CDGAS(SH:603053)2021-04-15 16:00Dividend Policy - The company plans to distribute a cash dividend of 2.475 CNY per 10 shares to all shareholders, based on the total share capital as of the dividend distribution implementation date[6]. - The company implemented a cash dividend policy, distributing at least 20% of the distributable profits as cash dividends annually[100]. - In 2020, the cash dividend amount was CNY 220,000,275, representing 53.13% of the net profit attributable to ordinary shareholders[106]. - The cash dividend for 2019 was CNY 217,333,605, accounting for 48.17% of the net profit attributable to ordinary shareholders[106]. - The cash dividend for 2018 was CNY 100,000,000, which was 23.4% of the net profit attributable to ordinary shareholders[106]. - The company prioritizes cash dividends over stock dividends, with a preference for cash distribution when conditions are met[100]. - The board of directors must consider the opinions of independent directors and public investors when making decisions on profit distribution[100]. - The company has a policy to review the shareholder return plan at least every three years[103]. - The company must provide a detailed explanation if it does not propose a cash dividend despite having positive distributable profits[106]. - The company’s profit distribution plan requires approval from the shareholders' meeting after being reviewed by the board of directors[103]. - The company can adjust its profit distribution policy based on significant changes in the external operating environment or its own operational status[103]. Financial Performance - The company's operating revenue for 2020 was approximately ¥4.17 billion, a decrease of 13.50% compared to ¥4.82 billion in 2019[22]. - Net profit attributable to shareholders for 2020 was approximately ¥414.11 million, down 8.21% from ¥451.16 million in 2019[22]. - The net cash flow from operating activities decreased by 37.66% to approximately ¥482.80 million, primarily due to a decline in revenue caused by the pandemic[25]. - Basic earnings per share for 2020 were ¥0.47, a decrease of 16.07% from ¥0.56 in 2019[22]. - The weighted average return on equity for 2020 was 11.65%, down 7.92 percentage points from 19.57% in 2019[22]. - Total assets at the end of 2020 were approximately ¥6.65 billion, a slight decrease of 0.67% from ¥6.70 billion at the end of 2019[22]. - The net assets attributable to shareholders increased by 5.83% to approximately ¥3.64 billion at the end of 2020, compared to ¥3.44 billion at the end of 2019[22]. - The company reported a net profit of approximately ¥142.83 million in Q1 2020, with a significant drop in cash flow from operating activities to -¥149.42 million[27]. - The total non-recurring gains and losses for 2020 amounted to approximately ¥33.18 million, compared to ¥26.56 million in 2019[32]. - The company experienced a decline in diluted earnings per share, which was also ¥0.47 for 2020, reflecting a 16.07% decrease from the previous year[22]. Governance and Compliance - The company received a standard unqualified audit report from Deloitte Huayong Accounting Firm[5]. - The company has not reported any major changes in its financial reporting or governance structure that would affect the accuracy and completeness of the annual report[8]. - The company’s financial report is confirmed to be true, accurate, and complete by the responsible executives[5]. - The company’s board of directors and supervisory board members were present at the board meeting, ensuring governance compliance[5]. - The company has not encountered any non-standard audit opinions during the reporting period, indicating a clean audit status[115]. - The company has not reported any funds being occupied or overdue receivables during the reporting period, reflecting good financial management[115]. - The company has no significant changes in accounting policies or estimates that impact net profit, shareholder equity, or cash flow[118]. - The independent directors did not raise any objections to company matters during the reporting period[197]. - There are no significant differences between the company's governance and the requirements of the China Securities Regulatory Commission[191]. Market and Operational Strategy - The company operates in urban gas distribution and sales, with a focus on natural gas supply and installation services in Chengdu and surrounding areas, serving over 3 million customers and selling approximately 1.6 billion cubic meters of natural gas annually[41]. - The company has secured exclusive operating rights in a 500 square kilometer area in downtown Chengdu and nearly 800 square kilometers in surrounding counties, with a pipeline length of 7,155 kilometers and 1.33 million pressure regulating facilities[42]. - In 2020, the company signed contracts for 58,500 residential users and developed 1,248 non-residential customer projects, indicating a strong market expansion strategy[41]. - The company benefits from a rich natural gas resource base in the Sichuan Basin, which produced approximately 56.5 billion cubic meters of natural gas in 2020, accounting for 52% of the national increase[42]. - The company has a competitive edge due to its established infrastructure and experience in urban gas management, having participated in drafting several urban gas regulations[41]. - The company’s gas pricing is regulated by local government price supervision departments, ensuring stable revenue streams from gas sales[40]. - The company has developed advanced remote metering technology, significantly reducing operational costs and improving efficiency by minimizing the need for manual meter reading[39]. - The company is actively involved in the development of gas industry management software, enhancing operational capabilities and customer service[41]. - The company’s market growth is driven by urbanization, economic development, and the increasing adoption of clean energy sources[41]. - The company has a daily gas supply capacity of 11.3 million cubic meters, positioning it as a key player in the regional gas supply market[41]. Future Outlook and Strategic Goals - The company aims to achieve an annual natural gas production of 50 billion cubic meters by 2025 and 80 billion cubic meters by 2030, positioning itself as the largest natural gas producer in China[45]. - The Chengdu government plans to increase the natural gas penetration rate, with all towns and eligible rural communities connected to pipeline gas by the end of the 13th Five-Year Plan[45]. - The company has established a comprehensive refined management system, achieving high levels of management efficiency and execution capability, with standardized management practices leading the industry[45]. - The company aims to enhance its core business in gas project investment and sales, focusing on safety management and technological innovation[90]. - The natural gas industry in China is expected to see significant growth, with production projected to reach 250 billion cubic meters by 2025[89]. - The company plans to explore potential upstream and downstream business opportunities within the energy sector[90]. - The shift towards clean energy is accelerating, with natural gas being a key component in reducing carbon emissions and improving energy structure[89]. - The company is committed to providing safe, stable, and clean energy while enhancing operational efficiency and customer satisfaction[92]. - The strategic goal is to achieve scale leadership and market recognition through collaborative efforts across different business units[90]. - The company aims for a revenue target of CNY 4.804 billion and a net profit target of CNY 502 million for 2021[93]. Research and Development - The company’s R&D expenses decreased by 57.32% to CNY 13.61 million, indicating a focus on cost management[53]. - Total research and development expenses amounted to ¥13,609,360.35, representing 0.33% of operating revenue, with 10 R&D personnel, making up 0.37% of total staff[64]. - The company is investing 50 million in R&D for new technologies aimed at improving service delivery and customer satisfaction[169]. Social Responsibility and Community Engagement - The company has actively engaged in poverty alleviation, purchasing unsold agricultural products worth CNY 231,870 from Zhangbei County and CNY 159,120 from Fengjie County[131]. - The company provided CNY 50,000 in poverty alleviation funds to Heqiao Village in Jianyang City[131]. - The company plans to continue its poverty alleviation efforts, responding to national calls and overcoming challenges posed by the COVID-19 pandemic[132]. - The company has established annual energy-saving and emission reduction targets, tracking energy consumption and CO2 emissions related to the gas industry[136]. Employee Management and Development - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to 10.5284 million yuan (pre-tax)[178]. - The number of employees in the parent company is 1,999, while the total number of employees in the parent company and major subsidiaries is 2,566[183]. - The company emphasizes employee training and development, establishing a comprehensive training system for different employee categories[185]. - The company has implemented a performance-based salary system, with employee remuneration consisting of salary, allowances, and performance bonuses[184]. - The company has established a backup talent cultivation mechanism to build a high-quality talent pool[185]. Risk Management - The company acknowledges risks related to pricing, market expansion, and safety production, which could impact profitability[96]. - The company is concerned about potential declines in installation revenue due to reduced new projects in its operating area[97]. - The company faces risks from fixed asset depreciation and the actual returns from fundraising projects not meeting expectations[97].