HONGHUI(SZ:002802)2022-04-29 16:00Dividend and Profit Distribution - The company plans to distribute a cash dividend of 4.00 CNY per 10 shares (including tax) and to increase capital by 3 shares for every 10 shares held[4]. - The total cash dividend amount is RMB 43,148,400, which represents 100% of the total profit distribution[157]. - The distributable profit for the period is RMB 269,926,238.86[157]. - The company is in a growth phase and has significant capital expenditure plans, with a minimum cash dividend ratio of 20% during profit distribution[159]. - The total number of shares for distribution is based on 107,871,000 shares, excluding any shares held in the repurchase account[160]. - The company distributed a cash dividend of 5.00 yuan per 10 shares, totaling 53,077,067.50 yuan (including tax) based on a total share capital of 106,181,435 shares[156]. Financial Performance - The company's operating revenue for 2021 was ¥749,260,783.23, representing a 37.55% increase compared to ¥544,715,994.91 in 2020[20]. - The net profit attributable to shareholders for 2021 was ¥85,932,280.63, a decrease of 6.50% from ¥91,902,871.62 in 2020[20]. - The net cash flow from operating activities decreased by 36.55% to ¥62,900,197.60 in 2021 from ¥99,138,875.55 in 2020[20]. - The total assets at the end of 2021 were ¥747,259,752.41, an increase of 8.81% from ¥686,733,411.97 at the end of 2020[20]. - The weighted average return on equity for 2021 was 14.38%, down from 15.91% in 2020[20]. - The net profit after deducting non-recurring gains and losses for 2021 was ¥81,273,218.89, a decrease of 4.45% from ¥85,061,439.02 in 2020[20]. Market and Product Development - The company plans to focus on the development of water-based emulsion (resin) products, which are expected to see significant growth due to increased demand in various industries[31]. - The company reported a significant increase in sales of water-based products during the reporting period, driven by high demand in the container industry[31]. - The company aims to optimize existing formulations of chlorinated vinyl copolymer products to reduce VOCs content in response to regulatory changes[31]. - The company anticipates significant growth in the water-based paint sector, driven by increasing environmental awareness and stricter regulations[39]. - The company’s main raw materials for water-based emulsions include epoxy resins and acrylic esters, with stable market supply and established supplier relationships[38]. - The company is developing a water-based epoxy resin with zero VOC emissions, which has significant market potential[67]. Research and Development - Research and development investment amounted to 27.39 million yuan, accounting for 3.66% of total revenue[50]. - The company has established a provincial-level engineering technology research center for special chlorinated vinyl copolymers, enhancing its innovation capabilities[47]. - The company has a strong R&D team with extensive industry experience, maintaining a leading position in product and process innovation[46]. - The company has established long-term cooperative relationships with raw material suppliers to ensure stable supply and maintain product quality, particularly for VCM and VAc, which are subject to market price fluctuations[35]. - The company aims to enhance R&D investment to develop new products and optimize product structure, focusing on water-based paint bases and environmentally friendly resins[100]. Environmental Compliance and Safety - The company emphasizes safety and environmental management, adhering to strict regulations to minimize operational risks associated with hazardous materials[108]. - The company has established a wastewater treatment and reuse system, air pollution control system, and bag dust removal system, ensuring compliance with environmental standards[180]. - The company reported a total annual discharge of 19.95 tons of COD, with a maximum allowable concentration of 500 mg/L, indicating compliance with discharge standards[179]. - The company has implemented effective pollution prevention measures and has a dedicated environmental protection department to ensure compliance with environmental regulations[180]. - The company has a strong commitment to social responsibility, participating in public welfare and charity initiatives[191]. - The company has established a safety management system that includes various safety protocols and training for new employees[192]. Governance and Management - The company ensures fair treatment of all shareholders and provides timely and accurate information to enhance transparency[115]. - The board of directors and supervisory board operate independently, fulfilling their responsibilities diligently and maintaining the interests of all shareholders[114]. - The company has established a robust internal control and risk management system to safeguard shareholder interests[113]. - The company maintains independent operations in business, personnel, assets, institutions, and finance, ensuring no non-operational fund transfers with the controlling shareholder[117]. - The company has a complete production and operational asset structure, with all related production technologies and facilities legally owned[117]. - The company has established a comprehensive salary system that combines fixed and performance-based compensation to motivate employees[153]. Strategic Initiatives and Future Outlook - The company is actively seeking opportunities for mergers and acquisitions within the industry to enhance resource sharing and drive growth[62]. - The company intends to engage in capital operations, including equity participation, acquisitions, and restructuring, to promote sustainable and stable business development[103]. - In 2022, the company aims for product sales, operating revenue, and net profit attributable to shareholders to grow by -30% to 0% year-on-year, with operating costs controlled at approximately 72% of revenue[105]. - The company plans to maintain a research and development expense ratio of around 4% of operating revenue, while controlling total period expenses at about 15%[105]. - The company has implemented cost-cutting measures that are projected to save approximately 50 million RMB annually[131]. - The management team has emphasized a focus on sustainability initiatives, aiming for a 30% reduction in carbon emissions by 2025[131].