Financial Performance - The company's operating revenue for the first half of 2021 was CNY 535,422,465.12, a decrease of 2.72% compared to CNY 550,395,109.15 in the same period last year[27]. - The net profit attributable to shareholders of the listed company was CNY 88,615,170.34, down 19.42% from CNY 109,965,408.83 in the previous year[27]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 75,372,412.67, a decline of 25.40% compared to CNY 101,039,325.74 last year[27]. - Basic earnings per share decreased by 39.53% to CNY 0.52, down from CNY 0.86 in the previous year[27]. - Revenue from the communications business (including mobile phones) was 161.86 million yuan, a decline of 50.15% year-on-year[63]. - Revenue from the automotive electronics sector increased by 51.30% year-on-year, reaching 125.18 million yuan[63]. - Revenue from the smart home and robotics sector grew by 94.14% year-on-year, totaling 182.55 million yuan[63]. - Revenue from the medical and personal care sector rose by 69.76% year-on-year, amounting to 24.89 million yuan[63]. - Non-communications business revenue increased by 65.49% year-on-year[63]. Cash Flow and Assets - The net cash flow from operating activities increased by 69.58% to CNY 114,298,037.99, compared to CNY 67,399,472.16 in the same period last year[27]. - Total assets at the end of the reporting period were CNY 3,172,452,809.37, an increase of 1.86% from CNY 3,114,376,307.77 at the end of the previous year[27]. - The net assets attributable to shareholders of the listed company were CNY 2,761,507,785.02, a slight decrease of 0.40% from CNY 2,772,512,453.53 at the end of the previous year[27]. - Cash and cash equivalents decreased by 38.26% to CNY 497,294,021.33, primarily due to investments in financial products[85]. - Inventory increased by 32.5% to CNY 184,628,416.80, attributed to proactive material procurement to mitigate supply chain risks[85]. - The total current assets amounted to CNY 2,583,804,863.63, slightly down from CNY 2,664,745,100.58, a decrease of about 3.0%[196]. Research and Development - The company has a strong R&D capability, emphasizing market-oriented technology innovation and forming specialized teams for different industry sectors to enhance technical accumulation[44]. - The company's R&D investment increased by 68.96% to ¥60,696,076.67, up from ¥35,923,669.13, reflecting a significant focus on innovation[72]. - The company is increasing its research and development investments to enhance core competitiveness and develop new products and technologies[107]. Market Strategy and Operations - The company focuses on precision drive systems, with products spanning automotive electronics, communications, medical devices, smart home, and AI robotics, targeting growth in 5G, smart healthcare, and IoT sectors[37]. - The company adopts a "make-to-order" production model to meet personalized customer needs, reducing inventory and improving capital turnover[40]. - The company aims to expand its product offerings in emerging industries such as smart education and AI, leveraging a diverse product portfolio to capture market demand[47]. - The company collaborates with industry benchmark clients, enhancing its service value and driving continuous technical improvement through high standards[48]. - The company is committed to integrating motor, gearbox, and controller technologies to strengthen its competitive advantage in the micro-drive system market[51]. - The company is undergoing internal management reforms to enhance core competitiveness and implement a customer-centric approach[52]. Risks and Challenges - The company has identified potential risks and corresponding measures in its operations, which are detailed in the report[4]. - The company is facing risks from macroeconomic fluctuations, which could impact demand in downstream industries such as mobile communications and automotive electronics[104]. - The company is experiencing rising raw material costs, which significantly affect its main business costs and profit margins[108]. - The company has nearly 2,000 employees, and rising labor costs may adversely affect future operating performance if sales revenue does not increase correspondingly[109]. Shareholder and Equity Information - The company plans not to distribute cash dividends or issue bonus shares[5]. - The total number of shares increased to 171,434,720, with a capital reserve conversion of 64,288,020 shares during the reporting period[158]. - The total number of restricted shares at the end of the period is 128,762,720, with an increase of 48,762,720 shares during the period[168]. - Shenzhen Qianhai Zhaowei Financial Holdings Co., Ltd. holds 60,800,000 shares, accounting for 35.47% of the total shares[172]. - Li Haizhou holds 31,184,000 shares, representing 18.19% of the total shares[172]. - The company has extended the lock-up period for shares held by directors and senior management[154]. Investments and Projects - The company established a wholly-owned subsidiary in Suzhou to enhance its production and supply capabilities in the East China region[71]. - The company is actively constructing the Dongguan Zhaowei Electromechanical Industrial Park, with ongoing main construction efforts[70]. - The company reported a total investment of 1 billion yuan in various projects during the reporting period[97]. - The company has invested 45,372,976.21 yuan in the Zhaowei Electromechanical Industrial Park construction project, with a cumulative actual investment of 141,426,700.97 yuan[97]. Compliance and Governance - The company and its subsidiaries were not subject to any administrative penalties for environmental issues during the reporting period[120]. - The company has not engaged in any securities or derivative investments during the reporting period[100][101]. - There were no significant asset or equity sales during the reporting period[102][103]. - The company has no significant guarantees or major contracts during the reporting period[148][151].

Financial Performance - The company's operating revenue for Q1 2021 was ¥260,216,469.17, representing a 17.25% increase compared to ¥221,936,798.40 in the same period last year[7]. - The net profit attributable to shareholders for Q1 2021 was ¥45,482,625.66, a slight increase of 1.54% from ¥44,794,522.07 in the previous year[7]. - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 7.17% to ¥38,595,798.05 from ¥41,578,655.50 year-on-year[7]. - The basic earnings per share for Q1 2021 was ¥0.43, a decrease of 23.21% compared to ¥0.56 in the previous year[7]. - The total profit for the current period was ¥49.49 million, down 2.6% from ¥50.83 million in the previous period[38]. - The comprehensive income total for the current period was ¥45.36 million, compared to ¥44.63 million in the previous period, indicating a growth of 1.6%[38]. Cash Flow - The net cash flow from operating activities for Q1 2021 was ¥30,501,510.17, down 4.57% from ¥31,962,793.55 in the same period last year[7]. - The net cash flow from investing activities decreased by 845.43% to RMB -715,432,242.90 primarily due to increased purchases of financial products and large deposits[16]. - The net cash flow from financing activities is -¥1,301,538.77, compared to a positive cash flow of ¥2,921,150.91 in the previous period[43]. - Total cash inflow from operating activities is ¥338,377,431.47, down 4.57% from ¥355,289,736.77 in the previous period[42]. - Cash outflow from operating activities totaled ¥307,875,921.30, a decrease of 4.73% compared to ¥323,326,943.22 in the previous period[42]. Assets and Liabilities - The total assets at the end of the reporting period were ¥3,156,665,984.93, reflecting a 1.36% increase from ¥3,114,376,307.77 at the end of the previous year[7]. - The total liabilities decreased to CNY 320,259,380.18 from CNY 327,718,452.18, representing a reduction of about 2.2%[35]. - The total current liabilities decreased to CNY 260,125,376.31 from CNY 302,850,239.82, a decrease of about 14.1%[34]. - The total non-current assets increased to CNY 485,181,020.96, driven by the recognition of new assets[48]. Investments and Expenses - R&D expenses rose by 89.13% to RMB 29,978,893.89 due to increased salaries and investment in R&D[15]. - The company reported a 73.69% increase in selling expenses to RMB 11,991,719.63 due to higher salaries for sales personnel[15]. - Other income increased by 193.39% to RMB 6,951,244.30 from government subsidies related to the company's successful IPO[15]. - The company’s tax expenses decreased by 33.54% to RMB 4,010,192.93 due to the impact of 100% deduction for R&D expenses[16]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 20,701[10]. - The net assets attributable to shareholders at the end of the reporting period were ¥2,819,224,390.94, up 1.68% from ¥2,772,512,453.53 at the end of the previous year[7]. - The company has no overdue or unrecovered amounts in its entrusted financial management activities, indicating a stable financial management strategy[22]. Company Developments - The company established a subsidiary in Suzhou as part of its expansion strategy on March 8, 2021[17]. - The company has engaged in various investor communication activities, indicating proactive engagement with stakeholders[25]. - The company has not reported any expected inability to recover principal in entrusted financial management, suggesting effective risk management practices[22].

Financial Performance - The company reported a total revenue of RMB 106,670,000 for the year 2020, with a cash dividend of RMB 10 per 10 shares distributed to all shareholders[6]. - The company's operating revenue for 2020 was ¥1,195,088,656.75, a decrease of 32.97% compared to ¥1,782,836,181.75 in 2019[22]. - Net profit attributable to shareholders for 2020 was ¥244,744,843.97, down 31.46% from ¥357,064,067.33 in 2019[22]. - The net cash flow from operating activities decreased by 66.55% to ¥147,460,843.66 from ¥440,805,242.47 in the previous year[22]. - Basic and diluted earnings per share for 2020 were both ¥2.98, a decline of 33.18% from ¥4.46 in 2019[22]. - The total assets at the end of 2020 increased by 163.39% to ¥3,114,376,307.77 from ¥1,182,427,341.28 at the end of 2019[22]. - The net assets attributable to shareholders rose by 308.00% to ¥2,772,512,453.53 from ¥679,531,070.52 at the end of 2019[22]. - The company reported a quarterly operating revenue of ¥342,822,378.65 in Q4 2020, with a net profit of ¥65,588,524.16[27]. - Non-recurring gains and losses for 2020 included government subsidies amounting to ¥9,442,405.17[28]. Shareholder Returns - The company has established a profit distribution plan for the next three years, ensuring a stable return for investors, with a minimum cash dividend of 10% of the distributable profit each year[142]. - The cumulative cash dividends over the last three years should not be less than 30% of the average annual distributable profit during that period[142]. - In the case of no major capital expenditures, the company will prioritize cash dividends, with a minimum of 80% of the profit distribution in mature stages without significant expenditures[145]. - The company will consider factors such as operational performance, shareholder expectations, and external financing conditions when determining profit distribution[141]. - The board of directors must approve the profit distribution plan, requiring a majority vote from all directors and more than half of independent directors[146]. - The company aims to maintain a continuous and stable profit distribution policy, balancing investor returns with sustainable development[142]. - The profit distribution policy may be adjusted in response to significant changes in the external environment or the company's operational status, requiring board and shareholder approval[149]. - The company will utilize cash dividends as the primary method of profit distribution, with stock dividends considered only under specific conditions[145]. - The profit distribution plan must be disclosed in regular reports, and any deviations from the proposed plan must be justified to shareholders[147]. - The company emphasizes the importance of independent directors and external supervisors' opinions in the decision-making process regarding profit distribution[147]. - The company proposed a cash dividend of RMB 10 per 10 shares (including tax), totaling RMB 106,670,000, based on a total share capital of 106,670,000 shares as of December 31, 2020[156]. - The cash dividend distributed in 2020 accounted for 43.58% of the net profit attributable to ordinary shareholders, which was RMB 244,744,843.97[157]. - The company did not distribute any dividends in 2019, while in 2018, it distributed RMB 30,000,000, representing 23.57% of that year's net profit[157]. Business Operations and Strategy - The company specializes in micro drive systems, precision injection parts, and motor drive control modules, serving various sectors including telecommunications and automotive electronics[36]. - The company provides comprehensive solutions for 5G base station RCU modules, enhancing network coverage and reliability[38]. - The company has strengthened its platform technology research and development, promoting standardization and systematization of hardware and software technologies[42]. - In the automotive electronics sector, the company has developed transmission systems for EPB electronic parking systems and electric tailgates, with successful applications in industry leaders like Bosch and Brose[45]. - The company is actively expanding its business in the smart home and robotics sector, providing micro transmission systems for household cleaning robots, with significant growth potential in this area[45]. - The company has established a flexible production model to enhance production adaptability and efficiency, allowing for rapid delivery of products based on actual demand[44]. - The company collaborates with Huawei to accelerate research and development in the 5G communication sector, benefiting from the stable growth of domestic 5G base station construction[45]. - The company has formed specialized R&D teams to quickly respond to customer design needs, enhancing its core competitiveness in the micro transmission field[50]. - The company has implemented a procurement model that emphasizes quality management at the supplier level, fostering long-term stable partnerships to ensure timely supply of raw materials[42]. - The company has been recognized with multiple awards, including the Special Prize of the China Machinery Industry Science and Technology Award in 2019 and the China Industrial Award in 2020, highlighting its strong research and development capabilities[51]. - As of December 2020, the company holds 174 authorized intellectual properties, including 21 invention patents and 7 overseas patents, indicating a robust innovation pipeline[51]. - The company has developed a fully automated assembly production line, significantly improving assembly precision and efficiency, which is crucial for high-precision product manufacturing[55]. - The company has successfully implemented various manufacturing processes, including plastic injection molding and metal powder injection molding, achieving a production capacity of 2 million small gears per day[55]. - The company actively expands its market presence through online and offline promotions, enhancing brand recognition and attracting new customers[57]. - The company has established a comprehensive talent development system, with over 300 R&D personnel, including 4 gear experts and 2 PhDs, ensuring a strong technical foundation[60]. - The company has developed a standardized platform for customized products, allowing for rapid delivery and reduced production costs, which enhances customer satisfaction[56]. - The company has been recognized as a key enterprise in the Guangdong Province robotics sector, reflecting its industry leadership and growth potential[51]. - The company has established advanced quality control measures, including a precision testing center and a comprehensive laboratory for micro transmission systems, ensuring product reliability[55]. - The company has a strong customer base, including well-known brands like Bosch, Huawei, and Xiaomi, which validates its market position and product quality[51]. Market and Industry Trends - The automotive electronics market is experiencing rapid growth, with micro drive systems being widely applied in various automotive electronic systems[120]. - The global automotive electronics market reached $142 billion in 2017 and is expected to grow to $182 billion by 2021, with a CAGR of approximately 6.4% from 2017 to 2021[122]. - The global electric tailgate market is projected to grow from $8.8 billion in 2019 to $22.2 billion by 2026, with a CAGR of 14.0%[122]. - The global EPB (Electronic Parking Brake) market is expected to increase from $50.8 billion in 2020 to $63.5 billion by 2025, with a CAGR of 10.3% in the domestic market[122]. - The global service robot market sales grew from $3.51 billion in 2014 to $8.29 billion in 2018, with a CAGR of 23.97%, and is expected to reach $13.14 billion by 2021[123]. - The smart home device shipment is projected to reach 1.396 billion units by 2023, with a CAGR of 14.40% from 2019 to 2023[124]. - The personal care small appliance market in China is expected to grow from $25.68 billion in 2016 to $52.70 billion by 2025, with a CAGR of 8.32%[126]. - The global medical device market is projected to grow from $363.8 billion in 2013 to $594.5 billion by 2024, with a CAGR of 5.64% from 2018 to 2024[126]. Risks and Challenges - The company faces risks from macroeconomic fluctuations that could impact demand in key industries such as telecommunications and automotive electronics[134]. - The company is exposed to competitive pressures from established international players like Japan's Nidec and Germany's IMS, which could affect its market position[134]. - The company has a high customer concentration risk, as losing major clients could adversely impact its production and profitability[134]. - Rising labor costs due to demographic changes may challenge the company's operational performance if sales revenue does not keep pace[134]. - The company is committed to enhancing its technological capabilities and product quality to maintain competitiveness in a rapidly evolving market[134]. Investments and Future Plans - The company plans to establish R&D and manufacturing bases in the Yangtze River Delta and Greater Bay Area, with an expected annual output value of $2 billion from the new projects[127]. - The company aims to enhance its R&D capabilities and production capacity through capital raising after its successful IPO in December 2020[127]. - The company emphasizes talent development and aims to cultivate high-skilled professionals to support continuous technological innovation[127]. - The company plans to enhance market expansion and marketing efforts, leveraging high demand in downstream industries and increasing market share through targeted strategies[128]. - The company aims to increase R&D investment, focusing on high-performance transmission systems for applications in 5G communication, automotive electronics, and medical devices, with a commitment to developing new products[130]. - The company has established a subsidiary in Germany to expand overseas markets and has applied for over 20 overseas patents, indicating a strong international growth strategy[130]. - The company is set to complete the main construction of the Dongguan Zhaowei Electromechanical Industrial Park by 2021, which will support its operational capacity[130]. Compliance and Governance - The company emphasizes the importance of maintaining high-quality information disclosure and investor relations management to build trust and a positive corporate image[130]. - The company has committed to not transferring or managing shares for 36 months post-IPO, ensuring shareholder stability[173]. - The company has implemented new accounting standards effective January 1, 2020, impacting various financial statement items[176]. - The company reported no significant accounting errors requiring retrospective restatement during the reporting period[180]. - The company has adopted simplified accounting methods for rent reductions related to the COVID-19 pandemic[179]. - The company’s stock price must remain above the issuance price for 20 consecutive trading days to avoid extending the lock-up period[169]. - The company has no non-operating fund occupation by controlling shareholders or related parties during the reporting period[175]. - The company’s commitment to shareholders remains intact, with no changes due to management transitions[173]. - The domestic accounting firm, Lixin Certified Public Accountants, was retained for auditing services with a fee of 600,000 RMB, covering a continuous service period of 5 years[182]. - There were no significant litigation or arbitration matters during the reporting period, and no bankruptcy restructuring occurred[185]. - The company faced a lawsuit involving 2.04 million RMB, which was resolved through a settlement agreement[186]. - There were no penalties or rectification measures during the reporting period[190]. - The company did not implement any stock incentive plans or employee shareholding plans during the reporting period[191]. - There were no related party transactions in daily operations or significant contracts during the reporting period[192][199]. - The company did not engage in any asset or equity acquisitions or sales during the reporting period[193]. - The company maintained a focus on protecting the economic interests of its shareholders[189]. - The company will closely monitor ongoing legal cases and fulfill information disclosure obligations as necessary[186].