Bossco(SZ:300422)2019-04-25 16:00Financial Performance - The company's operating revenue for 2018 was CNY 2,724,023,569.51, representing an increase of 85.49% compared to CNY 1,468,545,794.26 in 2017[16]. - The net profit attributable to shareholders for 2018 was CNY 235,263,045.52, a growth of 60.37% from CNY 146,704,232.04 in 2017[16]. - The net profit after deducting non-recurring gains and losses reached CNY 236,252,344.41, marking a 90.47% increase from CNY 124,036,354.87 in 2017[16]. - The basic earnings per share for 2018 was CNY 0.66, up 60.98% from CNY 0.41 in 2017[16]. - The diluted earnings per share for 2018 was CNY 0.67, reflecting a 63.41% increase from CNY 0.41 in 2017[16]. - The total assets at the end of 2018 amounted to CNY 6,525,506,046.43, an increase of 66.41% compared to CNY 3,921,372,127.80 at the end of 2017[16]. - The net assets attributable to shareholders at the end of 2018 were CNY 1,531,273,364.33, which is a 31.92% increase from CNY 1,160,797,686.39 at the end of 2017[16]. - The company's operating income for 2018 was ¥2,723,744,333.46, compared to ¥1,468,527,557.08 in 2017, marking an 85.5% increase[83]. - The company's environmental comprehensive governance revenue for 2018 reached ¥2,551,723,569.40, a significant increase from ¥1,383,740,747.99 in 2017, representing an 84.5% growth[83]. - Water pollution control revenue amounted to ¥1,900,779,466.27 in 2018, up from ¥955,011,079.43 in 2017, indicating a 99.3% increase[83]. - Soil remediation revenue increased to ¥298,673,256.43 in 2018 from ¥209,380,726.02 in 2017, reflecting a 42.6% growth[83]. Research and Development - The company reported a significant increase in R&D expenses, totaling CNY 90,758,782.37, which is a 99.86% increase from the previous year, reflecting enhanced investment in innovation[143]. - The company holds 151 authorized patents, including 29 invention patents and 122 utility model patents, with a patent technology conversion rate exceeding 70%[104]. - The company has established a research and development team with 860 technical personnel, including over 30 PhDs and 249 master's degree holders[108]. - The company has been recognized as a "National Enterprise Technology Center" during the reporting period, enhancing its status in the technology sector[106]. - The company has established partnerships with various domestic and international research institutions, fostering innovation and technology exchange[106]. Technology and Innovation - The company reported a total of 11 patents for the Upflow Multi-stage Anaerobic Reactor (UMAR) technology, with over 100 units already in industrial application by the end of 2018[30]. - The Upflow Multi-phase Wastewater Treatment Oxidation Tower (UHOFe) technology has 10 patents, with similar industrial application success as UMAR[33]. - The company holds 16 patents for the Methanol-based Chlorine Dioxide Preparation System, covering the entire preparation process and safety design[36]. - The company has developed the ACM biological reactor, which has been recommended as a key technology for rural sewage treatment in Guangxi, with over 100 units deployed across various provinces[42][43]. - The company has developed a comprehensive soil and groundwater remediation system, holding 5 invention patents and 13 utility model patents in soil remediation technologies as of December 31, 2018[47]. - The company has patented a solar-powered purification vessel aimed at addressing black and odorous water bodies, contributing to environmental sustainability[121]. Market and Industry Trends - The market for water pollution control is projected to require an investment of approximately CNY 4-5 trillion by 2020, with a growth rate of 15%-20% for water environment protection products and services expected over the next five years[88]. - The rural environmental comprehensive governance market is anticipated to reach a value of CNY 84 billion by 2020, with a potential to exceed CNY 200 billion by 2035[91]. - The soil remediation market is estimated to have a theoretical total market capacity of approximately CNY 10.13 trillion, with significant market space expected to be released during the "13th Five-Year Plan" period[92]. - The hazardous waste industry is projected to reach a scale of 100 billion by 2020, driven by a compound annual growth rate of 12% over the past decade[96]. - The overall sanitation market in China is expected to reach 224.37 billion by the end of 2019, reflecting a 39.1% increase from 161.29 billion in 2014[94]. Corporate Governance and Management - The company has established a comprehensive governance structure involving the board of directors and supervisory board to ensure accountability[3]. - The company emphasizes the importance of risk awareness regarding future plans and performance forecasts, indicating potential risks in management[3]. - The company has a stable management team with a strong focus on the environmental industry, ensuring competitive advantages in technology research and project execution[107]. - The company has not faced any significant impacts on its core competitiveness due to equipment upgrades, key personnel turnover, or loss of important intangible assets during the reporting period[113]. Environmental Initiatives - The company is focused on environmental comprehensive governance, including water pollution treatment and soil remediation, as its core business areas[29]. - The company has introduced a new "water and soil co-governance" model for industrial site pollution, integrating multiple remediation technologies[49]. - The company has actively participated in international environmental protection forums and initiatives, enhancing its brand influence and market presence[112]. - The company has made significant breakthroughs in the environmental steward business, contributing to local regions receiving national ecological civilization construction demonstration county titles[164]. Contracts and Projects - The company signed new contracts worth 5.498 billion yuan in the reporting period, with 3.131 billion yuan from EPC and EP contracts, and 3.769 billion yuan specifically for water pollution control contracts[149]. - As of the report date, the company has a total of 14.237 billion yuan in hand contracts, including 11.414 billion yuan for water pollution control and 1.657 billion yuan for soil remediation[149]. - The company has successfully implemented the largest chemical pollution site remediation project in Southwest China, with a total contract amount of 266 million yuan and a completion rate of 92.86%[156]. - The company has expanded its soil remediation contracts to 670 million yuan in 2018, with projects covering multiple provinces in China[155]. Financial Management - The company enjoyed a 15% corporate income tax rate reduction under the "High-tech Enterprise Certificate" and a 75% deduction for R&D expenses during the reporting period[135]. - The company's cash and cash equivalents increased by 59.97%, reaching ¥732,173,032.08, primarily due to the issuance of convertible bonds[140]. - Accounts receivable rose by 77.87% to ¥1,712,822,498.63, attributed to the expansion of the company's operational scale and increased project settlement[140]. - The company actively engages with financial institutions to utilize green credit policies, reducing financing costs and ensuring project funding needs[148].