锦富技术(300128) - 2021 Q4 - 年度财报(更新)

Important Notice, Table of Contents, and Definitions This section provides critical investor warnings, defines key terms, and outlines the report's structure Important Notice The company warns investors of a significant performance decline in 2021, attributing it to industry cycles, customer order reductions, underperforming subsidiaries, and goodwill impairment, advising caution regarding forward-looking statements - The company reported a significant decline in 2021 performance, with detailed explanations and improvement measures provided in the report[6] - The company faces multiple risks: - Industry and Economic Cycle Risks: Die-cutting and backlight module businesses face performance fluctuations, declining gross margins, and accounts receivable recovery risks - Customer Concentration and Changes: LCD module business experienced a substantial temporary decline in orders due to changes in major customer equity - Subsidiary Operating Risks: Maizhi Technology's testing fixture business faces underperformance and goodwill impairment risks, while its new automation business has technology and market development risks - New Acquisition Integration Risks: Post-acquisition of Shenjie Environmental, the company faces business and management integration challenges and goodwill impairment risks[7][8] - The company's 2021 profit distribution plan proposes no cash dividends, no bonus shares, and no capital increase from capital reserves[10] Definitions This section defines key abbreviations for companies, entities, and professional terms used in the report, such as "Jinfu Technology" and core business products like backlight modules - The company's controlling shareholder is Taixing Zhicheng Industrial Investment Fund (Limited Partnership), with the actual controller being Taixing High-tech Industrial Development Zone Management Committee of Jiangsu Province[16] - Lists the company's main wholly-owned and controlling subsidiaries, including Dongguan Jinfu, Aoying Optoelectronics, and Maizhi Technology[16] - Explains core product terminology such as Backlight Unit (BLU) and optoelectronic display film devices (including optical films, adhesive products, and insulating products)[16] Company Profile and Key Financial Indicators This section presents the company's overview and a detailed analysis of its key accounting data and financial performance for the reporting period Key Accounting Data and Financial Indicators In 2021, the company's performance severely declined, with revenue dropping 28.91% to 970 million yuan, and net profit attributable to shareholders turning into a substantial loss of 346 million yuan Main Financial Data | Indicator | 2021 | 2020 | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue (yuan) | 969,842,290.33 | 1,364,232,745.17 | -28.91% | | Net Profit Attributable to Shareholders (yuan) | -345,664,032.82 | 22,353,923.15 | -1646.32% | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) (yuan) | -348,699,836.59 | 6,095,611.39 | -5820.51% | | Net Cash Flow from Operating Activities (yuan) | 54,022,807.47 | 201,682,910.32 | -73.21% | | Basic Earnings Per Share (yuan/share) | -0.3159 | 0.0204 | -1648.53% | | Weighted Average Return on Net Assets | -33.09% | 1.98% | -35.07% | | Total Assets (yuan) | 1,982,160,154.19 | 2,353,168,608.18 | -15.77% | | Net Assets Attributable to Shareholders (yuan) | 873,907,056.46 | 1,222,348,716.00 | -28.51% | Quarterly Financial Data | Quarter | Operating Revenue (yuan) | Net Profit Attributable to Shareholders (yuan) | | :--- | :--- | :--- | | Q1 | 211,456,640.32 | -14,118,449.06 | | Q2 | 203,758,223.93 | -25,174,358.34 | | Q3 | 243,373,959.48 | -6,636,519.74 | | Q4 | 311,253,466.60 | -299,734,705.68 | - The company's total non-recurring gains and losses in 2021 amounted to 3.0358 million yuan, a significant decrease from 16.2583 million yuan in 2020, primarily due to non-current asset disposal gains turning into losses and reduced government subsidies[26][27] Management Discussion and Analysis This section offers an in-depth review of the company's principal businesses, core competencies, operational performance, and future development strategies Principal Business The company's main products include LCD modules, optoelectronic display films, and testing fixtures; it expanded die-cutting business overseas, entered new customer supply chains for LCD modules, and its intelligent testing subsidiary was recognized as a "Little Giant" enterprise - The company's leading products include LCD modules, optoelectronic display film and electronic functional devices, testing fixtures and automation equipment, and precision die-cutting equipment[34] - Optoelectronic display film and electronic functional devices business, a core segment, has established a joint venture in Vietnam for overseas expansion, with mass production progressing orderly[36] - LCD module business sales revenue significantly decreased by 69.28% year-on-year in 2021 due to the acquisition of its major customer, Suzhou Samsung Display, by TCL CSOT; however, the company successfully entered CSOT's supply chain, with orders significantly increasing from the second half of the year[37] - Controlling subsidiary Maizhi Technology (intelligent testing and automation equipment business) was successfully selected for the Ministry of Industry and Information Technology's third batch of specialized, refined, unique, and new "Little Giant" enterprises[39] Analysis of Core Competencies The company's core strengths include comprehensive optoelectronic display film solutions, a complete industry chain, mastery of key technologies, extensive regional network, and a portfolio of high-quality clients - The company possesses the capability to provide customers with comprehensive solutions, from product design and material selection to supporting equipment development[44] - A complete industry chain has been established, covering specialized processing equipment, testing equipment, backlight modules, and various optoelectronic display film devices[45] - The company boasts a portfolio of leading domestic and international clients, including Apple, CSOT, LGD, Foxconn, Huawei, BOE, and CATL[48] Analysis of Main Business In 2021, total operating revenue decreased by 28.91%, and net profit attributable to shareholders incurred a substantial loss of 346 million yuan, primarily due to customer changes, inventory write-downs, and significant goodwill impairment - Net profit attributable to shareholders decreased by 1646.32% year-on-year during the reporting period, primarily due to: - Significant decline in orders and revenue from the LCD module business due to major customer equity changes - Inventory write-downs resulting from lower-than-expected orders in the testing fixture business - Goodwill impairment of 130 million yuan recognized for the acquisitions of Maizhi Technology and Aoying Optoelectronics - Expenses incurred from the termination of the acquisition of Jiutai Precision - A substantial increase in income tax expense due to the non-recognition of deferred income tax assets for certain deductible losses, reflecting future profitability uncertainty[49][50] - The company terminated the major asset restructuring for the acquisition of Jiutai Precision, initiated a lawsuit, and ultimately reached a settlement with the counterparty, who is required to return a deposit of 40 million yuan and pay 40 million yuan in compensation[51][52] - To seek new profit growth points, the company initiated a cash acquisition of 53.42% equity in Shanghai Shenjie Environmental Protection Technology Co., Ltd. for 481 million yuan[54] - The company plans to issue shares to specific investors to raise funds primarily for the "High-Performance Graphene Heat Dissipation Film Production Base Project," aiming to strategically enter the advanced materials sector[55] Expense Analysis | Expense Item | 2021 (yuan) | 2020 (yuan) | YoY Change | Significant Change Explanation | | :--- | :--- | :--- | :--- | :--- | | Selling Expenses | 42,768,079.17 | 44,381,696.23 | -3.64% | - | | Administrative Expenses | 116,642,712.70 | 110,719,522.97 | 5.35% | Primarily due to increased intermediary service fees in the current period | | Financial Expenses | 29,432,402.32 | 33,509,847.87 | -12.17% | - | | R&D Expenses | 49,414,437.71 | 45,564,375.42 | 8.45% | - | | Income Tax Expense | 61,386,927.54 | 5,772,566.69 | 963.43% | Primarily due to the non-recognition of deferred income tax assets for certain deductible losses at the end of the current period | Cash Flow Analysis | Cash Flow Item | 2021 (yuan) | 2020 (yuan) | YoY Change | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 54,022,807.47 | 201,682,910.32 | -73.21% | | Net Cash Flow from Investing Activities | 155,864,760.83 | 7,764,021.82 | 1907.53% | | Net Cash Flow from Financing Activities | -287,072,086.79 | -142,404,519.13 | -101.59% | | Net Increase in Cash and Cash Equivalents | -79,011,959.93 | 58,609,263.66 | -234.81% | Revenue and Cost Analysis In 2021, operating revenue decreased by 28.91% to 970 million yuan, primarily due to a 69.28% drop in LCD module revenue, while foreign sales significantly declined by 67.71% Revenue by Product | By Product | 2021 Revenue (yuan) | 2020 Revenue (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | LCD Modules | 164,257,138.77 | 534,634,720.47 | -69.28% | | Optoelectronic Display Film and Electronic Functional Devices | 378,238,991.24 | 385,274,578.33 | -1.83% | | Testing Fixtures and Automation Equipment | 207,123,792.62 | 230,577,496.04 | -10.17% | | Metal Components for Consumer Electronics | 120,604,006.80 | 111,487,639.95 | 8.18% | - The gross margin for LCD module products turned negative at -6.05%, a significant decrease from the previous year, primarily due to a substantial temporary decline in orders caused by changes in major customer equity[62] - Sales to the top five customers accounted for 50.03% of total annual sales, indicating high customer concentration[74] Analysis of Major Holding and Participating Companies Subsidiary performance varied significantly, with Aoying Optoelectronics and Dongguan Jinfu incurring substantial losses, while Maizhi Technology's profit declined, and Xiamen Lifu and Changshu Minglija achieved profit growth Net Profit by Subsidiary | Subsidiary Name | 2021 Net Profit (yuan) | 2020 Net Profit (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Aoying Optoelectronics | -94,793,878.58 | 12,818,221.95 | -839.52% | | Dongguan Jinfu | -27,339,537.28 | -668,479.96 | -3989.81% | | Maizhi Technology | 17,625,790.99 | 33,595,868.52 | -47.54% | | Xiamen Lifu | 521,098.90 | -1,948,972.55 | 126.74% | | Changshu Minglija | 16,509,539.19 | 15,395,437.73 | 7.24% | - Aoying Optoelectronics' losses were primarily due to changes in major customer equity, lower new customer orders, a significant decline in operating revenue failing to cover fixed costs, and increased credit and asset impairment losses[118] - Dongguan Jinfu's significant performance decline was mainly due to reduced customer orders, lower product prices, additional expenses from factory relocation, and non-recognition of deferred income tax assets[108] Outlook on Future Development The company plans to focus on core businesses, advance graphene material industrialization, explore international expansion, and targets 1.84 billion yuan in revenue for 2022, while facing risks from economic uncertainty and market competition - The company's strategic core is to strengthen die-cutting modules, testing fixtures, and intelligent automation equipment businesses, while steadily advancing the implementation of new businesses such as advanced electronic materials[124] 2022 Operating Plan | 2022 Operating Plan | Amount (10,000 yuan) | | :--- | :--- | | Operating Revenue Target | 184,000 | | Cost Control Target | 144,000 | | Expense Budget | 29,000 | | Bank Loan Plan | 120,000 | - The company faces major risks including macroeconomic uncertainty, intensified market competition, integration and performance risks of acquired companies (Maizhi Technology, Shenjie Environmental), declining product gross margins, relatively high customer concentration (top five customers account for 50.03%), and accounts receivable recovery risks[134][135][136][137][138][139][140] Corporate Governance This section details the company's governance structure, compliance with regulations, and information regarding its directors, supervisors, and senior management Basic Status of Corporate Governance The company's corporate governance structure and internal control systems comply with relevant laws and regulations, operating independently from its controlling shareholder in all aspects - The company's corporate governance status complies with the relevant requirements of the China Securities Regulatory Commission and Shenzhen Stock Exchange for GEM-listed companies, with no significant discrepancies[144][151] - The company is completely separate from its controlling shareholder and actual controller in terms of assets, personnel, finance, organization, and business, possessing a complete business system and the ability to operate independently in the market[152] Directors, Supervisors, and Senior Management During the reporting period, the company's board secretary and an independent director resigned, with total remuneration for directors, supervisors, and senior management amounting to 5.7785 million yuan - Independent Director Zhang Xiuhua and Board Secretary and Deputy General Manager Song Feng resigned during the reporting period[161] - The total remuneration actually paid to directors, supervisors, and senior management during the reporting period was 5.7785 million yuan[169] Environmental and Social Responsibility This section outlines the company's environmental protection efforts and its initiatives in fulfilling social responsibilities Environmental Protection The company and its subsidiaries are not designated as key polluting units and received no environmental administrative penalties, maintaining an ISO 14001:2015 environmental management system - The company and its subsidiaries are not classified as key polluting units and received no environmental administrative penalties during the reporting period[195] Social Responsibility During the reporting period, the company actively fulfilled its social responsibility by donating 600,000 yuan to Longchuan County No. 1 Middle School through the Guangdong Chuanchuan Education Foundation - The company donated 600,000 yuan to Longchuan County No. 1 Middle School to support education[196] Significant Matters This section covers major events during the reporting period, including significant litigation, related party transactions, and other material developments Major Litigation and Arbitration Matters The company was involved in multiple lawsuits and arbitrations, including a successful arbitration for equity repurchase and a pre-payment return lawsuit that ended in a win but with no executable assets from the counterparty - The company initiated and won arbitration against Shenzhen Suanyun for equity repurchase (involving 50 million yuan), subsequently reaching an asset settlement with guarantor Xinyu Yizhao[212][213] - The lawsuit filed by the company against Shenzhen Xinshihong Machinery Co., Ltd. for the return of advance payments (involving 30.2074 million yuan) has been adjudicated, but enforcement was terminated due to the counterparty's lack of executable assets[212][214] Major Related Party Transactions The company engaged in a significant related party transaction, acquiring land, buildings, and attachments from Taixing Zhiguang Environmental Technology Co., Ltd., an affiliate of its controlling shareholder, for 163 million yuan Major Related Party Transaction | Related Party | Relationship | Transaction Content | Transfer Price (10,000 yuan) | Pricing Principle | | :--- | :--- | :--- | :--- | :--- | | Taixing Zhiguang Environmental Technology Co., Ltd. | Single Limited Partner of Controlling Shareholder | Purchase of land, buildings, and attachments | 16,300 | Negotiated based on appraisal report | Other Significant Matters The company experienced several major events, including the termination of a significant asset restructuring, completion of share increase plans by major shareholders, divestment of an equity stake, and initiation of a new acquisition and private placement for a graphene project - The major asset restructuring for the proposed acquisition of 70% equity in Jiutai Precision was terminated; subsequently, the company reached a settlement with the counterparty through litigation, who returned a deposit and paid compensation totaling 80 million yuan[237][239][240] - The company's shareholder holding over 5%, Saier New Energy, completed its share increase plan, with a cumulative increase amount of 78.4572 million yuan[241][242] - The company transferred its entire 25% equity stake in Zhongke Tianji Data Technology Co., Ltd. for 90.84 million yuan[244] - Initiated a cash acquisition of 53.42% equity in Shanghai Shenjie Environmental Protection Technology Co., Ltd. for 481 million yuan to explore new profit growth points[245] - Planning a private placement of shares to specific investors, raising a total of no more than 738 million yuan for the "High-Performance Graphene Heat Dissipation Film Production Base Project" and to supplement working capital[246] Changes in Shares and Shareholder Information This section provides details on changes in the company's share capital, its shareholder structure, and information about the controlling shareholder and actual controller Changes in Share Capital The company's total share capital remained unchanged at 1,094,115,412 shares, with minor structural adjustments due to increased restricted shares from executive holdings and a corresponding decrease in unrestricted shares - Total share capital remained unchanged at 1,094,115,412 shares during the reporting period[252] - Share changes were primarily due to the release of restricted shares after former executives' departures and the subsequent lock-up of shares acquired by the current chairman and general manager through concerted parties, as per regulations[251][254] Shareholders and Actual Controller Information As of the reporting period end, the company had 36,486 shareholders, with Taixing Zhicheng Industrial Investment Fund as the controlling shareholder (19.19%) and Taixing High-tech Industrial Development Zone Management Committee as the actual controller Top Shareholders | Shareholder Name | Shareholder Type | Shareholding Percentage | Number of Shares Held | | :--- | :--- | :--- | :--- | | Taixing Zhicheng Industrial Investment Fund (Limited Partnership) | Domestic Non-State-Owned Legal Person | 19.19% | 209,963,460 | | Taixing Saier New Energy Technology Co., Ltd. | Domestic Non-State-Owned Legal Person | 8.42% | 92,133,024 | | Sun Haizhen | Domestic Natural Person | 1.98% | 21,618,607 | | Wang Jianjun | Domestic Natural Person | 1.59% | 17,351,972 | - The company's controlling shareholder is Taixing Zhicheng Industrial Investment Fund (Limited Partnership), and the actual controller is Taixing High-tech Industrial Development Zone Management Committee of Jiangsu Province[260][262] Preferred Shares Information This section confirms the absence of preferred shares during the reporting period No Preferred Shares The company had no preferred shares during the reporting period - The company had no preferred shares during the reporting period[268] Bonds Information This section confirms the absence of bonds during the reporting period No Bonds The company had no bonds during the reporting period - The company had no bonds during the reporting period[270] Financial Report This section includes the audit report and detailed financial statements, presenting the company's financial position and performance Audit Report Tianheng Certified Public Accountants issued a standard unqualified audit opinion on the company's 2021 financial statements, highlighting revenue recognition and goodwill impairment as key audit matters due to significant management judgment - The auditing firm issued a standard unqualified audit opinion[272][273] - Key audit matters include: - Revenue Recognition: Due to revenue being a key performance indicator, there is an inherent risk of management manipulating the timing of revenue recognition - Goodwill Impairment: Goodwill is a significant amount (217 million yuan at period-end), and its impairment testing involves significant management judgments and assumptions regarding future cash flows[275][276] Financial Statements The 2021 financial statements show total assets of 1.982 billion yuan, a 15.77% decrease, total liabilities of 1.049 billion yuan, and net profit turning into a loss of 345 million yuan, with operating cash flow significantly reduced Consolidated Balance Sheet Key Items | Consolidated Balance Sheet Key Items | As of December 31, 2021 (yuan) | As of December 31, 2020 (yuan) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 308,982,033.03 | 331,369,977.00 | | Accounts Receivable | 401,209,894.48 | 441,836,326.07 | | Inventories | 132,651,992.68 | 156,034,883.70 | | Fixed Assets | 328,709,247.33 | 365,073,773.17 | | Goodwill | 216,837,531.54 | 347,263,594.23 | | Short-term Borrowings | 364,019,184.12 | 732,178,909.50 | | Accounts Payable | 223,734,950.28 | 242,779,697.42 | | Total Assets | 1,982,160,154.19 | 2,353,168,608.18 | | Total Liabilities | 1,049,491,396.06 | 1,076,779,859.15 | | Total Equity Attributable to Parent Company Owners | 873,907,056.46 | 1,222,348,716.00 | Consolidated Income Statement Key Items | Consolidated Income Statement Key Items | For the Year 2021 (yuan) | For the Year 2020 (yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 969,842,290.33 | 1,364,232,745.17 | | Total Operating Costs | 1,033,809,624.04 | 1,324,378,003.00 | | Credit Impairment Losses | -44,773,349.13 | -13,109,351.93 | | Asset Impairment Losses | -178,385,595.92 | -4,348,213.62 | | Total Profit | -283,548,865.46 | 32,641,529.66 | | Net Profit | -344,935,793.00 | 26,868,962.97 | | Net Profit Attributable to Parent Company Shareholders | -345,664,032.82 | 22,353,923.15 |