Dare Auto(SZ:300473)2017-04-21 16:00Financial Performance - The company's operating revenue for 2016 was ¥622,677,373.62, a decrease of 10.35% compared to ¥694,569,353.38 in 2015[25]. - Net profit attributable to shareholders was ¥109,708,417.45, down 20.62% from ¥138,214,149.19 in the previous year[25]. - The net profit after deducting non-recurring gains and losses was ¥102,421,693.31, a decline of 23.54% from ¥133,953,832.36 in 2015[25]. - The company's EPS decreased by 30.55% to ¥1.0971 from ¥1.5796 in 2015[25]. - The weighted average return on equity was 7.33%, down from 12.52% in the previous year[25]. - The company's operating performance remained flat year-on-year, with slight declines in both revenue and net profit attributable to the parent company[9]. - The cash dividend distribution plan for 2016 proposed a payment of 2.60 RMB per 10 shares, totaling 27,281,800 RMB[100]. - The cash dividend accounted for 100% of the total profit distribution for the year[99]. Sales and Market Trends - The total vehicle sales in 2016 reached 28.0282 million units, representing a year-on-year growth of 13.65%, marking a historical high[8]. - The automotive industry in China saw a record sales volume of 28.02 million vehicles in 2016, with a year-on-year growth of 13.65%[35]. - Sales of the new transmission oil pumps increased by 191.34% year-on-year, while sales of EHPS electric hydraulic pumps grew by 7.72%[6]. - The automotive steering pump, the main product, accounted for over 87% of revenue in 2016, facing pressure due to the accelerated replacement by EPS and EHPS technologies[6]. Product Development and R&D - The company has launched new projects including automatic transmission main working oil pumps, electro-hydraulic steering pumps (EHPS), electric oil pumps (EOP) for start-stop systems, electric vacuum pumps for braking systems, and keyless entry and start systems (PEPS) for vehicle control systems, expanding its product applications and reducing reliance on existing major products[37]. - The company applied for 27 patents in 2016, including 6 invention patents, bringing the total to 80 patents, showcasing its strong R&D capabilities[39]. - The company has invested significantly in R&D for new products, including electric pumps and automatic transmission oil pumps, which have started to alleviate the pressure from the transition of main products[48]. - Research and development (R&D) expenses for 2016 were ¥33,402,891.51, which is 5.36% of the operating revenue, up from 3.93% in 2015[66]. Quality Management and Risks - The company has established a standardized quality improvement system, ensuring stable and efficient production processes through various quality control measures[41]. - The company faces potential risks related to product quality, which could impact sales and brand reputation if defects occur[10]. - Management capabilities may be challenged due to increased asset scale and market complexity following the IPO[11]. - The company is committed to improving its quality management system in accordance with ISO/TS16949:2009 standards to ensure product reliability and safety[94]. Financial Structure and Investments - The total assets at the end of 2016 were ¥1,964,453,830.24, reflecting a growth of 4.45% from ¥1,880,689,334.98 in 2015[25]. - The company's total liabilities increased significantly, impacting the overall financial structure[72]. - The company raised a total of RMB 719 million through the issuance of 25 million A-shares at RMB 28.76 per share, with a net amount of RMB 672.85 million after deducting fees[79]. - The company has not encountered any issues regarding the use and disclosure of raised funds[84]. Corporate Governance and Shareholder Relations - The company has engaged the same accounting firm for nine consecutive years, ensuring consistency in financial reporting[110]. - The company has committed to a stock incentive plan for its directors and senior management, ensuring alignment with shareholder interests[107]. - The company maintains independence from its controlling shareholder in business, personnel, assets, and finances, ensuring no resource occupation or control[171]. - The company emphasizes social responsibility and investor relations, promoting balanced interests among shareholders, employees, and society[170]. Employee and Management Structure - The total number of employees in the company is 1,401, with 937 in the parent company and 464 in major subsidiaries[161]. - The company has established a performance-oriented compensation system that aligns employee salaries with company performance, team performance, and individual performance[163]. - The company aims to enhance training effectiveness by developing annual training plans based on departmental needs and utilizing both internal and external training resources[164]. - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 3.573 million[160].