KAIFA(000021)2023-08-29 16:00Revenue and Profit Performance - Revenue for the reporting period was RMB 7,740,568,953.87, a 2.50% increase compared to the same period last year[13] - Revenue for the reporting period reached 7.741 billion yuan, a year-on-year increase of 2.50%[24] - Revenue increased by 2.50% to RMB 7,740,568,953.87 compared to the same period last year[31] - Total operating revenue for the reporting period was 7,740,568,953.87 yuan, a year-on-year increase of 2.50%[32] - Revenue for the first half of 2023 increased to RMB 7,740,568,953.87, up 2.5% compared to RMB 7,551,628,982.81 in the same period last year[111] - Net profit attributable to shareholders of the listed company was RMB 296,838,347.28, a decrease of 34.86% year-on-year[13] - Operating profit for the reporting period was 464 million yuan, a year-on-year decrease of 15.92%[24] - Net profit attributable to the parent company, excluding non-recurring gains and losses, was 265 million yuan, a year-on-year increase of 15.61%[24] - Net profit for the first half of 2023 decreased to RMB 366,303,121.90, down 20.5% compared to RMB 460,539,514.96 in the same period last year[111] - The parent company's net loss for the first half of 2023 was RMB 65,095,920.62, compared to a net profit of RMB 122,412,695.65 in the same period last year[112] Cash Flow and Financial Position - Net cash flow from operating activities was RMB 1,550,099,162.44, a significant increase of RMB 1,656,431,076.65 compared to the same period last year[13] - Operating cash flow increased by 1,557.79% to RMB 1,550,099,162.44 due to reduced cash payments for goods[31] - Operating cash flow from activities increased significantly to 1,550,099,162.44 RMB, compared to a negative -106,331,914.21 RMB in the previous period[113] - Parent company's operating cash flow from activities was 1,588,142,720.22 RMB, up from 416,498,679.48 RMB[114] - Total assets at the end of the reporting period were RMB 28,020,043,681.95, a 0.74% increase compared to the end of the previous year[13] - Equity attributable to shareholders of the listed company was RMB 10,407,233,264.63, a 0.86% increase compared to the end of the previous year[13] - Total assets increased to RMB 280.20 billion as of June 30, 2023, compared to RMB 278.13 billion at the end of 2022[107] - Cash and cash equivalents rose to RMB 9.34 billion, up from RMB 8.90 billion at the end of 2022[107] - Accounts receivable increased to RMB 3.12 billion, up from RMB 2.67 billion at the end of 2022[107] - Inventory decreased to RMB 3.35 billion, down from RMB 4.52 billion at the end of 2022[107] - Total liabilities decreased slightly to RMB 159.13 billion, compared to RMB 158.51 billion at the end of 2022[108] - Shareholders' equity increased to RMB 121.07 billion, up from RMB 119.62 billion at the end of 2022[108] Business Segments and Regional Performance - Revenue from the storage semiconductor business decreased by 11.16% to 1,358,761,721.76 yuan[32] - Revenue from metering intelligent terminals increased by 103.28% to 1,300,169,974.54 yuan[32] - Revenue from high-end manufacturing decreased by 5.09% to 5,038,798,417.08 yuan[32] - Revenue from the Asia-Pacific region (excluding China) increased by 11.21% to 3,676,749,980.84 yuan[32] - The company's semiconductor packaging and testing business saw stable demand from key clients and an increase in orders compared to the same period last year[25] - The company's Hefei Peitong Storage facility has successfully completed small-scale trial production of the Bumping project[25] - The company's smart metering products have been deployed in over 40 countries, serving more than 80 energy companies with over 84 million units[28] - The company's Malaysia factory completed the establishment and certification of the IATF16949 system[28] Costs and Expenses - Operating costs decreased by 2.36% to RMB 6,658,737,993.87[31] - Sales expenses increased by 58.07% to RMB 60,255,786.15 due to higher commissions and bidding service fees[31] - Financial expenses decreased by 101.86% to RMB 9,113,834.03 due to reduced gains from derivative settlements[31] - Sales expenses for the first half of 2023 increased to RMB 60,255,786.15, up 58.1% compared to RMB 38,119,344.26 in the same period last year[111] - R&D expenses for the first half of 2023 increased to RMB 173,204,370.18, up 3.8% compared to RMB 166,844,813.85 in the same period last year[111] - The parent company's R&D expenses for the first half of 2023 increased to RMB 16,617,176.04, up 32.4% compared to RMB 12,546,881.61 in the same period last year[112] Investments and Financial Instruments - The fair value change of derivative financial assets during the reporting period was -20,155,348.71 RMB[39] - The fair value change of other equity instrument investments during the reporting period was -57,420,035.00 RMB, with a cumulative fair value change of 512,750,695.94 RMB[39] - The total investment amount in the reporting period was 3,620,000.00 RMB, a decrease of 98.08% compared to the same period last year[42] - The company held equity investments in other listed companies, including 3.88% stake in Jierong Technology with an initial investment of 17.82 million RMB and a book value of 102.16 million RMB at the end of the period[50] - The company held a 2.29% stake in Lihexing with an initial investment of 19.99 million RMB, which decreased to 1.31% by the end of the period, with a book value of 43.70 million RMB[50] - The company held a 1.26% stake in Zhenhua New Materials with an initial investment of 56.00 million RMB and a book value of 172.42 million RMB at the end of the period[50] - Total equity investments in other listed companies amounted to 93.81 million RMB, with a total book value of 318.29 million RMB and a reported loss of 32.70 million RMB[50] Subsidiaries and Regional Performance - Shenzhen Hong Kong's net profit decreased by 253 million yuan year-on-year, mainly due to a decrease in financial derivatives income compared to the same period last year[58] - Shenzhen Suzhou's net profit increased by 72 million yuan year-on-year, primarily due to a reduction in exchange losses compared to the same period last year[58] - Shenzhen Chengdu's net profit increased by 187 million yuan year-on-year, driven by growth in the smart metering terminal business compared to the same period last year[58] - Shenzhen Dongguan's net profit increased by 71 million yuan year-on-year, mainly due to a reduction in exchange losses compared to the same period last year[58] - Shenzhen Precision's net profit decreased by 36 million yuan year-on-year, primarily due to a decline in main business operations compared to the same period last year[59] - Shenzhen Malaysia's net profit increased by 80 million yuan year-on-year, driven by growth in main business operations compared to the same period last year[59] Environmental and Social Responsibility - Shenzhen Kaifa Technology Precision's wastewater treatment system achieved a comprehensive emission reduction of over 5%, with pollutant concentrations far below environmental requirements[73] - Shenzhen Kaifa Technology Precision's latest pollution discharge permit was issued on December 2, 2022, and is valid until December 1, 2027[72] - The company's total emissions of suspended solids, chemical oxygen demand, total phosphorus, ammonia nitrogen, and total nitrogen were 0.782 tons, 3.179 tons, 0.002 tons, 0.009 tons, and 0.172 tons respectively in the first half of 2023[73] - Shenzhen Kaifa Technology Precision passed ISO14001 and ISO45001 certifications and received the Guangdong Province Environmental Protection Excellent Demonstration Project award in 2007[76] - The company's environmental emergency response plan has been filed and is effective since January 2021 (filing number: 440306-2021-0001-L)[74] - Shenzhen Kaifa Technology Precision conducts daily self-monitoring of wastewater and monthly third-party monitoring, with all results meeting standards[74] - The company reported no significant environmental penalties or violations during the reporting period[75] - Shenzhen Kaifa Technology Precision has been continuously engaged in clean production and passed the Guangdong Clean Production Association's acceptance[76] Legal and Related-Party Transactions - The company is involved in 3 litigation cases with a total amount of 20.3555 million yuan, of which 3.74 million yuan has not yet received an effective judgment, accounting for 0.036% of the company's latest audited net assets[81] - The total amount of daily related-party transactions in the first half of 2023 was RMB 6,568.93 million, accounting for a small proportion of the total transactions[83] - The actual amount of procurement-related daily related-party transactions in the first half of 2023 was RMB 1,601.48 million, which is 16.14% of the annual estimated amount of RMB 9,920.00 million[83] - The actual amount of sales-related daily related-party transactions in the first half of 2023 was RMB 3,779.57 million, which is 38.57% of the annual estimated amount of RMB 9,800.00 million[83] - The actual amount of labor-related daily related-party transactions in the first half of 2023 was RMB 468.06 million, which is 16.14% of the annual estimated amount of RMB 2,900.00 million[83] - The actual amount of lease-related daily related-party transactions in the first half of 2023 was RMB 784.83 million, which is 19.37% of the annual estimated amount of RMB 4,051.43 million[83] Guarantees and Credit Facilities - The total approved external guarantee amount during the reporting period is 0, while the actual external guarantee amount is 3,840.00 million yuan[89] - The total approved external guarantee amount at the end of the reporting period is 28,800.00 million yuan, with an actual external guarantee balance of 25,440.00 million yuan[89] - The company provided a guarantee of 24,000.00 million yuan to Shenzhen Technology Suzhou on September 22, 2022, with a guarantee period until September 21, 2023[89] - Shenzhen Technology Suzhou received a guarantee of 40,000.00 million yuan on April 21, 2023, with a guarantee period until April 20, 2025[89] - Shenzhen Technology Dongguan received a guarantee of 50,000.00 million yuan on June 6, 2022, with a guarantee period until June 5, 2024[89] - Shenzhen Technology Chengdu received a guarantee of 59,000.00 million yuan on October 8, 2022, with a guarantee period until September 14, 2023[89] - Shenzhen Technology Precision received a guarantee of 1,000.00 million yuan on May 5, 2023, with a guarantee period until December 25, 2023[89] - The company provided a guarantee of 30,000.00 million yuan to Shenzhen Technology Dongguan on February 28, 2023, with a guarantee period until December 9, 2023[89] - Shenzhen Technology Suzhou received a guarantee of 35,000.00 million yuan on May 23, 2022, with a guarantee period until May 22, 2024[89] - Shenzhen Technology Chengdu received a guarantee of 14,451.60 million yuan on June 25, 2023, with a guarantee period until June 24, 2024[89] - The company's total approved guarantee amount for subsidiaries during the reporting period was RMB 825 million, with actual guarantees issued amounting to RMB 265.45 million[90] - The total approved guarantee amount for subsidiaries at the end of the reporting period was RMB 1.718 billion, with actual guarantee balances totaling RMB 369.98 million[90] - The company's total actual guarantee balance accounted for 38% of its net assets[90] - The company's subsidiaries secured significant credit facilities, including RMB 1 billion for Shenzhen Kaifa Dongguan and RMB 500 million for Shenzhen Kaifa Suzhou[92][93] - Shenzhen Kaifa Chengdu raised RMB 11.5 million through a private placement on the New Third Board to enhance its capital scale and risk resistance[94] - The company's subsidiaries obtained various credit lines, including USD 65 million for Shenzhen Kaifa Chengdu and RMB 500 million for Shenzhen Kaifa Dongguan[93] - The company's total approved guarantee amount for the reporting period was RMB 935 million, with actual guarantees issued amounting to RMB 269.29 million[90] - The company's subsidiaries secured credit facilities totaling RMB 2 billion from Bank of China and RMB 3 billion from China Construction Bank[92][93] - Shenzhen Kaifa Chengdu officially listed on the New Third Board on January 10, 2023, following approval from the National Equities Exchange and Quotations[94] - The company's subsidiaries obtained credit facilities totaling RMB 3.5 billion from HSBC and RMB 2 billion from Bank of China[92][93] Shareholder and Equity Information - Total shares outstanding remain unchanged at 1,560,587,588 shares, with 99.96% being unrestricted shares[96] - China Electronics Limited holds the largest stake at 34.51% with 538,558,777 shares[98] - Bo Xu (Hong Kong) Limited holds the second-largest stake at 5.61% with 87,487,217 shares[98] - Hong Kong Securities Clearing Company Limited holds a 1.74% stake with 27,114,441 shares[98] - The top 10 shareholders collectively hold a significant portion of the company's shares, with no changes reported in their holdings during the reporting period[98][102] - No changes in the holdings of directors, supervisors, and senior management during the reporting period[103] - The company's controlling shareholder and actual controller remained unchanged during the reporting period[103] - The company did not issue any preferred shares during the reporting period[104] - The semi-annual financial report was not audited[104] Industry and Market Trends - Global semiconductor industry sales in May 2023 were 40.7 billion USD, a year-on-year decrease of 21.1%[20] - DRAM average contract prices in Q2 2023 decreased by 13-18%, with expected price declines in Q3 2023 narrowing to 0-5%[20] - NAND Flash prices are expected to continue declining by 3-8% in Q3 2023[20] - The global smart grid market size is predicted to exceed 70 billion USD in 2023[21] - The advanced packaging market revenue in 2022 was 44.3 billion USD, projected to reach 78.6 billion USD by 2028 with a CAGR of 10.6%[20] Future Strategies and Development Plans - The company plans to focus on three main business strategies: storage semiconductors, high-end manufacturing, and smart metering terminals, aiming for high-quality development[60] - The company will expand high-quality production capacity, enhance R&D capabilities, and strengthen partnerships with key clients in the storage semiconductor industry[60] - In the high-end manufacturing sector, the company will leverage digital technology to accelerate design capabilities and focus on high-value-added business segments[60] - The company will capitalize on opportunities in the global smart energy system construction and expand its presence in Central Asia and the Middle East for smart metering terminals[60] - The company completed the registration of the first grant of stock options under the 2022 Stock Option Incentive Plan on July 12, 2023, which aims to enhance the sense of responsibility and mission of core management and key personnel for the company's sustainable development[69]