Company Overview - The company was listed on the Beijing Stock Exchange on November 15, 2021[6]. - In December 2021, the wholly-owned subsidiary Hefei Jingweite Electronics Co., Ltd. passed the high-tech enterprise re-examination and obtained the certificate[6]. - The construction of the factory for the project "Annual production of 1 billion ultra-small, high-precision SMD quartz crystal resonators" was partially completed in December 2021[7]. Financial Performance - The company's operating revenue for 2021 was CNY 474,893,863.48, representing a 47.41% increase compared to CNY 322,158,358.26 in 2020[33]. - The net profit attributable to shareholders for 2021 reached CNY 65,497,974.28, a significant increase of 110.12% from CNY 31,171,339.63 in 2020[33]. - The total assets as of the end of 2021 amounted to CNY 780,639,809.50, reflecting a growth of 77.12% compared to CNY 440,738,062.44 at the end of 2020[35]. - The company's net asset attributable to shareholders increased by 149.61% to CNY 490,117,851.96 in 2021 from CNY 196,350,004.10 in 2020[35]. - The basic earnings per share for 2021 was CNY 1.53, up 91.25% from CNY 0.80 in 2020[33]. - The cash flow from operating activities for 2021 was CNY 79,913,599.89, a 69.18% increase from CNY 47,235,217.53 in 2020[36]. - The company reported a gross profit margin of 26.26% in 2021, compared to 24.13% in 2020[33]. - The total number of ordinary shares increased by 33.35% to 54,620,000 at the end of 2021 from 40,960,000 at the end of 2020[40]. Risks and Challenges - The company faces risks related to declining product prices, with average sales prices decreasing year-on-year, which may adversely affect gross margins and operating performance[14]. - The company is exposed to raw material price increase risks, as key materials for quartz crystal products are subject to price fluctuations[15]. - The company acknowledges competition risks, as domestic companies have made significant technological advancements and may compete effectively with Japanese and Taiwanese firms[15]. - The company has a high capacity utilization rate, which may lead to challenges in acquiring new customers as production capacity expands[15]. - The company relies on a limited number of suppliers for critical components, which poses risks if supply cannot meet production needs[15]. - The ongoing COVID-19 pandemic continues to pose risks to production and market demand, particularly if the situation worsens globally[15]. - The risk of declining market share in packaging materials exists due to potential competition from other companies entering the production segment[12]. - The company recognizes potential uncertainties in future development due to macroeconomic changes, trade environment shifts, and intensified industry competition[105]. Research and Development - The company emphasizes the importance of continuous R&D to meet market demands, particularly in the context of emerging technologies like 5G and IoT[15]. - The company is currently developing new products, including temperature-compensated oscillators and tuning fork crystals, but faces risks of R&D failures[15]. - Research and development expenses increased by 31.64%, reflecting the company's commitment to enhancing R&D capabilities[61]. - The company has a strong focus on market expansion and product development, aiming to enhance its technological capabilities and product offerings[149]. - The company has over 50 independent research and development intellectual properties, including 10 invention patents and 35 utility model patents[190]. - The company has established a collaborative R&D model to reduce early-stage investment and mitigate risks associated with R&D failures[190]. Market and Industry Trends - The quartz crystal oscillator industry has broad downstream applications, including smart home devices and new energy vehicles, indicating growth potential despite competitive pressures[18]. - The quartz crystal oscillator market is experiencing strong demand due to growth in downstream industries such as 5G communications and automotive electronics[184]. - The downstream applications of quartz crystal oscillators include communication networks, mobile terminals, IoT, automotive electronics, and smart home devices, indicating growth potential due to the increasing demand from 5G technology[198]. Governance and Shareholding - The actual controller holds 72.38% of the voting rights, raising concerns about potential improper control over the company's operations and financial decisions[15]. - The company has issued shares to unspecified qualified investors to improve governance structure, reflecting a strategic move to adapt to macroeconomic and industry changes[15]. - The company has fulfilled all commitments made during its listing process, with no overdue obligations reported[135]. - The company’s actual controllers have extensive experience in the electronics industry, which supports its strategic direction and operational efficiency[147]. Employee and Operational Insights - The total number of employees increased from 540 to 682 during the reporting period, with a net addition of 142 employees[175]. - The company emphasizes employee training and development, implementing various training programs to enhance skills and efficiency[176]. - The company’s employee compensation structure includes basic salary, performance pay, and bonuses, ensuring internal fairness and external competitiveness[176]. Asset Management - The company's inventory value was RMB 110.29 million, accounting for 14.13% of total assets, with a provision for inventory impairment of RMB 577,500, suggesting potential risks if product competitiveness declines[14]. - The company confirmed that there were no overdue amounts or expected unrecoverable principal in its financial products, with a total amount of ¥73,800,000.00 and an unexpired balance of ¥10,000,000.00[81]. - The company has a commitment to ensure the authenticity of the public offering materials submitted, with no false records or misleading statements[133]. Future Plans - The company plans to continue its investment projects as scheduled, focusing on expanding production capacity[54]. - The company aims to enhance its profitability and revenue levels while maintaining competitiveness within the industry[105]. - The company is investing CNY 200 million to increase quartz crystal oscillator production capacity to 10 billion units per year, expected to be completed in batches from 2022 to 2023[188].
晶赛科技(871981) - 2021 Q4 - 年度财报