Jiangsu Zhongshe (SZ:002883)2022-04-28 16:00Financial Performance - The company's operating revenue for 2021 was ¥606,342,742.35, representing a year-over-year increase of 27.61% compared to ¥475,169,674.94 in 2020[21]. - The net profit attributable to shareholders for 2021 was ¥60,474,253.74, a decrease of 17.96% from ¥73,715,182.16 in 2020[21]. - The net cash flow from operating activities was ¥26,227,343.65, down 73.97% from ¥100,744,669.04 in the previous year[21]. - The total assets at the end of 2021 amounted to ¥1,209,111,586.05, reflecting a 23.23% increase from ¥981,218,701.37 at the end of 2020[21]. - The company's basic earnings per share for 2021 was ¥0.47, a decline of 17.54% compared to ¥0.57 in 2020[21]. - The weighted average return on equity for 2021 was 10.51%, down from 14.18% in 2020, indicating a decrease of 3.67%[21]. - The total operating revenue for the reporting period was ¥606,342,742.35, representing a 27.61% increase compared to ¥475,169,674.94 in the previous year[56]. - The revenue from planning consulting and surveying design accounted for 79.44% of total revenue, amounting to ¥481,680,319.95, which is a 39.82% increase from the previous year's ¥344,505,712.73[56]. Dividends and Shareholder Returns - The company plans to distribute a cash dividend of 1.15 RMB per 10 shares to all shareholders, based on a total share capital of 130,257,852 shares as of December 31, 2021[6]. - The company distributed a cash dividend of 0.8 CNY per 10 shares, totaling 14,979,652.98 CNY for the year[162]. - The cash dividend accounted for 100% of the total profit distribution, with a minimum cash dividend ratio of 80% during profit distribution[162]. - The company plans to issue 1.15 CNY per 10 shares as cash dividends and 2 additional shares for every 10 shares held from the capital reserve[163]. Business Operations and Strategy - The company has not reported any changes in its main business operations since its listing[20]. - The company is actively involved in the PPP model for public service projects, enhancing efficiency and quality through market competition[13]. - The company focuses on providing comprehensive engineering design consulting services across four major sectors: transportation, municipal, construction, and environment[42]. - The company aims to enhance its core competitiveness by leveraging macroeconomic adjustments and focusing on high-quality development opportunities[39]. - The company is committed to modernizing infrastructure to support agricultural and rural development, including improvements in rural transportation systems and cold chain logistics[38]. - The company is exploring the integration of multiple urban road poles to enhance city management and improve urban aesthetics[68]. Research and Development - The company increased its R&D personnel by 30% and undertook 19 R&D projects during the reporting period[53]. - The company's R&D investment increased by 32.08% in 2021, totaling ¥30,703,345.35, compared to ¥23,246,101.02 in 2020[77]. - R&D expenditure accounted for 5.06% of total revenue in 2021, up from 4.89% in 2020, reflecting a 0.17% increase[77]. - The company has a strong innovation and R&D capability, collaborating with universities on key projects in areas like road materials and smart transportation[48]. Market and Industry Trends - The smart transportation market in China grew from 42 billion yuan in 2011 to 165.8 billion yuan in 2020, with an annual growth rate of nearly 20%[40]. - By 2026, the smart transportation industry market size is projected to exceed 400 billion yuan, with an average compound annual growth rate of around 16%[40]. - The traffic design consulting industry is expected to maintain a rapid growth trend, driven by the national infrastructure construction initiatives outlined in the "14th Five-Year Plan"[99]. - The urbanization rate in China is approximately 64.72%, indicating significant potential for growth in the municipal engineering design consulting sector[101]. Governance and Compliance - The board of directors consists of 7 members, including 3 independent directors, and held 9 meetings during the reporting period[117]. - The supervisory board is composed of 3 members and conducted 7 meetings, ensuring compliance with legal requirements[118]. - The company maintained strict information disclosure practices, ensuring timely and accurate communication with investors through various platforms[119]. - The independent directors focus on protecting the interests of minority shareholders and provide independent opinions on major issues[117]. - The company has no significant discrepancies in governance compared to regulatory requirements[120]. Acquisitions and Investments - The company completed the acquisition of 100% equity in Yunnan Qujing Design Institute for ¥15.04 million, making it a wholly-owned subsidiary[61]. - The goodwill from the acquisition of Yunnan Qujing was recorded at 7,445,490.70 yuan, indicating a strategic investment in expanding service capabilities[192]. - The company is currently conducting research on TRD waterproof curtain construction methods to improve quality and safety control, aiming to provide better management experience for similar projects in the future[67]. Social Responsibility and Community Engagement - The company raised a total of 28,864 yuan in a charity fundraising campaign among all employees, demonstrating commitment to social responsibility[181]. - The company completed over 20 projects related to rural infrastructure construction and poverty alleviation, including road maintenance and bridge reconstruction in various provinces[182]. - The company actively participated in rural revitalization projects, including planning and upgrading rural roads in Jiangsu province[183]. Employee Management and Compensation - The company has a structured compensation policy based on position, performance, and qualifications, ensuring transparency and compliance with regulations[156]. - The company has implemented a talent incentive mechanism to cultivate high-level technical and management personnel, ensuring sustainable development[48]. - The company has approved the financial budget plan for 2021 and the profit distribution plan for 2020[151].