WFHT(SZ:000581)2021-04-19 16:00Financial Performance - The company's operating revenue for 2020 was ¥12,883,826,306.60, representing a 46.67% increase compared to ¥8,784,356,960.30 in 2019[24]. - The net profit attributable to shareholders for 2020 was ¥2,772,769,377.96, a 22.25% increase from ¥2,268,026,432.78 in 2019[24]. - The net profit after deducting non-recurring gains and losses was ¥2,089,986,086.10, up 7.32% from ¥1,947,408,959.68 in 2019[24]. - The company's cash flow from operating activities decreased by 25.45% to ¥781,811,234.01 in 2020, down from ¥1,048,670,053.23 in 2019[24]. - The total assets at the end of 2020 were ¥27,350,695,388.21, an increase of 14.16% from ¥23,958,348,185.78 at the end of 2019[24]. - The net assets attributable to shareholders at the end of 2020 were ¥18,282,017,990.66, a 7.60% increase from ¥16,990,405,136.62 at the end of 2019[24]. - The company achieved a basic earnings per share of ¥2.79 in 2020, which is a 24.00% increase from ¥2.25 in 2019[24]. - The total profit reached RMB 3.003 billion, with a year-on-year growth of 22.54%[55]. - Total assets increased to RMB 27.351 billion, reflecting a growth of 14.16% year-on-year[55]. - The equity attributable to shareholders of the parent company rose to RMB 18.282 billion, up by 7.60% compared to the previous year[55]. - The gross profit margin for automotive parts decreased to 18.55%, down 5.77% from the previous year[71]. Market and Industry Trends - The automotive market in China is experiencing a transformation period, with consumer fatigue being a major risk affecting market performance[7]. - The company emphasizes the importance of investment risk awareness due to the complex economic environment impacting the automotive sector[7]. - The automotive industry showed resilience, with total vehicle production and sales at 25.22 million and 25.31 million units, respectively, down 2% and 1.9% year-on-year[54]. - The company is focusing on new energy and intelligent connected strategies, enhancing its research capabilities in hydrogen fuel cells and intelligent network technologies[41]. - The company is actively expanding into new business areas, particularly in hydrogen fuel cells and intelligent connected vehicles[59]. Research and Development - The company has established a new energy and connected technology research institute to strengthen its R&D capabilities[47]. - The company increased its R&D efforts, with new products like the six-cylinder turbocharger and four-cylinder gasoline turbocharger entering mass production for key clients[57]. - The number of R&D personnel increased by 7.25% to 1,094, representing 20.30% of the workforce[89]. - The company’s R&D expenditure accounted for 4.13% of its operating revenue in 2020[88]. Production and Sales - The company reported a significant increase in commercial vehicle production and sales, with a year-on-year growth of 20.0% and 18.7% respectively in 2020[36]. - Fuel injection system sales included 2.1 million common rail pumps, a historical high, and 350,000 VE distribution pumps, marking a nearly 20% year-on-year increase[56]. - The after-treatment system saw gasoline purifier sales exceed 2 million sets and diesel purifier sales over 500,000 sets, both growing over 50% year-on-year[56]. - The company sold 259,000 units of fuel injection systems in 2020, a 16.14% increase from 223,000 units in 2019[72]. Strategic Initiatives - The company is committed to improving its supply chain and production efficiency through advanced manufacturing systems and digital technologies[49]. - The company is focusing on internal management optimization to enhance operational efficiency and reduce operational risks amid a challenging economic environment[125]. - The company aims to strengthen its core competitiveness and overall risk resistance by closely monitoring macroeconomic trends and customer demands[125]. - The company is committed to becoming a leader in automotive core components, focusing on management upgrades and strategic market expansion[125]. Dividend and Profit Distribution - The company proposed a profit distribution plan to distribute a cash dividend of 15 RMB (including tax) for every 10 shares, with a total of 1,008,894,293 shares as the base[7]. - For the 2020 fiscal year, the company plans to distribute RMB 15 per 10 shares, amounting to RMB 1,513,341,439.50, which is 54.58% of the net profit attributable to ordinary shareholders[134]. - The proposed cash dividend of RMB 151,334.14 million accounts for 54.58% of the net profit attributable to shareholders in the consolidated financial statements for 2020[142]. Acquisitions and Investments - The company acquired 100% equity of Borit, leading to a significant increase in goodwill due to the acquisition cost exceeding the fair value of identifiable net assets[42]. - The company expanded its consolidation scope by acquiring Borit NV and establishing a joint venture with Qiqiong Automotive Technology[81]. - The company has not engaged in any major asset or equity sales during the reporting period[108]. Financial Management - The company is enhancing its financial management by optimizing its shared service platform and improving budget management processes[124]. - The company’s financial liabilities remained at CNY 0.00, indicating no new financial obligations incurred[100]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[145]. Compliance and Governance - The company has engaged the auditing firm Gongzheng Tianye for 29 consecutive years, with an audit fee of RMB 1.66 million for the current period[151]. - There are no ongoing major lawsuits or arbitration matters that could impact the company's normal operations[154]. - The company has implemented new revenue recognition standards effective from January 1, 2020, as per the revised accounting standards[145].