WISCOM(SZ:002090)2014-03-24 16:00Financial Performance - The company's operating revenue for 2013 was CNY 1,052,408,180.34, representing a 28.15% increase compared to CNY 821,201,485.87 in 2012[21] - The net profit attributable to shareholders for 2013 was CNY 59,072,352.76, up 41.2% from CNY 41,837,174.23 in the previous year[21] - The net cash flow from operating activities surged to CNY 141,242,170.98, a significant increase of 1,011.72% compared to CNY 12,704,867.49 in 2012[21] - The basic earnings per share for 2013 was CNY 0.2896, reflecting a 41.2% growth from CNY 0.2051 in 2012[21] - Total assets at the end of 2013 reached CNY 1,540,130,855.27, marking a 28.42% increase from CNY 1,199,254,678.29 at the end of 2012[21] - The company's net assets attributable to shareholders increased to CNY 597,843,717.75, an 8.44% rise from CNY 551,321,168.80 in 2012[21] - The diluted earnings per share for 2013 was CNY 0.2872, which is a 40.03% increase from CNY 0.2051 in the previous year[21] - The weighted average return on equity for 2013 was 10.28%, up from 7.82% in 2012[21] - The net profit after deducting non-recurring gains and losses was CNY 48,949,640.44, a 36.96% increase from CNY 35,740,167.65 in 2012[21] Revenue Growth and Business Expansion - The company achieved operating revenue of 1,052.41 million yuan in 2013, an increase of 28.15% compared to the previous year, driven by growth in power automation and IT businesses[27] - Operating profit, total profit, and net profit attributable to shareholders increased by 44.77%, 40.83%, and 41.20% respectively compared to the previous year[27] - The company won contracts worth 169 million yuan in the national grid's centralized bidding procurement, covering various monitoring systems and equipment[29] - In the power generation and industrial electrical automation sector, the company secured contracts exceeding 180 million yuan, a growth of 29% year-on-year[31] - The company actively expanded its IT business, focusing on smart city solutions, and was recognized as a leading service provider in this field[32] - The company received funding from the Jiangsu Provincial Development and Reform Commission for its smart grid and smart city projects, indicating strong governmental support[28] - The company acquired and increased its stake in Shanghai Shengdong Electric Technology Co., enhancing its capabilities in distribution automation products[29] - The company participated in significant projects such as the Nanjing Smart New City intelligent video monitoring system and the Shanghai Expo Village intelligent engineering project[33] - The company has established a cloud service center platform, promoting products and technologies with independent intellectual property rights[33] Operational Efficiency and Management - The company continues to strengthen its internal management, effectively controlling sales and financial expenses, contributing to improved operational performance[27] - The total new orders for the company reached CNY 1,256.63 million, an increase of 12.27% year-on-year, with significant contributions from power automation (CNY 596.50 million, up 22.18%) and IT business (CNY 613.20 million, up 9.56%) [40] - The company has signed contracts with an unrecognized revenue amount of CNY 886.36 million as of December 31, 2013, indicating a strong backlog of projects[40] - The company reported a stable operating environment in the power engineering design and service sector, successfully winning multiple consulting and design projects for wind and solar power plants[34] - The company is actively expanding its market presence in the power automation sector, with a focus on smart substations and centralized procurement strategies to adapt to changing market conditions[35] - The company launched new products, including a new energy power control system and a novel arc protection system, to support market expansion in industrial electrical automation[36] Research and Development - Research and development expenses totaled ¥89,454,700.00, accounting for 8.50% of operating revenue, with a year-on-year increase of 8.34%[50] - The company maintained R&D investment at over 8% of annual sales, with over 200 professionals engaged in R&D activities[66] - The company holds more than 40 patents and over 100 software copyrights, reflecting its commitment to innovation[66] - The company has established partnerships with several prestigious universities for collaborative research and development[66] Investment and Financial Strategy - The company plans to invest up to 100 million yuan of idle funds in low-risk short-term financial products, which are characterized by high safety and strong liquidity[76] - The company’s independent directors support the investment strategy, stating it enhances the efficiency of fund utilization[76] - The company has a total investment of 3,511 yuan in government bond reverse repos, with no impairment recorded[75] - The company’s financial department will monitor investment risks and take timely actions to mitigate potential impacts[75] - The company’s investment strategy focuses on low-risk products, which are expected to yield stable returns despite market fluctuations[75] Shareholder and Governance - The company has established a cash dividend policy to enhance transparency and protect the rights of minority investors, aligning with regulatory requirements[98] - The company plans to distribute a cash dividend of 1.00 yuan (including tax) for every 10 shares, totaling 20,400,000.00 yuan (including tax) for the year 2013[102] - The cash dividend represents 34.53% of the net profit attributable to shareholders for 2013, which is 59,072,352.76 yuan[102] - The company has maintained a stable cash dividend policy since its listing in 2006, ensuring consistent returns for shareholders[106] - The company emphasizes the protection of shareholder and creditor rights, adhering to relevant laws and regulations[106] Risk Management - The company faces risks related to technological development uncertainties, market competition, and macroeconomic policy changes that could impact its business operations[93][95] - The company has established a quality management system in accordance with international standards, ensuring a safe working environment for employees[108] - The company has implemented a stock option incentive plan to enhance the motivation of management and core technical personnel[191] - The company has established a robust internal control system to mitigate operational risks and ensure compliance with relevant laws and regulations[194] Corporate Social Responsibility - The company has engaged in various social welfare activities, with public donation expenditures approved according to operational decision-making processes[112] - The company is committed to preventing environmental pollution and continuously improving its environmental protection efforts[112] - The company has not faced any environmental administrative penalties and has not experienced any pollution incidents during the reporting period[112] Employee Management - The total number of employees as of December 31, 2013, is 1,014, with 60.06% being technical personnel[171] - The company has established a comprehensive training system for employees, including orientation for new hires and ongoing professional development[173] - The educational background of employees shows that 55.23% hold a bachelor's degree, while 11.83% have a master's degree or higher[172] - The company aims to enhance employee satisfaction and loyalty by increasing compensation for technical and frontline production staff[173] Strategic Direction - The company aims to leverage its first-mover advantage and technological leadership in the electrical automation sector to maintain a competitive edge against major players like NARI Technology and State Grid Corporation[84] - The company is committed to becoming a leading smart city solution provider, focusing on comprehensive solutions in areas such as safe cities, intelligent transportation, and smart buildings[85] - The company plans to enhance its brand influence and market position through innovation, organizational growth, and leveraging its capital platform[86] - The company is focused on enhancing its operational efficiency and leveraging technology to optimize its business processes[163]