BROS(SH:601339)2020-04-21 16:00Financial Performance - In 2019, the company's operating revenue reached ¥6,221,786,385.25, an increase of 3.73% compared to ¥5,997,856,921.82 in 2018[24] - The net profit attributable to shareholders was ¥297,808,907.84, representing a decrease of 31.93% from ¥437,525,800.72 in the previous year[24] - The net profit after deducting non-recurring gains and losses was ¥263,316,539.88, down 37.28% from ¥419,833,233.03 in 2018[24] - Basic earnings per share decreased to ¥0.20, down 31.03% from ¥0.29 in 2018[26] - The weighted average return on net assets was 3.80%, a decrease of 2.02 percentage points from 5.82% in 2018[26] - The company achieved a revenue of 6.22 billion RMB in 2019, representing a year-on-year growth of 3.73%[60] - Net profit for the year was 298 million RMB, a decrease of 31.93% compared to the previous year[60] Asset and Liability Management - The company's total assets increased by 5.95% to ¥14,314,591,438.11 from ¥13,510,419,080.01 in 2018[24] - The net assets attributable to shareholders rose to ¥7,973,621,681.07, a 3.10% increase from ¥7,733,564,821.48 in 2018[24] - The company's total liabilities increased, with accounts payable decreasing by 41.43% to ¥223,020,176.99, which is 1.56% of total assets[99] - The company has provided guarantees totaling RMB 6.424 billion, which accounts for 80.54% of the company's latest audited net assets[169] - The total amount of guarantees, including those to subsidiaries, is RMB 6.424 billion[169] Cash Flow and Investment - The net cash flow from operating activities was ¥957,403,707.46, a significant recovery from a negative cash flow of ¥559,618,662.05 in 2018[24] - The investment cash flow was negative at -¥924,434,193.71, reflecting ongoing investments in expanding factory capacity in Vietnam[88] - Cash and cash equivalents increased significantly to ¥1,627,489,971.37, representing 11.37% of total assets, up 41.02% from the previous period[89] - The company has engaged in wealth management with a total investment of RMB 4.781 billion, with an outstanding balance of RMB 100 million[170] Production and Sales - The company generated CNY 15.51 billion in sales from grey fabric, accounting for 26.78% of total sales revenue during the reporting period[38] - The revenue from the Vietnam factory reached 3.22 billion RMB, a growth of 30.90% year-on-year, contributing to 60% of the company's total production capacity[65] - The company’s main product sales volume reached 192,600 tons in 2019, with a focus on expanding into emerging markets and new brand sales channels[66] - The production volume of yarn increased by 4.00% year-on-year, while sales volume rose by 7.69%[75] Research and Development - The total R&D expenditure amounted to ¥138,204,066.80, representing 2.22% of total revenue[86] - The company launched 12 new color cards and 3 single-theme color versions during the reporting period, reflecting its strong innovation capabilities[60] - The company has been focusing on the R&D, production, and sales of colored spun yarn, leveraging a unique operational model that emphasizes small batches and rapid response[38] Market Conditions and Challenges - The company faced challenges due to US-China trade tensions and increased production capacity in Vietnam, impacting overall revenue growth and profit margins[26] - The textile industry in China saw a 1.5% decrease in total revenue, amounting to 49,436.4 billion yuan, with a profit total of 225.14 billion yuan, down 11.6% year-on-year[48] - The company has significant exposure to cotton prices, which account for approximately 70% of production costs, and fluctuations in cotton prices pose a risk to profitability[133] - The company faces risks from macroeconomic fluctuations, market competition, and rising costs of raw materials, energy, and labor, which could impact its operational performance[131][134] Dividend Policy - The company plans to distribute a cash dividend of ¥0.60 per 10 shares, totaling ¥90,000,000[6] - The cash dividend for 2018 was set at CNY 0.88 per 10 shares, totaling CNY 132,000,000 distributed to shareholders[141] - In 2019, the company declared a cash dividend of CNY 0.66 per 10 shares, amounting to CNY 90,000,000, which represents 30.22% of the net profit attributable to shareholders[142] - The company has maintained a consistent dividend policy, with cash dividends reflecting a stable percentage of net profits over the years[142] Corporate Governance and Compliance - The company has committed to not transferring or managing shares held prior to the public offering for 36 months post-listing, ensuring stability in shareholding[146] - The company has a policy that limits the transfer of shares by key stakeholders to 25% of their total holdings annually after the initial 36-month period[146] - The company has not faced any risks of suspension or termination of its listing status[160] - The company has not implemented any employee stock ownership plans or other incentive measures during the reporting period[160]