兴森科技(002436) - 2018 Q4 - 年度财报

Financial Performance - The company's operating revenue for 2018 was CNY 3,473,258,603.48, representing a 5.80% increase compared to CNY 3,282,964,797.69 in 2017[13] - Net profit attributable to shareholders for 2018 was CNY 214,720,816.25, a 30.33% increase from CNY 164,748,722.56 in 2017[13] - The net profit after deducting non-recurring gains and losses was CNY 171,837,584.21, which is a 32.83% increase from CNY 129,364,175.55 in 2017[13] - The basic earnings per share for 2018 was CNY 0.14, up 27.27% from CNY 0.11 in 2017[13] - The total assets at the end of 2018 were CNY 4,730,088,601.85, a 6.65% increase from CNY 4,435,336,473.83 at the end of 2017[13] - The net assets attributable to shareholders at the end of 2018 were CNY 2,543,262,304.13, reflecting a 6.16% increase from CNY 2,395,678,435.25 at the end of 2017[14] - The net cash flow from operating activities for 2018 was CNY 333,190,502.62, a decrease of 17.31% from CNY 402,936,004.96 in 2017[13] - The weighted average return on equity for 2018 was 8.66%, an increase of 1.81% from 6.85% in 2017[13] Revenue Breakdown - Total revenue for the first quarter was ¥803.21 million, with a peak of ¥912.38 million in the third quarter, showing a quarterly fluctuation[17] - Net profit attributable to shareholders was ¥20.59 million in Q1, increasing to ¥80.24 million in Q3, before dropping to ¥38.41 million in Q4[17] - The PCB business generated sales revenue of 2.632 billion yuan, with a year-on-year growth of 4.19% and a gross margin of 30.07%[40] - The IC packaging substrate business saw sales revenue of 236 million yuan, a significant increase of 64.05% year-on-year, contributing 6.80% to total revenue[42] - The military products business reported sales revenue of 217 million yuan, a decrease of 3.87% year-on-year, while the solid-state storage products from subsidiary Hunan Yuanke achieved revenue of 54.08 million yuan, up 214.59%[41] - Semiconductor revenue increased by 16.89% to ¥573,599,374.37, up from ¥490,726,987.66 in 2017, representing 16.51% of total revenue[45] Investment and R&D - The company filed a total of 124 patents during the reporting period, including 72 invention patents and 20 PCT international patent applications[33] - The company has established three provincial-level R&D institutions and a high-end central laboratory for comprehensive quality testing of PCB products[33] - The company has a professional design team of nearly 300 members, providing localized services across multiple cities and enhancing customer response times[35] - The company has invested 50 million yuan in research and development for innovative circuit solutions, aiming for a 15% increase in product offerings[110] - In 2018, the company's R&D investment amounted to 179,543,024.04 yuan, a decrease of 2.55% compared to 184,245,884.60 yuan in 2017[54] Market Position and Growth - The PCB industry in China is expected to grow at a rate higher than the global average, with a projected market size of $35.69 billion by 2022[24] - The global PCB market value reached approximately $63.55 billion in 2018, reflecting a year-on-year growth of 8.0%[22] - The company maintains a leading position in the PCB market with an average of 25,000 types of PCB orders per month, indicating strong competitive capability[25] - The global semiconductor market revenue was approximately $412.2 billion in 2017, with a year-on-year growth of 16%, and is projected to reach $477.9 billion in 2018[28] - The global PCB market is expected to grow to $65.8 billion in 2019, with a year-on-year increase of 3.5%, and projected to reach $71.8 billion by 2020[81] Dividend Policy - The company plans to distribute a cash dividend of CNY 0.60 per 10 shares to all shareholders[3] - The cash dividend for 2018 is an increase from CNY 0.30 per share in both 2016 and 2017, reflecting a commitment to enhancing shareholder returns[92] - The company's cash dividend payout ratio has increased from 27.09% in 2017 to 41.58% in 2018, indicating a stronger commitment to returning profits to shareholders[93] - The total cash dividend amount for 2018 represents 100% of the total profit distribution amount, emphasizing the company's focus on cash returns[94] Environmental and Social Responsibility - The company has passed the OHSAS 18001:2007 occupational health and safety certification and the ISO 14001:2015 environmental management certification[130] - The company has received multiple awards for its environmental protection efforts, including the title of "Green and Environmentally Friendly Excellent Enterprise" in 2018[131] - The company has implemented measures for energy conservation, emission reduction, and clean production[131] - The company has established a comprehensive supplier management system to ensure fair procurement processes[131] - The company has invested 4.33 million yuan in the poverty alleviation workshop project, benefiting 300 individuals from 98 impoverished households[134] Corporate Governance - The company has a well-established corporate governance structure to protect shareholder and creditor rights[130] - The company has committed to ensuring independent operations and decision-making, respecting the rights of minority shareholders[97] - The company has confirmed that there were no non-operating fund occupations by controlling shareholders during the reporting period[98] - The company has implemented a change in inventory accounting policy, adopting the standard cost method effective January 1, 2018, to enhance cost management[98] Employee Management - The total number of employees in the company is 5,061, with 3,057 in production, 1,031 in technology, and 284 in sales[196] - The total pre-tax remuneration for the board of directors and senior management is 1,194.1 million yuan, with the highest individual remuneration being 173.29 million yuan for the chairman and general manager[195] - The employee remuneration structure includes fixed salary, variable salary linked to performance, and allowances for specific work conditions[199] - The company emphasizes a performance-linked salary system, promoting a culture of meritocracy[197] Risk Management - The company faces risks from raw material price fluctuations, particularly copper, which has seen an increase of over $1,000 per ton since 2016, impacting production stability and profitability[85] - The company will focus on cost control and efficiency improvements to mitigate risks associated with macroeconomic fluctuations and market competition[82] - The company has implemented effective management mechanisms to address the challenges posed by rapid expansion and ensure operational efficiency[86]