AKL(SH:603722)2020-04-24 16:00Financial Performance - The company's operating revenue for 2019 was CNY 504,989,521.39, representing a year-on-year increase of 19.54% compared to CNY 422,445,453.38 in 2018[21]. - The net profit attributable to shareholders for 2019 was CNY 39,207,013.28, up 17.30% from CNY 33,424,540.29 in the previous year[21]. - The basic earnings per share for 2019 increased by 15.38% to CNY 0.45, compared to CNY 0.39 in 2018[22]. - The net cash flow from operating activities for 2019 was CNY 42,491,441.71, reflecting a growth of 6.51% from CNY 39,895,200.52 in 2018[21]. - The total assets at the end of 2019 were CNY 686,723,670.89, a 1.67% increase from CNY 675,438,935.33 at the end of 2018[21]. - The net profit after deducting non-recurring gains for 2019 was CNY 34,796,206.40, up 13.71% from CNY 30,599,631.34 in 2018[21]. - The company reported a total profit of 7,675,539.29 RMB for the year, with a significant contribution from trading financial assets amounting to 2,935,495.24 RMB[27]. - The company’s trading financial assets increased from 70,046,301.37 RMB at the beginning of the year to 70,508,863.01 RMB at the end of the year, reflecting a change of 462,561.64 RMB[29]. - The company reported a significant increase in production and sales volume for fatty amines, with production up by 37.95% and sales up by 52.96%[58]. - The company achieved a total revenue of $500 million for the fiscal year, representing a 20% growth compared to the previous year[187]. Dividend Policy - The company plans to distribute a cash dividend of 3 RMB per 10 shares, totaling 26,307,000 RMB (including tax) from the audited net profit for 2019[5]. - The cash dividend distribution for 2018 was 2 RMB per 10 shares, amounting to 17,340,000 RMB (including tax), with a net profit distribution rate of 51.88%[136]. - The cash dividend distribution for 2017 was 4 RMB per 10 shares, totaling 34,680,000 RMB (including tax), with a net profit distribution rate of 69.34%[136]. - The company emphasizes that any adjustments to the profit distribution policy must prioritize shareholder rights and undergo a rigorous decision-making process[134]. - The company’s profit distribution policy requires approval from both the board of directors and the shareholders' meeting before implementation[134]. Audit and Compliance - The company has received a standard unqualified audit report from the accounting firm[4]. - The board of directors has ensured the accuracy and completeness of the annual report, taking legal responsibility for any misrepresentation[8]. - The company has not reported any violations of decision-making procedures regarding external guarantees[7]. - The company has not reported any non-standard audit opinions from its accounting firm[142]. - There are no significant changes in accounting policies or estimates that would impact the financial statements[143]. Market and Industry Position - The company specializes in producing various chemical new materials, including polyether amines and optical-grade polymer materials, establishing a strong competitive position in the domestic market[33]. - The company has achieved EU REACH certification for its polyether amine and (methacrylic) isobornyl acrylate products, enhancing its market credibility[33]. - The market demand for polyether amines has been consistently growing, with applications expanding in renewable energy, high-speed rail, and marine engineering, which are key areas encouraged by national industrial policies[38]. - The company is a leading domestic producer of polyether amines, with advanced technology in product development and production processes[82]. - The global polyether amine market is projected to reach $1.074 billion by 2022, with a compound annual growth rate (CAGR) of 9.3% from 2017 to 2022[116]. Research and Development - The company invests in R&D to enhance product quality, energy efficiency, and production efficiency, focusing on high-value new products with significant technological barriers[38]. - The company has applied for 11 invention patents in 2019, including 1 in the United States, and has a total of 14 authorized invention patents as of December 31, 2019[42]. - The company is committed to advancing research and development in nanomaterials and bio-based renewable materials to promote sustainable development in the coatings industry[80]. - The company plans to enhance the research of high transparency materials and their derivatives, focusing on applications in automotive coatings[120]. Environmental and Social Responsibility - The company strictly complies with environmental protection regulations and has obtained the national pollutant discharge permit during the reporting period[168]. - The company has established a comprehensive environmental management system to ensure compliance with various environmental laws and regulations[168]. - The company actively participates in charitable activities, donating funds to local charities and supporting education initiatives[167]. - The company has implemented employee welfare programs, including health checks and educational subsidies[166]. - The company is committed to social responsibility, enhancing its reputation and credibility through compliance and community engagement[166]. Strategic Growth and Expansion - The company plans to expand its production capacity with the completion of a project that produces 10,000 tons of fatty amines annually, which is expected to further boost sales[22]. - The company is actively expanding into international markets while accelerating new product development to broaden application fields and promote stable sales growth[36]. - The company is focusing on developing high-transparency materials, which are key raw materials for environmentally friendly coatings, indicating a strategic shift towards sustainable products[78]. - The company is exploring partnerships with local firms to strengthen its distribution network, aiming for a 20% reduction in logistics costs[187]. Governance and Management - The company has established a robust internal control system to enhance governance and decision-making processes[199]. - The board of directors consists of 8 members, including 3 independent directors, ensuring compliance with relevant laws and regulations[199]. - The supervisory board comprises 3 members, including 1 employee representative, effectively overseeing the legality and compliance of the board's and management's actions[200]. - The company has engaged in a board re-election process, with several directors and supervisors being elected during the reporting period[191].