MEMSensing(SH:688286)2022-10-28 16:00Major Financial Data The company's Q1-Q3 2022 performance saw a 17.16% revenue drop and a 325.96% net profit decline, turning to loss, while R&D investment grew 15.85% Core Financial Indicators Core financial indicators for Q1-Q3 2022 showed a 17.16% revenue decrease and a 325.96% net profit decline to loss, alongside a 15.85% increase in R&D investment Key Financial Performance Indicators | Indicator | Q1-Q3 2022 (million yuan) | YoY Change (%) | Q3 2022 (million yuan) | YoY Change (%) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 218.04 | -17.16% | 75.29 | -1.71% | | Net Profit Attributable to Shareholders of Listed Company | -19.06 | -325.96% | -12.31 | Not Applicable | | Net Profit Attributable to Parent Company (Excluding Non-recurring Items) | -25.08 | -1,242.55% | -13.55 | Not Applicable | | Basic Earnings Per Share (yuan/share) | -0.36 | -325.00% | -0.23 | Not Applicable | | Total R&D Investment | 54.86 | 15.85% | 19.07 | 5.68% | | R&D Investment as % of Revenue | 25.16% | Increased 7.17 percentage points | 25.33% | Increased 1.77 percentage points | Key Financial Position Indicators | Indicator | As of Sep 30, 2022 (billion yuan) | Change from End of Previous Year (%) | | :--- | :--- | :--- | | Total Assets | 1.123 | -3.41% | | Owners' Equity Attributable to Shareholders of Listed Company | 1.072 | -2.73% | Non-recurring Gains and Losses Non-recurring gains and losses totaled 6.02 million yuan in Q1-Q3 2022, mainly from government subsidies and financial asset fair value changes - In the first three quarters of 2022, total non-recurring gains and losses amounted to 6,021,543.95 yuan, primarily comprising government subsidies (3,958,798.98 yuan) and financial asset-related income (2,942,068.15 yuan)789 - The company classified investment income from structured deposits and large-denomination certificates of deposit purchased with raised funds as recurring gains and losses9 Analysis of Financial Indicator Changes The company attributed core profitability declines to weak consumer electronics demand, intensified competition, and pandemic impacts, leading to reduced sales and lower gross margins - The company attributed the significant decline in core profitability indicators, including net profit, non-recurring net profit, and earnings per share, to weakened demand in domestic and international consumer electronics markets, intensified industry competition, and the ongoing impact of the pandemic, resulting in decreased sales revenue and lower gross margins1011 Shareholder Information As of the reporting period, the company had 6,565 common shareholders, with the top ten holding 55.22% of shares, including multiple groups of concerted parties Shareholding Status of Shareholders As of September 30, 2022, the company had 6,565 shareholders, with Li Gang holding 20.11%, and multiple concerted party relationships identified among the top ten - As of the reporting period, the company had 6,565 common shareholders13 Top Ten Shareholders' Shareholding Status | Shareholder Name | Number of Shares Held (shares) | Shareholding Percentage (%) | | :--- | :--- | :--- | | Li Gang | 10,745,026 | 20.11 | | Shanghai Huaxin Venture Capital Enterprise | 4,820,349 | 9.02 | | Suzhou Industrial Park Venture Capital Co., Ltd. | 3,831,023 | 7.17 | | Suzhou Changzhong Enterprise Management Consulting Center (Limited Partnership) | 1,850,000 | 3.46 | | Mei Jiaxin | 1,664,680 | 3.12 | | Hu Wei | 1,579,206 | 2.96 | | Tibet Kaifeng Jinqu Venture Capital Co., Ltd. | 1,161,086 | 2.17 | | Suzhou Industrial Park Venture Capital Guidance Fund Management Center | 1,115,509 | 2.09 | | Suzhou Kaifeng Wansheng Venture Capital Partnership (Limited Partnership) | 1,106,411 | 2.07 | | Shanghai Hushan Investment Management Co., Ltd. - Hushan Investment (Shanghai) Partnership (Limited Partnership) | 991,360 | 1.86 | - Shareholders Li Gang, Hu Wei, Mei Jiaxin, and Suzhou Changzhong Enterprise Management Consulting Center (Limited Partnership) constitute concerted parties; Kaifeng Wansheng, Kaifeng Jinqu, and Kaifeng Changyang also form concerted parties14 Other Important Matters The company disclosed no other significant operational information requiring special investor attention during the reporting period - The company has no other important operational information requiring investor attention during this reporting period15 Quarterly Financial Statements As of September 30, 2022, total assets were 1.123 billion yuan, down 3.41% from year-start, with negative cash flows from operating and investing activities, and a shift from profit to loss Consolidated Balance Sheet As of September 30, 2022, total assets were 1.123 billion yuan, a 3.41% decrease from year-start, with cash decreasing and inventory/construction in progress increasing, while total liabilities decreased by 16.34% Consolidated Balance Sheet Summary | Major Balance Sheet Items | Sep 30, 2022 (yuan) | Dec 31, 2021 (yuan) | Change | | :--- | :--- | :--- | :--- | | Assets | | | | | Monetary Funds | 298,880,635.21 | 421,935,813.77 | Decrease | | Inventory | 206,440,569.09 | 170,238,559.63 | Increase | | Construction in Progress | 203,588,471.35 | 108,023,802.33 | Increase | | Total Assets | 1,122,589,573.40 | 1,162,170,525.47 | -3.41% | | Liabilities | | | | | Accounts Payable | 24,810,943.05 | 27,855,563.79 | Decrease | | Total Liabilities | 48,694,110.70 | 58,202,652.71 | -16.34% | | Equity | | | | | Owners' Equity Attributable to Parent Company | 1,072,145,141.65 | 1,102,248,896.85 | -2.73% | | Total Owners' Equity | 1,073,895,462.70 | 1,103,967,872.76 | -2.72% | Consolidated Income Statement In Q1-Q3 2022, operating revenue decreased 17.16% to 218 million yuan, with operating costs decreasing less and R&D expenses increasing, resulting in a net loss of 19.03 million yuan from a prior-year profit Consolidated Income Statement Summary | Major Income Items | Q1-Q3 2022 (yuan) | Q1-Q3 2021 (yuan) | YoY Change | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 218,040,306.31 | 263,191,608.76 | -17.16% | | Total Operating Costs | 254,996,478.48 | 267,347,235.39 | -4.62% | | Including: Operating Costs | 158,296,797.74 | 169,945,872.06 | -6.85% | | R&D Expenses | 54,857,871.47 | 47,353,404.01 | +15.85% | | Operating Profit | -31,041,266.73 | 810,537.06 | Turned from Profit to Loss | | Total Profit | -31,046,266.73 | 1,855,781.23 | Turned from Profit to Loss | | Net Profit | -19,028,743.38 | 9,088,283.44 | Turned from Profit to Loss | | Net Profit Attributable to Parent Company Shareholders | -19,060,088.52 | 8,435,113.36 | -325.96% | Consolidated Cash Flow Statement In Q1-Q3 2022, net cash flow from operating activities was -25.35 million yuan and from investing activities was -74.50 million yuan, primarily due to decreased sales receipts and increased capital expenditures Consolidated Cash Flow Statement Summary | Major Cash Flow Items | Q1-Q3 2022 (yuan) | Q1-Q3 2021 (yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -25,349,737.19 | -13,296,734.30 | | Net Cash Flow from Investing Activities | -74,504,118.42 | -7,364,741.36 | | Net Cash Flow from Financing Activities | -23,954,418.65 | -13,876,617.06 | | Net Increase in Cash and Cash Equivalents | -123,055,178.56 | -35,143,048.75 | - Operating cash outflow increased, primarily due to reduced cash received from sales of goods and services, and increased cash paid to employees (96.94 million yuan vs 78.25 million yuan)2324 - Investing cash outflow expanded, mainly due to increased cash paid for the acquisition and construction of fixed assets, intangible assets, and other long-term assets, rising from 94.87 million yuan in the prior year to 130 million yuan24