SERES(SH:601127)2021-05-18 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥14.30 billion, a decrease of 21.12% compared to ¥18.13 billion in 2019[20]. - The net profit attributable to shareholders was -¥1.73 billion in 2020, a significant decline of 2,690.76% from a profit of ¥66.72 million in 2019[20]. - The cash flow from operating activities showed a net increase of 228.09%, reaching ¥1.09 billion in 2020 compared to ¥331.59 million in 2019[20]. - The company reported a basic earnings per share of -¥1.49 for 2020, down from ¥0.07 in 2019, reflecting a decrease of 2,228.57%[21]. - The total assets decreased by 12.25% to ¥26.27 billion at the end of 2020 from ¥29.94 billion at the end of 2019[20]. - The traditional automotive segment's net profit was -¥528 million in 2020, down from ¥1.00 billion in 2019, a decrease of ¥1.53 billion[22]. - The smart electric vehicle segment reported a net loss of -¥1.20 billion in 2020, increasing the loss by ¥260 million compared to -¥940 million in 2019[22]. - The company achieved total vehicle sales of 274,000 units, a year-on-year decline of 15.9%, while sales of new energy vehicles increased by 123% to 20,000 units[35]. - The company reported a total revenue of CNY 14,302,475,985.44 in 2020, a decrease of 21.12% year-on-year[39]. - The company sold 273,590 vehicles in 2020, a decline of 15.92% year-on-year, while sales of new energy vehicles increased by 123.07% to 20,275 units[39][45]. Risk Management - The company emphasizes the importance of risk awareness regarding future operational plans and performance forecasts[4]. - The company has detailed potential risks in its report, which can be found in the section discussing operational conditions and analysis[6]. - The company faces risks from macroeconomic uncertainties, intensified market competition, and potential supply shortages of raw materials[80]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[5]. - The company has not faced any violations regarding decision-making procedures for external guarantees[5]. Governance and Compliance - The company has a comprehensive governance structure in place, ensuring the accuracy and completeness of its annual report[5]. - The company’s financial report is guaranteed to be true, accurate, and complete by its management team[2]. - The company has established a shareholder return plan for the next three years (2020-2022) to enhance its profit distribution policy[83]. - The company has committed to a minimum net profit of CNY 200 million for 2019, CNY 400 million for 2020, CNY 500 million for 2021, and CNY 500 million for 2022, with compensation obligations if these targets are not met[87]. - The company has a long-term commitment to avoid and reduce related party transactions, ensuring fair and reasonable agreements[88]. Research and Development - The company is focused on developing new energy vehicles and advanced internet technologies for smart connected vehicles[11]. - The company is committed to enhancing its electric vehicle (EV) technology and platforms, including electric range extension technology[9]. - Research and development investment exceeded 12% of sales revenue, focusing on electric and intelligent core technology, including the development of the "Camel" intelligent range extender system[35]. - The company’s R&D expenses increased by 28.49% to CNY 836,979,079.20, reflecting a focus on innovation[41]. - Total R&D investment reached ¥1,820,791,057.97, accounting for 12.73% of operating revenue[51]. Environmental Responsibility - The company achieved a VOCS emission reduction rate of over 90% through the implementation of advanced technologies and the elimination of outdated production equipment[121]. - The company has no environmental violations or administrative penalties as of 2020, maintaining compliance with pollution discharge limits[122]. - The company has established a wastewater treatment station at the Jinkang Factory with a capacity of 1,800 m³/d, ensuring that treated wastewater meets Class A discharge standards[123]. - The company has implemented a wastewater reuse project to reduce wastewater discharge and upgraded painting workshop equipment to lower volatile organic compound emissions[140]. - The company has received honors such as "Excellent Environmental Enterprise" and "Good Environmental Credit Enterprise" for its environmental efforts in 2020[121]. Strategic Partnerships and Market Expansion - The company has formed strategic partnerships with leading ICT companies to enhance its marketing model and provide high-performance, intelligent mobility solutions[34]. - The company has established a strategic cooperation with Dongfeng Motor Corporation to enhance collaboration in R&D, manufacturing, and procurement[37]. - The company is exploring potential acquisition opportunities to further strengthen its market position and diversify its product portfolio[170]. - The company plans to expand its production capacity and invest in new energy vehicle development projects, including a high-performance automotive power battery project with a planned investment of 202.58 million RMB[70]. - The company plans to expand its market presence by entering three new provinces in the upcoming fiscal year, aiming for a 15% increase in market share[167]. Shareholder and Capital Management - The company plans not to distribute cash dividends or increase capital reserves through stock conversion for the fiscal year 2020[3]. - The company reported a net loss of CNY 1,728,591,191.47 for the fiscal year 2020, resulting in no cash dividend distribution[84]. - The company has a remaining unconverted bond amount of CNY 603,816,000, which accounts for 40.25% of the total issued convertible bonds[146]. - The company has a total of 1 billion RMB in receivables for new energy vehicle subsidies as of December 31, 2020[64]. - The company’s board has approved the agreements related to profit commitments and compensation arrangements[92]. Management and Human Resources - The company’s management team is characterized by stability and youthfulness, enhancing operational efficiency and innovation[34]. - The company has a total of 13,238 employees, with 8,654 in production, 656 in sales, and 1,882 in technical roles[185]. - The company implemented 3,096 specialized skill training sessions in 2020, achieving a training coverage rate of 100%[187]. - The management provided a guidance of 10% revenue growth for the next fiscal year, driven by new product launches and market expansion efforts[170]. - The company has established a performance evaluation mechanism for senior management, linking their compensation closely to annual operating performance[198].