VTRON(SZ:002308)2019-04-17 16:00Financial Performance - The company's operating revenue for 2018 was CNY 1,169,513,124.76, representing a 2.82% increase compared to CNY 1,137,479,087.31 in 2017[17]. - The net profit attributable to shareholders of the listed company decreased by 16.57% to CNY 158,445,671.29 from CNY 189,905,317.20 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was CNY 110,054,480.60, down 31.43% from CNY 160,509,360.81 in 2017[17]. - The net cash flow from operating activities was CNY 158,212,048.20, a decrease of 36.47% compared to CNY 249,017,833.50 in 2017[17]. - Basic earnings per share were CNY 0.17, down 22.73% from CNY 0.22 in the previous year[17]. - Total assets at the end of 2018 were CNY 4,462,130,289.12, an increase of 3.64% from CNY 4,305,537,414.79 at the end of 2017[17]. - The weighted average return on net assets was 4.53%, down from 7.31% in 2017, reflecting a decrease of 2.78%[17]. - The company's total revenue for the four quarters was approximately 1.17 billion yuan, with Q4 revenue reaching 344.34 million yuan, the highest among the quarters[22]. - Net profit attributable to shareholders for the year totaled approximately 158.45 million yuan, with Q1 showing a profit of 30.95 million yuan, while Q4 saw a significant drop to 11.35 million yuan[22]. - The net cash flow from operating activities showed a notable improvement in Q4, with a positive cash flow of 174.35 million yuan, contrasting with negative cash flows in Q1 and Q3[22]. Business Segments - The high-resolution digital splicing wall system business generated revenue of CNY 588,538,953.30, a decline of 10.62% year-on-year, while the children's growth platform business saw revenue growth of 21.29% to CNY 580,974,171.46[43]. - The children's growth platform business achieved a gross profit of CNY 330,056,783.72, reflecting a year-on-year increase of 19.04%[43]. - The company has maintained its focus on the ultra-high-definition digital splicing wall system and has expanded into the children's growth education service sector since 2015[15]. - The children's growth platform business has expanded to include services for kindergartens and sales of educational products, contributing to revenue diversification[27]. - The company is actively involved in market expansion through investments in educational technology firms, enhancing its service offerings in the education sector[28]. Research and Development - The company successfully filed for 105 new patents during the year, including 100 invention patents, enhancing its intellectual property portfolio[30]. - Research and development expenses amounted to ¥92,612,930.34, an increase of 18.64% compared to the previous year[74]. - The number of R&D personnel increased by 1.55% to 327, while the R&D expenditure as a percentage of operating income decreased to 7.92%[76]. Investments and Acquisitions - The company invested CNY 262.5 million in Beijing Kerry Alliance Education, acquiring a 35% stake in the children's English training sector[86]. - A total of CNY 50 million was invested in Guangdong Sunshine Vision Education, representing a 12.5% stake in educational products[86]. - The company added several subsidiaries to its consolidation scope, including Guangdong Weile Education Technology Co., Ltd. and Dalian Fangjing Education Consulting Co., Ltd.[72]. - The company has not reported any ongoing significant non-equity investments during the reporting period[91]. Shareholder Returns and Dividends - The company plans not to distribute cash dividends or issue bonus shares for the year[5]. - In 2018, the company repurchased 5,730,220 shares at a total cost of ¥29,993,479.88, which is considered equivalent to cash dividends, leading to no cash dividend distribution for the year[116]. - The company has established a clear profit distribution policy and a three-year shareholder return plan (2016-2018) to ensure reasonable returns for shareholders[114]. - The company plans to roll over the undistributed profits from 2018 to meet future operational funding needs and promote sustainable development[118]. Corporate Governance and Compliance - The company has maintained a continuous relationship with the auditing firm Zhonghua CPA for seven years, ensuring consistent financial oversight[143]. - The company has established a commitment to ensure that any related party transactions do not harm the rights of other shareholders[124]. - The company has a long-term commitment to not interfere with the management activities of the company or infringe on its interests[126]. - The company has not reported any major changes in the feasibility of its projects[95]. Employee and Management Structure - The total number of employees in the company is 2,522, with 713 in the parent company and 1,809 in major subsidiaries[198]. - The company has a professional composition of 1,050 teaching staff, 510 sales personnel, 327 technical staff, 133 production personnel, 91 financial staff, and 411 administrative staff[198]. - The total remuneration for directors and senior management during the reporting period amounts to 1,671,000 RMB[197]. - The company’s management team is composed of 6 members, each with a strong background in their respective fields, contributing to effective leadership[189]. Social Responsibility - The company emphasizes its commitment to social responsibility, focusing on "responsibility, collaboration, and innovation" as core values[155]. - The company actively supports social welfare and assists vulnerable groups, contributing to harmonious development with society[155]. - The company is not classified as a key pollutant discharge unit by environmental protection authorities[157].