HBYH(SZ:000422)2021-06-09 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥13.80 billion, a decrease of 5.83% compared to ¥14.66 billion in 2019[23]. - The net profit attributable to shareholders for 2020 was approximately ¥115.79 million, down 29.56% from ¥164.39 million in 2019[23]. - The net cash flow from operating activities was approximately ¥1.26 billion, a decline of 44.06% compared to ¥2.25 billion in 2019[23]. - The basic earnings per share for 2020 increased by 40.22% to ¥0.129 from ¥0.092 in 2019[23]. - The total assets at the end of 2020 were approximately ¥22.02 billion, a decrease of 4.80% from ¥23.13 billion at the end of 2019[23]. - The net assets attributable to shareholders at the end of 2020 were approximately ¥326.21 million, an increase of 95.34% from ¥166.99 million at the end of 2019[23]. - The company reported a total of ¥443 million in non-recurring gains for 2020, down from ¥831 million in 2019[35]. - The company’s total revenue for Q4 2020 was approximately ¥4.03 billion, showing a significant increase compared to previous quarters[29]. - The net profit attributable to shareholders for Q3 2020 was approximately ¥268 million, marking a recovery from losses in the first two quarters[29]. Production Capacity and Operations - The company has a urea production capacity of 1.56 million tons, with significant contributions from its subsidiaries in Inner Mongolia and Xinjiang[41]. - The company has a phosphate diammonium production capacity of 1.26 million tons, with advancements in mining technology allowing for cost-effective production[44]. - The company has a total PVC production capacity of 840,000 tons, with subsidiaries contributing 300,000 tons and joint ventures adding 240,000 tons[45]. - The company has a urea production capacity of 1.56 million tons with an 80% utilization rate[63]. - The company has a diammonium phosphate production capacity of 1.26 million tons with a 90% utilization rate[63]. - The company has a polyvinyl chloride production capacity of 840,000 tons with a 90% utilization rate[63]. Market and Sales - The revenue from fertilizer products was approximately ¥6.62 billion, accounting for 47.92% of total revenue, with a year-on-year decrease of 1.52%[85]. - The revenue from chemical products was approximately ¥6.03 billion, representing 43.65% of total revenue, with a year-on-year decrease of 9.53%[85]. - Domestic sales accounted for 81.43% of total revenue at approximately ¥11.24 billion, while international sales accounted for 18.57% at approximately ¥2.56 billion, with a year-on-year increase of 14.51%[88]. - The production of urea increased by 26.94% to approximately 2.61 million tons, while the sales volume was approximately 1.33 million tons[92]. - The company’s urea products are primarily sold in regions such as Northeast, North China, and Southwest, with no import/export trade reported during the reporting period[79]. - The company produces diammonium phosphate, focusing on maintaining product quality and stable customer relationships, with sales concentrated in Northeast, Northwest, Shandong, Central, South China, and Xinjiang regions[80]. Environmental and Safety Compliance - The company is committed to green development and circular economy principles in its production processes[63]. - The company reported a total sulfur dioxide emission of 99.8 tons per annum and nitrogen oxides of 258.6 tons per annum[70]. - The company achieved a chemical oxygen demand (COD) of 501 tons per annum and ammonia nitrogen of 132 tons per annum[70]. - The company is focusing on reducing its environmental impact by adhering to strict emission standards[70]. - The company has obtained various environmental and safety production licenses for its operations[66]. Strategic Acquisitions and Investments - The company acquired 51% of Jingxian Shengke Environmental Technology Co., Ltd. and 100% of Guizhou Wanshan Galaxy Chemical Co., Ltd., enhancing its industry chain and competitiveness[57]. - The company has established a comprehensive strategy for mergers and acquisitions to strengthen its market position[72]. - The company is currently in the process of expanding its market presence through strategic acquisitions and investments in new technologies[121][124]. - The company has made significant investments in environmental technology, focusing on long-term projects[121][125]. Research and Development - R&D expenses amounted to ¥326,179,771.96, a decrease of 32.63% compared to the previous year[108]. - The number of R&D personnel decreased by 4.31% to 422, while R&D investment as a percentage of operating income fell to 2.36%[108]. - The company implemented over 20 R&D projects, including new technologies for ammonia production and key technologies for reducing pollutant emissions[107]. Financial Management and Accounting - The company has not distributed dividends in the past three years due to negative distributable profits, reflecting financial challenges[149]. - The company plans not to distribute cash dividends, issue bonus shares, or increase share capital from capital reserves for the year[151]. - The company has adjusted its accounting policies to comply with the new revenue recognition standards effective from January 1, 2020, impacting the recognition and measurement of revenue[158]. - The adjustment of the accounting policy resulted in a decrease of approximately ¥752.59 million in advance receipts and an increase of approximately ¥690.43 million in contract liabilities on the balance sheet as of January 1, 2020[161]. Legal and Compliance Issues - The company is currently involved in two significant lawsuits with a total amount of 2,902.35 thousand CNY and 3,487.19 thousand CNY, respectively, with ongoing legal proceedings[171]. - The company has not faced any penalties or rectification issues during the reporting period[172]. - The company has not experienced any bankruptcy reorganization matters during the reporting period[168].