YANTAI TAYHO(SZ:002254)2022-04-10 16:00Financial Performance - The company's operating revenue for 2021 was ¥4,404,012,462.44, representing an increase of 80.41% compared to ¥2,441,165,340.18 in 2020[30]. - The net profit attributable to shareholders in 2021 was ¥965,658,697.32, a significant increase of 270.45% from ¥260,675,114.95 in 2020[30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥851,334,899.15, up 332.38% from ¥196,897,170.77 in 2020[30]. - The basic earnings per share for 2021 was ¥1.41, compared to ¥0.41 in 2020, marking a growth of 243.90%[31]. - The total assets at the end of 2021 were ¥8,132,000,968.49, an increase of 30.45% from ¥6,233,571,318.83 at the end of 2020[31]. - The net assets attributable to shareholders at the end of 2021 were ¥3,961,747,870.38, reflecting a growth of 14.37% from ¥3,464,028,658.59 at the end of 2020[31]. - The company reported a net cash flow from operating activities of ¥844,957,532.85, which is a 53.31% increase from ¥551,134,359.57 in 2020[30]. - The company received government subsidies amounting to ¥56,473,687.93 in 2021, compared to ¥59,166,062.51 in 2020[35]. - The diluted earnings per share for 2021 was also ¥1.41, consistent with the basic earnings per share[31]. - The weighted average return on equity for 2021 was 26.29%, an increase of 16.98 percentage points from 9.31% in 2020[31]. Market and Industry Insights - The main risks identified include rising production costs, product price fluctuations, and intensified market competition[3]. - The company acknowledges the risks associated with market competition and has outlined measures to address these challenges in its management discussion[6]. - In 2021, the domestic spandex production capacity reached approximately 970,000 tons, with a year-on-year growth of about 11%[42]. - The demand for spandex in China was approximately 745,000 tons in 2021, also reflecting a year-on-year increase of about 11%[42]. - Spandex prices increased by 50%-70% in 2021 due to strong demand, with industry load averages reaching 94%, the highest since 2015[42]. - The average price of PTMG in 2021 was around 40,000 yuan per ton, with a year-on-year increase of 151%[48]. - The average settlement price of pure MDI in 2021 was approximately 20,000 yuan per ton, up about 25% year-on-year[51]. - The global aramid fiber production capacity was around 120,000-130,000 tons in 2021, with a year-on-year growth of about 10%[53]. - The total demand for aramid fiber globally was approximately 100,000-110,000 tons in 2021, reflecting a year-on-year increase of about 20%[53]. - The company achieved record production and sales levels for its meta-aramid fiber products in 2021, driven by strong domestic demand[53]. Future Plans and Strategies - Future plans and forecasts are presented with a cautionary note regarding the risks associated with them, highlighting the need for investor awareness[6]. - The company plans to accelerate new project construction and optimize production processes to enhance product quality and reduce costs[56]. - The market for flame-retardant materials is expected to expand due to new national standards for personal protective equipment, providing new opportunities for the aramid industry[56]. - The company aims to achieve a sales target of 74,600 tons of various fibers in 2022, with key products like NuStar®, TaiMeida®, TaiPulon®, and MinStar® expected to reach historical highs[127]. - The company plans to complete several key projects in 2022, including high-performance para-aramid and differentiated spandex projects, with a total production capacity of 12,000 tons for protective para-aramid and 40,000 tons for fiber green processing[128]. - The company is implementing a "three-fold doubling plan" to enhance production capacity, revenue, and profit, targeting to become the global leader in para-aramid production by 2030[125]. - The company is focusing on expanding its high-performance fiber business, particularly in spandex and para-aramid, to strengthen its market position and improve production efficiency[125]. - The company is establishing a new polymer materials research institute to foster innovation and accelerate the development of new products and applications[127]. Research and Development - The company holds 68 patents in spandex technology and has a well-established R&D infrastructure[74]. - Research and development expenses increased by 65.78% to ¥193,150,617.06 compared to the previous year[101]. - The number of R&D personnel increased by 18.50% to 237, with a notable rise in master's degree holders by 64.29%[101]. - The company completed several key R&D projects, including the development of new solvent systems and low-melting spandex technology[99]. - The company has undertaken 21 national-level scientific research projects and has been awarded the National Science and Technology Progress Award three times[81]. - The company has established partnerships with five universities and two Fortune 500 companies to develop advanced polymer materials[81]. Corporate Governance and Management - The company emphasizes the importance of accurate financial reporting and has ensured that all board members attended the meeting to review the annual report[5]. - The company has a strong management team with members holding advanced degrees and extensive industry experience, such as Ma Qianli, who has served as Vice General Manager since 2021[165]. - The company has expanded its board of directors to include professionals with diverse backgrounds, enhancing its governance structure[167]. - The company has maintained a focus on compliance and audit management, with Gu Liping serving as the head of compliance management since 2020[172]. - The management team includes individuals with significant experience in financial oversight, such as Wang Bei, who has been the Chief Auditor since 2019[172]. - The company has a commitment to corporate governance, with independent directors like Wang Jifa and Jin Fuhai providing oversight since 2020[170]. - The company has a robust organizational structure, with various departments led by experienced professionals to ensure operational efficiency[168]. Shareholder and Investor Relations - The company reported a profit distribution plan, proposing a cash dividend of 5.00 RMB per 10 shares based on a total of 684,394,502 shares[6]. - The company has established a dedicated contact for investor relations, ensuring effective communication with stakeholders[25]. - The company has a clear structure for remuneration decision-making, involving the board's remuneration and assessment committee[177]. - The total pre-tax remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 896.09 million[177]. - The highest remuneration was received by the General Manager, totaling CNY 127.65 million[177]. - The independent directors receive an annual allowance of CNY 60,000 before tax[177]. Operational Efficiency and Cost Management - The company has established a stable supply chain with major suppliers, ensuring a consistent procurement of raw materials[73]. - The average price of raw material A increased from ¥29,208.74 in the first half to ¥38,787.97 in the second half, reflecting a significant price change[73]. - The energy procurement cost accounts for over 30% of total production costs, indicating a significant impact on overall expenses[73]. - The company's production costs for raw materials increased by 7.17% year-on-year, amounting to CNY 2,051,179,141.86, which constituted 74.20% of total operating costs[92]. - The company has established two new subsidiaries, Guangrui Testing and Jingwei Intelligent Technology, during the reporting period[94]. Employee and Workforce Development - The total number of employees at the end of the reporting period was 2,138, with 977 in the parent company and 1,161 in major subsidiaries[190]. - The professional composition of employees includes 1,545 production personnel, 96 sales personnel, 237 technical personnel, 44 financial personnel, and 216 administrative personnel[190]. - The educational background of employees shows 68 with master's degrees or above, 450 with bachelor's degrees, 557 with associate degrees, and 1,063 with education below associate level[192]. - The company conducted various training programs, including safety regulations, professional skills enhancement, and management skills improvement[194][199].