ABACHEM(SZ:300261)2020-04-27 16:00Financial Performance - The company reported a total revenue of RMB 963,309,471 for the year 2019, with a cash dividend of RMB 0.1 per 10 shares to all shareholders[9]. - The company's operating revenue for 2019 was ¥1,664,423,796.64, a decrease of 7.82% compared to ¥1,805,648,808.19 in 2018[28]. - The net profit attributable to shareholders for 2019 was ¥81,643,737.20, down 49.17% from ¥160,624,232.89 in 2018[28]. - The net cash flow from operating activities for 2019 was ¥94,145,833.26, a significant decline of 69.42% compared to ¥307,852,991.62 in 2018[28]. - The basic earnings per share for 2019 was ¥0.0848, a decrease of 49.13% from ¥0.1667 in 2018[28]. - The total assets at the end of 2019 were ¥3,579,067,760.76, a decrease of 1.52% from ¥3,634,461,471.46 at the end of 2018[28]. - The company reported a net profit excluding non-recurring gains and losses of ¥114,690,626.90 for 2019, down 27.13% from ¥157,389,316.79 in 2018[28]. - The company achieved total revenue of CNY 166,442.38 million in 2019, a decrease of 7.82% compared to the previous year[57]. - The net profit attributable to shareholders was CNY 8,164.37 million, down 49.17% year-on-year[57]. Risk Management - The company faces risks including COVID-19 pandemic, industry risks, raw material price fluctuations, and exchange rate risks, which are detailed in the report[9]. - The company has established a comprehensive risk management framework to mitigate potential impacts from market volatility[9]. - The company is actively managing risks related to raw material price fluctuations and exchange rate volatility to maintain operational stability[166]. - Risks from the COVID-19 pandemic may impact operations, particularly in export markets, but the company has a solid customer base to mitigate these risks[163]. Research and Development - The company is focused on expanding its market presence and enhancing its product offerings through research and development initiatives[9]. - The company has invested CNY 10,682.39 million in R&D in 2019, representing 6.42% of its total revenue, maintaining a high level of investment in innovation[60]. - The company has developed key intermediates for major pharmaceutical companies, including Venetoclax and Turalio, supporting its growth in the pharmaceutical sector[58]. - The company has a total R&D area exceeding 10,000 square meters, with a dedicated Shanghai R&D center of approximately 5,000 square meters[50]. - The company has three main R&D centers, with the Shanghai Zhangjiang R&D center covering approximately 5,000 square meters[45]. - The number of R&D personnel increased to 357 in 2019, accounting for 30.20% of the total workforce, up from 24.12% in 2018[86]. Investment and Expansion - The company invested ¥30 million to establish an industrial investment fund focused on fine chemicals and biopharmaceuticals[44]. - The company signed a cooperation agreement to invest ¥10 million for an 18% stake in Yuchang Fine Chemical, enhancing its production capabilities for high-end pesticide intermediates[44]. - The company plans to invest in a new enzyme preparation and green research institute project to accelerate the development of its biocatalysis and high-end custom pharmaceutical intermediates[60]. - The company has decided to terminate the Taicang base production line upgrade project and use the remaining funds for permanent working capital[126]. - The company plans to delay the Nantong base expansion project to July 2020 and the Binhai base expansion project to May 2020 due to regulatory impacts from a chemical plant explosion[126]. Dividend Policy - The company proposed a cash dividend of 0.1 yuan (including tax) for every 10 shares based on a total share capital of 963,309,471 shares as of December 31, 2019[176]. - The total cash dividend amount for 2019 was 9,633,094.71 yuan, which accounted for 100% of the distributable profit of 12,189,240.73 yuan[173]. - The company distributed a cash dividend of 0.5 yuan (including tax) for every 10 shares for the first half of 2019, approved by the shareholders' meeting[175]. - The cash dividend for 2018 was 86,697,852.39 yuan, representing 53.98% of the net profit attributable to ordinary shareholders[176]. - The cash dividend for 2017 was 38,532,378.84 yuan, which accounted for 52.66% of the net profit attributable to ordinary shareholders[176]. - The company has consistently maintained a clear and transparent cash dividend policy, aligning with its articles of association and shareholder resolutions[172]. Corporate Governance - The company’s financial report has been verified for accuracy and completeness by its board and management[8]. - The company has appointed China International Capital Corporation as its sponsor for continuous supervision during the reporting period[27]. - The independent directors have fulfilled their responsibilities and ensured the protection of minority shareholders' rights during the dividend distribution process[172]. - The company has maintained a continuous relationship with its accounting firm for six years, with an audit fee of 900,000 RMB[192]. - The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period[186]. - The company faced a criticism for delayed information disclosure, resulting in a public reprimand on October 24, 2019[197]. Subsidiaries and Market Position - The overall performance of subsidiaries significantly impacts the company's financial results, with varying profitability across different entities[144][145][148][149][151][154]. - The company is focused on expanding its market presence and enhancing its product offerings through research and development initiatives[144][145][148][149][150][151][154]. - Future outlook includes potential mergers and acquisitions to strengthen market position and diversify product lines[144][145][148][149][150][151][154]. - The company has signed a significant contract worth RMB 3.5 billion for the key intermediate of the patented product, which is expected to stabilize sales revenue and cash flow in 2020[161]. - Yayben Chemical plans to strengthen its pesticide business while leveraging its advantages in biotechnology to enhance its pharmaceutical business layout, aiming for industrialization and scale development[159].