GOHIGH(SZ:000851)2023-04-28 16:00Corporate Governance - The independent auditor issued a qualified opinion on the financial report, indicating areas needing improvement in internal controls[3] - The board of directors has acknowledged the need for enhanced efficiency in internal control systems to prevent operational loopholes[3] - All board members attended the meeting to review the annual report, ensuring collective responsibility for its accuracy[3] - The company emphasizes the importance of understanding the differences between plans, forecasts, and commitments in its forward-looking statements[3] - The company maintains complete independence from its largest shareholder in terms of business operations, personnel, assets, and finances[148] - The company has established an independent financial department and accounting system, ensuring autonomous financial decision-making[148] - The company has implemented a robust governance structure that complies with relevant laws and regulations, enhancing operational transparency[146] - The company has formed specialized committees under the board, including strategy, nomination, audit, and compensation committees[145] - The company ensures timely and accurate disclosure of significant information, enhancing the quality of information transparency[146] - The company has conducted thorough checks on its financials and the performance of its directors and senior management[146] - The company has actively improved its governance practices in line with the guidelines set by the China Securities Regulatory Commission[147] - The board of directors consists of 9 members, including 5 independent directors, ensuring a fair and transparent election process[145] - The board's committees operated without dissenting opinions, indicating a unified approach to governance and oversight[174] Financial Performance - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the year, representing a year-over-year growth of 15%[12] - The company's operating revenue for 2022 was ¥6,857,680,224.77, a decrease of 19.78% compared to ¥8,548,463,984.57 in 2021[22] - The net profit attributable to shareholders for 2022 was ¥22,340,038.69, an increase of 45.46% from ¥15,358,526.17 in 2021[22] - The company experienced a net loss attributable to shareholders of ¥277,094,777.19 in 2022, worsening from a loss of ¥217,141,383.76 in 2021[22] - The total revenue for 2022 was ¥6,857,680,224.77, representing a decrease of 19.78% compared to ¥8,548,463,984.57 in 2021[81] - The IT sales business accounted for 57.91% of total revenue, declining by 30.44% from ¥5,709,724,768.45 in 2021 to ¥3,971,591,389.19 in 2022[81] - The company achieved a significant increase in other business revenue, which rose by 608.06% to ¥120,532,331.05 from ¥17,022,810.05 in 2021[81] - The gross margin for the IT sales business was only 2.49%, down from the previous year, indicating a challenging market environment[83] - The company reported a total revenue of 398,010,000 with a net profit of 20,995,510, reflecting a strong performance in the information technology sector[121] Risk Management - The company has detailed its future risks and corresponding mitigation strategies in the report[3] - The company faces macroeconomic risks due to potential economic slowdown and plans to leverage national investments in new infrastructure to mitigate these risks[140] - Market risks exist in the vehicle networking and trusted computing sectors, with the company planning to adjust strategies based on market developments[141] - Financial risks are associated with expanding business scale and potential funding needs, prompting the company to optimize cash flow management and asset structure[142] Research and Development - The company is investing in R&D for 5G technology, with an increase in R&D expenditure by 30% compared to the previous year, totaling 300 million RMB[12] - The company’s research and development expenses increased by 7.59% to ¥137,934,457.69 in 2022 compared to ¥128,199,325.75 in 2021[91] - The number of R&D personnel decreased from 663 in 2021 to 507 in 2022, a reduction of 23.53%[95] - R&D investment amounted to ¥188,114,395.14 in 2022, down 33.45% from ¥282,649,296.75 in 2021[95] - The company is committed to advancing its research and development in new technologies to align with national strategies for high-quality development[35] Market Expansion - The company is focusing on market expansion, particularly in the Asia-Pacific region, aiming to increase its market share by 10% over the next year[13] - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 20% based on anticipated market expansion and new product launches[14] - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2025[156] - The company is exploring new market expansion opportunities, particularly in rural infrastructure and public service facilities[122] Strategic Acquisitions - Strategic acquisitions are planned to enhance technological capabilities, with a budget allocation of 200 million RMB for potential mergers and acquisitions[14] - A strategic acquisition of a local tech firm was completed, expected to enhance the company's service offerings and customer base by 15%[156] - The company completed an acquisition of a local tech firm for 500 million RMB to enhance its service offerings[159] Operational Efficiency - The implementation of a new middleware system is expected to improve operational efficiency by 15% in the upcoming year[13] - The introduction of a new warehouse management system (WMS) is projected to reduce operational costs by 10% over the next fiscal year[12] - The company aims to enhance customer relationship management (CRM) systems to improve customer satisfaction scores by 20%[14] - The company aims to reduce operational costs by 10% in 2023 through efficiency improvements and process optimization[156] Employee Management - The total number of employees at the end of the reporting period is 1,097, with 1,070 from major subsidiaries and 27 from the parent company[175] - The professional composition includes 507 technical personnel, 356 sales personnel, and 71 management personnel[176] - The company has established a learning and development initiative to enhance employee capabilities and align with strategic goals[178] - The company has implemented various employee welfare programs and cultural activities to enhance employee engagement and satisfaction[197] Financial Management - The company plans not to distribute cash dividends, issue bonus shares, or increase share capital from reserves[4] - The company has temporarily supplemented working capital with RMB 600 million from idle raised funds, which has not yet been repaid[111] - The company has not proposed any cash dividend distribution for the reporting period due to low net profit[182] - The company’s weighted average return on equity for 2022 was 0.50%, an improvement from 0.38% in 2021[23] Social Responsibility - The company has established outsourcing industry poverty alleviation bases in 12 impoverished counties, creating over 30,000 jobs, with 10% being registered impoverished households[199] - The company actively participates in social responsibility initiatives, including educational support, with over 1,150 volunteer hours dedicated to teaching activities[199] Technology Development - The company is focusing on the development of C-V2X technology, which is entering a phase of large-scale deployment, with numerous national testing demonstration zones established[39] - The company has developed a comprehensive C-V2X product series, including pre-commercial C-V2X modules and roadside units (RSUs), and has participated in over 50 vehicle-road collaboration projects nationwide[52] - The company is committed to advancing trusted (cloud) computing technology, enhancing compatibility with domestic mainstream CPUs and operating systems[137] Shareholder Engagement - The company held multiple shareholder meetings throughout 2022, with participation rates ranging from 6.92% to 20.86%[149] - The company emphasizes investor rights protection by ensuring accurate and timely information disclosure, allowing shareholders to participate in decision-making processes[197]