[年报]振华重工(600320):振华重工2024年年度报告（英文版）
Annual Report 2024 $ 0/5&/54 Section I Definitions ....................................................................................02 Section II Company Profile and Principal Financial Indexes .........03 Section III Management Discussion and Analysis...............................07 Section IV Corporate Governance ............................................................22 Section V Environmental and Social Responsibility ..........................40 Section VI Important Events .......................................................................48 Section VII Changes in Shares and Shareholders' Situation ............61 Section VIII Preference Shares ......................................................................67 Section IX Bonds .............................................................................................68 Section X Financial Report ..........................................................................71 Financial statements affixed with the signature and seal of legal representative, person in charge of accounting work and person in charge of accounting agency. List of Reference Original auditors' report stamped by the accounting firm and signed and stamped with the Documents certified public accountants. Original copies of the documents and announcements of the Company published on the newspaper designated by the CSRC during the reporting period. * This Report has been prepared in Chinese and translated into English. Should there be any discrepancies or misunderstandings between the two versions, the Chinese version shall prevail. * This Report has been prepared in Chinese and translated into English. Should there be any discrepancies or misunderstandings between the two versions, the Chinese version shall prevail. ANNUAL REPORT 2024 ANNUAL REPORT 2024 Definition of common terms Company, the Company, ZPMC Refers to Shanghai Zhenhua Heavy Industries Co., Ltd.CCCC Refers to China Communications Construction Company Ltd.CCCG Refers to China Communications Construction Group Co., Ltd.CCCG HK Refers to CCCG (HK) Holding Limited Reporting period Refers to The period from January 1, 2024 to December 31, 2024 Abbreviation of the Company name in Chinese ???? Company name in English SHANGHAI ZHENHUA HEAVY INDUSTRIES CO.,LTD.Abbreviation of the Company name in English ZPMC Legal representative of the Company You Ruikai II. Contact Information Secretary of the Board of Directors Name Sun Li Address No. 3261, Dongfang Road, Shanghai Telephone 021-50390727 Fax 021-31193316 E-mail IR@ZPMC.COM III. Basic Information Registered address No.3470, Pudong South Road, Shanghai Changes of registered address N/A Office address No. 3261, Dongfang Road, Shanghai Postal code of office address 200125 Website http://www.zpmc.com E-mail IR@ZPMC.COM IV. Information disclosure and placement location Shanghai Securities News, www.cnstock.com Media and websites where this Report is disclosed China Securities Journal, www.cs.com.cn Stock exchange website for disclosure of the annual report http://www.sse.com.cnPlacement location of the annual report Office of the board of directorsV. Stock information Stock Information Stock type Stock exchange Stock abbreviation Stock code Stock abbreviation before changeA-share Shanghai Stock Exchange (SSE) Zhenhua Heavy 600320 ZPMC IndustriesB-share Shanghai Stock Exchange (SSE) Zhenhua B-share 900947 —VI. Other relevant information Name Ernst & Young Hua Ming LLP Public accounting firm engaged by Room 01-12, Floor 17th, Ernst & Young Tower Oriental Plaza, No.1 East Changan Office address the Company (domestic) Street, Dongcheng District, Beijing Signed by the Accountants Gao Chong, Huang Hongwei ANNUAL REPORT 2024 ANNUAL REPORT 2024 Year-on-year Main accounting data 2024 2023 2022 change (%) Operating revenue 34,456,420,181 32,933,263,802 4.62 30,191,792,987Net profit attributable to the shareholders of the listed company 533,524,077 519,978,765 2.60 371,937,232 Net profit attributable to the shareholders of the listed company 211,097,452 274,145,961 -23.00 414,835,324 after deducting the non-recurring profits and losses Net cash flows from operating activities 5,275,878,878 5,184,184,446 1.77 2,568,564,023December 31, December 31, Year-on-year December 31, 2024 2023 change (%) 2022 Net assets attributable to the shareholders of the listed company 15,867,533,500 15,756,552,794 0.70 15,168,470,117 Total assets 85,767,463,201 84,864,576,091 1.06 78,213,168,723(II) Major financial indexes Year-on-year Major financial indexes 2024 2023 2022 change (%) Basic earnings per share (RMB/share) 0.10 0.10 0 0.07 Diluted earnings per share (RMB/share) 0.10 0.10 0 0.07 Basic earnings per share after deducting non- recurring profits and 0.04 0.05 -20.00 0.07 losses (RMB/share) Weighted average rate of return on net assets (%) 3.39 3.37 0.02 2.39Weighted average ROE after deducting non-recurring profits and 1.29 1.74 -0.45 2.68 losses (%) Explanations about the main accounting data and financial indexes in the past 3 years as at the end of the reporting period √ ? Applicable Not applicable VIII. Differences in accounting data under domestic and overseas accounting standards(I) Difference in net profits and net assets attributable to the shareholders of the listed company in the financial statements synchronously disclosed under international and China’s accounting standards? Applicable √ Not applicable (II) Difference in net profits and net assets attributable to the shareholders of the listed company in the financial statements synchronously disclosed under foreign and China’s accounting standards? Applicable √ Not applicable (III) Explanation for differences between the domestic and foreign accounting standards:? Applicable √ Not applicable (Jan. to Mar.) (Apr. to Jun.) (Jul. to Sep.) (Oct. to Dec.) Operating revenue 8,444,849,315 8,784,422,509 8,133,301,943 9,093,846,414Net profit attributable to the shareholders of the listed company 169,855,818 136,629,697 126,377,874 100,660,688 Net profit attributable to the shareholders of the listed company 93,776,916 22,612,867 15,492,668 79,215,001 after deducting the non-recurring profits and losses Net cash flows from operating activities 177,492,648 1,033,954,004 851,310,807 3,213,121,419Explanations about the differences between the quarterly data and the data in periodically disclosed reports √ ? Applicable Not applicable X. Non-recurring profit and loss items and amount √ Applicable ? Not applicable Unit: Yuan Currency: CNY Note Non-recurring profit and loss items 2024 2023 2022 (if applicable) Profit or loss from disposal of non-current assets, including the write-off 95,809,521 79,038,662 66,091,456 portion of the provision of asset impairment Government subsidies included in current profits and losses except for government subsidies closely related to the normal operations of the Company, in line with national policies, and obtained according to 154,291,909 107,480,822 106,415,947 determined standards, with a lasting impact on the Company’s profits and losses Profit or loss from changes in fair value of financial assets and financial liabilities held by non-financial enterprises and from disposal of financial 122,619,695 94,482,602 -214,877,284 assets and financial liabilities, except for effective hedging operations associated with the Company’s normal operations Reversal of provision for impairment of receivables subject to separate 37,819,017 impairment test Profit generated when the Company’s investment cost in acquiring the subsidiary, affiliated company and joint venture is less than the fair value 1,914,106of the recognizable net assets of the invested unit at the time of acquiringOther non-operating revenue and expenses except for the above- 18,583,824 19,796,255 27,301,769 mentioned items Other profit or loss items that conform to the definition of non- recurring profit or loss Less: Affected amount of income tax 74,475,101 45,161,118 11,561,380Affected amount of minority equity (after tax) 34,136,346 9,804,419 16,268,600Total 322,426,625 245,832,804 -42,898,092 Explanations should be provided to the items not listed in the “Explanatory Announcement on Information Disclosure of Companies Offering Securities to the Public No. 1 - Non-recurring Profit or Loss”, but identified as non-recurring profit or loss items with significant amount by the Company, and the non-recurring profit or loss items listed in the “Explanatory Announcement on Information Disclosure of Companies Offering Securities to the Public No. 1 - Non-recurring Profit or Loss”, but defined as recurring profit or loss items by the Company.? Applicable √ Not applicable ANNUAL REPORT 2024 ANNUAL REPORT 2024 Project Opening balance Closing balance Movement in 2024 Impact on profit or loss for 2024Qingdao Port International Co., Ltd. 248,085,844 0 -248,085,844 29,029,615China Railway Signal & Communication 281,346,332 395,445,574 114,099,242 109,003,173 Corporation Limited Jiangxi Huawu Brake Co., Ltd. 168,181,696 138,755,008 -29,426,688 -22,969,165COSCO Shipping Holdings Co., Ltd. 14,542,525 0 -14,542,525 3,142,201Hunan Fengri Power & Electric Co., Ltd. 29,951,235 33,199,200 3,247,965 0CCCC Highway Bridges National Engineering 24,986,999 13,179,019 -11,807,980 0 Research Centre Co., Ltd. CCCC National Engineering Research Center of Dredging Technology and Equipment Co., 10,440,495 7,937,621 -2,502,874 0Ltd. Shenyang Weichen Crane Equipment Co., 6,617,653 9,058,100 2,440,447 0 Ltd. Ningbo Weilong Port Machinery Co., Ltd. 15,333,177 24,208,224 8,875,047 1,602,665Shanghai Longchang Lifting Equipment Co., 739,815 739,815 0 0 Ltd. Jiangsu Zhangjinggao Bridge Co., Ltd. 16,790,000 75,410,000 58,620,000 0Nezha Smart Technology (Shanghai) Co., Ltd. 0 26,798,909 26,798,909 0Total 817,015,771 724,731,470 -92,284,301 119,808,489 XII. Others ? Applicable √ Not applicable including port machinery, offshore engineering and steel structures, aiming to build comprehensive product lines in these areas. In port machinery, the company enjoyed high global brand recognition, maintaining a dominant position in the quay crane segment for many consecutive years. With its products distributed across 108 countries and regions, the company demonstrated strong brand influence. The possession of advanced design concepts for port facilities and equipment enabled the company to design a full range of port machinery products, including system integration and engineering general contracting of smart ports. In offshore engineering, the company secured a significant market share in the domestic offshore engineering market relying on its core R&D capabilities for offshore engineering components, ’ put an end to the technological monopoly of multiple key equipment products, and successfully constructed China s first LNG dual-fuel powered trailing suction hopper dredger “Xin Hai Xun” and the world’s largest 150-meter pile-driving “ ” ’ vessel Erhang Changqing . In steel structures, the company s production bases equipped to meet various process operation requirements successfully completed the world’s largest offshore wind power DC transmission project - Yangjiang Sanshan Island Converter Station, and the entire steel structure for the new San Francisco-Oakland Bay Bridge in the USA, a highly challenging project in the bridge engineering world. core technological challenges, it continuously improved its science and innovation system, and played an active part “ in pushing the high-quality implementation of major national technological research tasks. The Integrated Production Control System for Container Terminals” and the “Deepwater Large Truss Pile-Encircling Wind Turbine Installation ” Platform were among the first batch of products included by Shanghai Municipal Recommendation Directory for Innovative Products in 2024. The domestically first 25-meter active motion compensated gangway independently developed and designed by the company won the special award for first-set breakthroughs in high-end intelligent equipment in Shanghai. The 140-meter class pile-driving vessel was recognized as the first set of major equipment. The “ ” New Generation Driverless Container Straddle Carrier and Intelligent Fleet System won the second prize of the Shanghai Scientific and Technological Progress Award. The company held a cumulative number of 2,475 authorized patents, including 56 international patents. In 2024 alone, 397 new authorized patents were added, including 3 international patents. “ ” Focusing on tackling bottleneck technologies, upgrading traditional industries, and reinforcing and supplementing the industrial chain, the company worked to initiate over 40 scientific research projects, and proposed special research topics in such key areas as port system integration, intelligent upgrades, and deep-sea offshore engineering equipment. Efforts were made to accelerate the formation of original technology sources in the field of automated terminal handling, and 31 technological research and development tasks were planned to be fulfilled within the 14th Five-Year Plan period. In collaboration with users, the company established joint innovation institutes to accelerate the development and breakthroughs in key green and smart port technologies. It also contributed to the orderly development of carbon footprint studies for port machinery products through academia-industry partnerships with universities. customers around the world due to its high-quality products and services. With continuously enhanced international ANNUAL REPORT 2024 ANNUAL REPORT 2024 Item 2024 2023 Change (%) Operating revenue 34,456,420,181 32,933,263,802 4.62 Operating costs 30,060,171,301 28,480,385,794 5.55 Selling and distribution expenses 232,654,482 211,361,193 10.07General and administrative expenses 818,457,672 849,183,436 -3.62Financial expenses 324,945,799 546,050,450 -40.49 Research and development expenditures 1,502,397,344 1,311,556,665 14.55Net cash flows from operating activities 5,275,878,878 5,184,184,446 1.77Net cash flow from investment activities -221,754,360 -181,631,626 N/ANet cash flows from financing activities -4,303,151,262 -2,391,719,903 N/AOther income 145,576,944 99,289,337 46.62 Income from fair value change 13,425,987 -27,339,814 N/A Credit impairment loss -418,414,816 -276,310,095 N/A Assets impairment losses -200,815,539 -428,844,200 N/A Income from disposal of assets 106,961,574 79,038,662 35.33 The change in operating revenue was mainly due to the increase in project delivery of the Company.The change in operating cost was mainly due to the increase in operating cost as a result of the increase in operating revenue. The change in selling and distribution expenses was mainly due to the Company’s increased efforts in market expansion and marketing. The change in general and administrative expenses was mainly attributable to the Company’s ongoing cost optimization and efficiency enhancement measures, which led to tighter control over non-operational expenditures. The change in financial expenses was mainly driven by a reduction in interest expenses during the year, coupled with an increase in exchange gains from fluctuations in the exchange rate of RMB against USD.The change in research and development expenditures was mainly due to the increase in the expensed expenditures for research and development projects of the Company. The change in net cash flows from financing activities was mainly due to the repayment of bank loans by the Company. The change in other income was mainly due to higher government grants received in the year.The change in the gains from fair value change was mainly due to an increase in the fair value of the stocks held by the Company. The change in credit impairment loss was mainly due to the higher provision for bad debts. Main business by product Year-on- year Year-on-year Year-on-year Operating Gross profit By product Operating costs change in operating change in change in gross revenue rate(%) revenue (%) operating cost (%) profit rate (%) Port machinery 20,593,596,470 17,500,885,960 15.02 -3.03 -1.51 -1.31Heavy equipment 8,292,575,548 7,544,542,230 9.02 52.92 46.81 3.79Engineering construction 413,546,349 454,731,637 -9.96 -72.95 -70.69 -8.46 projects Steel structure and related 3,341,971,292 3,293,532,465 1.45 5.56 14.22 -7.47 income Marine transport and others 1,635,636,325 1,131,566,701 30.82 17.83 6.32 7.49Main business by region Year-on- year Year-on-year Year-on-year Operating Gross profit By region Operating costs change in operating change in change in gross revenue rate(%) revenue (%) operating cost (%) profit rate (%) Chinese Mainland 18,080,867,874 14,904,839,728 17.57 -1.36 -9.40 7.31Chinese Mainland 146,391,226 142,110,133 2.92 -84.82 -80.97 -19.64 (export sales) Europe 1,437,730,953 1,370,106,110 4.70 31.09 11.28 16.96 Asia (excluding Chinese 9,789,555,392 9,509,188,618 2.86 62.36 91.99 -15.00 Mainland) North America 1,664,901,303 1,408,156,092 15.42 -30.24 -30.97 0.89South America 1,194,357,090 1,024,288,862 14.24 0.91 13.62 -9.60Africa 1,789,859,277 1,416,915,247 20.84 -11.95 -6.49 -4.62 Oceania 173,662,869 149,654,203 13.82 -75.80 -73.71 -6.84 Explanations for the main business by sector, product, region and sales model“ ” “ ” 1. The amount listed in Chinese Mainland (export sales) in Main business by region was the main operation income from the export sales of this Company to the overseas subsidiaries of the Company and then sales to the related projects of the domestic customers. ANNUAL REPORT 2024 ANNUAL REPORT 2024 Amount Explanation Total Total Amount Normally performed for abnormal Subject-matter of contract The opposite party contracted amount to be performed during the performance value performed performed or not reporting period of the contract Contract for ECT Terminal of East Chairman of SriLanka 2.8256 1.83664 0.93396 0.98896 Yes Port, Sri Lanka Ports Authority General Contract for Intelligent Legal Representative Handling System of No. 9-10 Wen Furong of Berth in Dalanping South Port Honggang Wharf Co., 14.3734 14.3734 2.77029 0 YesOperation Section, Dalanping Ltd. in Guangxi Qinzhou Port Area, Qinzhou Port Tariff Free Port Area Procurement of double-trolley quayside container cranes for Phase I project of the Container Hu Chaoyang 12.93 5.5599 1.6809 7.3701 Yes TerminalProjectin East Operation Section of Yantian Port Area, ShenzhenPort (secondary) Note: Unit of contracted value of Sri Lanka Project: USD 109Fulfillment of major purchasing contracts signed by the reporting period? Applicable √ Not applicable Information based on product Proportion of Proportion in the one in the Year- Items of cost total cost in By product 2024 2023 same period of on-year Description the current structure the last year in change (%) period (%) total costs (%) Raw material cost, Normal operating Port machinery labor cost and 17,500,885,960 58.48 17,769,268,798 62.55 -1.51fluctuations production cost Raw material cost, Normal operating Heavy equipment labor cost and 7,544,542,230 25.21 5,139,018,033 18.09 46.81fluctuations production cost Engineering Raw material cost, Normal operating construction labor cost and 454,731,637 1.52 1,551,493,106 5.46 -70.69fluctuations projects production cost Raw material cost, Steel structure and Normal operating labor cost and 3,293,532,465 11.01 2,883,527,923 10.15 14.22related income fluctuations production cost Raw material cost, Marine transport Normal operating labor cost and 1,131,566,701 3.78 1,064,259,854 3.75 6.32 and others fluctuations production cost Other information about cost analysis None Applicable ? Not applicable The sales to the top 5 customers were RMB 6,200,273,600, accounting for 18% of the total annual sales; the sales to the related parties among the top 5 customers were RMB 0.00, accounting for 0.00% of the total annual sales. Indicate whether sales to a single customer accounted for over 50% of the total sales, there was any new customer in the top five customers, or the Company heavily relied on a few number of customers during the reporting period. √ ? Applicable Not applicable Applicable ? Not applicable The purchases from the top 5 suppliers were RMB 3,865,889,900, accounting for 13.6% of total annual purchases; the purchases from the related parties among the top 5 suppliers were RMB 1,634,855,000, accounting for 5.75% of total annual purchases. Indicate whether sales to a single supplier accounted for over 50% of the total sales, there was any new supplier in the top five suppliers, or the Company heavily relied on a few number of suppliers during the reporting period. ? Applicable √ Not applicable Other description: None 3. Expenses √ Applicable ? Not applicable The change in selling and distribution expenses was mainly due to the Company’s increased efforts in market expansion and marketing. The change in general and administrative expenses was mainly attributable to the Company’s ongoing cost optimization and efficiency enhancement measures, which led to tighter control over non-operational expenditures. The change in financial expenses was mainly driven by a reduction in interest expenses during the year, coupled with an increase in exchange gains from fluctuations in the exchange rate of RMB against USD.The change in research and development expenditures was mainly due to the increase in the expensed expenditures for research and development projects of the Company. 4. R&D investments Unit: Yuan Current expensed R&D investments 1,502,397,344 Current capitalized R&D investments 0 Total R&D investments 1,502,397,344 Proportion of total R&D investments in operating revenue (%) 4.36Proportion of capitalized R&D investments (%) 0.00 Number of R&D employees in the Company 1,713 Proportion of number of R&D employees in the total employees of the 21.15 Company (%) ANNUAL REPORT 2024 ANNUAL REPORT 2024 Educational structure of R&D employees Educational structure category Number Doctor 12 Master 263 Undergraduate 1283 Junior College 135 Senior high school and below 20 Age structure of R&D employees Age structure category Number Under 30 (exclusive) 260 30-40 (inclusive of 30 and exclusive of 40) 593 40-50 (inclusive of 40 and exclusive of 50) 727 50-60 (inclusive of 50 and exclusive of 60) 133 60 and above 0 5. Cash flows √ Applicable ? Not applicable The change in net cash flows from financing activities was mainly due to the repayment of bank loans by the Company. (II) Explanation for the significant changes in profits due to non-main business? Applicable √ Not applicable (III) Analysis of assets and liabilities √ Applicable ? Not applicable 1. Assets and liabilities Unit: Yuan Proportion of the Proportion of the Amount at the Amount at the end amount at the end amount at the end Year- on- year Project end of the current of the previous of the previous Descriptionof the current period change (%) period period period in total in total assets(%) assets (%) Notes receivable 50,000,000 0.06 14,122,031 0.02 254.06 Receivables financing 650,260,884 0.76 965,569,122 1.14 -32.66Other receivables 780,170,637 0.91 1,245,727,441 1.47 -37.37Contract assets 3,897,647,216 4.54 2,779,633,134 3.28 40.22 Other current assets 858,154,532 1.00 476,726,381 0.56 80.01Other equity instrument 190,530,888 0.22 104,859,374 0.12 81.70 investment Construction in progress 1,301,728,801 1.52 5,184,520,534 6.11 -74.89Short-term borrowings 2,297,334,457 2.68 4,781,640,779 5.63 -51.96Other description: Notes receivable increased mainly due to the increase in commercial acceptance bills received by the Company. 3. Particulars about main restricted assets as at the end of the reporting period√ Applicable ? Not applicable Unit: Yuan Currency: CNY Book value at the end of the Item Reason for restriction period Monetary funds 43,651,264 Special fund, L/C deposits, L/G deposits, etc. in the overseas supervision account Fixed assets 2,416,269,819 Collateral for loan Long-term receivables 1,140,307,484 Hypothecation for loan Other non-current assets 3,819,083,104 Hypothecation for loanContract assets 203,952,618 Hypothecation for loan Accounts receivable 352,782,386 Hypothecation for loan Intangible assets 1,387,620,730 Hypothecation for loan 4. Other description ? Applicable √ Not applicable (IV) Analysis of operational information of the industry √ Applicable ? Not applicable The manufacturing industry experienced accelerated transformation and upgrade, the traditional equipment manufacturing market faced reshaping, and homogenized competition became increasingly fierce. In this context, further upgrading of high-end equipment, system integration, independent control and self-reliance, basic supporting capabilities, integrated hardware-software solutions, value-added services, green development, intelligent manufacturing, and lean production capabilities were essential to the maintenance of market competitiveness. For port machinery operations, the traditional port machinery market remained generally stable, and there was an increased demand for construction and renovation of automated terminals, with the inland river market seeing development opportunities. For offshore engineering operations, the changing global energy landscape created new possibilities, while strong demands for marine oil and gas, clean energy, etc. and a slight recovery in the offshore engineering equipment market were noted. For steel structure operations, the steel structure market held a significant potential for development due to growing national support for green buildings and environmental protection industries. ANNUAL REPORT 2024 ANNUAL REPORT 2024 Unit: Yuan Currency: CNY Investment amount by the end of reporting period 2,491,884,079Changes in investment amount -281,389,314 Investment amount in the same period of the last year 2,773,273,393Change in investment amount (%) -10 1. Significant equity investment ? Applicable √ Not applicable 2. Significant non-equity investment ? Applicable √ Not applicable 3. Financial assets measured at fair value √ Applicable ? Not applicable Unit: Yuan Currency: CNY Profit or loss on Accumulated fair Impairment Amount Amount sold/ Beginning changes in fair value changes Other Ending Asset class provision for purchased in redeemed in the balance values for the recognized in changes balance the period the period period period equity Stock 712,156,397 13,425,987 -191,381,802 534,200,582 Total 712,156,397 13,425,987 -191,381,802 534,200,582 Securities investment √ Applicable ? Not applicable Unit: Yuan Currency: CNY Profit or loss Accumulated Amount Initial Book value at on changes fair value Profit or loss on Book value Securities Stock Fund purchased Amount sold Accounting Stock abbreviation investment the beginning in fair values changes investments in at the end of Variety code source in the in the period subject cost of the period for the recognized the period the period period period in equity Self- Held-for- Stock 06198 Qingdao Port 308,515,588 owned 248,085,844 -61,117,945 -186,967,899 72,872,694 0 trading funds financial assets Self- Held-for- Stock 03969 CRSC 617,854,000 owned 281,346,332 114,099,242 20,920,710 395,445,574 trading funds financial assets Self- Held-for- Stock 300095 Huawu Stock 11,071,606 owned 168,181,696 -29,426,688 2,043,520 138,755,008 trading funds financial assets Self- Held-for- COSCO Stock 601919 420,000,000 owned 14,542,525 -10,128,622 -4,413,903 11,751,531 0 trading SHIPPINGHOLDINGS funds financial assets Total / / 1,357,441,194 / 712,156,397 13,425,987 -191,381,802 107,588,455 534,200,582 /ANNUAL REPORT 2024 ANNUAL REPORT 2024 Registered Net profit/ Company Name Main product or services Asset size capital (loss) Installation of heavy port equipment, engineering vessels, heavymetal structure and its parts; manufacturing and Nantong Zhenhua Heavy installation of gearbox, container yard crane, super heavy-2,500,000,000 9,205,116,131 175,080,643 Equipment Manufacturing Co., Ltd. duty bridge steel structure,heavy marine machinery equipment; leasing of cranes; specializedcontracting of steel structures Sales of port loading and unloading machine, bulk cargo and container machine, port engineering vessels (including Shanghai Zhenhua Heavy floating engineering crane), material handling mechanical Industries Port Machinery General products and parts, sales and technical services, installation 2,184,730,000 2,345,413,248 3,300,472 Equipment Co., Ltd. and maintenance,technical consultation of all types of machine and equipment, key parts of the raw materials and accessories equipment Construction and installation of large-scale port equipment,engineering vessels, offshore heavy equipment, mechanical equipment, gear box for wind ZPMC Transmission Machinery power generation equipment; large- sized reverse branch, 738,878,329 2,931,972,777 97,153,182(Nantong) Co., Ltd. transmission mechanism, dynamic positioning,large-sized anchor windlass, offshore oil platform lifting device and components; design and manufacturing of the accessories Shanghai Zhenhua Port Machinery Design, manufacturing and sales of port machinery, HKD 50,000,000 14,494,446,388 63,565,290 (Hong Kong) Co., Ltd. engineering vessel, steel structure and other partsGreenland Heavylift (Hongkong) Marine transport USD 91,975,158 2,625,042,401 212,288,745 Limited ZPMC Qidong Marine Engineering Machine manufacturing 303,000,000 1,607,387,883 37,684,610 Co., Ltd. CCCC Financial Leasing Co., Ltd. Finance lease 9,000,000,000 67,704,707,283 1,346,380,151China Communications Construction of port, waterway, highway and bridge USD 50,000,000 265,481,102 439,958construction USA. Inc Fabrication and installation of steel structure; foundation construction, equipment installation and maintenance of offshore wind power facilities; construction and Jiangsu Longyuan Zhenhua Marine maintenance of submarine cable system; marine 260,000,000 4,472,298,993 2,986,904 Engineering Co., Ltd engineering construction, equipment installation and maintenance; leasing of installation equipment; civil engineering construction; port and coastal engineering construction. (VIII) Particulars about structured entities controlled by the Company√ ? Applicable Not applicable VI. Discussion and analysis of the future development of the Company(I) Industrial structure and trend ? Applicable √ Not applicable “ “ For more details, see Part II. Industrial Situation of the Company during the Reporting Period" and paragraph (IV) Analysis of Operational Information in the Industry” of “Part V. Primary Business Performance during the Reporting Period”, both “ ” under the Section III Management Discussion and Analysis . Session of meeting Convening date specified for publishing for publishing Resolutionsresolutions resolutions Reviewed and approved the “Proposal on Reviewing the 2023 Work Report of Board of Directors”, the “Proposal on Reviewing the 2023 Annual General Visit www.sse.com.cn and then 2023 Work Report of Board of Supervisors”, June 17, 2024 June 18, 2024 Meeting of Shareholders enter the stock code to search the “Proposal on Reviewing the Work Report of Independent Directors in 2023” and other proposals (See Extraordinary Announcement No. 2024-027 for details) “ Reviewed and approved the Proposal on 2024 First Extraordinary Reviewing the Additional Election of Mr. Li Visit www.sse.com.cn and then ” General Meeting of November 25, 2024 November 26, 2024 Zhen as a Director of the Company (See enter the stock code to search Shareholders Extraordinary Announcement No. 2024-050 for details) “ Reviewed and approved the Proposal on 2024 Second Reviewing the Additional Election of Mr. Visit www.sse.com.cn and then ” Extraordinary General December 25, 2024 December 26, 2024 Zhang Xue as a Director of the Company (See enter the stock code to search Meeting of Shareholders Extraordinary Announcement No. 2024-059 for details) Extraordinary general meetings of shareholders convened at the request of preference shareholders with resumed voting rights ? Applicable √ Not applicable Particulars about the general meeting of shareholders √ Applicable ? Not applicable In 2024, the Company convened 3 general meetings of shareholders, which were convened and held in accordance with relevant laws and rules including the “Company Law of the People’s Republic of China”, the “Rules for General Meetings of Shareholders of Listed Companies” and the “Articles of Association”; the qualifications of the attendees and the convener were lawful and effective; the voting procedures and results of the meetings were lawful and effective; and the resolutions of the general meetings of shareholders were lawful and effective.ANNUAL REPORT 2024 ANNUAL REPORT 2024 Total amount of Whether Number Number Change remuneration pre- acquiring of shares of shares Reason Remarks Starting date of Expiration date in shares tax acquired from remuneration Name Post Sex Age held at the held at of for the Total tenure of tenure in the the Company in the in the related beginning the end of change Remuneration year reporting period parties of the of the year the year (RMB 10,000) Company Director June 17, 2024 June 16, 2027 You Ruikai Chairman Male 58 June 17, 2024 June 16, 2027 0 0 0 99.22 YesVice Chairman (resigned) October 24, 2023 February 27, 2024 Director June 17, 2024 June 16, 2027 General manager September 18, June 16, 2027 (president) 2024 Zhu Xiaohuai Male 56 0 0 0 140.43 No year term incentive Executive General December 12, September 18, Manager (resigned) 2022 2024 CFO (resigned) July 12, 2021 October 30, 2024 Including three- Wang Cheng Director Male 52 June 17, 2024 June 16, 2027 0 0 0 130.01 Noyear term incentive November 25, Director June 16, 2027 2024 CFO October 30, 2024 June 16, 2027 Zhang Jianxing Director Male 63 June 17, 2024 June 16, 2027 0 0 0 9 YesDecember 25, Zhang Xue Director Male 58 June 16, 2027 0 0 0 0 Yes 2024 Zhang Hua Independent director Male 52 June 17, 2024 June 16, 2027 0 0 0 12 NoXia Lijun Independent director Male 49 June 17, 2024 June 16, 2027 0 0 0 12 NoBian Yongming Independent director Male 60 June 17, 2024 June 16, 2027 0 0 0 6.41 NoDu Wenli Independent director Female 51 June 17, 2024 June 16, 2027 0 0 0 0 NoSupervisor June 17, 2024 June 16, 2027 Zhang Lijie Male 55 0 0 0 99.17 No year term incentive Chief supervisor June 17, 2024 June 16, 2027 Zhao Jizhu Supervisor Male 47 June 17, 2024 June 16, 2027 0 0 0 0 YesWei Wei Supervisor Male 53 June 17, 2024 June 16, 2027 0 0 0 71.80 NoIncluding three- Liu Feng Vice president Male 54 June 17, 2024 June 16, 2027 0 0 0 83 Noyear term incentive Including three- Zhang Jian Vice president Male 56 June 17, 2024 June 16, 2027 0 0 0 126.77 Noyear term incentive Vice president June 17, 2024 June 16, 2027 Li Ruixiang Male 50 0 0 0 130.01 No year term incentive Chief economist June 17, 2024 June 16, 2027 Chief legal counsel, Including three- Sun Li secretary of the board, Male 53 June 17, 2024 June 16, 2027 0 0 0 122.97 Noyear term incentive chief compliance officer Lu Hanzhong Vice president Male 50 June 17, 2024 June 16, 2027 0 0 0 84.85 NoShen Qiuyuan Vice president Female 48 June 17, 2024 June 16, 2027 0 0 0 84.16 NoLi Yiming Chief engineer Male 50 February 19, 2025 June 16, 2027 0 0 0 0 NoDirector, Chairman Including three- Liu Chengyun Male 56 June 28, 2021 February 26, 2024 0 0 0 32.63 Yes(resigned) year term incentive（未完）  |