HENGERDA(SZ:300946)2025-04-18 11:00Financial Performance - The company's operating revenue for 2024 reached ¥585,232,376.05, representing a 7.88% increase compared to ¥542,485,791.20 in 2023[18]. - The net profit attributable to shareholders for 2024 was ¥87,312,337.26, showing a slight increase of 0.03% from ¥87,286,269.65 in 2023[18]. - The net profit after deducting non-recurring gains and losses was ¥83,887,508.67, up by 0.76% from ¥83,252,150.68 in 2023[18]. - The total assets at the end of 2024 amounted to ¥1,482,005,448.28, a 1.95% increase from ¥1,453,698,510.49 at the end of 2023[18]. - The company's cash flow from operating activities for 2024 was ¥67,113,322.41, a decrease of 3.95% compared to ¥69,873,123.22 in 2023[18]. - The company reported a basic earnings per share of ¥0.73 for 2024, unchanged from 2023[18]. - In 2024, the company achieved operating revenue of 585.23 million yuan, a year-on-year increase of 7.88%[70]. - The net profit attributable to shareholders was 87.31 million yuan, with a slight increase of 0.03% year-on-year[70]. - The sales revenue from metal cutting tools reached 494.68 million yuan, growing by 2.84% year-on-year[71]. - The intelligent CNC equipment business saw a significant revenue increase of 53.66%, totaling 35.53 million yuan[73]. - The rolling functional components business achieved sales revenue of 34.91 million yuan, marking a growth of 59.96%[74]. - The company’s metal cutting tools now account for 87.53% of total revenue, while intelligent CNC equipment and rolling functional components have increased their shares to 6.29% and 6.18%, respectively[74]. Dividend and Capital Management - The company plans to distribute a cash dividend of 1.5 RMB per 10 shares to all shareholders, based on a total of 120,006,000.00 RMB[5]. - The company will increase its capital reserve by converting 3 shares for every 10 shares held by shareholders[5]. - The company announced a cash dividend of 27.6014 million yuan, accounting for 31.62% of the net profit attributable to shareholders for 2023, distributed at a rate of 2.3 yuan per 10 shares[149]. - The company plans to distribute a cash dividend of 2.30 CNY per 10 shares, totaling 18,000,900 CNY, which represents 100% of the profit distribution[182]. - The company will not issue new shares or convert capital reserves into shares this year, with all undistributed profits carried forward to future years[182]. Risk Management - The company emphasizes the importance of risk awareness among investors regarding forward-looking statements in the report[5]. - The report includes a detailed analysis of potential risks and countermeasures related to the company's future development[5]. - The company faces risks from fluctuations in downstream market demand, particularly in light industry and equipment manufacturing, which could adversely affect sales and operational sustainability[128]. - Major raw materials, including hot-rolled steel coils and cold-rolled alloy steel strips, are sourced from a concentrated supplier base, leading to potential supply and cost challenges due to geopolitical issues or market conditions[129]. - The company is experiencing a continuous increase in accounts receivable, which could negatively impact financial performance if large amounts become uncollectible due to economic changes or client issues[135]. - The company is implementing measures to enhance inventory management and improve turnover rates to mitigate risks associated with inventory levels[131]. - The company is focusing on establishing stable supplier relationships and maintaining reasonable raw material inventory to ensure supply security and stable gross margins[130]. - The company is actively monitoring exchange rate trends and implementing strategies to manage foreign exchange risks effectively[132]. Market and Industry Insights - The global cutting tools market is projected to reach $26.53 billion in 2024, with a CAGR of 5.9% from 2025 to 2031[27]. - The Chinese cutting tools market consumption in 2023 was ¥53.8 billion, reflecting a year-on-year growth of 5%[27]. - The domestic market's reliance on imported metal cutting tools decreased from 37.17% in 2016 to approximately 27% in 2022, indicating improved self-sufficiency[27]. - The overall domestic CNC machine tool market's localization rate was 55% in 2023, indicating significant room for improvement compared to developed countries[29]. - The domestic machine tool industry is currently at a peak of stock replacement and structural adjustment, with a significant push for the replacement of outdated equipment over 10 years old[30]. - The market share of domestic rolling functional components is approximately 50% for Taiwanese companies, while Japanese companies hold around 15%[34]. - The localization rate of high-end rolling functional components in high-end CNC machine tools is only 5%, indicating a heavy reliance on imports[34]. - The metal cutting tools market shows a strong demand with 74.30% of users reporting that tool costs account for less than 4% of production costs[39]. - High-quality metal cutting tools significantly enhance processing efficiency and quality, leading to increased customer loyalty and repurchase rates[41]. - The industry is witnessing a trend towards integrated solutions for metal cutting tools and supporting equipment, which is essential for meeting diverse customer needs[31]. Research and Development - The company has nearly 30 years of technical accumulation and industrial application experience in metal materials and heat treatment, establishing a leading market position[52]. - The company holds 91 valid patents and has established several research collaborations with prestigious institutions, emphasizing its commitment to innovation[58]. - The company invested CNY 20.37 million in R&D during the reporting period, accounting for 3.48% of its revenue, with four key projects initiated[81]. - In 2024, the company allocated CNY 9.06 million to the rolling functional components business, representing 44.50% of total R&D spending[82]. - The company completed the development of a new series of high-performance carbide band saw blades, enhancing product competitiveness[95]. - The ongoing development of a new flexible material intelligent cutting machine aims to improve product series and market competitiveness[95]. - The company is currently optimizing the structure of CNC high-speed saws to enhance product quality and performance[95]. Corporate Governance - The company has confirmed that all board members attended the meeting to review the annual report[4]. - The financial report is guaranteed to be true, accurate, and complete by the company's management team[4]. - The company held three shareholder meetings during the reporting period, ensuring all shareholders, especially minority shareholders, could fully exercise their rights[142]. - The company completed the election of its board of directors on November 4, 2024, and held seven board meetings during the reporting period[144]. - The company established a value management system to enhance investment value and ensure compliance with market regulations, approved on April 18, 2025[139]. - The company maintained independence from its controlling shareholder in terms of personnel, assets, finance, and operations, ensuring no non-operational occupation of funds[143]. - The company conducted seven supervisory board meetings, confirming a good operational status for 2024 without any objections to the supervisory matters[145]. - The company has a complete and independent R&D, procurement, production, and sales system, ensuring no competition or unfair transactions with its controlling shareholder[151]. - The company has established an independent financial department with a complete accounting system and does not share bank accounts with its controlling shareholder[155]. - The company actively respects and protects the rights of stakeholders, balancing interests among society, shareholders, and employees[148]. Environmental Compliance - The company’s environmental compliance includes valid discharge permits for its facilities, with the latest permits effective until 2028 and 2029[196]. - The company reported no exceedances in pollutant emissions against the national standards during the reporting period[197]. - The company achieved compliance with the "Comprehensive Emission Standard of Air Pollutants" (GB16297-1996) for various emissions, including particulate matter at 38 mg/m³ and lead compounds at 0.00509 mg/m³[199]. - Wastewater treatment results showed ammonia nitrogen at 32.9 mg/L and total nitrogen at 49.4 mg/L, meeting the B-level standards of the "Discharge Standard of Pollutants for Municipal Wastewater Treatment Plant" (GB/T31962-2015)[199]. - The company implemented a multi-faceted approach to air pollution control, including the use of alkaline spray and activated carbon adsorption, ensuring compliance with air quality standards[200]. - The company established a wastewater treatment station to manage and treat wastewater effectively, ensuring stable compliance with environmental regulations[200]. - The company reported that the odor concentration from wastewater treatment was managed to meet the GB14554-93 standards, with ammonia at 2.14 mg/m³ and hydrogen sulfide at 0.02 mg/m³[199]. - Heavy-duty die-cutting tools' production processes achieved emissions compliance through advanced treatment systems, including multi-layer ball packing and alkaline spray[200]. - The company has taken measures to prevent environmental contamination, including wind, rain, and leakage prevention strategies for solid waste management[200]. - The company maintained a rigorous approach to hazardous waste management, ensuring all waste is treated according to legal requirements[200].