CCCC(SH:601800)2024-03-28 16:00Financial Performance - In 2023, China Communications Construction Company achieved a net profit of 263.64 billion RMB, representing a year-on-year increase of 16.3%[16]. - The company's operating revenue for 2023 reached ¥758.68 billion, a 5.10% increase from ¥721.89 billion in 2022[35]. - Net profit attributable to shareholders was ¥23.81 billion, representing a 23.61% increase from ¥19.26 billion in 2022[35]. - The net profit after deducting non-recurring gains and losses was ¥21.65 billion, up 58.18% from ¥13.69 billion in 2022[35]. - The net cash flow from operating activities was ¥12.07 billion, a significant increase of 960.50% compared to ¥1.14 billion in 2022[35]. - The company's total assets increased by 11.05% to ¥1.68 trillion from ¥1.52 trillion at the end of 2022[35]. - Basic earnings per share rose to ¥1.39, a 26.36% increase from ¥1.10 in 2022[36]. - The weighted average return on equity increased by 1.30 percentage points to 8.87% from 7.57% in 2022[36]. Contract and Project Performance - The total new contract value signed in 2023 was CNY 1,753.22 billion, up 13.68% year-on-year, exceeding the annual target by 3.53%[46]. - The company held an uncompleted contract amount of CNY 3,450.66 billion as of December 31, 2023[45]. - New contracts from overseas regions amounted to CNY 319.75 billion (approximately USD 47.53 billion), a year-on-year increase of 47.5%[45]. - The infrastructure construction business contributed CNY 1,558.48 billion to the new contracts, accounting for the majority of the total[46]. - The company signed new contracts worth 1,753.215 billion yuan, a year-on-year increase of 13.68%[52]. - The new contracts from overseas regions amounted to 319.746 billion yuan (approximately 47.526 billion USD), representing a 47.5% year-on-year growth, accounting for 18.24% of total new contracts[52]. Research and Development - The R&D investment intensity increased to 3.65%, up by 0.32 percentage points year-on-year[16]. - The company invested 27.71 billion RMB in R&D, which accounted for 3.65% of operating revenue, an increase of 0.37 percentage points from the previous year[83]. - The company operates 12 national-level innovation platforms and 87 provincial-level innovation platforms, enhancing its research and development capabilities[26]. - The company has accumulated 34,343 authorized patents, indicating a strong focus on technological advancement[27]. Strategic Goals and Future Outlook - The company aims for a compound annual growth rate of net profit of no less than 8.5% and a new contract value growth of no less than 13.5% in 2024[15]. - The company plans to focus on enhancing quality and efficiency in 2024, with a target for new contract growth not less than the overall growth rate[47]. - The company aims to significantly improve its technological innovation capabilities and modernize its industrial system in 2024[47]. - The company is committed to becoming a globally competitive, technology-driven enterprise, aligning with its vision of improving urban living and connectivity[27]. Dividend and Shareholder Returns - The company plans to distribute a cash dividend of 2.9253 RMB per 10 shares, totaling approximately 4.76 billion RMB[4]. - The company maintained a stable dividend policy, having distributed approximately 18.8 billion RMB in dividends since its listing[13]. - The company has established a three-year shareholder return plan (2023-2025), committing to distribute at least 10% of the distributable profits to ordinary shareholders annually[198]. International Expansion and Market Presence - The company is actively expanding its international presence, with significant projects in Bogotá, Saudi Arabia, and Nigeria now underway[54]. - The company emphasizes high-quality, sustainable development in its overseas business initiatives, aligning with the "Belt and Road" strategy[55]. - The company is prioritizing international expansion, particularly in infrastructure projects related to the Belt and Road Initiative[144]. Governance and Management - The board of directors consists of 8 members, with 5 external directors, including 4 independent directors, accounting for over one-third of the board[152]. - The company has implemented a comprehensive governance structure, ensuring clear delineation of responsibilities and effective checks and balances[154]. - The total pre-tax compensation received by executives during the reporting period amounted to CNY 956.27 million[157]. Challenges and Risk Management - The company faces challenges due to reduced local government fund revenues and a downward trend in the real estate market, impacting infrastructure investment sustainability[71]. - The company is committed to safety in operations, recognizing the inherent risks in construction and production processes that could impact employee safety and brand reputation[149]. - The company acknowledges the potential impact of natural disasters and public health emergencies on its outdoor construction operations[149]. Sustainability and Environmental Focus - The company emphasizes green and low-carbon transformation, focusing on new industries such as energy conservation and new information technology[26]. - The company is committed to sustainable development, particularly in the areas of ecological restoration and resource utilization[143]. - The company aims to reduce carbon emissions by 20% over the next three years as part of its sustainability strategy[162].