LTH(SZ:000912)2021-04-23 16:00Financial Performance - The company's operating revenue for 2020 was ¥5,617,952,971.24, representing a 2.01% increase from ¥5,507,203,828.32 in 2019[36]. - The net profit attributable to shareholders for 2020 was ¥380,852,118.13, a significant increase of 34.45% compared to ¥283,267,954.92 in 2019[36]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥297,667,894.16, up 15.33% from ¥258,093,246.03 in the previous year[36]. - The net cash flow from operating activities reached ¥483,093,543.51, marking a substantial increase of 158.13% from ¥187,151,396.35 in 2019[36]. - Basic earnings per share for 2020 were ¥0.24, reflecting a 33.33% increase from ¥0.18 in 2019[36]. - Diluted earnings per share increased to CNY 0.24, up 33.33% from CNY 0.18 in the previous year[39]. - Weighted average return on equity rose to 7.28%, an increase of 1.50% compared to 5.78% last year[39]. - Total assets reached CNY 7,851,610,735.05, reflecting a 15.78% increase from CNY 6,781,771,770.90 at the end of the previous year[39]. - Net assets attributable to shareholders increased to CNY 5,418,326,614.84, a growth of 7.34% from CNY 5,047,806,637.02[39]. Revenue Breakdown - The revenue from fertilizer products was ¥2,373,410,063.97, accounting for 42.25% of total revenue, which decreased by 1.83% from ¥2,417,595,341.47 in 2019[80]. - The revenue from chemical products was ¥1,355,279,234.31, which represented 24.12% of total revenue, showing a significant decline of 22.95% from ¥1,759,046,322.03 in 2019[80]. - The trade business revenue increased by 43.97% to ¥1,746,844,080.23, making up 31.09% of total revenue, compared to ¥1,213,309,432.28 in 2019[80]. - Domestic sales accounted for 89.59% of total revenue at ¥5,033,052,399.35, which decreased by 8.00% from ¥5,470,441,608.67 in 2019[83]. - International sales surged by 1491.04% to ¥584,900,571.89, up from ¥36,762,219.65 in 2019, representing 10.41% of total revenue[83]. Investment and R&D - The company has invested in R&D for new high-end specialty chemicals and is collaborating with top universities and research institutions for technological advancements[78]. - Research and development expenses increased significantly to 27,149,801.99 yuan, a rise of 865.52% compared to the previous year[95]. - R&D investment amounted to ¥62,062,625.74, a decrease of 12.01% compared to the previous year[100]. - R&D investment as a percentage of operating revenue was 1.10%, down from 1.28%, a decline of 0.18%[100]. - The company is actively developing new products such as chelated potassium zinc boron and magnesium zinc boron, with initial results achieved[96]. Strategic Focus and Future Plans - The company is focusing on expanding its core business in fertilizer production and basic chemical manufacturing[34]. - Future development strategies and potential challenges for 2021 have been outlined in the report[6]. - The company aims to enhance its market position through refined management practices and product innovation, targeting improved operational efficiency and market expansion[55]. - The company plans to focus on new agricultural, environmental, and material industries during the "14th Five-Year Plan" period, aiming for diversification and maximizing benefits[117]. - The company aims to reduce single fertilizers and significantly develop new types of urea and compound fertilizers, expanding the polycarbonate industry chain[119]. Safety and Compliance - The company emphasizes safety and environmental protection, implementing a comprehensive safety production responsibility system and aiming for zero safety and environmental accidents[121]. - The company has implemented a dual prevention mechanism for safety management, recognized as a "National Pilot Enterprise" for safety risk management by the Ministry of Emergency Management[72]. - The company completed rectifications for safety violations by December 31, 2020, enhancing operational compliance[172]. - The company has established a monitoring system for safety and environmental protection, ensuring compliance with public oversight[190]. Shareholder and Dividend Policy - The company plans not to distribute cash dividends or issue bonus shares[7]. - The company will not distribute profits or increase capital reserves in 2020 due to existing unabsorbed losses, despite achieving a net profit of approximately CNY 380.85 million[146][148]. - The company did not distribute any cash dividends in 2020, 2019, or 2018, with total cash dividends amounting to 0.00 in each year[149]. - The company has committed to compensate shareholders if net profits fall below 310 million, 340 million, or 350 million yuan for the years 2018, 2019, and 2020 respectively[150]. Environmental Impact - The company operates as a key pollutant discharge unit, with a total annual discharge of 30.13 tons of chemical oxygen demand[200]. - The company has a nitrogen oxide discharge of 72.51 tons per year, well within the regulatory limits[200]. - The company has reported a total annual discharge of 137.12 tons of sulfur dioxide, also compliant with standards[200]. - The company has established two continuous discharge points for chemical oxygen demand and ammonia nitrogen, ensuring adherence to environmental regulations[200]. Community Engagement and Support - The company has made donations to support poverty alleviation, including CNY 5,000,000 worth of fertilizer and CNY 17,850 worth of rice and oil[191]. - The company has dispatched personnel to assist in poverty alleviation efforts in specific villages, contributing to infrastructure improvements and agricultural development[191]. - The company has committed to ongoing support for rural revitalization and poverty alleviation initiatives following the end of the poverty alleviation campaign[190]. - A total of 20 individuals from registered impoverished households have achieved employment through the company's initiatives[195]. - The company has assisted 5 registered impoverished individuals in escaping poverty through its development projects[195].