BEKEN(SH:603068)2023-08-30 16:00Financial Performance - The company's operating revenue for the first half of 2023 was ¥336,528,202.71, a decrease of 9.34% compared to ¥371,194,101.29 in the same period last year[21]. - The net profit attributable to shareholders of the listed company was -¥52,129,583.98, representing a decline of 123.92% from -¥23,280,325.34 in the previous year[21]. - The net cash flow from operating activities improved significantly to ¥71,383,393.16, compared to -¥213,988,680.06 in the same period last year, marking a 133.36% increase[21]. - The total assets at the end of the reporting period were ¥1,991,612,869.07, down 1.39% from ¥2,019,656,840.36 at the end of the previous year[21]. - The net assets attributable to shareholders of the listed company decreased by 2.74% to ¥1,750,475,488.36 from ¥1,799,855,261.00 at the end of the previous year[21]. - Basic earnings per share for the first half of 2023 were -¥0.35, a decrease of 133.33% compared to -¥0.15 in the same period last year[22]. - The weighted average return on net assets was -2.94%, a decrease of 1.78 percentage points from -1.16% in the previous year[22]. - The company reported a net profit after deducting non-recurring gains and losses of -¥52,455,767.79, which is a 77.14% increase in loss compared to -¥29,612,270.14 last year[21]. Revenue and Cost Analysis - The company's operating revenue decreased by 34.67 million yuan, approximately 9.34%, primarily due to the ongoing recovery in the downstream consumer electronics market and continued inventory destocking by customers[23]. - The net profit attributable to shareholders decreased by 28.84 million yuan, mainly due to the 9.34% reduction in operating revenue influenced by the industry cycle, along with increased R&D expenses for new product development and technology upgrades[23]. - The net cash flow from operating activities turned from outflow to inflow, mainly due to normal collection speed and reduced procurement for inventory[23]. - The company's operating revenue for the current period is ¥336,528,202.71, a decrease of 9.34% compared to ¥371,194,101.29 in the same period last year[43]. - The company's R&D expenses increased by 14.51% to ¥140,605,284.44 from ¥122,787,337.24 year-on-year, reflecting a commitment to innovation[43]. - Revenue decreased due to ongoing destocking by customers in the recovering consumer electronics market[45]. - R&D expenses increased year-on-year as the company continued to hire R&D personnel and invest in new product development[45]. Market Position and Product Development - As of June 30, 2023, the company held a total of 148 patents in the US and China, showcasing its strength in technology R&D within the wireless RF field[29]. - The company has established a leading position in the domestic market for wireless ICs, particularly in consumer electronics and industrial applications, benefiting from strong brand recognition and a stable customer base[27]. - The company has launched the world's first Wi-Fi 6 chip for IoT applications, enhancing transmission bandwidth and integrating digital signal processing capabilities to lower system costs and power consumption[32]. - The company is positioned to leverage its competitive advantages and business layout to maintain a rapid growth rate in sales revenue and further increase its market share in the industry[28]. - The company has developed a fully integrated chip suitable for China's ETC national standard, establishing a leading position in the domestic ETC chip market[32]. - The core team consists of 378 employees, with 339 in R&D, representing 90% of the workforce, highlighting the company's commitment to innovation and technical expertise[29]. - The company has launched several new Wi-Fi MCU chips, including the smallest Wi-Fi MCU chip in the market and the lowest power consumption Wi-Fi 6 MCU chip, with ongoing development for Wi-Fi 7 chips[35]. - The company has achieved multiple certifications, including being one of the first to obtain Matter certification, enhancing its competitive edge in the smart home market[36]. - The company has made significant advancements in automotive electronics, with several chips passing AEC-Q100 automotive certification, positioning itself strongly in the automotive market[37]. - The company is focused on expanding its product offerings in smart home, wearable, and smart transportation applications, aligning with market demand[35]. Financial Stability and Risks - The company has not disclosed any significant risks during the reporting period, indicating a stable operational environment[5]. - There are no plans for profit distribution or capital reserve transfer to increase share capital during this reporting period[4]. - The company maintains a stable supply chain with key partners like TSMC and SMIC, ensuring production capacity and product quality amid industry challenges[41]. - The company has received numerous awards, including the "Top 10 Most Promising IC Design Companies in China," reflecting its strong brand recognition in the semiconductor industry[33]. - The company faces competitive risks from well-funded international firms and domestic chip design companies[55]. - The company faces significant competition risks from international manufacturers and domestic firms in the rapidly developing IC design industry, which may impact market share and profitability[56]. - The company has established long-term partnerships with major foundries and packaging testing suppliers, including SMIC and TSMC, to mitigate supply chain risks, but faces potential supply shortages due to tight chip production capacity[57]. Shareholder Commitments and Governance - The company has committed to not transferring or entrusting the management of its shares for 36 months from the date of listing, which started in April 2019[65]. - If the company's stock price closes below the issue price for 20 consecutive trading days within six months post-listing, the lock-up period for shares will automatically extend by six months[65]. - The company will ensure that any unfulfilled commitments will result in the proceeds from stock sales being returned to the company within five working days[65]. - The company has established a compensation responsibility for any losses caused to investors due to non-compliance with commitments[65]. - The company has emphasized the importance of maintaining shareholder trust through adherence to these commitments[65]. - The company commits to improving its profit distribution system and enhancing investor return mechanisms, including cash dividends to attract investors[67]. - The company plans to actively implement fundraising projects that align with its main business and future development strategy, aiming to enhance sustainable profitability[67]. - The company will establish a special account for the raised funds to ensure dedicated use and strict control over the usage of funds[67]. - The company will continuously improve measures to compensate for the dilution of immediate returns as per the guidelines from the China Securities Regulatory Commission and the Shanghai Stock Exchange[67]. Legal and Regulatory Matters - There are ongoing significant litigation matters, including a patent infringement lawsuit against a competitor in the U.S. for damages related to unauthorized use of the company's patents[76]. - The company and its major shareholders have maintained good integrity, with no significant debts or court judgments unfulfilled during the reporting period[79]. - There were no significant related party transactions or major contracts reported during the half-year period[80]. - The report indicates no changes in the company's shareholding structure or any new major investments during the reporting period[84]. - The company has not disclosed any new product developments or technological advancements in this report[78]. - There were no significant legal or regulatory issues affecting the company or its major stakeholders during the reporting period[79]. - The company has not engaged in any mergers or acquisitions during the reporting period[80]. Asset and Liability Management - The company's total liabilities increased to RMB 244,958,198.05 from RMB 222,141,698.51, representing an increase of about 10.3%[96]. - The total equity attributable to shareholders decreased to RMB 1,750,475,488.36 from RMB 1,799,855,261.00, a decline of approximately 2.9%[96]. - Accounts receivable rose to RMB 126,768,608.82 from RMB 112,798,035.87, marking an increase of about 12.4%[94]. - Inventory decreased to RMB 302,953,631.48 from RMB 380,228,639.98, a decline of approximately 20.3%[94]. - The company reported a decrease in non-current assets to RMB 411,907,206.24 from RMB 420,389,120.60, reflecting a decline of about 2.8%[95]. - Short-term borrowings increased to RMB 40,093,083.91 from RMB 25,976,657.56, an increase of approximately 54.5%[95]. - The company’s deferred income increased to RMB 22,420,000.00 from RMB 12,960,000.00, representing an increase of approximately 73.5%[96]. Future Outlook and Strategic Initiatives - The company plans to continue focusing on market expansion and new product development to drive future growth[102]. - The company aims to improve operational efficiency and reduce costs in the upcoming quarters[123]. - The company is exploring potential mergers and acquisitions to strengthen its market position and diversify its offerings[123]. - The company has initiated a strategy to enhance its technological capabilities through research and development investments[123].