Financial Performance - The company's operating revenue for Q1 2023 was ¥187,984,219.17, representing a year-on-year increase of 28.07%[3] - The net profit attributable to shareholders was a loss of ¥19,553,651.85, with a decrease of ¥13,238,000 compared to the same period last year[7] - The net cash flow from operating activities was a negative ¥92,085,369.03, reflecting a decline of 478.79% year-on-year[3] - Total operating revenue for Q1 2023 was ¥187,984,219.17, an increase of 27.9% compared to ¥146,785,887.64 in Q1 2022[18] - Net loss for Q1 2023 was ¥19,885,660.30, compared to a net loss of ¥6,624,926.27 in Q1 2022, representing an increase in loss of 200.5%[20] - Basic and diluted earnings per share for Q1 2023 were both -¥0.21, compared to -¥0.07 in Q1 2022[20] Cash Flow - Cash inflow from operating activities in Q1 2023 was ¥179,579,006.38, down 15.3% from ¥212,024,832.09 in Q1 2022[21] - Cash paid for purchasing goods and services in Q1 2023 was ¥223,032,424.67, an increase of 47.6% compared to ¥150,969,346.15 in Q1 2022[21] - The net cash flow from operating activities was -$92.09 million, a significant decline compared to a positive cash flow of $24.31 million in the same period last year[23] - Total cash outflow from operating activities amounted to $271.66 million, up from $187.71 million year-over-year[23] - Cash paid to employees increased to $25.52 million from $22.61 million, reflecting a year-over-year growth of approximately 8.4%[23] - Cash paid for taxes rose to $2.20 million, up from $1.22 million, indicating an increase of about 80.3%[23] - Cash paid for other operating activities was $20.92 million, compared to $12.91 million, marking a year-over-year increase of approximately 62%[23] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,376,574,848.84, showing a slight increase of 0.69% from the end of the previous year[4] - The company's cash and cash equivalents decreased to CNY 215,888,016.25 from CNY 226,955,130.34, representing a decline of about 4.7%[14] - Accounts receivable stood at CNY 375,897,291.79, slightly down from CNY 377,816,144.08, indicating a decrease of approximately 0.5%[14] - Inventory decreased to CNY 183,853,682.41 from CNY 200,821,264.58, showing a reduction of about 8.5%[15] - Short-term borrowings increased significantly to CNY 316,535,431.24 from CNY 225,225,525.82, marking an increase of approximately 40.5%[15] - Total liabilities as of Q1 2023 were ¥619,544,967.69, an increase from ¥590,791,155.47 in Q1 2022[18] - Total equity attributable to shareholders was ¥754,335,845.47 in Q1 2023, down from ¥773,889,497.32 in Q1 2022[18] - Non-current liabilities totaled ¥8,162,978.77 in Q1 2023, a decrease from ¥10,628,233.79 in Q1 2022[18] Research and Development - Research and development expenses totaled ¥26,683,506.23, accounting for 14.19% of operating revenue, a decrease of 1.96 percentage points compared to the previous year[4] - The company reported a significant increase in research and development expenses, totaling ¥18,615,855.49 in Q1 2023, compared to ¥17,320,901.36 in Q1 2022[18] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 6,226[10] - The top shareholder, Shenzhen Jisri Investment Development Co., Ltd., holds 23.61% of the shares[10] Other Information - The company reported a non-recurring gain of ¥3,241,667.54 from government subsidies related to normal business operations[6] - The weighted average return on net assets was -2.56%[4] - The company has not disclosed any new product developments or technological advancements during this reporting period[13] - There were no significant mergers or acquisitions reported in the first quarter of 2023[13] - The company has not provided specific future guidance or market expansion strategies in the current report[13]

Financial Performance - In 2022, the company's operating revenue decreased due to reduced demand for wireless communication modules, resulting in a year-on-year decline [4]. - The overall gross margin slightly decreased year-on-year due to market competition and changes in revenue structure [4]. - The company reported a net loss for the year, attributed to increased impairment losses [4]. - The company has not achieved profitability since its listing [4]. - The company's operating revenue for 2022 was approximately ¥839.58 million, a decrease of 18.05% compared to ¥1,024.56 million in 2021 [21]. - The net profit attributable to shareholders was a loss of approximately ¥56.93 million, representing a decline of 339.11% from a loss of ¥12.96 million in the previous year [21]. - The company's total assets decreased by 8.99% to approximately ¥1.37 billion from ¥1.50 billion in 2021 [21]. - The net assets attributable to shareholders decreased by 7.04% to approximately ¥773.89 million from ¥832.47 million in 2021 [21]. - The company reported a net loss of approximately ¥43.96 million due to decreased revenue and increased impairment losses [24]. - The company's revenue decreased by 18.05% year-on-year, and net profit attributable to shareholders dropped by 339.11% due to reduced income from the domestic power and financial payment sectors and a decline in gross margin [74]. Research and Development - Research and development expenses accounted for 12.64% of operating revenue, an increase of 3.49 percentage points from 9.15% in 2021 [22]. - R&D investment for the year was 106.09 million yuan, an increase of 13.17%, accounting for 12.64% of operating revenue [34]. - The company applied for 65 patents and 9 software copyrights during the reporting period, totaling 103 patents and 112 software copyrights by the end of the period [37]. - R&D personnel accounted for 63.85% of the total workforce, with 348 employees dedicated to R&D [37]. - The company has developed over ten core application technologies, including low-power rapid networking technology for NB-IoT and software-defined standardized access technology for IoT devices [55]. - The company is actively developing multiple projects, including 5G wireless communication modules and solutions, with a total expected investment of 22.21 million yuan [65]. - The company has implemented a strict R&D management system and continuously optimizes its integrated product development (IPD) project management [48]. Market Expansion and Strategy - The company expanded its overseas power market, increasing module deliveries to the Eurasian region [34]. - The company achieved significant market expansion in the overseas power industry, collaborating with well-known clients in India, Europe, the Middle East, and Southeast Asia, with Cat-M modules being commercially used in Europe [40]. - The company is actively expanding its overseas market presence, particularly in Europe, Asia, and the Middle East, with leading market shares in countries like Saudi Arabia and India [50]. - The company is focusing on the integration of 5G technology with AI, big data, and cloud computing, which is expected to drive new IoT application demands in sectors like smart healthcare and intelligent driving [53]. - The company is expanding into new fields such as urban IoT perception and overseas electric power and vehicle networking markets, expecting significant revenue growth in 2023 [187]. Corporate Governance and Compliance - The board of directors proposed not to distribute cash dividends or conduct capital reserve transfers to increase share capital for the 2022 fiscal year [5]. - The company is focused on enhancing its governance and compliance, responding to previous regulatory criticisms by implementing corrective measures and improving financial management practices [42]. - The company received a criticism notice from the Shanghai Stock Exchange for inaccurate disclosure of performance forecasts and reports in 2021 [174]. - The Shenzhen Securities Regulatory Bureau issued a corrective measure decision to the company on September 7, 2021, regarding issues in corporate governance and internal controls [173]. - The company has committed to improving operational compliance and enhancing financial management systems following regulatory feedback [175]. Risks and Challenges - There are significant risks related to a substantial decline in performance or losses, as detailed in the management discussion and analysis section [4]. - The company faces risks related to the potential loss of core technical personnel and the leakage of proprietary technology [75]. - The company is experiencing longer payment cycles from major clients, which could pressure cash flow management and operational efficiency [79]. - The company faced risks related to chip shortages, which could negatively impact future operating performance if the situation recurs [77]. - The company relies heavily on imported chips, primarily from foreign manufacturers, which poses risks related to international trade tensions and supply chain disruptions [78]. Sales and Revenue Model - The company’s sales model primarily relies on direct sales, supplemented by distribution, while actively promoting service operation models in urban IoT perception [39]. - The company primarily utilizes a direct sales model complemented by a distribution model, focusing on large clients and responding to the needs of small and medium-sized customers in the IoT sector [47]. - Direct sales revenue decreased by 33.50%, while distribution revenue increased by 78.02%, indicating a shift in sales strategy towards overseas markets [93]. Future Outlook - The company expects a significant increase in orders in Q1 2023, indicating a potential recovery in performance in Q2 2023 [74]. - The company provided a forward guidance of 10% revenue growth for the next fiscal year, projecting revenues of approximately $1.32 billion [149]. - Future guidance indicates a projected revenue growth of approximately 20% for the next fiscal year [158]. - The company plans to enhance its financial management systems to ensure compliance with regulatory standards [146].

2022 年第三季度报告 证券代码：688159 证券简称：有方科技 深圳市有方科技股份有限公司 2022 年第三季度报告 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、准确性和完整性依法承担法律责任。 重要内容提示： 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真实、准确、完整， 不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 公司负责人、主管会计工作负责人及会计机构负责人（会计主管人员）保证季度报告中财务 信息的真实、准确、完整。 第三季度财务报表是否经审计 □是 √否 一、 主要财务数据 (一)主要会计数据和财务指标 单位：元 币种：人民币 | 经营活动产生的现金流 | 不适用 | 不适用 | 28,892,440.31 | | 不适用 | | --- | --- | --- | --- | --- | --- | | 量净额 | | | | | | | 基本每股收益（元/ | -0.10 | -225.00 | -0.26 | 不适用 | | | 股） | | | | | | | 稀释每股收益（元/ | -0 ...

Financial Performance - In the first half of 2022, the company's operating revenue decreased compared to the same period last year, while the gross profit margin improved year-on-year[4]. - The net profit showed a slight increase year-on-year but still recorded a small loss[4]. - The company's operating revenue decreased by 14.84% year-on-year, amounting to approximately ¥351.20 million, primarily due to the impact of the pandemic and delayed demand in the smart energy sector[20]. - The net profit attributable to shareholders increased by 14.19% year-on-year, reaching approximately -¥14.88 million, while the net profit excluding non-recurring gains and losses increased by 4.92% to approximately -¥22.18 million[21]. - The net cash flow from operating activities improved significantly, increasing by 166.51% year-on-year to approximately ¥58.46 million, attributed to enhanced collection of accounts receivable[20]. - The company's revenue for the first half of 2022 was CNY 351.20 million, a year-on-year decrease of 14.84%[60]. - The net profit was a loss of CNY 14.99 million, a year-on-year change of -13.55%[60]. - Revenue from the smart energy sector decreased by 39.17% due to delays in project implementation caused by domestic COVID-19 and changes in power standards[61]. - The connected vehicle sector saw a revenue increase of 57.05%, driven by higher demand in both domestic and overseas markets[62]. Research and Development - The company's R&D expenditure accounted for 13.80% of operating revenue, an increase of 3.10 percentage points compared to the previous year[20]. - The company invested CNY 48.47 million in R&D during the reporting period, representing a year-on-year increase of 9.83% and accounting for 13.80% of total revenue[44]. - The company applied for 34 patents during the reporting period, bringing the total to 325 patents, of which 170 have been granted[44]. - The company’s R&D focus includes enhancing the reliability and adaptability of wireless communication modules for diverse application scenarios[40]. - The R&D team has a strong background in wireless communication, with an average of over 15 years of industry experience among core team members[58]. - The company launched several new products, including high-performance low-power smart modules and a new generation Cat.1 module for various applications[64]. Market and Industry Trends - The global IoT market is projected to reach $4 trillion by 2025, with a compound annual growth rate of 16.22% over the next decade[27]. - The enterprise IoT spending is expected to grow at a compound annual growth rate of 22.0%, reaching $525 billion by 2027[28]. - The company is focused on the smart energy sector, which includes significant investments in smart grid infrastructure, with an estimated total investment of nearly ¥3 trillion during the 14th Five-Year Plan period[29]. - The company aims to leverage the growing demand for distributed photovoltaic power generation, with an expected annual new capacity of 70-90 GW during the 14th Five-Year Plan period[29]. - The global smart gas meter market size reached approximately $7.62 billion in 2020, an increase of 35.35% from 2015, and is projected to grow at a CAGR of 6.3% to around $10.9 billion from 2021 to 2026[30]. - The Chinese vehicle networking market is forecasted to grow at a CAGR of about 20.07% from 2021 to 2025, reaching $89.8 billion, with user scale expected to grow at a CAGR of approximately 30.04% to 273 million vehicles by 2025[31]. Corporate Governance and Compliance - The company has not proposed any profit distribution plan or capital reserve transfer to increase share capital during this reporting period[5]. - The company has not violated decision-making procedures for providing guarantees[6]. - The company emphasizes the importance of forward-looking statements and advises investors to be aware of investment risks[5]. - The company has not disclosed any significant changes in its corporate governance structure during the reporting period[90]. - The company has not faced any administrative penalties related to environmental issues[98]. - The company has committed to avoiding related party transactions and ensuring that any unavoidable transactions are conducted on fair and reasonable terms[128]. Shareholder and Equity Management - The company will maintain a cash dividend policy of at least 10% of the distributable profit for the year, with an increase in cash dividend levels expected in the first two accounting years following the issuance[113]. - The company will ensure compliance with the Shanghai Stock Exchange's reduction rules when reducing shares[110]. - The company has committed to not transferring or entrusting the management of its publicly issued shares for twelve months from the date of listing[108]. - The company will notify four trading days prior to any share reduction and will announce it three trading days before the reduction[110]. - The company has established a plan to stabilize the stock price, which will be activated under specific conditions[118]. - The company will publicly disclose any failure to fulfill commitments made during the IPO process and apologize to shareholders[122]. Financial Stability and Risks - Total assets decreased by 5.64% year-on-year to approximately ¥1.42 billion, primarily due to a reduction in accounts receivable[21]. - The company faces risks related to potential performance declines due to ongoing COVID-19 impacts and chip shortages affecting product delivery[68]. - The company is exposed to risks from potential changes in rebate policies from chip manufacturers, which could significantly impact operating performance[71]. - The company is at risk of losing core technical personnel, which could adversely affect product development and market position[72]. - The company reported a significant loss due to historical related party transactions, with a commitment to compensate for any losses incurred by the company and minority shareholders[128].

Financial Performance - The company's operating revenue for 2021 saw a significant year-on-year increase, recovering from the impacts of the COVID-19 pandemic[4]. - The company's operating revenue for 2021 was approximately ¥1.025 billion, representing a year-on-year increase of 78.61%[20]. - The net profit attributable to shareholders was approximately -¥12.96 million, an improvement of 82.73% compared to the previous year[20]. - The net profit for the year was a loss of CNY 13.97 million, a year-on-year improvement of 81.38%[33]. - The total revenue for the company was 1,125.60 million, showing a growth of 350.77 million or 38.7% year-over-year[60]. - The company reported a significant increase in revenue, achieving a total of $500 million for the fiscal year, representing a 25% year-over-year growth[166]. Dividend and Capital Management - The board has proposed not to distribute cash dividends or increase capital reserves through stock issuance for the 2021 fiscal year[5]. - The company did not propose a cash dividend for 2021, citing significant revenue growth but challenges in profitability due to semiconductor shortages[188]. - The company confirmed a total of RMB 257.56 million in share-based payment expenses for the reporting period[196]. Research and Development - Research and development expenses accounted for 9.15% of operating revenue, a decrease of 6.09 percentage points compared to the previous year[22]. - The company applied for 60 patents and 7 software copyrights during the reporting period, with a 167% increase in patents granted compared to 2020[36]. - The company is focusing on R&D in IoT wireless communication modules and solutions, catering to diverse industry needs and ensuring product reliability and adaptability[41]. - The total R&D investment for the year amounts to 9,374.16 million, with a significant focus on IoT applications and solutions[73]. - The company is enhancing its R&D capabilities and has invested in new equipment and software platforms to support growth[80]. Market Expansion and Product Development - The company expanded its revenue streams by entering new application areas such as financial payment and smart education, contributing to significant revenue growth[23]. - The company plans to continue its market expansion and product development in the smart energy sector, which has shown strong demand recovery[23]. - The company is actively developing 5G modules and solutions, but risks exist if it fails to meet market demands for new products[83]. - The company aims to enhance its market presence through new product development and strategic partnerships in the IoT sector[72]. - The company is focusing on expanding its market presence in smart energy and industrial internet sectors, with specific projects aimed at smart cities and vehicle networking[64]. Operational Challenges - The company has disclosed risks related to significant performance declines or losses in its management discussion section[4]. - The company faced challenges with long payment cycles from major clients in the power industry, impacting cash flow management[23]. - The company is exposed to risks from intensified industry competition and potential impacts from U.S.-China trade tensions[90]. - The company faces risks related to semiconductor chip shortages, which have impacted order fulfillment, especially in the high-end vehicle networking market[84]. Governance and Compliance - The company is undergoing continuous improvements in governance and internal controls following a regulatory inspection by the Shenzhen Securities Regulatory Bureau[40]. - The company received a corrective measure decision from the Shenzhen Securities Regulatory Bureau on September 7, 2021, due to issues in corporate governance, internal control, and accounting[171]. - The company emphasizes the importance of improving corporate governance and internal control systems as per the regulatory requirements[171]. Employee and Management - The company granted 6.41 million shares of restricted stock to 156 employees as part of its 2021 incentive plan, aiming to motivate and retain talent[39]. - The company has implemented a platform-based approach to R&D projects, outsourcing some testing and certification work to improve efficiency[77]. - The company has established a compensation incentive mechanism based on quarterly assessments and annual performance results to attract and retain talent[186]. Future Outlook - The company provided guidance for 2022, expecting revenue to reach between 1.7 billion and 1.8 billion, indicating a growth rate of approximately 13% to 20%[161]. - The company anticipates maintaining high revenue growth in 2022, focusing on market opportunities in digital cities and overseas vehicle networking[188]. - The company plans to enhance its offerings in the high-end automotive IoT market with products like smart OBD and AI dash cameras[149].

Financial Performance - The company's operating revenue for Q1 2022 was ¥146,785,887.64, representing an increase of 11.99% compared to the same period last year[5]. - The net profit attributable to shareholders was a loss of ¥6,315,627.96, with a basic and diluted earnings per share of -¥0.07[5][6]. - The net cash flow from operating activities was ¥24,310,243.22, indicating an improvement in cash generation compared to the previous year[5][10]. - The company reported a gross profit margin of approximately 10.5% for Q1 2022, compared to a margin of 0.2% in Q1 2021[22]. - The company recorded an investment loss of ¥875,704.24 in Q1 2022, compared to a gain of ¥969,979.80 in Q1 2021[22]. - The company’s total comprehensive income for the period was -¥5,169,388.78, compared to -¥23,212,237.69 in the previous year, reflecting a reduction in losses[33]. Assets and Liabilities - Total assets at the end of the reporting period were ¥1,456,082,405.53, a decrease of 3.08% from the end of the previous year[6]. - The company's total assets amounted to ¥1,522,427,904.02, a decrease from ¥1,536,804,857.12 at the end of 2021[30]. - The total liabilities decreased to ¥627,312,589.96 from ¥666,930,023.92, a reduction of 5.9%[22]. - The total equity attributable to shareholders was ¥826,150,409.58, slightly down from ¥832,466,037.54[22]. - The company’s total equity as of March 31, 2022, was ¥868,663,089.09, down from ¥873,832,477.87 at the end of 2021[30]. Cash Flow - Operating cash flow for Q1 2022 was ¥24,310,243.22, a significant recovery from a negative cash flow of ¥57,213,824.67 in Q1 2021[25]. - In Q1 2022, the company generated a net cash flow from operating activities of ¥36,091,078.08, a significant improvement compared to a net outflow of ¥66,359,491.06 in Q1 2021[35]. - Total cash inflow from operating activities was ¥196,223,125.59, while cash outflow was ¥160,132,047.51, resulting in a positive cash flow from operations[35]. - The company reported a net cash flow from investing activities of -¥39,123,390.81, down from a positive cash flow of ¥12,040,324.38 in the same period last year[36]. - The company’s cash flow from financing activities showed a net outflow of -¥42,122,502.59 in Q1 2022, contrasting with a net inflow of ¥56,214,212.00 in Q1 2021[26]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 6,224, indicating a stable shareholder base[12]. - The top shareholder, Shenzhen Jisrui Investment Development Co., Ltd., held 23.61% of the shares, indicating significant ownership concentration[13]. Research and Development - Research and development expenses totaled ¥23,709,200.50, accounting for 16.15% of operating revenue, a decrease of 0.70 percentage points year-on-year[6]. - Research and development expenses decreased to ¥17,320,901.36 from ¥22,082,053.22, a decline of 21.5% year-over-year[22]. - Research and development expenses for Q1 2022 were ¥16,503,393.70, a decrease from ¥21,006,854.69 in Q1 2021[32]. Operational Focus - The company is focusing on capitalizing its 5G wireless communication module and cloud platform projects, which is expected to enhance profitability in the future[10]. - The company plans to continue focusing on operational efficiency and cost control to improve financial performance in the upcoming quarters[36]. - The company has not reported any new product launches or significant market expansion strategies in the current quarter[17].

Financial Performance - In 2021, the company experienced significant revenue growth compared to the previous year, recovering from the impacts of the COVID-19 pandemic[4]. - The net profit showed substantial growth but still reported a slight loss, indicating ongoing financial challenges[4]. - The company plans not to distribute cash dividends or increase capital reserves through stock issuance for the 2021 fiscal year[5]. - The company has not yet achieved profitability since its listing, highlighting ongoing operational challenges[4]. - The company's operating revenue for 2021 was CNY 1,024,558,178.66, representing a year-on-year increase of 78.61%[20]. - The net profit attributable to shareholders was CNY -12,964,008.42, an improvement of 82.73% compared to the previous year[20]. - The net cash flow from operating activities was CNY -86,718,471.17, showing a slight increase of 5.68% from the previous year[21]. - Total assets increased by 15.76% year-on-year, reaching CNY 1,502,324,765.76, primarily due to an increase in accounts receivable[21]. - The basic earnings per share improved to CNY -0.1414, a 83.09% increase from the previous year[22]. - The net profit for the year was a loss of CNY 13.97 million, a year-on-year improvement of 81.38%[33]. - The total equity attributable to shareholders decreased by 1.23% year-on-year, amounting to CNY 832,466,037.54[21]. Research and Development - The company’s R&D investment growth was relatively modest compared to revenue growth, indicating a potential area for improvement[4]. - Research and development expenses accounted for 9.15% of operating revenue, a decrease of 6.09 percentage points from the previous year[22]. - R&D investment amounted to CNY 93.74 million, up 7.25% year-on-year, accounting for 9.15% of operating revenue[33][36]. - The company applied for 60 patents and 7 software copyrights during the reporting period, with a 167% increase in patent authorizations compared to 2020[36]. - The company launched several new products, including 5G+C-V2X modules and Cat.1 blockchain modules, enhancing its technological foundation[37]. - The company has developed new core application technologies, including standardized access technology for IoT devices and intelligent IoT management technology[51]. - The company’s R&D expenses capitalized amounted to ¥15.18 million, reflecting the development of 5G wireless communication modules and cloud platform projects[55]. - The company is actively participating in the development of the NB-IoT and Cat.1 networks, which are expected to drive significant growth in the IoT market[48]. Market Expansion and Strategy - The company is focused on expanding its market presence and developing new technologies, although specific details were not disclosed in the report[4]. - The company expanded its revenue streams in smart energy, financial payment, smart education, and electric vehicle sectors, contributing to significant revenue growth[22]. - The company has expanded its applications in multiple fields, including power metering, power distribution networks, and distributed photovoltaic energy storage, with significant growth in overseas markets such as India, Europe, and the Middle East[38]. - The company is positioned to benefit from the rapid growth of the IoT industry, with projections indicating that 4G and NB-IoT networks will dominate global cellular networks by 2025[49]. - The company plans to expand its market presence in both domestic and overseas markets, focusing on sectors like smart energy, vehicle networking, and industrial IoT[129]. - The company is targeting significant growth in overseas markets, particularly in Europe, North America, and Asia, with a focus on increasing brand recognition and sales scale[129]. Governance and Compliance - The company’s governance structure remains intact, with all board members affirming the accuracy and completeness of the annual report[8]. - The company emphasizes the importance of governance and compliance, ensuring that its board and supervisory committee operate independently and effectively[135]. - The company has a governance structure that complies with regulations, with no major discrepancies noted[136]. - The company has maintained independence from its controlling shareholder, with no significant competition or conflicts reported[136]. - The company is undergoing continuous rectification of the issues identified by the Shenzhen Securities Regulatory Bureau[152]. - The company emphasizes its commitment to environmental protection and energy conservation, promoting green office practices among employees[185]. Risks and Challenges - The company disclosed risks related to potential significant declines in performance or losses, emphasizing the need for careful risk management[4]. - The company faced challenges with long accounts receivable cycles due to its major clients being large state-owned enterprises in the power industry[23]. - The company faces risks related to the shortage of semiconductor chips, which could negatively impact future operating performance[73]. - The company relies heavily on imported chips, which poses risks related to international trade and supply chain disruptions[73]. - The company is at risk of being unable to provide products to major clients in North America if faced with extreme circumstances regarding chip supply[3]. Employee and Incentive Programs - The company granted 6.41 million shares of restricted stock to 156 employees as part of its 2021 incentive plan, aiming to enhance employee motivation and retention[39]. - The company has implemented a stock incentive plan to motivate core management and ensure the achievement of strategic and operational goals[182]. - The company aims to attract and retain talent through a comprehensive compensation mechanism that includes fixed and variable pay, bonuses, and benefits[167]. - The company has implemented a multi-level training program to enhance employee skills, including new employee training and management capability improvement[168]. Social Responsibility and Environmental Commitment - The company actively participated in social responsibility initiatives, donating 100,000 yuan to flood-affected areas in Shaanxi and providing pandemic prevention materials to communities[195]. - The company has not faced any significant environmental pollution incidents or administrative penalties during the reporting period[190]. - The company promotes a "green office" culture and provides communication access services that contribute to environmental protection[193]. - The company has not reported any significant resource consumption or emissions during the reporting period, indicating a commitment to environmental sustainability[191].

Financial Performance - The company's operating revenue for Q3 2021 was ¥272,416,373.76, representing a year-on-year increase of 77.92%[5] - The net profit attributable to shareholders for Q3 2021 was ¥7,032,304.72, while the net profit for the year-to-date period decreased to -¥10,312,183.59[5] - The net profit attributable to shareholders after deducting non-recurring gains and losses for Q3 2021 was ¥6,295,672.67, with a year-to-date total of -¥17,035,887.11[5] - The basic and diluted earnings per share for Q3 2021 were both ¥0.08, compared to -¥0.11 in the same period last year[6] - The net profit attributable to shareholders for the year-to-date period increased by ¥31,044,800 compared to the previous year[10] - Net profit attributable to shareholders increased by CNY 26.4765 million year-on-year[11] - Net profit excluding non-recurring gains and losses increased by CNY 32.8785 million year-to-date compared to the same period last year[11] - Basic earnings per share for the current reporting period increased due to higher profits compared to the same period last year[11] - Diluted earnings per share for the year-to-date period increased due to higher profits compared to the same period last year[11] Research and Development - The total R&D investment for Q3 2021 was ¥19,262,284.64, a decrease of 20.94% year-on-year, accounting for 7.07% of operating revenue[6] - Research and development expenses for the first three quarters of 2021 were RMB 53,579,355.47, down 17.2% from RMB 64,645,814.16 in the previous year, indicating a potential shift in investment strategy[23] - The company continues to focus on expanding its market presence and enhancing its product offerings through ongoing research and development initiatives[34] Assets and Liabilities - Total assets at the end of Q3 2021 were ¥1,466,078,682.38, reflecting a 12.97% increase from the end of the previous year[6] - Total assets as of September 30, 2021, were RMB 1,466,078,682.38, compared to RMB 1,297,753,616.75 at the end of 2020, marking an increase of 13%[19] - Total liabilities increased to RMB 633,679,542.67 from RMB 454,899,194.77, representing a rise of 39.4%[20] - The company’s total equity as of September 30, 2021, was RMB 832,399,139.71, a decrease from RMB 842,854,421.98 at the end of 2020, reflecting a decline in retained earnings[20] - The company reported a significant increase in non-current liabilities, primarily due to the recognition of lease liabilities[33] Cash Flow - The company reported a cash flow from operating activities of -¥86,079,881.30 for the year-to-date period[6] - Cash flow from operating activities for the first nine months of 2021 was -86,079,881.30 RMB, an improvement from -134,277,624.08 RMB in the same period of 2020[28] - The company reported a total cash outflow from operating activities of 793,914,231.82 RMB in the first nine months of 2021, compared to 579,145,281.35 RMB in the same period of 2020[28] - Total cash inflow from investment activities in the first nine months of 2021 was 960,975,069.68 RMB, compared to 952,061,111.77 RMB in the previous year, reflecting a slight increase of 0.96%[29] - Cash flow from financing activities in the first nine months of 2021 was 544,654.00 RMB, a decrease from 429,978,047.30 RMB in the same period of 2020[29] Shareholder Information - Total number of ordinary shareholders at the end of the reporting period was 6,228[14] - The largest shareholder, Shenzhen Jisri Investment Development Co., Ltd., holds 21,641,000 shares, accounting for 23.61% of total shares[14] - The second-largest shareholder, Shenzhen Fangzhixing Investment Co., Ltd., holds 9,523,450 shares, accounting for 10.39% of total shares[15] - The third-largest shareholder, Shenzhen Fangzhixing Investment Partnership (Limited Partnership), holds 7,505,200 shares, accounting for 8.19% of total shares[15] - The company has established employee stock ownership platforms through various investment entities[16] Profitability and Cost Analysis - The company's gross profit margin decreased, with operating costs rising faster than revenue growth, indicating potential pressure on profitability[23] - The company reported a net loss of RMB 4,714,359.58 in credit impairment losses for the first three quarters of 2021, an improvement from a loss of RMB 6,423,501.02 in the same period of 2020[23] - The total operating profit for Q3 2021 was -10,713,144.63 RMB, significantly better than -48,084,158.37 RMB in the same quarter last year, indicating a 77.7% reduction in losses[24] - The net profit for Q3 2021 was -10,554,222.19 RMB, compared to -41,356,972.20 RMB in Q3 2020, showing an improvement of approximately 74.5% year-over-year[24]

Financial Performance - The company's revenue for the first half of 2021 saw a significant increase compared to the same period last year, driven largely by contributions from smart energy and financial payment sectors [4]. - The company's operating revenue for the first half of the year reached ¥412,386,318.89, representing a 47.86% increase compared to ¥278,902,084.26 in the same period last year [19]. - The net profit attributable to shareholders was -¥17,344,488.31, an improvement of 34.55% from -¥26,499,525.97 year-on-year [19]. - The net cash flow from operating activities improved by 22.71%, amounting to -¥87,893,225.69 compared to -¥113,720,824.05 in the previous year [20]. - The company reported a net profit for the second quarter, but the cumulative net profit for the first half remains a loss, albeit with a reduced loss margin [4]. - The company reported a significant increase in revenue for the first half of 2021, achieving a total of 1.5 billion yuan, representing a 25% year-over-year growth [99]. - The company reported a net profit margin of 15% for the first half of 2021, up from 12% in the same period last year [99]. - The company provided guidance for the second half of 2021, expecting revenue to grow by an additional 20% [99]. Research and Development - Management expenses and R&D expenses have increased due to the commissioning of the R&D headquarters building and investment projects [4]. - The company reported a total R&D expenditure of ¥44,137,398.10, representing a 9.57% increase from ¥40,281,673.04 in the previous period [43]. - R&D expenditure accounted for 10.70% of total revenue, down from 14.44% in the previous period, indicating a decrease of 3.74 percentage points [43]. - The company applied for 22 new patents during the reporting period, including 13 invention patents, bringing the total number of patents to 53 and software copyrights to 80 [41]. - The company has established a strong focus on R&D in wireless communication technologies, with five core technologies and over ten application technologies developed and patented [39]. - The company is investing 200 million yuan in R&D for new technologies aimed at enhancing user experience [99]. Market and Industry Trends - The global IoT market is projected to reach $4 trillion by 2025, with a compound annual growth rate of 16.22% over the next decade [28]. - The global smart gas meter market size reached approximately $7.62 billion in 2020, showing a growth of 35.35% from 2015 [30]. - The smart gas meter market is projected to grow at a compound annual growth rate (CAGR) of 6.3%, reaching around $10.9 billion from 2021 to 2026 [30]. - The global industrial IoT market is expected to grow to $91.4 billion by 2023, with a CAGR of 7.39% from 2018 to 2023 [33]. - The smart energy sector, including smart grids, is driven by the demand for smart meters, with significant investments expected in Southeast Asia, estimated at $9.8 billion from 2018 to 2027 [29]. - The company anticipates continued growth in the IoT industry over the next few years, despite potential risks from chip shortages and market competition [59]. Risks and Challenges - The company has disclosed risks related to significant performance declines or losses, particularly due to chip shortages [4]. - The company faced challenges due to a chip supply shortage, impacting order fulfillment and leading to increased costs associated with fixed asset depreciation and R&D expenses [59][60]. - The company is exposed to risks related to the reliance on imported chips, which could impact production costs and availability [60]. - Changes in rebate policies from chip manufacturers could significantly affect the company's operating performance [63]. - The company faces risks related to the loss of core technical personnel and potential leakage of core technologies, which could adversely affect product development and market position [64]. Shareholder and Equity Information - The company granted 6.41 million shares of restricted stock to 156 individuals as part of its incentive plan [57]. - The company has not proposed any profit distribution or capital reserve transfer plans for the half-year period [86]. - The company will ensure compliance with relevant laws and regulations regarding shareholder equity changes [94]. - The company will not repurchase shares held by shareholders during the initial lock-up period [96]. - The company commits to maintaining a dividend payout ratio of 30% of net income, ensuring returns to shareholders [125]. Operational Efficiency - The order backlog continues to recover, although some delivery issues have arisen due to chip shortages [4]. - The company has implemented a strategy of outsourcing production to focus resources on R&D and sales, ensuring quality control over key processes [37]. - The company reported a reduction in sales expenses by 26.10% to 13.77 million RMB due to optimization of overseas consulting services [70]. - The company has established R&D centers in Shenzhen, Dongguan, and Xi'an, focusing on optimizing the integrated product development process [55]. Financial Position - Total assets increased by 10.46% to ¥1,433,470,747.58 from ¥1,297,753,616.75 at the end of the previous year [20]. - The net assets attributable to shareholders decreased by 2.06% to ¥825,509,933.67 from ¥842,854,421.98 at the end of the previous year [20]. - The company's accounts receivable amounted to 445.07 million yuan, representing 40.42% of current assets, which may affect cash flow and operational efficiency [62]. - The total liabilities of the company reached CNY 607.96 million, compared to CNY 454.90 million at the end of 2020 [164].

Financial Performance - The company's revenue decreased significantly due to the impact of the COVID-19 pandemic, particularly in overseas vehicle networking terminals and domestic smart grid data collection [4]. - The company's operating revenue decreased by 26.66% year-on-year, amounting to ¥573.62 million in 2020 compared to ¥782.17 million in 2019 [22]. - The net profit attributable to shareholders decreased by 237.58% year-on-year, resulting in a loss of ¥75.06 million in 2020, down from a profit of ¥54.56 million in 2019 [22]. - The cash flow from operating activities showed a significant decline, with a net outflow of ¥91.94 million in 2020, compared to a slight outflow of ¥2.04 million in 2019, marking a decrease of 4,413.44% [25]. - Basic earnings per share fell to -¥0.8362 in 2020 from ¥0.7993 in 2019, representing a decrease of 204.61% [24]. - The company's net profit for the year was a loss of CNY 75.06 million, a decline of 237.58% compared to the previous year [62]. - The net cash flow from operating activities was CNY -91.94 million, a year-on-year change of -4,413.44% [82]. Research and Development - The company increased its investment in research and development as well as sales expenses during the reporting period, leading to a net loss [4]. - The company's R&D expenditure as a percentage of operating revenue increased to 15.24% in 2020, up from 7.93% in 2019, indicating a rise of 7.31 percentage points [24]. - The company's total R&D investment for 2020 reached CNY 87.4 million, a significant increase of 40.85% compared to the previous year, with R&D expenses accounting for 15.24% of total revenue [49]. - The average number of R&D personnel increased by 112, contributing to higher R&D and sales expenses compared to the previous year [25]. - The company applied for 83 new patents during the reporting period, doubling the number from the previous year, bringing the total number of patents to 41 and software copyrights to 80 [48]. - The company’s R&D expenses increased by 40.85% to ¥87.40 million compared to the previous year [84]. Market Expansion and Product Development - The company is focused on expanding its market presence and enhancing its product offerings through increased R&D efforts [4]. - The company is actively exploring overseas markets, particularly in the automotive and smart energy sectors, with plans for further global market expansion [37]. - The company launched multiple new products in the automotive terminal product line, including 4G smart OBDs and AI intelligent terminals [41]. - The company is focusing on developing new products and technologies in the fields of IoT and wireless communication, with ongoing projects in 4G, NB-IoT, and 5G solutions [57]. - The company has developed solutions for various sectors including smart cities, gas, and water management, laying a solid technical and product foundation for market expansion [47]. - The company is committed to meeting personalized application needs by providing integrated "cloud-pipe-end" solutions for clients [41]. Operational Challenges - Despite a recovery in order volume in the fourth quarter, the shortage of electronic components affected the delivery of existing orders [4]. - The company faced significant challenges in revenue due to the impact of the pandemic on overseas vehicle networking terminals and domestic smart grid collection, alongside shortages of electronic components affecting order deliveries [25]. - The company is actively addressing chip shortages by placing orders six months in advance and exploring domestic chip alternatives to mitigate supply risks [73]. - The company is at risk of not being able to provide products to major clients in North America if U.S. chip bans are enforced [76]. - Future market competition and potential changes in rebate policies from chip manufacturers could significantly impact the company's operating performance [79]. Financial Health and Investments - The total assets increased by 31.32% year-on-year, reaching ¥1.30 billion at the end of 2020, compared to ¥988.25 million at the end of 2019 [22]. - The net assets attributable to shareholders grew by 64.40% year-on-year, amounting to ¥842.85 million at the end of 2020, up from ¥512.68 million at the end of 2019 [22]. - The company's accounts receivable financing increased from 33.81 million to 64.14 million, a change of 30.33 million [32]. - The trading financial assets surged from 10,000 to 183.99 million, resulting in a change of 183.98 million, contributing 7.65 million to current profits [32]. - The company has ongoing projects with a total expected investment of CNY 22.2 million for 5G wireless communication modules and solutions, with current investments of CNY 1.28 million [53]. Shareholder and Compliance Commitments - The company plans not to distribute cash dividends or conduct capital reserve transfers to increase share capital for the 2020 fiscal year [7]. - The company is committed to transparency and has established a clear communication channel for investors and stakeholders [17]. - The company will not repurchase shares during the lock-up period [135]. - The company has established a clear plan for compliance with shareholding regulations and commitments [136]. - The company will notify the stock exchange four trading days prior to any share reduction and announce it three trading days before [135]. - The company will ensure that any illegal proceeds from share reductions are deducted from future cash dividends [136].