CHERVON-AUTO(603982)2023-04-21 16:00Financial Performance - The company's operating revenue for 2022 was CNY 1,744,540,675.89, representing an increase of 8.03% compared to CNY 1,614,885,555.25 in 2021[21]. - The net profit attributable to shareholders of the listed company for 2022 was a loss of CNY 154,345,174.56, a decrease of 226.64% compared to a profit of CNY 121,872,353.77 in 2021[22]. - The total assets at the end of 2022 were CNY 6,291,047,374.19, an increase of 80.26% from CNY 3,490,020,601.66 at the end of 2021[22]. - The net cash flow from operating activities for 2022 was a negative CNY 527,473,199.92, compared to a negative CNY 105,088,856.41 in 2021[22]. - The company's net assets attributable to shareholders at the end of 2022 were CNY 2,852,474,612.28, an increase of 55.58% from CNY 1,833,409,389.68 at the end of 2021[22]. - Basic earnings per share decreased to -0.7499 yuan, a decline of 223.24% compared to the previous year[23]. - The weighted average return on equity fell to -8.34%, a decrease of 15.69 percentage points year-on-year[23]. - Operating costs rose to 1.582 billion RMB, reflecting a year-on-year increase of 23.72%[49]. - The company reported a net profit of 262,762,602.93 RMB, a decrease of 39.18% compared to the previous year's profit of 432,012,958.65 RMB[77]. Revenue Growth and Business Transition - The company achieved total operating revenue of RMB 1.745 billion in 2022, representing an 8.03% increase compared to the previous year[31]. - The sales revenue from new energy vehicle components reached RMB 645 million, marking a 99% year-on-year growth and accounting for 37% of total revenue[31]. - The company's new energy business revenue share increased from 20% in 2021 to 37% in 2022, with expectations for further growth in 2023[34]. - The company is transitioning from traditional automotive components to new energy vehicle components, indicating a strategic shift in its business model[31]. - The company achieved mass production of single motor housings for well-known North American OEMs and tier 1 clients, with dual motor housings expected to become a significant growth driver due to their higher unit value[32]. - The company is actively developing large-scale die-casting technology, focusing on "multi-in-one" aluminum die-casting parts for new energy vehicles[44]. Research and Development - Research and development expenses surged as the company invested in enhancing its core competitiveness[31]. - The company invested approximately RMB 172.47 million in R&D in 2022, accounting for 9.89% of total revenue, focusing on integrated die-casting technology[34]. - The company has established a research and production base in Hungary to capitalize on the growth of the European electric vehicle market[48]. - The company is focused on enhancing its R&D investment in new energy vehicle components, focusing on key products like the three-electric shell and automatic transmission valve body[107]. Corporate Governance and Management - The company has established a new management team following the board and executive restructuring in November 2022, aiming to enhance value creation for shareholders[36]. - The board of directors has been reduced from 9 to 7 members, with 3 independent directors[117]. - The company has established four specialized committees under the board: Strategy Committee, Audit Committee, Nomination Committee, and Compensation and Assessment Committee[117]. - The company has committed to improving its corporate governance structure in compliance with relevant laws and regulations[118]. - The management team has diligently fulfilled their responsibilities as per the company’s regulations and governance framework[117]. Environmental Responsibility - The company is classified as a key pollutant discharge unit, primarily generating waste gas and wastewater during production[175]. - The highest concentration of nitrogen oxides emitted was 40 mg/m3, well below the standard limit of 180 mg/m3[177]. - The company’s wastewater treatment system ensures that chemical oxygen demand is maintained at 387 mg/L, below the standard limit of 500 mg/L[178]. - The company achieved a carbon emission reduction of 2,115 tons through the use of clean energy and energy-saving technologies in 2022[186]. - The company has been certified under the ISO 14001 environmental management system, ensuring compliance with environmental regulations[185]. Shareholder Engagement and Financial Strategy - The company plans not to distribute cash dividends or issue bonus shares for the 2022 fiscal year[5]. - The cash dividend policy stipulates that at least 30% of the average distributable profit over the last three years should be distributed in cash if conditions are met[160]. - The company has implemented a stock incentive plan for 2022, aimed at aligning employee interests with company performance[143]. - The company is actively engaging in stock repurchase plans as part of its employee incentive strategies[165]. - The company completed the repurchase and cancellation of 211,568 restricted stocks, which included 49,040 shares from a departing employee and 162,528 shares that did not meet the release conditions[165]. Market Trends and Industry Outlook - The domestic passenger car market saw production and sales of 23.84 million units in 2022, with new energy vehicles experiencing a 96.9% increase in production[38]. - The penetration rate of new energy vehicles in China reached 25.6% in 2022, indicating a strong growth trend in the new energy vehicle sector[100]. - The automotive parts industry in China is expected to grow significantly, with the automotive industry being a pillar of the national economy and the per capita car ownership still below the global average[99]. - The company anticipates continued growth in the new energy vehicle sector, driven by increased production and collaboration with leading manufacturers[54].