Hwa Create(300045)2025-04-17 12:20Financial Performance - The company reported a significant loss in its main business, with detailed reasons and countermeasures provided in the management discussion section[3]. - The company's operating revenue for 2024 was ¥546,896,241.02, a decrease of 22.93% compared to ¥709,628,369.53 in 2023[5]. - The net profit attributable to shareholders for 2024 was -¥142,963,933.66, representing a decline of 911.55% from ¥17,616,119.43 in 2023[5]. - The cash flow from operating activities increased by 152.34% to ¥274,548,544.10 in 2024, compared to ¥108,802,916.46 in 2023[5]. - The total assets at the end of 2024 were ¥2,445,399,751.29, reflecting a 2.40% increase from ¥2,388,153,300.13 at the end of 2023[5]. - The net assets attributable to shareholders decreased by 8.22% to ¥1,596,498,927.61 at the end of 2024, down from ¥1,739,445,855.35 at the end of 2023[5]. - The company reported a basic and diluted earnings per share of -¥0.22 for 2024, a decrease of 833.33% from ¥0.03 in 2023[5]. - The company experienced a significant increase in non-operating income, totaling ¥6,621,687.04 in 2024, compared to ¥13,882,242.59 in 2023[5]. - Total revenue for 2024 was ¥546,896,241.02, a decrease of 22.93% compared to ¥709,628,369.53 in 2023[94]. - The electronic information industry accounted for 95.56% of total revenue, with a revenue of ¥522,594,570.64, down 20.72% from ¥659,216,313.49[94]. - Revenue from satellite applications was ¥246,740,030.72, representing 45.12% of total revenue, a decline of 24.92% from ¥328,625,748.22[95]. - The company's gross margin for the electronic information industry was 30.93%, down 5.74% year-over-year[96]. - The radar signal processing segment saw a revenue drop of 36.85%, totaling ¥59,891,665.31 compared to ¥94,843,036.23 in the previous year[95]. Strategic Focus and Development - The company plans not to distribute cash dividends, issue bonus shares, or increase capital using reserves[4]. - The company has established a new wholly-owned subsidiary in Xi'an in 2024, expanding its operational footprint[11]. - The company is focusing on the satellite application industry, which is a key area of growth supported by national policies and technological innovation[30]. - The company aims to enhance its product matrix and application solutions in the satellite application field, particularly in smart city and industry information construction[134]. - The company plans to expand its market presence through new product developments and strategic partnerships in the satellite navigation sector[106]. - The company intends to increase its investment in satellite application core components and improve its radar signal processing capabilities[138]. - The company plans to enhance its product development path by focusing on high-value products and expanding its market presence in civilian sectors[139]. - The company aims to optimize its operational efficiency through cost reduction and process optimization strategies[140]. - The company is actively exploring the integration of satellite applications with IoT, vehicle networking, and emergency rescue sectors[85]. Risk Management and Compliance - The management has outlined potential risks and corresponding measures in the future development outlook section[3]. - The company emphasizes the importance of understanding the differences between plans, forecasts, and commitments in its forward-looking statements[3]. - The company maintains a commitment to transparency and has made its annual report available on the Shenzhen Stock Exchange and other platforms[16]. - The company has engaged a reputable accounting firm for its financial audits, ensuring compliance and accuracy in reporting[17]. - The company will continue to strengthen confidentiality awareness and risk management, focusing on compliance, operational, safety, and public opinion risks[142]. Research and Development - Research and development expenses increased by 18.16% year-on-year, totaling 88,077,643.17 CNY[105]. - The company’s total R&D investment reached 242,493,778.39 CNY, which is 44.34% of its operating revenue[107]. - The company has obtained 357 authorized patents and 491 software copyrights, reflecting its commitment to continuous innovation and technology development[76]. - The company completed the development of a "Beidou + 5G" integrated positioning chip, enhancing its competitive edge in the navigation market[106]. - The company has developed a comprehensive system layout in the satellite application field, including "chip + module + terminal + platform + system solutions" for both satellite communication and navigation[49]. Governance and Management - The company has a complete governance structure with a shareholder meeting, board of directors, and supervisory board, ensuring independent operation[163]. - The board of directors consists of 9 members, including 3 independent directors, and held 8 meetings during the reporting period[152]. - The supervisory board comprises 5 members and held 8 meetings, ensuring diligent oversight of company operations[153]. - The company has a performance evaluation system linking senior management's performance to their compensation[154]. - The company maintains transparent information disclosure practices, ensuring timely and accurate communication with investors[155]. - The company operates independently from its controlling shareholder in all aspects, including business, personnel, and finance[158]. - The company has a structured process for setting compensation, ensuring alignment with performance and responsibilities[180]. - The company has appointed new independent directors, Ning Yu and Xia Chao, on February 28, 2024, as part of the board restructuring[169]. Employee and Training Development - The total number of employees at the end of the reporting period was 735, with 346 in the parent company and 389 in major subsidiaries[196]. - The professional composition includes 415 technical personnel, 132 administrative personnel, and 99 production personnel[196]. - The company has implemented a performance-based salary system that combines basic and performance wages to enhance employee motivation[197]. - Training programs focus on improving employee competencies and work quality, with specific training for sales and quality personnel[198]. - New employee training includes mentorship from experienced staff to facilitate integration into the work environment[198]. Financial Management and Fundraising - The company has cumulatively invested 199.87 million CNY in fundraising projects and 83.89 million CNY in working capital as of December 31, 2024, with an unused amount of 40.13 million CNY[124]. - The total amount of fundraising raised is 330 million CNY, with 323.8 million CNY already utilized[124]. - The company has not made any significant non-equity investments during the reporting period[121]. - The company has not reported any issues or other situations regarding the use and disclosure of raised funds[127]. - The company’s independent directors have expressed clear agreement on the use of raised funds for project personnel costs[127].