KEDE Numerical (SH:688305)2025-04-28 10:35Financial Performance - Kede Numerical Control reported a significant increase in revenue, achieving a total of RMB 1.2 billion for the fiscal year 2023, representing a growth of 15% year-over-year [18]. - The company's operating revenue for 2024 reached ¥605,474,164.58, representing a 33.88% increase compared to ¥452,256,130.89 in 2023 [24]. - Net profit attributable to shareholders for 2024 was ¥129,893,922.73, a growth of 27.37% from ¥101,985,481.96 in 2023 [24]. - The net profit after deducting non-recurring gains and losses increased by 36.13% to ¥104,808,408.37 in 2024 from ¥76,989,643.92 in 2023 [24]. - The net cash flow from operating activities surged by 56.64% to ¥69,812,342.77 in 2024, compared to ¥44,567,244.53 in 2023 [24]. - The company's total assets grew by 50.45% to ¥2,256,399,002.63 at the end of 2024, up from ¥1,499,732,294.73 at the end of 2023 [24]. - The net assets attributable to shareholders increased by 61.24% to ¥1,827,923,255.89 at the end of 2024, compared to ¥1,133,659,575.63 at the end of 2023 [24]. - Basic earnings per share for 2024 were ¥1.3133, reflecting a 19.99% increase from ¥1.0945 in 2023 [25]. - The gross profit margin for the reporting period was 42.87%, a decrease of 2.02 percentage points compared to 2023, but still significantly higher than industry peers [132]. Research and Development - The company is investing heavily in R&D, with a budget allocation of RMB 150 million for the development of new technologies and products in 2024 [18]. - The total R&D investment for 2024 amounted to 162.63 million RMB, representing 26.86% of the company's revenue, with significant advancements in five-axis machining centers and other key technologies [42]. - The company has developed core technologies in high-end CNC systems and five-axis CNC machine tools, achieving international advanced levels in functionality and precision [93]. - The company has filed 196 patent applications, including 171 invention patents, as part of its ongoing innovation efforts [99]. - The company has established a dual R&D system for high-end CNC systems and machine tools, enabling rapid iteration and enhancement of product performance and reliability [124]. - The company has developed a new coordinate transformation algorithm that enhances automatic workpiece and workbench alignment, improving safety and stability during processing [96]. Market Expansion and Strategy - Kede Numerical Control plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share in that region by the end of 2024 [18]. - The company is exploring potential mergers and acquisitions to enhance its technological capabilities and market reach, with a focus on companies in the automation sector [18]. - The company aims to achieve "import substitution" through its advanced core technologies, contributing to its strategic goals [93]. - The company plans to enhance its development in the orthopedic field with new products like the five-axis milling and grinding composite processing center, which is designed for ergonomic implants [181]. - The company is positioned to provide complete turnkey solutions for flexible production lines, addressing the growing demand for customized manufacturing solutions [125]. Corporate Governance - The board of directors has confirmed the authenticity, accuracy, and completeness of the annual report [4]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties [10]. - The company has not violated any decision-making procedures for providing guarantees [10]. - The company has no special arrangements for corporate governance [10]. - The company has maintained effective communication with investors to enhance governance standards and protect shareholder rights [196]. Awards and Recognition - Kede Numerical Control received the "Spring Swallow Award" for innovation in machine tool technology, highlighting its commitment to product development [18]. - The company has been recognized as a national-level "specialized, refined, distinctive, and innovative" small giant enterprise in 2023 and as a single champion enterprise in the manufacturing industry in Liaoning Province for 2024 [97]. - The company received the Silver Award of the 10th Liaoning Provincial Governor Quality Award for its five-axis vertical machining center, recognized as a champion enterprise in Liaoning's manufacturing industry for 2024 [104]. Risks and Challenges - The company faces risks related to adapting to diverse market demands across different industries, which could impact revenue growth if not managed effectively [129]. - The company is exposed to potential price increases and supply chain disruptions for key components due to international trade tensions [132]. - The company faces significant competition in the high-end CNC machine market, primarily from international manufacturers [173]. Shareholder Returns - The company plans to distribute a cash dividend of RMB 2.45 per 10 shares (including tax) and to increase the share capital by 3 shares for every 10 shares held, resulting in a total cash dividend distribution of approximately RMB 25,047,796.97 (including tax) and a capital increase of 30,670,772 shares [8]. - The company distributed a cash dividend of 2.50 RMB per 10 shares, totaling approximately 25.43 million RMB, as part of its commitment to shareholder returns [47].