TINCI(SZ:002709)2020-04-27 16:00Dividend Distribution - The company plans to distribute a cash dividend of 0.5 RMB per 10 shares based on a total share capital of 548,517,289 shares, resulting in a total cash dividend of approximately 27.43 million RMB[4]. - The cash dividend for 2018 was 1 CNY per 10 shares, amounting to 34,270,268.10 CNY, which represented 7.51% of the net profit attributable to shareholders[115]. - In 2017, the company distributed a cash dividend of 1.8 CNY per 10 shares, totaling 61,140,157.38 CNY, accounting for 20.06% of the net profit attributable to shareholders[114]. - The company has established a shareholder dividend return plan, ensuring that cash dividends will be prioritized, with a minimum cash dividend ratio of 20% during profit distribution[113]. - The total distributable profit for the 2019 cash dividend is reported to be 591,178,306.52 CNY, with the cash dividend amounting to 100% of the total profit distribution[118]. - The company will review the shareholder dividend return rules at least every three years, considering feedback from shareholders and independent directors[112]. - The company emphasizes sustainable development and reasonable investment returns in its dividend distribution strategy[118]. - The cash dividend policy is designed to be transparent and compliant with regulations, ensuring the protection of minority shareholders' rights[114]. - The cash dividend distribution is based on the total share capital on the record date, which is 548,517,289 shares for the 2019 fiscal year[118]. Financial Performance - The company's operating revenue for 2019 was CNY 2,754,589,624.70, representing a 32.44% increase compared to CNY 2,079,846,708.24 in 2018[14]. - The net profit attributable to shareholders of the listed company in 2019 was CNY 16,319,676.03, a significant decrease of 96.42% from CNY 456,284,907.64 in 2018[14]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 11,656,922.43, which is a 16.69% increase from CNY 9,989,589.90 in 2018[14]. - The company's total assets at the end of 2019 were CNY 5,329,642,855.46, an increase of 8.00% from CNY 4,934,891,955.52 at the end of 2018[14]. - The net assets attributable to shareholders of the listed company decreased by 1.18% to CNY 2,788,297,066.31 at the end of 2019 from CNY 2,821,543,831.28 at the end of 2018[14]. - The company reported a net cash flow from operating activities of CNY -18,408,019.80 in 2019, an improvement of 94.22% compared to CNY -318,250,631.15 in 2018[14]. - The basic earnings per share for 2019 was CNY 0.03, down 96.43% from CNY 0.84 in 2018[14]. - The company reported a total revenue of 1.5 billion CNY for the year 2019, representing a year-on-year growth of 15%[123]. - The company has set a revenue guidance of 1.8 billion CNY for 2020, indicating an expected growth of 20%[125]. Business Operations and Strategy - The company has multiple wholly-owned subsidiaries, including Tianji Organic Silicon and Tianjin Tianji, which contribute to its diversified business operations[6]. - The company produces lithium-ion battery materials, including electrolytes and lithium iron phosphate, which are critical for the battery manufacturing industry[7]. - The company has a strong focus on research and development in new materials, particularly in the field of lithium battery technology[7]. - The company is actively exploring market expansion opportunities to increase its market share in the high-tech materials sector[7]. - The company's main business segments include daily chemical materials and specialty chemicals, with products such as surfactants, silicone oils, and water-soluble polymers[22]. - The company maintains a direct sales model, providing product technical services and solutions, with a production strategy based on sales forecasts[24]. - The company is recognized as a national high-tech enterprise, with a strong focus on innovation and R&D, supported by multiple technology innovation platforms[33]. - The company is expanding its international business by establishing branches in South Korea and the Czech Republic to meet the technical support needs of international clients[96]. - The company is committed to developing new products in lithium-ion battery materials, focusing on high-energy and high-power electrolytes with proprietary intellectual property[97]. Research and Development - The company has established a competitive advantage through vertical integration and horizontal collaboration within its supply chain, enhancing cost competitiveness[31]. - The company has made significant progress in international business development, enhancing its global presence and brand recognition through participation in major industry exhibitions[32]. - The company’s research and development focus includes fine chemical new materials, particularly daily chemical materials and lithium-ion battery materials[21]. - The company has completed over 30 new product developments in the personal care and specialty chemicals sector, with several high-margin new products gaining customer validation[40]. - The company is investing 200 million CNY in R&D for new technologies, aiming to enhance product offerings and market competitiveness[127]. Risk Management - The company emphasizes that forward-looking statements regarding future plans and strategies do not constitute profit forecasts or commitments to investors, highlighting the importance of risk awareness[4]. - The report indicates that the company has a comprehensive risk management strategy in place to address potential operational risks[4]. - The company has established a risk response mechanism to mitigate potential challenges in its operational environment[4]. - The company aims to enhance market competitiveness by improving production standards and optimizing processes in response to policy risks in the lithium-ion battery materials industry[102]. - The company will implement dynamic management of credit terms and strengthen collection efforts to mitigate cash flow risks due to potential tightening in the supply chain[103]. Environmental and Social Responsibility - The company emphasizes safety and environmental management, aligning with international standards to reduce emissions and enhance operational safety[98]. - The company has invested significantly in environmental protection projects, including advanced oxidation systems and zero wastewater discharge systems[169]. - The company has a wastewater treatment system with a daily capacity of 1,000 tons, ensuring compliance with environmental standards[169]. - The company has conducted annual environmental self-monitoring to ensure compliance with pollution control standards[172]. - The company complies with pollution discharge standards, with no instances of exceeding discharge limits reported[168]. Shareholder and Corporate Governance - The company has a long-term commitment to avoid competition with similar businesses and will not establish or acquire subsidiaries that compete with its operations[122]. - The company will actively compensate investors for any losses incurred due to false records or misleading statements in the prospectus, following the recognition of such violations by regulatory authorities[121]. - The company has established a compensation fund to protect the interests of investors, especially small and medium-sized investors, in case of losses due to violations[121]. - The company has maintained a continuous audit service from the domestic accounting firm for 13 years[142]. - The company has not faced any bankruptcy reorganization or significant litigation during the reporting period[143][144]. - The company has not reported any penalties or rectification measures during the reporting period[145][146]. - The company has established a profit distribution policy that emphasizes reasonable returns to investors while ensuring sustainable development[161]. - Employee satisfaction is enhanced through competitive compensation, benefits, and career development opportunities[162]. Market Trends and Challenges - The daily chemical materials and specialty chemicals market is driven by rising disposable income and consumer demand for high-quality personal care products, leading to sustained growth in consumption[25]. - The lithium battery materials market is significantly influenced by the development of the electric vehicle industry, with increasing demand in energy storage applications due to advancements in 5G and grid storage[25]. - The personal care industry in China is expected to grow significantly, with the core consumer group projected to exceed 400 million, indicating substantial market potential for the company's products[90]. - In 2019, the implementation of new subsidy policies led to stagnation in the electric vehicle market, increasing competition and further reducing the gross margin of electrolyte products[92]. Capital and Investment Management - The company has ongoing projects, including a lithium iron phosphate cathode material project with an investment of ¥11,120,554.96, achieving 28.31% of the expected progress[71]. - The company has a total of ¥4,076.65 million in unused raised funds, which are stored in a special account[74]. - The company plans to enhance fundraising efficiency and has adjusted the investment strategy for certain projects[77]. - The company reported a total of RMB 16,116.67 million invested in committed projects during the reporting period[76]. - The company has committed to using remaining funds from terminated projects to support working capital and other strategic investments[82].