HANGZHOU ZHONGHENG(SZ:002364)2022-04-25 16:00Financial Performance - The company's operating revenue for 2021 was ¥1,818,872,738.35, representing a 26.88% increase compared to ¥1,433,495,165.20 in 2020[20]. - The net profit attributable to shareholders for 2021 was ¥89,301,472.08, a 5.01% increase from ¥85,042,531.53 in 2020[20]. - The net profit after deducting non-recurring gains and losses was ¥69,224,543.46, which is a 50.28% increase from ¥46,063,683.98 in 2020[20]. - The net cash flow from operating activities improved significantly to ¥11,559,133.10, compared to a negative cash flow of ¥3,205,845.61 in 2020, marking a 460.56% increase[20]. - The total assets at the end of 2021 were ¥3,262,713,275.77, a decrease of 5.41% from ¥3,449,370,273.12 at the end of 2020[20]. - The net assets attributable to shareholders increased by 4.95% to ¥2,334,010,480.72 at the end of 2021, up from ¥2,223,948,974.88 at the end of 2020[20]. - The company reported a basic earnings per share of ¥0.16 for 2021, unchanged from 2020[20]. - The weighted average return on equity for 2021 was 3.98%, slightly up from 3.92% in 2020[20]. - The company achieved operating revenue of 1.8188727 billion yuan in 2021, a year-on-year increase of 26.88%[40]. - Net profit attributable to shareholders reached 89.3015 million yuan, up 5.01% year-on-year, while the net profit excluding non-recurring gains and losses increased by 50.28% to 69.2245 million yuan[40]. Dividend Distribution - The company reported a profit distribution plan to distribute a cash dividend of 1.00 CNY per 10 shares (including tax) based on 563,564,960 shares[5]. - The company distributed a cash dividend of 1 yuan per 10 shares, totaling 56,356,496 yuan, which accounted for 64.73% of the net profit attributable to shareholders for 2020[145]. - The cash dividend policy is consistent with the company's articles of association and shareholder resolutions, ensuring clear standards and procedures[146]. - The cash dividend distribution plan was approved by the board and is pending approval from the shareholders' meeting[147]. Governance and Compliance - The company has a structured governance framework, ensuring accountability and transparency in its operations[14]. - The board of directors strictly adhered to relevant regulations and ensured effective decision-making, with independent directors constituting more than one-third of the board[108]. - The supervisory board performed its duties in compliance with regulations, overseeing the legality and compliance of the actions of directors and senior management[109]. - The company maintained a high level of information disclosure, ensuring that all disclosed information was true, accurate, and complete[110]. - The company respects and protects the rights of stakeholders, promoting balanced interests among shareholders, employees, and society[111]. - The company operates independently from its controlling shareholders in terms of assets, personnel, finance, and business, ensuring a complete and independent business system[113]. - The company has established a robust governance structure with independent financial decision-making and management systems[114]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[160]. - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period[164]. - The company did not have any violations regarding external guarantees during the reporting period[165]. Research and Development - The company plans to invest significantly in R&D, emphasizing the development of technologies related to digital energy and low-carbon solutions, which are crucial for achieving carbon neutrality goals[30]. - R&D expenses rose to 157.0467 million yuan, reflecting a 32.16% increase as the company intensified its innovation efforts[40]. - The company has established multiple R&D centers across major cities, focusing on technological innovation and maintaining a strong intellectual property portfolio[35]. - The company has ongoing R&D projects aimed at enhancing energy efficiency and expanding product lines in the energy sector, including high-efficiency energy supply systems and 5G micro power sources[64][65]. - The number of R&D personnel increased by 2.42% to 551, while the proportion of R&D personnel to total staff decreased to 26.72%[66]. Market and Product Development - The company aims to lead the ICT energy infrastructure sector with its HVDC power distribution systems and prefabricated Panama&T-train power modules, maintaining a leading market share[32]. - The company is actively involved in the construction of a new power system and comprehensive energy services, focusing on digital upgrades and user-side load demands[33]. - The company launched 360KW and 480KW ultra-fast charging products, responding to the growing demand in the electric vehicle charging market[48]. - Revenue from data center energy products surged to 694.7915 million yuan, marking a 69.87% increase compared to the previous year[42]. - The company secured procurement contracts worth approximately 800 million yuan for its Panama&T-train product, demonstrating strong market demand[42]. - The company plans to continue expanding its market presence and product offerings, focusing on the growth of data center power solutions and communication systems[56]. Shareholder Engagement - The annual general meeting had a participation rate of 42.07% on May 26, 2021, reflecting shareholder engagement[115]. - The first extraordinary general meeting of 2021 had a participation rate of 43.03% on September 23, 2021, indicating continued shareholder interest[116]. - The second extraordinary general meeting of 2021 had a participation rate of 41.94% on November 16, 2021, showing consistent shareholder involvement[116]. - The third extraordinary general meeting of 2021 had a participation rate of 44.49% on December 2, 2021, demonstrating strong shareholder engagement[116]. - The company emphasizes the importance of maintaining effective communication with shareholders and ensuring their rights are protected during decision-making processes[107]. Leadership and Management Changes - The resignation of Chairman Zhu Guoding was effective on October 27, 2021, due to personal reasons, and Bao Xiaoru was elected as the new Chairman on November 17, 2021[120]. - The company experienced a change in its supervisory board, with Yu Xuefang and Jin Jihong being elected as new supervisors on September 24, 2021[121]. - The company is committed to maintaining transparency and effective communication with its stakeholders during this transition period[120]. - The company plans to leverage its new leadership to drive growth and innovation in the upcoming fiscal year[120]. Financial Management - The company generated a net cash flow from operating activities of 11,559,133.10 CNY, a significant improvement from a net outflow of 3,205,845.61 CNY in the previous year, marking a 460.56% increase[69]. - Cash and cash equivalents decreased by 216,915,707.13 CNY, reflecting a significant decline compared to a decrease of 3,071,304.24 CNY in the previous year[69]. - The company has committed to strict adherence to its promises regarding share transfers and management conduct[162]. - The company has not disclosed any major environmental issues or measures taken to reduce carbon emissions during the reporting period[160]. Employee and Compensation Policies - The company emphasizes a performance-based compensation system aimed at core talent and innovation[143]. - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 8.9839 million[131]. - The chairman, Bao Xiaoru, did not receive any remuneration from the company[131]. - The first employee stock ownership plan involved 258 employees holding a total of 10,807,579 shares, representing 1.91% of the company's total equity[148]. - The second employee stock ownership plan included 125 employees with a total of 13,111,100 shares, accounting for 2.32% of the company's total equity[149]. Legal and Regulatory Matters - The company faced a lawsuit involving Jiangsu Tianhe Storage Energy Co., with a claim amount of 30.25 million yuan, which was withdrawn by the plaintiff[170]. - Another lawsuit with Jiangsu Tianhe Storage Energy Co. resulted in a settlement where the plaintiff paid 300,000 yuan, concluding the case[170]. - The company reported a total of 21.568 million yuan in other litigation claims, which are currently unresolved[171]. - The actual controller of the company, Zhu Guoding, was fined 200,000 yuan for obstructing an investigation by the China Securities Regulatory Commission[172].