COPTON(SH:603798)2022-04-29 16:00Financial Performance - The company's operating revenue for 2021 was CNY 1,108,192,437.87, representing a 20.47% increase compared to CNY 919,928,685.17 in 2020[23]. - The net profit attributable to shareholders for 2021 was CNY 105,650,270.09, a slight increase of 0.56% from CNY 105,064,942.05 in 2020[23]. - The net profit after deducting non-recurring gains and losses was CNY 98,749,080.71, which is a 2.76% increase from CNY 96,098,001.04 in the previous year[23]. - The net cash flow from operating activities decreased by 19.33% to CNY 154,161,461.80 from CNY 191,096,919.04 in 2020[23]. - The total net assets attributable to shareholders at the end of 2021 were CNY 1,089,541,325.41, an increase of 8.14% from CNY 1,007,554,441.84 at the end of 2020[23]. - The basic earnings per share for 2021 was CNY 0.528, a decrease of 0.75% compared to CNY 0.532 in 2020[25]. - The weighted average return on net assets for 2021 was 10.08%, down from 11.14% in 2020[25]. - The company reported a total of CNY 6.90 million in non-recurring gains and losses for 2021, compared to CNY 8.97 million in 2020, reflecting a decrease in non-operational income[29]. - The company achieved 100% compliance in product sampling during national market supervision inspections[42]. - The company reported a total revenue of ¥814 million from distributors, with a gross margin of 33.14%, which decreased by 5.84 percentage points compared to the previous year[66]. Market and Product Development - The company plans to enhance brand image and market presence through partnerships with top media and participation in professional automotive events, aiming to strengthen its high-end brand positioning[34]. - The hydrogen fuel cell vehicle market is projected to reach CNY 250 billion by 2035, indicating significant growth potential in the hydrogen energy sector, which the company is focusing on[33]. - The company aims to shift competition in the lubricating oil industry from price to product and brand differentiation, responding to increasing consumer demand for mid-to-high-end products[32]. - The company has initiated the "Kangpudun China Tour" project to promote its long oil change interval diesel engine oil, successfully conducting over 31 promotional events across 33 cities[34]. - The company has successfully developed several market-leading products, including Remix top-tier passenger car oil and ETF blue gearbox oil for new energy vehicles, obtaining multiple product certifications[41]. - The company has established a stable partnership with major additive suppliers and has been recognized with multiple national invention patents and awards, enhancing its technological competitiveness[53]. - The company has expanded its sales network by establishing marketing centers in Chengdu and Xi'an to enhance competitiveness in the Southwest and Northwest regions[52]. - The company has become a recognized supplier in the lubricating oil market, enhancing its competitiveness through brand building and R&D efforts, particularly in the automotive urea market[90]. Strategic Initiatives and Investments - The company has initiated a new round of strategic investments in the hydrogen energy sector, becoming the largest shareholder in Qingdao Chuangqi New Energy Catalytic Technology Co., Ltd.[45]. - The company has invested in key materials for the hydrogen energy industry, achieving international leading technology levels and replacing imports[45]. - The company plans to focus on expanding its market presence and enhancing product development strategies in the upcoming fiscal year[66]. - The company plans to continue advancing investments in the hydrogen energy field, having established a hydrogen energy research institute in collaboration with Shandong University of Technology, aimed at reducing industry costs[113]. - The company has established a new subsidiary, Hydrogen Start Technology, with a 61% ownership, specializing in membrane electrodes and fuel cell production[106]. Governance and Compliance - The company has established a governance structure in compliance with the Company Law and Securities Law, ensuring equal rights for all shareholders, especially minority shareholders[120]. - The board of directors has three independent directors, meeting the requirements set by the China Securities Regulatory Commission[121]. - The company has implemented a performance evaluation and incentive mechanism for senior management, with compensation decisions made based on established performance standards[123]. - The company has established effective communication channels with stakeholders, including banks, employees, and suppliers, to promote sustainable development[123]. - The company has not reported any significant differences in governance compared to regulatory requirements[124]. - The company has established specialized committees within the board, including strategy, nomination, audit, and compensation committees, to enhance governance effectiveness[121]. Social Responsibility and Environmental Compliance - The company actively participated in charity fundraising activities to support socially disadvantaged groups during the severe flooding in Henan, which occurred on July 16, 2021[161]. - The company organized and delivered disaster relief supplies to affected areas, demonstrating its commitment to social responsibility[161]. - The company adheres to environmental regulations, with no incidents of exceeding pollutant discharge standards reported[160]. - The company has prepared an emergency plan for environmental incidents and conducts regular training and drills[160]. Future Outlook - The company plans to limit share reductions to no more than 5% of total shares within two years after the lock-up period ends[163]. - The company is actively pursuing mergers and acquisitions to strengthen its market position and diversify its product lines[130]. - Future guidance indicates a focus on increasing sales in the industrial oil sector, targeting a growth rate of 15%[130]. - The management anticipates a favorable market environment, projecting a 12% increase in overall market demand for their products[130].