Securities code: Sinochem International Corporation(600500) securities abbreviation: Sinochem International Corporation(600500) No.: 2022019
Bond Code: 175781 bond abbreviation: 21 Sinochem G1
Bond Code: 188412 bond abbreviation: Sinochem gy01
Bond Code: 185229 bond abbreviation: 22 Sinochem G1
Sinochem International Corporation(600500) (holding) Co., Ltd
Announcement on 2021 profit distribution plan
The board of directors and all directors of the company guarantee that there are no false records, misleading statements or major omissions in the contents of this announcement, and bear individual and joint liabilities for the authenticity, accuracy and completeness of its contents. Important content tips:
Distribution ratio per share: cash dividend of RMB 0.80 (tax included) for every 10 shares
The profit distribution is based on the total share capital registered on the equity distribution registration date, and the specific date will be specified in the equity distribution implementation announcement.
If the total share capital of the company changes before the equity registration date of equity distribution, it is proposed to maintain the distribution proportion per share unchanged, adjust the total distribution accordingly, and make a separate announcement on the specific adjustment.
On April 14, 2022, the 24th Meeting of the 8th board of directors of Sinochem International Corporation(600500) (holding) Co., Ltd. (hereinafter referred to as "the company") deliberated and approved the company's 2021 annual profit distribution plan, which will be submitted to the company's 2021 annual general meeting for deliberation. The details are as follows:
1、 Main contents of 2021 profit distribution plan
According to the audit of Ernst & young, the company (parent company) achieved a net profit of 7496026906 yuan in 2021 and withdrew 749602691 yuan from the statutory reserve fund. After deducting the distributed cash dividend, the profit available for distribution to shareholders is 142653811816 yuan.
According to the relevant provisions of China Securities Regulatory Commission on dividends of listed companies, the relevant provisions of the articles of association and the company's capital status, the company plans to make a profit distribution plan for 2021 as follows: Based on the total share capital of 2765166472 shares at the end of 2021, the company plans to distribute cash dividends of 0.80 yuan (including tax) for every 10 shares to all shareholders, with a total cash dividend of 22121331776 yuan, Accounting for 10.17% of the net profit attributable to the common shareholders of the listed company in the consolidated statements of the company in 2021. After the above distribution, the remaining undistributed profit of the company is 120532480040 yuan, which is accumulated and accumulated to the next year.
If the total share capital of the company changes from the date of disclosure of this announcement to the date of equity distribution and equity registration, the company plans to maintain the distribution proportion per share unchanged and adjust the total distribution accordingly, and the specific adjustment will be announced separately.
The company's 2021 profit distribution plan needs to be submitted to the company's 2021 annual general meeting for deliberation and approval. 2、 Description of cash dividend ratio less than 30% in this year
During the reporting period, the net profit attributable to the shareholders of the listed company in the consolidated statements of the listed company was 217543201618 yuan, the accumulated undistributed profit of the parent company was 142653811816 yuan, and the company planned to distribute 22121331776 yuan of cash dividend, accounting for less than 30% of the net profit attributable to the shareholders of the listed company this year. The specific reasons are as follows:
(I) industry situation and characteristics of listed companies
The company belongs to the fine chemical industry, and many kinds of products cover the field of new chemical materials. New chemical materials are important basic materials for strategic emerging industries such as new energy, high-end equipment, electronic information, green environmental protection and biotechnology. In recent years, China's new chemical materials industry has entered a period of rapid development. From the perspective of policy support, the national 14th five year plan and 2035 long-term goal put forward to vigorously develop strategic emerging industries and accelerate the growth of new generation information technology, biotechnology, new energy, new materials, high-end equipment, new energy vehicles, green environmental protection, aerospace, marine equipment and other industries; In December 2021, the Ministry of industry and information technology issued the guidance catalogue for the first application demonstration of key new materials (2021 version), which includes more than 300 kinds of materials in three categories: advanced basic materials, key strategic materials and cutting-edge new materials. From the perspective of demand, with the optimization and upgrading of China's industrial structure, the development momentum of relatively emerging fields such as semiconductors, electronics and electricity, new energy, information and communication, aerospace and so on is good, driving the continuous growth of the demand for new chemical materials in the upstream. From the perspective of technological progress, under the background of transformation and upgrading of China's chemical industry, new chemical material enterprises have made continuous breakthroughs in the field of new chemical materials through independent research and development or introduction of new technologies, digestion, absorption and re innovation, and some medium and high-end chemical material fields are expected to develop rapidly.
(II) development stage and business model of listed companies
After years of strategic transformation, Sinochem International Corporation(600500) has transformed into an internationally operated enterprise group focusing on fine chemicals. Many chemical intermediates, new chemical materials and fine chemical products are in a leading position in China and even the world, and have the industrial foundation and growth space to extend the development of fine chemical industry downstream. At present, the company is in a critical period of accelerating development and transformation. In the future, it will focus on the main fine chemical industry with new chemical materials as the core, optimize and upgrade the business of new chemical materials such as high-performance materials and intermediates, lightweight materials and polymer additives, and vigorously develop new energy businesses such as lithium batteries and lithium battery materials.
(III) profitability and capital demand of listed companies
In recent years, the company has laid a good foundation for the smooth realization of industrialization transformation through investment, M & A and industrial integration. In 2021, the company seized the opportunity of the industry boom cycle and achieved a significant increase in the overall profitability through diversified operation measures on the basis of risk control; At the same time, through the continuous optimization of the company's business portfolio, part of the investment income has been realized, which is helpful to further focus on the main industry of fine chemicals.
With the gradual mitigation of the epidemic and the economic recovery outside China, the landscape of major chemicals has improved. The company takes advantage of the advantages of integrated industrial chain and clean process and seizes market opportunities. In recent three years, there are many projects under construction in the fields of epoxy resin industrial chain, polymer additive Industrial chain and ABS industrial chain, and there is a large demand for project capital and construction funds.
(IV) reasons for the low level of cash dividends of listed companies
After listing, the company pays attention to the return to shareholders and has adhered to cash dividends for 21 consecutive years. After listing, the company has distributed a total cash dividend of 4.754 billion yuan. In order to seize the market development opportunity, the company is implementing several important projects. At the same time, in order to ensure the continuous and stable operation of the company's existing business, the company has formulated a relatively stable cash dividend scheme in line with the company's current development. The cash dividend scale of the company is 30% lower than that of the small and medium-sized shareholders in 2020, but the cash dividend scale of the company is higher than that of 2020.
Meanwhile, the accumulated profits distributed by the company in cash in the last three years exceed 30% of the annual distributable profits realized in the last three years, meeting the provisions of the articles of association.
(V) the exact purpose of retained undistributed profits of the listed company and the expected income
The retained undistributed profits of the company are mainly used for the company's project construction, in addition to the working capital required for normal production and operation. The company will intensify efforts to deepen reform, accelerate project construction and industrial transformation, strive to promote relevant diversified development, improve the comprehensive competitiveness and sustainable profitability of the enterprise in the future, and go all out to create more and greater value or return for the company and the majority of shareholders.
3、 Decision making procedures performed by the company
(I) opinions of the board of directors
The 24th Meeting of the 8th board of directors of the company deliberated and approved the company's profit distribution plan for 2021. The board of directors considered that the company's profit distribution plan for 2021 fully considered the company's operation and development, took into account the reasonable investment return to investors and the company's sustainable development needs, and agreed to submit the profit distribution plan for 2021 to the 2021 annual general meeting of shareholders for deliberation.
(II) opinions of independent directors
The independent directors of the company expressed independent opinions on the profit distribution plan in 2021 and believed that in accordance with the company law, the securities law, the notice on matters related to the further implementation of cash dividends of listed companies, the guidelines for cash dividends of listed companies on Shanghai Stock Exchange and the articles of association of the company, in view of the fact that the company is implementing several important project construction, in order to seize the market development opportunities, At the same time, in order to ensure the continuous and stable operation of the company's existing business and retain sufficient funds to meet the project construction, the company has formulated a relatively stable cash dividend scheme in line with the current development of the company.
When the company formulated the profit distribution plan for 2021, the decision-making procedures were compliant and the dividend scheme was reasonable, which could meet the conditions and proportion specified in the articles of association and relevant policies, taking into account the long-term interests of the company, the overall interests of all shareholders and the sustainable development of the company. It is agreed to submit this plan to the general meeting of shareholders of the company for deliberation. 4、 Relevant risk tips
(I) this profit distribution plan fully considers various factors such as the company's current operating status, capital demand and future development, and will not have a significant impact on the company's operating cash flow, normal operation and long-term development.
(II) this profit distribution plan can only be implemented after being submitted to the 2021 annual general meeting of shareholders of the company for deliberation and approval. Please pay attention to the investment risks.
It is hereby announced.
Board of directors of Sinochem International Corporation(600500) (holding) Co., Ltd. April 16, 2022
