COSL(SH:601808)2020-03-25 16:00Financial Performance - The company achieved a net profit of RMB 2,528,015,269 for the year 2019, with a net profit attributable to shareholders of RMB 2,502,238,023[5]. - The total undistributed profits available for distribution at the end of 2019 amounted to RMB 17,196,349,188, after distributing RMB 763,454,720 in cash dividends[5]. - The company plans to distribute a cash dividend of RMB 0.16 per share based on a total share capital of 4,771,592,000 shares[5]. - The company's operating revenue for 2019 was RMB 31,135.1 million, representing a 41.9% increase compared to RMB 21,945.9 million in 2018[22]. - The net profit attributable to shareholders for 2019 was RMB 2,502.2 million, a significant increase of 3,434.2% from RMB 70.8 million in 2018[22]. - The net cash flow from operating activities reached RMB 6,968.3 million, up 67.0% from RMB 4,172.4 million in the previous year[22]. - The basic earnings per share for 2019 was RMB 0.52, a substantial increase of 5,100.0% compared to RMB 0.01 in 2018[23]. - The weighted average return on equity for 2019 was 7.03%, an increase of 6.82 percentage points from 0.21% in 2018[24]. - The gross profit margin for the company improved by 7.9 percentage points, driven by high-quality development and effective risk management[67]. - Domestic revenue accounted for 77.8% of total revenue, with a year-on-year increase of 48.7%[67]. - International revenue rose to RMB 6,915.9 million, a 22.2% increase from RMB 5,661.1 million in 2018, representing 22.2% of total revenue[67]. Operational Highlights - The company operates in the oil and gas exploration and production sector, providing services across drilling, oilfield technology, marine services, and geophysical exploration[30]. - The drilling services business achieved revenue of RMB 10,841.6 million in 2019, a 39.6% increase from RMB 7,765.6 million in 2018[49]. - The oilfield technical services segment reported revenue of RMB 15,060.9 million, up 53.3% from RMB 9,822.3 million in 2018[54]. - The geophysical exploration and engineering survey services segment reported revenue of RMB 2,173.3 million, a 31.6% increase from RMB 1,651.5 million in 2018[59]. - The number of operating days for drilling platforms increased by 3,599 days to 14,737 days in 2019, representing a growth of 32.3%[51]. - The average daily revenue for self-elevating drilling platforms rose to USD 6.9 in 2019, a 6.2% increase from USD 6.5 in 2018[54]. - The fleet of owned vessels achieved a calendar day utilization rate of 94.3%, an increase of 4.1 percentage points year-on-year[57]. - The number of operating days for the owned fleet increased by 737 days to 30,986 days in 2019, a growth of 2.4%[57]. Strategic Focus and Development - The company maintained a focus on "technology development and internationalization," aiming for high-quality growth and improved profitability[41]. - The company plans to continue its strategic focus on technology and international development in 2020, adapting to macroeconomic and industry changes[48]. - The company has established a mature global service network and long-term relationships with major international and national oil companies, supporting its international operations[36]. - The company has a complete research and development system, with a team of experienced technical service experts, enabling it to provide high-end technical services[36]. - The company emphasized innovation, with significant advancements in proprietary technologies, including high-temperature logging and biodegradable drilling fluids, enhancing operational efficiency[47]. Risk Management - Major risks include market competition risks due to the incomplete recovery of the international oil and gas industry and health, safety, and environmental risks specific to the offshore oilfield service industry[8]. - The company has established a risk management organization to enhance risk identification and mitigation capabilities, focusing on high-quality development[104]. - The company has not reported any significant operating risks that have not been addressed through its risk management strategies[104]. Corporate Governance - The company has a long-term commitment to avoid any new competition with its parent company, ensuring no conflicts arise[107]. - The company has a significant presence in oil and gas exploration, production, and sales, as well as refining and chemical processing[160]. - The company continues to maintain a strong governance structure with independent directors actively involved in oversight[168]. - The board of directors confirmed compliance with the standards set forth in the Listing Rules Appendix 10 for the 12 months ending December 31, 2019[190]. - The chairman and CEO roles are clearly separated, with Qi Meisheng as chairman and Cao Shujie as CEO[200]. Social Responsibility - The company actively participated in poverty alleviation efforts, helping 80 households and 197 individuals escape poverty in 2019, achieving a poverty alleviation rate of 98.01%[147]. - The total amount spent on consumption poverty alleviation reached 3.1752 million yuan, supporting the income increase of impoverished communities[147]. - The company provided employment opportunities for 799 individuals from 87 impoverished counties, significantly improving their quality of life[148]. Future Outlook - The company anticipates capital expenditures of approximately RMB 4.8 billion in 2020, primarily for production base construction and equipment upgrades[97]. - The oilfield service market is expected to remain competitive in 2020, with a focus on cost control and operational efficiency improvements[96]. - The company aims to transition from a heavy asset model to a technology-driven approach, enhancing core competitiveness through green technology innovation[97]. - The company plans to pursue international development and enhance its global operational capabilities through both organic and inorganic growth strategies[95].