SERES(SH:601127)2024-04-29 13:13Financial Performance - In 2023, the company reported a net profit attributable to shareholders of the listed company as negative for 2023, thus not qualifying for cash dividends or stock bonuses[4]. - The net profit attributable to ordinary shareholders in the consolidated financial statements for the year was -2,449,687,107.34 RMB[125]. - The basic earnings per share for 2023 was -RMB 1.63, an improvement from -RMB 2.68 in 2022[19]. - The weighted average return on equity increased by 17.41 percentage points to -22.39% in 2023 compared to -39.80% in 2022[19]. - The company’s net cash flow from operating activities was RMB 6.40 billion, driven by increased sales and cash collections from the growing volume of new energy vehicles sold[20]. - The company reported a significant increase in sales expenses by 13.39% to CNY 5.47 billion, while management expenses decreased by 6.87% to CNY 1.65 billion[47]. - The company’s financial risk is considered controllable despite a high debt-to-asset ratio, attributed to normal operational activities[20]. - The company achieved a net cash flow from operating activities of CNY 6.40 billion, a significant recovery from a negative cash flow of CNY 1.17 billion in the previous year[47]. Revenue and Sales - In 2023, the company's operating revenue reached RMB 35.84 billion, a year-on-year increase of 5.09%, with Q4 revenue at RMB 19.16 billion, up 74.49% year-on-year and 239.28% quarter-on-quarter[20]. - The company sold 150,900 new energy vehicles in 2023, marking an 11.75% increase year-on-year, with Q4 sales reaching 82,700 units, up 88.39% year-on-year[20]. - Revenue from new energy vehicles was ¥28.95 billion, reflecting a significant year-on-year growth of 16.10%[49]. - The company reported a decrease in sales from traditional fuel vehicles by 27.38% year-on-year, with revenue of ¥4.61 billion[49]. - The total revenue for the automotive sector reached ¥34.64 billion, with a year-on-year increase of 5.09%[49]. Research and Development - The company's R&D investment amounted to 4.438 billion yuan, accounting for 12.38% of revenue, with a year-on-year growth of 42.90%[28]. - The number of patents published by the company reached 1,244 in 2023, a year-on-year increase of 407.76%, ranking first among domestic vehicle manufacturers[28]. - The company is focused on expanding its market presence and developing new products and technologies, although specific figures are not provided in the current report[7]. - In 2023, the company accelerated its R&D and innovation capabilities, focusing on core technologies in smart connectivity, electronic systems, and power systems[56]. Corporate Governance - The company has a commitment to transparency, with all board members present at the meeting to ensure the accuracy of the annual report[3]. - The company has established a governance structure that complies with relevant laws and regulations, ensuring effective decision-making and shareholder rights[88]. - All resolutions from the shareholder meetings held in 2023 were approved, indicating strong shareholder support[91]. - The company has engaged in a share transfer agreement to optimize its investment structure, reducing its stake in a private equity fund to 7,500 thousand RMB[73]. - The company has established an Environmental, Social, and Governance (ESG) committee to enhance its commitment to sustainable practices[106]. Environmental Responsibility - The company has established an environmental protection mechanism and reported no environmental violations or administrative penalties in 2023[134]. - The company has implemented strict control measures for various pollutants generated from its operations[140]. - The company has conducted at least one emergency drill for environmental incidents annually and regularly reviews and updates its emergency plans[143]. - The company has maintained its pollution control facilities in good condition and effective operation, complying with environmental assessment requirements[139]. - The company has invested a total of 2.6932 million yuan in charitable donations, benefiting approximately 2,000 individuals[150]. Shareholder and Management Structure - The total remuneration for all directors, supervisors, and senior management at the end of the reporting period amounted to 29.55 million yuan[101]. - The company appointed a new board of directors on May 22, 2023, with a term of 3 years for the elected members[96]. - The company has expanded its board with new appointments, including independent directors and vice presidents, to enhance governance[102]. - The company has a structured approach to remuneration, ensuring alignment with industry standards and performance metrics[101]. - The company has not faced any penalties from securities regulatory authorities in the past three years, indicating compliance with regulations[103]. Strategic Initiatives - The company is actively promoting green low-carbon development and has established a carbon management digital platform to enhance supply chain management and carbon emission monitoring[37]. - The company is deepening collaborations with partners like Dongfeng, Huawei, and CATL to build a smart electric vehicle ecosystem[45]. - The company aims to enhance employee cohesion and creativity through its employee stock ownership plan for 2024[35]. - The company plans to enhance its sales channels and marketing efforts to improve profitability as sales volume increases[20]. - The company is committed to localizing and systematizing its supply chain to ensure stable supply and quality control[85]. Risks and Challenges - The company faces risks from macroeconomic uncertainties affecting consumer purchasing power and demand in the automotive industry[86]. - Increased investment in research and development is required to meet higher standards set by national strategic plans for new energy vehicles[87]. - The competitive landscape is becoming more complex due to expanding consumer demand and new entrants in the smart new energy vehicle market[87]. - The company has committed to enhancing supply chain resilience to mitigate risks associated with the long new energy vehicle industry chain[87]. Cash Management and Investments - The company has entrusted cash asset management with a total amount of CNY 2,000,000,000.00, with overdue uncollected amounts of CNY 1,996,129,282.88[179]. - The company has multiple cash management agreements with fixed annualized returns ranging from 3.05% to 3.45%[182]. - The company has approved the use of up to RMB 20 billion of idle raised funds for temporary working capital on October 24, 2023, also with a 12-month repayment period[193]. - The company has raised a total of RMB 1,700,000,000 in idle fundraising, with a guaranteed floating yield of 1.5%-2.61% for some structured deposits[183]. - The company has a cash management agreement with a principal of CNY 51,525,000.00, with an expected return of CNY 1,126,805.56[182].