Financial Performance - The company's operating revenue for 2020 was CNY 1,161,196,944.35, representing a year-on-year increase of 5.88% compared to CNY 1,096,661,213.25 in 2019[18]. - The net profit attributable to shareholders of the listed company was CNY 72,990,296.57, a decrease of 3.02% from CNY 75,260,236.17 in the previous year[18]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 62,515,432.94, down 5.45% from CNY 66,119,353.59 in 2019[18]. - The net cash flow from operating activities was CNY 68,696,701.67, a decrease of 7.88% compared to CNY 74,572,834.51 in the previous year[18]. - The total assets at the end of 2020 amounted to CNY 1,022,341,797.13, an increase of 71.59% from CNY 595,803,582.14 at the end of 2019[18]. - The net assets attributable to shareholders of the listed company were CNY 780,906,046.23, up 121.81% from CNY 352,058,627.70 in the previous year[18]. - The basic earnings per share for 2020 were CNY 0.79, a decrease of 3.66% from CNY 0.82 in 2019[18]. - The diluted earnings per share were also CNY 0.79, reflecting the same decrease of 3.66% from the previous year[18]. - The weighted average return on net assets was 18.79%, down from 23.94% in 2019, indicating a decline of 5.15%[18]. Revenue Breakdown - Revenue from the digital communication cable industry was ¥1,113,937,872.41, accounting for 95.93% of total revenue, with a year-on-year growth of 6.07%[59]. - The revenue from 6A and above data communication cables increased by 18.89% to ¥130,194,822.42, while revenue from 6 and below data communication cables decreased by 0.73% to ¥866,790,900.28[57]. - Domestic revenue reached ¥596,989,934.70, a 13.15% increase from the previous year, while overseas revenue slightly decreased by 0.85% to ¥564,207,009.65[57]. - The gross profit margin for the digital communication cable industry was 15.82%, down from 17.96% in the previous year, with operating costs increasing by 8.84%[59]. - Sales volume of digital communication cables reached 866,118.91 kilometers, a 3.85% increase from 2019, while production volume was 889,097.67 kilometers, up 7.15%[60]. Research and Development - R&D investment totaled 44.02 million yuan, increasing by 5.93% year-on-year, focusing on advanced products like CAT8.2 high-speed data cables and 400G-QSFP-DD high-speed components[52]. - The company has developed high-speed transmission cables capable of supporting data transmission rates of up to 400 Gbps, catering to the needs of large and super data centers[28]. - The company has a dedicated R&D department focused on improving product stability and production efficiency, responding to increasing performance requirements from downstream customers[32]. - The company has established strategic partnerships with renowned research institutions, enhancing its technology innovation and product system[47]. - The number of R&D personnel increased to 137, representing 13.82% of the total workforce[68]. Market Presence and Sales Strategy - The company has a strong presence in both domestic and international markets, with sales covering regions including Europe, North America, and Southeast Asia[28]. - The company primarily adopts a direct sales model, establishing dedicated sales teams based on customer and product categories[33]. - The company has maintained long-term stable relationships with major domestic and international clients, leveraging its product quality and diverse design capabilities to expand its market presence[34]. - The digital communication cable industry is experiencing continuous growth due to increased investments in electronic information, internet, and communication sectors, particularly in IoT and 5G construction[34]. Cash Management and Dividends - The company plans to distribute a cash dividend of CNY 1.20 per 10 shares to all shareholders, based on a total of 122,500,000 shares[4]. - The cash dividend payout ratio for 2020 was 20.14% of the consolidated net profit[128]. - The company emphasizes the importance of cash dividends, aiming for a minimum of 80% of profits to be distributed as cash dividends during mature phases without major capital expenditures[111]. - The company’s profit distribution policy is designed to ensure reasonable returns for shareholders while maintaining operational sustainability[111]. IPO and Fundraising - The company successfully listed on the Shenzhen Stock Exchange's Growth Enterprise Market on December 7, 2020, raising a total of 404.56 million yuan[53]. - The total amount of funds raised in the initial public offering (IPO) was RMB 404,556,250, with a net amount of RMB 355,857,121 after deducting related issuance costs[82]. - As of December 31, 2020, the company had used RMB 90,148,700 of the raised funds, with RMB 14,722,900 directly invested in projects and RMB 75,425,800 for project pre-investment and replacement[83]. Risk Management - The company faces risks related to customer concentration, with the top five customers accounting for an increasing share of sales revenue[104]. - The company is exposed to raw material price fluctuations, particularly copper, which can impact gross margins despite a pricing model that transfers some risk to downstream customers[105]. - The company plans to strengthen accounts receivable management to address potential collection risks, despite currently having a favorable collection situation[105]. - The company anticipates pressure on overseas business demand due to the ongoing global pandemic, which may adversely affect operational performance[106]. Compliance and Governance - The company has committed to fulfilling all public commitments made during its initial public offering and listing on the Growth Enterprise Market, actively accepting social supervision[164]. - The company will take legal responsibility for any false statements or omissions in the prospectus, ensuring the accuracy and completeness of disclosed information[162]. - The company has established measures to ensure that any profits from unfulfilled commitments will be returned to the company for compensation purposes[167]. - The company has committed to reducing salaries, bonuses, and allowances to fulfill unfulfilled commitments or compensate for losses[167].

Financial Performance - The company's operating revenue for Q1 2021 was CNY 314,798,665.92, representing a 57.94% increase compared to CNY 199,312,463.98 in the same period last year[7]. - Net profit attributable to shareholders for Q1 2021 was CNY 19,657,633.60, up 37.06% from CNY 14,342,422.51 year-on-year[7]. - The net profit after deducting non-recurring gains and losses was CNY 14,518,019.03, reflecting a 38.56% increase from CNY 10,477,590.17 in the previous year[7]. - The basic earnings per share for Q1 2021 was CNY 0.1605, a 2.82% increase from CNY 0.1561 in the same period last year[7]. - The company reported a total profit for the period of CNY 21,184,571.38, compared to CNY 15,339,895.00 in Q1 2020, indicating an increase of approximately 38.2%[69]. - The company's operating profit was CNY 20,852,139.89, an increase from CNY 17,526,756.37 in the same quarter last year, representing a growth of about 18.5%[69]. - The total comprehensive income attributable to the parent company's owners was CNY 19,657,633.60, compared to CNY 14,342,422.51 in Q1 2020, marking an increase of about 37.5%[69]. Cash Flow and Assets - The net cash flow from operating activities decreased by 14.36% to CNY 28,258,924.77, down from CNY 32,996,526.78 in the same period last year[7]. - Cash and cash equivalents decreased by 60.03% to 129,510,741.27 due to significant investments in financial products[23]. - The total assets at the end of the reporting period were CNY 969,610,408.32, a decrease of 5.16% from CNY 1,022,341,797.13 at the end of the previous year[7]. - Total current assets decreased to CNY 703,72 million from CNY 771.60 million, a reduction of approximately 8.8%[51]. - The company's cash and cash equivalents were CNY 122,257,626.23, compared to CNY 317,128,560.48 in the previous period, indicating a significant decrease of approximately 61.5%[58]. - The ending balance of cash and cash equivalents was CNY 99,473,876.23, down from CNY 37,996,215.31 in the previous period[83]. Liabilities and Equity - The total liabilities as of March 31, 2021, were CNY 157,422,864.70, down from CNY 233,315,259.17, showing a reduction of about 32.5%[61]. - The company's total equity increased to CNY 800.56 million from CNY 780.91 million, an increase of about 2.4%[57]. - The company reported a total liability of CNY 169.05 million, down from CNY 241.44 million, reflecting a decrease of approximately 29.9%[55]. Operational Costs and Expenses - The company’s operating costs rose by 63.61% to 276,006,650.74, correlating with the increase in sales revenue[23]. - Total operating costs for the first quarter of 2021 amounted to CNY 301,465,938.87, compared to CNY 192,728,108.09 in the previous year, indicating a year-over-year increase of about 56.4%[65]. - The company reported a decrease in financial expenses, with interest expenses of CNY 388,906.78 compared to CNY 1,681,803.25 in the previous year, indicating a reduction of approximately 77.9%[70]. Investments and R&D - The company will continue to invest heavily in R&D to meet the rapid technological advancements and product demands in downstream industries[29]. - Research and development expenses for Q1 2021 amounted to CNY 11,747,087.39, compared to CNY 10,270,076.84 in the previous year, showing an increase of approximately 14.4%[70]. - The company has committed to a project to expand annual production capacity of data cables to 350,000 kilometers, with a total investment of 17,017.96 million CNY[37]. Market and Strategic Plans - The company plans to strengthen its marketing team and expand its domestic and international market presence to mitigate customer concentration risks[28]. - The company is focusing on enhancing its marketing team and adopting flexible sales methods to improve competitiveness[35]. - The company plans to focus on expanding its market presence and investing in new product development to drive future growth[65]. Risks and Challenges - The company has a high proportion of accounts receivable relative to current assets, which poses a risk despite good collection performance[31]. - The company has a significant overseas business, primarily settled in USD, which exposes it to foreign exchange risks[30]. - The main raw material for the company's products is copper, with procurement prices closely linked to domestic market benchmark copper prices, which are subject to significant fluctuations[30]. - The company plans to strengthen strategic cooperation with suppliers and optimize the supplier structure to mitigate raw material price fluctuation risks[30]. - The company has reported that the impact of the COVID-19 pandemic on its operations has been minimal, but international demand may face pressure due to ongoing global pandemic conditions[31].