ECEC(SZ:002140)2022-04-27 16:00Dividend and Shareholder Returns - The company plans to distribute a cash dividend of 1.50 RMB per 10 shares to all shareholders, based on a total of 545,191,440 shares [6]. Business Operations and Strategy - The company emphasizes that future plans and operational goals for 2022 may differ from actual results due to changes in internal and external environments [5]. - The company has not reported any changes in its main business operations since its listing [24]. - The company has not experienced any changes in its controlling shareholders since its establishment [24]. - The company aims to enhance its competitiveness by integrating technology, engineering contracting, and investment operations [39]. - The company is actively pursuing mergers and acquisitions to enhance its environmental operations and diversify its business portfolio [51]. - The company is committed to integrating technology and industry development, focusing on biodegradable materials and renewable energy projects [50]. - The company is focusing on green and sustainable development strategies, aligning with national goals for carbon neutrality and energy transition [194]. Financial Performance - The company's operating revenue for 2021 was ¥6,003,124,559.63, representing a year-over-year increase of 15.22% from ¥5,210,304,765.89 in 2020 [25]. - The net profit attributable to shareholders for 2021 was ¥248,765,130.88, an increase of 25.58% compared to ¥198,093,552.59 in 2020 [25]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥229,373,811.30, up 18.28% from ¥193,924,177.88 in 2020 [25]. - The net cash flow from operating activities reached ¥682,998,937.35, marking an 80.88% increase from ¥377,588,253.61 in 2020 [25]. - Basic earnings per share for 2021 were ¥0.4648, a rise of 25.59% from ¥0.3701 in 2020 [25]. - The total assets at the end of 2021 were ¥9,921,588,596.43, reflecting a 21.97% increase from ¥8,134,712,984.23 at the end of 2020 [25]. Market Presence and Expansion - The company operates in over 30 provinces in China and several countries in the Middle East, North Africa, Russia, and Southeast Asia, indicating a broad market presence [39]. - The company aims to expand its market presence by establishing a marketing network covering Southeast Asia, the Middle East, Africa, and Central Asia [50]. - The company has established a marketing network covering global markets, focusing on key countries and regions for overseas operations [106]. Industry Trends and Economic Outlook - The global economy is projected to grow by 5.9% in 2021, positively impacting demand for basic chemical raw materials and products in countries along the "Belt and Road" initiative [40]. - The chemical industry achieved a revenue of 8.7 trillion yuan in 2021, representing a year-on-year growth of 31.1% [43]. - The profit for the chemical industry reached 790 billion yuan, marking an 85.4% increase year-on-year, both figures being historical highs [43]. - The environmental protection industry is projected to reach a revenue scale of approximately 2.2 trillion yuan in 2021, with a compound annual growth rate of around 10% during the "14th Five-Year Plan" period [44]. - The company anticipates a stable economic environment with a projected GDP growth rate of around 5.5% for the upcoming year, which will positively impact its operations [191]. - The government plans to increase fiscal spending by over 2 trillion, which is expected to drive effective investment and benefit the company's projects [193]. Research and Development - The company has established a new research institute focused on environmental protection, enhancing its R&D capabilities in key technology areas [50]. - The company is currently undertaking 44 R&D projects, with 19 newly initiated and 11 completed, focusing on high-end chemicals and new materials [98]. - The company obtained 29 authorized patents during the year, including 15 invention patents and 14 utility model patents, bringing the total to 138 effective patents [97]. - The investment in PBAT catalyst technology is ongoing, aimed at reducing production costs and improving product performance [152]. Project Management and Engineering - The company has undertaken over 2,000 large and medium-sized engineering projects across various industries, receiving more than 300 provincial and ministerial-level awards for technological progress and excellent engineering consulting results [69]. - The company has established a comprehensive service capability, covering consulting design, project management, construction, and general contracting across various regions and countries [61]. - The company has completed significant projects in infrastructure, including the EPC for the second phase of the Yejie District Migrant Workers' Entrepreneurship Park and the headquarters of Anhui Pusheng Hospital [67]. - The company has established a quality control system certified by ISO9001, ISO14001, and ISO45001, ensuring effective management of quality, environment, and occupational health and safety [87]. Environmental and Sustainability Initiatives - The company is focusing on green development, engaging in projects related to carbon dioxide reforming and green hydrogen production [67]. - The company is actively developing green energy projects, including contracts in the photovoltaic and renewable energy sectors [107]. - Significant investments will be made in environmental governance, with a focus on air, water, and soil pollution control, as well as solid waste management during the "14th Five-Year Plan" period [199]. Financial Management and Investments - The company reported a significant focus on financial management, including regular analysis of key financial indicators and the implementation of a monthly funding plan for engineering projects [115]. - The company reported a significant increase in investment activity cash outflows, rising by 1,647.30% to ¥497,176,465.57, primarily due to investments in the PBAT project [160]. - The total investment during the reporting period was ¥512,226,212.52, a significant increase of 1,128.61% compared to ¥41,691,470.75 in the same period last year [169]. Challenges and Risks - The company is currently facing risks related to project settlements and repayments due to changes in project control and potential significant changes in project scale and conditions [1]. - The gross profit margin for ongoing large-scale EPC projects has decreased due to intensified competition and fluctuations in the prices of bulk materials [142].