AtHub(603881)2019-03-14 16:00Financial Performance - The company's operating revenue for 2018 was CNY 909,678,920.56, representing a 74.86% increase compared to CNY 520,228,788.23 in 2017[26]. - The net profit attributable to shareholders for 2018 was CNY 142,855,360.59, a 24.34% increase from CNY 114,895,293.06 in 2017[26]. - The net cash flow from operating activities reached CNY 335,491,535.93, marking a significant increase of 138.46% compared to CNY 140,692,701.23 in 2017[26]. - The company's total assets as of the end of 2018 were CNY 2,658,575,121.70, a 57.38% increase from CNY 1,689,313,171.26 at the end of 2017[26]. - The basic earnings per share for 2018 was CNY 0.64, up from CNY 0.53 in 2017, reflecting a 20.75% increase[30]. - The company reported a net profit of CNY 47,023,289.57 for the fourth quarter of 2018, contributing to the overall annual performance[29]. - The company achieved operating revenue of RMB 909.68 million in 2018, representing a year-on-year growth of 74.86%[49]. - The net profit attributable to the parent company was RMB 142.86 million, an increase of 24.34% compared to the previous year[49]. - The total assets reached RMB 2.66 billion, up 57.38% year-on-year, while equity attributable to the parent company increased by 11.96% to RMB 1.00 billion[49]. Dividend Policy - The company plans to distribute a cash dividend of 0.7 CNY per 10 shares, totaling 14,741,055.56 CNY, which accounts for 10.32% of the net profit attributable to shareholders for 2018[6]. - For 2018, the cash dividend was set at 0.70 RMB per 10 shares, amounting to approximately 14.7 million RMB, which accounted for 10.32% of the net profit attributable to ordinary shareholders[94]. - The company has not made any adjustments to its cash dividend policy during the reporting period, maintaining a consistent approach to shareholder returns[93]. - The company’s cash dividend policy is aligned with regulatory guidelines and aims to ensure sustainable and stable returns for shareholders[93]. - The company has not proposed any share buyback plans that would be counted as cash dividends during the reporting period[94]. - The company has not disclosed any reasons for not proposing a cash profit distribution plan despite having positive distributable profits during the reporting period[94]. - The company’s focus on maintaining a stable dividend policy reflects its commitment to shareholder interests and long-term growth[93]. Operational Highlights - The company completed the main construction of the Changshan Cloud Data Center Phase I project during the reporting period, contributing to revenue growth[31]. - The company provided customized server hosting services primarily to large internet companies and telecom operators, with a focus on wholesale data center services[35]. - The company expanded its service offerings to include data center value-added services such as planning consulting and operational management outsourcing[35]. - The company has maintained a 100% service level agreement (SLA) fulfillment rate for its data center clients, including major companies like Alibaba, Tencent, Baidu, and NetEase[40]. - The company’s operational expenditure (OPEX) is heavily influenced by electricity costs, which account for approximately 60% of total operating costs, emphasizing the importance of energy efficiency[40]. - The company has established a strong brand image and competitive advantage through long-term partnerships with leading internet companies, enhancing customer loyalty[40]. - The company’s construction of the Xiaoshan Big Data Operation Service Platform has led to a 21.78% decrease in ongoing construction projects, reflecting efficient project management[39]. Market Outlook - The Chinese IDC market is projected to exceed CNY 120 billion in 2018, with an average growth rate of over 40% in the past five years, indicating a robust industry outlook[38]. - The IDC market in China is projected to exceed CNY 120 billion in 2018, with a year-on-year growth of 48%[76]. - The IDC market is expected to exceed CNY 200 billion by 2020 due to the growth driven by 5G and IoT applications[76]. - The government aims for the big data industry to exceed 1 trillion yuan in revenue by 2020, with an annual growth rate of around 30%[81]. - The data center market in China is dominated by telecom operators, holding over 70% market share due to resource advantages[80]. - The third-party IDC service providers are rapidly increasing their market share, driven by the demand for customized services and operational efficiency[80]. Risk Management - The company reported no significant risks during the reporting period, and potential future risks are discussed in the operational analysis section[8]. - The company has not engaged in non-operational fund occupation by controlling shareholders or related parties[8]. - The company emphasizes the importance of investment risk awareness in its forward-looking statements[7]. - The company has a high customer concentration risk, primarily relying on major telecom operators like China Telecom and end-users such as Alibaba, Tencent, and Baidu, which could impact profitability if contracts are not renewed[89]. - The company faces intensified market competition in the neutral data center service sector, which may lead to a decrease in market share and overall profit margins[89]. Governance and Compliance - The company received a standard unqualified audit report from Lixin Certified Public Accountants[5]. - The company’s financial report is guaranteed to be true, accurate, and complete by its management[4]. - There are no significant litigation or arbitration matters reported for the year, indicating a stable legal environment for the company[105]. - The company has not faced any risks of suspension or termination of its listing, reflecting a solid financial standing[106]. - The company has implemented changes in accounting policies, merging "accounts receivable" and "notes receivable" into a single line item, with current amounts reported at CNY 291.21 million[101]. - The company has reclassified R&D expenses from "management expenses" to a separate line item, resulting in a reduction of management expenses by CNY 22.84 million for the current period[101]. - The company has no significant overdue guarantees or contingent liabilities that could impact its financial stability[116]. - The company maintains a stable financial position with no major debts or overdue payments reported during the period[110]. Employee and Management - The company employed a total of 417 staff, including 101 in the parent company and 316 in major subsidiaries[155]. - The total pre-tax remuneration for the reporting period amounted to 6.9694 million yuan[141]. - The remuneration policy is based on performance assessments, linking employee pay closely to individual and company performance[156]. - The total hours of outsourced labor amounted to 3,760.5 hours, with total payments for outsourced labor reaching RMB 155,627[161]. - The company will continue to focus on professional training and talent development in 2019, emphasizing operational and construction training[160]. - The company has experienced changes in senior management, with resignations due to personal reasons and job transfers[154]. Investment and Assets - The company’s fixed assets increased by 67.71% from CNY 799,582,425.20 at the beginning of the year to CNY 1,340,971,570.56 due to the completion of the Xiaoshan Big Data Operation Service Platform and Shenzhen Chuangyi Project[39]. - The company’s total assets increased by 67.71% to 1.34 billion yuan, driven by the completion of the Hangzhou Xiaoshan Data Center and Shenzhen Chuangyi projects[66]. - The company made new equity investments totaling 37.75 million yuan in 2018, including investments in several technology companies[69]. - The company’s short-term borrowings increased to 346.28 million yuan, accounting for 13.02% of total liabilities[66]. - The company’s retained earnings increased to $158.28 million, up from $140.92 million, indicating effective profit retention strategies[200].