RAISECOM(SH:603803)2022-04-27 16:00Financial Performance - In 2021, the company reported a net profit attributable to shareholders of -RMB 809,913,593.94, with no cash dividends proposed[5]. - Total revenue for 2021 was RMB 1,853,177,459.77, representing a year-over-year increase of 7.48% from RMB 1,724,266,490.43 in 2020[20]. - The net cash flow from operating activities was -RMB 74,118,477.12, indicating a significant decline compared to RMB 3,599,120.08 in 2020[20]. - The company's total assets decreased by 14.81% to RMB 3,138,537,756.37 at the end of 2021, down from RMB 3,684,142,429.47 at the end of 2020[20]. - The net assets attributable to shareholders fell by 31.39% to RMB 1,842,642,358.23, compared to RMB 2,685,663,311.79 at the end of 2020[20]. - The basic earnings per share (EPS) for 2021 was -1.92 RMB, a decrease from 0.33 RMB in 2020, reflecting a significant decline in profitability[21]. - The weighted average return on equity (ROE) for 2021 was -35.97%, down from 5.21% in 2020, indicating a severe impact on shareholder value[21]. - The company reported a total revenue of approximately 1.85 billion RMB for the fourth quarter of 2021, with a net profit of -86.84 million RMB[23]. - The net profit attributable to shareholders was RMB -809.91 million due to significant impairment provisions and rising costs of key raw materials[30]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion yuan, representing a 20% year-over-year growth[93]. Operational Challenges - The company faced challenges from supply chain instability and rising raw material costs, which negatively impacted its annual performance metrics[28]. - The company has indicated potential risks in its future development strategies, which may not be fully disclosed in the report[6]. - The company’s management has emphasized the importance of investor awareness regarding potential risks in operational performance[7]. - The company recognized impairment losses totaling CNY 85.17 million related to its specialized network communication business[61]. - The company has identified key audit matters that are critical to the financial statements, which will be disclosed unless prohibited by law[189]. - The company faces risks related to performance volatility due to rapid technological changes and intense market competition, which may lead to price declines in communication equipment[75]. Market and Product Development - The company achieved significant procurement success in the new generation optical transmission access and cloud-network integration products, securing bids with major telecom operators in China[29]. - The company’s broadband business saw record shipment volumes for both enterprise and home terminals, indicating strong market demand[29]. - The company optimized its organization and business in the vertical industry market, leading to widespread application of its industrial network products in sectors like energy and electricity[29]. - The company reported a significant increase in revenue from overseas markets, capitalizing on opportunities in network upgrades[29]. - The company made breakthroughs in operator business, winning bids for 10GPON+WiFi6 products in China Telecom's Tianyi Gateway 4.0 procurement[31]. - The cloud-network integration business saw successful bids in China Mobile's SD-WAN equipment procurement, opening new avenues for development[31]. - The company is actively expanding its overseas market presence and enhancing collaboration with telecom operators and large state-owned enterprises to support infrastructure construction and digital transformation[74]. Research and Development - The company maintained R&D investment exceeding 10% of operating revenue, with a total of 421 patent authorizations, including 328 invention patents[38]. - Research and development expenses amounted to RMB 271.13 million, a slight increase of 3.41% from the previous year[42]. - The company plans to maintain high R&D investment intensity, focusing on breakthroughs in key areas and accelerating the application of new technologies such as OSU, SRV6, and IPV6[73]. - The company is investing in R&D, allocating 10% of its revenue towards developing new technologies and products[93]. Governance and Compliance - The company held 3 shareholder meetings during the reporting period, ensuring compliance with legal requirements and equal rights for all shareholders[78]. - The board of directors convened 8 meetings, adhering to regulations and effectively managing key decisions such as profit distribution and external investments[79]. - The supervisory board held 7 meetings, confirming no discrepancies in financial reporting and compliance with legal standards[80]. - The company improved its internal control systems, enhancing risk management and operational efficiency[81]. - The company has established a risk prevention system to achieve strategic and operational goals while ensuring compliance[81]. - The company has not reported any significant differences in governance practices compared to regulatory requirements[81]. - The company has established a comprehensive evaluation process for determining the remuneration of its directors and senior management[100]. Environmental and Social Responsibility - The company has implemented environmental protection measures and achieved ISO 14001 & ISO 45001 certification, ensuring compliance with national and local environmental regulations[134]. - The company has a commitment to environmental responsibility, including wastewater treatment and solid waste management practices[135]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[134]. - The company has focused on innovation and customer value, providing network solutions to telecom operators and industry users[137]. Shareholder and Financial Management - The company has a clear cash dividend policy in accordance with regulatory requirements, ensuring transparency and protection of minority shareholders' rights[127]. - The company has committed to optimizing investor return mechanisms and implementing proactive profit distribution policies[146]. - The total number of ordinary shareholders increased from 27,673 to 34,687 during the reporting period, reflecting a growth of approximately 25.4%[163]. - The company has not issued any new securities during the reporting period[163]. - The company has not faced any delisting risk or bankruptcy reorganization issues during the reporting period[150].