ANHUI EXPRESSWAY(SH:600012)2024-03-28 16:00Financial Performance - The net profit for the year 2023, according to Chinese accounting standards, was RMB 1,624,943 thousand, while under Hong Kong accounting standards, it was RMB 1,614,144 thousand[4]. - The distributable profit for shareholders for 2023 is RMB 1,614,144 thousand, based on the lower amount calculated under domestic and foreign accounting standards[4]. - The company proposes a cash dividend of RMB 6.01 per 10 shares, totaling RMB 996,824.61 thousand to be distributed[4]. - The company's operating revenue for 2023 reached CNY 6,631,337,271.78, representing a 27.37% increase compared to CNY 5,206,366,427.90 in 2022[19]. - Net profit attributable to shareholders for 2023 was CNY 1,659,928,716.34, a 14.87% increase from CNY 1,445,017,073.40 in the previous year[19]. - The total profit for the year was RMB 2,266,764 thousand, up 14.66% from RMB 1,976,932 thousand in the previous year[48]. - The company's total assets as of the end of 2023 were CNY 21,738,743,118.83, a 2.04% increase from CNY 21,303,368,819.17 at the end of 2022[19]. - The net cash flow from operating activities for 2023 was CNY 2,653,472,269.21, reflecting a 36.94% increase compared to CNY 1,937,699,977.46 in 2022[19]. - The company's net profit growth rate is projected to be 44.13%[44]. - The company's revenue growth rate is expected to be around 10.58%[44]. Dividend Policy - The company has maintained a stable dividend policy, distributing cash dividends for 27 consecutive years, totaling approximately RMB 8.415 billion, with a per-share dividend of RMB 5.1075[119]. - For the current year, the company plans to distribute a cash dividend of RMB 0.601 per share, achieving a payout ratio of 60.05%[119]. - The net profit attributable to ordinary shareholders in the consolidated financial statements for the year is RMB 1,659,928,716.34, with a cash dividend payout ratio of 60.05%[166]. - The company has established a shareholder return plan for 2021-2023, committing to distribute no less than 60% of the annual net profit attributable to the parent company in cash[165]. Audit and Compliance - The company has received a standard unqualified audit report from Ernst & Young Hua Ming[4]. - The internal control audit report issued by Ernst & Young Huaming indicates effective financial reporting internal controls[170]. - The audit report for the 2023 annual financial statements was issued without any reservations, confirming the accuracy of the financial data presented[188]. - The domestic accounting firm, Ernst & Young Huaming, received a remuneration of RMB 1.38 million for its auditing services in 2023[191]. - The company has retained Ernst & Young Huaming as its domestic auditor for two consecutive years, ensuring continuity in audit practices[193]. - The company has complied with all relevant laws and regulations, fulfilling its social responsibilities towards stakeholders, including shareholders and employees[121]. - The company has not engaged in any non-standard opinion audit reports, ensuring compliance with regulatory standards[190]. Operational Developments - The company has initiated the construction of a smart highway and smart toll station, with the first local standards for smart highways being developed in the province[40]. - The company aims to enhance its core asset quality and is actively involved in PPP projects, with the expansion of the Gaijie project officially starting[38]. - The company has established a smart operation command center for highways, improving service efficiency and safety measures[37]. - The company is focusing on innovation as a key driver for growth, integrating new technologies into network safety and travel services[41]. - The company is exploring new strategies for market expansion and technological development in the transportation sector[43]. - The company is focusing on addressing weaknesses in road maintenance and safety, particularly as many road sections are aging[42]. - The company is committed to deepening state-owned enterprise reforms and optimizing assessment mechanisms[42]. Investment and Capital Expenditure - The company completed an investment of RMB 2.475 billion in the Xuan Guang Expressway expansion PPP project during the reporting period, with a cumulative investment of RMB 3.893 billion[84]. - The company invested RMB 529.11 million to increase its stake to 55.47% in Xuan Guang Company, which focuses on highway construction and management[83]. - The company has established the Anhui Haicui Jinshi Innovation Development Investment Fund with a capital contribution of RMB 500 million, of which RMB 50 million was paid during the reporting period[84]. - The company also set up the Anhui Jiaokong Jinshi Emerging Industry Equity Investment Fund with a capital contribution of RMB 200 million, with RMB 10 million paid during the reporting period[84]. - The company is actively pursuing market expansion through strategic acquisitions, as indicated by multiple proposals for asset purchases[146]. Employee and Social Responsibility - The total number of employees in the parent company is 1,302, and the total number of employees in major subsidiaries is 638, resulting in a combined total of 1,940 employees[157]. - The company paid a total of RMB 59.01 million for social insurance and RMB 29.83 million for housing provident fund in 2023[160]. - The company contributed RMB 19.90 million to the enterprise annuity plan in 2023 to incentivize employee retention[161]. - The company has actively participated in community service activities, with approximately 8,970 volunteer service hours recorded during the reporting period[180]. - The company has implemented strict waste management practices, including the recycling of hazardous office waste and the separate collection of kitchen waste[175]. Governance and Management - The company has established a governance structure that includes a shareholders' meeting, board of directors, supervisory board, and management team, ensuring effective decision-making and compliance with regulations[107]. - The board of directors consists of 7 members, including 3 independent directors with expertise in finance and management, enhancing the board's decision-making efficiency[111]. - The supervisory board, comprising 3 members, focuses on financial supervision and compliance, having held 10 meetings during the reporting period to oversee the company's operations[112]. - The company has conducted 4 periodic reports and 108 temporary announcements (59 A-share and 49 H-share) during the reporting period, ensuring compliance with information disclosure regulations[114]. - The company has focused on enhancing the effectiveness and transparency of its information disclosure practices, benefiting all shareholders equally[113]. - The company has maintained effective governance and control without any significant violations or issues affecting governance levels[171]. Future Outlook - The company provided a future outlook with a revenue guidance of 12 billion CNY for the next fiscal year, indicating a projected growth of 20%[131]. - The company aims to enhance its investment capabilities and profitability through strategic investments in emerging industries and infrastructure projects[82]. - The company plans to enhance its operational management platform and aims to become a leading highway operation management and capital operation platform during the "14th Five-Year Plan" period[94]. - The company anticipates challenges in revenue sustainability due to policy changes and external economic factors, emphasizing the need for high-quality development to address these issues[41]. - The company is committed to exploring "zero-carbon" park models and optimizing photovoltaic and other renewable energy projects[178].