Guosheng Intelligence(SH:688558)2022-04-12 16:00Financial Performance - The company's operating revenue for 2021 was approximately ¥1.14 billion, representing a year-over-year increase of 54.54% due to increased orders and production capacity improvements [24]. - Net profit attributable to shareholders reached approximately ¥200.49 million, a 66.74% increase compared to the previous year, driven by growth in the core CNC machine tool business [24]. - The basic earnings per share rose to ¥1.52, reflecting a 46.15% increase year-over-year, while the diluted earnings per share also stood at ¥1.52 [23]. - The net cash flow from operating activities was approximately ¥94.07 million, showing a slight increase of 2.08% from the previous year, attributed to higher sales orders and VAT refunds [24]. - The company's total assets at the end of 2021 were approximately ¥1.97 billion, a 24.00% increase from the previous year [24]. - The total net assets attributable to shareholders increased by 13.07% to approximately ¥1.39 billion at the end of 2021 [24]. - The company reported a total revenue of 10,157 million RMB for the period, with a gross profit of 5,787.10 million RMB, resulting in a gross margin of approximately 57% [97]. Research and Development - Research and development expenses accounted for 5.09% of operating revenue, up from 4.89% in the previous year, indicating a focus on innovation [23]. - R&D investment reached 57.87 million yuan, up 60.91% year-on-year, accounting for 5.09% of total revenue [35]. - The company has received 30 new patents during the reporting period, including 3 invention patents, bringing the total number of intellectual properties to 282, which includes 34 invention patents [86]. - The company has developed advanced five-axis CNC machine tools and achieved mass production, establishing competitiveness in high-end equipment manufacturing [101]. - The company has implemented intelligent monitoring and fault analysis through sensor integration, providing real-time machine status feedback to operators [85]. Market Strategy and Expansion - The company plans to enhance its market presence by expanding product application areas and adjusting its business strategy [34]. - The company aims to improve customer experience by providing personalized services and solutions through enhanced technical capabilities [34]. - The company is focused on expanding its market coverage by enhancing dealer development in untapped regions [1]. - The company plans to continue expanding its market presence and enhancing its product offerings in response to strong market demand [114]. - The company aims to enhance its market share by focusing on quality and brand effects, emphasizing product performance testing and quality control [1]. Corporate Governance and Compliance - The company has established a sound internal control system to ensure effective governance and compliance with laws and regulations [194]. - The company emphasizes compliance with relevant laws and regulations to ensure effective governance and risk management [158]. - The company has not faced any penalties from securities regulatory authorities in the past three years, indicating compliance with regulations [174]. - The company has established a comprehensive procurement internal control management system, ensuring high product quality and timely delivery through supplier evaluation [198]. - The company actively engages with shareholders and investors through regular reports and communication channels, ensuring their rights are protected [199]. Risk Management - The company has outlined various operational risks in its report, which investors should be aware of [4]. - The company faces risks related to technological upgrades and potential patent infringements, which could impact product competitiveness and profitability [106][107]. - The company is exposed to fluctuations in raw material and component prices, which could affect operational performance if costs cannot be passed on to customers [108]. - The company operates in a highly competitive market, primarily facing pressure from advanced manufacturers in Germany, Japan, and the U.S. [110]. Dividend Policy - The company plans to distribute a cash dividend of 5.00 RMB per 10 shares, totaling approximately 66 million RMB, which represents 32.92% of the net profit attributable to shareholders for 2021 [6]. - The cash dividend policy stipulates that the company will distribute at least 30% of the average distributable profit over the last three years, with a minimum of 80% for mature companies without major capital expenditures [189]. - The company’s profit distribution policy prioritizes cash dividends over stock dividends, ensuring reasonable returns for investors [190]. Employee and Management Structure - The total number of employees in the parent company and major subsidiaries is 925, with 454 in the parent company and 430 in subsidiaries [183]. - The company has established a salary management system based on job complexity, responsibility, and market salary levels, ensuring fairness and competitiveness [185]. - The average age of the senior management team is approximately 50 years [166]. - The company has a diverse management background, with experience spanning various industries and roles [166]. Technological Advancements - The company has developed a lifting mechanism to improve the reliability of the A/C dual-swing milling head, which addresses the issue of cable entanglement during rotation, and has applied for a patent (application number: 202111196121.4) [76]. - The company has implemented advanced error prevention and compensation technologies, significantly enhancing the static and dynamic precision of machine tools [72]. - The thermal error control technology developed by the company keeps the vertical axis thermal elongation within 0.02mm during operation, ensuring high precision [74]. - The company has developed a spindle intelligent anti-collision system to prevent equipment downtime caused by spindle collisions, enhancing operational reliability [86]. Environmental and Social Responsibility - The company emphasizes environmental protection and sustainable development, implementing various measures to reduce pollution and enhance safety in production processes [197]. - The company is committed to fulfilling social responsibilities and enhancing its social value while improving corporate governance [153]. - The company and its subsidiaries are not classified as key pollutant discharge units by environmental protection authorities [200].