TSC(SZ:000877)2024-03-26 16:00Financial Performance - The company's operating revenue for 2023 was ¥107.38 billion, a decrease of 19.01% compared to ¥132.58 billion in 2022[11]. - The net profit attributable to shareholders for 2023 was ¥1.97 billion, down 56.74% from ¥4.54 billion in 2022[11]. - The net profit after deducting non-recurring gains and losses was ¥584.97 million, a decline of 78.37% from ¥2.70 billion in 2022[11]. - Basic earnings per share for 2023 were ¥0.2268, a decrease of 56.87% compared to ¥0.5259 in 2022[12]. - The total assets at the end of 2023 were ¥294.72 billion, an increase of 2.04% from ¥288.84 billion at the end of 2022[12]. - The net assets attributable to shareholders at the end of 2023 were ¥84.15 billion, up 2.86% from ¥81.81 billion at the end of 2022[12]. - The company reported a net cash flow from operating activities of ¥16.95 billion, an increase of 11.14% from ¥15.25 billion in 2022[11]. - The company recorded a loss of ¥1.23 billion in the first quarter of 2023, followed by a profit of ¥1.37 billion in the second quarter[13]. - The company’s total revenue for the cement and related products segment was approximately ¥104.65 billion, a decrease of 18.88% compared to the previous year[43]. - The gross profit margin for the cement and related products segment was 15.68%, showing no change from the previous year[43]. Dividend Policy - The company plans to distribute a cash dividend of 1.14 CNY per 10 shares based on a total of 8,663,422,814 shares, with no bonus shares issued[2]. - The company declared a cash dividend of 987,630,200.80 CNY, which represents 50.26% of the audited net profit attributable to shareholders of the parent company for 2023[137]. - The net profit attributable to shareholders of the parent company for 2023 was 1,965,141,228.79 CNY, with a total distributable profit of 5,482,416,369.11 CNY[137]. - The company plans to distribute cash dividends of no less than 50% of the audited net profit attributable to shareholders of the parent company for each year from 2022 to 2024, contingent on profitability and no major cash expenditures[137]. Market and Industry Trends - In 2023, China's GDP reached 126.06 trillion yuan, growing by 5.2% year-on-year[16]. - National cement production in 2023 was 2.023 billion tons, a decrease of 0.9% compared to the previous year, marking the lowest level since 2011[16]. - The real estate sector's investment in 2023 was 1.109 trillion yuan, down 9.6% year-on-year, significantly impacting cement demand[16]. - The demand for ready-mixed concrete in 2023 decreased by 5.5% year-on-year due to pressures from the real estate sector[19]. - The cement industry is facing intensified competition, high raw material costs, and increased environmental regulations, leading to significant profit shrinkage[16]. Corporate Governance - The company emphasizes the importance of risk awareness regarding its future plans and forecasts, as outlined in the management discussion section[2]. - The company maintains a strong commitment to corporate governance and social responsibility as part of its operational strategy[5]. - The company has established a robust corporate governance structure, ensuring compliance with relevant laws and regulations[85]. - The company held five shareholder meetings during the reporting period, ensuring transparency and compliance in decision-making processes[86]. - The board of directors consists of 9 members, including 3 independent directors and 1 employee director, complying with legal requirements[88]. Environmental Compliance - The company has implemented a comprehensive environmental management system to support its ecological protection efforts[149]. - The company reported a total pollutant emission of 0.528 tons for Qingzhou Zhonglian Cement Co., Ltd. with a concentration of less than 10 mg/m³, meeting the emission standard of 10 mg/m³[152]. - The company achieved a nitrogen oxide emission of 325.66 tons from Qingzhou Zhonglian Cement Co., Ltd., with a concentration of 53.9 mg/m³, surpassing the emission standard of 100 mg/m³[152]. - The company is committed to continuous improvement in its environmental protection practices and compliance with industry standards[149]. - The company is actively monitoring and managing emissions from its production processes, with detailed reporting on organized emissions across multiple plants[153]. Strategic Initiatives - The company is focused on expanding its market presence and enhancing production capabilities in various regions, including East, Central, North, and West China, as well as overseas markets[5]. - The company is committed to developing new products and technologies to enhance its competitive edge in the cement industry[5]. - The company is actively exploring digital transformation and smart factory initiatives to improve operational efficiency[25]. - The company plans to enhance its product offerings by focusing on high-end cement and special cement applications[25]. - The company is focusing on supply-side structural reforms and aims to enhance industry concentration while pursuing green, low-carbon, and high-quality development in the cement industry[72]. Leadership Changes - The company reported a significant leadership change with the appointment of Zhao Xinjun as President on March 20, 2023, after the resignation of former President Xiao Jiaxiang due to work adjustments[97]. - The company experienced a change in its board with the resignation of Chairman Chang Zhangli on August 22, 2023, due to work adjustments, and the election of Liu Yan as the new Chairman[99]. - The company has seen a total of 2,000 shares issued to the Secretary of the Board, Li Xueqin, reflecting ongoing corporate governance practices[96]. - The company is actively expanding its executive team, with several new appointments including He Xiaolong and Jiang Dehong as Vice Presidents in June 2023[99]. Research and Development - Research and development expenses increased by 24.75% to approximately ¥2.38 billion, with R&D personnel rising by 6.43% to 9,481[49][50]. - The company is focusing on high-quality development through digital transformation and smart manufacturing initiatives[40]. - The company aims to reduce production costs by 5% through operational efficiencies in the next year[106]. - The company plans to allocate 500 million CNY for research and development in innovative cement products[115]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15%[106]. - The company plans to enhance its marketing strategies and optimize customer structure to improve profitability amidst a challenging macroeconomic landscape[78]. - The company aims to achieve a 20% reduction in overall emissions by 2025 as part of its sustainability goals[159]. - The company is optimistic about future growth prospects, supported by ongoing investments in technology and market expansion initiatives[154].