Long Bamboo Technology (BJ:831445)2024-02-20 16:00Financial Performance - The estimated net profit for 2023 is projected to be between 10 million to 15 million CNY, representing a decline of 65% to 77% compared to the previous year's profit of 43.16 million CNY[3]. - The company experienced a decrease in operating revenue and a decline in overall gross margin due to adverse macroeconomic conditions and reduced order volumes from major clients[4]. - There has been a notable increase in period expenses, particularly in cross-border e-commerce and stock incentive costs, alongside rising financial expenses[6]. - Government subsidies received by the company have significantly decreased compared to the previous year, impacting overall performance[6]. - The company warns that the performance forecast is based on preliminary calculations and has not been audited, urging investors to exercise caution[7]. Investment and R&D - A subsidiary focused on new bamboo material technologies incurred significant losses, with total investment in production equipment nearing 30 million CNY and over 200 machines deployed[5]. - The company is investing heavily in R&D for new technologies, which has led to increased production costs and a delay in achieving full production capacity for new products[5]. - The company anticipates that as technology and production lines mature, the new product series will be fully launched, leading to increased sales and a turnaround in profitability for the subsidiary[6].