SHENGYI ELECTRONICS CO.(688183)2024-03-27 16:00Financial Performance - The company reported a net loss attributable to shareholders of 24.993632 million yuan for 2023, with the parent company experiencing a net loss of 52.008333 million yuan[5]. - The profit distribution plan for 2023 includes no cash dividends, no bonus shares, and no capital reserve conversion, with all undistributed profits carried forward to the next period[5]. - The company's operating revenue for 2023 was approximately ¥3.27 billion, a decrease of 7.40% compared to ¥3.53 billion in 2022[23]. - The net profit attributable to shareholders of the listed company was a loss of approximately ¥25 million in 2023, compared to a profit of ¥312 million in 2022[23]. - The cash flow from operating activities decreased by 41.79% to approximately ¥431 million in 2023 from ¥741 million in 2022[23]. - The basic earnings per share for 2023 was -¥0.03, down from ¥0.38 in 2022[24]. - The company's total assets decreased by 9.73% to approximately ¥6.28 billion in 2023 from ¥6.96 billion in 2022[23]. - The company's gross profit margin declined significantly due to decreased product prices and underutilization of production capacity[24]. - The company experienced a substantial decline in net profit, leading to a loss attributed to increased competition and demand drop in the PCB market[24]. - The company's cash flow from financing activities decreased due to reduced cash received from borrowings and increased cash payments for debt repayment[107]. Market and Competitive Landscape - The overall gross margin of the company's products has significantly decreased due to a decline in PCB product prices in the communications sector, which was impacted by reduced demand and intensified competition[9]. - The company’s PCB products primarily focus on communications, servers, and automotive electronics, with a notable price drop in the communications sector[9]. - The company is focusing on maintaining market share through price adjustments in response to industry challenges[24]. - The company plans to enhance its market share in the automotive electronics sector by increasing investments in specialized production lines[60]. - The company has established new offices in East China and hired foreign employees to enhance market penetration and respond quickly to customer needs[33]. - The company is actively collaborating with clients on the development of PCB products for 5.5G, 6G, and satellite communications, with mass production expected in 2024[54]. - The company has identified communication infrastructure, servers, automotive electronics, and smart terminals as key growth drivers for the PCB industry in the long term[139]. Research and Development - Research and development expenses accounted for 5.89% of operating revenue in 2023, an increase of 0.36 percentage points from 5.53% in 2022[24]. - The company has filed 69 new invention patents and obtained 14 new patents in 2023, enhancing its technological competitiveness[67]. - The company published 15 technical papers in core academic journals during 2023[74]. - The company is involved in a major research project on "Ka-band transceiver phased array antenna and chip development," supported by the National Key R&D Program, with implementation ongoing until December 2024[70]. - The company has completed research on multi-layer special material laminated printed circuit boards for Sub 6G AAU products, with a total investment of 12.74 million spent in the current period, improving market competitiveness in the AAU field[81]. - The company has invested 50 million in R&D for new technologies, focusing on sustainable solutions[158]. Governance and Management - The company has established a comprehensive governance structure, including independent directors and various committees, to enhance operational efficiency[146]. - The company held its first extraordinary shareholders' meeting in 2023 on May 22, successfully electing a new board of directors and supervisory board[147]. - The company has revised its governance documents to align with regulatory requirements and improve management practices[147]. - The company has established several specialized committees, including the Audit Committee, Nomination Committee, Compensation and Assessment Committee, and Strategic Committee[175]. - The company has implemented a cash management plan for idle raised funds, which was approved by the Audit Committee[175]. - The company has appointed new executives, including a General Manager and a Financial Director, during the first board meeting on May 22, 2023[173]. Environmental and Sustainability Efforts - The company has been recognized as a national-level green factory in 2023, reflecting its commitment to sustainable development and energy management[93]. - The company reported a total of 1.438 tons of sulfur dioxide emissions, which is compliant with the relevant discharge standards[198]. - The company’s wastewater treatment facilities operated effectively during the reporting period, ensuring compliant discharge[200]. - The company has invested 47.6558 million yuan in environmental protection funds during the reporting period[195]. - The company’s environmental protection mechanisms are in place and operational, demonstrating commitment to sustainability[195]. Future Outlook and Strategic Plans - The company plans to invest approximately 100 million in establishing a new PCB production base in Thailand, including land acquisition and fixed asset construction[142]. - The company aims to focus on high-end applications in the PCB industry, emphasizing high precision, high density, and high reliability in its products[140]. - The company plans to continue increasing investment in research and development to enhance its innovation capabilities and support the development of core technologies and new products[153]. - The company has set a revenue guidance of 1.5 billion RMB for the next fiscal year, indicating a growth target of 25%[160]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2024[160].