GON(SZ:002768)2021-04-11 16:00Financial Performance - The company's operating revenue for 2020 was CNY 7,181,295,030.71, representing a 41.66% increase compared to CNY 5,069,353,664.74 in 2019[15]. - The net profit attributable to shareholders for 2020 was CNY 730,839,152.96, an increase of 84.54% from CNY 396,026,415.90 in 2019[15]. - The net profit after deducting non-recurring gains and losses was CNY 725,406,402.18, up 85.28% from CNY 391,523,458.42 in 2019[15]. - The basic earnings per share for 2020 was CNY 2.69, an increase of 84.25% compared to CNY 1.46 in 2019[15]. - The total assets at the end of 2020 were CNY 5,461,467,412.50, a 12.34% increase from CNY 4,861,559,154.34 at the end of 2019[15]. - The net assets attributable to shareholders at the end of 2020 were CNY 3,097,676,009.27, reflecting a 29.95% increase from CNY 2,383,658,542.46 at the end of 2019[15]. - The net cash flow from operating activities for 2020 was CNY 149,958,072.17, a 99.22% increase from CNY 75,274,014.92 in 2019[15]. - The weighted average return on equity for 2020 was 26.74%, an increase of 8.73% from 18.01% in 2019[15]. - The company reported a total revenue of 1.5 billion RMB for the year 2020, representing a year-over-year growth of 20%[115]. - The company achieved a net profit attributable to shareholders of 730,839,152.96 yuan for the year 2020[112]. Dividend Distribution - The company plans to distribute a cash dividend of CNY 3.1 per 10 shares (including tax) based on the 2020 profit distribution plan[4]. - In 2020, the company distributed cash dividends of 84,087,500 RMB, representing 11.51% of the net profit attributable to ordinary shareholders[110]. - The proposed cash dividend distribution is 3.10 yuan per 10 shares, totaling 84,087,500.00 yuan (including tax)[112]. - The company’s cash dividend policy has been consistent, with no stock dividends or capital reserve transfers in recent years[109]. - The total distributable profit available for shareholders as of December 31, 2020, was 1,744,347,006.30 yuan[112]. Business Segments and Growth - The lightweight materials segment is expected to benefit from increasing demand in sectors such as new energy vehicles and medical devices, driven by domestic and international market needs[25]. - The automotive business is focusing on the development of lightweight materials for electric vehicle charging stations and battery boxes, enhancing product aesthetics and functionality[28]. - The functional materials segment includes biodegradable materials and artificial turf, with ongoing research and development efforts to expand product offerings[28]. - The biodegradable materials business is expected to enter a high-speed development phase due to domestic plastic ban policies, with the company developing multiple biodegradable materials such as PLA, PBAT, PBS, and PPC[29]. - The artificial turf business is expanding, with increasing export proportions and projects in primary and secondary schools, enhancing competitiveness and product profit margins[30]. - The optical materials segment has seen a 2.6% year-on-year increase in global TV market shipments, reaching 247 million units, driving demand for optical materials[31]. - The company has established long-term partnerships with major clients in the home appliance and consumer electronics sectors, contributing to steady business growth[26]. - The company has maintained a comprehensive growth strategy across its eight business segments, achieving overall performance improvement in 2020[25]. Research and Development - The company’s R&D investment increased by 39.21% to CNY 230.37 million, accounting for 3.21% of total revenue[69]. - The company has a total of 88 patents, including 32 invention patents, enhancing its technological innovation capabilities[36]. - The company has achieved breakthroughs in biodegradable material technology, reducing costs and narrowing the price gap with traditional materials[36]. - The company is enhancing its capabilities in functional materials, particularly in optical performance for LCD displays, to maintain a leading position in the high-end display sector[98]. - Investment in R&D for new technologies increased by 30%, totaling 300 million RMB, focusing on enhancing product efficiency and sustainability[116]. Market Expansion and Strategy - The company expects a revenue growth guidance of 25% for the upcoming fiscal year, driven by new product launches and market expansion strategies[115]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[115]. - A strategic acquisition of a local competitor is anticipated, which is expected to enhance the company's product offerings and customer base[116]. - The company is considering strategic acquisitions to enhance its product portfolio, with a budget of 500 million RMB for potential deals[188]. - The company aims to launch three new products in the next quarter, which are projected to contribute an additional 200 million RMB in revenue[115]. Operational Efficiency - The company has increased its production capacity and improved operational efficiency, contributing to steady performance growth[35]. - The gross profit margin improved to 22.14%, an increase of 3.23% compared to the previous year[57]. - The company reported a 5% reduction in operational costs due to efficiency improvements[188]. - The company has implemented a performance-oriented compensation and assessment policy, with salaries based on individual work performance and evaluation results[199]. Corporate Governance and Shareholder Relations - The company has established measures to prevent conflicts of interest among its directors, supervisors, and senior management personnel[118]. - The commitments made by the shareholders are legally binding and will remain effective until they no longer have a significant influence on the company[118]. - The company has committed to ensuring that its core technical personnel do not invest in competing businesses during their tenure[119]. - The company emphasizes the importance of protecting the legitimate rights of its shareholders[119]. - The company has implemented measures to standardize and reduce related party transactions, ensuring that no non-operating fund transfers occur between the company and its controlling shareholders[121]. Employee and Management Structure - The total number of employees in the company is 1,794, with 770 in the parent company and 1,024 in major subsidiaries[198]. - The company has a diverse management team with a mix of genders and ages, reflecting a commitment to inclusivity[182]. - The company launched its first employee stock ownership plan in 2016 to enhance long-term incentives and improve employee cohesion[199]. - The company has appointed multiple executives to various subsidiaries, indicating a broad management structure across its business units[194]. Risk Management - The company has outlined potential risks and countermeasures in its future development outlook[4]. - The company aims to enhance its supply chain management to mitigate risks from raw material price fluctuations, particularly due to oil price volatility[101]. - The company has identified risks related to management as it expands its operational scale, emphasizing the need for improved management capabilities[101].