FRD(SZ:300602)2020-04-27 16:00Financial Performance - The company's operating revenue for 2019 was CNY 2,615,270,806.16, representing a 97.27% increase compared to 2018[34]. - The net profit attributable to shareholders for 2019 was CNY 350,756,386.57, an increase of 115.90% from the previous year[34]. - The net profit after deducting non-recurring gains and losses was CNY 282,472,355.05, reflecting an 88.48% increase year-on-year[34]. - The net cash flow from operating activities reached CNY 316,795,660.76, a significant increase of 419.66% compared to 2018[34]. - Basic earnings per share for 2019 were CNY 1.16, up 114.81% from CNY 0.80 in 2018[34]. - The total assets of the company at the end of 2019 were CNY 3,644,130,292.41, a 94.52% increase from the previous year[37]. - The net assets attributable to shareholders at the end of 2019 were CNY 1,529,213,426.00, representing a 33.26% increase compared to 2018[37]. - The weighted average return on equity for 2019 was 26.27%, an increase of 10.84% from 2018[34]. - The company's total revenue for the four quarters was as follows: Q1: ¥367.31 million, Q2: ¥542.52 million, Q3: ¥764.85 million, Q4: ¥940.59 million, showing a significant increase throughout the year[38]. - The net profit attributable to shareholders for the four quarters was: Q1: ¥40.38 million, Q2: ¥115.46 million, Q3: ¥103.57 million, Q4: ¥91.35 million, indicating fluctuations in profitability[38]. Accounts Receivable and Cash Flow - The net accounts receivable as of December 31, 2019, was 1,165.95 million RMB, accounting for 31.97% of total assets, with a turnover rate of 3.06 times[12]. - The company reported a significant increase in accounts receivable from 402.49 million RMB in 2017 to 1,165.95 million RMB in 2019[12]. - The company has a high proportion of short-term accounts receivable, with 99.23% of accounts aged within one year[12]. - The net cash flow from operating activities varied across the quarters: Q1: ¥104.38 million, Q2: ¥52.74 million, Q3: ¥128.26 million, Q4: ¥31.42 million, highlighting cash flow volatility[38]. - The net cash flow from investing activities decreased by 200.12% to -¥793,210,896.07, attributed to increased equity investments and long-term asset investments[126]. - The net cash flow from financing activities rose by 823.88% to ¥309,410,039.78, driven by increased financing borrowings[126]. Dividends and Shareholder Returns - The company plans to distribute a cash dividend of 1 RMB per 10 shares and to increase capital reserves by 6 shares for every 10 shares held[19]. - The total cash dividend amount is 30,624,165 CNY, which accounts for 8.73% of the net profit attributable to ordinary shareholders[175]. - The cash dividend represents 100% of the total profit distribution amount[170]. - The company has maintained a consistent cash dividend policy over the past three years, with cash dividends of 10,181,000 CNY in 2017, 20,417,800 CNY in 2018, and 30,624,165 CNY in 2019[175]. - The cash dividend for 2019 is based on a net profit of 350,756,386.57 CNY attributable to ordinary shareholders[175]. - The cash dividend distribution plan is subject to approval at the company's annual general meeting[174]. Research and Development - The company has achieved key core technologies such as carbon fiber metallization and conductive silicone formulation through independent research and development[11]. - The company aims to become a leading enterprise in new materials and intelligent manufacturing within the ICT sector, focusing on comprehensive solutions for clients[48]. - The company has developed ultra-thin heat pipes and VC (Vapor Chamber) technology, achieving thicknesses of 0.35mm and 0.3mm respectively, enhancing thermal management capabilities[55]. - The company initiated 31 R&D projects in 2019, resulting in 14 new invention patent applications[90]. - The company has made significant progress in the development of high thermal conductivity interface materials and phase change energy storage materials, which are now in the customer sampling evaluation stage[91]. - The company’s R&D investment in 2019 amounted to ¥128,244,961.12, representing 4.90% of total revenue[122]. Market Position and Strategy - The company is exposed to market competition risks due to the increasing number of enterprises entering the electromagnetic shielding and thermal management materials market[7]. - The company aims to expand its market presence in the automotive electronics and data center sectors, leveraging its traditional advantages in EMI and thermal management materials[63]. - The company anticipates a growing demand for high-performance electromagnetic shielding and thermal materials in the 5G smartphone market, driven by advancements in core chips and RF devices[63]. - The company is actively exploring new industry applications and collaboration opportunities to enhance its product offerings and market reach[67]. - The company has established production bases in Shenzhen, Jiangsu, and Tianjin, with offices in the US and Europe to meet global delivery and response needs[76]. Acquisitions and Investments - The company has engaged Tianzhi International Accounting Firm for auditing services during the reporting period[33]. - The acquisition of Guangdong Bowei Communication enhances the company's antenna design, research and testing capabilities, strengthening its position in the communication industry[66]. - The company has actively engaged in mergers and acquisitions, including the acquisition of Bowei Communication and Runxing Tai, enhancing its antenna design and testing capabilities[94]. - The company invested a total of 416,760,000 in acquisitions, holding stakes in various technology firms, including 51% in Guangdong Bowei Tongxin Technology Co., Ltd. and 55% in Kunshan Pindai Electronics Co., Ltd.[135]. - The company has committed to a total fundraising of 31,621.38 million, with 31,703.41 million already utilized by the end of the reporting period[139]. Corporate Governance and Compliance - The company has not reported any violations of commitments during the reporting period, reflecting strong corporate governance[182]. - The company guarantees that undistributed profits from the year of public offering and previous years will be shared among new and old shareholders after the stock is listed[200]. - The company has committed to repurchase shares if the stock price falls below the audited net asset value per share for 20 consecutive trading days, ensuring compliance with relevant regulations[187]. - The company will ensure that any new directors or senior management comply with the established stock price stabilization commitments[187]. - The company has established a mechanism to stabilize stock prices, which includes convening a board meeting to discuss repurchase plans if necessary[187].