China State Construction Engineering Corporation (CSCEC) held its 37th meeting of the second board of directors in Beijing on April 24. The meeting deliberated and passed the yearly review of 2019, set goals for 2020, and released the “Annual Report of the Board of Directors of CSCEC for the Year of 2019” and other reports.
CSCEC (@CSCECNEWS) kept a steady growth throughout 2019 in both quantity and quality. The value of new contracts rose 9.2% to 2.87 trillion yuan, and the total operating revenue was up 18.4% to reach 1.42 trillion yuan. For the second year in a row, CSCEC (@CSCECNEWS) was the only enterprise in the construction industry with both numbers above 1 trillion yuan.
It ranked 21st in the Fortune 500, and first in ENR's Top 250 Global Contractors. As its global capacities and brand influences rose substantially, CSCEC (@CSCECNEWS) reinforced its standing as the largest construction investment cooperation worldwide, and maintained the highest credit rating in the industry in the past five years.
The meeting also reviewed and released the “Chairman's Statement of 2019,” the “2019 Annual Financial Statements,” the “Annual Report,” the “Sustainability Report,” as well as financial and capital budgeting reports for 2020.
Directors had in-depth discussions and contributed opinions and advices during the process. The board also assessed the management's responses to the COVID-19 outbreak, deeming the actions as prompt and effective. During that particularly difficult time, CSCEC (@CSCECNEWS) constructed more than 100 emergency facilities, the most prominent being the Huoshenshan and Leishenshan hospitals, whose rapid construction speed garnered the public’s attention from around the world. In the delicate period of recovery and reopening, CSCEC (@CSCECNEWS) also took excellent and progressive measures to balance the control and prevention with production resumption, bringing normal daily operations back on the right track in a timely manner.
Zhou Naixiang, chairman of CSCEC (@CSCECNEWS), expressed gratitude to the long-term support and guidance offered by the State-owned Assets Supervision and Administration Commission of the State Council, as well as the relentless efforts of CSCEC (@CSCECNEWS)'s management and employees. He reiterated CSCEC (@CSCECNEWS)’s determination of reaching the goals of 2020 despite the challenges posed by the coronavirus, and of wining a dual victory in both COVID-19 prevention and business growth.
As to the targets and goals set by the board of directors for 2020, Zhou stressed the key points from three perspectives:
First, outbreak control and prevention remains the top priority. In the current circumstance, when the main task is preventing imported cases and guarding against a rebound in domestic cases, CSCEC (@CSCECNEWS) must stick to all control and prevention measures. Foreign-based projects are advised to exercise excess vigilance and caution, particularly those in and near overseas epicenters. Employee’s health and safety are the preconditions for CSCEC (@CSCECNEWS) to resume production and operation.
Second, in order to restore full capacity as soon as possible, CSCEC (@CSCECNEWS) must ramp up marketing, and seize new trends and opportunities such as the rejuvenation of old neighborhoods, infrastructure, and investment in new infrastructure facilities. Researches and solutions will be provided to subsidiaries and projects struggling to restart work. As to the projects and operations already back on track, the corporation will offer a full range of support for them to catch up on schedules and minimize the impacts of COVID-19. It is the management’s first and foremost task to restore production and operation back to a stable, organized state without compromising the standards of safety, quality, or environmental protection.
Third, CSCEC (@CSCECNEWS) will step up efforts in reforms and innovations, focusing on the strategic goals of establishing a global top-tier enterprise with strengths on “five fronts.” It will complete the optimization of its evaluation standards and index systems, finalize the arrangements for the “14th Five-Year Plan,” and push forward the professional manager reforms and the demonstration initiatives in science and technology.
Zhou also stressed the significance of forming a strong board of directors and maintaining efficient communication between the board and senior management, since they are crucial to effective corporate governance and healthy steady growth。