Financial Performance - The company's operating revenue for 2018 was ¥1,119,947,778.83, representing a 23.95% increase compared to ¥903,525,078.18 in 2017[19]. - The net profit attributable to shareholders for 2018 was ¥80,075,873.10, a decrease of 18.29% from ¥97,998,737.63 in 2017[19]. - The net cash flow from operating activities dropped significantly by 89.79% to ¥15,721,460.41 from ¥153,981,851.01 in 2017[19]. - The total assets at the end of 2018 reached ¥2,000,375,557.02, an increase of 51.50% from ¥1,320,420,298.44 at the end of 2017[19]. - The company maintained a weighted average return on equity of 11.16% in 2018, down from 17.68% in 2017[19]. - The net profit after deducting non-recurring gains and losses was ¥75,502,035.65, reflecting an 18.53% decrease from ¥92,673,023.48 in 2017[19]. - The company achieved operating revenue of 1,119.95 million yuan, an increase of 23.95% year-on-year[34]. - The net profit attributable to shareholders was 80.08 million yuan, a decrease of 18.29% year-on-year[34]. - Total assets reached 2,000.38 million yuan, up 51.50% year-on-year[34]. - The net assets attributable to shareholders increased to 1,126.73 million yuan, a rise of 86.72% year-on-year[34]. Dividend and Profit Distribution - The company plans to distribute a cash dividend of 0.60 RMB per 10 shares to all shareholders, based on a total of 215,316,977 shares[5]. - The total distributable profit for the year was 310,258,155.78 yuan, with the cash dividend amounting to 100% of the profit distribution total[99]. - The company reported a cash dividend of 0.60 yuan per 10 shares, totaling 12,919,018.62 yuan, which represents 16.13% of the net profit attributable to shareholders[100]. Strategic Focus and Development - The company is focused on future strategic development, business expansion, and operational planning, although specific numerical forecasts are not provided[5]. - The company has begun small-scale sales of fuel cell components related to new energy vehicles, indicating a strategic shift towards this market[91]. - The company plans to leverage national energy-saving policies and global procurement opportunities to enhance its market position in compressor housing products and expand the sales scale of turbine housing products[88]. - The company aims to invest in R&D for fuel cell components and improve production capabilities, focusing on technological breakthroughs in turbocharger components[89]. - The company is enhancing its management systems, including MES and ERP, to achieve optimized production processes and transparent on-site management[89]. - The company plans to strengthen its talent acquisition and training programs to attract high-quality professionals for automation and new product development[89]. Market Position and Partnerships - The main business focus is on the R&D, production, and sales of key components for turbochargers, with significant partnerships established with major manufacturers like Honeywell and Mitsubishi Heavy Industries[29]. - The company was awarded "Best Supplier of 2018" by Mitsubishi Heavy Industries, highlighting its strong market position[29]. - The company has established long-term stable partnerships with major turbocharger manufacturers, including Honeywell and Mitsubishi Heavy Industries[41]. - The company's products are widely used in engines for major automotive brands such as BMW, Audi, and Toyota[30]. Risks and Challenges - The company acknowledges risks associated with a downturn in the automotive market, which could impact its main products used in turbochargers[90]. - The company's products are primarily used in traditional internal combustion engine vehicles, and the rise of pure electric vehicles poses a risk as they do not require turbochargers[91]. - The company faces uncertainty risks due to potential adverse changes in international trade policies affecting its export markets[92]. - Currency fluctuations in foreign exchange settlements, primarily in USD, EUR, and JPY, pose risks to the company's profitability[92]. Research and Development - Research and development expenses amounted to CNY 44.76 million, accounting for 4.00% of the company's operating revenue[42]. - The company holds 59 invention patents and 85 utility model patents, reflecting its strong R&D capabilities[42]. - The company has initiated nearly 18 R&D projects focusing on key components of turbochargers and hydrogen fuel cells[60]. Corporate Governance and Compliance - The company emphasizes the importance of reading the full annual report and highlights potential investment risks associated with forward-looking statements[5]. - The company has a commitment to transparency and accountability in its financial reporting and corporate governance practices[4]. - The company will comply with the regulations set by the China Securities Regulatory Commission regarding the reduction of shares by shareholders, directors, supervisors, and senior management[103]. - The company has committed to correcting any violations of its promises within the required timeframe set by regulatory authorities[116]. Financial Management and Investments - The company has committed to an investment project for the annual production of 6 million automotive turbocharger compressor housings, with a total investment of CNY 443.209 million, of which CNY 116.707 million has been invested by the end of the reporting period, representing 26.33% of the planned progress[81]. - The company raised a total of 53,237.87 million RMB through the issuance of 53,830,000 shares at a price of 9.89 RMB per share, with a net amount of 44,320.97 million RMB after expenses[80]. - The company has a total of CNY 47.43 million in acceptance bill guarantee deposits[165]. - The company has provided guarantees totaling CNY 20 million to subsidiaries, with an actual occurrence of CNY 18,729,790 during the reporting period[187]. Operational Efficiency - The company maintains a strict supplier audit system for key materials with annual procurement amounts exceeding 6 million yuan[34]. - The total cost of direct materials in the manufacturing sector was ¥427,183,769.77, accounting for 53.62% of the total operating costs, showing a year-on-year increase of 9.44%[57]. - Sales expenses increased by 62.92% to ¥46,808,441.32, primarily due to the growth in sales scale[59]. Shareholder Relations - The company emphasizes the protection of shareholder rights by implementing a cash dividend policy and enhancing communication with investors[197]. - The company has pledged that its controlling shareholders and their related entities will not engage in any form of competition with the issuer and its subsidiaries[117]. - The company has committed to using no less than 10% and no more than 50% of the net profit attributable to shareholders for stock repurchase to stabilize stock prices[124].