GREATTOWN(SH:900940)2024-04-15 11:38Financial Performance - The company achieved a net profit attributable to the parent company of CNY 222,551,310.40 for the year 2023, with retained earnings at CNY 4,217,542,145.77[7]. - The parent company reported a net profit of CNY 61,897,854.49 for 2023, with a statutory surplus reserve of CNY 6,189,785.45, leading to distributable profits of CNY 1,903,364,362.47 at year-end[7]. - The company's operating revenue for 2023 reached ¥11,695,484,376.75, representing a year-on-year increase of 58.88% compared to ¥7,361,399,640.30 in 2022[31]. - The net profit attributable to shareholders of the listed company was ¥222,551,310.40, up 29.98% from ¥171,219,599.38 in the previous year[31]. - The basic earnings per share for 2023 was ¥0.0899, reflecting a 25.73% increase from ¥0.0715 in 2022[32]. - The cash flow from operating activities for 2023 was ¥1,648,494,574.77, a 90.77% increase compared to ¥864,132,532.90 in 2022[31]. - The total assets decreased by 26.87% to ¥25,326,101,115.43 at the end of 2023 from ¥34,629,620,437.70 at the end of 2022[31]. - The weighted average return on equity increased to 1.79% in 2023, up 0.42 percentage points from 1.37% in 2022[32]. - The company reported a net cash flow of ¥438,797,418.46 in Q4 2023, following a negative cash flow of -33,601,962.01 in Q3 2023[36]. - The company incurred a loss of ¥422,979,857.72 in Q4 2023, attributed to new sales policy adjustments and inventory impairment provisions[36]. - Non-recurring gains and losses totaled -¥11,347,113.00 for 2023, compared to ¥71,899,210.22 in 2022[38]. - The company's net assets attributable to shareholders increased slightly by 1.78% to ¥12,529,103,704.31 at the end of 2023 from ¥12,310,581,487.21 at the end of 2022[31]. - The company recognized an inventory impairment provision of approximately CNY 368 million, which fully impacted the 2023 operating performance and reduced the total profit for the year[51]. - The company achieved a consolidated revenue of CNY 11.695 billion, a year-on-year increase of 58.88%, and a net profit attributable to shareholders of CNY 223 million, up 29.98%[48]. Dividend and Profit Distribution - The company plans to issue shares to specific targets and aims to initiate a cash dividend plan post-issuance, targeting a minimum distribution of 30% of the audited net profit for 2023, approximately CNY 67 million[8]. - The company has decided not to distribute profits or increase capital reserves for the year 2023 due to uncertainties in the market[7]. - The company has established a cash dividend policy in accordance with the China Securities Regulatory Commission's guidelines, ensuring clear standards and decision-making processes for profit distribution[188]. - The company did not propose a profit distribution plan for 2023 due to the ongoing challenges in the real estate industry, opting instead to focus on maintaining safe operations[191]. - The company has a three-year shareholder return plan for 2023-2025, detailing its dividend strategy[188]. Market and Industry Conditions - The real estate industry remains in a bottom adjustment phase, presenting unprecedented challenges for the company's operations[7]. - The real estate market in 2023 saw a decline in sales area by 8.5% year-on-year, with total sales amounting to CNY 11.6622 trillion, a decrease of 6.5%[58]. - Real estate development investment in 2023 was CNY 1.10913 trillion, down 9.6% from the previous year, with residential investment decreasing by 9.3% to CNY 838.2 billion[59]. - The company faces risks related to policy changes, industry downturns, and insufficient land reserves, which could impact its operational performance[128][129]. - The company recognizes the importance of adapting to macroeconomic fluctuations and industry regulations to mitigate operational risks[127]. Corporate Governance - The board of directors held 13 meetings during the reporting period, including 7 in-person meetings combined with video conferencing and 6 via communication methods[137]. - The company organized 1 annual general meeting and 4 extraordinary general meetings, ensuring compliance with regulations and protecting the rights of all shareholders, especially minority shareholders[137]. - The audit committee convened 9 meetings, while the strategic committee held 1 meeting, and the remuneration and assessment committee met 2 times during the reporting period[138]. - The company revised its governance structure, updating the articles of association and various committee rules to strengthen corporate governance[139]. - The company has maintained independence from its controlling shareholder in terms of assets, personnel, finance, and business operations[142]. - The company actively participated in training for directors and senior management to enhance compliance awareness and performance capabilities[138]. - The company has implemented effective insider information management, ensuring confidentiality obligations are communicated to relevant personnel[142]. Operational Performance - The total sales area for the year was 229,000 square meters, generating sales revenue of CNY 4.657 billion, while the ongoing construction area was 1.4896 million square meters[52]. - The company achieved a delivery rate of 99% for six residential projects in Shanghai, totaling 570,000 square meters and 4,004 units delivered[53]. - The company did not acquire new land in Shanghai during the reporting period, leading to a reduction in land reserves and potential impacts on future construction scale[52]. - The company has ongoing real estate development projects in various regions, with a total land area held for development of 533,015.70 square meters[94]. - The company is expanding its market presence with new residential projects in various regions, including East and Northwest[97]. - The company is focusing on new technology development and project expansion to enhance its competitive edge in the market[97]. Financial Management - The company received several financing approvals, including the issuance of stocks to specific investors and public bond offerings, to support its financial strategy[47]. - The company maintained a stable cash flow and a reasonable debt structure, focusing on low financing costs and stable leverage[69]. - The company reported a significant reduction in financial expenses by 45.05% to RMB 81.21 million due to debt reduction efforts[72]. - The company's asset-liability ratio stood at 48.94%, with a net debt ratio of 8.60% and a cash-to-short-term debt ratio of 1.94[47]. - The company has implemented a comprehensive internal control system, with ongoing audits and evaluations to ensure the effectiveness of risk management[198]. - The company has not reported any significant deficiencies in internal control during the reporting period[199]. Employee and Management Compensation - The total number of employees in the parent company and major subsidiaries is 538, with 179 in production, 78 in sales, 116 in technology, 51 in finance, and 114 in administration[185]. - The total compensation received by directors and senior management during the reporting period amounted to 1,183.7 million yuan[149]. - The total number of shares held by directors, supervisors, and senior management at the beginning and end of the reporting period remained unchanged at 360,181,826 shares[149]. - The company has established a performance evaluation scheme for senior management in response to the downturn in the real estate industry[158]. - The remuneration for directors, supervisors, and senior management is reviewed and adjusted based on their specific roles and responsibilities[158].