MCC(SH:601618)2021-03-29 16:00Financial Performance - The net profit attributable to shareholders for 2020 was RMB 7,862,185 thousand, with undistributed profits of RMB 2,090,245 thousand[3]. - The proposed cash dividend is RMB 0.75 per 10 shares, totaling RMB 1,554,271 thousand, which accounts for 19.77% of the net profit[3]. - In 2020, China Metallurgical Group achieved operating revenue of CNY 400.115 billion, a year-on-year increase of 18.15%[7]. - The total profit reached CNY 11.917 billion, up 21.83% year-on-year, with net profit attributable to shareholders at CNY 7.862 billion, reflecting a 19.13% increase[7]. - The company's operating revenue for 2020 was CNY 400.11 billion, an increase of 18.15% compared to CNY 338.64 billion in 2019[15]. - Net profit attributable to shareholders was CNY 78.62 billion, up 19.13% from CNY 66.00 billion in 2019[17]. - The company achieved a net cash flow from operating activities of CNY 28.03 billion, representing a significant increase of 59.47% from CNY 17.58 billion in 2019[15]. - Total assets as of December 31, 2020, reached CNY 506.39 billion, a 10.44% increase from CNY 458.51 billion at the end of 2019[17]. - The company reported a comprehensive income total of RMB 8,811,423, an increase of 12.9% from RMB 7,799,026 in 2019[21]. - The company's basic earnings per share increased to CNY 0.32, up from CNY 0.27 in 2019[16]. Business Operations - The company faces significant challenges due to the complex and severe macroeconomic environment, including the impact of the COVID-19 pandemic[4]. - The company's business income is primarily derived from domestic operations, which may exhibit varying performance across different economic cycles[4]. - The company is affected by industry policies and market demand changes, particularly in engineering contracting, real estate development, and equipment manufacturing[4]. - The new contract amount exceeded CNY 1 trillion for the first time, reaching CNY 1,019.728 billion, a growth of 29.47% compared to the previous year[7]. - The company holds over 33,000 valid patents, with more than 6,300 new patents added during the reporting period[7]. - The company signed new contracts worth CNY 1,019.73 billion, a 29.47% increase from CNY 787.62 billion in 2019[17]. - Revenue from engineering contracting business was CNY 363.97 billion, up 16.72% from CNY 311.83 billion in 2019[18]. - Revenue from real estate development was CNY 24.11 billion, an increase of 20.80% from CNY 19.96 billion in 2019[18]. - Revenue from equipment manufacturing business was CNY 11.06 billion, a substantial increase of 52.88% from CNY 7.23 billion in 2019[18]. Research and Development - Research and development expenses increased to RMB 12,326,903, representing a 24.0% rise from RMB 9,934,444 in 2019[20]. - The company invested a total of RMB 13.3 billion in technology, accounting for 3.3% of total revenue, with RMB 12.4 billion specifically allocated for R&D, representing 3.1% of total revenue[62]. - The company has developed multiple proprietary technologies in environmental protection and energy efficiency, holding a 60% market share in the national waste incineration consulting and design sector[60]. - The company led the application for several key projects, including "Industrial Building Structure Diagnosis Technology" and "Intelligent Control Platform for Steel Production," enhancing its core competitiveness in relevant technology fields[62]. Market Position and Strategy - China Metallurgical Group is recognized as one of the top contractors globally, ranking 8th in the ENR's "Top 250 Global Contractors" list in 2020[8]. - The company aims to strengthen its core metallurgy business and expand into high-tech and high-quality construction fields during the 14th Five-Year Plan[7]. - The company is focusing on high-quality development and innovation-driven strategies to enhance its market position amid challenges such as the COVID-19 pandemic and international trade tensions[30]. - The company is actively expanding its international presence, with projects in Indonesia and Russia enhancing its brand influence in Southeast Asia[34]. - The company aims to enhance its position as a leader in metallurgical engineering by focusing on high-tech and high-quality development, integrating resources across R&D, consulting, design, and construction[121]. Environmental and Social Responsibility - The company is committed to enhancing environmental protection and safety management, implementing green construction practices, and improving resource utilization efficiency[125]. - The company provided RMB 8.4243 million in poverty alleviation funds and completed consumption poverty alleviation exceeding RMB 27 million during the reporting period[65]. - The company contributed approximately 4.47 million RMB in donations and epidemic prevention materials to severely affected areas during the COVID-19 pandemic[155]. - The company maintained a strong commitment to environmental protection, with all key pollutant monitoring units achieving compliance with emission standards during the reporting period[159]. Shareholder and Governance - The company’s profit distribution policy includes a commitment to distribute at least 15% of its distributable profits as cash dividends, barring special circumstances[128]. - The independent directors agree that the profit distribution plan is reasonable and does not harm the interests of minority shareholders[132]. - The company has committed to avoiding competition with its controlling shareholder, China Minmetals, ensuring no new competing business areas will be established[135]. - The company appointed Da Xin Accounting Firm as the new auditor for the 2020 financial report, with an audit fee of CNY 8,080,000, down from CNY 18,350,000 paid to the previous auditor, Deloitte[137].