TFE(SH:600237)2020-04-27 16:00Financial Performance - In 2019, the company reported a net profit attributable to shareholders of -152.87 million RMB, a decrease of 1,704.07% compared to the previous year[5]. - The total revenue for 2019 was 822.06 million RMB, representing a decline of 7.15% from 2018[21]. - The company's total assets at the end of 2019 were 1.76 billion RMB, down 7.89% from the previous year[21]. - The net asset attributable to shareholders decreased by 11.93% to 1.10 billion RMB by the end of 2019[21]. - Basic earnings per share for 2019 were -0.2709 RMB, a significant drop from 0.0169 RMB in 2018, reflecting a decrease of 1,702.96%[22]. - The company's gross profit margin decreased due to lower sales prices and increased sales expenses[32]. - The company reported a net loss of ¥379,119,359.57 in 2019, compared to a loss of ¥226,249,347.94 in 2018, indicating a worsening of approximately 67.6%[145]. - The company reported a total comprehensive loss of ¥140,787,851.67 for 2019, compared to a comprehensive income of ¥5,806,888.15 in 2018[155]. Cash Flow and Investments - The company's cash flow from operating activities showed a significant increase to 120.92 million RMB, up 1,885.02% from the previous year[21]. - Operating cash flow net amount increased significantly to CNY 120,916,975.96, a rise of 1,885.02% year-on-year, primarily due to increased cash received from sales[36]. - The cash flow from investing activities showed a net outflow of ¥21,322,990.76 in 2019, compared to a net outflow of ¥55,564,369.91 in 2018, indicating a reduction in investment losses[157]. - The net cash flow from operating activities improved to ¥120,916,975.96 in 2019, compared to ¥6,091,460.32 in 2018, showing a positive trend[156]. Research and Development - Research and development expenses were CNY 23,735,336.37, a decrease of 9.66% compared to the previous year[36]. - Total R&D investment was ¥23.74 million, accounting for 2.89% of total revenue, with 216 R&D personnel representing 11.25% of the total workforce[44][45]. - The company will continue to invest in R&D for new products and technologies, particularly in high-end power electronic capacitors and ultra-thin capacitor films[58]. Market and Competition - The company faced challenges from a complex macroeconomic environment and intensified industry competition, impacting overall profitability[32]. - The film capacitor industry is experiencing intense competition with a significant presence of low-end products, leading to price wars and low profitability despite a growing market size[53]. - The company plans to continue its market expansion efforts, particularly in the capacitor manufacturing sector, to capture a larger market share[112]. Corporate Governance - The company has expanded its board with the election of independent directors, including Li Liangbin, Chen Wuwei, and Wen Donghua, enhancing governance[110]. - The company’s governance structure is in compliance with relevant regulations and does not have significant discrepancies with the requirements set by the China Securities Regulatory Commission[123]. - The independent director, Li Liangbin, received a total pre-tax remuneration of 30,000 RMB during the reporting period[108]. Environmental Responsibility - The company monitored and ensured that wastewater emissions met the standards, with actual results for CODCr ranging from 20 to 43 mg/L, well below the limit of 500 mg/L[86]. - The company achieved a noise level of 54.51 dB(A) during the day and 50.6 dB(A) at night, both within the regulatory limits[87]. - The company was recognized as an "Environmental Integrity Enterprise" by the Tongling Ecological Environment Bureau for the year 2018[92]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 47,424, down from 71,558 at the end of the previous month[97]. - The largest shareholder, Anhui Tongfeng Electronics Group Co., Ltd., holds 94,561,280 shares, accounting for 16.76% of total shares, with shares frozen[99]. - The company did not propose any cash dividend distribution plan for the reporting period despite having a positive profit available for distribution to ordinary shareholders[66]. Risk Management - The company faced significant risks as outlined in the report, which may impact future performance[7]. - The company faces risks from macroeconomic uncertainties and market competition, which may impact future growth[60][61]. - The company is committed to improving management efficiency and exploring new business areas to mitigate operational risks[61].