KLY SPORTS(SZ:301287)2025-04-21 12:15Financial Performance - The company's operating revenue for 2024 reached ¥686,808,736.18, representing a 12.74% increase compared to ¥609,207,485.64 in 2023[19]. - The net profit attributable to shareholders for 2024 was ¥81,225,070.95, a decrease of 16.20% from ¥96,922,853.33 in 2023[19]. - The net profit attributable to shareholders after deducting non-recurring gains and losses increased by 20.77% to ¥81,249,252.80 in 2024 from ¥67,277,429.65 in 2023[19]. - The net cash flow from operating activities significantly dropped by 81.82% to ¥24,731,681.29 in 2024 from ¥136,025,260.91 in 2023[19]. - The total assets of the company increased by 17.26% to ¥1,663,145,628.51 at the end of 2024, compared to ¥1,418,344,973.03 at the end of 2023[19]. - The net assets attributable to shareholders rose by 5.96% to ¥1,146,941,924.41 at the end of 2024 from ¥1,082,384,353.46 at the end of 2023[19]. - The company achieved operating revenue of 686.81 million yuan, a year-on-year increase of 12.74%, while net profit attributable to shareholders decreased by 16.20% to 81.23 million yuan[49]. - Total revenue for 2024 reached ¥686,808,736.18, representing a year-on-year increase of 12.74% compared to ¥609,207,485.64 in 2023[55]. - Revenue from fitness equipment accounted for 98.63% of total revenue, with a year-on-year growth of 12.75% to ¥677,397,045.12[55]. - Online sales increased by 27.22% to ¥299,554,693.31, making up 43.62% of total revenue[58]. - Gross profit margin for fitness equipment was 32.06%, slightly down by 0.34% from the previous year[58]. - The company sold 768,336 units of fitness equipment in 2024, a 9.19% increase from 703,651 units in 2023[59]. - Total operating costs rose to ¥465,393,140, reflecting a year-on-year increase of 13.32%[60]. Investment and Funding - The total amount of cash inflow from financing activities decreased by 73.17% to ¥170,111,115.00, compared to ¥633,925,496.23 in the previous year[71]. - The total amount of funds raised in the public offering was RMB 668,633,700, with a net amount of RMB 590,470,195.55 after deducting issuance costs[88]. - As of December 31, 2024, the cumulative use of raised funds for investment projects was RMB 114,239,420.29, with a remaining balance of RMB 492,658,643.81[89]. - The amount of raised funds temporarily used to supplement working capital was RMB 153,053,298.19[89]. - The balance of the special account for raised funds was RMB 164,445,762.29[89]. - The company plans to invest in the development of smart fitness equipment, with a projected investment of RMB 34.6 million by 2026[90]. - The company has committed to a project for the production of fitness equipment, with an expected investment of RMB 8.26 million by 2026[90]. - The company has allocated RMB 10.3 million for research and development of smart management systems by 2027[90]. - The company has approved changes to the implementation locations of certain fundraising projects during board meetings held in early 2024[91]. - The company plans to reduce the fundraising amount for the "Kangli Source Intelligent Fitness Equipment Manufacturing Project" by RMB 201.20 million to fund the new "Malaysia Fitness Equipment Production Project"[92]. - The company has temporarily supplemented working capital with RMB 153.05 million of idle fundraising[92]. Research and Development - The company has been deeply engaged in the fitness equipment industry for over 20 years, focusing on R&D and production, and has established a comprehensive business system with three main series: home, commercial, and outdoor equipment[44]. - The company has received multiple honors, including being recognized as one of the top ten enterprises in the sports goods industry in China and holding the title of a famous Chinese trademark[44]. - R&D investment amounted to ¥21,000,440.55 in 2024, accounting for 3.06% of operating revenue, a slight decrease from 3.25% in 2023[67]. - R&D personnel increased from 87 to 95, representing a growth of 9.20%, with the proportion of R&D personnel in the total workforce rising to 10.51%[67]. - The company has a strong focus on differentiated product R&D, enabling it to meet diverse customer needs and capture market trends effectively[45]. - The company is investing $10 million in R&D for new technologies aimed at enhancing user experience in 2024[1]. Market and Sales Strategy - The company specializes in the research, manufacturing, and sales of fitness equipment, with a product range exceeding 1,000 types, including both anaerobic and aerobic training equipment[32]. - The sales model combines domestic and international sales, online and offline channels, as well as ODM and proprietary brands, targeting over 40 countries across Europe, America, Asia, and Australia[32]. - The company has adopted an "Internet + fitness equipment + service" business model to actively expand into smart gyms and health integration projects[33]. - The company is focused on expanding its market presence through e-commerce platforms and government procurement channels[41]. - The online sales channel has become a significant growth driver for the company's self-owned brands, reflecting the impact of internet development on its sales strategy[46]. - The company is exploring potential acquisitions to enhance its product portfolio, with a budget of $50 million allocated for this purpose[1]. - Market expansion efforts have led to a 20% increase in market share in the Asia-Pacific region[1]. Corporate Governance - The company has established a complete and independent financial accounting system, with no shared bank accounts with the controlling shareholder or related enterprises during the reporting period[119]. - The company maintains an independent business structure, with no competition or unfair transactions with the controlling shareholder or related enterprises[120]. - The company has implemented a robust investor relations management system, facilitating communication with investors through various channels[116]. - The company has established specialized committees under the board of directors to enhance decision-making and professional governance[114]. - The company has complied with all relevant laws and regulations regarding corporate governance, with no significant discrepancies identified[117]. - The company held its first temporary shareholders' meeting on January 22, 2024, with an investor participation rate of 75.02%[121]. - The annual shareholders' meeting for 2023 is scheduled for May 13, 2024, with a participation rate of 75.03%[121]. Risk Management - The company emphasizes the importance of risk awareness for investors, detailing potential operational risks in the management discussion section[5]. - The company faces risks from exchange rate fluctuations, trade policy changes, and raw material price volatility, and has strategies in place to mitigate these risks[107][108][109]. - The company has established a risk control framework for its hedging activities to minimize potential losses from currency fluctuations[84]. - The company has not faced any penalties from regulatory authorities regarding its directors and supervisors in the past three years[144]. Employee and Remuneration - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to RMB 5.9898 million[147]. - The highest remuneration was received by the Chairman, who earned RMB 484,300[147]. - The independent directors received a fixed annual allowance of RMB 60,000 before tax[146]. - The company’s remuneration policy is based on the completion of annual operational goals and individual performance evaluations[146]. - The company emphasizes employee training, with a focus on improving overall quality, professional skills, and work efficiency through various training programs[159]. - The total number of employees at the end of the reporting period is 904, with 692 from the parent company and 212 from major subsidiaries[157]. Environmental and Social Responsibility - The company has implemented effective measures for environmental protection, including the installation of dust collection and gas treatment facilities[174]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[174]. - The company has not yet initiated targeted poverty alleviation efforts but plans to implement specific initiatives in the future[177]. Shareholder Commitments - The company confirmed that all documents and information provided for the public offering of shares are true, accurate, and complete, with no false records or misleading statements[200]. - The company will initiate compensation procedures within five trading days upon recognition of violations by regulatory authorities[200]. - The company’s major shareholders and actual controllers have committed to the accuracy and completeness of the information disclosed in the prospectus[200]. - The company will ensure compliance with any changes in regulations or policies affecting shareholding during the holding period[188].