SINOMACH-HE(SH:601399)2023-04-27 16:00Financial Performance - The company's operating revenue for 2022 was CNY 9,655,188,240.87, representing a 1.55% increase compared to CNY 9,508,218,107.33 in 2021[14]. - The net profit attributable to shareholders of the listed company for 2022 was CNY 403,139,743.63, a 2.20% increase from CNY 394,477,546.92 in the previous year[14]. - The net cash flow from operating activities reached CNY 1,489,688,587.74, showing a significant increase of 149.58% compared to CNY 596,870,486.56 in 2021[14]. - The total assets of the company at the end of 2022 were CNY 28,417,450,422.93, a 1.09% increase from CNY 28,110,501,024.89 at the end of 2021[14]. - The net assets attributable to shareholders of the listed company increased by 4.39% to CNY 13,419,026,306.11 at the end of 2022, compared to CNY 12,854,174,992.69 at the end of 2021[14]. - The basic earnings per share for 2022 were CNY 0.0558, reflecting a 2.76% increase from CNY 0.0543 in 2021[15]. - The weighted average return on net assets for 2022 was 3.07%, unchanged from the previous year[15]. - The company reported a negative distributable profit at the end of 2022, amounting to CNY -10,465,389,438.57, leading to no profit distribution for the year[3]. Market Expansion and Contracts - In 2022, the company achieved a contract signing amount of 13.923 billion RMB, a year-on-year increase of 30.02%[23]. - The company established a regional center in Turkey to enhance market expansion efforts, resulting in record high new order amounts[24]. - The company signed multiple contracts in the metallurgical field, including a 3,500 mm medium-thick plate mill and a 3,800 mm wide-thick plate mill, further strengthening its market position[24]. - Significant breakthroughs were made in overseas industrial projects, including a 40,000-ton wet zinc smelting plant project in Indonesia and a 2 million-ton steelmaking project in Uzbekistan[24]. - The company signed a service contract for a new generation of ultra-clean converter gas purification equipment, marking a major breakthrough in emerging market development[24]. Research and Development - The company achieved significant breakthroughs in key core technologies, including the first domestic delivery of a 1000MW ultra-supercritical unit rotor and the successful development of various critical components for nuclear power and heavy-duty gas turbines[25]. - The company received 29 provincial and ministerial-level scientific awards and 110 national patents during the reporting period, highlighting its commitment to innovation and technology advancement[26]. - Research and development expenses rose by 15.13% to approximately ¥412.53 million, indicating a focus on innovation[35]. - The company has established 26 national and industry-level R&D platforms, enhancing its technological innovation capabilities[34]. Operational Efficiency and Management - Lean management initiatives led to an overall efficiency improvement of nearly 15% in key large casting and forging products, with industry-leading waste loss control levels[28]. - The company completed all tasks related to the three-year state-owned enterprise reform action, enhancing its governance structure and market-oriented operational mechanisms[29]. - The company plans to focus on high-quality development in 2023, guided by the principles of innovation and customer-centricity, while implementing lean management and digital empowerment strategies[29]. Financial Health and Cash Flow - The company reported a net cash flow from operating activities of -920 million RMB, indicating challenges in cash generation[19]. - The company recorded a total of 204.39 million RMB in non-recurring gains and losses for the year, with government subsidies contributing 127.55 million RMB[20]. - The fair value of financial assets measured at fair value and included in other comprehensive income increased by 713.63 million RMB during the period[22]. - The company reported a gross margin of 12.43% in the mechanical equipment R&D and manufacturing sector, an increase of 2.28 percentage points year-on-year[38]. Corporate Governance and Compliance - The company held three shareholder meetings during the reporting period, approving 21 resolutions, including the financial report for 2021[76]. - The board of directors convened nine meetings, discussing 63 significant matters related to the company's operations[76]. - The company maintains independence from its controlling shareholder, ensuring fair market transactions without harming the interests of minority shareholders[77]. - The company has implemented measures to ensure compliance with relevant laws and regulations regarding information disclosure[78]. Environmental and Social Responsibility - The company invested approximately 26.03 million RMB in environmental protection during the reporting period[110]. - The company has established a management system for environmental protection facilities to ensure compliance with emission standards[116]. - The company has implemented various pollution control projects, including dust control in the forging plant and spray booth management, to improve environmental quality[123]. - The company has invested 9.9 million yuan in poverty alleviation and rural revitalization projects in 2022[125]. Shareholder and Market Activities - The company plans to implement a share repurchase program, with the repurchase funds not less than 30% of the average net profit attributable to shareholders over the last three complete accounting years[132]. - The company has completed the ownership certification for 68 properties without certificates by February 16, 2025[133]. - The company has a structured approach to investor relations, promoting comprehensive understanding among shareholders[78]. - The total remuneration for all directors, supervisors, and senior management in 2022 amounted to CNY 7.2558 million[95].