Jiangsu Liance Electromechanical Technology (SH:688113)2025-04-27 08:40Dividend Distribution - The company plans to distribute a cash dividend of 1.81 CNY per 10 shares, totaling approximately 11.66 million CNY (including tax) based on a total share capital of 64,397,559 shares as of December 31, 2024[7]. - The proposed cash dividend for the first three quarters of 2024 is 2.15 CNY per 10 shares, amounting to approximately 13.85 million CNY (including tax), resulting in a total cash dividend of 25.50 million CNY (including tax) for the year, which represents 30.91% of the net profit attributable to ordinary shareholders[7]. - The company will hold a temporary shareholders' meeting on November 15, 2024, to review the profit distribution proposal[7]. Financial Performance - The company's operating revenue for 2024 is CNY 493,021,834.99, a decrease of 0.42% compared to CNY 495,106,334.85 in 2023[26]. - The net profit attributable to shareholders for 2024 is CNY 82,504,995.46, down 8.99% from CNY 90,659,004.67 in 2023[26]. - The net profit after deducting non-recurring gains and losses for 2024 is CNY 80,123,993.80, a decrease of 7.92% compared to CNY 87,017,457.84 in 2023[26]. - The cash flow from operating activities for 2024 is CNY 53,709,784.68, down 15.67% from CNY 63,686,810.86 in 2023[26]. - The basic earnings per share for 2024 is CNY 1.29, a decrease of 9.15% from CNY 1.42 in 2023[28]. - The diluted earnings per share for 2024 is CNY 1.29, a decrease of 8.51% from CNY 1.41 in 2023[28]. - The company achieved total revenue of 493.02 million yuan in the reporting period, a year-on-year decrease of 0.42%[38]. - The net profit attributable to shareholders was 82.51 million yuan, down 8.99% compared to the previous year[38]. Corporate Governance - The board of directors and management have confirmed the accuracy and completeness of the annual report, ensuring no significant omissions or misleading statements[3]. - The company has received a standard unqualified audit report from the accounting firm[5]. - The company does not have any special arrangements for corporate governance[9]. - The company has not reported any instances where more than half of the directors could not guarantee the authenticity of the annual report[9]. - The company has not violated decision-making procedures for providing guarantees[9]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[9]. Research and Development - The R&D expenditure as a percentage of operating revenue for 2024 is 7.41%, a slight decrease of 0.05 percentage points from 7.46% in 2023[28]. - The company applied for 16 invention patents and 24 utility model patents during the reporting period, reflecting its commitment to innovation[39]. - The total R&D expenditure for the year was approximately ¥36.52 million, a decrease of 1.15% compared to the previous year, with R&D expenditure as a percentage of operating income at 7.41%[88]. - The company is currently developing multiple projects, with total expected investments ranging from ¥1.8 million to ¥500 million, focusing on high-power hydraulic dynamometers for various applications in aviation and gas turbine sectors[91]. Market Position and Strategy - The company has established a strong reputation and brand image in the power system testing solutions sector, successfully serving multiple well-known clients in both the new energy vehicle and fuel vehicle markets[60]. - In 2024, all top ten automotive brands in China are clients of the company, with eight out of ten new energy vehicle manufacturers and eight out of ten pure electric vehicle manufacturers also being clients[63]. - The company is focused on developing automated quick-connect technologies for reliable connections in production testing lines, enhancing production efficiency[57]. - The company aims to develop intelligent testing equipment and verification services for power systems, focusing on domestic replacement and achieving international standards[76]. - The company is positioned to leverage the historical opportunity of domestic substitution in the power system testing industry, enhancing its innovation capabilities[76]. Operational Efficiency - The company implemented a structured internal control system and enhanced 5S management to improve operational efficiency[40]. - The company has achieved a 98% automatic docking success rate for new energy and fuel vehicle power systems with its quick connection and assembly testing technology[78]. - The company achieved sales of the YG2000 model with a maximum power of 2,000 kW and a maximum speed of 10,000 RPM, surpassing the international competitor's F359 model which has a maximum power of 1,640 kW and a maximum speed of 9,000 RPM[82]. Risks and Challenges - The company faces significant technical barriers in the power system testing market, particularly in high-end sectors like aviation engine testing, which are dominated by international firms[56]. - The company is exposed to risks from fluctuations in the automotive industry, which could negatively impact customer demand and financial performance[122]. - The company has a significant risk related to accounts receivable, with overdue amounts and long aging, which may impact cash flow and operational performance[119]. - The company faces risks related to the volatility of key raw material supplies, particularly from overseas suppliers, which could impact production[116]. Future Outlook - The company plans to increase R&D investment significantly in 2025, aiming to apply for no less than 50 patents and software copyrights[169]. - The company aims to expand its overseas market presence and deepen collaboration with foreign partners through investments and acquisitions[169]. - The company plans to enhance its testing and verification capabilities by increasing the number of test platforms to 160 by 2025[168]. - The company is committed to becoming an "international first-class, domestically leading" enterprise within three to five years[167]. Employee and Management Structure - The company has a total of 12 independent directors and supervisors, with compensation ranging from 6.00 million yuan to 32.22 million yuan[177]. - The company has a total of 10 employees with a master's degree or higher, and 128 employees with a bachelor's degree[196]. - The company has seen a consistent leadership structure with members serving in various capacities over the years, ensuring continuity[179]. - The management team is experienced and has been with the company since its inception, fostering a culture of innovation and stability[109][110].