SHCD(SH:603887)2021-03-30 16:00Financial Performance - The company's operating revenue for 2020 reached ¥3,933,403,130.76, representing a 34.52% increase compared to ¥2,924,111,846.90 in 2019[24]. - The net profit attributable to shareholders for 2020 was ¥392,666,060.95, an 18.49% increase from ¥331,393,843.80 in 2019[24]. - The net profit after deducting non-recurring gains and losses was ¥367,570,269.47, reflecting a 14.00% increase from ¥322,432,269.18 in 2019[24]. - The net cash flow from operating activities improved significantly to ¥318,743,856.51, a 121.05% increase from ¥144,196,351.85 in 2019[24]. - The total assets of the company increased to ¥8,585,552,594.89, a 35.29% rise from ¥6,346,206,092.76 in 2019[24]. - The net assets attributable to shareholders reached ¥4,056,118,065.74, marking a 22.41% increase from ¥3,313,546,861.31 in 2019[24]. - Basic earnings per share decreased by 7.08% to CNY 1.05 in 2020 compared to CNY 1.13 in 2019[25]. - The weighted average return on equity dropped by 7.45 percentage points to 10.87% in 2020 from 18.32% in 2019[25]. Dividend and Capital Structure - The company plans to distribute a cash dividend of 1.00 yuan per 10 shares to all shareholders, based on a total share capital of 375,580,271 shares as of March 31, 2021[5]. - The company will also increase its capital stock by 2 shares for every 10 shares held, using capital reserves[5]. - The company distributed cash dividends of ¥0.5 per 10 shares, totaling ¥13,413,581.10, and proposed a capital reserve transfer of 4 shares for every 10 shares held, increasing the total share capital to 375,580,271 shares[56]. - The total number of ordinary shares increased from 268,271,622 to 375,580,271 shares due to a capital reserve conversion of 107,308,649 shares[172]. - The proportion of restricted shares decreased from 47.29% to 23.68% after the conversion[170]. Audit and Compliance - The audit report issued by Tianzhi International Accounting Firm confirms the financial report's authenticity and completeness[4]. - The board of directors and senior management have ensured the accuracy and completeness of the annual report[10]. - The company has not violated any decision-making procedures regarding external guarantees[8]. - There are no significant risks or non-operational fund occupation by controlling shareholders[7][9]. - The company has maintained compliance with all relevant laws and regulations regarding related party transactions[130]. Research and Development - The company applied for a total of 131 patents during the reporting period, including 57 invention patents, 63 utility model patents, and 11 design patents[50]. - Research and development expenses amounted to RMB 157,913,698.36, accounting for 4.01% of revenue, with a growth of 47.03% compared to the previous year[67]. - The company is focusing on three main areas of R&D: energy-saving technologies for data centers and 5G macro stations, intelligent operation and maintenance technologies, and smart control technologies for base station power supplies[61]. - The main R&D focus includes energy-saving technologies for data centers and 5G macro station, with significant advancements in power management and cooling systems[85]. Market and Industry Trends - The IDC service industry is experiencing rapid growth due to advancements in IoT, AI, and cloud computing, leading to increased data center investments[38]. - The company is focused on the data center infrastructure production and sales, aiming to support the entire data center industry chain[34]. - The data center industry is experiencing rapid growth due to favorable policies and government support, with a focus on integrating and upgrading local data centers in developed regions like Beijing and Shanghai[110]. - The introduction of public REITs in the infrastructure sector is expected to enhance the development of quality IDC projects by reducing financing difficulties and leveraging existing resources[111]. Strategic Initiatives - The company has established a new subsidiary, Chengdi Cloud Computing, to enhance its data center business planning and operations[34]. - The company is expanding its foundation construction business nationwide, establishing regional companies and enhancing its service capabilities[59]. - The company signed a strategic cooperation framework agreement with China Telecom Shanghai, focusing on deep collaboration in resources, assets, and capital[59]. - The company plans to enhance its IDC-related business in first-tier cities, focusing on increasing cabinet holdings and expanding operational services over the next 3-5 years[116]. Financial Management - The company reported a significant increase in financial expenses by 79.28% due to increased short-term borrowings and the issuance of convertible bonds[68]. - The total financial expenses amounted to ¥88,211,713.37, compared to ¥49,203,832.25 in the previous period, primarily due to increased interest expenses[81]. - The company achieved an annualized return of 7.125% on a wealth management product amounting to 50 million RMB, fully recovered at maturity[158]. - The company has no major changes in accounting policies or estimates that would significantly impact its financial statements[150]. Shareholder Relations - The company is enhancing investor relations management to ensure timely and accurate information disclosure to all shareholders[120]. - The company acknowledges risks related to market competition in the IDC sector and the potential impact of macroeconomic policies on its business sustainability[121]. - The company has committed to avoiding direct or indirect competition with its own subsidiaries and will notify the company of any business opportunities that may conflict with its main business[130]. Corporate Governance - The company has established a comprehensive corporate governance structure to ensure fair and accurate information disclosure, with no instances of selective disclosure reported[159]. - The company has implemented an ISO14001 environmental management system to promote sustainable practices and reduce energy consumption in data centers[160]. - The company has committed to providing a safe and comfortable working environment for employees, including annual health check-ups and training programs[160]. Human Resources - The company aims to strengthen human resource reserves to support future business expansion, focusing on internal training and external expert engagement[119]. - The total pre-tax compensation for the chairman was reported at 77.36 million yuan[192]. - The total pre-tax compensation for the vice president was reported at 90 million yuan[192]. - The total pre-tax compensation for the finance director was reported at 49.42 million yuan[192].