The net cash flow from operating activities for 2018 was approximately CNY 694.10 million, a significant increase of 63.91% compared to 2017[25]. - The total assets at the end of 2018 were approximately CNY 5.40 billion, marking a 7.08% increase from the previous year[25]. - The net assets attributable to shareholders at the end of 2018 were approximately CNY 3.51 billion, which is a 5.66% increase year-over-year[25]. Market Strategy and Development - The company is focused on developing high-strength and high-conductivity special alloy products, with a production line project targeting an annual output of 18,000 tons[25]. - The company aims to expand its market presence through strategic investments in new technologies and products[25]. - The company is constructing a 50,000-ton special alloy new materials intelligent factory to enhance its leading position in the special alloy materials sector[36]. - The company focuses on high-performance, high-precision non-ferrous alloy materials, which are widely used in industries such as 5G communications and aerospace[37]. - The company aims to leverage its manufacturing capabilities in Vietnam to expand its photovoltaic power station business in Southeast Asia, enhancing profitability[45]. - The company is actively expanding into emerging markets like Vietnam to mitigate the impact of the "201" tariff in the U.S.[61]. - The company plans to enhance its brand value and international influence through participation in major industrial exhibitions and promoting its special alloy products in high-end markets[126]. Research and Development - The company plans to continue increasing R&D investment in special alloys and advanced materials, aiming to enhance production efficiency and profitability[44]. - The company has applied for 92 invention patents, with 52 granted, including patents in the US and Europe, showcasing its commitment to innovation[51]. - The company plans to continue investing heavily in R&D for new materials technology and products to meet the growing demand in various high-tech sectors[94]. - The company is focusing on the development of electronic materials to meet the growing demand from the Internet of Things, 5G communications, and electric vehicles[122]. - Research and development investments have increased by 10%, totaling $150 million, focusing on innovative technologies[162]. Risk Management - The company has not identified any significant risks that could materially affect its operations during the reporting period[8]. - The company has established a hedging strategy in the futures market to mitigate price risks associated with raw materials[25]. - The company has implemented a hedging management system to mitigate risks associated with raw material price fluctuations, particularly for copper, zinc, nickel, and tin, which constitute a significant portion of production costs[127]. Corporate Governance and Compliance - The company has committed to ensuring that its net profit for the fiscal years 2019, 2020, 2021, and 2022 will not be less than RMB 78 million, RMB 90 million, RMB 106 million, and RMB 131.2 million respectively[140]. - If the cumulative actual profit at the end of each fiscal year is less than the cumulative committed profit, the company will fulfill its compensation obligations as per the profit forecast compensation agreement[140]. - The company guarantees that it will not engage in any business that competes with the listed company and its subsidiaries during its period as a shareholder[139]. - The company will avoid and minimize related party transactions with the listed company and its subsidiaries, ensuring fairness and compliance with legal requirements[139]. - The company has confirmed that it has fulfilled its capital contribution obligations to the listed company and there are no issues such as false contributions or capital withdrawal[144]. Dividend Policy - The company distributed cash dividends totaling RMB 94,082,956.20, with a dividend per share of RMB 0.15, based on a total share capital of 627,219,708 shares[133]. - The cash dividend policy mandates that cumulative cash distributions over the last three years must not be less than 30% of the average distributable profit during that period[132]. - The company’s cash dividend for 2018 was 27.57% of the total profit available for distribution to ordinary shareholders[135]. Acquisitions and Investments - The company is in the process of acquiring 100% of the shares of Ningbo Bode High-Tech Co., Ltd. through a combination of issuing shares and cash payments[194]. - The company plans to purchase 100% equity of Ningbo Bode High-tech Co., Ltd. for 990 million RMB, which has been approved by the China Securities Regulatory Commission[101]. - The company invested in a 100MW solar power station in southern Vietnam, expected to be operational by June 2019[61]. - The company acquired 100% equity of HCG and HTG for 1,700 million USD to develop a solar power project in Vietnam[98]. Financial Commitments and Obligations - The company has committed to a long-term agreement regarding its competitive conduct and related transactions, effective from December 22, 2018[139]. - The company will bear legal responsibilities and compensate for any losses caused by violations of the commitments made in the agreement[140]. - The company has committed to not pledging shares obtained from the transaction until all compensation obligations are fulfilled, ensuring compliance with performance obligations[146].