JCET(SH:600584)2022-03-30 16:00Financial Performance - The company's operating revenue for 2021 was CNY 30,502,417,851.52, representing a 15.26% increase compared to CNY 26,463,994,512.61 in 2020 [21]. - Net profit attributable to shareholders was CNY 2,958,712,532.84, a significant increase of 126.83% from CNY 1,304,390,209.14 in the previous year [21]. - The net cash flow from operating activities reached CNY 7,428,671,369.12, up 36.69% from CNY 5,434,695,224.80 in 2020 [21]. - Basic earnings per share rose to CNY 1.72, an increase of 112.35% compared to CNY 0.81 in 2020 [23]. - The company's net assets attributable to shareholders were CNY 20,991,131,608.04, reflecting a growth of 56.65% from CNY 12,627,430,980.43 at the end of 2020 [22]. - The company achieved a weighted average return on equity of 16.42%, an increase of 6.40 percentage points from 10.02% in 2020 [23]. - The net profit after deducting non-recurring gains and losses was CNY 2,486,571,359.81, marking a 161.22% increase from CNY 951,889,625.26 in the previous year [21]. - Non-recurring gains and losses totaled CNY 472,141,173.03 for 2021, compared to CNY 352,500,583.88 in 2020 [28]. - The company reported a significant increase in undistributed profits, rising by 185.59% to 4,334,284,717.95 RMB [68]. - The company reported a net profit of CNY 4.33 billion in 2021, significantly up from CNY 1.52 billion in 2020, an increase of 184.5% [199]. Dividend and Capital Management - The company plans to distribute a cash dividend of 2 CNY per 10 shares, totaling 355,910,600 CNY, based on a total share capital of 1,779,553,000 shares [4]. - The company does not plan to increase capital reserves or issue bonus shares for the 2021 fiscal year [4]. - The capital reserve increased by 46.31% to 14,984,289,460.00 RMB due to the premium from the non-public issuance of A shares [68]. - The company completed a non-public issuance of A-shares, which contributed to the increase in net assets and overall performance [23]. - The company raised a total of CNY 4,999,999,993.50 through a private placement of 176,678,445 shares, increasing total share capital from 1,602,874,555 shares to 1,779,553,000 shares [160]. Audit and Compliance - The company has received a standard unqualified audit report from Ernst & Young Hua Ming [3]. - The financial report has been declared true, accurate, and complete by the responsible parties, including the accounting supervisor [3]. - The internal control audit conducted by Ernst & Young received a standard unqualified opinion, confirming the effectiveness of the internal control system [118]. - The company has established a robust corporate governance structure, ensuring compliance with relevant laws and regulations, and maintaining independent operations from major shareholders [86]. - The audit report was issued by Ernst & Young Huaming, confirming compliance with auditing standards and independence requirements [196]. Risk Management - The company has outlined potential risks in its future development strategies, which investors should consider [6]. - The report includes a detailed discussion of risk factors that may affect future performance, as outlined in the management discussion and analysis section [6]. - The company faces significant operational risks due to trade friction, with overseas revenue constituting a large portion of its main business income [83]. - The ongoing COVID-19 pandemic continues to pose risks to production and operations, affecting attendance, procurement, and market activities [83]. - The company is actively monitoring exchange rate fluctuations, particularly between the RMB and USD, to mitigate foreign currency translation risks [84]. Research and Development - The company invested 1.19 billion RMB in R&D, reflecting a year-on-year increase of 16.30% [43]. - The company is focusing on diversifying its supply chain and enhancing strategic partnerships with key suppliers to mitigate global supply shortages [30]. - The company has established partnerships with major universities for technology research and talent development, enhancing its innovation capabilities [31]. - The company is actively expanding its presence in key markets such as AI, automotive electronics, and high-performance computing [41]. - The company plans to enhance its 5G-related design integration capabilities in response to the global deployment of 5G applications in 2022 [60]. Environmental Responsibility - The company has a focus on environmental responsibility, with hazardous waste and wastewater being managed by qualified entities to ensure compliance with environmental regulations [120]. - The company’s wastewater treatment meets the standards set by the Electroplating Industry Pollutant Discharge Standards (GB21900-2008), with no exceedances reported in 2021 [120]. - The company has implemented online monitoring for VOCs emissions, with no exceedances reported in 2021 [126]. - The company has conducted environmental impact assessments for construction projects and obtained necessary permits [133]. - The company is committed to sustainable development, focusing on employee rights protection and providing health benefits, including CNY 1.155 million in subsidies for employees in need [141]. Corporate Governance and Management - The company emphasizes investor relations management, maintaining communication through various channels to ensure transparency and engagement [86]. - The company is led by a diverse board with extensive experience in the semiconductor industry, including roles in various high-profile organizations [92]. - The company has maintained a consistent leadership structure with no changes in key executive positions during the reporting period [92]. - The total pre-tax compensation for the CEO during the reporting period was 1,172.27 million CNY [90]. - The total pre-tax compensation for all executives combined during the fiscal year was reported at 4,876.17 million CNY [91]. Market Position and Strategy - The company ranked third among the top ten OSAT manufacturers globally with an estimated revenue of 30.95 billion RMB, leading in various operational aspects [34]. - The global semiconductor market reached a total sales of 555.9 billion USD in 2021, growing by 26.2% year-on-year [33]. - The company is focusing on developing packaging technologies for electric vehicles and autonomous driving applications, targeting higher reliability standards [60]. - The company is exploring potential acquisitions to enhance its market position, with a focus on companies in the semiconductor sector valued at up to $II billion [94]. - The company aims to achieve a revenue growth rate higher than the global industry average in 2022, despite uncertainties in the market [80].