Recently, the State-owned Assets Supervision and Administration Commission released the results of a comprehensive evaluation of the pilot reform of state-owned capital investment companies. After evaluation, China National Building Materials Group has accurate functional positioning, outstanding capital operation capabilities, and remarkable results in structural adjustments. It has officially become a state-owned capital investment company.

Since the approval of the pilot program for the reform of state-owned capital investment companies in September 2019, China Building Materials Group has fully implemented General Secretary Xi Jinping's important exposition on the reform and development of state-owned enterprises and party building, taking the three-year action of state-owned enterprise reform as an opportunity to focus on the functional positioning of investment companies, accelerate the transformation from managing enterprises to "managing capital", and strengthen strategic guidance by optimizing the management and control model. Pooling capital to invest in the advanced new materials industry urgently needed, the initial construction of a clear positioning, ecological optimization, effective mechanism of the material industry investment company model. In May 2022, the Office of the State-owned Enterprise Reform Leading Group of the State Council issued and promoted the third batch of typical reform experiences in the special work of "learning advanced, grasping implementation, and promoting reform". China Building Materials Group's experience of "building a state-owned capital investment company in the material industry" was successfully selected.

The main achievements of the reform of China National Building Materials Group Investment Company

1 Practice the concept of "capital management" and establish a new model of industrial investment companies.
China Building Materials Group put forward the guiding principles of "4335" reform, focusing on the management of equity, through the corporate governance structure, through the dispatch of directors and supervisors to manage equity, manage capital flows and income collection. Strengthen the headquarters strategic leadership, strategic landing and main business management functions, around the "financial investment management retreat" four links, from the equity structure, total capital, capital structure, capital efficiency, risk prevention five dimensions, optimize the allocation of capital resources. The implementation of stock capital optimization and professional integration of the Group's secondary enterprises, with the main industry combing to drive strategic combing, formed a number of clear boundaries, the main industry elite, with industrial chain control of the main industry platform.

2 Improve the "management capital" model and establish a good industrial investment ecology.
By gradually increasing the proportion of state-owned capital gains collected and improving the ability to allocate resources, CNBM has increased the proportion of income collected by secondary enterprises to 35% of listed enterprises and 50% of non-listed enterprises, and has focused its dividends on new materials business, thus building a capital ecology of "supporting strategic emerging businesses with mature businesses. Set up a professional investment platform, gather social resources, initiate the establishment of a 15 billion yuan new materials industry investment fund, drive 70% of financial capital and social capital with 30% contribution, focus on investment in advanced new materials industry in the field of inorganic nonmetals, carbon fiber enterprises in Fujieagle, the third generation of semiconductor enterprises Shandong Tianyue have been listed on the science and technology board.

3 Optimize the layout of "managed capital" and focus on the forefront of the "national material" industry.
Vigorously develop the new material industry, create a "national material" material industry layout, form a number of independent innovation products and realize industrial mass production. Focusing on serving national defense construction, major national projects and the main battlefield of the national economy, we have invested in the development of a series of high-precision key raw materials such as high-performance carbon fiber and glass fiber, information display glass, lithium battery diaphragm, silicon nitride ceramic materials, and artificial crystals. A large number of new material products are widely used in major national projects such as aerospace, ships, and nuclear industries. Vigorously invest in new materials to solve the "stuck neck" problem, the 10,000-ton carbon fiber base was successfully put into production, realizing the design of T700/800 high-performance carbon fiber production line and the independent control of high-end complete sets of technology. Stable mass production of neutral borosilicate medicinal glass, development of syringes and pre-filled syringes, escort the production of new crown vaccine; Overcome the world problem of glass solidification of high-level nuclear waste liquid and help to achieve a breakthrough in China.

By deepening the reform of state-owned capital investment companies, China National Building Materials Group has achieved a series of remarkable results. Economic benefits have grown steadily, with net profit increasing by 42% year-on-year in 2021, total profit increasing by 27% year-on-year, and net profit and total profit growing at a compound annual growth rate of 39% and 28% in the past three years. The main industry structure is more optimized, in 2021, the basic building materials business to do "ballast stone", operating income, total profit accounted for 44%, 54%. With the continuous enhancement of innovation ability, General Secretary Xi Jinping fully affirmed the scientific and technological innovation achievements of China Building Materials Group at the National "13th five-year Plan" Scientific and technological Innovation Achievement Exhibition and the Lunate Exploration Project Achievement Exhibition. Selected in the first batch of central enterprises original technology source, 6 achievements included in the central enterprise science and technology innovation achievements recommend catalog. Social contribution continued to improve, with a total social contribution of 104.7 billion billion yuan in 2021, up 15% year-on-year, and the social responsibility index ranked 6th among Chinese enterprises and 4th among state-owned enterprises.

China Building Materials Group's next reform initiatives

Reform is always on the way. The formal transformation into a state-owned capital investment company is a new starting point for the group's development. China National Building Materials Group will continue to deepen the reform of state-owned capital investment companies with a new look and new logic, and continue to strengthen strategic guidance and resource allocation. Accelerate the summary and refinement of mature reform models that can be replicated and promoted. In the layout of the industrial structure, in the independent control of the industrial chain, in the four-in-one innovation, in the three new and one high development model, we will make renewed efforts to reform and empower development, and build a world-class material industry investment group with global competitiveness.