Company code: Haitian Water Group Co.Ltd(603759) company abbreviation: Haitian Water Group Co.Ltd(603759) Haitian Water Group Co.Ltd(603759)
Summary of annual report 2021
Section I important tips
1 the summary of this annual report comes from the full text of the annual report. In order to fully understand the company’s operating results, financial status and future development plan, investors should http://www.sse.com.cn. The website carefully reads the full text of the annual report. 2. The board of directors, the board of supervisors and the directors, supervisors and senior managers of the company guarantee the authenticity, accuracy and completeness of the contents of the annual report, and there are no false records, misleading statements or major omissions, and bear individual and joint legal liabilities. 3. All directors of the company attend the board meeting. 4 ShineWing Certified Public Accountants (special general partnership) issued a standard unqualified audit report for the company. 5. The profit distribution plan or the plan of converting accumulation fund into share capital in the reporting period adopted by the resolution of the board of directors
Based on the company’s existing total share capital of 312000000 shares, it is proposed to distribute cash dividends of 2.06 yuan (including tax) for every 10 shares to all shareholders, and increase 4.8 shares for every 10 shares to all shareholders with capital reserve, totaling 6427200000 yuan in cash dividends and 1497660000 shares. The total share capital after this distribution is 461760000 shares.
The above plan has been deliberated and approved at the 29th meeting of the third board of directors of the company and needs to be submitted to the 2021 annual general meeting of shareholders of the company for deliberation.
Section II basic information of the company
1 company profile
Company stock profile
Stock type stock exchange stock abbreviation stock abbreviation before stock code change
A-share Shanghai Stock Exchange Haitian Water Group Co.Ltd(603759) Haitian Water Group Co.Ltd(603759) none
Contact person and contact information secretary of the board of directors securities affairs representative
Name: Chen kaihong, Zhang Wei
Office address: No. 506, south section of Hupan Road, Tianfu New District, Chengdu, Sichuan
Tel: 02889115006
E-mail [email protected]. [email protected].
2. Introduction to the company’s main business in the reporting period
(I) the number of enterprises and market scale in the industry are expanding
The total profit increased from 33.928 billion yuan to 41.724 billion yuan, with a growth rate of 22.98%.
According to the statistical yearbook of urban and rural construction in 2020 issued by the Ministry of housing and urban rural development, by the end of 2020, the length of urban water supply pipelines in China was 1.069 million kilometers, the total water supply was 62.954 billion cubic meters, the total urban water consumption population was 532 million, the per capita daily domestic water consumption was 179.4 liters, and the water supply penetration rate was 98.99%; The National County water supply pipeline is 273000 kilometers long, the total water supply is 11.902 billion cubic meters, the total water consumption population of the county is 153 million, the per capita daily domestic water consumption is 128.5 liters, and the water supply penetration rate is 96.66%; The number of urban sewage treatment plants in China is 2618, the length of drainage pipe network is 802700 km, the sewage treatment capacity is 193 million m3 / day, the annual sewage discharge is 57.136 billion m3, the annual sewage treatment capacity is 55.728 billion m3, and the sewage treatment rate is 97.53%; There are 1708 sewage treatment plants in counties across the country, with a drainage pipe network length of 223900 km, a sewage treatment capacity of 38 million m3 / day, an annual sewage discharge of 10.376 billion m3, an annual sewage treatment capacity of 9.862 billion m3, and a sewage treatment rate of 95.05%.
Within 10 years, the urban water supply penetration rate increased by 2.31%, and the sewage treatment rate increased by 15.22%; The popularization rate of water supply in the county increased by 11.52%, and the sewage treatment rate increased by 34.93%.
With the promotion of national urbanization and rural water supply and drainage facilities, and the continuous acceleration of industrialization, water supply and drainage enterprises, as the upstream and downstream treatment links of residential water and industrial production water, will expand the overall scale of the industry.
(II) comply with the development requirements of the times and continuously promote the development of the industry
In the 2021 government work report, it is proposed to continue to fight for blue sky, clear water and pure land, and complete the phased objectives and tasks of pollution prevention and control. Major projects for the protection and restoration of important ecosystems such as the Yangtze River, the Yellow River and the coastal zone have been deeply implemented, and ecological construction has been strengthened. During the 13th Five Year Plan period, pollution prevention and control efforts were strengthened, resource and energy utilization efficiency was significantly improved, and the ecological environment was significantly improved. The main objectives and major tasks of economic and social development during the 14th Five Year Plan period include: continuously improving environmental quality and basically eliminating heavily polluted weather and urban black and smelly water bodies; We will accelerate the green transformation of the development mode, work together to promote high-quality economic development and high-level protection of the ecological environment, and reduce energy consumption and carbon dioxide emissions per unit of China’s GDP by 13.5% and 18% respectively. Strengthen pollution control and ecological construction, and continuously improve environmental quality. It is still one of the key tasks of the government to deeply implement the strategy of sustainable development, consolidate the achievements of the battle for the protection of blue sky, clear water and pure land, and promote the green transformation of production and life style. We should rectify the sewage outlets into rivers and seas and urban black and smelly water bodies, improve the capacity of urban domestic sewage collection and industrial wastewater disposal in the park, strictly prevent and control the source of soil pollution, and strengthen the treatment of agricultural non-point source pollution; Expand the scope of enterprise income tax preferential catalogue for environmental protection, energy conservation and water conservation, promote the R & D and application of new energy-saving and environmental protection technologies, equipment and products, cultivate and expand energy-saving and environmental protection industries, and promote the economical and efficient utilization of resources.
The water industry involves basic fields such as people’s livelihood, economy and environmental protection, and has a strong public welfare nature. At the same time, the industry itself is weak in periodicity and regionality. After decades of exploration and development, the industry technology is relatively mature, and the market-oriented operation and management of enterprises are relatively weak, which puts forward higher expectations and requirements for the operation level of water enterprises.
(III) favorable policies have been issued one after another, and standardization construction has been further strengthened
Since the 12th Five Year Plan, the policy direction of water industry in China’s national economic plan has experienced a series of changes from improving water supply and drainage infrastructure to promoting harmless treatment and resource utilization of sludge, and then to implementing national water-saving action to encourage the use of renewable water. During the reporting period, the guiding opinions on promoting the utilization of sewage resources issued by the national development and Reform Commission proposed that by 2025, the efficiency of sewage collection across the country will be significantly improved, the sewage treatment capacity at the county level and in cities will basically meet the needs of local economic and social development, and the sewage treatment in water environment sensitive areas will basically be upgraded. By 2035, a systematic, safe, environmental friendly and economic pattern of sewage resource utilization will be formed; According to the development plan for urban sewage treatment and resource utilization in the 14th five year plan, by 2035, the urban domestic sewage collection pipe network will be basically covered, the urban sewage treatment capacity will be fully covered, the resource utilization level of sewage sludge will be significantly improved, and the urban sewage will be treated safely and efficiently; The 14th five year plan for building a water-saving society jointly issued by the national development and Reform Commission and other five ministries and commissions proposes to build unconventional water source utilization facilities, reasonably arrange and build sewage resource utilization facilities, and explore the integrated operation and management mechanism of water saving, water supply, drainage and water treatment. These guiding planning documents point out the future development direction of the water industry.
During the reporting period, the opinions on comprehensively promoting rural revitalization and accelerating agricultural and rural modernization issued by the State Council put forward that by 2025, the popularization rate of rural tap water will reach 88%, and the formation mechanism of rural water price and water charge and the long-term operation mechanism of the project will be improved; The measures for the administration of urban water supply prices and the measures for the supervision of urban water supply pricing costs issued by the national development and Reform Commission clarify that the allowable rate of return of water supply enterprises is determined according to the rate of return on equity capital and debt capital. A reasonable rate of return will promote the healthy and sustainable development of the water supply industry, and the price adjustment mechanism of water companies will be clearer; The Ministry of housing and urban rural development and other departments issued several opinions on further promoting the classification of domestic waste. It is proposed that a supporting and perfect system of laws and regulations on the classification of domestic waste will be basically established around 2026. The further promotion and implementation of waste classification will drive the development of waste recycling and other industries, and comprehensively promote the reduction, recycling and harmless of solid waste, which is not only conducive to improving the quality of ecological environment, At the same time, it is conducive to deepening the work of ecological environment and building an ecological civilized society.
In order to implement the spirit of the notice of the State Council on printing and distributing the reform plan for deepening Standardization (GF [2015] No. 13), In 2019, the Ministry of housing and urban rural development publicly solicited opinions from the public on 40 engineering specifications, including the code for urban and rural water supply projects, the code for urban and rural drainage projects, the general code for earthquake resistance of building and municipal engineering, the general code for municipal pipelines, the general code for construction quality control of building and municipal engineering, and the general code for safety, health and occupational health of building and municipal construction site, After the project specification is issued, it will replace the current mandatory provisions and serve as the basic requirements for binding recommended standards and group standards. The Ministry of housing and urban rural development issued the design standard for outdoor drainage on May 20, 2021, which will be implemented from October 1, 2021. The formulation and promulgation of a series of standards and norms provide an important legal basis for further standardizing the construction of municipal engineering.
(IV) the regulatory environment has become increasingly strict, and the environmental protection industry has changed to specialization and industrialization.
As environmental protection is increasingly valued by the government and the regulatory environment is becoming stricter, it brings greater development opportunities to environmental protection enterprises. At the same time, the government promotes the marketization of municipal government infrastructure investment and operation by establishing a recommendation system for third-party pollution control enterprises in key industries, establishes and improves the government social capital cooperation (PPP) mechanism, and promotes the specialization and industrialization of environmental protection facilities construction and operation.
The company is a comprehensive environmental service operator with water supply business and sewage treatment business as the main development direction. Adhering to the concept of “Haitian water, serving the people” and the purpose of “improving the environment and benefiting the society”, the company has 33 subsidiaries nationwide after years of steady development. With professional operation and service, the company has won a good market reputation and wide recognition from the society.
During the reporting period, the company’s main business has not changed significantly, and has been engaged in water supply business and sewage treatment business.
The main business and business model of the company are as follows:
(I) water supply business
The company’s water supply business includes providing water supply, pipeline and household meter installation services to residents and non residents in the franchise area. The water supply subsidiary of the company installs water supply facilities and supplies tap water for users in the water supply area chartered by the government. The price of tap water shall be set by the government. The company shall submit an application for price adjustment to the competent government department, accept the cost supervision and examination of a third party, and submit it to the local people’s government for approval after performing the procedures of price examination and hearing. Business models mainly include tooAnd BOT models.
(II) sewage treatment business
The sewage treatment subsidiary of the company is engaged in sewage treatment business within the franchise term and franchise area. Under the condition of providing sufficient, continuous and qualified sewage treatment services, the local government or its designated unit, as the sole purchaser, purchases sewage treatment services from the sewage treatment subsidiary. Sewage treatment subsidiaries are distributed in Sichuan, Henan, Xinjiang and Yunnan, and their business models mainly include BOT, TOT, rot, PPP and entrusted operation.
During the franchise period, the sewage treatment plant shall evaluate its impact on the sewage treatment cost according to the changes of technical transformation, energy, raw materials, labor costs and other factors due to the changes of policies and regulations. According to the franchise agreement, the sewage treatment subsidiary can apply to the local government for adjusting the unit price of sewage treatment service fee when the agreed conditions are met, and submit it to the local people’s government for approval after being approved by the third party.
(III) engineering construction business
The engineering construction business of the company is specifically carried out by the wholly-owned subsidiary Long Yuan Construction Group Co.Ltd(600491) and mainly provides engineering construction services for the new construction, reconstruction and expansion projects of water supply and drainage facilities of the company’s subsidiaries, including engineering general contracting and professional subcontracting services. 3 main accounting data and financial indicators of the company 3.1 main accounting data and financial indicators in recent three years
Unit: yuan currency: RMB
20212020 compared with 2019 of the previous year
Increase or decrease (%)
Total assets 535020764763439393130196 21.763387347512 belong to listed companies
Net assets of shareholders of the company: 220343523357127022058629 73.47109543698961
Operating income 10835085338485031602220 27.4268113810946
Attributable to listed companies
Net profit of shareholders of the company 21375269892 174,
