Secote co.ltd(603283)2020-04-27 16:00Financial Performance - The company achieved a net profit attributable to shareholders of RMB 122,418,621.78 for the year 2019[7]. - The company's operating revenue for 2019 was CNY 1,205,512,776.37, representing a 33.30% increase compared to CNY 904,386,416.95 in 2018[25]. - The net profit attributable to shareholders for 2019 was CNY 122,418,621.78, a slight increase of 1.14% from CNY 121,038,085.00 in 2018[25]. - The net cash flow from operating activities for 2019 was CNY 149,834,229.34, a significant recovery from a negative cash flow of CNY -69,622,355.84 in 2018[25]. - The company's total assets increased by 52.14% to CNY 2,089,930,457.39 at the end of 2019, up from CNY 1,373,706,146.14 in 2018[25]. - The basic earnings per share for 2019 was CNY 0.74, a decrease of 1.33% compared to CNY 0.75 in 2018[26]. - The company reported an operating profit of RMB 135.67 million, up 36.47% compared to the previous year[57]. - Net profit attributable to the parent company was RMB 122.45 million, reflecting a year-on-year growth of 1.17%[57]. Profit Distribution - The company plans to distribute a cash dividend of RMB 5.60 per 10 shares, totaling RMB 98,592,993.52, based on a total share capital of 176,058,917 shares after deducting repurchased shares[7]. - In 2019, the company distributed cash dividends totaling RMB 98,592,993.52, which accounted for 80.54% of the net profit attributable to ordinary shareholders[136]. - The cash dividend per 10 shares in 2019 was RMB 5.6, compared to RMB 3.1 in 2018[136]. - The total cash dividends distributed in 2018 were RMB 50,389,337.50, representing 41.63% of the net profit attributable to ordinary shareholders[136]. - The company does not plan to increase capital reserves or issue bonus shares for the year[7]. - The profit distribution proposal is subject to approval at the shareholders' meeting[8]. Research and Development - The company invested RMB 131.24 million in research and development over the past three years, with annual investments of RMB 71.82 million, RMB 102.91 million, and RMB 131.24 million respectively[47]. - The company holds a total of 577 patents, including 448 utility model patents and 127 invention patents[47]. - The total R&D investment accounted for 10.89% of the operating revenue, with 582 R&D personnel representing 25.03% of the total workforce[75]. - Research and development expenses increased by 27.53% to ¥131,238,047.72, reflecting higher investment in R&D activities[61]. - The company is focused on the research and development of intelligent manufacturing equipment, targeting industries such as consumer electronics, automotive, and semiconductors[36]. Market Strategy and Expansion - The company aims to expand its market share by integrating new business and enhancing existing operations, contributing to revenue growth and competitive advantage[36]. - The company plans to expand its product line into new sectors such as new energy vehicles, lithium batteries, and medical devices, aiming to enhance its market competitiveness[109]. - The company aims to diversify its market by expanding into industries such as new energy vehicles, lithium batteries, semiconductors, medical devices, and photovoltaics while continuing to strengthen its position in the consumer electronics manufacturing sector[114]. - The company has established strong partnerships with several globally recognized consumer electronics manufacturers, enhancing its market reputation[51]. - The company has made significant progress in expanding its business in the new energy vehicle and component manufacturing sector, which is experiencing rapid growth globally[116]. Financial Management and Compliance - The company has committed to strict compliance with information disclosure obligations and has not faced any significant legal or regulatory issues in the past three years[143]. - The company has not been subject to any bankruptcy or restructuring applications[148]. - The company commits to not having any conditions that would prevent participation in major asset restructuring as per regulatory guidelines[150]. - The company will implement a stock incentive plan to motivate employees and align their interests with the company's long-term goals[111]. - The company will adopt a flat organizational management model to improve efficiency and ensure effective execution of management directives[117]. Risks and Challenges - The company faces risks related to reliance on a single industry, rising labor costs, raw material price fluctuations, and challenges in entering new markets[123][124][128][129]. - The competitive landscape is intensifying, with foreign firms increasing their presence in the domestic market, which poses challenges for local manufacturers[102]. Acquisitions and Investments - The company completed the acquisition of 67.53% of Optima Corporation for approximately RMB 16.40 million[43]. - The company is open to acquisitions and mergers to achieve external expansion when suitable targets are identified[122]. - The company has invested in two key suppliers: Lingou Technology in the automotive sector and OPTIMA Co., Ltd. in the semiconductor industry, enhancing its strategic layout in intelligent equipment[105].