Thinkon Semi(SH:688233)2025-03-26 13:10Financial Performance - The company's operating revenue for 2024 reached ¥302,729,514.81, a 124.19% increase compared to ¥135,033,152.23 in 2023 [22]. - The net profit attributable to shareholders for 2024 was ¥41,150,745.84, a significant recovery from a loss of ¥69,109,826.01 in 2023 [22]. - The net cash flow from operating activities increased by 110.35% to ¥172,929,764.60 in 2024, up from ¥82,209,545.12 in 2023 [24]. - Basic earnings per share for 2024 improved to ¥0.24, compared to a loss of ¥0.43 in 2023 [23]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥38,343,442.86 in 2024, a recovery from a loss of ¥71,555,263.79 in 2023 [22]. - The company's total assets as of the end of 2024 were ¥1,992,903,335.46, reflecting a 3.08% increase from ¥1,933,422,436.15 in 2023 [22]. - The company's net assets attributable to shareholders at the end of 2024 were ¥1,792,961,454.97, a 1.77% increase from ¥1,761,794,579.03 in 2023 [22]. - The company's large-diameter silicon materials business generated revenue of CNY 174.04 million, a year-on-year growth of 108.32%, with a gross margin of 63.85%, up by 13.73 percentage points [33]. - The revenue from semiconductor silicon materials and their products reached approximately 299.56 million, with a gross margin of 52.14%, reflecting a year-on-year increase of 23.02% in revenue [101]. - The sales of large diameter silicon materials amounted to approximately 174.04 million, with a gross margin of 63.85%, showing a year-on-year revenue increase of 8.32% [101]. Dividend Policy - The company plans to distribute a cash dividend of 0.75 CNY per 10 shares, totaling 12,701,649 CNY, which represents 30.87% of the net profit attributable to shareholders [8]. - The total number of shares eligible for profit distribution is 169,355,320 after deducting 950,416 shares held in the repurchase account [8]. - The company has established a cash dividend policy that prioritizes cash dividends, aiming for at least 10% of the distributable profit to be distributed in cash [182]. - The cash dividend distribution will occur annually, with the possibility of mid-term distributions based on the company's operational status [183]. - The cash dividend policy is designed to ensure transparency and stability, considering factors such as shareholder expectations and the company's cash flow [178]. - The cash dividend amount (including tax) is CNY 12,701,649.00, accounting for 30.87% of the net profit [188]. - The total cash dividend amount (including tax) is CNY 22,738,386.29, which represents 55.26% of the net profit [188]. - The cumulative cash dividend amount (including tax) over the last three accounting years is CNY 28,701,649.00 [189]. Research and Development - The research and development expenditure as a percentage of operating revenue was 8.26% in 2024, down from 16.64% in 2023, indicating a decrease of 8.38 percentage points [23]. - The company achieved a total R&D investment of ¥25,007,898.32, representing an increase of 11.32% compared to the previous year [69]. - The company obtained 2 invention patents and 11 utility model patents during the reporting period, bringing the total to 24 and 86 respectively [67]. - The company is committed to enhancing customer satisfaction by improving feedback speed and integrating technology, quality, and logistics services in response to the diverse demands of the domestic market [138]. - The company is focused on optimizing special process silicon wafers based on specific technical requirements from integrated circuit manufacturers [134]. - The company aims to increase investment in technology research and development to become a leader in the semiconductor silicon materials field [135]. Market Position and Strategy - The semiconductor industry cycle recovery contributed to the increase in operating revenue and net profit for the company [22]. - The global semiconductor market is projected to reach USD 628 billion in 2024, with a year-on-year growth of 19.1% [30]. - The company is actively pursuing orders while optimizing production plans to reduce inventory levels [34]. - The company is expanding production capacity in Quanzhou and Jinzhou to meet increasing demand for silicon components [35]. - The company is positioned to benefit from the increasing demand for larger diameter silicon materials (16 inches and above) as semiconductor processing technology advances [58]. - The company is leveraging the growing interest in domestic suppliers due to tightened export controls, providing greater growth opportunities for its silicon components and large-size silicon wafer products [61]. - The company is focusing on expanding its market presence through strategic investments and collaborations in the semiconductor industry [152]. Governance and Compliance - The company has established a governance structure that includes a board of directors and specialized committees to ensure compliance with legal regulations and effective decision-making processes [140]. - The company emphasizes investor relations by maintaining dedicated personnel for information disclosure and actively engaging with shareholders to address their concerns [142]. - The company held three shareholder meetings during the reporting period, ensuring compliance with regulations to protect the rights of minority shareholders [141]. - The board of directors convened eight meetings, with independent directors actively participating to safeguard the overall interests of the company [141]. - The company has established a clear framework for determining the remuneration of its independent directors, which includes allowances but no salary for other directors and supervisors [157]. Risks and Challenges - The company continues to face risks from U.S. technology export controls, which may hinder product development and capacity expansion for domestic clients [61]. - The company faces customer concentration risk, as its main revenue source, large-diameter silicon materials, relies heavily on a few overseas clients in Japan and South Korea [82]. - The company is exposed to supplier concentration risk, with high-purity polysilicon and quartz crucibles primarily sourced from a limited number of overseas suppliers [83]. - Raw material price fluctuations pose a risk, as the cost of key materials significantly impacts profit levels; a substantial increase in prices without a corresponding sales price adjustment could adversely affect profitability [83]. - The company recognizes the risk of declining gross margins due to market demand changes and increased competition, and is taking measures to enhance customer relationships and expand its marketing network [87].