NOVEL(SZ:002014)2020-02-27 16:00Financial Performance - The company's operating revenue for 2019 was CNY 2,599,724,041.24, representing an increase of 11.47% compared to CNY 2,332,267,545.29 in 2018[16]. - The net profit attributable to shareholders of the listed company was CNY 269,116,549.45, up 19.44% from CNY 225,324,381.72 in the previous year[16]. - The net profit after deducting non-recurring gains and losses was CNY 238,302,049.39, an increase of 17.70% from CNY 202,459,001.80 in 2018[16]. - Basic earnings per share increased to CNY 0.54, reflecting a growth of 20.00% compared to CNY 0.45 in 2018[17]. - The company’s net profit for 2019 increased compared to previous years, indicating a positive financial performance[72]. Cash Flow - The cash flow generated from operating activities was CNY 428,432,150.13, which is a 32.30% increase from CNY 323,833,456.96 in 2018[16]. - Operating cash inflow totaled CNY 2,583,339,395.33, reflecting a year-on-year increase of 7.93%[46]. - Net cash flow from operating activities improved by 32.30% to CNY 428,432,150.13[46]. - Cash inflow from investment activities totaled CNY 2,210,701,522.62, significantly higher than CNY 550,522,234.84 in the previous year, marking an increase of approximately 300.5%[198]. - The ending balance of cash and cash equivalents was CNY 487,786,848.20, up from CNY 477,476,596.62, showing a slight increase of about 2.7%[199]. Assets and Liabilities - The total assets at the end of 2019 were CNY 2,545,851,954.52, a slight increase of 0.35% from CNY 2,536,881,163.02 at the end of 2018[17]. - Total liabilities decreased to CNY 650,676,782.90 in 2019 from CNY 663,766,443.80 in 2018, a reduction of about 2.0%[188]. - Owner's equity rose to CNY 1,895,175,171.62 in 2019, up from CNY 1,873,114,719.22 in 2018, indicating an increase of approximately 1.2%[188]. - Current assets totaled CNY 1,145,699,864.86 in 2019, down from CNY 1,265,355,807.51 in 2018, a decline of about 9.4%[189]. Research and Development - The company developed and trial-produced 386 new products during the reporting period, with 22 technical projects submitted and 33 patents applied for, of which 22 were granted[32]. - Research and development expenses increased to ¥101,190,953.28 in 2019, up 53.56% from the previous year[44]. - The company aims to strengthen its R&D capabilities, focusing on new materials and products, particularly in the food, daily chemical, pharmaceutical, and industrial packaging sectors[60]. Market and Business Strategy - The company has established long-term stable partnerships with leading enterprises in the industry, maintaining its position as a leader in the domestic market[26]. - The company’s international business saw substantial growth, aided by the efforts of overseas offices to expand market reach[32]. - The company is actively pursuing vertical integration strategies to enhance its supply chain and reduce production costs[28]. - The company is focusing on green, safe, intelligent, and standardized packaging as part of its future development strategy[56]. Dividend Policy - The company plans to distribute a cash dividend of CNY 4 per 10 shares, based on a total of 492,809,889 shares[4]. - The cash dividend represents 73.25% of the net profit attributable to shareholders of the parent company for the year 2019[70]. - The company has maintained a consistent cash dividend policy over the past three years, with cash dividends increasing from 151,085,017.35 CNY in 2017 to 197,123,955.60 CNY in 2019[70]. Corporate Governance - The company emphasizes the importance of information disclosure and investor relations management to ensure timely and accurate communication with stakeholders[61]. - The company has complied with the new financial reporting standards issued by the Ministry of Finance, which includes changes to the presentation of financial statements effective from January 1, 2019[78]. - The company has ensured that all related transactions with subsidiaries are conducted legally and transparently, adhering to the Shenzhen Stock Exchange regulations[74]. Employee and Management - The total number of employees in the company is 2,050, with 1,100 in the parent company and 950 in major subsidiaries[150]. - The company has established a comprehensive training program, including internal and external training, to enhance employee skills[152]. - The total remuneration for the chairman, Sun Yi, is 1.551 million CNY, while the total for the general manager, Bao Zuben, is also 1.551 million CNY[148]. Environmental Responsibility - The company emphasizes social responsibility, focusing on sustainable development and environmental protection, with ongoing investments in technology upgrades and energy conservation[103][107]. - The company has implemented effective pollution control measures, ensuring emissions meet relevant standards[107]. Internal Controls and Audit - There were no significant deficiencies in internal controls reported for both financial and non-financial reports[166]. - The internal control audit report issued a standard unqualified opinion, confirming effective financial reporting internal controls[167]. - The audit report confirmed that there were no significant misstatements in the financial statements, providing reasonable assurance of their accuracy[181].