2019 witnesses the booming of China's rail transit industry and marks the first year of the Group's three-year development strategy of the "New journey·Reshaping 2021". As a leading domestic rail transit smart system service provider, the company has been closely following new opportunities for strategic development of rail transit intelligent upgrading, solidly promoting the development model of "driven by market, capital and technology", focusing on the development of core businesses, continuing to expand profit margins, giving full play to capital competitiveness, ramping up investment in scientific research and innovation, and improving self-development with product and core technology output capabilities. Thanks to these efforts, the company has achieved rapid growth in business performance and set off with a good start to achieve the strategic mission of "empowering rail transit with smart technology".
Lay out overall plan and make breakthroughs, covering both China and overseas markets
In 2019, the Group has solidified its foundation, adjusted its structure, expanded its borders and made breakthroughs in market expansion. The two core businesses, smart rail transit and infrastructure information, have developed rapidly. The market strategy of "based on Beijing and Hong Kong, radiating the whole country, and marching all the way towards the international market" has scored initial success. The business has seen stable development in Beijing, continuous growth in Hong Kong, rapid expansion across the country and major breakthroughs in overseas markets.
Set a benchmark of Beijing through weathering hardships and profound accumulation
In 2019, the Group has strengthened management, built model, set an example and won word of mouth in key projects. The official launch of Beijing Metro Daxing New Airport Line and Line 7 east extension marks the Group’s civil communications business entering the new era of 5G; the independently developed, and domestically leading integrated pipeline corridor intelligent operation and maintenance management platform has been fully applied in the International Horticultural Exhibition 2019 Beijing; the Group has also won the bid for the informatization project of the peripheral integrated pipeline corridor project for the Beijing 2022 Winter Olympic Games Yanqing Venue.
Strive to be the best by focusing on technological innovation
In 2019, the Group has made focused on investment, built mechanisms, promoted transformation, and come up with new ideas in scientific research and innovation. The Group has continued to increase investment in research and development, established the Rail Transit Intelligent Technology Research Institute in due course, and promoted the demo application of scientific and technological research and development achievements in Zhengzhou Metro, Hangzhou Metro, Jingxiong High-speed Railway and other projects.
Pull together to beef up capital operation
In 2019, the Group has pulled together, optimized layout, and improved efficiency, thus creating a win-win scenario in capital operation. In March 2019, the Group completed the acquisition of Huaqi Intelligent, a leading company in the domestic automotive PIS industry, in an efficient manner, complementing and strengthening its business segment; the Group has also successively completed a 10% share acquisition of its subsidiary BII-TTBJ, and capital increase in Litmus, constantly improving the industrial system.
The Group keeps delivering on social responsibilities, responding to corporate governance requirements in a timely manner, giving back to the environmental society, and striving to build a harmonious, green and safe rail transit environment. At the same time, to give back the long-term support of the majority of shareholders, the board of directors decided to declare a dividend of HK2 cents for the fiscal year 2019, an increase of 100% compared to the fiscal year 2018.
Looking forward, the Group will seize the market opportunities of "new infrastructure", the market opportunities of renewed iterations in developed countries, and the improvement of infrastructure in developing countries, and the market opportunities in a new round of scientific and technological revolution to drive the intelligent upgrading of industries. It will adhere to the technology-leading strategy, continue to deepen the innovation-driven momentum, improve the level of corporate governance, exert efforts in various areas such as brand building, product development, technological innovation, quality improvement, system construction, ecological integration, accelerate the promotion of digital, networked, intelligent upgrading, and continue to create return on investment for shareholders and value for society.