VITI(SH:603023)2022-04-22 16:00Financial Performance - The company's total revenue for 2021 was ¥70,996,892.98, representing a decrease of 16.02% compared to the previous year[20]. - The net profit attributable to shareholders for 2021 was ¥6,691,058.84, a decline of 57.37% year-over-year[20]. - The net profit after deducting non-recurring gains and losses was ¥6,034,207.80, which increased by 356.74% compared to the previous year[20]. - Basic earnings per share decreased by 60% to CNY 0.012 compared to CNY 0.03 in the previous year[22]. - The net profit attributable to shareholders decreased due to reduced orders in the large and medium bus market and increased raw material costs, particularly for chips[22]. - The weighted average return on equity decreased by 1.34 percentage points to 0.88% compared to 2.22% in the previous year[22]. - Total operating income for Q4 2021 was CNY 31,850,126.32, with a net profit of CNY 5,936,401.21 attributable to shareholders[25]. - Government subsidies received decreased compared to the previous year, impacting net profit negatively[22]. - The company reported a significant decrease in investment cash inflow by 97.61% to 14.12 million yuan[63]. - The company reported a total comprehensive income of CNY 5,423,564.27 for 2021, down from CNY 15,695,295.21 in 2020[194]. Cash Flow and Assets - The cash flow from operating activities for 2021 was ¥42,469,939.22, down 11.55% from the previous year[20]. - The total assets at the end of 2021 were ¥788,068,092.09, an increase of 1.38% compared to the end of 2020[21]. - The net cash flow from operating activities was CNY 42,469,939.22, down 11.55% from the previous period[63]. - The total cash and cash equivalents at the end of the period increased by 6.53% to 479.94 million yuan[64]. - The total liabilities increased from CNY 20,896,273.08 at the beginning of the period to CNY 24,963,430.20 at the end, resulting in a rise in the debt ratio from 2.69% to 3.17%[158]. - Cash and cash equivalents amounted to ¥456,172,415.70 in 2021, slightly up from ¥450,536,281.82 in 2020, indicating a growth of approximately 1.5%[185]. Research and Development - R&D investment accounted for 18.07% of total revenue, focusing on new products like full LCD instruments and intelligent driving cockpit systems[32]. - Research and development expenses slightly increased by 1.55% to CNY 12,826,369.31, reflecting ongoing investment in innovation[46]. - The company plans to increase R&D investment to develop new products and expand its product lines, aiming to improve product competitiveness and reduce costs[91]. Strategic Initiatives - The company plans to enhance its product line and maintain technological leadership through continuous innovation and upgrades[32]. - The company plans to acquire 100% equity of Shanghai Feir Automotive Parts Co., Ltd. through a combination of issuing shares, convertible bonds, and cash payments, as part of a significant asset restructuring[73]. - The company aims to establish investment funds through partnerships with market-oriented professional investment institutions to optimize and upgrade its industry[88]. - The company is exploring potential mergers and acquisitions to strengthen its market position, with a budget of $200 million allocated for this purpose[109]. Governance and Compliance - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[7]. - The company has not violated decision-making procedures for external guarantees[7]. - The company emphasizes transparency in information disclosure, adhering to relevant regulations and ensuring equal access for all shareholders[99]. - The company has established independent financial departments and accounting systems, with separate bank accounts and financial decision-making processes[102]. - The company has not faced any penalties from securities regulatory agencies in the past three years[116]. Market Conditions - The market for large and medium-sized buses saw a total sales volume of 87,500 units in 2021, a decline of 11.3% year-on-year[37]. - Sales of 7-meter and above new energy buses fell by 20.8% year-over-year in 2021, with total sales of 45,000 units[71]. - Despite recent declines, the new energy bus market is expected to grow in 2022, driven by the withdrawal of subsidies and the push for green transportation policies, indicating a substantial market opportunity for large and medium new energy buses in the future[71]. Risk Management - The report includes a risk statement regarding potential future challenges the company may face[8]. - The company faces risks from changes in industrial policies that could impact its operations and profitability in the automotive electronics sector[94]. - The company is experiencing a decline in net profit due to rising raw material prices and a shortage of key electronic components, which has affected production[95].