JIN LEI(SZ:300443)2020-02-28 16:00Production and Investment - The company has implemented an annual production project for 8,000 MW-level wind turbine main shafts, with the first phase of raw material self-production officially launched[7]. - The company is actively promoting the green manufacturing project for high-end ductile iron components used in offshore wind power[7]. - The company is expanding its investment projects, which are expected to significantly impact its operational scale and strategic development[9]. - The company is focusing on the development of new products and technologies to optimize production processes and improve employee skills[6]. - The company is actively promoting the construction of offshore wind power main shafts and other precision transmission shaft projects to explore new profit growth points[37]. - The company plans to raise up to 500 million CNY through a non-public offering of up to 47,611,360 shares to fund offshore wind power main shafts and other precision transmission shaft projects[168]. - The company plans to optimize and upgrade its casting and forging production lines, aiming for an annual production capacity of 45,000 tons of high-end cast iron wind power main shafts for offshore wind power[99]. - The company will enhance its production capacity for hollow shafts to meet increasing demand, focusing on technical and management innovations[99]. Financial Performance - The company's operating revenue for 2019 was ¥1,124,000,775.49, an increase of 42.34% compared to ¥789,639,907.88 in 2018[26]. - The net profit attributable to shareholders for 2019 was ¥205,198,565.91, representing a growth of 76.37% from ¥116,343,673.40 in 2018[26]. - The net profit after deducting non-recurring gains and losses was ¥202,014,950.96, up 83.77% from ¥109,925,325.87 in 2018[26]. - The company's cash flow from operating activities reached ¥313,496,913.48, a significant increase of 320.53% compared to -¥142,156,904.41 in 2018[26]. - The total profit reached 235 million yuan, with a year-on-year increase of 74.67%[48]. - The wind power sector generated ¥947,816,508.72, accounting for 84.33% of total revenue, with a year-on-year growth of 39.89%[57]. - The gross profit margin for the wind power sector was 31.67%, with a year-on-year increase of 1.34%[58]. - The company achieved a revenue of 1.124 billion yuan, representing a year-on-year growth of 42.34%[48]. Research and Development - The company holds 19 patents, including 6 invention patents and 13 utility model patents, with 13 additional patent applications currently in progress[40]. - The company has developed 19 types of main shafts and 13 types of free forgings, successfully completing 22 innovation projects during the reporting period[50]. - The company’s R&D team collaborates with prestigious institutions like Shanghai Jiao Tong University and Shandong University, focusing on continuous innovation and improvement[40]. - Research and development (R&D) expenses amounted to CNY 43.09 million, accounting for 3.83% of total revenue, with a year-on-year increase of 51.41%[68]. - The number of R&D personnel increased to 86, representing 11.53% of the total workforce[68]. - The company invested CNY 43.09 million in R&D during the reporting period, focusing on high-quality special steel preparation technology and wind power spindle forging processes[67]. Market and Sales - The sales volume of the main product, wind power main shafts, reached 95,000 tons, a growth of 38.48% year-on-year, with a global market share of 24.98%[37]. - The company sold 95,373.62 tons of products in 2019, a 38.48% increase from 68,869.35 tons in 2018[60]. - The sales of free forgings amounted to ¥35,690,000, an increase of 153.24% compared to the previous year[37]. - The top five customers accounted for 65.05% of total sales, with the largest customer contributing ¥216,573,440.24, or 19.27% of total sales[64]. - The total sales amount from the top five suppliers was ¥621,037,920.08, representing 60.39% of total purchases[64]. Risk Management - The company faces risks from macroeconomic fluctuations and downstream industry impacts, which could affect market demand and operational performance[6]. - The company acknowledges risks related to foreign exchange rate fluctuations that could impact sales revenue and profitability[10]. - The company has restructured its risk prevention system and enhanced legal knowledge training to improve risk resistance capabilities[54]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties during the reporting period[124]. Corporate Governance and Shareholder Relations - The company has committed to fulfilling all promises made by shareholders and related parties during the reporting period[117]. - The company has maintained a good integrity status, with no significant debts or court judgments unfulfilled during the reporting period[143]. - The company has not reported any non-standard audit reports for the recent period[125]. - The company appointed Deloitte Touche Tohmatsu Certified Public Accountants LLP as the new auditor for the 2019 fiscal year, with an audit fee of ¥500,000[136]. - The total number of shares is 238,056,802, with 33.02% being restricted shares and 66.98% unrestricted shares[173]. - The largest shareholder, Yiting Lei, holds 43.13% of the shares, totaling 102,662,336 shares, with 76,996,752 shares being restricted[178]. - The company reported a total of 16,619 common shareholders at the end of the reporting period, an increase from 15,438 at the previous month-end[178]. Social Responsibility and Environmental Commitment - The company has maintained a strong commitment to social responsibility, including donations of 90,000 CNY to local charities and 100,000 CNY to educational foundations[161]. - The company emphasizes environmental protection and aims for "zero emissions" in its production processes[161]. - The company has established a mechanism to support employees in need, including financial assistance for employees' family members and health monitoring programs[161]. Dividend Policy - The company plans to distribute a cash dividend of 1.8 RMB per 10 shares (including tax) based on a total of 238,056,802 shares[10]. - In 2019, the company distributed cash dividends totaling RMB 42,850,224.36, representing 20.88% of the net profit attributable to ordinary shareholders[116]. - In 2018, the cash dividends amounted to RMB 23,805,680.20, which was 20.46% of the net profit attributable to ordinary shareholders[116]. - The total cash dividends for 2019 and 2018 reflect a consistent dividend policy, with increases in cash payouts over the years[116]. Compliance and Regulatory Matters - The new financial instrument standards were adopted starting January 1, 2019, impacting the accounting policies related to financial assets[125]. - The new standards require the classification of financial assets into three categories based on their cash flow characteristics and management business models[126]. - The company will apply the expected credit loss model for impairment accounting, which requires ongoing assessment of credit risk[127]. - The expected credit loss model will lead to earlier recognition of credit losses compared to previous standards[127].