Shanghai Lonyer(SH:603003)2022-04-27 16:00Financial Performance - The company reported a net loss attributable to shareholders of RMB 149,101,219.63 for the year 2021, compared to a loss of RMB 67,565,919.95 in 2020, representing an increase in loss of 120.88%[6]. - Total operating revenue for 2021 was RMB 7,975,757,437.36, a decrease of 10.82% from RMB 8,943,468,998.27 in 2020[23]. - The net cash flow from operating activities was RMB 40,766,183.90, a significant decrease of 87.87% compared to RMB 336,062,239.56 in 2020[23]. - The company reported a significant decline in basic and diluted earnings per share, both at -0.3811 CNY, compared to -0.1680 CNY in 2020, indicating a worsening financial performance[25]. - The weighted average return on equity decreased to -4.08% from -1.75% in the previous year, reflecting a reduction of 2.33 percentage points[25]. - The company reported a net profit attributable to shareholders of -149 million RMB for the period[52]. - The company reported a net profit attributable to shareholders of -161.363 million CNY in Q4 alone[27]. - The company reported a cash flow from operating activities of -471.784 million CNY for the year, indicating cash outflows[28]. Assets and Liabilities - The company's total assets at the end of 2021 were RMB 4,253,882,236.42, a slight increase of 0.04% from RMB 4,252,002,129.56 in 2020[24]. - The net assets attributable to shareholders decreased by 5.91% to RMB 3,556,689,350.30 from RMB 3,780,288,125.28 in 2020[24]. - The company's cash and cash equivalents at the end of the period decreased to ¥277,797,232.83 from ¥468,516,360.06 at the beginning of the period[78]. - The company's foreign assets amounted to CNY 376,719,342.97, accounting for 8.86% of total assets[83]. - The company's total external equity investment at the end of the period was CNY 2.438 billion[88]. Revenue Breakdown - The total revenue for the year was 7.976 billion CNY, with a quarterly breakdown showing a peak in Q4 at 2.665 billion CNY[34]. - Revenue from oil and chemical sales reached 3.550 billion RMB, representing a significant increase of 102.86% year-on-year, while non-ferrous metal sales decreased by 41.16% to 4.112 billion RMB[47]. - The data center business generated 310 million RMB in revenue, with a steady increase in its revenue share[47]. - The gross profit from the data center business was 89.14 million RMB, indicating stable growth as the IDC projects entered a steady ramp-up phase[47]. - The commercial sales revenue was 7.662 billion RMB, accounting for 96.10% of total revenue, while data center revenue was 310 million RMB, accounting for 3.88%[59]. Strategic Initiatives - The company actively adjusted its business strategy, focusing on core operations and reducing the scale of metal business to control risks[25]. - The company plans to continue leveraging digital economy trends, including big data and AI, to drive future growth[34]. - The company is focused on strategic development in the IDC sector, aiming to provide comprehensive operational support for clients and enhance energy efficiency[35]. - The company plans to leverage the operational experience from the Beijing Jinhanwang project to drive the overall development of its IDC business[45]. - The company is seeking investment opportunities in the data center industry chain, including big data, cloud computing, AI, and 5G[100]. Shareholder Actions - The company initiated a share repurchase plan, executing a total repurchase amount of RMB 69,780,500 during the reporting period, which was treated as a cash dividend[6]. - The company did not declare any dividends for the year 2021 due to the net loss and to ensure sufficient funds for future operations and investments[7]. - The company approved the adjustment of the second phase of share repurchase usage and cancellation at the first extraordinary general meeting on March 29, 2021[106]. - The company has a cash dividend policy stipulating that it should distribute at least 15% of the distributable profit as cash dividends in profitable years[135]. Risk Factors - The company has faced significant industry and market risks, which are detailed in the management discussion and analysis section of the report[10]. - The company’s future plans and strategies are subject to risks, and investors are advised to consider these risks when making investment decisions[8]. - The company faces risks from geopolitical factors, COVID-19, and commodity price volatility affecting trade scale and gross margin[101]. - Increased competition in the data center industry may lead to a decline in overall profit margins[102]. Governance and Compliance - The company received a warning letter from the China Securities Regulatory Commission for failing to adequately consider factors affecting bad debt provisions, leading to a significant discrepancy between the forecasted and actual net profit[119]. - The company plans to strengthen compliance with securities laws and improve the quality of information disclosure following the warning letter[119]. - The company has undergone changes in its board of directors, with three independent directors being elected and two resigning due to personal reasons and term limits[118]. - The company has established a transparent remuneration policy for directors and senior management, with recommendations made by the Nomination and Remuneration Committee[116]. Employee and Social Responsibility - The company reported a total of 136 employees, with 56 in the parent company and 92 in major subsidiaries[130]. - The employee composition includes 11 production personnel, 28 sales personnel, 47 technical personnel, 21 financial personnel, and 41 administrative personnel[130]. - The company has established a COVID-19 prevention leadership group to ensure stable operations during the pandemic[148]. - The company emphasizes the importance of social responsibility in its business management practices, aiming for sustainable development[148].