GTC(SZ:000589)2022-03-07 16:00Financial Performance - The operating revenue for 2021 was CNY 7,339,279,211.48, representing a 7.79% increase from CNY 6,808,729,456.34 in 2020[27]. - The net profit attributable to shareholders was CNY 369,734,591.17, a decrease of 67.52% compared to CNY 1,138,469,209.25 in 2020[27]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 263,340,105.46, down 55.91% from CNY 597,259,830.32 in 2020[27]. - The net cash flow from operating activities was CNY 285,812,968.69, a significant decline of 82.78% from CNY 1,659,357,744.01 in 2020[27]. - Basic earnings per share decreased to CNY 0.40, down 72.79% from CNY 1.47 in 2020[27]. - The diluted earnings per share was CNY 0.39, a decrease of 72.73% compared to CNY 1.43 in 2020[27]. - The weighted average return on equity was 6.46%, down 20.58% from 27.04% in 2020[27]. - Total assets increased to ¥12,875,731,596.92, up 11.81% from ¥11,516,227,987.83[30]. - Net assets attributable to shareholders rose to ¥5,916,887,663.05, a 21.49% increase from ¥4,870,125,631.95[30]. - Quarterly revenue for Q4 reached ¥1,945,422,350.16, showing a steady increase from previous quarters[33]. - Net profit attributable to shareholders in Q4 was ¥122,854,013.94, with a total annual net profit of ¥369,430,591.17 across all quarters[33]. Market Position and Industry Trends - The company ranked 9th in the "2021 Annual Top 100 Enterprises in the Rubber Industry" by the China Rubber Industry Association[44]. - The company is positioned 28th in the global tire enterprise ranking by Tyrepress based on 2020 revenue and profit data[44]. - The domestic rubber tire production increased by 10.8% in 2021, reaching 89,910.8 million units[41]. - Tire exports from China rose by 16.2% in volume and 17.4% in value, totaling 7.3 million tons and ¥113.27 billion respectively[41]. - The tire industry in China has reached a relatively mature stage, characterized by rapid growth in industry scale and increasing concentration[51]. - The demand for tires is closely linked to the performance of downstream markets, with significant impacts from infrastructure investment and economic conditions[55]. Production and Sales - The company achieved a tire production volume of 7.1756 million units in 2021, representing a 9.06% increase year-over-year[81]. - Tire sales reached 6.9816 million units, marking a 5.05% increase compared to the previous year[81]. - Revenue from tire products was ¥7,231,497,557.51, representing 98.53% of total revenue, with a growth of 7.68%[84]. - Domestic revenue decreased by 2.94% to ¥5,334,211,288.30, while international revenue increased by 52.71% to ¥2,005,067,923.18, accounting for 27.32% of total revenue[84][87]. - The average selling price of tires increased from ¥1,011.59 in the first half to ¥1,058.88 in the second half of 2021, reflecting a 4.68% year-on-year change[87]. Cost Management and Efficiency - The cost of materials was ¥4,787,505,738.49, making up 78.41% of total operating costs, which increased by 25.57% from the previous year[92]. - Energy procurement prices accounted for over 30% of the total production costs[62]. - The company has implemented a strict distributor development system, ensuring that most distributors rank among the top in their respective regions[50]. - The company has established a GTPS (Lean Management) system to enhance production management, quality control, and cost management[49]. - The company has a design capacity of 7.3022 million tires per year, with a capacity utilization rate of 98.27%[62]. Research and Development - R&D expenses increased by 1.79% to ¥205,912,473.70 in 2021 from ¥202,292,814.41 in 2020, accounting for 2.81% of operating revenue[101][107]. - The number of R&D personnel increased by 8.11% to 680 in 2021 from 629 in 2020[107]. - The company completed several key R&D projects aimed at enhancing market competitiveness, including new product development for high-performance tires[101]. - The company is actively developing new technologies and products, including high-performance agricultural tires and specialized engineering tires[101][104]. Strategic Initiatives and Future Plans - The company plans to achieve a tire production volume of 8.5 million units in 2022, representing an increase of 18.46% compared to the previous year[151]. - The company aims to complete tire sales of 8.5 million units in 2022, which is a growth of 21.75% year-on-year[151]. - The company is actively pursuing market expansion strategies, including potential mergers and acquisitions[138]. - The company plans to expand its international market presence through the establishment of a production base in Vietnam[155]. - The company is committed to a "cost reduction and efficiency enhancement" three-year action plan, aiming to improve cost competitiveness through lean production and automation technologies[161]. Corporate Governance and Compliance - The company adheres to legal requirements for corporate governance, ensuring that shareholder meetings are conducted legally and that all shareholders can express their opinions[172]. - The company has implemented a strict information disclosure management system to ensure timely and accurate communication of company information to all shareholders[178]. - The company maintains strict compliance with the disclosure regulations, enhancing transparency and protecting shareholder rights[180]. - There is complete independence in operations, assets, and finances from the controlling shareholder, Guizhou Industrial Investment Group[181].