Carthane(SH:603037)2021-04-26 16:00Financial Performance - The company achieved a net profit of ¥85,163,496.64 for the year 2020, before the allocation of the incentive fund, meeting the annual profit target set by the board[12]. - After allocating 5% of the net profit as an incentive fund, the adjusted net profit for 2020 was ¥81,544,196.64[12]. - The company's operating revenue for 2020 was approximately ¥494.40 million, a slight increase of 0.14% compared to ¥493.69 million in 2019[27]. - The net profit attributable to shareholders for 2020 was approximately ¥82.72 million, reflecting a growth of 2.08% from ¥81.03 million in 2019[27]. - The net profit after deducting non-recurring gains and losses decreased by 5.49% to approximately ¥67.63 million in 2020 from ¥71.55 million in 2019[27]. - The net cash flow from operating activities significantly increased by 79.16% to approximately ¥185.05 million in 2020, compared to ¥103.29 million in 2019[27]. - The total assets at the end of 2020 were approximately ¥963.25 million, representing a 2.38% increase from ¥940.83 million at the end of 2019[27]. - The basic earnings per share for 2020 was ¥0.78, a 1.30% increase from ¥0.77 in 2019[28]. - The weighted average return on equity for 2020 was 9.63%, a slight decrease of 0.02 percentage points from 9.65% in 2019[28]. Dividend and Share Capital - The company proposed a cash dividend of ¥6.0 per 10 shares, based on a total share capital of 104,901,350 shares, with undistributed profits amounting to ¥259,819,728.51 as of December 31, 2020[5]. - The company completed the cancellation of 922,350 restricted shares, reducing the total share capital from 105,823,700 shares to 104,901,350 shares[10]. - The company achieved a cash dividend of 62.94 million yuan for 2020, representing 76.09% of the net profit attributable to ordinary shareholders[136]. - The total number of ordinary shares decreased from 105,823,700 to 104,901,350 due to the repurchase and cancellation of 922,350 shares[144]. Operational Efficiency and Market Position - The company maintained a strong market position in the automotive parts manufacturing industry, particularly in the suspension system components for traditional and new energy vehicles[35]. - The company reported a significant increase in cash flow from operating activities, indicating improved operational efficiency and financial health[27]. - The company employs a "sales-driven production" model to minimize resource use and enhance inventory turnover, ensuring efficient production processes[45]. - The company maintains stable pricing for aftermarket customers, with price adjustments only occurring in response to significant changes in raw material costs or exchange rates[48]. Research and Development - The company is focused on the research and development of high-performance polyurethane products, enhancing its competitive advantage in both domestic and international markets[35]. - The company applied for and received acceptance for 32 patents during the reporting period, bringing the total number of accepted patents to 124, with 79 patents granted[51]. - The company’s R&D team focuses on material development, engineering, product design, and new technology development, maintaining a leading position in product performance and manufacturing technology[50]. - The company invested CNY 63.4 million in the R&D center, which is expected to enhance product design capabilities and accelerate product updates[66]. Strategic Partnerships and Market Expansion - The company has established strategic partnerships with major domestic automakers, covering a wide range of clients including SAIC Volkswagen, FAW Volkswagen, and Geely, among others[36]. - The company has developed a significant international market presence, supplying components to renowned global automakers such as Porsche, GM, and Ford[36]. - The company is actively engaging with major domestic OEMs for potential opportunities in electric control system products, anticipating more project approvals in 2021[62]. Risks and Compliance - The company has described significant risks that may adversely affect future development and operational goals in the report[7]. - The company faces macroeconomic risks due to potential COVID-19 outbreaks, which could impact automotive consumption and sales expectations[109]. - Exchange rate fluctuations may affect the company's export pricing and import costs, impacting overall sales revenue[109]. - The company has committed to not reducing shareholdings within a specified period, ensuring stability for shareholders[114]. Management and Governance - The company has established a mechanism to share interests between shareholders and core employees to ensure long-term development[127]. - The company has a three-year shareholder return plan (2020-2022) approved by the board, focusing on profit distribution[111]. - The company has seen changes in its senior management team, with new appointments and resignations impacting operations[162]. - The total remuneration for all directors, supervisors, and senior management during the reporting period amounted to 8.2254 million yuan[165]. Audit and Internal Control - The company’s financial report has been audited by Zhonghua Accounting Firm, which issued a standard unqualified audit opinion[4]. - The internal control audit report issued by Zhonghua Accounting Firm provided a standard unqualified opinion[179]. - The company has disclosed its internal control self-assessment report for the year 2020, indicating no significant deficiencies[178]. - The audit report confirms that the financial statements fairly present the company's financial position and operating results for the year ended December 31, 2020[182].