FCDW(SH:605189)2022-02-28 16:00Dividend Distribution - The company plans to distribute a cash dividend of 2.00 RMB per 10 shares, totaling 24,960,000 RMB (including tax) based on a total share capital of 124,800,000 shares as of December 31, 2021, resulting in a cumulative cash dividend ratio of 37.54% of the net profit attributable to shareholders for the year 2021[6]. - The company reported a total of 62,400,000 RMB in cash dividends distributed in the mid-year of 2021, in addition to the proposed year-end dividend[6]. - The company has not implemented any capital reserve transfers to increase share capital or other forms of distribution in the current profit distribution plan[6]. - The company has established a continuous and stable dividend return mechanism for investors, emphasizing shareholder returns[118]. Financial Performance - The company's operating revenue for 2021 was approximately ¥2.18 billion, representing a 43.57% increase compared to ¥1.52 billion in 2020[23]. - Net profit attributable to shareholders reached approximately ¥232.73 million, a significant increase of 105.39% from ¥113.31 million in 2020[23]. - Basic earnings per share for 2021 was ¥2.08, up 71.90% from ¥1.21 in 2020[25]. - The total assets of the company at the end of 2021 were approximately ¥2.11 billion, a 64.96% increase from ¥1.28 billion at the end of 2020[24]. - The company's total revenue for the year reached CNY 2,166,387,634.06, with a gross margin of 18.27%, an increase of 3.27 percentage points compared to the previous year[58]. - Operating costs increased to approximately ¥1.77 billion, a rise of 37.99% from ¥1.28 billion, primarily due to increased sales volume[54][55]. - The gross profit margin for the manufacturing sector was reported at 19.17%, an increase of 3.27 percentage points compared to the previous year[57]. Cash Flow and Assets - The cash flow from operating activities showed a net outflow of approximately ¥65.09 million, a decrease of 78.90% compared to a net inflow of ¥308.45 million in 2020[23]. - Cash and cash equivalents increased by 142.10% to ¥642,268,606.80, accounting for 30.40% of total assets, primarily due to the receipt of funds from the public offering[69]. - Accounts receivable rose by 52.36% to ¥26,446,129.50, representing 1.25% of total assets, attributed to increased sales volume[69]. - Inventory increased by 42.74% to ¥418,068,877.04, making up 19.79% of total assets, driven by rising material prices and increased production[69]. Risk Management - The company has outlined potential risks in the management discussion and analysis section, advising investors to be cautious[9]. - The company faces risks from market competition, macroeconomic fluctuations, and potential changes in industry policies that could impact operational performance[81][82]. - Raw material costs, including cotton yarn, dyes, and chemical additives, significantly affect the company's main business costs, making it vulnerable to price volatility[82]. - Environmental protection regulations are becoming stricter, increasing the company's costs related to waste management and clean production technologies[82]. Corporate Governance - The company has established a transparent governance structure, holding 5 annual shareholder meetings and 8 board meetings during the reporting period[85][87]. - The company has implemented a fair and transparent performance evaluation and incentive mechanism for senior management[90]. - The company maintains independent operations from its controlling shareholder, ensuring no interference in decision-making processes[86]. - The company has committed to respecting the rights of all stakeholders, including shareholders, creditors, customers, suppliers, and employees[91]. - The company has established a clear governance structure with a remuneration and assessment committee overseeing compensation matters[102]. Environmental Responsibility - The company emphasizes environmental protection and resource conservation, establishing a dedicated environmental safety department and implementing advanced pollution control measures[44]. - The company has established a comprehensive environmental monitoring system, including real-time monitoring of wastewater and boiler emissions, ensuring compliance with environmental regulations[133]. - The company has implemented measures to reduce carbon emissions by recycling cooling and condensate water, significantly lowering water consumption and energy use below industry standards[137]. - The company has been recognized as an environmentally trustworthy enterprise by the Anhui Provincial Ecological Environment Department for the years 2016, 2017, and 2019[136]. Research and Development - Increased investment in technology research and development, focusing on new products and processes to enhance product value, particularly in the fields of colored woven fabrics, towels, and home textiles[35]. - The company holds 81 patents, including 29 invention patents, showcasing its strong focus on technological innovation[48]. - Research and development expenses rose to approximately ¥70 million, reflecting a 36.12% increase from ¥51 million, indicating a commitment to innovation[54][55]. Market Strategy - The company plans to continue expanding its market presence and investing in new product development to sustain growth in the coming years[30]. - The company operates primarily under a warehousing production model, allowing for standardized and large-scale production, which reduces production costs and shortens delivery times[40]. - The company has developed the "Fuchun Standard Color Card," which includes over 600 colors, facilitating customer selection and ensuring stable product quality[42]. Shareholder Information - The top shareholder, He Peifu, holds 56.32 million shares, representing 45.13% of the total shares[184]. - The company has a total of 93.6 million restricted shares and 31.2 million unrestricted shares in circulation[178]. - The number of ordinary shareholders reached 12,277 by the end of the reporting period[181].