JONHON(002179)2024-03-15 16:00Financial Performance - Revenue for 2023 reached 20.074 billion yuan, a year-on-year increase of 26.75%[3] - Net profit attributable to shareholders of the listed company was 3.339 billion yuan, a year-on-year increase of 22.86%[4] - Revenue for 2023 reached 20.07 billion yuan, a year-on-year increase of 26.75%[15] - Net profit attributable to shareholders in 2023 was 3.34 billion yuan, up 22.86% year-on-year[15] - Operating cash flow surged to 3.09 billion yuan, a 45.79% increase compared to 2022[15] - Basic earnings per share (EPS) for 2023 stood at 1.6163 yuan, a 22.89% rise from the previous year[15] - Total assets at the end of 2023 amounted to 35.57 billion yuan, an 11.75% increase from 2022[16] - Shareholders' equity reached 20.50 billion yuan, marking a 17.78% growth compared to the end of 2022[16] - Q4 2023 revenue was 4.72 billion yuan, with a net profit of 445.58 million yuan[20] - The company's weighted average return on equity (ROE) for 2023 was 17.68%, up 0.86 percentage points from 2022[16] - Net cash flow from operating activities in 2023 was RMB 2,675,529,799.61, a significant increase from RMB -442,585,322.81 in the previous year[21] - Government subsidies received in 2023 amounted to RMB 80,735,184.15, a decrease from RMB 102,367,476.14 in 2022[22] - The total non-recurring profit and loss for 2023 was RMB 94,655,044.69, slightly lower than RMB 95,633,500.07 in 2022[22] - Revenue for 2023 reached 20,074,439,569.16 yuan, a year-on-year increase of 26.75%[35] - Net profit attributable to the parent company was 3,339,290,323.66 yuan, up 22.86% year-on-year[35] - R&D expenses totaled 2,197,255,902.72 yuan, a 37.55% increase compared to the previous year[36] - The connector industry accounted for 98.83% of total revenue, with 19,839,523,111.48 yuan, a 26.76% year-on-year growth[37] - Sales in Mainland China reached 18,957,615,155.37 yuan, representing 94.44% of total revenue and a 28.56% year-on-year increase[37] - The top five customers contributed 8,518,384,692.64 yuan, accounting for 42.43% of total sales[43] - The top five suppliers accounted for 1,241,368,561.25 yuan, representing 12.73% of total procurement[45] - Sales volume in the connector industry was 79,514 million units, a 21.03% year-on-year increase[40] - Production volume in the connector industry was 81,720 million units, up 17.89% year-on-year[40] - Management expenses increased by 46.52% to 1,332,859,645.33 yuan due to the implementation of a restricted stock incentive plan[35] - Sales expenses increased by 27.23% to 533.69 million yuan due to the company's continuous efforts in market expansion and entering new market areas[46] - Management expenses rose by 46.52% to 1.33 billion yuan, primarily due to the increase in amortization of the third phase of the restricted stock incentive plan[46] - R&D expenses grew by 37.55% to 2.20 billion yuan, reflecting the company's commitment to technological innovation and industrial upgrading[46] - The number of R&D personnel increased by 27.31% to 5,859, with the proportion of R&D personnel reaching 33.20% of the total workforce[48] - R&D investment accounted for 10.95% of the company's operating revenue, an increase of 0.86 percentage points compared to the previous year[48] - Operating cash flow increased by 45.79% to 3.09 billion yuan, driven by improved customer credit management and innovative accounts receivable management[49] - Investment cash flow decreased by 59.56% to -2.34 billion yuan due to significant investments in high-end interconnect technology industrial community projects and other infrastructure projects[49] - Accounts receivable increased by 7.96 percentage points to 23.44% of total assets, reflecting rapid growth in operating income[50] - Fixed assets increased by 2.45 percentage points to 12.58% of total assets, indicating ongoing capital expenditure in infrastructure and equipment[51] - Long-term loans increased by 1.51 percentage points to 1.64% of total assets, reflecting the company's financing activities for expansion projects[51] - The company purchased structured deposits amounting to 1,690,000,000.00 yuan, with a cumulative fair value change income of 545,667.46 yuan[52] - The fair value of Lifan Technology (601777.SH) shares held by the company decreased by 63,687.68 yuan, with the ending fair value at 814,292.48 yuan[53] - The total investment amount for the reporting period was 303,389,300.00 yuan, a decrease of 28.63% compared to the same period last year[55] - The cumulative actual investment in the South China Industrial Base project reached 1,433,268,856.68 yuan, with a project progress of 76.73%[56] - The cumulative actual investment in the Basic Components Industrial Park project (Phase I) reached 1,360,995,707.29 yuan, with a project progress of 99.33%[57] - The total investment in the High-end Interconnection Technology Industrial Community project was 255,474,968.77 yuan, with a project progress of 5.15%[57] - The company did not engage in any foreign exchange hedging activities during the reporting period, and a forward settlement contract worth 4,805,310.00 yuan expired[53] - The fair value of financial liabilities decreased by 14,114,135.66 yuan, with the ending balance at 72,143,492.90 yuan[52] - The total restricted assets included 72,393,787.87 yuan in bill deposits and 1,391,254,466.65 yuan in pledged receivables[54] - The company's financial assets and liabilities were measured and reported in accordance with the relevant accounting standards, with no significant changes compared to the previous reporting period[59] - The company's foreign exchange forward contract expired during the reporting period, resulting in a total investment loss of 3.102 million yuan, with a fair value change loss of 4.8053 million yuan recognized in the previous period and an actual gain of 1.7033 million yuan in the current period[61] - The company conducted forward foreign exchange settlement business for hedging purposes, strictly following legal, prudent, and effective principles, with no speculative or arbitrage transactions, and the overall risk is controllable[61] - The company's foreign exchange hedging business is based on the company's foreign currency holdings, with low liquidity risk and low performance risk, as the counterparties are reputable banks[61] - The company has established strict risk control measures for foreign exchange hedging, including internal audit and legal review, and will disclose information in a timely manner if losses reach the disclosure standard[62] - The company's non-public stock issuance in 2021 raised a total of 3.4 billion yuan, with a net amount of 3.3929 billion yuan after deducting issuance costs[65] - As of December 31, 2023, the company's raised funds account balance was 313.3933 million yuan, with 1.30649 billion yuan spent during the year on project construction and working capital[66] - The total committed investment for the Zhonghang Optoelectronic (Guangdong) Co., Ltd. South China Industrial Base Project is RMB 1.1 billion, with an actual investment of RMB 1.1007288 billion, achieving 100.07% of the adjusted investment target[67] - The Zhonghang Optoelectronic Basic Device Industrial Park Project (Phase I) has a committed investment of RMB 1.3 billion, with an actual investment of RMB 1.0644646 billion, reaching 81.88% of the adjusted investment target[67] - The working capital project has a committed investment of RMB 1 billion, with an actual investment of RMB 998.536 million, exceeding the adjusted investment target by 100.57%[67] - The total committed investment for all projects is RMB 3.4 billion, with an actual investment of RMB 3.1637294 billion[67] - The company used RMB 157.2998 million of non-public offering funds to replace self-raised funds pre-invested in the projects, completed in May 2022[68] - The unused raised funds are stored in special accounts for raised funds as of the end of the reporting period[69] - Shenyang Xinghua Aviation Electric Co., Ltd., a subsidiary, reported total assets of RMB 3.01599947298 billion and net profit of RMB 220.59472135 million[71] - Zhonghang Fujitsu Technology Co., Ltd., a subsidiary, reported total assets of RMB 1.37596472455 billion and net profit of RMB 155.42935091 million[71] - Shenzhen Xiangtong Optoelectronics Technology Co., Ltd., a subsidiary, reported total assets of RMB 645.78790274 million and net profit of RMB 51.78132468 million[72] - Qingdao Xinghang Optoelectronics Technology Co., Ltd., a joint venture, reported total assets of RMB 862.32619038 million and net profit of RMB 263.72040066 million[72] - The company's 2023 revenue was 20,074.44 million yuan, a year-on-year increase of 26.75%[190] - The company's financial statements received a standard unqualified audit opinion from Da Hua Certified Public Accountants[189] - Accounts receivable net value is 13.25 billion yuan, accounting for 37.25% of total assets at the end of the period[191] - Expected credit loss for accounts receivable is 406.8 million yuan[191] - Monetary funds decreased from 9.95 billion yuan to 9.89 billion yuan[195] - Accounts receivable increased from 4.93 billion yuan to 8.34 billion yuan[196] - Inventory decreased from 5.42 billion yuan to 4.19 billion yuan[196] - Fixed assets increased from 3.22 billion yuan to 4.47 billion yuan[196] - Total assets increased from 31.83 billion yuan to 35.57 billion yuan[196] - Short-term borrowings increased from 438 million yuan to 606.5 million yuan[196] - Long-term equity investments increased from 237.6 million yuan to 370.6 million yuan[196] - Intangible assets increased from 605.5 million yuan to 784.3 million yuan[196] - Total liabilities increased to 13,555,459,170.82 yuan in 2023, up from 13,327,000,785.56 yuan in the previous year[197] - Total owner's equity rose to 22,014,445,151.45 yuan in 2023, compared to 18,503,189,493.35 yuan in the previous year[198] - Accounts receivable surged to 6,514,496,050.64 yuan in 2023, up from 3,575,889,468.43 yuan in the previous year[199] - Total assets grew to 30,467,380,398.05 yuan in 2023, compared to 27,297,305,329.32 yuan in the previous year[199] - Long-term loans increased significantly to 584,250,000.00 yuan in 2023, up from 40,000,000.00 yuan in the previous year[197] - Inventory decreased to 3,019,946,345.06 yuan in 2023, down from 4,174,192,247.03 yuan in the previous year[199] - Total current liabilities slightly decreased to 12,498,263,739.46 yuan in 2023, compared to 12,640,362,198.95 yuan in the previous year[197] - Retained earnings increased to 9,854,303,950.25 yuan in 2023, up from 7,953,356,039.76 yuan in the previous year[198] - Fixed assets grew to 2,644,363,476.72 yuan in 2023, compared to 2,349,507,454.57 yuan in the previous year[199] - Construction in progress expanded significantly to 1,489,340,996.85 yuan in 2023, up from 426,380,733.99 yuan in the previous year[199] Dividend and Profit Distribution - The company plans to distribute a cash dividend of 6 yuan per 10 shares (tax included) for 2023[2] - 2022 annual profit distribution plan: cash dividend of 5.5 yuan per 10 shares (tax included) and capital reserve transfer of 3 shares per 10 shares, with a total cash dividend of 896,942,688.4 yuan[120] - The company completed the implementation of the 2022 annual equity distribution on May 16, 2023[120] - Cash dividend policy is in compliance with the company's articles of association and shareholder meeting resolutions[121] - Cash dividend amount is RMB 1,271,796,837.60, with a ratio of 100% of total profit distribution[122] - Profit available for distribution is RMB 8,877,423,351.80[122] - The company plans to distribute a cash dividend of RMB 6 per 10 shares (tax included)[122] Strategic Development and Innovation - The company focuses on strategic emerging industries and aims to create a "second growth curve" in 2024[4] - The company emphasizes innovation-driven development to build sustainable competitive advantages[4] - The company aims to achieve stable growth, sustainability, and high-quality development in 2024[4] - The company has strengthened its supply chain collaboration, R&D innovation, and cost control capabilities[3] - The company has set up R&D centers in cities such as Beijing, Shenzhen, and Shanghai to better respond to customer needs[3] - The company has implemented a "industry + region" management model and promotes integrated R&D and sales[3] - The company achieved breakthroughs in high-speed transmission technology, power transmission technology, and fluid transmission technology, with nearly 100 automated production lines invested throughout the year, significantly improving assembly automation rates[30] - The company's new energy intelligent workshop and South China industrial base intelligent storage and logistics projects were put into use, creating replicable and scalable benchmark application scenarios[30] - The company's civil high-end manufacturing business achieved high-speed growth in data centers, oil equipment, and photovoltaic energy storage sectors[30] - The company's new energy vehicle business secured multiple project contracts with mainstream automakers, enhancing its coverage among leading domestic and international customers[30] - The company's international layout accelerated, with the "major customer + regional" market development model implemented, gradually demonstrating the role of a global platform[30] - The company completed the mid-term evaluation and adjustment of its "14th Five-Year Plan," with the first phase of the basic device industrial park and the South China industrial base successfully completed[30] - The company was awarded the "Science and Technology Reform Demonstration Benchmark" and selected as a "World-Class Professional Leading Demonstration Enterprise" by the State-owned Assets Supervision and Administration Commission[31] - The company implemented a refined full-process control model for "two funds" (inventory and accounts receivable), achieving cost control across the entire value chain[31] - The company was recognized as a "2023 Intelligent Manufacturing Demonstration Factory" by the Ministry of Industry and Information Technology, advancing its high-end electrical connector intelligent manufacturing capabilities[33] - The company focused on talent development, intensifying efforts to attract high-level and international talents, and strengthening the construction of leadership and young backbone talent teams[34] - The company plans to optimize its technological innovation system and enhance independent innovation capabilities in 2024[74] - The company aims to strengthen its position as the preferred interconnect solution provider in the defense sector and improve operational quality in communication and industrial businesses[74] - The company will accelerate international business development, focusing on enhancing the operational capabilities of its German and Vietnamese subsidiaries[74] - The company is accelerating capital operations and industrial extension, with plans to complete the relocation of the Basic Devices Industrial Park (Phase I) and the construction of the South China Industrial Base (Phase II)[75] - The company is advancing the construction of high-end interconnect technology industrial communities and civil aircraft and industrial industrial parks[75] - The company is focusing on improving supply chain management efficiency and accelerating the construction of intelligent manufacturing capabilities[76] - The company is addressing group control risks by building a scientific and efficient group operation and control system[76] - The company is enhancing quality risk management to meet higher quality requirements in the context of national "Quality Power" initiatives[76] - The company obtained over 5,100 authorized patents in 2023, focusing on original technology research and achieving continuous R&D and technological breakthroughs[83] International Expansion and Market Development - The company has established branches and subsidiaries in multiple cities including Shenyang, Qingdao, Xi'an, and Shenzhen, and has expanded globally with investments in Germany and Vietnam[3] - The company's international layout accelerated, with the "major customer + regional" market development model implemented, gradually demonstrating the role of a global platform[30] - The company will accelerate international business development, focusing on enhancing the operational capabilities of its German and Vietnamese subsidiaries[74] - The company established subsidiaries in Germany and Vietnam, with specific positioning and strategic goals[79] Industry and Market Trends - China is expected to account for 30.9% of the global connector market in 2023, with sales reaching approximately $25.8 billion[25] - The company has developed over 500 series and 350,000 varieties of connection products, serving industries such as defense, aerospace, and new energy vehicles[26] - Key product lines include high-speed connectors, RF coaxial connectors, and fiber optic connectors, used in defense, data centers, and medical equipment[27] - The company's fluid connection products are primarily used in defense, data centers, and high-end equipment manufacturing[28] - The company employs a "sales-to-production" model, with production plans based on customer orders and market forecasts