Yongfu(SZ:300712)2019-04-22 16:00Dividend and Profit Distribution - The company plans to distribute a cash dividend of 1.00 RMB per 10 shares to all shareholders, based on a total of 140,080,000 shares[5]. - The company will increase its capital reserve by converting 3 shares for every 10 shares held by shareholders[5]. - The company distributed a cash dividend of RMB 1.00 per 10 shares, totaling RMB 14,008,000.00 for the reporting period[145]. - The total distributable profit as of December 31, 2018, was RMB 204,811,771.94, after accounting for previous undistributed profits[146]. - The cash dividend accounted for 19.05% of the net profit attributable to shareholders, which was RMB 73,533,333.39 for the year 2018[148]. - The company proposed a capital reserve increase of 3 shares for every 10 shares held, with no cash dividends in previous years[147]. - The company maintained a consistent cash dividend policy over the past three years, with cash dividends of RMB 14,008,000.00 each year since 2017[148]. - The independent directors fulfilled their responsibilities and ensured the protection of minority shareholders' rights during the dividend distribution process[145]. - The company’s profit distribution plan aligns with its articles of association and relevant regulations[145]. - The total cash dividend distributed in 2018 represented 100% of the profit distribution total[146]. - The company’s net profit for the year was RMB 73,533,333.39, with a corresponding profit distribution plan approved by the board[146]. - The company has not proposed any cash dividend distribution plan for the current reporting period despite having positive distributable profits[148]. Financial Performance - The company's operating revenue for 2018 was ¥685,964,228.70, representing a 21.54% increase compared to ¥564,396,520.28 in 2017[17]. - The net profit attributable to shareholders for 2018 was ¥73,533,333.39, a decrease of 4.46% from ¥76,966,118.46 in 2017[17]. - The net cash flow from operating activities decreased by 64.30% to ¥20,123,743.81 in 2018 from ¥56,365,713.93 in 2017[17]. - The total assets at the end of 2018 were ¥1,420,600,618.35, an increase of 18.16% from ¥1,202,239,854.29 at the end of 2017[17]. - The company reported a basic earnings per share of ¥0.5249 in 2018, down 24.37% from ¥0.6940 in 2017[17]. - The net profit after deducting non-recurring gains and losses was ¥64,697,695.54, down 11.99% from ¥73,509,293.42 in 2017[17]. - The weighted average return on net assets decreased to 8.18% in 2018 from 14.80% in 2017, a decline of 6.62%[17]. - The company reported a total of ¥8,835,637.85 in non-recurring gains in 2018, compared to ¥3,456,825.04 in 2017[24]. - The company's long-term equity investments increased by 100% compared to the beginning of the year, primarily due to the adjustment of shares in Fujian Yongfan Wind Power Technology Co., Ltd. to long-term equity investments[33]. - Cash and cash equivalents grew by 62.41% year-over-year, attributed to an increase in net cash flow during the reporting period[33]. - Accounts receivable rose by 31.97% compared to the beginning of the year, driven by business growth and delays in project production due to external factors[33]. Business Operations and Strategy - The company is involved in engineering consulting, design, and project management services in the energy sector[10]. - The company is focused on clean and renewable energy solutions, including solar and wind energy[10]. - The company operates in over 20 provinces and regions in China and has expanded its overseas business to Southeast Asia, Africa, and the Middle East[27]. - The company provides full lifecycle technical services in power engineering planning, consulting, surveying, design, and EPC project contracting[27]. - The company aims to enhance its core competitiveness in the clean energy sector, focusing on offshore wind power as a strategic development direction[29]. - The company is actively participating in the national "going out" strategy, expanding its overseas business in Southeast Asia and Africa[29]. - The company has established a digital technology R&D center in 2018 and completed the first two phases of research work, with the comprehensive launch phase over 50% completed[39]. - The company plans to promote digital design across the power grid, power generation BOP, and offshore wind power sectors in the second half of 2019[39]. - The company has established stable cooperative relationships with over 30 large state-owned enterprises, enhancing its brand influence in the power engineering sector[44]. - The company undertook or participated in over 100 key national and provincial engineering survey and design tasks, winning 158 quality engineering awards at the national and provincial levels[44]. Research and Development - R&D investment accounted for 2.8% of total revenue in 2018, with the company obtaining 21 new patents during the year[36]. - The company has developed key technologies for offshore wind power, including research on embedded rock single-pile foundations and floating collision prevention technology[37]. - The company has accumulated a total of 25 patents related to offshore wind power, becoming the first in China to provide three-dimensional digital foundation design results[37]. - The company is focusing on enhancing its digital technology R&D investment to promote digitalization, networking, and intelligence in the power sector[128]. - The company plans to strengthen its innovation capabilities and core competitiveness through a three-year technology development plan[129]. Market Trends and Industry Outlook - The overall electricity consumption in China is projected to reach 6.8-7.2 trillion kWh by 2020, with an average annual growth rate of 3.6%-4.8%[105]. - The total installed capacity of electricity generation is expected to reach 2 billion kW by 2020, with an average annual growth rate of 5.5%[105]. - The cumulative installed capacity of offshore wind power in China reached 3,580 MW by November 2018, with approved project capacity at 17,100 MW and projects under construction at 6,000 MW[108]. - The market for energy-saving retrofitting of coal-fired power plants is significant, with an average coal consumption target of less than 310 grams/kWh for existing units by 2020[108]. - The investment in the distribution network construction and renovation is expected to be no less than 2 trillion yuan from 2015 to 2020, with a cumulative investment of no less than 1.7 trillion yuan during the 13th Five-Year Plan[110]. - The offshore wind power planning total scale is adjusted to 131,570 MW, with an increase of 59,390 MW, representing a growth rate of 81.11%[107]. - The average growth rate for nuclear power generation is projected at 16.5%, wind power at 9.9%, and solar power at 21.2% during the 13th Five-Year Plan[107]. - The Southeast Asian energy demand is projected to grow by over 80% by 2035, equivalent to Japan's current total energy consumption, presenting significant market opportunities for the power industry[116]. Risk Management - The company emphasizes the importance of risk awareness regarding forward-looking statements in the report[4]. - The company is addressing potential risks in the power industry, including policy changes and market fluctuations, by focusing on smart distribution networks and clean energy[135]. - The company is implementing measures to manage accounts receivable risks as its business scale expands[137]. - The company is enhancing its project management capabilities to mitigate risks associated with project execution and subcontractor quality control[138]. - The company is improving its overseas project management to adapt to local regulations and market conditions[139]. Shareholder and Corporate Governance - The company has committed to not transferring or entrusting others to manage its shares for 36 months from the date of its stock listing[149]. - The company’s shareholders are restricted from transferring their shares within 6 months of their resignation, and for 18 months thereafter, ensuring stability in shareholding[150]. - The total number of shares that can be reduced by shareholders after the lock-up period is limited to 10% of the total shares outstanding[150]. - If the stock price falls below the issue price for 20 consecutive trading days, the lock-up period will automatically extend by 6 months[150]. - The company has fulfilled all commitments related to share transfers and management as of the reporting date[149]. - The company has established measures to ensure that directors and senior management fulfill their commitments, with penalties for non-compliance[160]. - The company will disclose specific reasons for any failure to fulfill commitments in a timely manner[160]. - The company has the right to withhold cash dividends and salaries from violators until compliance is achieved[160]. - Serious violations of commitments may lead to the replacement of relevant directors or the dismissal of senior management by the board[160]. Subsidiaries and Related Transactions - The company established a subsidiary with a registered capital of ¥50 million, focusing on investments in various energy sectors and technology development[71]. - The company has engaged Huachuang Securities as its sponsor since its public listing in 2017, with a continuous supervision period until December 31, 2020[165]. - The company signed a housing lease contract with Fujian Yongfu Group Co., Ltd. for 210,000 yuan, which did not require board approval[177]. - A housing lease contract was signed with Fujian Province Yongfu Bofa Investment Co., Ltd. for 257,400 yuan, also not requiring board approval[177]. - The company entered into a housing lease contract with Fujian Province New Energy Offshore Wind Power Research Center Co., Ltd. for 537,600 yuan, with 118,300 yuan settled for office equipment leasing during the reporting period[177]. - The company did not engage in any asset or equity acquisition or sale transactions during the reporting period[174]. - There were no significant related party transactions that contributed to over 10% of the company's total profit during the reporting period[181]. - The company reported no significant impact from its leasing activities on its financial status or operations[180]. Employee Stock Ownership Plan - The first employee stock ownership plan raised a total of 20.62 million yuan, involving 99 participants including directors and senior management[171]. - As of January 31, 2019, the employee stock ownership plan acquired 1,455,368 shares, representing 1.0390% of the total share capital, at an average price of approximately 14.0264 yuan per share[172]. - The lock-up period for the employee stock ownership plan is 12 months, from February 1, 2019, to January 31, 2020, with a total duration from October 15, 2018, to October 14, 2021[172]. - The employee stock ownership plan aims to enhance employee motivation and align their long-term value with the company's growth[172].