Financial Performance - The company's operating revenue for Q1 2021 was ¥26,313,159.34, representing a 49.46% increase compared to ¥17,606,040.31 in the same period last year[12]. - Net profit attributable to shareholders for Q1 2021 was ¥3,041,359.66, a significant increase of 125.93% from ¥1,346,164.86 in the previous year[12]. - The net profit after deducting non-recurring gains and losses was ¥2,103,887.08, up 171.10% from ¥776,050.21 year-on-year[12]. - The weighted average return on net assets increased to 0.66% from 0.28% year-on-year, reflecting improved profitability[12]. - The company's basic earnings per share rose to 0.0100 yuan, an increase of 127.27% year-on-year[27]. - Total operating revenue for Q1 2021 was CNY 26,313,159.34, an increase from CNY 17,606,040.31 in the same period last year[86]. - Net profit for Q1 2021 reached CNY 3,041,359.66, up from CNY 1,346,164.86 in Q1 2020, indicating a growth of approximately 126%[88]. - Total comprehensive income for the first quarter was CNY 3,121,465.96, compared to CNY 1,346,164.86 in the same period last year, representing an increase of approximately 131.4%[93]. Cash Flow and Assets - The company's cash flow from operating activities showed a net outflow of ¥2,344,575.83, a decline of 120.36% compared to a net inflow of ¥11,517,790.28 in the same period last year[12]. - The cash balance at the end of the reporting period is RMB 258.32 million, an increase of 63.73% compared to the beginning of the year[22]. - The net cash flow from operating activities for the reporting period is -RMB 2.34 million, a decrease of 120.36% year-on-year[24]. - The ending balance of cash and cash equivalents was CNY 265,030,169.42, compared to CNY 187,544,054.23 at the end of the previous year, indicating a year-over-year increase of 41.4%[97]. - The company reported a net increase in cash and cash equivalents of CNY 214,117.10, contrasting with a significant decrease of CNY 19,271,431.22 in the same quarter last year[97]. Liabilities and Equity - Total assets at the end of the reporting period were ¥501,680,753.39, a slight decrease of 0.98% from the previous year[12]. - The total current liabilities decreased to ¥39,937,056.91 from ¥46,192,733.57, a reduction of about 13.6%[80]. - The company's total liabilities decreased to ¥40,814,803.32 from ¥48,827,394.31, a reduction of approximately 16.5%[80]. - The total equity attributable to shareholders rose to ¥460,865,950.07 from ¥457,824,590.41, an increase of about 0.7%[81]. Research and Development - The company plans to enhance its technology research and development in line with the national strategy for integrated development of cable television networks and 5G construction[31]. - In Q1 2021, the company's R&D investment was CNY 1.6013 million, accounting for 6.09% of total revenue[35]. - The company is currently engaged in multiple R&D projects, including a guide rail GPON-ONU in small batch production and a short-distance satellite signal transmission device that has completed production[36]. - The company has accumulated over 10 core key technologies, enhancing its competitive edge in the market[39]. Market and Customer Management - The company aims to enhance its product core technology capabilities and expand into new markets to mitigate risks associated with industry uncertainties[6]. - The company plans to strengthen customer credit management and accounts receivable management to reduce the risk of bad debts[9]. - The top five customers generated a total revenue of 12.7334 million yuan, representing 48.38% of the company's total revenue, with a year-on-year increase of 19.90%[41]. Shareholder and Ownership Changes - The controlling shareholder pledged 72 million shares, representing 23.79% of the company's total share capital[49]. - On January 5, 2021, the company approved a share transfer agreement where Anhui Shunyuan would acquire 90,772,524 shares, representing 29.99% of the total share capital, resulting in a change of controlling shareholder[57]. - The company completed the transfer of 90,772,524 shares, representing 29.99% of the total share capital, to Anhui Shunyu, making it the controlling shareholder[60]. - The company has not reported any significant business activities for Hefei Whale Technology Co., Ltd. as of the report date[67]. Operational Management - The company plans to enhance project management capabilities and improve service response through an upgraded operational management platform[44]. - The company aims to increase R&D capabilities for new technologies and products to maintain competitive advantages in the broadcasting industry[45]. - The company is seeking to expand its market share and improve management capabilities to address the risks of insufficient new business development[46].

Financial Performance - The revenue from cable television equipment accounted for 47.49% of total operating income, a decrease of approximately 31.23% compared to the same period last year[5]. - In 2020, the company's operating revenue was CNY 81,373,967.58, a decrease of 17.73% compared to CNY 98,908,656.53 in 2019[22]. - The net profit attributable to shareholders increased by 45.52% to CNY 9,230,675.01 in 2020, up from CNY 6,343,025.01 in 2019[22]. - The net profit after deducting non-recurring gains and losses was CNY 5,110,807.02, representing a 30.18% increase from CNY 3,925,902.02 in 2019[22]. - The net cash flow from operating activities decreased by 52.83% to CNY 36,322,966.88 in 2020, down from CNY 77,004,604.46 in 2019[22]. - Basic earnings per share rose by 45.24% to CNY 0.0305 in 2020, compared to CNY 0.0210 in 2019[22]. - Total assets at the end of 2020 were CNY 506,651,984.72, a decrease of 3.06% from CNY 522,642,322.97 at the end of 2019[22]. - The net assets attributable to shareholders decreased by 4.39% to CNY 457,824,590.41 at the end of 2020, down from CNY 478,861,512.70 at the end of 2019[22]. - The company reported a weighted average return on equity of 1.98% in 2020, an increase from 1.31% in 2019[22]. - The company achieved a total operating revenue of 81.37 million yuan in 2020, a decrease of 17.73% compared to the previous year[58]. - Operating profit increased by 51.21% to 10.80 million yuan, while total profit rose by 47.74% to 10.73 million yuan[58]. - Net profit attributable to ordinary shareholders was 9.23 million yuan, reflecting a growth of 45.52% year-on-year[58]. Dividend Policy - The company plans to distribute a cash dividend of 0.06 yuan per 10 shares to all shareholders, based on a total of 302,675,973 shares[9]. - The company reported a net profit of CNY 9,230,675.01 for the year 2020, with a profit distribution plan approved to distribute CNY 1,816,055.84 in cash dividends, amounting to CNY 0.06 per 10 shares[138]. - The total distributable profit available for shareholders as of December 31, 2020, was CNY 95,248,643.05, with a cash dividend payout ratio of 19.67% of the net profit[139]. - The company maintained a consistent cash dividend policy, with the cash dividends for 2019 being CNY 30,267,597.30, which represented 477.18% of the net profit for that year[139]. - The company did not issue any bonus shares or increase capital reserves during the reporting period, indicating a focus on cash dividends[135]. - The total cash dividend amount for 2020 was fully distributed, with no other forms of distribution such as share buybacks[134]. Market Strategy and Expansion - The company is focusing on expanding its market presence both domestically and internationally, particularly in the intelligent video surveillance sector[6]. - The company recognizes the need to adjust its market sales strategy in response to customer network construction demands[7]. - The company is committed to continuous product innovation and optimizing structural design to maintain market competitiveness[7]. - The company is focusing on expanding its intelligent monitoring engineering services and enhancing project management capabilities[41]. - The company plans to continue leveraging its advantages in the cable TV industry to expand into intelligent monitoring services[71]. - The company is actively involved in the construction of a comprehensive public safety network, aligning with national safety development goals[44]. Research and Development - The company aims to enhance its core technology capabilities in new products and increase R&D efforts to mitigate market risks[6]. - The company has established a technical center for product R&D, focusing on independent development and technology collaboration[35]. - The company has initiated multiple R&D projects focused on new technologies and products, including a high-bandwidth low-latency EoC system[66]. - Research and development expenditure totaled 7.09 million yuan, accounting for 8.71% of operating revenue[66]. - The company obtained 3 utility model patents and 6 design patents during the reporting period, enhancing its core competitiveness[67]. Risks and Challenges - The company faces risks related to declining gross profit margins due to increased competition and rising raw material costs[7]. - The company acknowledges the challenges in the broadcasting industry, including slow development of new business chains and user attrition[5]. - Risks include insufficient business expansion capabilities, declining product gross margins, and potential bad debts from accounts receivable[123]. - The company recognizes the risk of insufficient new business expansion and plans to accelerate market expansion and new product development[126]. - The company is at risk of losing key technical personnel, which could impact its innovation capabilities[127]. Financial Management - The company will implement measures to strengthen credit management and accounts receivable management to reduce the risk of bad debts[9]. - The company is committed to improving its internal control management system to enhance operational efficiency and reduce production costs[120]. - The company reported a decrease in financing income from project installment payments of 1.18 million yuan, down 91.93% year-on-year[41]. - The company's financial expenses increased by 28.78% year-on-year, primarily due to reduced interest income from deposits and long-term receivables[88]. - The company achieved a total income from bank financial products and structured deposits of 5.61 million yuan, an increase of 2.68 million yuan year-on-year[41]. Corporate Governance - The actual controller and shareholders of Jiangsu Yitong High-Tech Co., Ltd. have strictly fulfilled their commitments during the reporting period, with no violations reported[140]. - The company has maintained compliance with relevant laws and regulations, ensuring that all commitments made by board members and management are strictly adhered to[142]. - The company’s independent directors and supervisory board expressed agreement with the profit distribution plan, emphasizing its alignment with the company's long-term development strategy[135]. - The company has not faced any major litigation or arbitration matters during the reporting period[150]. - The company has not experienced any bankruptcy reorganization matters during the reporting period[149].

Financial Performance - Operating revenue for the reporting period was CNY 19,176,819.65, down 17.00% year-on-year, and CNY 60,982,881.86 for the year-to-date, down 18.55% compared to the same period last year[8]. - Net profit attributable to shareholders was CNY 2,760,869.14, an increase of 168.81% year-on-year, and CNY 7,805,175.78 for the year-to-date, up 123.20% compared to the same period last year[8]. - Basic earnings per share for the reporting period were CNY 0.0091, up 167.65% year-on-year, and CNY 0.0258 for the year-to-date, up 122.41% compared to the same period last year[8]. - Total operating revenue for Q3 2020 was CNY 19,176,819.65, a decrease from CNY 23,104,310.34 in the previous period[66]. - Net profit for Q3 2020 was CNY 2,760,869.14, compared to CNY 1,027,079.50 in the same period last year, representing a significant increase[68]. - The total comprehensive income for the third quarter was CNY 2,760,869.14, significantly higher than CNY 1,027,079.50 from the previous year[72]. - The company's operating profit for the third quarter was CNY 3,179,084.41, an increase from CNY 1,093,912.49 in the previous period[72]. Cash Flow and Liquidity - The net cash flow from operating activities was CNY 10,855,847.31, a decrease of 13.14% compared to the same period last year[8]. - The net cash flow from operating activities was 35.05 million yuan, a decrease of 20.92% year-on-year, mainly due to a reduction in cash received from sales of goods and services[21]. - The cash inflow from operating activities totaled CNY 96,302,015.76, down from CNY 118,542,457.76 in the previous year, reflecting a decline of approximately 18.7%[86]. - The company experienced a net increase in cash and cash equivalents of 5,249,325.48 CNY, contrasting with a decrease of 4,280,405.28 CNY in the same period last year[88]. - Cash and cash equivalents stood at CNY 183,911,606.67 as of September 30, 2020, slightly down from CNY 184,438,405.20 at the end of 2019[58]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 490,119,817.98, a decrease of 6.22% compared to the end of the previous year[8]. - The company reported a total current assets of CNY 335,515,043.41 as of September 30, 2020, a decrease from CNY 349,496,553.20 at the end of 2019[58]. - The company's total liabilities were CNY 33,720,726.80 as of September 30, 2020, compared to CNY 43,780,810.27 at the end of 2019, indicating a reduction in liabilities[60]. - The ending balance of accounts receivable notes was 200,000 yuan, a decrease of 89.05% compared to the beginning of the year, mainly due to a reduction in held but not yet matured bank acceptance bills[19]. - The ending balance of inventory was 4.84 million yuan, a decrease of 44.03% compared to the beginning of the year, primarily due to reduced stock of raw materials and finished goods[19]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 14,051[12]. - The largest shareholder, Wang Zhenhong, held 48.40% of the shares, totaling 146,506,073 shares[12]. - The company extended the 2015 employee stock ownership plan for one year until November 11, 2021, with over two-thirds of the plan holders agreeing to the extension[29]. - As of the end of the reporting period, 32 participants had left the 2015 employee stock ownership plan, holding a total of 3.53 million shares, which accounted for 32.69% of the total plan shares[30]. Investment and Financing Activities - The company applied for a comprehensive credit facility of RMB 470 million from banks for the year 2020, with a one-year term[32]. - The company is planning to issue shares and pay cash to acquire assets, with stock trading suspended since September 16, 2019, for related audits and evaluations[33]. - The company reported investment income of CNY 985,913.67, an increase from CNY 720,237.77 in the previous period[71]. - The company reported a financial income of CNY 5,735,686.91, an increase from CNY 3,652,069.59 in the previous year[79]. Regulatory and Corporate Governance - The company received an inquiry letter from the Shenzhen Stock Exchange regarding its restructuring plan on February 10, 2020[36]. - The company plans to hold a shareholders' meeting to review the asset acquisition once the related audit and evaluation work is completed[34]. - The company received approval from the China Securities Regulatory Commission (CSRC) for its asset purchase application on March 6, 2020[39]. - The company held its second extraordinary general meeting of 2020 on April 24, where it approved adjustments to the major asset restructuring[41]. - The company is currently facing uncertainty regarding the continuation and approval of its major asset restructuring[47]. Research and Development - Research and development expenses for the third quarter were CNY 1,759,021.45, down from CNY 2,008,301.44 in the previous year[71]. - Research and development expenses amounted to CNY 5,457,726.28, slightly down from CNY 5,787,754.28 in the previous period[79].

Financial Performance - The revenue from cable television equipment accounted for 47.34% of total operating income, a decrease of approximately 36.60% compared to the same period last year[7]. - The company's operating revenue for the reporting period was ¥41,806,062.21, a decrease of 19.24% compared to the same period last year[28]. - Net profit attributable to shareholders was ¥5,044,306.64, representing an increase of 104.24% year-on-year[28]. - The net profit after deducting non-recurring gains and losses was ¥3,976,031.20, up 63.87% from the previous year[28]. - Basic earnings per share increased to ¥0.0167, a rise of 103.66% year-on-year[28]. - The company achieved a net profit of CNY 80 million, with a profit margin of 16%, compared to 14% in the same period last year[20]. - Future guidance indicates a projected revenue growth of 20% for the full year 2020, driven by increased demand for broadband services[20]. - The company's operating cash flow decreased by 23.98% year-on-year, totaling 24.19 million yuan[65]. - The company's net profit for the first half of 2020 was 5.04 million yuan, representing a year-on-year growth of 104.24%[73]. Research and Development - The company plans to enhance its R&D capabilities and actively expand both domestic and international markets to mitigate market risks and operational uncertainties[8]. - The company is investing CNY 30 million in research and development for advanced fiber optic technologies in 2021[20]. - The company's R&D model emphasizes independent development and technical cooperation based on industry trends and customer needs[38]. - R&D expenditure for the first half of 2020 was 3.70 million yuan, accounting for 8.85% of total revenue, an increase from 7.30% in the same period last year[76]. - The company aims to strengthen its R&D capabilities for new technologies and products to meet the evolving demands of the broadcasting industry, particularly in digital communication transmission equipment[112]. - The company has established a robust incentive and evaluation mechanism for R&D personnel to mitigate the risk of talent loss and enhance technical innovation[115]. Market Strategy and Expansion - The company plans to expand its market presence by entering three new provinces by the end of 2021, aiming for a 25% increase in market share[20]. - The company will adjust its market sales strategies based on customer network construction needs to maintain market competitiveness[9]. - The company is focusing on product innovation and optimizing structural design to enhance its market share[9]. - The company is exploring potential acquisitions to enhance its technology portfolio and expand service offerings in the telecommunications sector[20]. - The company plans to expand its intelligent monitoring services and improve operational service quality to enhance regional coverage[77]. Risks and Challenges - The company is facing risks related to the continuous decline in product gross margins due to increased competition and rising raw material costs[9]. - The company acknowledges the risks associated with insufficient business expansion capabilities and the potential impact on future performance stability[7]. - The company faces risks related to project implementation, including potential delays and revenue recognition issues[110]. - The company recognizes the risk of losing key technical personnel, which could impact its ongoing innovation capabilities and market competitiveness[114]. Asset Management and Financial Position - As of the end of the reporting period, accounts receivable amounted to 37.15 million yuan, representing 7.56% of total assets[11]. - Total assets at the end of the reporting period were ¥491,384,332.67, a decrease of 5.98% from the end of the previous year[28]. - The net assets attributable to shareholders decreased to ¥453,638,222.04, down 5.27% from the previous year[28]. - The company is enhancing its internal management and risk control, resulting in a significant reduction of accounts receivable by CNY 0.65 million compared to the previous year[45]. - The company reported a total financial asset of CNY 88,357,531.31, with a fair value change of CNY 1,099,705.35[95]. Corporate Governance and Compliance - The company will not distribute cash dividends, issue bonus shares, or increase capital from reserves for this period[6]. - The actual controllers and shareholders have strictly fulfilled their commitments during the reporting period, with no violations reported[122]. - The commitments include restrictions on share transfers, limiting annual transfers to no more than 25% of total shares held[122]. - The company has not undergone any major litigation or arbitration matters during the reporting period[128]. - The company has adhered to all relevant laws and regulations during the tenure of its board and supervisory committee members, ensuring compliance with the Shenzhen Stock Exchange rules[124]. Innovation and Product Development - New product development includes the launch of a next-generation optical network unit (ONU) expected to enhance data transmission speeds by 50%[20]. - The company is implementing a new strategy focused on integrating IoT solutions into its existing product lines to capture emerging market opportunities[20]. - The company is committed to technological innovation in the field of smart security monitoring, aligning with national public safety initiatives[48]. - The company has obtained two new utility model patents and six design patents during the reporting period[54]. - The company plans to form several new patents and software copyrights from ongoing R&D projects, enhancing its innovation capabilities[55].

Financial Performance - Total revenue for Q1 2020 was ¥17,606,040.31, a decrease of 30.59% compared to ¥25,366,955.05 in the same period last year[14] - Net profit attributable to shareholders increased by 9.45% to ¥1,346,164.86 from ¥1,229,942.74 year-on-year[14] - Net profit excluding non-recurring items decreased by 35.46% to ¥776,050.21 from ¥1,202,438.07 in the previous year[14] - Operating cash flow for the period was ¥11,517,790.28, up 97.29% from ¥5,837,901.00 in the same period last year[14] - Total operating revenue for Q1 2020 was CNY 17,606,040.31, a decrease of 30.7% compared to CNY 25,366,955.05 in Q1 2019[75] - Total operating costs for Q1 2020 were CNY 16,425,416.45, down 35.5% from CNY 25,450,526.11 in the previous year[75] - Net profit for Q1 2020 reached CNY 1,346,164.86, representing an increase of 9.5% from CNY 1,229,942.74 in Q1 2019[77] - Total comprehensive income for the period reached CNY 1,346,164.86, an increase from CNY 1,229,942.74 in the previous period, reflecting a growth of approximately 9.5%[78] - Basic and diluted earnings per share increased to CNY 0.0044 from CNY 0.0041, representing a rise of about 7.3%[78] Assets and Liabilities - Total assets at the end of the reporting period were ¥517,762,332.94, a decrease of 0.93% from ¥522,642,322.97 at the end of the previous year[14] - Total liabilities decreased to CNY 37,554,655.38 from CNY 43,780,810.27 at the end of 2019, reflecting a reduction of 14.2%[74] - The company’s inventory decreased to CNY 7,049,093.83 from CNY 8,647,210.78 at the end of 2019, indicating a reduction of 18.5%[72] - Total liabilities amounted to CNY 43,780,810.27, with current liabilities at CNY 39,504,164.84[86] - The total equity attributable to shareholders reached CNY 478,861,512.70, with retained earnings of CNY 117,208,716.84[86] Research and Development - The company invested 1.7855 million yuan in R&D during the quarter, accounting for 10.14% of total operating revenue[35] - The company aims to enhance its R&D capabilities and expand into new markets to mitigate risks associated with industry uncertainties[7] - The company aims to strengthen its R&D capabilities to quickly adapt to market demands in the broadcasting industry, particularly in areas like 5G integration and smart broadcasting[46] - The company’s core technology team has accumulated significant advantages in technology research and development over more than ten years in the broadcasting industry[39] Market and Competition - The gross profit margin is under pressure due to intense competition and rising material costs, necessitating strategic adjustments in pricing and cost management[8] - Revenue from CATV network equipment was 7.0505 million yuan, a decline of 47.80% year-on-year, with a gross profit of 0.751 million yuan, down 65.12%[28] - Revenue from optical transmission equipment was 2.0708 million yuan, a decrease of 46.54% year-on-year, with a gross profit of 0.183 million yuan, down 75.95%[28] - Revenue from data communication network equipment was 3.7624 million yuan, a decline of 51.45% year-on-year, with domestic sales down 50.50%[29] - Revenue from intelligent monitoring engineering services was 10.1453 million yuan, a decrease of 11.72% year-on-year, but gross profit increased by 27.96%[30] Shareholder Information - The total number of common shareholders at the end of the reporting period is 14,547[17] - The largest shareholder, Wang Zhenhong, holds 48.40% of the shares, totaling 146,506,073 shares[17] - The company has a history of extending its employee stock ownership plan, with the latest extension set to last until November 11, 2020[52] - As of the report date, 26 participants of the 2015 employee stock ownership plan have left the company, holding a total of 2.88 million shares, which accounts for 26.67% of the total shares in the plan[53] Cash Flow and Financing - Cash and cash equivalents as of March 31, 2020, amounted to CNY 189,740,973.81, up from CNY 184,438,405.20 at the end of 2019[72] - Net cash flow from operating activities was CNY 11,517,790.28, significantly higher than CNY 5,837,901.00 in the previous period, indicating an increase of approximately 96%[80] - Cash inflow from operating activities totaled CNY 33,361,350.13, while cash outflow was CNY 21,843,559.85, resulting in a net cash flow of CNY 11,517,790.28[80] - The company plans to apply for a comprehensive credit facility of 470 million RMB from banks for the year 2020[48] - Cash flow from financing activities showed a net outflow of CNY 72,691.18, with no cash inflow reported during the period[82] Strategic Initiatives - The company plans to acquire 100% equity of Huawang Information through a combination of issuing shares and cash payments, pending regulatory approval[10] - The company is focusing on enhancing project management capabilities and improving operational response through a refined project manager responsibility system[44] - The company has identified risks related to project implementation, including potential delays and financial impacts due to external factors[43] - The company has not experienced significant changes in its core competitiveness or key technical personnel during the reporting period[38] Regulatory and Compliance - The company applied for a suspension of its stock on September 16, 2019, due to plans to issue shares and pay cash for asset purchases[55] - On September 26, 2019, the board approved a proposal for issuing shares and paying cash for asset purchases, with further details disclosed on September 30, 2019[55] - The company received an inquiry letter from the Shenzhen Stock Exchange regarding the restructuring on February 10, 2020, and responded on February 17, 2020[59] - As of the report date, the approval of the asset purchase and fundraising plan by the China Securities Regulatory Commission remains uncertain[62]

Revenue and Business Performance - The company's main business revenue primarily comes from cable television broadcasting equipment and video surveillance services, with cable television equipment revenue accounting for 56.82% of total revenue during the reporting period[5]. - Jiangsu Yitong High-tech Co., Ltd. reported a significant increase in revenue, achieving a total of 1.2 billion RMB in 2019, representing a year-over-year growth of 15%[19]. - The company's operating revenue for 2019 was ¥98,908,656.53, a decrease of 22.69% compared to ¥127,934,551.61 in 2018[23]. - The company achieved operating revenue of 98.91 million yuan in 2019, a decrease of 22.69% compared to the previous year[61]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion RMB for the year, representing a growth of 20% compared to the previous year[145]. Profit and Financial Metrics - Net profit attributable to shareholders for 2019 was ¥6,343,025.01, an increase of 27.39% from ¥4,979,036.56 in 2018[23]. - Basic earnings per share rose to ¥0.0210 in 2019, up 27.27% from ¥0.0165 in 2018[23]. - The company reported a net profit of 6.343 million yuan for the year 2019, with a significant increase in net cash flow from operating activities by 26.84% to 77.005 million yuan[98]. - The cash dividend distribution plan for 2019 includes a cash dividend of CNY 1.00 per 10 shares, totaling CNY 30,267,597.30[135]. - The cash dividend for 2019 represents 100% of the profit distribution total[135]. Accounts Receivable and Cash Management - As of the end of the reporting period, accounts receivable amounted to 51.3189 million yuan, representing 9.82% of total assets, indicating a relatively high level of accounts receivable risk[9]. - The company has implemented measures to strengthen accounts receivable management, including customer credit evaluation and contract supervision, to reduce the risk of bad debts[9]. - The company's cash and cash equivalents increased by 45.86% compared to the beginning of the year due to the collection of receivables[44]. - Accounts receivable decreased by 38.48% compared to the beginning of the year, reflecting improved internal management and risk control[44]. Research and Development - The company is investing in R&D for new technologies, including the development of FTTH (Fiber To The Home) solutions, aiming to enhance service delivery and customer satisfaction[19]. - The company has a strong focus on research and development, which is considered its core competitive advantage and source of innovation[47]. - Research and development expenditure for 2019 was ¥7,699,835.99, accounting for 7.78% of total revenue, up from 6.48% in 2018[72]. - The company has initiated multiple R&D projects, with a total investment of ¥7,699,835.99 in 2019, focusing on new product development and technology innovation[69]. Market Expansion and Strategic Initiatives - The company aims to enhance its product core technology capabilities and expand into new markets to mitigate risks associated with industry policy uncertainties and market competition[6]. - The company is actively exploring international business opportunities to diversify its market presence and reduce operational risks[6]. - Jiangsu Yitong is pursuing market expansion strategies, targeting new regions in China to increase its market share in the telecommunications sector[19]. - The company plans to explore potential mergers and acquisitions to strengthen its competitive position and diversify its service offerings[19]. Risks and Challenges - The company faces risks of declining gross profit margins due to intense competition and rising costs of raw materials and labor, necessitating adjustments in market sales strategies[7]. - The company acknowledges the potential risks in its future development plans and emphasizes the importance of investor awareness regarding these risks[4]. - The company recognizes the challenges in the industry, including the unification of technical standards and the slow development of new business models[115]. - The company acknowledges the risk of insufficient R&D capabilities in response to the evolving demands of the broadcasting industry, particularly in areas like 5G integration[126]. Corporate Governance and Compliance - The independent directors and supervisory board have approved the profit distribution plan, affirming its compliance with legal and regulatory requirements[139]. - The actual controllers and shareholders of Jiangsu Yitong High-Tech Co., Ltd. have strictly fulfilled their commitments during the reporting period, with no violations reported[143]. - The commitments made by the actual controllers include a pledge to act in good faith and not to harm the interests of Jiangsu Yitong High-Tech Co., Ltd. or its shareholders[143]. Product Development and Technology Integration - The company focuses on the development of optical transmission equipment and data communication network devices for the broadcasting industry[34]. - The company has successfully expanded its customer base, establishing stable business relationships with cable television network operators while also increasing sales in foreign markets[49]. - The company is planning to issue shares and pay cash for asset acquisitions, with stock trading suspended since September 16, 2019[200].

Jiangsu Yitong High-tech Co., Ltd. （江苏省常熟市通林路 28 号） 2019 年第三季度报告 2019 年 10 月 25 日 1 江苏亿通高科技股份有限公司 2019 年第三季度报告全文 第一节 重要提示 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、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 江苏亿通高科技股份有限公司 2019 年第三季度报告全文 江苏亿通高科技股份有限公司 所有董事均已出席了审议本次季报的董事会会议。 公司负责人王桂珍、主管会计工作负责人周叙明及会计机构负责人(会计主 管人员)周叙明声明：保证季度报告中财务报表的真实、准确、完整。 2 江苏亿通高科技股份有限公司 2019 年第三季度报告全文 第二节 公司基本情况 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 | | 本报告期末 | 上年度末 | | 本报告期末比上年度末增减 | | --- | --- | --- | --- | --- | | 总资产（元） | 514,001,834.62 | ...

Revenue and Profitability - The main business revenue primarily comes from the manufacturing of cable television broadcasting equipment, accounting for 60.30% of total revenue during the reporting period[6]. - Total revenue for the reporting period was ¥51,766,885.96, a decrease of 26.17% compared to ¥70,111,952.90 in the same period last year[27]. - Net profit attributable to shareholders of the listed company was ¥2,469,816.74, an increase of 21.86% from ¥2,026,725.29 in the same period last year[27]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 2,426,349.51, an increase of 35.13% compared to CNY 1,795,568.22 in the previous year[28]. - Basic and diluted earnings per share were both CNY 0.0082, reflecting a growth of 22.39% compared to CNY 0.0067 in the previous year[28]. - The company achieved a profit of 5.59 million CNY from CATV network transmission equipment, down 3.38 million CNY or 37.63% compared to the previous year[43]. - The smart video surveillance engineering segment generated revenue of 20.06 million yuan, a decline of 15.98% year-on-year, but gross profit increased by 15.53% to 7.07 million yuan[71]. - The company reported a significant increase in cash flow from operating activities, with a net cash flow of 31.82 million yuan, up 254.72% year-on-year[65]. Financial Position - The company’s total assets at the end of the reporting period were CNY 514,221,522.61, a decrease of 4.51% from CNY 538,489,264.76 at the end of the previous year[28]. - The net assets attributable to shareholders decreased by 3.20%, amounting to CNY 474,988,304.43 compared to CNY 490,679,046.07 at the end of the previous year[28]. - Total liabilities as of June 30, 2019, were CNY 39,233,218.18, down 17.9% from CNY 47,810,218.69 at the end of 2018[180]. - Cash and cash equivalents as of June 30, 2019, were CNY 129,256,384.12, an increase of 1.4% from CNY 126,447,523.33 at the end of 2018[177]. - Total cash and cash equivalents at the end of the period decreased to CNY 128,208,132.63 from CNY 147,229,232.69, a decline of 12.9%[189]. Business Strategy and Market Position - The company aims to enhance its core technology capabilities and accelerate the promotion of new products to meet market demands[8]. - The company is actively seeking new business opportunities and market expansion to reduce operational risks associated with industry uncertainties[8]. - The company emphasizes the importance of timely adjustments to market sales strategies based on industry trends and customer needs[9]. - The company is committed to improving production efficiency and product quality to maintain competitive market share[9]. - The company continues to focus on expanding its market presence and enhancing its product offerings in the broadband access technology sector[19]. - The company is focusing on enhancing its intelligent monitoring engineering services and project management capabilities[44]. Research and Development - The company has accumulated significant technical reserves and core technologies in the cable television network transmission equipment sector over more than a decade[51]. - The company is currently engaged in several R&D projects, including a high-bandwidth low-latency EoC system aiming for a physical layer rate of no less than 1100 Mbps and a data throughput of at least 600 Mbps[54]. - The company has completed 104 patents, including 22 invention patents and 10 utility model patents, along with 47 software copyrights as of June 30, 2019, enhancing its core competitiveness and brand recognition[52]. - The company aims to form several new patents and software copyrights from its ongoing R&D projects, enhancing its innovation capabilities[54]. Risk Management - The company faces risks related to declining product gross margins due to increased competition and rising raw material costs[9]. - The company is focusing on strengthening customer credit management and accounts receivable management to mitigate the risk of bad debts[11]. - The company anticipates potential risks related to project implementation, which may affect revenue recognition and project profitability[106]. - The company plans to enhance its project management capabilities and improve service delivery to mitigate implementation risks[107]. - The company faces risks related to insufficient R&D capabilities in response to market demands in the broadcasting industry[108]. Shareholder and Governance - The company plans to not distribute cash dividends, issue bonus shares, or convert reserves into share capital during the reporting period[11]. - The company has ensured that no related party transactions will harm the interests of the company and its shareholders[113]. - The controlling shareholders have promised to maintain the independence of the company's assets, business, personnel, and finances[113]. - The company has maintained compliance with the provisions of the Company Law and its Articles of Association[113]. - The company has not reported any violations of the commitments made by the controlling shareholders during the reporting period[113]. Operational Performance - The company primarily engages in the research, production, and sales of broadcasting and television equipment, as well as intelligent video surveillance engineering services[35]. - The main products include optical transmission equipment, coaxial cable transmission equipment, and data communication network equipment, which are essential for cable television networks[36]. - The production process is managed to meet customer order delivery requirements, with a focus on quality inspection and testing[40]. - The sales strategy is primarily based on direct sales through participation in tenders from provincial broadcasting operators across the country[40]. Investment and Financing - The company applied for a comprehensive credit line of RMB 520 million from banks for the year 2019, with a term of one year[144]. - The company has not engaged in any derivative investments during the reporting period[101]. - The company has not reported any significant equity investments or fundraising activities during the reporting period[95]. - The company has not experienced any changes in its controlling shareholder during the reporting period[163].

Financial Performance - Total revenue for Q1 2019 was ¥25,366,955.05, a decrease of 36.74% compared to ¥40,096,678.54 in the same period last year[8] - Net profit attributable to shareholders was ¥1,229,942.74, down 33.59% from ¥1,852,167.18 year-on-year[8] - The company reported a basic earnings per share of ¥0.0041, down 32.79% from ¥0.0061 in the same period last year[8] - The company's operating revenue for Q1 2019 decreased by 36.74% compared to the same period last year, primarily due to a decline in sales volume of optical network transmission equipment and next-generation cable television network equipment in the domestic market[23] - The company's operating costs for Q1 2019 decreased by 37.48% compared to the same period last year, reflecting the decline in operating revenue[23] - The company achieved operating revenue of 25.37 million yuan in Q1 2019, a decrease of 36.74% compared to the same period last year[25] - The net profit attributable to ordinary shareholders was 1.23 million yuan, down 33.59% year-on-year, with basic earnings per share of 0.0041 yuan, a decline of 32.79%[26] Cash Flow and Liquidity - Net cash flow from operating activities increased by 428.99%, reaching ¥5,837,901.00, compared to a negative cash flow of ¥1,774,511.73 in the previous year[8] - The net cash flow from operating activities for Q1 2019 was 5.84 million RMB, an increase of 428.99% year-on-year, mainly due to a reduction in cash paid for goods and services[23] - The company's cash outflow from operating activities for Q1 2019 was 27.17 million RMB, a decrease of 43.33% year-on-year, mainly due to reduced cash payments for goods and services[23] - Total cash inflow from operating activities amounted to ¥33,007,081.17, while cash outflow was ¥27,169,180.17, resulting in a positive cash flow[66] - The company reported a total cash and cash equivalents balance of ¥125,971,903.21 at the end of Q1 2019, down from ¥151,011,716.04 at the beginning of the quarter[67] - The total cash and cash equivalents decreased by ¥25,039,812.83 during the quarter, compared to a decrease of ¥24,696,410.63 in the same period last year[67] Assets and Liabilities - The company’s total assets decreased by 0.40% to ¥536,356,844.85 from the previous year-end[8] - Accounts receivable amounted to ¥85,523,900.00, representing 15.95% of total assets, indicating potential risks of bad debts[13] - The balance of accounts receivable at the end of the period was 14.76 million RMB, a decrease of 15.08% from the beginning of the year, primarily due to the use of bank acceptance bills for payment[22] - The company's total liabilities decreased to CNY 44,447,856.04 from CNY 47,810,218.69 in the previous quarter[58] - The company's total equity increased to CNY 491,908,988.81 from CNY 490,679,046.07 in the previous quarter[59] Research and Development - R&D investment in Q1 2019 was 1.78 million yuan, accounting for 7.04% of the company's operating revenue, with a total of 102 patents held[32] - The company invested a total of 1.7847 million RMB in R&D during the reporting period[35] - The company aims to enhance its core technology capabilities and continue to seek new market opportunities to overcome existing industry development bottlenecks[31] - The company is developing a multi-functional home gateway that integrates CATV reception, FTTH technology, and home networking technologies, currently in small batch trial production[34] - The company is developing a WiFi remote information management system, which is currently in the R&D stage[34] Market and Business Strategy - The company aims to enhance its product development and market expansion strategies to mitigate risks associated with industry uncertainties[11] - The company aims to leverage the transformation in the broadcasting industry towards multi-service and new business models, focusing on smart broadcasting and multimedia integration[30] - The company faces risks related to insufficient business expansion capabilities and declining product gross margins, which may impact future operations[43] - The company plans to enhance project management capabilities and improve operational response to mitigate risks associated with project implementation[43] - The company's major products and technologies focus on transmission equipment for the broadcasting industry, with ongoing efforts to adapt to market demands[44] Shareholder and Financing Information - The controlling shareholder has pledged 25 million shares in a stock repurchase agreement, which remains unresolved as of the report date[45] - As of March 31, 2019, the controlling shareholder Wang Zhenhong has 73,089,999 shares under pledge, accounting for 49.89% of his total shares and 24.15% of the company's total share capital[50] - The company applied for a comprehensive credit limit of RMB 520 million from banks for the year 2019, with a one-year term[51] - The company did not report any cash inflow from financing activities, indicating no new borrowings or equity financing during the quarter[66] Compliance and Certifications - The company has received multiple honors, including recognition as a national high-tech enterprise and a key "Torch Program" high-tech enterprise[35] - The company’s video surveillance business has obtained a Level 1 design, construction, and maintenance capability certificate from the China Security and Protection Industry Association[36] - The company obtained several broadcasting equipment network access certification from the National Radio and Television Administration, with valid dates extending to 2022[38]

Revenue and Profitability - The main business revenue from cable television broadcasting equipment manufacturing accounted for approximately 64.28% of total revenue, with a profit contribution of 52.35% to the overall business profit[6]. - The company achieved a total operating revenue of 127.93 million yuan in 2018, a decrease of 24.50% compared to the previous year[63]. - The operating profit was 5.39 million yuan, an increase of 33.60% year-on-year, while the total profit rose to 5.49 million yuan, up 23.12% from the previous year[63]. - The net profit attributable to shareholders was CNY 4,979,036.56, representing a 36.16% increase from CNY 3,656,638.41 in the previous year[24]. - The net profit after deducting non-recurring gains and losses was CNY 4,602,136.60, up 73.69% from CNY 2,649,576.33 in 2017[24]. - The company reported a net profit attributable to shareholders of CNY 4,979,036.56 for the year 2018[138]. Cash Flow and Dividends - The company plans to distribute a cash dividend of 0.60 yuan per 10 shares (including tax) based on a total of 302,675,973 shares[10]. - The cash dividend distribution plan for 2018 includes a cash dividend of CNY 0.60 per 10 shares, totaling CNY 18,160,558.38[135]. - The cash dividend for 2018 represents 364.74% of the net profit attributable to shareholders[140]. - The company’s cash flow from operating activities increased by 127.14% year-on-year, reaching ¥60,708,170.63, primarily due to reduced cash payments for purchases and increased recovered deposits[96]. - Total cash and cash equivalents increased by 197.14% year-on-year, amounting to ¥19,743,988.83, driven by higher net cash flow from operating and investing activities[96]. Accounts Receivable and Inventory Management - As of the end of the reporting period, accounts receivable amounted to 83.42 million yuan, representing 15.49% of total assets, indicating a relatively high level of receivables risk[10]. - The company emphasizes the importance of managing accounts receivable to mitigate the risk of bad debts, especially given the long payment cycles associated with project funding[10]. - Accounts receivable decreased by 34.73% compared to the beginning of the year due to improved internal management and risk control[50]. - Inventory decreased by 50.05% compared to the beginning of the year, primarily due to reduced stock of raw materials and finished products[50]. Market and Competition - The company is facing increased competition leading to a potential decline in product gross margins, necessitating adjustments in market sales structure and cost control measures[8]. - The company recognizes the risks associated with industry policy changes and market competition, which could impact future performance and growth[6]. - The company is actively seeking new business opportunities and market expansion to counteract the challenges posed by a declining user base in the cable television sector[7]. - The company is focusing on expanding its market presence in regions with better customer credit and stable product gross margins[42]. Research and Development - The company will continue to enhance its research and development capabilities to innovate and optimize product designs in response to industry trends[9]. - In 2018, the company's R&D investment was CNY 8,284,788.19, accounting for 6.48% of total revenue, compared to 5.87% in 2017[72]. - The company is currently engaged in multiple R&D projects, including a coaxial Ethernet transmission system based on MoCA1.1+ standard, which is in mass production stage and aims to achieve high-speed bidirectional data communication[92]. - The company is focused on expanding its market presence through innovative product development and strategic R&D initiatives[92]. Internal Management and Efficiency - The company is committed to improving internal management and production efficiency to stabilize gross margins amidst rising costs of raw materials and labor[9]. - The company continues to strengthen its internal management and risk control, particularly in accounts receivable management[43]. - The company plans to enhance its internal control management system to reduce costs and improve operational efficiency[118]. - The company has implemented cost reduction and efficiency enhancement measures, resulting in a significant decrease in various expenses[43]. Shareholder and Governance - The company has maintained a consistent cash dividend payout ratio, with 100% of the profit distribution allocated to cash dividends in 2018[134]. - The company has strictly fulfilled the commitment terms regarding share transfer limitations for directors and senior management, allowing a maximum of 25% of their total shares to be transferred annually during their tenure[142]. - The company has maintained compliance with the Company Law and its own Articles of Association, fulfilling its obligations with integrity and diligence[142]. - The company has ensured that any share transfers after the departure of senior management are limited to 50% of their total shares within a year[142]. Risks and Challenges - The company recognizes the challenges in the industry, including user attrition and the need for new business models, and will prioritize technological innovation to maintain competitive advantages[112]. - The company faces risks related to project implementation, including potential delays and increased costs due to various uncertainties[124]. - The company acknowledges the risk of losing key technical personnel, which could impact its innovation capabilities[126].