S-KING(SH:688328)2023-12-28 16:00Financial Performance - The company's net profit attributable to shareholders for the first half of 2023 was -22,485,276.00 CNY, a decrease of 220.07% compared to the same period last year[21]. - Basic earnings per share for the first half of 2023 was -0.28 CNY, down 220.63% from 0.23 CNY in the same period last year[21]. - The weighted average return on net assets decreased to -3.05% from 2.42% in the previous year, a decline of 5.47 percentage points[21]. - The net profit attributable to shareholders, excluding non-recurring gains and losses, was -28,156,437.02 RMB, a decrease of 290.28% compared to the same period last year[22]. - The net profit attributable to shareholders for Q2 was -4.8033 million RMB, significantly reduced compared to Q1 losses[23]. - The company reported a net loss of CNY 28,602,300.78 for the first half of 2023, compared to a net profit of CNY 5,041,165.17 in the same period of 2022, indicating a significant decline in profitability[166]. - The company's total comprehensive income for the first half of 2023 was CNY -28,602,300.78, a stark contrast to CNY 5,041,165.17 in the same period of 2022, reflecting overall financial distress[166]. Revenue and Costs - The company's operating revenue for the first half of the year was 393,386,372.54 RMB, an increase of 11.53% compared to the same period last year[22]. - Revenue from semiconductor equipment was 119.76 million yuan, down 10.69% year-on-year, but showed a 93.50% increase in Q2 2023 compared to Q1 2023[65]. - Revenue from flat panel display module equipment reached 177.97 million yuan, an increase of 30.86% year-on-year, attributed to a market recovery post-Q1 2023[66]. - Operating costs rose by 14.69% to 261.48 million yuan, primarily due to increased revenue[73][74]. - Total operating costs increased to CNY 417,073,800.71, up 25.6% from CNY 331,950,875.43 year-on-year[161]. Research and Development - Research and development expenses accounted for 12.49% of operating revenue, an increase of 1.58 percentage points compared to 10.91% in the previous year[21]. - Research and development (R&D) expenses amounted to approximately ¥49.13 million, representing a 27.69% increase compared to ¥38.48 million in the same period last year, with R&D expenses accounting for 12.49% of operating revenue[47]. - The company has submitted a total of 47 patent applications and received 46 new patent authorizations during the reporting period, bringing the total authorized patents to 502, including 39 invention patents and 376 utility model patents[45]. - The company is focused on developing new technologies for semiconductor equipment and automation solutions to enhance market competitiveness[42]. Market and Industry Trends - The semiconductor equipment market in China has become the largest globally for three consecutive years, presenting significant growth opportunities for domestic companies[28]. - The flat panel display module equipment industry is showing signs of recovery, with prices for various panel sizes increasing since February 2023[31]. - The domestic AR/VR market saw a significant increase, with sales of AR glasses equipped with Micro OLED and Birdbath optical modules reaching nearly 20% market share by Q1 2023[32]. - The company is actively pursuing market expansion in the VR sector, with increasing investments from major tech companies like Pico and Apple[51]. Financial Position and Assets - The total assets at the end of the reporting period were 1,855,597,979.11 RMB, an increase of 2.66% from the end of the previous year[22]. - The company's net assets attributable to shareholders decreased by 1.34% to 728,809,066.01 RMB compared to the end of the previous year[22]. - The company's cash and cash equivalents decreased by 21.60% to 246.92 million yuan[78]. - The accounts payable increased by 10.24% to CNY 233,408,158.44, up from CNY 211,719,303.11[79]. Corporate Governance and Compliance - The company has a governance structure comprising a shareholders' meeting, board of directors, supervisory board, and management team, ensuring compliance with national laws and regulations[190]. - The company has committed to linking executive compensation to the execution of its return measures, ensuring accountability among its directors and senior management[106]. - The company has undergone a board and supervisory committee restructuring, with new appointments made on June 2, 2023[90]. Environmental and Social Responsibility - The company has not disclosed any environmental protection investments during the reporting period, with an investment amount of 0 million CNY[95]. - The company does not belong to a heavily polluting industry and complies with national environmental protection laws, ensuring all pollutants are within discharge standards[95]. - There were no administrative penalties related to environmental issues during the reporting period[97]. Shareholder Information - The company reported a commitment from its largest shareholder, Huang Yihong, to not transfer or delegate management of shares for 36 months post-IPO, with a lock-up period extending if stock prices fall below the issue price[101]. - The company has not disclosed any employee stock ownership plans or other incentive measures during the reporting period[94]. - The top ten shareholders hold a total of 40.63% of the company's shares, with Huang Yihong controlling 16.49% through his indirect ownership of Shenzhen Shenkeda Investment[134].