证券代码：002931 证券简称：锋龙股份 债券代码：128143 债券简称：锋龙转债 浙江锋龙电气股份有限公司投资者关系活动记录表 编号：2022-007 | --- | --- | --- | --- | --- | --- | --- | |----------------|--------------------------------|----------------------------|-------|-------|-------|-------| | | | | | | | | | 投资者关系活动 | | 特定对象调研 □分析师会议 | | | | | | 类别 | □媒体采访 | □业绩说明会 | | | | | | | □新闻发布会 □路演活动 | | | | | | | | □现场参观 | | | | | | | | □其他 | （请文字说明其他活动内容） | | | | | | 参与单位名称及 | 财通证券研究所 | | | | | | | 人员姓名 | 东方证券研究所 | | | | | | | | 光大证券研究所 | | | | | | | | 华泰证券研究所 | | | | ...

证券代码：002931 证券简称：锋龙股份 债券代码：128143 债券简称：锋龙转债 浙江锋龙电气股份有限公司投资者关系活动记录表 编号：2022-010 | --- | --- | --- | --- | --- | --- | --- | --- | |------------------------------|------------------------------------------|--------------------------------------------------|-------|-------|-------|--------------------------------------------------------|----------| | | | | | | | | | | 投资者关系活动 类别 | 特定对象调研 □分析师会议 □媒体采访 | □业绩说明会 | | | | | | | | □新闻发布会 □路演活动 | | | | | | | | | □现场参观 | | | | | | | | | □其他 | （请文字说明其他活动内容） | | | | | | ...

浙江锋龙电气股份有限公司 2022 年第三季度报告 证券代码：002931 证券简称：锋龙股份 公告编号：2022-071 浙江锋龙电气股份有限公司 2022 年第三季度报告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚假记载、误 导性陈述或重大遗漏。 重要内容提示： 1.董事会、监事会及董事、监事、高级管理人员保证季度报告的真实、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。 2.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)声明：保证季度报告中财务信息的真实、准确、 完整。 3.第三季度报告是否经过审计 □是 否 1 浙江锋龙电气股份有限公司 2022 年第三季度报告 一、主要财务数据 （一） 主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □是 否 | | 本报告期 | 本报告期比上年同期 | 年初至报告期末 | 年初至报告期末比上 | | --- | --- | --- | --- | --- | | | | 增减 | | 年同期增减 | | 营业收入（元） | 127,637,834.39 | -30.94% | ...

Financial Performance - Zhejiang Fenglong Electric Co., Ltd. reported a significant increase in revenue for the first half of 2022, with total revenue reaching RMB 500 million, representing a year-on-year growth of 25%[16]. - The company achieved a net profit of RMB 80 million in the first half of 2022, which is an increase of 15% compared to the same period last year[16]. - The company's operating revenue for the reporting period was ¥338,505,341.91, a decrease of 5.46% compared to ¥358,043,951.13 in the same period last year[22]. - The net profit attributable to shareholders was ¥34,935,255.66, down 28.42% from ¥48,809,017.23 year-on-year[22]. - The net profit after deducting non-recurring gains and losses was ¥27,988,409.16, reflecting a decline of 36.60% from ¥44,147,201.51 in the previous year[22]. - Basic earnings per share decreased to ¥0.18, down 28.00% from ¥0.25 year-on-year[22]. - The company reported a significant increase in revenue from electric control products, reaching CNY 124.00 million, up 5.78% year-over-year, with a gross margin of 31.20%[62]. - Revenue from the garden machinery sector was ¥165,836,203.57, accounting for 48.99% of total revenue, down 2.70% year-on-year[60]. - Revenue from the automotive parts sector decreased by 13.45% to ¥65,353,477.75, representing 19.31% of total revenue[60]. - The hydraulic components sector generated ¥79,521,426.97, a decline of 7.89% year-on-year, making up 23.49% of total revenue[60]. Market Expansion and Strategy - Future outlook suggests a projected revenue growth of 20% for the second half of 2022, driven by increased demand in the electric equipment market[16]. - Zhejiang Fenglong Electric has initiated a market expansion strategy targeting Southeast Asia, aiming to increase market share by 15% in the region by the end of 2023[16]. - The company is exploring potential mergers and acquisitions to enhance its technological capabilities and market presence, with a budget of RMB 100 million allocated for this purpose[16]. - The company aims to expand its production capacity and market share in the automotive parts sector, focusing on new customer acquisition and product diversification[43]. - The company has successfully entered the new energy vehicle supply chain, indicating a strategic expansion into emerging markets[43]. Research and Development - The company plans to invest RMB 50 million in research and development for new products and technologies in the upcoming year, focusing on enhancing product efficiency and sustainability[16]. - The company maintained R&D investment at ¥21,351,003.09, a slight increase of 1.28% compared to the previous year[58]. - The company has a strong R&D team led by overseas experts and senior engineers, focusing on optimizing product design and reducing costs while ensuring high reliability[51]. - The company has obtained 170 patents as of December 31, 2021, including 31 invention patents and 139 utility model patents[51]. Financial Management and Investments - No cash dividends or stock bonuses will be distributed to shareholders for the current fiscal year, as the company aims to reinvest profits into growth initiatives[3]. - The company has committed to using 50,000,000 CNY from its convertible bond proceeds to supplement working capital[86]. - The company has achieved a total investment of 13,836.1 million across various projects, with ongoing adjustments to timelines and investment strategies[89]. - The company has reported a total of 25,590,000 CNY in entrusted financial management, with 18,000,000 CNY currently outstanding[151]. - The company has committed to distributing cash dividends of no less than 20% of the distributable profits each year after the IPO, ensuring a minimum cash dividend proportion of 20% in profit distribution[117]. Risks and Challenges - The company faces potential risks related to supply chain disruptions and fluctuating raw material prices, which may impact future profitability[3]. - The company is exposed to trade policy changes, particularly due to ongoing US-China trade tensions, which could adversely affect its export business[96]. - The company faces operational risks from raw material price volatility, with direct materials accounting for over 60% of its main business costs[99]. - The ongoing COVID-19 pandemic poses risks to production and demand, particularly as overseas sales account for a high proportion of revenue, with significant customers located in the US and Europe[102]. Corporate Governance and Shareholder Engagement - The company has established a profit distribution decision-making process that involves the board of directors and independent directors[118]. - The company has committed to avoiding any direct or indirect competition with its subsidiaries and has established measures to prevent conflicts of interest[119]. - The company will ensure compliance with legal and regulatory requirements in its operations and disclosures[127]. - The company has established a governance structure to strengthen management and internal controls, aiming to improve overall profitability[126]. Employee Engagement and Social Responsibility - A total of 641 employees participated in the employee stock ownership plan, holding 3,180,077 shares, which represents 1.60% of the company's total equity[109]. - The company donated 100,000 RMB to a charity fund and 5,000 RMB to support anti-epidemic efforts, reflecting its commitment to social responsibility[113].

Financial Performance - The company's revenue for Q1 2022 was ¥175,843,576.01, representing a 2.68% increase compared to ¥171,249,407.62 in the same period last year[3] - Net profit attributable to shareholders decreased by 39.33% to ¥16,588,380.57 from ¥27,341,087.53 year-on-year[3] - Basic earnings per share fell by 42.86% to ¥0.08 from ¥0.14 in the same period last year[3] - Net profit for Q1 2022 was CNY 16,588,380.57, a decrease of 45.4% from CNY 30,569,653.88 in Q1 2021[19] - Total comprehensive income for Q1 2022 was CNY 16,581,227.19, down from CNY 30,581,556.62 in Q1 2021[20] Cash Flow - The net cash flow from operating activities was negative at -¥23,098,459.77, a decline of 111.65% compared to -¥10,913,388.80 in the previous year[3] - The net cash flow from investing activities was ¥38,987,535.08, a significant improvement from -¥160,994,518.74 in the same period last year[24] - The net cash flow from financing activities was ¥21,873,719.23, a decrease from ¥231,969,606.61 in the previous year[24] - The company reported a cash inflow from operating activities of ¥191,469,632.46, down from ¥207,351,880.48 year-over-year[23] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,260,007,429.05, a slight decrease of 0.01% from ¥1,260,146,760.86 at the end of the previous year[3] - Total liabilities as of Q1 2022 amounted to CNY 571,919,049.92, a decrease from CNY 592,480,211.92 in the previous year[19] - Current assets totaled CNY 789,810,957.08, down from CNY 811,722,743.74 at the beginning of the year, indicating a decrease of approximately 2.5%[14] - Total current liabilities decreased to CNY 322,452,837.71 from CNY 342,067,824.35, indicating a reduction of about 5.7%[15] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 10,958[10] - The company reported a total of 10 major shareholders, with Shaoxing Chengfeng Industrial Co., Ltd. holding the largest share at 43.33%[11] - The company has no preferred shareholders as indicated in the report[12] Operating Costs and Expenses - Total operating costs for Q1 2022 were CNY 162,503,036.61, up 16.2% from CNY 139,782,904.27 in the same period last year[18] - Research and development expenses for Q1 2022 were CNY 11,454,281.85, compared to CNY 10,635,462.14 in Q1 2021, reflecting a growth of 7.7%[19] - The company reported a decrease in sales expenses to CNY 2,956,242.31 from CNY 2,525,883.09 in the previous year, indicating a 17% increase[19] Other Income and Financial Metrics - Other income increased by 69.99% to ¥2,602,972.34, primarily due to an increase in government subsidies received[7] - The company reported a significant increase in financial expenses by 194.68% to ¥3,318,810.59 due to increased exchange losses and interest expenses[7] - The company experienced a 32.96% increase in receivables financing, reaching ¥26,623,180.82, attributed to an increase in bank acceptance bills[7] Cash and Equivalents - Cash and cash equivalents increased to CNY 165,893,846.61 from CNY 134,864,744.08, representing a growth of about 23%[14] - Cash and cash equivalents at the end of the period amounted to ¥165,235,131.81, compared to ¥187,810,840.23 at the end of the previous year[24]

Financial Performance - The company's operating revenue for 2021 was CNY 719,638,673.81, representing a 31.30% increase compared to CNY 548,079,749.77 in 2020[21]. - The net profit attributable to shareholders for 2021 was CNY 79,215,071.10, a 2.68% increase from CNY 77,149,635.37 in 2020[21]. - The total assets at the end of 2021 reached CNY 1,260,146,760.86, a 33.55% increase from CNY 943,567,097.03 at the end of 2020[22]. - The net assets attributable to shareholders increased by 11.32% to CNY 667,666,548.94 at the end of 2021, compared to CNY 599,795,255.61 at the end of 2020[22]. - The basic earnings per share for 2021 was CNY 0.40, reflecting a 2.56% increase from CNY 0.39 in 2020[21]. - The diluted earnings per share decreased by 5.13% to CNY 0.37 in 2021, down from CNY 0.39 in 2020[21]. - The company reported a weighted average return on equity of 11.67% in 2021, down from 13.61% in 2020[21]. - The company achieved a consolidated net profit of CNY 79,215,071.10 for 2021, with the parent company net profit at CNY 43,226,942.05[183]. - The total distributable profit as of December 31, 2021, was CNY 283,061,540.25 for the consolidated report and CNY 166,175,394.74 for the parent company[183]. - The proposed cash dividend is CNY 1.00 per 10 shares, totaling CNY 19,914,014.40, with no bonus shares issued[184]. Investments and Acquisitions - The company completed a 100% acquisition of Dushang Precision Machinery, which has shown over 50% growth in revenue and net profit despite challenges in raw material costs and exchange rates[47]. - The company raised 24,500.00 million through the issuance of convertible bonds, with 19,500 million allocated for expanding hydraulic component production capacity[58]. - The company completed the acquisition of 100% equity in Dushang Precision Machinery for $15.974 million, enhancing integration and competitiveness[59]. - The company has established long-term partnerships with major international brands in the garden machinery sector, ranking among the top exporters in the industry over the past three years[42]. - The company has plans for market expansion and new product development, although specific figures were not disclosed in the report[149]. Research and Development - The company invested ¥43.77 million in R&D in 2021, a 32.79% increase from the previous year, and obtained 39 patents, including 9 invention patents[61]. - The total R&D investment for 2021 was approximately ¥43.77 million, reflecting a 32.79% increase from ¥32.96 million in 2020, with R&D expenses accounting for 6.08% of total revenue[80]. - The number of R&D personnel increased by 12.10% to 139, representing 15.21% of the total workforce[80]. - The company achieved advancements in several key technologies, including the development of a new lightweight tensioner and a new braking valve for trucks, reaching domestic leading levels[79]. - The company plans to invest 50 million yuan in R&D for new electric machinery products in the upcoming fiscal year[137]. Market and Industry Trends - The company operates in the garden machinery parts industry, which is a key segment of the specialized equipment manufacturing sector, specifically mechanized agricultural and gardening tools manufacturing[31]. - The automotive parts industry, where the company produces precision aluminum die-cast parts, is projected to see a 50% increase in aluminum usage in vehicles by 2025[35]. - The hydraulic components market in China has a potential market space exceeding 10 billion RMB, with high value-added and high gross margin characteristics[39]. - The domestic garden machinery industry has seen a surge in development due to urbanization and rising income levels, leading to increased demand for gardening equipment[33]. - The company is positioned to compete with international manufacturers in the garden machinery parts sector due to its continuous improvement and technological accumulation over the years[34]. Operational Efficiency - The company follows an order-driven production model, allowing for effective control of raw material inventory and procurement costs[52]. - The company has established a comprehensive performance evaluation system for senior management, linking their performance directly to compensation[185]. - The company has implemented a capital reserve transfer to increase its share capital, with a total of 500,000 shares reduced during the reporting period[149]. - The company has a clear organizational structure with a shareholders' meeting as the highest authority, ensuring independent operational management[144]. - The company has a total of 7 current directors, including 3 independent directors, and 4 senior management personnel[152]. Risks and Challenges - The company faces risks from international trade policies, particularly due to ongoing U.S.-China trade tensions, which could adversely affect its export activities[126]. - Raw material price volatility, particularly for aluminum and steel, poses a risk to production costs, which have consistently accounted for over 60% of the main business costs in recent years[129]. - Labor cost increases due to demographic changes and rising living standards in the Zhejiang region may negatively impact product competitiveness[129]. - The ongoing COVID-19 pandemic continues to pose risks to production and demand, particularly in key markets like the US and Europe[132]. - The company is at risk of being outpaced in the electric garden machinery market if it fails to keep up with technological advancements and government support for green products[131]. Corporate Governance - The company maintains complete independence from its controlling shareholders in terms of assets, personnel, finance, and operations[143]. - The company has established an independent financial department with a standardized accounting system, allowing for autonomous financial decision-making[144]. - The board approved the 2021 annual budget and ongoing related party transactions, reflecting a commitment to strategic financial planning[170]. - The independent directors provided fair and independent opinions on significant matters, contributing to the company's governance and oversight[166]. - The company has committed to enhancing its governance and internal control systems to ensure high-quality development in the future[192]. Employee Engagement and Development - The company has a total of 641 employees participating in the employee stock ownership plan, holding 3,180,077 shares, which is 1.60% of the total share capital[186]. - Training programs were established to enhance employee skills and support the company's development needs, focusing on multi-level and diverse training initiatives[178]. - The company plans to further develop its human resources management system to attract and retain talent effectively[177]. - The company has a strategic focus on enhancing its technical research and management capabilities through talent acquisition and training[178]. - The company has implemented a competitive salary policy linked to performance, aiming to align employee interests with long-term corporate goals[177].

Financial Performance - The company's operating revenue for Q3 2021 was ¥184,828,162.71, representing a year-on-year increase of 27.35%[3] - The net profit attributable to shareholders for Q3 2021 was ¥20,122,326.63, a decrease of 12.27% compared to the same period last year[3] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥19,045,169.68, down 6.95% year-on-year[3] - The basic earnings per share for Q3 2021 was ¥0.10, a decrease of 16.67% year-on-year[3] - Total operating revenue for Q3 2021 reached ¥542,872,113.84, compared to ¥379,952,422.38 in the same period last year[25] - Operating costs amounted to ¥459,179,213.00, up from ¥319,645,273.86 year-on-year[25] - Net profit for Q3 2021 was ¥80,376,781.97, an increase from ¥59,072,453.06 in the previous year[26] - The company's earnings per share (EPS) for Q3 2021 were ¥0.35, compared to ¥0.27 in the same quarter last year[26] - The company reported a total comprehensive income of ¥80,366,606.00 for Q3 2021, compared to ¥59,030,670.99 in the same period last year[26] Assets and Liabilities - The total assets at the end of Q3 2021 reached ¥1,284,163,720.31, an increase of 36.10% compared to the end of the previous year[3] - Total assets increased to ¥1,284,163,720.31 from ¥943,567,097.03 year-on-year[23] - Total liabilities rose to ¥494,362,637.03, up from ¥263,001,009.58 in the previous year[23] - The company's equity attributable to shareholders reached ¥697,584,813.33, compared to ¥599,795,255.61 in the same period last year[23] Cash Flow - The company reported a net cash flow from operating activities of -¥19,470,964.96, a decline of 145.64% compared to the previous year[3] - Operating cash inflow for the period reached CNY 617,797,109.21, a significant increase from CNY 376,810,263.87 in the previous period, representing a growth of approximately 64%[28] - Net cash flow from operating activities turned negative at CNY -19,470,964.96, compared to a positive CNY 42,661,832.35 in the same period last year[28] - Cash inflow from financing activities totaled CNY 387,864,416.60, compared to CNY 104,110,100.00 in the prior period, indicating a rise of approximately 272%[29] - Net cash flow from financing activities improved to CNY 286,464,247.49, up from CNY 3,266,830.59 in the same quarter last year[29] - The ending balance of cash and cash equivalents was CNY 251,380,704.90, compared to CNY 171,097,308.43 at the end of the previous period, reflecting an increase of about 47%[29] Investments and Expenditures - The company experienced a significant increase in inventory, which rose by 56.32% to ¥215,468,060.47 due to increased production and stockpiling[8] - The company reported a 170.56% increase in construction in progress, amounting to ¥82,681,915.27, due to increased investment in fundraising projects[8] - The company reported a significant increase in cash paid for purchasing goods and services, totaling CNY 477.63 million, which is a 125.76% rise from CNY 211.57 million[10] - The company reported a cash outflow of CNY 101,979,600.80 for the purchase of fixed assets, significantly higher than CNY 27,787,877.45 in the previous period[29] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 10,722, with the largest shareholder holding 43.33% of the shares[12] - The company repurchased a total of 1,000,023 shares, accounting for 0.50% of the total share capital, with a total expenditure of RMB 12.59 million[17] - The company plans to use the repurchased shares for employee stock ownership plans, with a total repurchase budget between RMB 40 million and RMB 80 million[16] - The total share capital of the company increased to 199,139,126 shares following the conversion of bonds[15] Research and Development - Research and development expenses increased by 41.34% to CNY 32.62 million, up from CNY 23.08 million, indicating a stronger focus on R&D[9] - Research and development expenses for Q3 2021 were ¥32,622,072.67, compared to ¥23,081,008.21 in the previous year, reflecting a focus on innovation[25] Government Subsidies - The company received government subsidies totaling ¥973,654.02 during the reporting period, which are closely related to its normal business operations[6] Other Financial Metrics - The company reported a 961.09% increase in asset disposal income, reaching CNY 125.22 million, compared to CNY 11.80 million in the previous year[9] - The company's long-term borrowings amounted to CNY 37.47 million, reflecting new bank loans obtained during the period[9] - As of September 30, 2021, the company's cash and cash equivalents increased to RMB 251.43 million from RMB 139.37 million at the end of 2020, representing an increase of 80.4%[21] - The company's accounts receivable rose to RMB 175.51 million, up from RMB 150.32 million, indicating a growth of 16.7% year-over-year[21] - The inventory level increased significantly to RMB 215.47 million, compared to RMB 137.84 million at the end of 2020, reflecting a growth of 56.2%[21] - The company completed the acquisition of 49% equity in its subsidiary, Dushang Precision Machinery (Jiaxing) Co., Ltd., for a total of USD 1.5974 million[18] - The company issued 2.45 million convertible bonds with a total value of RMB 245 million, with an initial conversion price adjusted to RMB 12.73 per share[14][15] - The retained earnings of Shaoxing Yicheng Motor Co., Ltd. were increased by USD 240,000, raising its registered capital from USD 400,000 to USD 280,000[19] - The company did not adjust the opening balance sheet items due to the new leasing standards, as it only has short-term leases and low-value asset leases[30]

Financial Performance - The company's operating revenue for the current period is ¥358,043,951.13, representing a 52.48% increase compared to ¥234,814,899.05 in the same period last year[21]. - The net profit attributable to shareholders for the current period is ¥48,809,017.23, a 60.08% increase from ¥30,491,026.48 in the previous year[21]. - The net profit attributable to shareholders after deducting non-recurring gains and losses is ¥44,147,201.51, up 65.77% from ¥26,631,938.96 year-on-year[21]. - The basic earnings per share for the current period is ¥0.25, which is a 66.67% increase compared to ¥0.15 in the same period last year[21]. - The total assets at the end of the current period amount to ¥1,158,158,193.57, reflecting a 22.74% increase from ¥943,567,097.03 at the end of the previous year[21]. - The net assets attributable to shareholders at the end of the current period are ¥689,584,180.14, a 14.97% increase from ¥599,795,255.61 at the end of the previous year[21]. - The company achieved a revenue of ¥358,043,951.13, representing a 52.48% increase compared to the same period last year[53]. - The net profit attributable to shareholders reached ¥48,809,017.23, marking a 60.08% growth year-on-year[53]. - The total assets of the company increased by 22.74% to ¥1,158,158,193.57, while the net assets attributable to shareholders grew by 14.97% to ¥689,584,180.14[53]. Cash Flow and Financing - The company reported a significant increase in cash and cash equivalents, with a net increase of ¥212,629,827.50, a 202.68% rise due to the convertible bond issuance[56]. - The operating cash flow from operating activities decreased by 98.19% to ¥691,717.18, primarily due to increased cash payments for goods and services[56]. - The company issued 2.45 million convertible bonds, raising a total of ¥245 million, which will support the production of 3.25 million sets of hydraulic components and enhance liquidity[53]. - The company reported a net cash flow from operating activities for the first half of 2021 was ¥691,717.18, a significant decrease of 98.2% compared to ¥38,194,507.47 in the same period of 2020[194]. - The net cash flow from financing activities was ¥188,241,753.85, compared to a negative cash flow of ¥15,690,895.75 in the same period of 2020[195]. Research and Development - Research and development investment totaled ¥21,081,357.13, a 49.81% increase from the previous year, with a total of 148 patents held[55]. - The company has obtained 148 patents, including 27 invention patents, demonstrating its strong commitment to research and development[49]. - The company has been recognized as a high-tech enterprise and has established a provincial-level research and development center, underscoring its commitment to innovation[50]. Market and Industry Trends - The automotive parts sector is projected to see a 50% increase in aluminum die-casting usage by 2025, driven by trends towards lightweight manufacturing[39]. - The garden machinery industry is experiencing growth due to increased urbanization and rising living standards, particularly in developing countries[36]. - The hydraulic components industry in China has experienced significant growth since the implementation of the State Council's policies in 2006, with a notable market space exceeding 10 billion RMB for high-end hydraulic products[44]. - The company is positioned to compete with international manufacturers in the garden machinery parts sector, leveraging its technological advancements and cost advantages[38]. Risk Factors - The company does not foresee any significant risks affecting its normal operations[4]. - The report includes a section on risk factors and response measures[4]. - The company has faced risks from U.S.-China trade tensions, with potential tariffs affecting products exported to the U.S., which could impact revenue[77]. - The company is actively monitoring market risks, including economic fluctuations and trade policy changes, to mitigate potential impacts on its operations[76]. - The company faces risks from fluctuations in raw material prices, with direct materials accounting for over 60% of the main business costs in the past three years[79]. Corporate Governance and Shareholder Policies - The company has a profit distribution policy that emphasizes reasonable returns and rights protection for investors, ensuring the continuity and stability of profit distribution after its public offering[108]. - The company plans to allocate at least 20% of the distributable profits for cash dividends to shareholders each year[100]. - The company has committed to ensuring that cash dividends will not be less than 20% of the distributable profits in the profit distribution plan[100]. - The company will consider increasing cash dividend ratios if there is rapid growth in performance and net profits[100]. - The company has established a governance structure to improve management and internal controls, aiming to enhance overall profitability and effectively manage operational risks[108]. Environmental and Social Responsibility - The company prioritizes "green, safe, and environmentally friendly" requirements in its operations, investing heavily in energy conservation and pollution reduction[93]. - Significant investments have been made in upgrading production equipment and environmental facilities, maintaining a leading position in advanced and green manufacturing[93]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[92]. Shareholder Structure and Stock Performance - The largest shareholder, Shaoxing Chengfeng Industrial Co., Ltd., holds 43.34% of the shares, amounting to 86,279,289 shares[152]. - The total shares held by the top 10 shareholders account for a significant portion of the company's equity, with the largest three shareholders alone holding over 60%[153]. - The company has committed to extending the lock-up period for shares held by major shareholders for an additional 12 months, until April 2, 2022[111]. - The company will prioritize stock repurchase as the first measure for stabilizing stock prices, followed by major shareholders increasing their holdings[103]. Legal and Compliance - There were no significant lawsuits or arbitration matters reported during the period, indicating a stable legal environment for the company[117]. - The company has not reported any violations regarding external guarantees during the reporting period[113]. - The company has not engaged in any non-operating fund occupation by major shareholders or related parties during the reporting period[112].

Financial Performance - The company's operating revenue for 2020 was ¥548,079,749.77, representing a 33.65% increase compared to ¥410,073,506.12 in 2019[18]. - The net profit attributable to shareholders for 2020 was ¥77,149,635.37, up 33.94% from ¥57,601,270.02 in 2019[18]. - The net profit after deducting non-recurring gains and losses was ¥70,111,250.94, reflecting a 40.61% increase from ¥49,862,158.94 in 2019[18]. - The basic earnings per share for 2020 was ¥0.54, a 31.71% increase from ¥0.41 in 2019[18]. - The weighted average return on equity for 2020 was 13.61%, up from 11.19% in 2019[18]. - The company reported a quarterly revenue of ¥168,127,327.39 in Q4 2020, showing a consistent growth trend throughout the year[22]. - In 2020, the company achieved operating revenue of CNY 548.08 million, a year-on-year increase of 33.65%, and net profit attributable to shareholders of CNY 77.15 million, up 33.94% compared to the previous year[59]. - The company reported a 23.02% increase in revenue from the garden machinery parts segment, with a gross profit increase of 30.38%, while the hydraulic parts segment saw a revenue growth of 152.85% and a gross profit increase of 181.05%[59]. Assets and Liabilities - The company's total assets at the end of 2020 were ¥943,567,097.03, a 19.58% increase from ¥789,044,013.08 at the end of 2019[19]. - The net assets attributable to shareholders increased by 11.88% to ¥599,795,255.61 at the end of 2020, compared to ¥536,092,269.25 at the end of 2019[19]. - The company's equity assets at the end of the period amounted to 17.59 million yuan, primarily due to investments in Shaoxing Shangyu Fenglongyuan Equity Investment Partnership[47]. - Cash and cash equivalents totaled 139.37 million yuan, a growth of 40.11% from the end of 2019, driven by increased cash from operating activities and bank loans[47]. - Accounts receivable stood at 150.32 million yuan, reflecting a 42.67% increase from the end of 2019, attributed to higher sales[50]. - Short-term borrowings rose by 158.32% to 87.94 million yuan, primarily due to increased bank loans and bill discounts to meet production needs[50]. Dividends and Profit Distribution - The company plans to distribute a cash dividend of 1.5 RMB per 10 shares (including tax) based on a total of 142,208,000 shares, with no bonus shares issued[4]. - The cash dividend for 2020 represents 27.65% of the net profit attributable to the parent company, which is RMB 77,149,635.37[129]. - The company plans to distribute cash dividends of no less than 20% of the distributable profits each year after deducting statutory and discretionary reserves[134]. - The company has a policy that cash dividends should account for at least 20% of the profit distribution in the growth stage[131]. - The company plans to increase share capital by 4 shares for every 10 shares held, totaling 56,883,200 shares from capital reserves[132]. Research and Development - The company has established long-term partnerships with major clients in the automotive parts sector, achieving high compound annual growth rates in revenue and improving gross margins[45]. - Research and development expenses for the year totaled CNY 32.96 million, a 57.09% increase year-on-year, with 30 patents granted during the year[63]. - The company holds 132 patents as of December 31, 2020, including 21 invention patents, which supports its R&D and competitive advantage[52]. - The company is committed to developing high-end hydraulic components to meet the growing demand for domestic production and reduce reliance on imports[44]. Market and Industry Trends - The garden machinery industry has seen significant growth, with developed countries being the main consumers, while developing countries are expected to increase their market share[34]. - The demand for aluminum alloy die-casting parts in the automotive industry is expected to increase by 50% by 2025, according to the North American Die Casting Association[37]. - The hydraulic components industry in China has seen significant growth since 2006, with a large market space exceeding 10 billion RMB for high-end hydraulic products[42]. - The company aims to expand its production capacity and market share in the automotive parts sector, focusing on enhancing product quality and diversifying its product line[45]. Risk Management - The company has outlined potential risks and countermeasures in its future business outlook section, emphasizing the importance of investor awareness regarding investment risks[4]. - The company faces risks from the ongoing US-China trade tensions, which have seen tariffs on $200 billion of Chinese imports raised from 10% to 25%, potentially impacting sales and profit margins[120]. - Currency fluctuations pose a risk to the company's pricing competitiveness and overall profitability, as a stronger RMB could diminish its competitive edge in international markets[121]. - The company plans to enhance its internal control mechanisms to mitigate risks associated with financial derivative trading, including market, liquidity, and legal risks[98]. Corporate Governance - The company has established a governance structure that includes the shareholders' meeting, board of directors, and supervisory board to enhance operational management and internal control[142]. - The company has committed to ensuring that cash dividends will not be less than 20% of the distributable profits, based on actual operating conditions and funding needs[135]. - The company has established a commitment to not reduce the shareholding price below the issue price during the lock-up period[134]. - The company will publicly explain any failure to fulfill stabilization commitments and apologize to shareholders and the public[140]. Strategic Initiatives - The company plans to enhance its market position by focusing on the growth of garden machinery components and expanding into commercial and professional-grade applications[115]. - The company has established a private equity investment fund to invest in high-growth segments related to its main business, such as smart garden robots and electric garden tools, aiming to enhance its leading position in the garden machinery industry[118]. - The company plans to continue exploring high-quality investment targets in line with industry trends to support its business expansion and transformation efforts[118]. - The company aims to enhance its R&D capabilities by relocating to a more strategically located industrial area[107].

Financial Performance - The company's operating revenue for Q1 2021 was ¥171,249,407.62, representing a 58.64% increase compared to ¥107,950,920.64 in the same period last year[7] - Net profit attributable to shareholders for Q1 2021 was ¥27,341,087.53, a significant increase of 135.21% from ¥11,624,051.37 in the previous year[7] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥24,792,764.97, up 164.22% from ¥9,383,262.87 year-on-year[7] - The basic earnings per share for Q1 2021 was ¥0.19, an increase of 137.50% compared to ¥0.08 in the same period last year[7] - The company reported a total comprehensive income of CNY 30,581,556.62 for Q1 2021, compared to CNY 12,780,381.90 in the same period last year, marking an increase of about 139%[53] - The gross profit margin improved, with operating profit for Q1 2021 at CNY 34,141,897.31, compared to CNY 14,259,902.82 in the previous year, showing a growth of approximately 139%[52] Assets and Liabilities - The total assets at the end of the reporting period were ¥1,151,090,097.69, reflecting a 21.99% increase from ¥943,567,097.03 at the end of the previous year[7] - The net assets attributable to shareholders at the end of the reporting period were ¥689,476,057.86, which is a 14.95% increase from ¥599,795,255.61 at the end of the previous year[7] - The company's total current assets reached RMB 799,023,437.17 as of March 31, 2021, up from RMB 617,568,322.19 at the end of 2020[42] - The company's total liabilities rose to CNY 377,614,641.64 from CNY 263,001,009.58, marking an increase of around 43.5%[44] - Current liabilities decreased to CNY 191,660,179.09 from CNY 255,818,490.18, a reduction of approximately 25%[44] Cash Flow - The net cash flow from operating activities for Q1 2021 was negative at -¥10,913,388.80, a decline of 141.69% compared to ¥26,178,056.84 in the same period last year[7] - Cash received from operating activities increased by 53.46% to ¥179,730,847.80, primarily due to higher sales receipts[16] - Operating cash inflow for the current period was CNY 207,351,880.48, up from CNY 133,813,556.95 in the previous period, representing a 55% increase[60] - The ending cash and cash equivalents balance was CNY 187,810,840.23, up from CNY 110,083,506.52 in the previous period, reflecting a 70% increase[61] Investments and Expenses - Research and development expenses rose by 83.51% to ¥10,635,462.14, reflecting increased investment in R&D efforts[15] - The company reported a decrease in employee compensation payable to CNY 10,605,023.91 from CNY 16,498,064.10, a decline of about 35%[44] - The company recorded investment income of CNY 1,792,349.91, compared to CNY 1,146,092.38 in the previous year, representing an increase of about 56%[52] - The company reported a 124.52% increase in income tax expenses to ¥3,646,645.35, driven by higher taxable income[16] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 12,341[11] - The company raised a total of RMB 27,463.92 million from its initial public offering, with a net amount of RMB 22,882.77 million after deducting various fees[24] - As of March 31, 2021, the company has utilized RMB 8,823.24 million of the raised funds, with a remaining balance of RMB 15,741.02 million[25] Financing Activities - The company issued convertible bonds totaling ¥245 million, which were successfully listed on the Shenzhen Stock Exchange in January 2021[18] - The company has issued 245,000 convertible bonds, raising RMB 24,500.00 million, with a net amount of RMB 23,832.16 million after fees[29] - Cash inflow from financing activities was CNY 256,488,856.60, while cash outflow was CNY 24,519,249.99, resulting in a net cash flow of CNY 231,969,606.61[61]