Weide Information(SH:688171)2022-04-26 16:00Financial Performance - The company's operating revenue for 2021 was CNY 177,561,051.53, representing a 30.66% increase compared to CNY 135,898,857.78 in 2020[20]. - The net profit attributable to shareholders decreased by 12.90% to CNY 55,451,990.76 in 2021 from CNY 63,666,916.80 in 2020[20]. - The net cash flow from operating activities was CNY 21,070,551.26, down 28.40% from CNY 29,429,876.30 in 2020[20]. - The company's total assets increased by 25.50% to CNY 347,587,985.28 at the end of 2021 from CNY 276,954,841.40 at the end of 2020[20]. - The basic earnings per share for 2021 was CNY 0.88, a decrease of 13.73% from CNY 1.02 in 2020[21]. - The company's gross margin for the reporting period was 54.05%, indicating a strong market position despite being in a competitive environment[90]. - The company reported revenue of 177.56 million and a net profit of 55.45 million, highlighting its relatively small scale compared to industry peers[90]. Dividend and Profit Distribution - The company plans to distribute a cash dividend of 2.00 RMB per 10 shares, totaling 16,754,680.00 RMB, which represents 30.21% of the net profit attributable to shareholders for the year 2021[5]. - The company will not conduct a capital reserve transfer to increase share capital or issue bonus shares for the year 2021[5]. - The company plans to allocate 10% of annual profits to statutory reserves before any profit distribution[159]. - The company has established a profit distribution policy and a three-year dividend return plan to enhance the protection of minority investors' interests and optimize the investment return mechanism[186]. Research and Development - The R&D expenditure accounted for 11.95% of operating revenue, an increase of 0.81 percentage points from 11.14% in 2020[22]. - Research and development (R&D) investment reached RMB 21.22 million, accounting for 11.95% of operating revenue, with a year-on-year increase of 40.09%[32]. - The total R&D expenditure for the year was ¥21,215,570.04, representing a significant increase of 40.09% compared to the previous year's ¥15,144,218.10[70]. - The company has focused on expanding its product line, particularly in the information security cloud platform sector, leading to a substantial increase in R&D investment[71]. - The company has developed a total of 37 patents, including 13 invention patents, and has registered 61 software copyrights[68]. - The company has implemented an incentive mechanism and talent protection measures for key technical personnel, including stock incentives to enhance the stability of the R&D team[67]. Operational Risks and Compliance - The company has detailed various operational risks in the report, urging investors to be cautious[4]. - There are no non-operational fund occupations by controlling shareholders or related parties[7]. - The company has not violated decision-making procedures for external guarantees[8]. - The company emphasizes compliance and healthy development by enhancing internal control systems in accordance with regulatory guidelines[33]. - The company has not faced any significant conflicts of interest with its controlling shareholders[134]. - The company has adhered to the latest requirements for corporate governance as stipulated by the China Securities Regulatory Commission and the Shanghai Stock Exchange[134]. Market and Industry Position - The company focuses on the development of intelligent security devices and information security cloud platforms, primarily serving the electric power distribution network sector[32]. - The company has established a core competitive advantage in the power distribution network information security sector, becoming a well-known brand in the industry[56]. - The company has maintained long-term stable partnerships with major clients such as State Grid, Southern Power Grid, and XJ Electric, enhancing its market position[56]. - The software and information technology service industry is experiencing rapid growth, driven by advancements in cloud computing, big data, and industrial internet applications, particularly in the power distribution network security sector[53]. Future Outlook and Strategic Plans - The company plans to increase R&D investment in 2022, focusing on smart security devices and information security cloud platforms across various sectors including electricity, transportation, water conservancy, communication, and military[130]. - The company aims to expand its marketing system to enhance revenue growth, targeting major power grid providers and improving customer experience and after-sales service[130]. - The company will continue to deepen its focus on the information security of the power distribution network while expanding into transportation, water conservancy, communication, and military sectors[129]. - The company is considering strategic acquisitions to enhance its market position, targeting firms with a combined revenue of 500 million[140]. Governance and Management - The board of directors consists of 7 members, including 3 independent directors, complying with relevant legal requirements[133]. - The company maintained a strict governance structure, ensuring clear responsibilities among the shareholders' meeting, board of directors, supervisory board, and management[134]. - The total remuneration for directors and senior management during the reporting period amounted to 265.48 million yuan[139]. - The company has established various committees under the board, including strategy and development, audit, nomination, and remuneration committees, all operating in accordance with regulations[133]. Shareholder Commitments and Regulations - The controlling shareholder and actual controller have pledged not to misuse their positions or interfere in the company's management, ensuring no harm to the company's interests[188]. - The company will ensure that any related party transactions are conducted on fair and reasonable commercial terms, adhering to relevant laws and regulations[189]. - The commitments made by the controlling shareholder and senior management will remain effective during their tenure, ensuring accountability for any damages caused by violations[189]. - The company has committed to avoiding competition with its controlling shareholder and related parties, ensuring no production or development of competing products[190].