Wj Energy(SZ:002700)2021-04-27 16:00Financial Performance - The company's operating revenue for 2020 was ¥419,032,878.93, a decrease of 19.22% compared to ¥518,740,042.38 in 2019[20]. - The net profit attributable to shareholders was -¥201,152,720.31 in 2020, representing a decline of 386.79% from ¥70,138,159.50 in 2019[20]. - The total operating revenue for 2020 was ¥419,032,878.93, a decrease of 19.22% compared to ¥518,740,042.38 in 2019[49]. - Revenue from the urban gas sector was ¥410,162,128.43, accounting for 97.88% of total revenue, down 9.56% from ¥453,521,148.04 in 2019[49]. - The sales volume in the urban gas sector decreased by 8.63% to 19,822.7 million cubic meters in 2020, compared to 21,695.14 million cubic meters in 2019[55]. - The gross profit margin for the urban gas sector improved to 32.84%, up 4.27% from the previous year[52]. - The company reported a significant reduction in operating cash outflow, which decreased by 64.98% to ¥391,237,751.38 from ¥1,117,117,138.18 in 2019[62]. - The company’s cash inflow from operating activities was ¥588,551,964.91, showing a slight increase of 0.03% compared to ¥588,352,996.19 in 2019[62]. - The net cash flow from operating activities increased by 137.32% to ¥197,314,213.53, compared to a net outflow of ¥528,764,141.99 in the previous year[63]. - The total cash inflow from investment activities decreased by 93.98% to ¥39,024,613.66, primarily due to a reduction in cash received related to investment activities[63]. - The net cash flow from financing activities decreased by 27,197.06% to -¥15,670,825.88, mainly due to a decrease in cash inflow from financing activities[64]. - The net increase in cash and cash equivalents was ¥145,678,829.44, a 127.55% increase compared to the previous year's net decrease of ¥528,768,306.97[63]. - The company reported a total revenue of 1,411.0 million yuan for the year 2020[135]. - The company reported a total revenue of 1.2 billion CNY for the fiscal year 2020, representing a year-over-year increase of 15%[198]. Dividend Distribution - The profit distribution plan approved by the board proposes a cash dividend of CNY 0.35 per 10 shares (including tax) based on a total of 422,426,880 shares, with no bonus shares issued[7]. - The company distributed cash dividends of 0.35 RMB per 10 shares for the 2019 and 2020 fiscal years, totaling 14,784,940.80 RMB, which represents 22.05% and 21.08% of the respective net profits[97][99]. - The company reported a cash dividend of CNY 14,784,940.80 for the year 2020, which represents 7.35% of the net profit attributable to ordinary shareholders[101]. - The total cash dividend, including other methods such as share buybacks, amounted to CNY 29,796,471.40, accounting for 100% of the total distributable profit[102]. - The cash dividend for 2019 was CNY 14,784,940.80, which was 21.08% of the net profit attributable to ordinary shareholders[101]. - The company experienced a decrease in cash dividends compared to the previous year, with a decline of 14.81% in total cash dividends[101]. Risks and Investigations - The company faces significant risks due to the non-operating fund occupation amounting to CNY 521.40 million by controlling shareholders and related parties, which remains unpaid[7]. - The company has been under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure laws[5]. - The company reported a credit impairment loss of CNY 315.53 million due to the non-repayment of funds by controlling shareholders and related parties, significantly impacting the net profit attributable to shareholders for 2020[5]. - The company faces risks including bad debt preparation risk due to significant non-operating fund occupation by controlling shareholders, and potential policy changes affecting the gas industry[91]. - The company has been subject to administrative penalties and regulatory measures due to violations related to providing guarantees for controlling shareholders[123]. - The company is facing disciplinary actions from the Shenzhen Stock Exchange and the China Securities Regulatory Commission due to the non-compliance issues[112]. Internal Control and Compliance - The company has reported a major internal control deficiency in its financial reporting, which may affect its operational performance[5]. - The company is actively enhancing its internal control systems and budget management to ensure cost efficiency and operational effectiveness[90]. - The company’s board of directors is taking measures to address the internal control deficiencies related to the occupation of non-operating funds[112]. - The company has outlined a repayment plan for the controlling shareholder's related parties to return funds, with specific deadlines set for repayments throughout 2020[106]. - The company plans to enhance internal control systems and compliance training to prevent similar incidents of fund occupation in the future[127]. Market and Operational Strategy - The company plans to focus on expanding its market presence and enhancing its product offerings in the natural gas sector[5]. - The company anticipates continued growth in natural gas sales driven by favorable government policies and increasing urbanization rates[34]. - The company plans to expand its market outside Xinjiang and implement cross-regional industrial integration, focusing on natural gas chemical and new energy promotion as key business expansion directions[88]. - The company has established a gas division and an energy chemical division to enhance operational efficiency and explore potential mergers and acquisitions[88]. - The company expects a 6.8% year-on-year increase in national natural gas apparent consumption, reaching approximately 325 billion cubic meters in 2020[87]. - The company has established partnerships with two major energy firms to enhance distribution capabilities[198]. Shareholder and Management Changes - The company’s current chairman, Zhang Yunfeng, was elected on July 13, 2020, and has a background in industrial investment and strategic management[190]. - The company’s general manager, Leng Xinwei, increased his shareholding by 153,900 shares during the reporting period, bringing his total to 153,900 shares[186]. - The company appointed Zhu Hang as the vice general manager on July 13, 2020, focusing on operational management[188]. - The company has seen a change in its board with the resignation of former chairman Zhou Judong on June 29, 2020, due to being an inappropriate candidate[189]. - The company’s total shareholding structure reflects a significant involvement of management in equity, indicating alignment with shareholder interests[186]. Related Party Transactions - The company reported a significant increase in related party transactions, with a total of 4,750 million yuan in transactions approved[135]. - The company has not exceeded the approved transaction limits for related party transactions[135]. - The company reported a total of 4,900 million CNY for the procurement of lithium battery supporting equipment from Hangzhou Te Ying, as part of a significant related party transaction[141]. - The company has a total of 60,075,079 CNY frozen in bank accounts due to a guarantee provided for a related party's debt, which was not approved through the proper decision-making process[157]. - The company received a total of 10,000,000 CNY and 50,075,079 CNY from the related party Xinjiang Youbang, fully repaying the occupied funds along with interest of 798,534.21 CNY[158]. Asset Management and Investments - The company has not engaged in any asset or equity acquisition or sale transactions during the reporting period[137]. - The company has not conducted any agreed repurchase transactions during the reporting period[174]. - The company has not engaged in any significant leasing, contracting, or entrusted financial management activities during the reporting period[143][144][147]. - The company has not disclosed any major contracts or guarantees during the reporting period[146][150]. - The company has established Shanghai Yuanhan Energy Technology Co., Ltd. to focus on investments in the energy and environmental sectors[190].