CHINA SATCOM(SH:601698)2021-04-26 16:00Financial Performance - In 2020, China Satellite Communications achieved a net profit attributable to shareholders of 488,789,159.48 yuan, with a total distributable profit of 1,527,057,101.58 yuan at year-end[4]. - The company's operating revenue for 2020 was CNY 2,710,300,289.88, a decrease of 0.87% compared to 2019[19]. - Net profit attributable to shareholders for 2020 was CNY 488,789,159.48, representing a 9.49% increase from the previous year[19]. - The net cash flow from operating activities increased by 4.11% to CNY 2,044,045,557.98 in 2020[19]. - Basic earnings per share for 2020 were CNY 0.1222, up 4.00% from CNY 0.1175 in 2019[20]. - The weighted average return on equity for 2020 was 4.2638%, an increase of 0.0257 percentage points from 2019[20]. - The total assets at the end of 2020 were CNY 18,289,285,775.32, a 0.73% increase from the end of 2019[19]. - The net assets attributable to shareholders increased by 2.48% to CNY 11,583,778,376.38 at the end of 2020[19]. - The company reported a net profit of CNY 152,988,217.75 in Q4 2020, showing a significant increase compared to previous quarters[22]. - Non-recurring gains and losses totaled CNY 78,064,405.94 for 2020, compared to CNY 37,925,411.60 in 2019[25]. Dividend Distribution - The company proposed a cash dividend of 0.25 yuan per 10 shares, totaling 100,000,000.00 yuan to be distributed to shareholders[4]. - The cash dividend was fully distributed by December 29, 2020[4]. - The cash dividend payout ratio for 2020 was 29.46%, while for 2019 it was 10.75%[88]. - In 2020, the company distributed a cash dividend of 0.012 CNY per share, totaling 48,000,000 CNY, based on a total share capital of 4,000,000,000 shares[87]. - For the first three quarters of 2020, the company proposed a cash dividend of 0.11 CNY per share, amounting to 44,000,000 CNY, with a net profit attributable to shareholders of 335,800,941.73 CNY[89]. Operational Highlights - As of December 31, 2020, the company managed 15 commercial communication satellites, covering over 95% of global maritime routes and more than 90% of domestic air routes in China[30][32]. - The company is positioned as the second largest fixed satellite operator in Asia and the sixth largest globally, with a diverse range of satellite transponder resources[32]. - The company is focusing on digital transformation and platform-based operations, aiming to build a world-class satellite communication industry leader[39]. - The company has established long-term stable partnerships with major clients across various sectors, including broadcasting, aviation, and telecommunications[36]. - The company is actively pursuing international cooperation opportunities to enhance its frequency and orbital resource usage rights[33]. Risk Management - There were no significant risks that materially affected the company's operations during the reporting period[6]. - The company has no non-operating fund occupation by controlling shareholders or related parties[5]. - The company has established a comprehensive risk prevention system, ensuring no production safety accidents occurred throughout the year[51]. Innovation and Development - The company organized and applied for 16 patents and 18 software copyrights, enhancing its innovation capabilities[41]. - The company is committed to innovation-driven development, targeting key technologies that restrict satellite communication growth and promoting platform-based business models[77]. - The company is focusing on the integration of satellite and ground operations, with the launch of a unified measurement and control platform[47]. Corporate Governance - The audit report issued by Zhongxinghua Accounting Firm confirmed the financial report's authenticity and completeness[3]. - The company has maintained a strong commitment to pandemic prevention and control, ensuring stable production and operations during the COVID-19 crisis[38]. - The company has established measures to ensure compliance with confidentiality obligations regarding sensitive information[102]. Shareholder Commitments - The company has committed to not transferring or managing shares held by its major shareholders for 36 months post-IPO, with an automatic extension of 6 months if stock prices fall below the IPO price for 20 consecutive trading days within the first 6 months[94]. - The company has ensured no direct or indirect competition with China Satcom, committing to transfer any competitive business opportunities to avoid conflicts[95]. - The company will publicly disclose any violations of commitments and compensate for any losses incurred by China Satcom due to such violations[95]. Related Party Transactions - The total amount of related party transactions for purchasing goods and services is RMB 1,305,057,547.22, accounting for 70.25% of similar transactions[110]. - The company has engaged in related party transactions with China Academy of Launch Vehicle Technology for rocket procurement, amounting to RMB 332,000,000, which represents 17.87% of similar transactions[109]. - The company has also engaged in related party transactions with China Academy of Space Technology for satellite construction, totaling RMB 841,395,575.04, accounting for 45.29% of similar transactions[110]. Environmental and Social Responsibility - China Satellite Communications donated RMB 660,000 for targeted poverty alleviation efforts in Shaanxi Province during the reporting period[132]. - The company plans to donate RMB 730,000 for targeted poverty alleviation in 2021, continuing its support in Shaanxi Province[135]. - The company has implemented environmental protection measures and maintains normal operation of its pollution control facilities[136]. Employee and Management Structure - The total remuneration for all directors, supervisors, and senior management at the end of the reporting period amounted to 10.1211 million RMB[173]. - The total number of employees in the company is 556, with 222 in major subsidiaries[176]. - The company emphasizes employee training to enhance skills and core competitiveness, with various training programs in place[178].