Sun Cable(SZ:002300)2021-04-08 16:00Financial Performance - The company's operating revenue for 2020 was CNY 7,941,460,113.63, representing a 13.86% increase compared to CNY 6,974,865,051.26 in 2019[24] - The net profit attributable to shareholders for 2020 was CNY 189,935,795.32, a decrease of 2.12% from CNY 194,042,969.27 in 2019[24] - The basic earnings per share for 2020 was CNY 0.2892, down 2.13% from CNY 0.2955 in 2019[24] - The total assets at the end of 2020 were CNY 4,009,207,548.52, an increase of 1.63% from CNY 3,945,090,256.27 at the end of 2019[24] - The net assets attributable to shareholders increased by 8.20% to CNY 1,601,680,198.32 from CNY 1,480,279,454.69 at the end of 2019[24] - The weighted average return on net assets for 2020 was 12.33%, down from 13.75% in 2019[24] - The company achieved total revenue of CNY 794,146.01 million, an increase of CNY 96,659.51 million, or 13.86% year-on-year[46] - The total profit reached CNY 29,238.78 million, up CNY 1,964.22 million, or 7.20% year-on-year; net profit was CNY 22,123.95 million, an increase of CNY 1,435.33 million, or 6.94% year-on-year[46] - The net profit attributable to shareholders decreased to CNY 18,993.58 million, down CNY 410.72 million, or 2.12% compared to the previous year[46] Cash Flow and Investments - The net cash flow from operating activities decreased by 45.00% to CNY 316,805,476.91 from CNY 576,045,633.39 in 2019[24] - The company’s investment activities generated a cash inflow of ¥56,753,161.80, a significant increase of 994.51%[69] - The net increase in cash and cash equivalents for the reporting period was CNY 27.14 million, a decrease of CNY 194.65 million or 87.76% year-on-year, primarily due to a reduction in net cash flow from operating activities by CNY 259.24 million[72] - Investment income amounted to CNY 9.42 million, accounting for 3.22% of total profit, mainly from cash dividends received from holdings in Industrial Bank and Industrial Securities[72] - The company reported a total investment in securities of 6,108,122.44 CNY, with a year-end market value of 73,644,215.52 CNY, reflecting a fair value change of -135,127.05 CNY during the reporting period[88] Sales and Market Expansion - The company expanded its sales network by adding 27 new provincial agents and 8 sales districts outside its home province, enhancing its market reach[41] - The company reported a total sales volume of 649,799.49 kilometers of wire and cable, a decrease of 8.47% year-on-year[54] - The company’s revenue from the East China region was CNY 3,933,970.21 million, accounting for 49.54% of total revenue, with a year-on-year growth of 13.21%[51] - The company expanded its sales network with 172 authorized stores in Fujian and 27 new provincial agents, totaling 251 agents[46] Product Development and Innovation - The company has maintained a strong focus on technological innovation, being the first in the industry to introduce advanced manufacturing equipment and automation[41] - The company developed new products including WDZB1N-KYJY cables and 35kV medium voltage B1 grade flame-retardant power cables, achieving significant R&D milestones[46] - The company is committed to developing new products in response to changing customer demands and industry trends[106] - In 2021, the company plans to develop new products focusing on ecological, environmental, specialized, energy-saving, and safety aspects, including high-pressure submarine cables and flame-retardant cables[109] Risk Management - The company has identified key risks and corresponding measures in its future development outlook[7] - The company faces operational risks due to significant fluctuations in raw material prices, particularly copper, which constitutes approximately 80% of total product costs[109] - The company is exposed to industry chain risks, as its production and sales are closely linked to the development of downstream industries such as power and communication[109] - The company has established risk management policies for its derivative investments, ensuring that the investment does not adversely affect its normal operations[95] Dividend Distribution - The company plans to distribute a cash dividend of CNY 1.2 per 10 shares, based on a total of 656,667,000 shares[7] - The company distributed cash dividends of RMB 78,800,040, representing 41.49% of the net profit attributable to ordinary shareholders for 2020[116] - The cash dividend for 2019 was RMB 71,636,400, accounting for 36.92% of the net profit attributable to ordinary shareholders[116] - The cash dividend distribution plan requires approval at the 2020 annual general meeting[120] Corporate Governance and Compliance - The domestic accounting firm, Huaxing Accounting Firm, received a remuneration of 1.204 million CNY for its auditing services, with a continuous service period of 24 years[139] - There were no significant lawsuits or arbitration matters during the reporting period[143] - The company did not face any penalties or rectification issues during the reporting period[144] - The company and its controlling shareholders did not have any integrity issues during the reporting period[145] Social Responsibility - The company donated 369,000 to support poverty alleviation efforts, including 21,000 specifically for assisting 51 impoverished students[181] - The company plans to develop a long-term poverty alleviation strategy focusing on community support and education[184]