Anhui Zhongding Sealing Parts Co.,Ltd.
Abstract of the Annual Report 2023
Stock Abbreviation: Zhongding Stock
Stock code: 000887
Stock Abbreviation: Zhongding Stock
Stock code: 000887April 2024
Ⅰ.Important Statements
This is an abstract of the Annual Report 2023.Investors are suggested to read the complete version of the AnnualReport 2023 on the media, which is designated by the China Securities Regulatory Commission(the “CSRC”) tohave a full understanding of operational results, financial statements, and future plans of the Company. Should therebe any inconsistency between the Chinese version and English version, the Chinese version shall prevail.All directors attended the Annual Report Meeting of the Board of Directors.Modified Audit Opinion
□ Applicable √ N/A
The preliminary plan for dividend distribution and converting capital reserves into share capital for commonshareholders which were considered and approved by the Board during the reporting period.
√ Applicable □ N/A
Converting capital reserves into share capital
□ Yes √ No
The Board has considered and approved the following dividend payout plan for the Reporting Period: based on theCompany's total shares of 1,316,489,747，the Company should distribute a cash dividend of RMB 2.0 (tax inclusive)and 0 stock dividend (tax inclusive) per 10 shares to all the shareholders and should not convert capital reserves intoshare capital.The preliminary plan for dividend distribution for preferred shares in the reporting period was approved by theBoard
□ Applicable √ N/A
Ⅱ.Company Profile
1. Company Information
| Stock Abbreviation | Zhongding Stock | Stock Code | 000887 | |
| Stock Exchange Where the Shares of the Company are Listed | Shenzhen Stock Exchange | |||
| Contact Us | Board Secretary | Securities Representative | ||
| Name | Jiang Weijian | Wang Songyuan | ||
| Address | Economic and Technological Development Zone, Ningguo City, Anhui Province | Economic and Technological Development Zone, Ningguo City, Anhui Province | ||
| Fax | 0563-4181880 transfer to 6071 | 0563-4181880 transfer to 6071 | ||
| Tel. | 0563-4181887 | 0563-4181887 | ||
| jiangwj@zhongdinggroup.com | wangsy@zhongdinggroup.com | |||
2. Main Business or Product Profile during the Reporting Period
(1) The Auto Industry Situation during the Reporting Period
In 2023, the automobile production and sales volume reached 30.161 million and 30.094million units,respectively, with a year-on-year growth of 11.6% and 12%, respectively. In 2023, the production and sales
volume of passenger vehicles were 26.124million and 26.063million units, respectively, up 9.6% and 10.6%year-on-year, respectively. In 2023, the cumulative production and sales of new energy vehicles in China reached
9.587 million and 9.495 million respectively, with year-on-year growth of 35.8% and 37.9% respectively, and themarket share reached 31.6%, 5.9 % higher than the previous year.(Data are derived from the statistical analysis ofChina Association of Automobile Manufacturers)
(2) The main business of the company during the reporting periodThe company continued to promote the cost control and refined management of overseas factories. The company
further carried out a series of measures such as cost optimization and non-core business divestiture of overseas enterprises,which increased the recovery of overseas business speed and certainty; through continuous management improvement,domestic and foreign business has been fully restored and maintained a continuous positive growth trend, and thecompany's overall profit gradually increased. On the basis of years of mutual adaptation with overseas enterprises, thecompany has gradually strengthened the strategy of management output and cultural output, upgraded from regionalmanagement to modular management, strengthened the cost control of overseas enterprises, promoted businessintegration and market expansion, at the same time, take advantage of the Chinese engineer bonus, and further acceleratetechnology absorption and innovation. While maintaining the steady growth of traditional businesses, the companycontinues to promote the growth of incremental businesses of air suspension systems, lightweight chassis systems, andTMS. Currently, the incremental business has a good momentum of development. The company will continue to focus onthe core strategic goal of intelligent chassis system, and promote the company's business to move towards intelligence.The company continued to rank among the "Top 100 Global Auto Parts Industry" (ranked 95th).
1) Intelligent Chassis system business-Air suspension system
a. Introduction of Products
Compare to coil spring suspension, air suspension system has the advantage that the Spring stiffness can beadjusted according to different usage scenario.Base on the different road conditions and the input from the heightand acceleration sensor, the ECU of ECAS system will identify the vehicle height change, the air height of air springcan be adjusted through the control the air compressor and valve block to realize the lift or lowering of the vehiclebody.It can make the vehicle body more stable and improve the trafficability characteristic.The application of ECASsystem can improve the comfort and the manoeuvrability of vehicle.The scope of ECAS includes air compressor,ECU, Multiple system sensors, air springs and shock absorber etc.
b. Future Market potentialWith the coming era of new energy vehicles, the appeal of new energy vehicles intelligent, while chassisprotection air suspension system is no longer the exclusive high-end models, because the new energy vehicle chassissystem stability requirements are much higher than pure fuel vehicles, air suspension system has gradually becomethe mainstream configuration of the new energy vehicle platform.Leading voice intelligent system, intelligent air suspension system and excellent automatic driving function arethe core of current automobile intelligence.Tesla, NIO, Li Auto, Xiaopeng and other new ermerging NEVmanufacturers are also equipped with these technologies and intelligent functions such as air suspensionsystems.With the further improvement of air suspension system technology and the improvement of car owners'recognition of the ultimate experience of air suspension products, more and more cars will be equipped with airsuspension systems to improve product superiority and customer satisfaction in the future.In addition to the passenger car, developed countries in the vast majority of medium-sized passenger cars andlight commercial vehicles are used in the air suspension system, heavy truck in addition to the engineering car roadtransport vehicle almost all use air suspension in China in 2018 effective GB7258 motor vehicle operation safetytechnical conditions also require:"The rear axle of Dangerous goods transport trucks with a total mass greater thanor equal to 12,000kg, all semi-trailers for transporting dangerous goods, as well as three-axle fence type, warehousegrid type Semi-trailers should be equipped with air suspension."At present, the air suspension system has gradually moved from high-end to popularization and has ultimatelybecome an indispensable part of automobiles, especially intelligent automobiles.c. Company industry position and business promotionAMK Germany, as a high-end supplier of air suspension system, is one of the top three leaders in the industry.Since entering the field of air suspension system business in the 1990s, it has continuously improved the productassembly technology, and has been deeply engaged in the industry for more than 20 years, supporting the world'sleading vehicle manufacturers such as Jaguar,Volvo, Audi, Benz, BMW etc.
The domestic air suspension market is in its infancy, and AMK China has been accelerating the improvementof the performance and cost optimization of the air suspension system supply chain in the Chinese passenger carmarket. AMK continued to develop steadily around the strategic goals of "localization promotion, technologyiteration and upgrading, and industrial strengthening and completing". AMK China has obtained orders from manydomestic new emerging manufacturers and leading vehicle manufacturers.
Dingyu Technology, a subsidiary of the company, relying on the group's core advantages in the rubber field,focuses on the research and development and production of air spring, and will actively promote technologicalbreakthroughs to further improve the performance of related products. At present, the air spring and gas storage tankproducts have obtained orders. At the same time, the company is also accelerating the layout of themagnetorheological shock absorber project, we are also accelerating the construction of the project production line.
Up to now, the comp has received orders with a total output value of 12.1billion RMB, of which the totaloutput value of the assembly product order is about 1.7 billion yuan. It is expected to get more orders in the future.
2) Intelligent Chassis System Business-Lightweight chassis systema. Introduction of Products
Automotive metal parts are widely used in automotive chassis systems, including steering systems, suspensionsystems, braking systems and driving systems. The lightweight of automobiles has formed a broad consensus in theautomobile manufacturing industry. The lightweight of the chassis plays a vital role in the performance of the wholevehicle. Lightweight chassis products such as aluminum alloy control arm assemblies have high value per vehicle, itis a core parts of operational stability and comfortability.
b. Future market potentialDue to the needs of environmental protection and energy saving, the lightweight of automobiles has becomethe trend of automobile development in the world. The lightweight of automobiles is not only suitable for traditionalfuel vehicles, for new energy electric vehicles, it is also very important to reduce body weight and achieve vehiclelightweight, because it is related to the main battery life of new energy vehicles. Experiments have shown that interms of acceleration performance, it takes about 10 seconds for a 1.5-ton car to accelerate to a speed of 60kilometers per hour; if the weight is reduced by 25%, it can be reduced to 8 seconds.
Lightweight the chassis, the benefits in terms of fuel consumption, handling, etc. far exceed the lightweight ofother components at the same level. The mass of most components on the chassis is unsprung weight. Relativelyspeaking, the mass of the body (structural parts, reinforcements parts and coverings parts) is sprung weight. It isgenerally believed that the effect of the same magnitude of unsprung weight reduction is 5-15 times that of thesprung weight reduction. At the same time, lightening the unsprung weight increases the ratio of the sprung mass tothe unsprung weight, which is equivalent to the athlete removing the sandbag tied to the legs, which cansignificantly improve the response speed and comfort of the car during acceleration, braking and steering.c. Company industry position and business promotionIn recent years, the company has been vigorously developing chassis lightweight system assembly products,and the forged aluminum control arm assembly project has made breakthrough progress. At the same time, itssubsidiary Sichuan Wangjin Company, whose core technology is the ball joint assembly product, is the core safetycomponent and performance component of the chassis system. It has the world's leading technology and has a veryhigh technical threshold.
With the continuous advancement of the company's lightweight chasis system assembly business, it hasobtained orders from many traditional OEMs such as Benz, Changan, Cherry, GAC, BYD, etc. While maintainingthe steady development of the domestic lightweight business, the company is also actively laying out the overseaslightweight market. At present, the company's lightweight factories in Slovakia and Mexico are under construction.In 2023, the company's lightweight business accumulated orders of about 8.5 billion yuan.
3) TMS system
a. Introduction of Products
German TFH, a subsidiary of the company, has been promoting R&D and production of thermal managementpipeline products. On the basis of supporting traditional thermal management pipelines, TFH vigorously promotesthe thermal management pipeline system assembly business of new energy vehicles, and actively expands theapplication of new materials in products. TFH vigorously develops the application of nylon pipes and TPV materials.Compared with traditional internal combustion engine pipes, the application of new technologies can make productslighter in weight, lower in cost, and more flexible in assembly. In addition, it can maintain good NVH and flexibility.With its innovative and technologically swift updating capabilities, TFH is able to respond to changes in hybrid andfuel cell vehicles and is actively engaged in advanced development projects with several OEMs customers.
b. Future market potentialAs the temperature control requirement for battery modules of the new energy vehicle is much higher thanthose of traditional vehicles, and also because of the absorption of TFH pipeline assembly technology, Thetemperature control requirements of new energy vehicle battery modules are much higher than those of traditionalvehicles. At the same time, with the company's digestion and absorption of TFH pipeline assembly technology, thecompany's fluid pipeline products were priced at around 300 yuan per vehicle in traditional vehicles before. Now,they can be priced at over 1000 yuan per vehicle in new energy vehicles, and can be priced at 1500 yuan forextended range vehicles. At the same time, the TMS assembly can reach 5000 yuan. With the continuousdevelopment of new energy vehicles, the rapid growth of AI algorithm, and the increasingly strict requirements forPUE energy efficiency, the market for TMS for NEV,TMS for ESS, and TMS for IDC is also rapidly expanding.
c. The company's industry status and business promotionThe company has been promoting the R&D and production of thermal management pipeline products for manyyears, and its subsidiary German TFH is just an excellent supplier of thermal management pipeline assemblyproducts for engines and new energy vehicle batteries. TFH has the exclusive production technology creatubeprocess with independent patent and the core technology of TPV hose and nylon tube, which ranks among the toptwo in the world in the industry segment. The company vigorously promotes the business of thermal managementpipeline system assembly for new energy vehicles, and currently it has been supplied to BMW, Volkswagen,Volvo,Audi, Geely, Xiaopeng and LI and other new energy vehicle platforms.
Anhui Zhongding Fluid System Co.,Ltd. and Zhongding Intelligent TMS Co.,Ltd. , the company’ssubsidiaries, lead the development of TMS assembly business, actively layout the research and production of TMSassembly and core products, and have independent intellectual property rights. At present, a series of products havebeen launched, such as TMS for ESS, TMS for IDC, TMS controller, PT sensor, Manifold and other. The companyis also actively promoting the implementation of more NEV TMS products. In 2023, the company's TMS
business has accumulated orders of approximately 12 billion yuan.
4) Sealing System
The company’s subsidiaries, KACO GmbH + Co. KG in Germany, Cooper in the United States, andACUSHNET in the United States, have the top three sealing technologies in the world. KACO actively promotesthe portfolio for NEV on behalf of the companies under the sealing system, and has successfully developed andmatched new energy motor seals of high-performance. At the same time, the company has developed themass-produced products for new energy battery module sealing systems and electric axle assemblies now, whichare delivered to NEV platforms of Volvo, SAIC, GAC and NIO.The automotive sealing industry is a high-tech barrier industry with extremely high requirements for reliability.Dynamic seal has the most difficult technology in the sealing industry, especially the high-speed oil seal for newenergy vehicle motors, which represents the most advanced technical level in the global sealing industry. In recentyears, the company has continued to increase the speed of business expansion, especially in the American brand carand local brand customers, which has made great breakthroughs, and the industry market share has steadilyincreased.
(3) The Analysis of Core Competitiveness
The Competitiveness of Global Leading Technology, International Management Ability, SustainableInnovation Culture
a. The competitiveness of global leading technology
The company has been entering the field of air suspension system business since the 1990s, it has beenimproving the products assembly technology constantly and deeply engaged in air suspension system industry for20 years. It had core technologies in segement industry.The company has the core technology of ball head jointassembly in the field of ligheweight chasis. At the same time, the company has been promoting the R&D andproduction of thermal management pipeline products and it possesses the exclusive production technologycreatube process with independent patent and core technology of TPV hose and nylon tube. The company rankedtop two of the segment industry in the world. In 2016, the company cooperated with Tsinghua University toestablish academic workstations with Wang Yuming, academician of Chinese Academy of Engineering andprofessor of Tsinghua University, as the core research team. In 2018, he company and Tsinghua Universityestablished a joint research center for rubber and plastic sealing together, to strengthen innovation cooperation andsolve major and key technical problems. At present, the company has 1090 independent intellectual propertyrights, including 259 foreign patents, 135 Chinese patents. 653 utility model patents, 10 appearance design patentsand 33 software Copyrights. 28 national standards and 12 industry standards have been formulated.
b. The core competitiveness of international management ability
The company has established an overseas logistics center since 2003, and started the road of overseas mergerand acquisition in 2008. It has experienced three stages of "global merger and acquisition", "China landing" and"overseas control", and has accumulated rich experience in international management. Now the company hasentered the third overseas control stage, the company according to the five divisions to build global organizationstructure system, further promote the global synergy strategy, in a higher level to achieve global strategiccoordination, platform synergy, technology synergy, product synergy, from capital output to industry output,
management output, cultural output.c. Continuously innovation cultural competitivenessThe company has passed the IATF16949, ISO14001, ISO / IEC17025 and other quality, environment andlaboratory system certification at early stage. As early as 2003, it launched the "Digital Zhongding" plan, and fullyimplemented the Lima ERP system within the company. In 2016, the company officially invested more than tensmillions yuan to launch the SAP information project. In recent years, it has realized the launch of all the mainenterprises, realized the construction of the global SAP information platform, and improved the comprehensiveefficiency of enterprise operation. The company has established a set of scientific cost management methodsthrough years of practice and exploration, , and timely take effective measures for continuous improvement. In theprocess of development, the company constantly learns and introduces advanced management experience for itsown use, and has started to promote the operation of Six Sigma and amoeba to achieve rapid improvement ofmanagement level.
Due to company has its own core competitiveness in the process of sustainable development, so it is in theabsolute leading position in the domestic industry, the company has global synchronous research and development,production, sales, service capabilities, the future company's brand value and core competitiveness will be furtherenhanced.
(4) Main business analysis
1) Overview
The company's internationalization strategy has gradually entered the harvest period since 2008 . By the end ofthe reporting period, the production volume of Asia, Europe and America accounted for 61.18%, 30.01% and 8.81%respectively. Through the effective integration of global resources, the company's technology, brand, profitability,and customer group have been rapidly improved, and the two-wheel drive of internal and external extensions hasbeen realized; at the same time, the company has concentrated its advantageous resources to increase its support fornew energy and environmental protection vehicles, automobiles electronics, system assembly and other fields,andhas actively done a good job in project incubation and reserve for the company's sustainable and rapid developmentin the future.
In 2023, the operating revenue of the company was 17.244 billion, up 15.63% year on year; net profitattributable to shareholders of listed companies was 1.131 billion, up 16.69% year on year; the company continuesto rank among "Top 100 Global auto Parts" (95th) and "Top 50 Global non-tire rubber products" (13th, 1st inChina).
a. The display of Overseas mergers and acquisitions projects results in ChinaIn recent years, the company has actively promoted the domestic implementation strategy of overseas mergers andacquisitions business, and the growth rate of performance has also exceeded expectations. See the following table:
Unit: ten thousand yuan
| 2023 | 2022 | 2021 | ||||
| Operating revenues | Net profit | Operating revenues | Net profit | Operating revenues | Net profit | |
| Wuxi KACO Anhui KACO | 78526 | 12333 | 62973 | 8689 | 61847 | 11523 |
Anhui WEGU
| Anhui WEGU | 26182 | 3730 | 23706 | 2349 | 21092 | 2541 |
| Anhui TFH | 94882 | 6184 | 56635 | 3866 | 43473 | 2627 |
b. The customer structure of OEM supportingThrough overseas mergers and acquisitions, global technology and product integration, brand advantages arehighlighted, and product sales are developing towards mid-to-high-end models. The top ten OEM customers areshown in the table below:
| Top | Customer Name | Top | Customer Name |
| 1 | VW | 6 | Ford |
| 2 | BYD | 7 | GM |
| 3 | Volvo | 8 | Daimler |
| 4 | LI | 9 | Changan |
| 5 | BMW | 10 | RenaultNissan |
The total direct and indirect sales of the above top ten customers are 8.594 billion, accounting for 50% of theoperating revenues in 2023, and the concentration of high-end customers is relatively high.
c. New energy vehicle project
The company actively deploys the field of new energy vehicles, with intelligent chassis systems as the core,and is at the international leading level in many new energy sectors such as thermal management pipelines, batterypack motor seals, etc. In 2023, the new energy field business has reached 5.976 billion sales, accounting for 36.27%of the annual operating revenues of the automobile business. Among them, the sales of domestic new energybusiness was 4.323 billion yuan, accounting for 53.10% of domestic operating revenue in 2023.
2) Revenue and Cost
a. Composition of operating revenue
Unit: yuan
| 2023 | 2022 | Increase/Decrease over the previous year (%) | |||
| Amount | % of Operating Revenues | Amount | % of Operating Revenues | ||
| Total Operating Revenues | 17,244,448,266.27 | 100% | 14,913,186,714.11 | 100% | 15.63% |
| By Industry | |||||
| Auto Industry | 16,478,377,566.48 | 95.56% | 14,211,408,241.19 | 95.29% | 15.95% |
| Non-Auto Industry | 766,070,699.79 | 4.44% | 701,778,472.92 | 4.71% | 9.16% |
| By Product | |||||
| Intelligent chassis-Air | 822,342,702.91 | 4.77% | 684,529,179.34 | 4.59% | 20.13% |
Suspension System
| Suspension System | |||||
| Intelligent chassis-lightweight chassis system | 1,923,184,052.62 | 11.15% | 1,118,499,573.05 | 7.50% | 71.94% |
| Intelligent Chassis-rubber business | 3,600,316,111.53 | 20.88% | 3,434,129,622.42 | 23.03% | 4.84% |
Cooling System
| Cooling System | 5,185,863,132.26 | 30.07% | 4,324,758,344.31 | 29.00% | 19.91% |
| Sealing System | 3,633,785,995.03 | 21.07% | 3,182,438,255.82 | 21.34% | 14.18% |
| Others | 2,078,956,271.92 | 12.06% | 2,168,831,739.17 | 14.54% | -4.14% |
| By Region | |||||
| Domestic | 8,141,032,247.42 | 47.21% | 7,068,487,330.83 | 47.40% | 15.17% |
| Overseas | 9,103,416,018.85 | 52.79% | 7,844,699,383.28 | 52.60% | 16.05% |
| By Sales Methods | |||||
| Direct Selling | 17,244,448,266.27 | 100.00% | 14,913,186,714.11 | 100.00% | 0.00% |
b. Information about industries, products, regions, and sales models that account for more than 10%of the company's operating revenues or profit
Unit: yuan
| Operating Revenues | Operating Cost | Gross Margin | Increase/Decrease of operating revenues over the previous year (%) | Increase/Decrease of operating cost over the previous year (%) | Increase/Decrease of gross margin over the previous year (%) | |
| By Industry | ||||||
| Auto industry | 16,478,377,566.48 | 13,030,475,791.30 | 20.92% | 15.95% | 14.56% | 0.96% |
| By Product | ||||||
| Intelligent chassis-Air Suspension System | 822,342,702.91 | 635,310,470.07 | 22.74% | 20.13% | 18.13% | 1.31% |
| Intelligent chassis-lightweight chassis system | 1,923,184,052.62 | 1,742,491,061.22 | 9.40% | 71.94% | 80.00% | -4.05% |
| Intelligent Chassis-rubber business | 3,600,316,111.53 | 2,926,126,457.92 | 18.73% | 4.84% | 4.62% | 0.17% |
| Cooling System | 5,185,863,132.26 | 4,331,730,380.97 | 16.47% | 19.91% | 19.73% | 0.12% |
| Sealing System | 3,633,785,995.02 | 2,687,406,141.09 | 26.04% | 14.18% | 13.45% | 0.48% |
| Others | 2,078,956,271.93 | 1,140,998,050.53 | 45.12% | -4.14% | -24.51% | 14.81% |
| By Region | ||||||
| Domestic | 8,141,032,247.42 | 6,098,075,337.81 | 25.09% | 15.17% | 15.16% | 0.01% |
| Overseas | 9,103,416,018.85 | 7,365,987,223.99 | 19.09% | 16.05% | 13.22% | 2.02% |
| By Sales Methods | ||||||
Direct Selling
| Direct Selling | 17,244,448,266.27 | 13,464,062,561.80 | 21.92% | 15.63% | 14.09% | 1.05% |
3) Main accounting data and financial indicators
a. Main accounting data and financial indicators in the past three yearsWhether the company needs to retrospectively adjust or restate accounting data for previous years? Yes □ NoThe reasons of Adjusting or restating accounting dataThe mergers of enterprises under the same control
Unit: yuan
| At the end of 2023 | At the end of 2022 | Increase/Decrease at the end of the current year compared with the end of the previous year (%) | At the end of 2021 | |||
| Before the Adjustment | After the Adjustment | After the Adjustment | Before the Adjustment | After the Adjustment | ||
| Total assets | 22,844,191,495.69 | 21,124,309,445.51 | 21,020,832,806.88 | 8.67% | 18,469,259,794.25 | 18,469,259,794.25 |
| Net assets attributable to shareholders of the Company | 12,064,199,955.89 | 11,168,127,264.81 | 11,201,713,115.90 | 7.70% | 9,252,771,947.12 | 9,252,771,947.12 |
| 2023 | 2022 | Increase/Decrease over the previous year (%) | 2021 | |||
| Before the Adjustment | After the Adjustment | After the Adjustment | Before the Adjustment | After the Adjustment | ||
| Operating revenues | 17,244,448,266.27 | 14,851,891,400.45 | 14,913,186,714.11 | 15.63% | 12,801,440,793.16 | 12,801,440,793.16 |
| Net profit attributable to shareholders of the Company | 1,131,459,559.10 | 964,245,973.71 | 968,913,403.16 | 16.78% | 949,526,482.79 | 949,526,482.79 |
| Net profit attributable to shareholders of the Company before non-recurring gains and losses | 976,944,969.55 | 735,114,528.09 | 759,671,614.17 | 28.60% | 651,527,289.71 | 651,527,289.71 |
| Net cash flows from operating activities | 1,444,741,206.72 | 909,504,274.01 | 912,278,099.43 | 58.37% | 880,696,705.82 | 880,696,705.82 |
| Basic earnings per share (RMB Yuan /share) | 0.86 | 0.74 | 0.74 | 16.22% | 0.78 | 0.78 |
| Diluted earnings per share (RMB Yuan /share) | 0.86 | 0.74 | 0.74 | 16.22% | 0.75 | 0.75 |
| Weighted average return on net assets | 9.76% | 9.47% | 9.43% | 0.33% | 10.40% | 0.10% |
b. Main Accounting Data by Quarter
Unit: yuan
| Q1 | Q2 | Q3 | Q4 | |
| Operating Revenues | 3,859,400,993.20 | 4,329,205,877.00 | 4,585,492,677.58 | 4,470,348,718.00 |
| Net profit attributable to shareholders of the Company | 262,384,653.95 | 268,826,278.80 | 344,627,668.75 | 255,620,957.60 |
| Net profit attributable to shareholders of the Company before non-recurring gains and losses | 214,991,122.97 | 239,181,650.80 | 272,918,418.41 | 249,853,777.40 |
| Net cash flows from operating activities | 238,881,856.59 | 164,406,269.40 | 253,946,618.00 | 787,506,462.70 |
Whether there are significant differences between the above financial data or the total value previouslydisclosed quarterly or interim reports.
□ Yes √ No
4) Shareholders and Shares
a. Total number of common shareholders and shareholdings of the top ten common shareholders at
the period-end
Unit：share
| Total number of common shareholders at the end of the Reporting Period | 70882 | Total number of common shareholders at the end of the previous month of the disclosure date of this report | 80245 | Total number of preferred shareholders with resumed voting rights at the end of the reporting period | 0 | Total number of preferred shareholders with resumed voting rights at the end of this report previous month of the disclosure date of this report | 0 | ||||
| Top ten common shareholders | |||||||||||
| Name of shareholders | Nature of shareholders | Shareholding percentage | Total shares held at the period-end | Number of restricted shares held | Pledged or frozen shares | ||||||
| Status | Number | ||||||||||
| Anhui Zhongding Holding (Group) Co., LTD | Domestic non-state-owned corporation | 40.46% | 532,701,321.00 | Pledged | 142,500,000 | ||||||
| Hong Kong Securities Clearing Co., Ltd. （HKSCC） | Foreign corporation | 2.17% | 28,537,225 | ||||||||
The lending of shares by the top ten shareholders in the securities financing business? Applicable √ N/A
The top ten shareholders changed from the previous period? Applicable √ N/A
| National Social Security Fund 102 portfolio | others | 1.70% | 22,441,803 | |||
| Everyone Life Insurance Co., LTD. - Universal Products Stock Investment Fund | others | 1.03% | 13,604,990 | |||
| Abu dhabi Investment Authority | Foreign corporation | 0.98% | 12,853,963 | |||
| Miaosu | others | 0.77% | 10,131,002 | |||
| Ping An Bank Co., Ltd.Boshi Growth Pilot flexible allocation of hybrid securities investment funds | others | 0.75% | 9,938,950 | |||
| China Life Insurance Co Ltd.－Tradtional－General insurance product-005L-CT001Hu | others | 0.65% | 8,567,381 | |||
| Shanghai Pudong Development Bank Co.,Ltd.-E Fund Management Co., Ltd. | others | 0.62% | 8,118,072 | |||
| China Construction Bank-Lombarda China Fund Management Co.,ltd. | others | 0.56% | 7,350,044 | |||
| Explanation of the related relationship or concerted action of the above shareholders | The company does not know whether there is an associated relationship between the shareholders, and whether it is a person acting in concert stipulated in the Administrative Measures for the Disclosure of Information on Changes in Shareholdings of Shareholders of Listed Companies. | |||||
| Description of shareholders participating in margin financing and securities lending business (if any) | As of December 31, 2023, Miaosu, one of the top 10 shareholders of the company, held 9,947,441 shares of the company through the customer credit transaction guarantee securities account of Huaxi Securities Co., Ltd. | |||||
b. Total Number of Preferred Shareholders and TOP 10 Preferred Shareholders and TheirShareholdings
? Applicable √ N/ADuring the reporting period, the Company had no preferred shareholders' shareholdings.
c. Disclose the property rights and control relationship between the Company and the actualcontroller in block diagram form
5) Status of bonds existing on the date of approval in the annual report
? Applicable √ N/AⅢ. Important issues
N/A