On the afternoon of April 22, Cofco Capital Holdings Co.Ltd(002423) ( Cofco Capital Holdings Co.Ltd(002423) . SZ) 2021 annual performance presentation was held at the panoramic roadshow. The annual performance presentation meeting was held remotely via Internet. Sun Yanmin, chairman and general manager of Cofco Capital Holdings Co.Ltd(002423) company, Li Degang, deputy general manager and financial director of Cofco Capital Holdings Co.Ltd(002423) company, Jian Xia, general counsel and Secretary of the board of directors, and Qian Wei, independent director of Cofco Capital Holdings Co.Ltd(002423) company attended the presentation meeting.
At the exchange meeting, when asked about the company’s measures in grain and oil safety and agriculture, Cofco Capital Holdings Co.Ltd(002423) general counsel and Secretary of the board of directors Jian Xia said that Cofco Capital Holdings Co.Ltd(002423) after the reorganization and listing in 2019, the steady growth of performance year by year is inseparable from COFCO’s strong background in the agricultural grain and food industry.
In the field of grain and oil security and agricultural development you mentioned, take COFCO futures and COFCO Jinke as examples: COFCO futures, as a leading enterprise of China’s industrial futures company, aggregates and links COFCO group’s industrial chain resources, gives play to its delivery and investment research advantages in the field of large agricultural commodities in the past 30 years, and has been committed to helping the real economy resolve the fluctuation risk of large agricultural commodity prices.
COFCO Jinke, as a new business carrier of agricultural supply chain finance, has successively launched four industrial financial service platforms including Liangxin, yunfeipiao, Shengyue and nongliang through independent research and development.
Among them, the grain credit platform aims to provide reverse factoring financing services for upstream suppliers by issuing unconditional electronic payment commitment “grain credit” based on the core enterprise credit of COFCO group; Yunfei ticket platform aims to create a new bill system and provide invoice digitization services for enterprise customers upstream and downstream of the industrial chain supply chain; Shengyue platform aims to provide positive factoring financing and loan assistance services for downstream dealers by means of data credit enhancement and third-party guarantee based on real trade scenarios; The agricultural grain platform aims to realize the whole life cycle management of electronic warehouse receipts by integrating four types of data such as logistics, Internet of things sensors, goods and trade. By the end of 2021, the cumulative trading volume of the grain information platform was 6.531 billion yuan and that of the Shengyue platform was 353 million yuan, serving China’s grain, oil and food safety and agricultural development to the best of its ability.
According to tianyancha information, Cofco Capital Holdings Co.Ltd(002423) is a specialized company and investment platform for COFCO’s operation and management financial business, mainly for COFCO’s main grain, oil and food industry and customers in the financial field. As a holding company, Cofco Capital Holdings Co.Ltd(002423) subsidiary has many industries, including life insurance, futures, trust, banking, industrial investment, commercial factoring and other subdivided fields.
In 2019, Cofco Capital Holdings Co.Ltd(002423) completed the asset restructuring, and the main business was changed from steel business to financial business. The operation quality and efficiency improved steadily for three consecutive years.
In 2021, Cofco Capital Holdings Co.Ltd(002423) made progress in stability and overcome difficulties. The company’s main business indicators exceeded the same period, history and budget. During the reporting period, the company’s total operating revenue reached 19.707 billion yuan, a year-on-year increase of 45%; The net profit attributable to shareholders of listed companies reached 1.372 billion yuan, a year-on-year increase of 30%.
In 2021, Cofco Capital Holdings Co.Ltd(002423) determined the goal of the 14th five year plan, based on COFCO industry, to build a comprehensive financial platform characterized by serving people’s livelihood. Each business line determines the blueprint goal: China UK life insurance puts forward the “n-th power goal of 3” in the 2025 blueprint plan, and recreates a “new China UK” in five years, with assets on the 100 billion platform; COFCO futures proposes to strive to become a leading derivative financial service company with industrial characteristics in China in 2025, ranking among the leaders in the futures industry; COFCO trust proposes to strive to become a first-class asset management and wealth management platform with industrial characteristics and reputation in 2025, ranking among the top 20 in the industry.
In 2021, as the holding subsidiary with the largest contribution to the company’s revenue and profit, China UK life achieved contrarian growth in performance under the complex and severe external environment. The growth rates of new business value (vnb) and new single year paid premium (APE) were better than the industry average. Its own value ability was further improved and its development toughness was further demonstrated.
During the reporting period, China UK life insurance achieved a premium income of RMB 10.752 billion, a year-on-year increase of 9%; The new single annual paid premium (APE) was 2.562 billion yuan, a year-on-year increase of 13%; The annual net profit was 961 million yuan, a year-on-year increase of 17%. By the end of 2021, the total asset scale of China UK life had steadily increased to RMB 61.10 billion, with a year-on-year increase of 22%, and the return on net assets (ROE) reached 13.20%, with a year-on-year increase of 0.42 percentage points; The embedded value of insurance companies reached 14.963 billion yuan, a year-on-year increase of 16%, and the value of new business in the whole year was 477 million yuan, a significant year-on-year increase of 85%.
In addition, the comprehensive solvency adequacy ratio of China UK life reached 276.77% and the core solvency adequacy ratio reached 234.98%. As of the fourth quarter of 2021, in the latest comprehensive risk rating results issued by the China Banking and Insurance Regulatory Commission, China UK life has been rated as “class a” (the highest) insurance company for 22 consecutive times.
During the reporting period, COFCO futures, as a leading enterprise of China’s industrial futures company, gathered and linked COFCO group’s industrial chain resources, helped the real economy resolve the risk of commodity price fluctuations, anchored the strategic goal of “China’s leading derivatives financial service company with industrial characteristics”, and achieved the best performance in history in 2021.
In 2021, COFCO futures achieved a net profit of 281 million yuan, a year-on-year increase of 35%; The annual peak of the margin scale was 24.6 billion yuan, an increase of 6.8 billion yuan over the annual peak in 2020; Roe reached 8.85%, with a year-on-year increase of 1.84 percentage points. In the classified rating issued by China Futures Association, COFCO futures has been rated as “AA” (the highest) futures company for eight consecutive years.
In addition, COFCO futures also won such honors as “China’s best futures company”, “gold medal management team of China futures company”, “gold medal Futures Research Institute” and “best Commodity Futures Industry Service Award” in 2021, and the industry influence continued to increase.
During the reporting period, COFCO trust, as one of the trust companies with the most resolute transformation and the fastest progress in the industry, adhered to the positioning of serving the real economy in the last year of the transition period of the new asset management regulations in 2021, actively promoted the system reform and business transformation, achieved a breakthrough in the standard category trust business, gradually improved the sales capacity of the wealth team, and the trust business income reached a record high.
In 2021, COFCO trust achieved a trust business income of 964 million yuan, a year-on-year increase of 21%; The annual net profit was 557 million yuan, a year-on-year increase of 68%; Roe reached 9.41%, with a year-on-year increase of 2.3 percentage points.
The annual disclosure report of the company has been completed in 2020; In 2022, the company will continue to play the leading role of a holding platform company and fully support and serve the business development of its holding subsidiaries.
Cofco Capital Holdings Co.Ltd(002423) disclosed in its financial report for the year of 21 that the working ideas of the head office of grain and capital in 2022 are mainly in two aspects: first, build an ecological platform to improve value creation, Cofco Capital Holdings Co.Ltd(002423) will gradually set up “four centers” in the head office, namely, digital center, business coordination center, investment center and wealth management center, so as to realize the complementary advantages of each holding subsidiary and reduce repeated investment of resources on the premise of law and compliance; Second, pay equal attention to functional management and operation management, clarify the “five functions and lines”, namely “strategy and implementation, compliance and risk control, talent and mechanism, finance and operation, supervision and audit”, promote development through transformation, continuously consolidate and improve management ability, optimize resource allocation and strictly control all kinds of risks.
During the 14th Five Year Plan period, Cofco Capital Holdings Co.Ltd(002423) said that it would take “good industry and good finance” as its purpose and “enabling industry and serving people’s livelihood” as its mission; With the development concept of “connotative growth, value creation; integrity and innovation, stability and long-term development” and the vision of “based on COFCO business and becoming a comprehensive financial platform with the characteristics of serving the people’s livelihood”, deeply cultivate the existing business, realize the transformation and upgrading of the existing business, actively layout new business forms, find new growth points, and realize the high-quality development of the company.
