2023-03-29 16:00Financial Performance - The net profit attributable to shareholders reached CNY 3,102,770,915.08, a significant increase of 292.16% compared to CNY 1,024,658,530.56 in the previous year[17]. - Operating revenue for the year was CNY 41,822,508,877.50, reflecting a growth of 274.68% from CNY 11,162,214,421.21 in 2021[17]. - The net assets attributable to shareholders increased by 101.17% to CNY 44,042,826,990.75 from CNY 21,893,749,372.90 at the end of 2021[15]. - The basic earnings per share rose to CNY 10.18, marking an increase of 281.27% from CNY 2.67 in the previous year[15]. - The weighted average return on equity was 61.41%, up from 31.04% in 2021, indicating improved profitability[15]. - The net cash flow from operating activities was CNY 12,490,633,286.43, a substantial increase of 376.67% compared to CNY 2,620,393,303.77 in 2021[17]. - The total assets of the company reached CNY 79,159,910,068.14, representing a growth of 102.68% from CNY 39,056,652,559.96 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was CNY 1,995,234,149.27, a remarkable increase of 586.34% from CNY 290,706,987.75 in 2021[17]. - The diluted earnings per share increased to CNY 10.17, up 282.33% from CNY 0.79 in the previous year[17]. - The company’s financial report has been confirmed by its board of directors, ensuring the accuracy and completeness of the information presented[2]. Market Trends and Demand - The lithium demand has significantly increased due to the rapid growth in electric vehicle and energy storage battery markets, influenced by government policies promoting new energy vehicles[3]. - The global lithium resource supply increased from 170,000 tons LCE in 2017 to 430,000 tons LCE in 2022, with demand rising from 617,000 tons in 2021 to 829,000 tons in 2022[26]. - The price of 5%-6% lithium spodumene in China reached approximately USD 5,960 - 5,980 per ton, a 132%-134% increase compared to early 2022[26]. - The company anticipates that the supply of lithium resources will improve with the commissioning of new projects in South America and Africa[26]. - The company noted that the supply of lithium brine resources is expected to increase significantly after 2023, although effective supply remains limited in the short term[27]. - In 2022, China's power battery cumulative production reached 545.9 GWh, a year-on-year increase of 148.5%[32]. - Global sales of new energy vehicles reached 10.938 million units in 2022, a year-on-year increase of 58.7%[33]. - The cumulative production of lithium iron phosphate batteries was 332.4 GWh, representing 60.9% of total production, with a year-on-year increase of 165.1%[32]. - The target for new energy vehicle penetration rate in China is set at 20% by 2025 and 40% by 2030, with the 2025 target already achieved ahead of schedule[35]. Operational Strategies and Risk Management - The company is closely monitoring government policies and industry trends to manage risks associated with market changes and ensure timely responses[3]. - The company emphasizes safety and environmental protection in its operations, implementing a comprehensive safety management system to mitigate risks[6]. - The company has established a foreign exchange hedging management system to mitigate risks associated with currency fluctuations affecting overseas operations[7]. - The company operates in multiple countries, facing various legal and political risks that could impact its business and financial performance[8]. - The company is committed to enhancing its lithium resource development team and collaborating with professional teams for effective exploration and verification of mining sites[4]. - The company has established a risk management system for its investments to mitigate potential financial risks[138]. Research and Development - The company has a robust R&D team of 1,043 personnel, including national-level experts, focusing on lithium extraction and production technologies[56]. - The company has developed advanced production technologies, including "brine lithium extraction," "ore lithium extraction," and "recycling lithium extraction," and has over 40 industry-leading lithium compound and metallic lithium products[66]. - Research and development efforts have led to the creation of a high-energy density battery with a long cycle life, enhancing product performance and market competitiveness[110]. - R&D investment reached approximately 1.42 billion CNY, a 316.17% increase compared to the previous year, with R&D expenditure as a percentage of revenue rising to 3.40%[111]. - The company is committed to enhancing its R&D capabilities, focusing on solid-state battery technology and improving lithium extraction methods to maintain a technological edge in the global lithium industry[148]. Production Capacity and Expansion - The company has established a vertically integrated business model, enhancing operational efficiency and profitability across its lithium resource development and battery manufacturing segments[15]. - The company is currently constructing projects to increase lithium hydroxide capacity to 81,000 tons/year, with a utilization rate of 74.59%[58]. - The company is expanding its production capacity with a new lithium battery project aiming for an annual output of 15 GWh[127]. - The company has reported a significant increase in lithium production capacity, reaching 30,000 tons in 2022, up from 20,000 tons in 2021, representing a 50% growth[178]. - The company plans to expand its production capacity, with the Chongqing Ganfeng 20 GWh lithium battery technology industrial park project underway, aiming to become the largest solid-state battery production base in China[93]. Environmental and Social Responsibility - The company emphasizes the importance of balancing the interests of stakeholders and fulfilling its social responsibilities[10]. - The company received a BBB rating in the MSCI ESG assessment in October 2022 and won the Environmental Protection Innovation Case Award in December 2022[10]. - The company has established a board-level Sustainable Development Committee to oversee and enhance its ESG management framework[10]. - The company completed the first unsubsidized green certificate transaction in Jiangxi Province, purchasing 100MW of green power certificates to enhance the proportion of clean energy in operations[10]. Corporate Governance - The company maintains independent operations, ensuring no interference from the actual controller in decision-making[152]. - The board of directors consists of 10 members, including 4 independent non-executive directors, ensuring compliance with legal requirements[152]. - The company has implemented internal control systems to manage risks and ensure effective operational management[153]. - The company emphasizes risk management, utilizing the IATF16949 management system for comprehensive risk assessment[153]. - The company has established a dedicated integrity account to promote anti-corruption efforts and ensure employees resist bribery[153]. Shareholder Engagement and Dividends - The company plans to distribute a cash dividend of 10 RMB per 10 shares to all shareholders, with no stock bonus or capital reserve conversion[8]. - The company held 1 annual general meeting and 4 extraordinary general meetings during the reporting period, ensuring equal treatment of all shareholders[151]. - The company’s total shareholding increased due to the implementation of stock options and dividend distributions[165].