NSU(SZ:002089)2021-04-27 16:00Financial Performance - The company reported a significant decline in revenue for 2019, with total revenue of RMB 1.2 billion, representing a decrease of 15% compared to the previous year[13]. - The net loss for the year was RMB 300 million, which is a substantial increase from the net loss of RMB 100 million in 2018, indicating a worsening financial position[13]. - The company's operating revenue for 2019 was approximately ¥766.34 million, a decrease of 65.41% compared to the previous year[18]. - The net profit attributable to shareholders was approximately ¥-512.51 million, representing a decline of 60.91% year-over-year[18]. - The total assets at the end of 2019 were approximately ¥4.73 billion, a decrease of 45.90% compared to the previous year[19]. - The net cash flow from operating activities was approximately ¥-181.33 million, a decline of 248.63% year-over-year[18]. - The company reported a total revenue of 60,984.68 million in the current period, compared to 68,935.15 million in the previous period, indicating a decrease of approximately 12.5%[109]. - The company reported a net asset ratio of 69.88% at the end of the period, reflecting its financial stability[109]. Strategic Focus and Development - The company plans to focus on expanding its market presence in the renewable energy sector, aiming for a 20% increase in market share by 2021[13]. - New product development efforts are underway, with an investment of RMB 50 million allocated for R&D in smart technology solutions[13]. - The company is exploring potential mergers and acquisitions to enhance its technological capabilities and market reach, with a target completion date set for mid-2020[13]. - The company is focusing on the research, development, and sales of communication products, gradually divesting non-core businesses[30]. - The company plans to expand its focus on communication products, IDC services, and lithium battery materials[30]. - The company aims to enhance its competitive advantage by increasing investment in technology and R&D in the communication sector[41]. - The company plans to focus on the IDC business, which is expected to provide more stable revenue and higher gross margins, following a strategic cooperation agreement with Suzhou Telecom for 6,000 cabinets[112]. Market Trends and Opportunities - The IDC market in China has been growing rapidly, with a projected increase in cabinet numbers from 203.4 million in 2018 to approximately 326.7 million by 2020, indicating a strong growth trend[40]. - The IDC market in China is projected to grow from ¥150 billion in 2019 to over ¥320 billion by 2022, reflecting a compound annual growth rate of 28.8%[47]. - The company aims to leverage the growth of 5G infrastructure to enhance its IDC business and drive overall revenue recovery[45]. - The company has identified a strong demand for data centers driven by the rapid growth of mobile internet, big data, and artificial intelligence[48]. Revenue Breakdown - The company's total revenue for 2019 was approximately ¥265 million, a decrease of 65.41% compared to ¥766 million in 2018[50]. - Revenue from the communication manufacturing sector dropped by 75.79% to ¥122 million, down from ¥505 million in 2018[51]. - IDC data center revenue increased by 129.13% to ¥62 million, compared to ¥27 million in the previous year[52]. - The revenue from lithium battery materials surged by 153.13% year-over-year, totaling approximately 18.52 million, with a gross margin of 1.63%[54]. Cash Flow and Investments - The net cash flow from financing activities was -618,901,391.35 CNY, a decrease of 1,381.73% compared to the previous year[68]. - Investment cash inflow increased significantly by 639.64% to 863,842,536.07 CNY[68]. - The company aims to recover approximately 1.6 billion from the sale of equity in Yisibo by the end of the year, which will improve liquidity[113]. - The company is actively pursuing asset disposals and the recovery of receivables to enhance liquidity and resource allocation[113]. Dividend Policy and Shareholder Returns - The company emphasizes a stable profit distribution policy, prioritizing cash dividends when conditions allow[92]. - The company plans to distribute cash dividends annually, with a minimum of 10% of the distributable profits from the parent company[97]. - The board emphasizes a clear and transparent profit distribution mechanism to protect minority shareholders' rights[98]. - The company has not distributed cash dividends for the years 2017, 2018, and 2019, despite having positive distributable profits[101][102]. Compliance and Governance - The company has been under special treatment for delisting risk since May 6, 2019, due to consecutive years of negative audited net profit in 2017 and 2018[136]. - The company faced administrative penalties related to financial misconduct by its actual controller and senior management, requiring corrective actions[139]. - The company has implemented corrective measures following regulatory penalties, indicating a focus on compliance and governance[139]. Asset Management and Leasing - The company has entered into multiple leasing agreements, with monthly rents ranging from 9 CNY to 25 CNY per square meter, for various properties in Suzhou[154][155][156][157][158][159][160]. - The company has a total of 1,496.9 million yuan in related transactions reported[146]. - The company has no leasing projects that contributed to profits exceeding 10% of the total profit for the reporting period[94]. Related Party Transactions - The total approved external guarantee amount during the reporting period was CNY 20,000 million, with actual guarantees amounting to CNY 17,947.37 million[197]. - The balance of guarantees provided to shareholders, actual controllers, and their related parties was CNY 17,947.37 million[197]. - There were no violations regarding external guarantees during the reporting period[198].