Appo(SH:688007)2022-04-26 16:00Financial Performance - In 2021, the company achieved a revenue growth of nearly 50% in its self-owned brand business, Peakmi, while also significantly improving its gross margin [6]. - The company's revenue for 2021 was approximately CNY 2.50 billion, representing a year-over-year increase of 28.19% compared to CNY 1.95 billion in 2020 [30]. - The net profit attributable to shareholders for 2021 was approximately CNY 233.36 million, a significant increase of 104.98% from CNY 113.85 million in 2020 [30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was approximately CNY 124.28 million, reflecting a growth of 208.46% compared to CNY 40.29 million in 2020 [30]. - The company's total assets as of the end of 2021 were approximately CNY 4.10 billion, an increase of 27.00% from CNY 3.23 billion at the end of 2020 [30]. - The basic earnings per share for 2021 was CNY 0.52, up 108.00% from CNY 0.25 in 2020 [31]. - The overall gross margin for the year was 33.91%, an increase of 5.39 percentage points compared to the previous year [136]. - The company achieved operating revenue of 2.498 billion RMB, a year-on-year increase of 28.19% [134]. - The net profit attributable to shareholders reached 233 million RMB, reflecting a significant year-on-year growth of 104.98% [128]. Business Expansion and Strategy - The company has accelerated its business layout in the automotive display sector and successfully collaborated with multiple vehicle manufacturers and first-tier suppliers [8]. - The company is strategically positioning itself in emerging markets such as automotive displays, aviation projection, and AR, which are expected to create trillion-yuan level markets [8]. - The company is focusing on young talent development and innovative cooperation models to quickly seize new market opportunities [6]. - The company is actively pursuing partnerships with leading clients in both the aftermarket and original equipment manufacturer (OEM) markets for automotive display products [179]. - The company plans to enhance its C-end brand product strength through differentiated product matrices and flagship product strategies to drive brand and sales growth [178]. Research and Development - The research and development expenditure accounted for 9.47% of the operating revenue, a decrease of 1.02 percentage points from 10.49% in the previous year [34]. - The company achieved a total R&D investment of ¥236,702,224.29, representing a 15.78% increase compared to ¥204,443,369.10 in the previous year [98]. - The company is actively developing ALPD®5.0 and 6.0 technologies to maintain its technological leadership in the industry [85]. - The company has filed a total of 2,419 patent applications globally, with 1,434 patents granted, establishing a strong patent moat in the laser display technology sector [108]. - The company’s R&D personnel increased to 456, accounting for 29.14% of the total workforce [99]. Market Position and Competition - The company ranked third in the overall home market shipment volume according to IDC reports [6]. - The company ranks third in shipment volume in the Chinese home projector market and second in sales in the engineering laser projection market [79]. - The company faced risks related to intensified market competition in the laser display sector, which could impact profitability and market share [121]. - The company has maintained a stable governance structure without major discrepancies from regulatory requirements [188]. Social Responsibility and Governance - The company is committed to social responsibility and has upgraded its CSR report to an ESG report [9]. - The company is dedicated to maintaining a robust governance structure to protect shareholder interests and ensure compliance with relevant laws and regulations [181]. - All proposals in the 2021 Annual General Meeting were approved without any rejections [188]. Challenges and Risks - The company recognizes the challenges posed by external factors, including the ongoing COVID-19 pandemic, and emphasizes the need to strengthen its resilience [8]. - The company reported a risk of supply chain disruptions due to the ongoing pandemic, which may affect production and sales performance [112]. - The implementation of fundraising projects may be affected by external factors such as the COVID-19 pandemic, potentially slowing down capacity expansion [124]. Product Development and Innovation - The company has launched several new products, including the R1 Nano and X1, and achieved a national GMV of over RMB 200 million during the Double Eleven shopping festival [48]. - The company has initiated new application scenarios in automotive, aviation, cloud, and AR displays, aiming to create new growth points [50]. - The company is actively exploring the AR display field, with plans to release AR module prototypes by the end of 2022 [54]. - The company has developed a new generation of laser display technology, achieving a cost reduction of 50% and a brightness increase of 30% in its laser TV products [104]. Financial Management - The company reported a significant increase in sales expenses by 89.28%, attributed to higher investments in its own brand and increased personnel costs [130]. - The net cash flow from operating activities was RMB 583.37 million, an increase of 11.35% compared to the previous year, attributed to higher sales collections and government subsidies [155]. - The net cash flow from investment activities was negative at RMB -444.91 million, a decrease of 316.07% from the previous year, mainly due to investments in structured deposits and construction expenditures [155].