Financial Performance - The company's operating revenue for 2021 was ¥767,823,526.07, representing a 33.07% increase compared to ¥577,004,366.40 in 2020[24]. - The net profit attributable to shareholders for 2021 was ¥68,041,091.61, a decrease of 16.93% from ¥81,906,908.09 in 2020[24]. - The net profit after deducting non-recurring gains and losses was ¥58,212,648.93, down 18.27% from ¥71,221,493.69 in 2020[24]. - The net cash flow from operating activities decreased by 63.02% to ¥25,680,245.89 from ¥69,440,957.48 in 2020[24]. - The total assets at the end of 2021 were ¥1,378,617,660.09, a 99.29% increase from ¥691,773,865.12 at the end of 2020[24]. - The net assets attributable to shareholders increased by 150.33% to ¥957,090,918.43 from ¥382,329,736.00 at the end of 2020[24]. - The basic earnings per share for 2021 were ¥1.17, a decrease of 28.66% from ¥1.64 in 2020[24]. - The weighted average return on equity was 10.01%, down from 23.57% in 2020, reflecting a decline of 13.56%[24]. - The company achieved a sales revenue of ¥767,823,526.07, representing a year-on-year growth of 33.07%[76]. - The main business revenue reached ¥759,790,939.78, with a year-on-year increase of 33.12%[76]. - The gross profit margin for household electric appliance components was 18.64%, a decrease of 7.34% from the previous year[87]. Market Dynamics - The company reported a significant reliance on major clients, indicating a high customer concentration risk that could impact operational performance if client relationships change[9]. - The company faces market competition risks due to the rapid evolution of home appliance products, necessitating continuous innovation and development to meet customer demands[6]. - The demand for home appliance components is closely tied to the growth of disposable income and consumer spending in China, which has been steadily increasing[7]. - The company is exposed to market demand fluctuations, particularly if the home appliance industry does not transition to higher-end, smart products as anticipated[8]. - The home appliance industry in China has become a significant pillar of the national economy, with production accounting for over 50% of global output[39]. - The market share of mid-to-high-end home appliances is increasing, driven by consumer demand for energy-efficient, large-capacity products, with a notable rise in the penetration rate of variable frequency white goods[39]. - The trend towards smart home appliances is growing, with future products expected to incorporate artificial intelligence, voice interaction, and interconnectivity among devices[40]. - The company is exploring new consumption models and promoting the replacement of old appliances through various initiatives[38]. - The home appliance industry is expected to continue its rapid growth, contributing to domestic demand expansion and job creation[39]. Product Development and Innovation - The company is actively exploring new markets and product development in emerging sectors such as water purifiers and smart toilets, which present significant growth opportunities[6]. - The company aims to enhance its product offerings by focusing on the development of energy-efficient and environmentally friendly technologies[38]. - The introduction of large-capacity washing machines (e.g., 10KG models) is becoming a primary direction for market development and product upgrades[39]. - The company holds 159 patents, including 4 invention patents, demonstrating strong R&D capabilities in fluid electromagnetic valves and modular components[46]. - The company has developed modular components for washing machines, integrating electromagnetic valves with other waterway accessories, enhancing production efficiency and reducing costs for clients[47]. - The company is actively developing modular components for smart toilets and water purifiers, indicating a diversification of product offerings[48]. - The trend towards modular procurement is expected to be adopted by more home appliance manufacturers, improving assembly efficiency[45]. - The company has established a specialized R&D team for customized development of modular components, responding to evolving customer needs[48]. Strategic Partnerships and Client Relationships - The company has established long-term partnerships with leading manufacturers to ensure product stability and quality, positioning itself favorably in a concentrated market[54]. - The company has established long-term partnerships with major appliance manufacturers such as Haier, Midea, and Panasonic, enhancing its market position[71]. - The company has built long-term relationships with multiple clients, focusing on rapid response to customer needs and high-quality service[200]. Governance and Compliance - The company emphasizes the importance of governance and compliance, ensuring that its operations align with legal and regulatory standards[130]. - The company has a transparent information disclosure policy, ensuring all shareholders have equal access to information through designated media[132]. - The company has established measures to protect the rights of minority shareholders, ensuring they have opportunities to express their opinions[179]. - The company has established a robust internal control system to ensure compliance with accounting laws and standards[136]. - The company reported zero significant defects in financial reporting and non-financial reporting[192]. - The internal control audit concluded that the company maintained effective financial reporting internal controls as of December 31, 2021[193]. Investment and Financial Management - The company raised a total of RMB 626.67 million through its initial public offering, with a net amount of RMB 545.87 million after deducting related issuance costs[113]. - The company plans to use RMB 381.68 million of the raised funds to replace self-raised funds for investment projects[115]. - The company has allocated RMB 31.25 million of the raised funds for permanent working capital supplementation, fully utilized as of December 31, 2021[115]. - The company has RMB 429.39 million of raised funds remaining without specified use as of December 31, 2021[117]. - The company has ongoing projects with a total investment of ¥74,690,200.00, including the establishment of a modular washing machine component production base[110]. Employee and Management Structure - The total number of employees at the end of the reporting period was 1,076, with 813 in the parent company and 263 in major subsidiaries[163]. - The professional composition includes 581 production personnel, 23 sales personnel, 140 technical personnel, 14 financial personnel, 48 administrative personnel, and 270 management personnel[163]. - The educational background of employees shows 116 with a bachelor's degree or above, 153 with a college diploma, and 278 with high school or vocational education[164]. - The company’s management team includes experienced professionals with diverse backgrounds in finance and operations[149]. - The company has maintained a stable leadership team with no significant changes in the past reporting period[149]. Profit Distribution Policy - The company's profit distribution policy emphasizes reasonable returns to investors while ensuring sustainable development, with a focus on cash dividends[173]. - Cash dividends will not exceed 10% of the annual distributable profit, and at least 30% of the average annual distributable profit over three years[174]. - The company did not distribute any cash dividends for the 2021 fiscal year, despite having a positive profit available for distribution, to ensure stable operations and long-term shareholder interests[182]. - The profit distribution plan for 2021 included a capital reserve conversion of 2 shares for every 10 shares held, increasing the total share capital to 80,000,000 shares[181].

浙江宏昌电器科技股份有限公司 2021 年第三季度报告 证券代码：301008 证券简称：宏昌科技 公告编号：2021-040 浙江宏昌电器科技股份有限公司 2021 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 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 浙江宏昌电器科技股份有限公司 2021 年第三季度报告 (二)非经常性损益项目和金额 √ 适用 □ 不适用 单位：元 | 项目 | 本报告期金额 | 年初至报告期期末金 | 说明 | | --- | --- | --- | --- | | | | 额 | | | 非流动资产处置损益（包括已计提资产减值准备 | ...

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 330,152,344.98, representing a 60.36% increase compared to CNY 205,879,980.48 in the same period last year[20]. - The net profit attributable to shareholders of the listed company reached CNY 33,774,078.80, up 41.24% from CNY 23,912,413.34 year-on-year[20]. - The net profit after deducting non-recurring gains and losses was CNY 29,065,829.39, reflecting a 28.23% increase from CNY 22,667,298.90 in the previous year[20]. - The basic earnings per share increased to CNY 0.68, a rise of 41.67% compared to CNY 0.48 in the same period last year[20]. - Total operating revenue for the first half of 2021 reached CNY 330,152,344.98, a 60.3% increase from CNY 205,879,980.48 in the same period of 2020[148]. - Total operating costs amounted to CNY 297,273,811.50, up 63.0% from CNY 182,315,988.30 year-on-year[148]. - Net profit for the first half of 2021 was CNY 33,774,078.80, representing a 41.4% increase compared to CNY 23,912,413.34 in the first half of 2020[149]. - Basic and diluted earnings per share increased to CNY 0.68 from CNY 0.48, reflecting a 41.7% growth[150]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,332,709,172.44, a significant increase of 92.65% from CNY 691,773,865.12 at the end of the previous year[20]. - The total assets of Zhejiang Hongchang Electric Technology Co., Ltd. amounted to RMB 1,332,709,172.44, a significant increase from RMB 691,773,865.12 at the end of 2020, reflecting a growth of approximately 92.8%[140][143]. - The company's total liabilities were RMB 370,731,066.62, compared to RMB 309,444,129.12 at the end of 2020, marking an increase of about 19.8%[142]. - The accounts receivable stood at RMB 207,666,119.18, slightly down from RMB 214,209,515.18 at the end of 2020, showing a decrease of about 3.0%[140]. - Inventory increased to RMB 109,097,924.16 from RMB 75,344,929.67, indicating a growth of approximately 45.0%[141]. Cash Flow - The net cash flow from operating activities was CNY 3,755,068.84, down 71.50% from CNY 13,175,582.31 in the same period last year[20]. - The net cash flow from operating activities for the first half of 2021 was ¥14,313,165.09, an increase from ¥9,860,147.79 in the same period of 2020, reflecting a growth of approximately 45.8%[160]. - The net cash flow from investing activities was -¥33,334,517.86, compared to -¥11,480,436.38 in the previous year, indicating a significant increase in investment outflows[160]. - The net cash flow from financing activities was ¥569,501,137.98, a substantial increase from -¥2,131,710.58 in the first half of 2020, showing a positive shift in financing activities[160]. - Cash and cash equivalents increased significantly by 32,761.74% to ¥549,825,611.57, primarily due to funds raised from the initial public offering[43]. Market and Business Development - The company has established stable long-term partnerships with major appliance manufacturers such as Haier and Midea, enhancing its market position[31]. - The company is actively expanding into new markets, including partnerships with Siemens for washing machine and dishwasher valves[34]. - The market for smart toilet components is on the rise, with retail sales in China growing from $194 million in 2014 to $1.079 billion in 2019, a CAGR of 35.47%[34]. - The company’s modular components generated revenue of 102.71 million yuan, reflecting a year-on-year growth of 36.11%[35]. - The company’s procurement share from major clients like Haier and Midea is increasing annually, indicating strong client relationships[32]. Research and Development - The company's research and development expenses increased by 64.97% to ¥14,595,397.16, primarily due to higher employee compensation and R&D investments[43]. - The design and development cycle for new fluid electromagnetic valves is 4-6 months, allowing the company to respond quickly to customer needs and maintain a competitive edge[37]. - The company holds 153 patents, including 4 invention patents, enhancing its technological advantage[36]. Risks and Challenges - The company faces innovation risks due to the need for continuous technological advancements to meet customer demands for new products and technologies[63]. - The company is exposed to market competition risks, particularly in emerging markets for smart toilets and water purifiers, which require timely product development[66]. - The company faces pricing pressure from downstream customers in the home appliance sector, which may impact future profitability due to potential price reductions[82]. - The company’s receivables represent a significant portion of current assets, which could impact cash flow if not collected promptly[77]. - The company’s inventory value is high relative to current assets, posing a risk of inventory impairment[79]. Shareholder Information - The company plans to distribute a cash dividend of CNY 6 per 10 shares to all shareholders, with no bonus shares issued[5]. - The largest shareholder, Zhejiang Hongchang Holdings, holds 35.37% of the shares, totaling 23,578,550 shares[127]. - The second-largest shareholder, Lu Baohong, owns 15.43% of the shares, amounting to 10,285,700 shares[127]. - The company has a total of 50,000,000 restricted shares before the issuance, which decreased to 75.00% after the issuance[122]. Regulatory and Compliance - The company has established a special account for raised funds and signed tripartite supervision agreements with banks[53]. - The financial statements comply with the requirements of the enterprise accounting standards, reflecting the company's financial position, operating results, and cash flows accurately[179]. - The company’s accounting policies are based on the relevant provisions of the enterprise accounting standards issued by the Ministry of Finance, tailored to its operational characteristics[178].