WXHS(SH:603090)2021-03-30 16:00Financial Performance - In 2020, the company's operating revenue was CNY 325,149,347.38, a decrease of 33.75% compared to CNY 490,762,251.62 in 2019[19] - The net profit attributable to shareholders was CNY 6,542,159.28, down 78.92% from CNY 31,032,178.05 in the previous year[19] - The net profit after deducting non-recurring gains and losses was CNY 4,533,409.06, a decline of 84.68% compared to CNY 29,588,893.93 in 2019[19] - Basic earnings per share decreased by 77.42% to CNY 0.07 in 2020 from CNY 0.31 in 2019[20] - Diluted earnings per share also fell by 77.42% to CNY 0.07 in 2020 compared to CNY 0.31 in 2019[20] - Operating profit was CNY 9.73 million, down 73.27% year-on-year, while net profit fell to CNY 7.99 million, a decline of 75.47%[49] - The total comprehensive income attributable to the parent company's owners was CNY 6,542,159.28, a decrease of 78.9% from CNY 31,032,178.05 in 2019[170] Cash Flow and Assets - The net cash flow from operating activities increased by 78.26% to CNY 46,570,097.19 from CNY 26,125,058.29 in 2019[19] - Cash generated from operating activities increased by 78.26% to approximately ¥46.57 million compared to ¥26.13 million in the previous period[62] - Cash and cash equivalents increased to CNY 122,487,491.86 from CNY 76,403,585.15, representing a growth of approximately 60.4%[161] - Total assets were CNY 698,100,946.40, a decrease of 6.99% from CNY 750,595,864.99 at the end of 2019[19] - The company's total assets decreased to CNY 558,363,121.34 in 2020 from CNY 625,287,666.47 in 2019, indicating a contraction in the company's asset base[167] - Total liabilities decreased to CNY 188,978,262.66 from CNY 239,321,451.19, a reduction of about 21%[162] Research and Development - The company has increased R&D investment by 10.20% to CNY 22.77 million, reflecting its commitment to innovation despite overall revenue decline[50] - Research and development expenses amounted to approximately ¥22.77 million, representing 7.00% of total revenue[61] - The company has developed a heat exchanger design software that includes four modules, enhancing its capabilities in various industries[47] Market and Industry Challenges - The company faces industry and policy risks as detailed in the report[6] - The deep cooling equipment segment saw a decline in sales by over 80%, indicating challenges in business expansion[48] - The market for plate-fin heat exchangers is facing challenges from rising raw material prices and increased competition, influenced by geopolitical changes and international trade tensions[75] - The company faced challenges due to the COVID-19 pandemic, with nearly 80% of its heat exchanger products being export-oriented, leading to a decrease in overseas orders[48] Corporate Governance and Compliance - The company has a standard unqualified audit report from Zhongxinghua Accounting Firm[4] - The company has not faced any legal or regulatory violations during the reporting period, ensuring compliance with governance standards[139] - The company confirmed that there were no significant differences in corporate governance compared to the requirements of the China Securities Regulatory Commission[144] Shareholder Information - The largest shareholder, Niu Yuxia, holds 54,675,000 shares, representing 54.68% of the total shares[119] - The total number of ordinary shareholders increased from 9,087 to 9,160 during the reporting period[117] - The company has not reported any shareholding changes among directors and senior management during the reporting period[129] Future Plans and Investments - The company plans to achieve revenue of 400 million yuan from heat exchangers, with a target of over 10 million yuan in sales from single products in the wind power and fuel cell sectors[78] - The company plans to invest 20 million yuan in its subsidiary for operational funding and 19.5 million yuan in a new subsidiary for business startup costs[88] - The company plans to expand into three business segments: deep cooling equipment, battery PACK, and intelligent loading, leveraging synergies among them[76] Environmental and Social Responsibility - The company donated 100,000 RMB to a charity fund in Wuxi for various public welfare projects in 2020[112] - The company promotes resource conservation and environmental protection through initiatives like paperless offices and community clean-up activities[113]