CRRC(SH:601766)2021-03-30 16:00Financial Performance - The total operating revenue for 2020 was RMB 227.66 billion, a decrease of 0.59% compared to RMB 229.01 billion in 2019[14]. - The net profit attributable to shareholders of the listed company was RMB 11.33 billion, down 3.93% from RMB 11.79 billion in 2019[14]. - The net profit after deducting non-recurring gains and losses was RMB 7.65 billion, an increase of 0.92% from RMB 7.58 billion in 2019[14]. - The net cash flow from operating activities was negative RMB 2.03 billion, compared to positive RMB 22.53 billion in 2019[14]. - The total assets at the end of 2020 were RMB 392.38 billion, an increase of 2.30% from RMB 383.57 billion at the end of 2019[14]. - The net assets attributable to shareholders of the listed company were RMB 143.02 billion, up 5.25% from RMB 135.89 billion at the end of 2019[14]. - Basic earnings per share for 2020 was CNY 0.39, a decrease of 4.88% compared to CNY 0.41 in 2019[15]. - Diluted earnings per share for 2020 was CNY 0.38, down 5.00% from CNY 0.40 in 2019[15]. - The operating cost increased by 0.46% year-on-year, totaling CNY 176.95 billion[49]. - The gross profit margin for the rail transportation equipment and its extension industry was 22.27%, a decrease of 0.81 percentage points[49]. Dividends and Share Capital - The company plans to distribute a cash dividend of RMB 1.8 per 10 shares, totaling RMB 5.166 billion[3]. - The total share capital as of December 31, 2020, remained at 28,698,864,088 shares[14]. - The cash dividend for 2019 was RMB 1.5 per 10 shares, totaling RMB 4.30483 billion, which was 36% of the net profit attributable to shareholders[93]. International Expansion and Strategy - The company established 78 overseas institutions across 27 countries and regions, enhancing its international presence[23]. - The international business strategy includes expanding into Belt and Road countries, focusing on sustainable investment and strategic mergers and acquisitions to enhance global influence[30]. - The company aims to maintain its leading position in the global railway equipment market while enhancing its response capabilities in the trunk railway market[81]. - The company is actively expanding its overseas market presence, leveraging local partnerships and resources to navigate challenges posed by international travel restrictions[91]. Research and Development - The research and development expenses rose by 11.09% to CNY 13.35 billion[47]. - R&D investment totaled 13.58 billion yuan, accounting for 5.96% of total revenue, with 35,273 R&D personnel representing 21.48% of the total workforce[57]. - The company has invested 5 billion yuan in research and development for new technologies in 2020, a 25% increase from the previous year[177]. Risk Management - The company has identified several risk factors including strategic, market, product quality, and foreign operation risks[5]. - The report includes a forward-looking statement risk disclaimer, indicating that future plans do not constitute a commitment to investors[4]. - The company is facing strategic risks due to structural changes in customer demand and increasing competition in the rail transport sector[88]. - The company is actively responding to market risks, including intensified competition and potential cost increases due to international trade tensions[88]. Environmental and Social Responsibility - The company reported a total hazardous waste discharge of 1,326.11 tons/year, with no exceedance of discharge standards[138]. - The company achieved a COD discharge concentration of 34.2 mg/L, well below the standard of 100 mg/L[138]. - The company directly invested a total of 16.85 million in poverty alleviation efforts in 2020, successfully helping 16,897 registered impoverished individuals to escape poverty[129]. - The company has established a comprehensive management mechanism for poverty alleviation funds to ensure effective use and oversight[129]. Corporate Governance - The company has established measures to ensure that its directors and senior management do not harm the company's interests or engage in unrelated investment activities[101]. - The company has a structured process for determining the remuneration of its directors and senior management, involving the board and shareholders[184]. - The company has maintained compliance with regulations regarding the remuneration of its directors and senior management[185]. Future Outlook - The company plans to maintain strategic focus and confidence in development amidst complex global economic conditions in 2021[24]. - The company aims to optimize its business structure and enhance its service system to provide more valuable products and services, aligning with the "manufacturing + service" transformation strategy[76]. - The company has set a future outlook with a revenue target of 120 billion yuan for 2021, indicating a projected growth of 20%[179].