NEW POWER(SZ:300152)2021-04-19 16:00Financial Performance - The company's operating revenue for 2018 was ¥526,434,765, a decrease of 19.57% compared to ¥661,795,558 in 2017[17]. - The net profit attributable to shareholders was -¥516,565,468, representing a significant decline of 12,242.30% from a profit of ¥10,320,897.4 in 2017[17]. - The net profit excluding non-recurring gains and losses was -¥480,211,464, showing a decrease of 441.71% compared to -¥82,580,076 in 2017[17]. - The cash flow from operating activities was -¥33,965,553, a 66.53% improvement from -¥101,481,954 in 2017[17]. - The total assets at the end of 2018 were ¥2,021,217,521, a decrease of 33.21% from ¥3,026,344,541 in 2017[17]. - The net assets attributable to shareholders decreased by 44.06% to ¥661,248,774 from ¥1,182,255,761 in 2017[17]. - The basic earnings per share for 2018 was -¥0.7247, a decline of 12,178.33% from ¥0.0145 in 2017[17]. - The weighted average return on equity was -55.92%, down from 0.88% in 2017[17]. - The total operating revenue for the reporting period was CNY 526.43 million, a decrease of 19.57% compared to the same period last year[49]. - Operating costs amounted to CNY 454.68 million, down 13.18% year-on-year[55]. - The net profit attributable to the parent company was CNY -516.57 million, a significant decrease of 12242.30% compared to the previous year[49]. Strategic Focus and Development - The company plans to focus on hydrogen energy development, aiming to build a full industry chain related to hydrogen energy preparation and storage[28]. - The strategic focus will shift towards environmental governance needs in the Xiong'an New Area, with plans to expand services nationwide and along the "Belt and Road" initiative[28]. - The company operates in three core business segments: energy-saving combustion, flue gas governance, and water environment governance[29]. - The company emphasizes technology research and development, continuing to develop low-nitrogen combustion technologies and waste gas treatment solutions[31]. - The company aims to enhance operational efficiency through refined management and clear business positioning for subsidiaries, focusing on cost control and project management[45][46]. - The company is actively pursuing strategic layouts in the environmental protection industry to leverage synergies across its business segments[44]. - The company is committed to continuous technological innovation, with multiple awards for its research and development efforts in environmental technology[36]. - The company is positioned as a comprehensive environmental governance platform, integrating various services such as energy-saving combustion and waste treatment[41]. - The company aims to ensure project quality and timeliness through strategic partnerships, enhancing its operational capabilities in Xiong'an New Area[93]. Research and Development - The company increased its R&D expenses by 28.01% to CNY 31.65 million, reflecting a commitment to innovation[63]. - The company's R&D investment in 2018 amounted to ¥31,646,205.22, representing 6.01% of its operating revenue, an increase from 3.78% in 2017[66]. - The number of R&D personnel increased to 75 in 2018, accounting for 10.89% of the total workforce, up from 9.30% in 2017[66]. - The company plans to enhance its research and development capabilities, focusing on low-nitrogen combustion technologies and waste gas treatment solutions[92]. Subsidiaries and Market Presence - The company established four wholly-owned subsidiaries during the reporting period, expanding its operational footprint[60]. - The company is focusing on expanding its market presence through new subsidiaries and strategic initiatives in the renewable energy sector[81]. - The company’s total revenue from its subsidiaries was impacted by various operational challenges, with some subsidiaries reporting significant losses[78]. - The company established several new subsidiaries, including Xiong'an Kairong Intelligent Environmental Protection Technology Development Co., Ltd., which had a minor impact on overall performance[80]. Governance and Compliance - The company has acknowledged the need for accounting error corrections as mandated by the Jiangsu Securities Regulatory Bureau[17]. - The company has been recognized as a "National Intellectual Property Demonstration Enterprise" and has received various honors for its innovative products[38]. - The company has committed to maintaining independent operations and financial management, ensuring no misuse of resources[108]. - The company has not proposed any stock bonus plans for the last three years, focusing instead on maintaining financial stability[106]. - The company has faced public reprimands from the Shenzhen Stock Exchange for incomplete and untimely information disclosure[132]. - The company has been under investigation by the China Securities Regulatory Commission for information disclosure violations[132]. - The company reported related party transactions amounting to 11 million yuan, with actual transactions of 7.0194 million yuan during the reporting period[137]. Challenges and Risks - The company faces increased competition in the environmental protection industry, with more potential competitors entering the market through investments and acquisitions[94]. - The company is addressing risks related to rising production costs due to increasing prices of materials and labor in the environmental sector[97]. - The company has established a comprehensive accounts receivable management system to improve turnover rates and mitigate risks associated with growing accounts receivable[98]. - The company reported a non-operating fund occupation of 7,769.82 million CNY, which accounts for 12.21% of the latest audited net assets[112]. Management and Human Resources - The company experienced significant management turnover in 2018, with multiple executives resigning for personal reasons, including the CFO and several vice presidents[178]. - The company appointed a new general manager, Mr. Ge Bing, on January 15, 2019, following the resignation of Mr. Li Xiaoguang[176]. - The company has a structured compensation system for its directors and senior management, based on performance assessments and approved by the shareholders[188]. - The total compensation for the company's directors and senior management during the reporting period amounted to 417.32 million[191]. - The company has established a comprehensive training system to enhance employee skills and awareness, incorporating training plans into the overall budget and performance evaluation[193]. Future Outlook - The company aims to achieve a 100% harmless treatment rate for urban household waste in major cities by the end of 2020, as outlined in national policies[87]. - The company is committed to enhancing its competitive edge through technological innovation and capital operations, aiming for diversified development in the environmental sector[90]. - The company has set ambitious performance targets for the upcoming fiscal year, aiming for substantial growth[175].