东信和平(002017) - 2020 Q4 - 年度财报

Financial Performance - The company's operating revenue for 2020 was ¥1,062,684,714.42, a decrease of 9.84% compared to ¥1,178,720,034.45 in 2019[16] - The net profit attributable to shareholders for 2020 was ¥35,460,625.45, down 10.26% from ¥39,513,573.64 in 2019[16] - The net cash flow from operating activities decreased by 25.08% to ¥135,271,852.78 in 2020 from ¥180,543,079.93 in 2019[16] - Basic earnings per share for 2020 were ¥0.079, a decline of 15.96% compared to ¥0.094 in 2019[16] - The total assets at the end of 2020 were ¥2,081,179,370.91, a slight decrease of 0.79% from ¥2,097,784,053.98 at the end of 2019[17] - The net assets attributable to shareholders increased by 1.29% to ¥1,413,101,016.57 at the end of 2020 from ¥1,395,128,686.84 at the end of 2019[17] - The weighted average return on equity for 2020 was 2.52%, down from 3.01% in 2019, a decrease of 0.49 percentage points[16] - The net profit after deducting non-recurring gains and losses was ¥29,446,180.62, a decrease of 11.65% from ¥33,327,515.54 in 2019[16] Revenue Breakdown - The smart card business contributed CNY 1,021.91 million, accounting for 96.16% of total revenue, with a year-on-year decline of 10.65%[49] - Domestic sales were CNY 839.91 million, representing 79.04% of total revenue, with a decrease of 5.57% compared to the previous year[49] - International sales fell to CNY 222.78 million, a decline of 22.98% year-on-year, accounting for 20.96% of total revenue[49] - The digital identity and security business generated CNY 6.79 million in revenue, marking a new product line for the company[49] Cash Dividends - The company plans to distribute a cash dividend of ¥0.3 per 10 shares, based on a total of 446,486,084 shares[4] - The cash dividend amount for 2020 is CNY 13,394,582.52, representing 37.77% of the net profit attributable to ordinary shareholders[100] - The cash dividend per 10 shares is CNY 0.3 (including tax), based on a total share capital of 446,486,084 shares[101] - The total distributable profit for the period is CNY 365,256,896.34, with cash dividends accounting for 100% of the profit distribution[101] - The company has a cash dividend policy in place, distributing 0.3 yuan per 10 shares for the past three years, ensuring a consistent return to shareholders[94][97] Investments and Projects - The company has completed the automation upgrade project for intelligent manufacturing, which is expected to improve production efficiency and product quality significantly[32] - The project based on NB-IoT technology for secure access solutions has utilized RMB 9.32 million out of the planned RMB 17.50 million, achieving 53.24% of the investment progress[75] - The medical fund consumption terminal security management platform project has utilized RMB 7.46 million out of the planned RMB 288.12 million, achieving only 2.59% of the investment progress[75] - The production intelligence upgrade project has utilized RMB 38.90 million out of the planned RMB 89.67 million, achieving 43.38% of the investment progress[75] Market Position and Strategy - The company aims to enhance its market position by focusing on differentiated value in traditional business and leveraging opportunities in the Internet of Things (IoT) sector[84] - The company plans to deepen its market penetration in smart cards, particularly in customized cards and high-end communication cards, while expanding its digital identity and security business[85] - The company is focused on developing embedded security products like eSIM and eSE to capture the growing IoT market, ensuring sustainable business growth[88] - The company is considering strategic acquisitions to enhance its technology portfolio, with a budget of 500 million RMB allocated for potential mergers[182] Subsidiaries and Joint Ventures - The subsidiary Eastcompeace (Singapore) Co., Ltd. reported a revenue of RMB 64.78 million and a net profit of RMB 4.26 million[82] - The subsidiary Eastcompeace (India) Co., Ltd. reported a revenue of RMB 37.23 million and a net profit of RMB 1.52 million[82] - The subsidiary Eastcompeace (Bangladesh) Co., Ltd. reported a revenue of RMB 8.27 million but incurred a net loss of RMB 2.51 million[82] - The company has increased its investment in its Russian subsidiary by 81.08 million RUB, maintaining an 81.08% ownership stake[137] Governance and Management - The company has maintained a robust governance structure with independent directors overseeing financial and operational integrity[173] - The board of directors consists of nine members, including three independent directors, which complies with legal and regulatory requirements[197] - The company has implemented a performance evaluation and incentive mechanism for directors and senior management to ensure transparency and fairness[198] - The company has experienced a turnover in its executive team, which may impact its strategic direction and operational continuity[168] Social Responsibility - The company actively supports social welfare and community development initiatives[130] - The company donated a total of 140,000 RMB to support poverty alleviation efforts in Nujiang Prefecture, Yunnan Province, as part of the "Ten Thousand Enterprises Helping Ten Thousand Villages" initiative[131] - The company contributed 60,000 RMB to the Zhuhai Poverty Alleviation Foundation and the Zhuhai Red Cross for rural revitalization efforts[131] - The company signed a support agreement with Dongfeng Village in Doumen District, donating 50,000 RMB to assist in the village's development[131] Employee and Workforce - The total number of employees in the company is 1,631, with 1,453 in the parent company and 178 in major subsidiaries[190] - The professional composition includes 837 production personnel, 104 sales personnel, 519 technical personnel, 27 financial personnel, and 144 administrative personnel[190] - The educational background of employees shows 50 with postgraduate degrees, 478 with bachelor's degrees, 204 with associate degrees, and 899 with high school or below[191] - The company emphasizes employee training, offering various programs including onboarding, skills enhancement, and management training[193]