Financial Performance - The company's operating revenue for 2021 reached RMB 10.95 billion, an increase of 35.40% compared to 2020[23]. - Net profit attributable to shareholders was RMB 584.64 million, representing a 75.98% increase year-over-year[23]. - The net cash flow from operating activities increased by RMB 103.72 million, a growth of 164.40% compared to the previous year[25]. - Basic and diluted earnings per share rose to RMB 0.39, up 62.50% from RMB 0.24 in 2020[24]. - The company's operating cash flow increased by 164.40% to 166.81 million RMB, demonstrating improved financial health[52]. - The company achieved a revenue of 1,094.99 million RMB in 2021, representing a year-on-year increase of 35.40%[51]. - The net profit attributable to shareholders reached 58.46 million RMB, up 75.98% compared to the previous year[51]. - The main business cost was 810.49 million RMB, reflecting a year-on-year increase of 31.25%, attributed to increased sales volume and advanced manufacturing processes[54]. - Gross margin improved to 25.98%, an increase of 2.34 percentage points compared to the previous year[56]. Research and Development - Research and development expenses increased by approximately RMB 100 million, an increase of about 80% year-over-year, impacting net profit levels[25]. - In 2021, the company's R&D expenses amounted to 217.65 million yuan, representing a 78.02% increase compared to the previous year[33]. - The core team consists of 282 R&D personnel, accounting for 87.58% of the total workforce, emphasizing the focus on research and development[47]. - The company holds a total of 127 patents in the wireless RF field as of December 31, 2021, showcasing its technological strength[46]. - The company has developed a new generation of 22nm TWS headphone chips, offering ultra-low power consumption and advanced audio processing capabilities[32]. - The company achieved significant growth in the sales of its 40nm Wi-Fi chips, with improved gross margins for its Wi-Fi product series[32]. Corporate Governance - The board of directors and supervisory board confirm the accuracy and completeness of the annual report[4]. - The company has established three specialized committees under the board: Audit Committee, Compensation and Assessment Committee, and Nomination Committee, ensuring independent oversight[86]. - The company has implemented governance measures to maintain the independence of its assets, personnel, and operations, with no significant differences from regulatory requirements[88]. - The company held a total of 4 shareholder meetings in 2021, all conducted in compliance with relevant laws and regulations[85]. - The board of directors consists of 5 members, including 2 independent directors, and held 8 meetings in 2021, adhering to legal and regulatory requirements[86]. Risk Management - There are no significant risk events reported during the reporting period[8]. - The company has detailed potential risks and countermeasures in the management discussion and analysis section of the report[8]. - The company faces risks related to product development, including potential misjudgments in market demand and the rapid pace of technological change in the integrated circuit industry[81]. - Competition from well-funded international firms and domestic chip design companies poses a significant market risk, potentially impacting the company's market share and profitability[82]. - The company operates under a Fabless model, relying on external manufacturers for chip production, which may expose it to supply chain risks, especially during periods of high demand[83]. Market Expansion and Strategy - The company plans to leverage its existing technology and market resources to expand into smart transportation, smart home, and wearable IoT markets[42]. - The wireless data transmission chips are expected to have a broad market outlook due to the growth of IoT, with applications in various fields including highway ETC systems and wireless peripherals[42]. - The company plans to improve the technology and performance of Bluetooth, Wi-Fi, and ETC products, while actively expanding into international markets to capture more market share[79]. - The company is considering strategic acquisitions to bolster its technology portfolio, with a budget of $200 million allocated for potential deals[99]. - Market expansion efforts include entering three new international markets, projected to increase overall market share by 5%[99]. Shareholder and Compensation Policies - The company plans to distribute a cash dividend of RMB 0.2 per share (including tax) for the 2021 fiscal year[5]. - The total pre-tax remuneration for key management personnel amounted to 7.5347 million yuan, with stock incentive expenses included[93]. - The company has established a stock option and restricted stock incentive plan for 2021, with 2.13 million stock options and 860,000 restricted shares granted to eligible participants[124]. - The company has implemented a performance evaluation mechanism for senior management, linking their compensation to the company's asset status and profitability[126]. - The company plans to dynamically adjust employee compensation in response to market conditions and inflation, anticipating an overall increase in salary levels[117]. Legal and Compliance - The company is involved in a significant lawsuit regarding patent infringement, seeking damages of RMB 98,113,882 from the defendants[159]. - The company initiated a patent infringement lawsuit against LITONG Technology Co., Ltd. for willful infringement of its overseas patent (U.S. Patent No. 9197228) and is seeking compensation for losses incurred due to the infringement, including reasonable attorney fees and other related costs[160]. - The audit report confirms that the financial statements of Broadcom Integrated Circuit (Shanghai) Co., Ltd. fairly reflect its financial position as of December 31, 2021, and its operating results for the year 2021[199]. - The audit was conducted in accordance with Chinese CPA auditing standards, ensuring independence and adherence to ethical responsibilities[200]. Employee and Workforce Development - The company has expanded its workforce to 322 employees by the end of 2021, an increase of 100 employees from the previous year[34]. - The company has a total of 16 PhD holders and 142 master's degree holders, reflecting a highly educated workforce[115]. - The company has established a comprehensive training system to develop strong product R&D and management talent[118]. - The company has implemented a differentiated compensation policy, combining base salary and bonuses to attract and retain talent[116]. Financial Position and Assets - The total assets at the end of 2021 were RMB 233.26 billion, a 7.10% increase from the previous year[23]. - Total liabilities increased from RMB 18,961.68 million in 2020 to RMB 30,616.54 million in 2021, indicating a rise of approximately 61.5%[182]. - The asset-liability ratio improved from 8.70% in 2020 to 13.13% in 2021, showing a stronger financial position[182]. - The company reported a total of RMB 41,450,000 in bank wealth management products funded by raised capital and RMB 23,000,000 from self-owned funds, with no overdue amounts[165].

证券代码：603068 证券简称：博通集成 公告编号：2022-003 博通集成电路（上海）股份有限公司 关于接待机构调研情况的公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述 或者重大遗漏，并对其内容的真实性、准确性和完整性承担个别及连带责任。 博通集成电路（上海）股份有限公司（以下简称"公司"）近期通过现场调 研、电话会议等形式接待了机构调研，现将情况公告如下： 一、调研情况 时间：2022 年 3 月 1 日至 16 日 调研方式：现场及通讯会议交流 调研机构名称（排名不分先后）：天风证券、中信证券、国联证券、建信养 老、中欧基金、信诚基金等机构。 公司相关接待人员：董事会秘书李丽莉女士、战略拓展副总孙洋先生。 二、交流的主要问题及公司回复概要 1、关于公司业务及产品。与国内同行相比，公司在 Wi-Fi、蓝牙、ETC 等产 品覆盖比较广泛，多产品线布局的主要考虑是什么？ 答： 博通集成是一家专注于无线传输领域的芯片设计公司。和国内一些同行公司 相比，公司的产品线更为完整，在产品应用覆盖上也比同行多一些，这是基于公 司长期的研发积累和规划。公司的发展目标是形成系列化的无线传输芯片平 ...

Financial Performance - The company's operating revenue for Q3 2021 was ¥279,450,329.46, representing a year-over-year increase of 21.43%[5] - Net profit attributable to shareholders was ¥16,526,214.06, showing a significant increase of 107.73% compared to the same period last year[5] - The net profit after deducting non-recurring gains and losses was ¥14,495,024.57, which increased by 110.88% year-over-year[5] - The basic earnings per share for the quarter was ¥0.11, an increase of 83.33% compared to the previous year[6] - The total operating revenue for the first three quarters of 2021 reached ¥800,775,158.74, a significant increase of 43.1% compared to ¥559,186,366.06 in the same period of 2020[18] - The net profit for the first three quarters of 2021 was ¥49,469,886.04, a decrease of 14.7% from ¥57,960,776.01 in the same period of 2020[19] - The basic earnings per share for the first three quarters of 2021 was ¥0.33, down from ¥0.42 in the same period of 2020, reflecting a decrease of 21.4%[20] Assets and Liabilities - The total assets at the end of the reporting period were ¥2,301,511,634.58, reflecting a growth of 5.67% from the end of the previous year[6] - Total current assets as of September 30, 2021, amounted to ¥1,990,428,076.35, an increase from ¥1,910,104,625.55 at the end of 2020, reflecting a growth of approximately 4.2%[15] - Non-current assets totaled ¥311,083,558.23, up from ¥267,903,500.16, showing an increase of around 16.1%[16] - Total assets reached ¥2,301,511,634.58, compared to ¥2,178,008,125.71 at the end of 2020, marking a growth of about 5.6%[16] - The total liabilities as of the end of the third quarter of 2021 were ¥291,580,928.45, compared to ¥189,616,751.58 at the end of the same quarter in 2020, indicating a 53.8% increase[18] - The total liabilities and equity amounted to ¥2,301,511,634.58, compared to ¥2,178,008,125.71 in the previous year, indicating an increase of 5.6%[18] Cash Flow - The cash flow from operating activities was ¥138,032,945.95, indicating a substantial increase of 377.66% compared to the previous year[6] - The cash flow from operating activities for the first three quarters of 2021 was ¥829,241,614.62, an increase of 21.7% from ¥681,781,706.64 in the same period of 2020[22] - The net cash flow from operating activities was CNY 138,032,945.95, a significant improvement compared to a negative cash flow of CNY 49,713,455.32 in the previous year[23] - Total cash inflow from investment activities was CNY 377,216,680.81, while cash outflow was CNY 645,522,919.54, resulting in a net cash flow of -CNY 268,306,238.73[23] - Cash inflow from financing activities totaled CNY 90,538,300.00, with a net cash flow of CNY 60,432,735.26 after outflows[24] Expenses - Research and development expenses increased by 114.24% due to higher staffing costs and project investments[9] - The company experienced a 45.73% increase in operating costs, primarily due to revenue growth[9] - The company reported a 63.28% increase in income tax expenses, correlating with the decrease in profits[9] - Research and development expenses for the first three quarters of 2021 amounted to ¥148,657,526.76, which is more than double the ¥69,387,674.88 spent in the same period of 2020, reflecting a 114.3% increase[18] - The cash outflow for employee compensation was CNY 85,224,806.90, an increase from CNY 61,836,555.58 in the previous year[23] Inventory and Current Assets - Inventory stood at ¥350,436,667.02, down from ¥361,057,512.55, representing a decrease of approximately 2.0%[16] - The company reported a decrease in accounts receivable to ¥132,870,948.61 from ¥161,401,809.72, a decline of approximately 17.7%[15] - Accounts payable increased to ¥115,536,297.61 from ¥91,165,165.75, reflecting a rise of approximately 27.0%[16] - Other current assets rose significantly to ¥211,042,555.71 from ¥30,641,738.44, a substantial increase of about 588.5%[16] Strategic Plans - The company plans to continue expanding its Wi-Fi product offerings, which have shown promising sales growth[9] - The company has not disclosed any new product developments or market expansion strategies in the current report[14] Financial Position - The total equity attributable to shareholders reached ¥2,009,930,706.13, up from ¥1,988,391,374.13 in the previous year, showing a growth of 1.1%[18] - The company's equity attributable to shareholders was CNY 1,988,391,374.13, reflecting a stable financial position[28] - The deferred income tax liabilities decreased to ¥11,671.65 from ¥403,832.46, representing a decline of 97.1%[18] Cash and Cash Equivalents - Cash and cash equivalents decreased to ¥1,274,238,819.50 from ¥1,347,065,540.56, indicating a decline of about 5.4%[15] - The company's cash and cash equivalents at the end of the period were CNY 1,274,238,819.50, down from CNY 1,347,065,540.56 at the beginning of the period[24] - The company reported a decrease in cash equivalents due to foreign exchange fluctuations amounting to -CNY 2,986,163.54[24] Leasing Standards - The company executed the new leasing standards starting January 1, 2021, which did not require adjustments to the opening balances due to the nature of its leasing activities[28]

Financial Performance - The company's revenue increased by 192.27 million yuan, a growth of 58.43% compared to the same period last year[21]. - Net profit decreased by 17.06 million yuan, a decline of 34.12% year-on-year[21]. - Basic and diluted earnings per share fell to 0.22 yuan, down 38.89% from 0.36 yuan in the previous year[21]. - The weighted average return on net assets decreased to 1.64%, down 2.25 percentage points from 3.89% in the previous year[21]. - The company reported a basic earnings per share after deducting non-recurring gains and losses of 0.18 yuan, a decrease of 45.45% from 0.33 yuan[21]. - The company's revenue for the first half of the year reached ¥521,324,829.28, a 58.43% increase compared to ¥329,056,524.58 in the same period last year[22]. - Net profit attributable to shareholders decreased by 34.12% to ¥32,943,671.98 from ¥50,004,990.05 year-on-year[22]. - The company reported a total comprehensive income of ¥32,818,994.03, down from ¥50,074,890.43 in the previous year, reflecting a decrease of 34.5%[118]. Research and Development - Research and development expenses increased by over ¥45 million, exceeding 110% compared to the previous year, impacting net profit levels[23]. - The company has completed the R&D iteration of its new generation Bluetooth audio TWS products, which have been introduced to some customers[21]. - The company has successfully launched the world's first IoT chip supporting Wi-Fi 6, and its new generation 40nm Wi-Fi MCU chip has entered mass production, enhancing its competitive position in the market[42]. - Research and development expenses amounted to ¥86,580,370.89, a significant increase of 110.51% from ¥41,128,514.89 year-on-year, reflecting the company's commitment to innovation[48][49]. Sales and Market Position - The sales revenue of Wi-Fi MCU chip products continued to grow, significantly contributing to the overall revenue increase[21]. - The new generation of Wi-Fi chip products has improved gross margin and sales proportion, although supply remains insufficient due to industry capacity constraints[21]. - The sales of Bluetooth audio TWS new products are gradually ramping up, with expectations for continued performance contributions[21]. - The company has established a leading position in the domestic market for wireless ICs, particularly in consumer electronics and industrial applications[35]. Financial Management - The net cash flow from operating activities increased by ¥137,950,246.90, primarily due to higher sales revenue and good collection conditions[26]. - The company's cash and cash equivalents decreased by 18.46% to ¥1,098,427,513.62 from ¥1,347,065,540.56, as funds were reallocated for cash management purposes[51]. - The company has maintained a stable supply chain with key partners, ensuring production capacity and product quality amid a challenging semiconductor industry environment[45]. - The company reported a cash and cash equivalents balance of RMB 1,098,427,513.62 at the end of June 2021, compared to RMB 636,762,336.67 at the end of June 2020[125]. Shareholder and Equity Information - The company has established 100% ownership in several subsidiaries focused on integrated circuits, including locations in Hong Kong, Shenzhen, Beijing, and Zhejiang[55]. - The total number of shares after the non-public offering increased to 150,424,966 shares, with a registered capital increase of RMB 11,711,432[90]. - Beken Corporation holds 30,340,103 shares, representing 20.17% of total shares, with no restrictions on trading[93]. - The company has a total of 30,340,103 shares under lock-up conditions, with the earliest release in April 2022[96]. Risks and Challenges - The company faces risks in new product development due to long R&D cycles and potential misjudgment of market demand, which could delay product launches and affect cost recovery[57]. - The competitive landscape is intensifying, with significant competition from well-funded international firms and domestic chip design companies, potentially impacting market share and profitability[58]. - The company acknowledges the risk of talent loss in the highly competitive chip design industry, which could impact R&D capabilities and profitability[59]. Corporate Governance and Compliance - The company has established a comprehensive internal control system to ensure effective governance and product quality, which is critical for its sustainable development[46]. - The company has committed to not reducing shares below the IPO price during any planned reductions[73]. - The company guarantees that it will not exploit its position to harm Broadcom or its minority shareholders, nor seek undue benefits[76]. - The company will ensure that all transactions with Broadcom Integration are conducted at fair market prices, avoiding any potential conflicts[78]. Legal Matters - The company is involved in a significant lawsuit regarding patent infringement, claiming damages of RMB 98,113,882 from two defendants[81]. - The company has filed a patent infringement lawsuit in the U.S. against a competitor, seeking damages for losses incurred due to the infringement of its U.S. patent[81]. - There are no significant litigation or arbitration matters that have not been disclosed in the interim announcements[82]. Future Plans and Strategies - The company plans to continue investing in the IoT field to enhance sales revenue and gross margin of Wi-Fi series products[21]. - The company plans to invest RMB 100 million in a private equity fund to support the development of integrated circuits and artificial intelligence, enhancing its growth potential and shareholder value[84]. - The company aims to strengthen its core competitive advantages and expand its market presence to achieve dual improvements in revenue and profitability[74].

Financial Performance - Operating revenue for the current period was ¥236,391,274.30, representing a significant increase of 74.4% year-on-year[7] - Net profit attributable to shareholders decreased by 35.23% to ¥10,141,766.12 compared to the same period last year[7] - Basic and diluted earnings per share were both ¥0.07, down 36.36% from ¥0.11 in the same period last year[7] - Net profit for Q1 2021 was ¥10,141,766.12, a decrease of 35.5% from ¥15,657,077.75 in Q1 2020[22] - Total revenue for Q1 2021 was ¥236,391,274.30, representing a 74.40% increase compared to ¥135,543,679.47 in Q1 2020, driven by a focus on the WIFI and Bluetooth markets[12] - Total revenue for Q1 2021 reached ¥236,391,274.30, a significant increase of 74.4% compared to ¥135,543,679.47 in Q1 2020[21] - Total operating expenses for Q1 2021 were CNY 97,359,906.55, up from CNY 43,406,730.68 in Q1 2020[23] Assets and Liabilities - Total assets at the end of the reporting period reached ¥2,178,913,022.94, a slight increase of 0.04% compared to the end of the previous year[7] - Total assets amounted to ¥2,178,913,022.94, slightly up from ¥2,178,008,125.71 at the end of 2020[16] - Total liabilities decreased to ¥180,488,780.14 from ¥189,616,751.58, showing improved financial stability[16] - Total liabilities increased to ¥169,403,962.97 from ¥128,028,631.02 in the previous year[20] - The total equity of the company as of March 31, 2021, was ¥1,992,736,280.42, compared to ¥1,983,816,964.89 at the end of 2020[20] - The total assets of the company as of Q1 2021 were ¥2,178,008,125.71, unchanged from the previous reporting period[33] - The total liabilities amounted to ¥189,616,751.58, remaining stable compared to the previous period[33] Cash Flow - The net cash flow from operating activities was negative at -¥6,022,076.14, a decline of 188.12% compared to the previous year[7] - Net cash flow from operating activities was negative at -¥6,022,076.14, a decline of 188.12% from ¥6,834,079.63, due to increased R&D investments and operating expenses[12] - Cash flow from operating activities was negative CNY 6,022,076.14, a decline from positive CNY 6,834,079.63 in Q1 2020[26] - The net cash flow from operating activities for Q1 2021 was ¥16,144,520.34, a significant increase from ¥739,299.57 in Q1 2020, representing a growth of approximately 2,080%[29] - The company reported a cash outflow of ¥282,142,096.84 for the net increase in cash and cash equivalents during Q1 2021[29] Research and Development - R&D expenses surged by 125.22% to ¥42,338,925.41 from ¥18,799,199.46, attributed to personnel expansion and integration of the Greek subsidiary[12] - Research and development expenses for Q1 2021 were ¥42,338,925.41, up from ¥18,799,199.46 in Q1 2020, indicating a focus on innovation[21] - Research and development expenses increased to CNY 32,275,532.58, up 111.3% from CNY 15,228,559.02 in Q1 2020[23] Shareholder Information - The number of shareholders at the end of the reporting period was 20,370[9] - The top shareholder, Beken Corporation, held 20.17% of the shares, totaling 30,340,103 shares[9] Legal Matters - The company is pursuing legal action against two entities for patent infringement, seeking damages of ¥98,113,882[12] Inventory and Other Assets - The company reported inventory valued at approximately $149.13 million, contributing to the overall asset structure[36] - Other receivables were recorded at approximately $1.04 million, indicating potential liquidity[36] - The company has a deferred income tax liability of approximately $6.93 million, reflecting future tax obligations[37] - The capital reserve stands at approximately $1.42 billion, indicating strong financial backing[37] - The company has no short-term borrowings, suggesting a conservative approach to debt management[37] - The total liabilities to equity ratio indicates a low leverage position, enhancing financial stability[37]

Financial Performance - Total revenue for Q1 2021 reached RMB 236,391,274.30, an increase of 74.4% compared to RMB 135,543,679.47 in Q1 2020[9] - Net profit attributable to shareholders decreased by 35.51% to RMB 9,123,915.77 from RMB 14,148,382.81 in the same period last year[5] - Operating cash flow turned negative at RMB -6,022,076.14, a decline of 188.12% compared to RMB 6,834,079.63 in Q1 2020[10] - The weighted average return on equity decreased by 0.72 percentage points to 0.51% from 1.23%[5] Research and Development - Research and development expenses increased by 125.22% to RMB 42,338,925.41, driven by personnel expansion and integration of a Greek subsidiary[9] - The company has increased its investment in fixed assets and intangible assets by 8115.58% to RMB 15,765,683.03, reflecting a commitment to enhance R&D capabilities[10] Assets and Shareholder Information - Total assets at the end of the reporting period were RMB 2,178,913,022.94, a slight increase of 0.04% from RMB 2,178,008,125.71 at the end of the previous year[5] - The company reported a significant increase in other current assets by 814.31% to RMB 280,161,314.40, attributed to cash management of temporarily raised funds[9] - The number of shareholders reached 20,370 by the end of the reporting period[7] Market Focus - The company plans to continue deepening its focus on the Wi-Fi and Bluetooth markets, expecting further benefits to emerge[9]

Financial Performance - The company's operating revenue for 2020 was 80,869.97 million RMB, a decrease of 31.15% compared to 117,462.39 million RMB in 2019[21]. - Net profit attributable to shareholders was 3,322.24 million RMB, down 86.84% from 25,237.02 million RMB in the previous year[21]. - Basic and diluted earnings per share were both 0.24 RMB, representing a decline of 87.88% from 1.98 RMB in 2019[23]. - The average return on equity decreased to 2.67%, down 23.94 percentage points from 26.61% in the previous year, primarily due to reduced net profit amid new share issuance[23]. - The company reported a total revenue of approximately 65,342.47 million for the year ending December 2020, with a growth rate of 2.65% compared to the previous year[150]. Dividend Policy - The company plans to distribute a cash dividend of RMB 0.20 per share (including tax) for the fiscal year 2020[5]. - The company achieved a net profit of 33.22 million RMB for the year 2020, with a proposed cash dividend of 2.00 RMB per 10 shares, totaling 30,084,993.20 RMB[97]. - The company plans to distribute at least 80% of profits as cash dividends during mature stages without major capital expenditures, and at least 40% when there are significant expenditures[96]. Audit and Compliance - The company received a standard unqualified audit report from Lixin Certified Public Accountants[4]. - The company’s financial report is guaranteed to be true, accurate, and complete by its board of directors and management[8]. - The company has complied with all relevant accounting regulations without any significant impacts on its financial statements[118]. Risk Management - There are no significant risk events reported during the reporting period, and potential risks and countermeasures are detailed in the management discussion section[7]. - The company has confirmed that there are no non-operational fund occupations by controlling shareholders or related parties[7]. - The company faces risks in product development due to long R&D cycles and potential misjudgments in market demand, which could delay product launches and affect cost recovery[91]. Research and Development - R&D expenses increased by 23.44% to 122.26 million RMB, reflecting the company's commitment to innovation[57]. - The company has accumulated 111 patents in the wireless RF field, showcasing its strong R&D capabilities[48]. - The company has formed a highly standardized R&D process and quality control system to ensure effective management of new product development[38]. Market Position and Strategy - The company plans to expand into the Internet of Things (IoT) market, focusing on smart transportation, smart home, and wearable technology[35]. - The company has established a comprehensive wireless communication product platform, supporting various wireless protocols and communication standards[35]. - The company aims to improve the technology and performance of Bluetooth, Wi-Fi, and ETC products, while actively expanding into international markets to capture more market share[89]. Shareholder Structure and Management - The total number of shares held by the chairman and general manager, Pengfei Zhang, remained unchanged at 14,211,153 shares, with a pre-tax compensation of 1,109,900 CNY for the reporting period[191]. - The total number of shares held by the board members at the end of the reporting period was 30,901,788 shares, with a total pre-tax compensation of 5,766,700 CNY[191]. - The company has maintained a stable management team with no significant changes in shareholding among key executives[191]. Corporate Governance - The company emphasizes the importance of independent directors, who receive a fixed allowance, while other directors do not[199]. - The board of directors includes independent directors with diverse backgrounds, enhancing corporate governance[192]. - The company adheres to legal requirements for corporate governance, ensuring accurate and timely information disclosure to protect shareholder and creditor rights[157]. Financial Assets and Investments - The total balance of trading financial assets increased to CNY 6,210,000.00 by the end of the reporting period, with a total change of CNY 6,276,128.64[32]. - The company entrusted a total of 808 million RMB in bank wealth management products, with no overdue amounts reported[127]. - The company has confirmed that all entrusted wealth management activities have followed legal procedures[128]. Competitive Landscape - The competitive landscape is intensifying, with significant competition from international firms like Qualcomm and MediaTek, as well as domestic chip design companies[92]. - The company has established long-term partnerships with major foundries and packaging/testing suppliers to mitigate supply chain risks, although capacity constraints remain a concern[94]. Employee and Social Responsibility - The company actively participated in social responsibility initiatives, including a donation of 400,000 to support pandemic relief efforts[160]. - The company maintains a competitive salary and incentive policy to protect employee rights and ensure comprehensive social security coverage[159]. - The company has implemented effective measures to ensure employee safety during the COVID-19 pandemic, resulting in no reported infections among staff[160].

Financial Performance - Operating revenue for the first nine months fell by 28.33% to CNY 559,186,366.06 year-on-year[6] - Net profit attributable to shareholders decreased by 64.62% to CNY 57,960,776.01 for the first nine months[6] - Basic earnings per share dropped by 68.42% to CNY 0.42[7] - The net profit after deducting non-recurring gains and losses decreased by 67.54% to CNY 51,995,880.66 for the first nine months[6] - Net profit for the first three quarters decreased by 64.62% to approximately $57.96 million, mainly due to a revenue decline of approximately $22 million from reduced demand for ETC-related chip products[15] - The net profit for Q3 2020 was ¥7,955,785.97, compared to ¥108,821,023.61 in Q3 2019, reflecting a significant decline[37] - The total profit for Q3 2020 was ¥9,123,226.10, down from ¥125,872,684.69 in the same period last year[37] - The basic earnings per share for Q3 2020 were ¥0.06, compared to ¥0.85 in Q3 2019[37] - The total comprehensive income for Q3 2020 was ¥7,710,787.58, down from ¥110,673,695.41 in Q3 2019[37] Cash Flow and Liquidity - The net cash flow from operating activities for the first nine months was negative at CNY -49,713,455.32, a decrease of 237.54% compared to the same period last year[6] - Cash and cash equivalents decreased by 51.79% to approximately $406.28 million due to increased capital expenditures and cash management of temporarily idle funds[12] - Cash received from other operating activities increased by 488.85% to approximately $18.84 million, mainly due to increased government subsidies received[18] - Cash paid to employees increased by 31.04% to approximately $61.84 million, reflecting higher employee compensation payments[18] - Cash flow from investment recovery increased by 400% to approximately $540 million, driven by increased frequency of cash management product recoveries[19] - The net cash flow from operating activities was negative at -¥49.71 million, contrasting with a positive cash flow of ¥36.14 million in the first nine months of 2019[45] - The company reported a significant increase in cash outflow for investment activities, totaling -¥265.47 million, compared to -¥470.22 million in the same period of 2019[46] - The net cash flow from financing activities was -¥93.34 million, a significant decrease from a positive cash flow of ¥651.57 million in the same period of 2019[46] Assets and Liabilities - Total assets decreased by 12.65% to CNY 1,396,060,217.39 compared to the end of the previous year[6] - Cash and cash equivalents at the end of Q3 2020 stood at ¥406.28 million, a decrease from ¥822.77 million at the beginning of the year[46] - Total liabilities decreased to ¥127.43 million from ¥336.13 million, a decline of approximately 62.0%[29] - Total current assets amounted to approximately $1.28 billion as of December 31, 2019[54] - Total non-current assets were approximately $90.80 million as of December 31, 2019[54] - Total liabilities reached approximately $124.22 million, with current liabilities accounting for approximately $118.60 million[55] - The company’s total assets as of September 30, 2020, were ¥1,598,300,829.50, unchanged from the previous year[52] - The total liabilities stood at ¥336,132,498.95, consistent with the previous year’s figures[52] Shareholder Information - The company had a total of 29,029 shareholders at the end of the reporting period[9] - Beken Corporation held 21.87% of the shares, making it the largest shareholder[9] Government Support - The company received government subsidies amounting to CNY 1,261,497.70 during the reporting period[8] - Deferred income increased by 168.33% to approximately $15.08 million, due to government subsidies received that have not yet been recognized as income[12] Investment Activities - The company acquired 100% equity of Adveos for a total transaction price of €6 million, with €4.8 million paid from its own funds and €1.2 million for capital increase[22] - Cash paid for the acquisition of fixed assets, intangible assets, and other long-term assets increased due to the purchase of an office in Shenzhen[22] - Cash paid for investments increased as the company actively managed idle funds and increased the frequency of purchasing financial products[22] Research and Development - R&D expenses for Q3 2020 were ¥28,259,159.99, down 17.9% from ¥34,413,231.67 in Q3 2019[35] - The company's R&D expenses for Q3 2020 were ¥21,244,664.49, a decrease from ¥27,542,020.71 in Q3 2019[41] Future Outlook - The company expects a significant decrease in net profit for the year compared to last year due to reduced demand for ETC-related chip products[23]

Financial Performance - The company's operating revenue for the first half of 2020 was RMB 329,056,524.58, representing a 9.65% increase compared to RMB 300,093,296.75 in the same period last year[18]. - The net profit attributable to shareholders for the first half of 2020 was RMB 50,004,990.05, a decrease of 9.10% from RMB 55,012,192.84 in the previous year[18]. - The basic earnings per share for the first half of 2020 was RMB 0.36, down 25% from RMB 0.48 in the same period last year[20]. - The company reported a decrease in net profit after deducting non-recurring gains and losses to RMB 45,122,327.91, a 12.77% decline from RMB 51,728,907.35 in the previous year[18]. - The company's R&D expenses amounted to 41.13 million RMB, accounting for 12.50% of the sales revenue[38]. - The company reported a significant reduction in short-term borrowings, which dropped to RMB 0.00 from RMB 56,711,064.56[87]. - The company recorded a comprehensive income of ¥50,074,890.43 for the period, which includes a profit distribution of -¥51,324,007.58, highlighting a challenging profit environment[106]. Cash Flow and Assets - The net cash flow from operating activities was negative RMB 49,110,196.37, a significant decline from positive RMB 2,256,078.56 in the same period last year[19]. - The total assets decreased by 12.80% to RMB 1,393,659,639.86 from RMB 1,598,300,829.50 at the end of the previous year[19]. - The cash and cash equivalents were reported at RMB 656,762,336.67, down from RMB 842,766,691.27 at the end of 2019, reflecting a decrease of approximately 22%[86]. - Accounts receivable increased by 25.34% to 182.09 million yuan, attributed to higher operating revenue and slower collection speeds due to the pandemic[47]. - Inventory rose by 80.35% to 418.45 million yuan, driven by ongoing inventory buildup in response to market demand[47]. - The company's total current assets were RMB 1,314,992,089.26, down from RMB 1,514,566,412.12, a decrease of about 13.2%[86]. Market Position and Strategy - The company specializes in the research and sales of wireless communication integrated circuit chips, including wireless data transmission chips and wireless audio chips[24]. - The company aims to expand into the Internet of Things (IoT) market, including smart transportation and smart home applications, leveraging its existing technology and market resources[24]. - The company has established stable customer relationships with well-known brands such as Alibaba, Xiaomi, and Motorola, maintaining a leading market share in certain segments[30]. - The company operates under a Fabless model, focusing solely on design while outsourcing manufacturing and testing[26]. - The company has over 100 patents in the wireless RF field, showcasing its strength in technology research and development[31]. Risks and Challenges - The company faced challenges in cash flow due to slower customer repayment speeds and increased procurement costs amid market demand[19]. - The competitive landscape is intensifying, with risks from both domestic and international chip design companies[53]. - The company faces significant competition risks from international manufacturers and domestic firms in the IC design industry, which is becoming increasingly competitive[54]. - The company faces risks related to product development, including potential misjudgment of market demand and extended R&D cycles[52]. Shareholder and Governance Matters - The controlling shareholder Beken BVI committed not to transfer or entrust the management of shares held before the company's public offering for 36 months from the listing date[60]. - The company did not propose any profit distribution or capital reserve increase plans for the half-year period[58]. - The company has established a profit distribution policy to ensure reasonable returns for all shareholders[62]. - The company has committed to avoiding related party transactions that could harm the interests of minority shareholders[64]. - The company will ensure that any necessary transactions with related parties adhere to market principles and are conducted on an equal and mutually beneficial basis[64]. Accounting and Financial Reporting - The financial statements are prepared in accordance with the Chinese Accounting Standards, ensuring a true and complete reflection of the company's financial status[120]. - The company has not reported any changes in accounting policies or prior period error corrections during this reporting period[110]. - The company recognizes revenue when it satisfies performance obligations, either over time or at a point in time, based on specific criteria[197]. - The company recognizes government grants when it meets the conditions attached to them and can receive the funds[200].

Financial Performance - Operating income increased by 7.47% to CNY 135,543,679.47 year-on-year[5] - Net profit attributable to shareholders decreased by 8.02% to CNY 14,148,382.81 compared to the same period last year[5] - Total operating revenue for Q1 2020 was ¥135,543,679.47, an increase of 7.1% compared to ¥126,127,879.57 in Q1 2019[27] - Total operating costs for Q1 2020 were ¥111,154,092.09, up from ¥108,740,945.83 in Q1 2019, representing a 3.9% increase[27] - Net profit for Q1 2020 was ¥15,657,077.75, a decrease of 4.4% from ¥16,382,548.26 in Q1 2019[28] - The company reported a profit margin of 11.5% in Q1 2020, down from 12.9% in Q1 2019[28] - Total comprehensive income for Q1 2020 was ¥15,700,650.63, compared to ¥16,234,560.42 in Q1 2019, reflecting a decline of 3.3%[28] Cash Flow and Management - Cash flow from operating activities increased significantly by 256.43% to CNY 6,834,079.63[5] - Cash received from sales of goods and services rose by 70.25% to ¥240,976,544.71, driven by the recovery of accounts receivable from 2019[18] - Cash payments for purchasing goods and services increased by 81.25% to ¥201,889,340.03, reflecting payments for due procurement[18] - The company reported a net cash outflow from investing activities of ¥320,191,899.91, a substantial increase from ¥37,531,028.19 in Q1 2019[34] - The company experienced a net cash outflow of ¥368,942,936.29 in Q1 2020, compared to a smaller outflow of ¥2,120,084.20 in Q1 2019[34] - The total cash inflow from operating activities for the parent company was ¥75,234,013.61, up from ¥12,322,304.19 in Q1 2019[36] - The parent company reported a net cash flow from operating activities of ¥739,299.57, recovering from a loss of ¥18,430,009.83 in the previous year[36] Assets and Liabilities - Total assets decreased by 9.13% to CNY 1,452,318,938.46 compared to the end of the previous year[5] - Cash and cash equivalents decreased by 43.78% to CNY 473,823,754.98 due to cash management of idle funds[11] - Accounts receivable decreased by 41.17% to CNY 183,246,802.75 as a result of collection efforts[11] - Total liabilities decreased from CNY 336,132,498.95 to CNY 174,449,957.28, a decline of about 48.0%[20] - Current liabilities decreased from CNY 330,512,498.95 to CNY 159,369,957.28, a reduction of about 51.8%[20] - Non-current liabilities decreased from CNY 5,620,000.00 to CNY 15,080,000.00, an increase of approximately 168.5%[20] - Owner's equity increased from CNY 1,262,168,330.55 to CNY 1,277,868,981.18, an increase of approximately 1.2%[20] Shareholder Information - The number of shareholders reached 24,211 at the end of the reporting period[8] - The largest shareholder, Beken Corporation, holds 21.87% of the shares[8] Investment and Expenses - Investment income increased significantly by 760.77% to ¥2,172,342.47, attributed to an increase in cash management balances[18] - R&D expenses for Q1 2020 amounted to ¥18,799,199.46, an increase of 15.9% from ¥16,213,534.26 in Q1 2019[27] - The company experienced a credit impairment loss of ¥2,661,835.09 in Q1 2020, compared to no losses in Q1 2019[27] Changes in Financial Reporting - The company implemented new revenue and lease standards starting in 2020, affecting the financial statements[38] - The company has implemented new revenue recognition standards effective from January 1, 2020, impacting financial reporting[41]