HAGG(SH:601177)2024-04-11 16:00Dividend and Profit Distribution - The company plans to distribute a cash dividend of CNY 0.50 per 10 shares, totaling CNY 20,003,000.00, based on a total share capital of 400,060,000 shares as of December 31, 2023[4]. - The company does not plan to increase capital reserves into share capital and will carry forward the remaining distributable profits to future years[4]. - The company distributed cash dividends totaling 28,404,260.00 yuan to shareholders on July 7, 2023, as part of the 2022 profit distribution plan[135]. - The cash dividend policy stipulates that the cumulative cash distribution over the last three years should not be less than 30% of the average distributable profit for those years[135]. Financial Performance - The company's operating revenue for 2023 was CNY 1,882,559,196.50, representing a decrease of 14.28% compared to CNY 2,196,065,145.69 in 2022[24]. - Net profit attributable to shareholders for 2023 was CNY 211,461,160.70, a slight increase of 0.99% from CNY 209,389,990.12 in 2022[24]. - The basic earnings per share for 2023 was CNY 0.5286, up 0.99% from CNY 0.5234 in 2022[25]. - The weighted average return on equity decreased to 9.46% in 2023 from 10.21% in 2022, a decline of 0.75 percentage points[25]. - The net cash flow from operating activities improved to CNY 57,372,625 in 2023, compared to a negative cash flow of CNY -15,201,122 in 2022[24]. - The total assets at the end of 2023 were CNY 4,783,097,609.48, an increase of 7.69% from CNY 4,441,559,054.68 at the end of 2022[24]. - The company reported a significant increase in investment income due to the improved net profit of its associate, Xiaoshan Rural Commercial Bank[25]. - The net profit attributable to shareholders for the fourth quarter of 2023 was CNY 38,621,604.90, down from CNY 65,590,971.11 in the first quarter[28]. - The company experienced a decrease in total liabilities, contributing to the overall improvement in financial health[26]. - Non-recurring gains and losses for 2023 included CNY 25,626,773.56 from government subsidies closely related to the company's normal operations[29]. Research and Development - The company completed the development of 98 new products and 19 key components, with 37 new patents granted, including 16 invention patents[34]. - The company’s R&D efforts led to the successful development of electric and hybrid gearboxes, aligning with low-carbon economic trends[35]. - The company holds 302 valid patents, including 61 invention patents, showcasing its strong R&D capabilities[44]. - Research and development expenses were CNY 122,952,222.06, down 6.97% year-on-year due to changes in the structure of new product development projects[48]. - The company is investing heavily in research and development, allocating 5% of its total revenue to innovate new technologies and products[112]. Market and Industry Trends - The mechanical industry in China achieved operating revenue of CNY 29.8 trillion in 2023, a year-on-year growth of 6.8%[37]. - The global shipbuilding industry showed signs of recovery, with new ship prices reaching new highs in 2023[37]. - The shipbuilding industry in China saw a completion volume of 42.32 million deadweight tons in 2023, a year-on-year increase of 11.8%[39]. - The engineering machinery sector experienced a decline in sales for 8 out of 11 categories, with sales of loaders down by 15.8% year-on-year[39]. - The wind power sector added 75.90 million kilowatts of new installed capacity in 2023, a year-on-year increase of 102%[40]. - The agricultural machinery market saw a total revenue of 242.8 billion RMB, a decrease of 9.62% year-on-year[40]. Strategic Initiatives and Future Outlook - Future outlook indicates a focus on market expansion and new product development to counteract the revenue decline in core segments[50]. - The company plans to focus on high-quality development actions in key manufacturing industries, aiming for a 5% economic growth target in 2024[85]. - The company anticipates that the average profit margin in the shipbuilding industry will improve in 2024, driven by the delivery of high-priced vessels[87]. - The company is committed to advancing a modern industrial system and enhancing new productive forces as part of its strategic initiatives for 2024[85]. - The company aims to enhance its market share in the ship machinery sector while actively exploring emerging fields and accelerating the promotion of electric and hybrid products[95]. - The company plans to increase its R&D investment to improve core and foundational technologies, aiming for a faster product iteration rate and enhanced product performance[95]. Governance and Compliance - The company has revised its governance documents to enhance operational compliance and risk management, ensuring alignment with regulatory requirements[102]. - There are no significant differences in corporate governance compared to regulations set by the China Securities Regulatory Commission[105]. - The company has established a comprehensive internal control system that meets the requirements of relevant regulatory bodies[138]. - An independent audit of the internal control system was conducted, resulting in a standard unqualified opinion[141]. - The company has established several specialized committees within the board, including an audit committee and a strategic committee, to improve oversight[125]. Environmental Initiatives - The company invested 6.6189 million yuan in environmental protection during the reporting period[144]. - The company operates two wastewater treatment plants, ensuring that wastewater meets the discharge standards before entering the municipal sewage system[145]. - The average COD concentration for wastewater was significantly below the standard of 500 mg/L throughout the year[145]. - The company has implemented a comprehensive upgrade of its painting workshop, switching from oil-based to water-based paints, significantly reducing VOC emissions[151]. - The company emphasizes green development and resource conservation, optimizing design and processes to prioritize the use of green materials[150]. Shareholder and Stakeholder Relations - The company emphasizes the importance of investor relations management to enhance recognition of its investment value among existing and potential investors[104]. - The company continues to focus on enhancing communication with stakeholders through various platforms[104]. - The company has maintained a consistent shareholding structure with no significant changes among directors and senior management[109]. - The total number of common shareholders as of the end of the reporting period is 26,581, an increase from 17,479 at the end of the previous month[187]. - The largest shareholder, Hangzhou Xiaoshan Industrial Development Group Co., Ltd., holds 180,056,250 shares, representing 45.01% of the total shares[189].