BL(SZ:002592)2021-06-08 16:00Financial Performance - The company reported a significant increase in revenue for 2020, achieving a total of RMB 1.5 billion, representing a year-on-year growth of 15%[16]. - The company's operating revenue for 2020 was ¥604,859,908.98, a decrease of 19.45% compared to ¥750,904,447.30 in 2019[22]. - The net profit attributable to shareholders for 2020 was -¥685,193,404.89, representing a decline of 68.57% from -¥406,482,396.56 in 2019[22]. - The net cash flow from operating activities was -¥204,806,576.48 in 2020, a significant decrease of 294.69% compared to ¥401,198,542.48 in 2019[22]. - The basic earnings per share for 2020 was -¥2.57, down 67.97% from -¥1.53 in 2019[22]. - The company's revenue after deducting non-operating income was ¥515,816,464.50 in 2020, down from ¥653,487,296.44 in 2019[23]. - The company reported a significant drop in net profit margin, with a weighted average return on equity of -61.63% in 2020 compared to -24.52% in 2019[22]. - The company recorded a significant decline in the cultural performance segment, with revenue dropping to zero from CNY 4.39 million in 2019, marking a 100% decrease[144]. - The health management services and cell technology services revenue fell by 87.13%, from CNY 25.49 million in 2019 to CNY 3.28 million in 2020[144]. - The company reported a net profit of -412,559.58 CNY for the year 2020, indicating a significant loss compared to previous periods[189]. Market Outlook and Strategy - The company has outlined its future outlook, projecting a revenue growth of 20% for 2021, aiming to reach RMB 1.8 billion[16]. - The company is expanding its market presence, targeting new regions in Southeast Asia, with an investment plan of RMB 100 million for market entry[16]. - The company plans to enhance its R&D efforts, allocating 10% of its revenue towards innovation and technology advancements[16]. - The company aims to enhance its market position by focusing on core technologies and improving its industrial chain layout in the competitive new energy vehicle market[73]. - The company plans to continue its focus on the automotive industry while exploring opportunities in new markets and technologies[141]. Product Development and Innovation - New product development includes the launch of a smart technology line, expected to contribute an additional RMB 200 million in revenue in the upcoming year[16]. - The company is focused on developing automotive thermal management systems and related products, serving major automotive manufacturers[34]. - The company has developed proprietary design software for heat exchanger systems, improving design efficiency and reducing product development cycles[93]. - The company has invested CNY 16.97 million in R&D during the reporting period, completing 124 new product developments and 183 technology validation projects[108]. - The company is focusing on the development of new energy vehicle thermal management systems, including fuel cell thermal management systems and lightweight structural components[111]. Challenges and Risks - The company faces potential risks related to market competition and regulatory changes, which have been addressed in its risk management strategy[7]. - The company has experienced a significant cash outflow due to a pledge guarantee related to a bank deposit of ¥170 million, which was directly deducted by the creditor[29]. - The company has faced significant operational challenges due to the impact of the "920" incident and the COVID-19 pandemic, leading to a substantial decline in revenue for its subsidiary Hongrun Tianyuan[114]. - The company recognized goodwill impairment of 400.74 million RMB due to the underperformance of the acquired subsidiary Hongrun Tianyuan[135]. - The company incurred a total of 231.86 million RMB in bad debt provisions, significantly impacting net profit[135]. Government Policies and Industry Trends - The Chinese government has introduced various policies to stabilize the automotive market, including subsidies and tax reductions to boost consumption[53]. - The "New Energy Vehicle Industry Development Plan (2021-2035)" aims for new energy vehicles to account for 20% of total new car sales by 2025[45]. - The Ministry of Industry and Information Technology announced the implementation of the new "Dual Credit Policy" starting January 1, 2021, to promote the coordinated development of energy-saving and new energy vehicles[63]. - The automotive industry in China is projected to maintain stable growth, with production expected to reach around 35 million units by 2025[42]. - The automotive parts industry in China is experiencing rapid growth, driven by significant market demand and the entry of international automotive parts giants[52]. Subsidiary Performance - Hongrun Tianyuan's main products include cell technology services such as immune cell storage and health management services like health assessment testing[76]. - Hongrun Tianyuan achieved sales revenue of 3.28 million RMB in 2020, a decline of 89.08% year-on-year[196]. - The subsidiary in Qingdao reported a net profit of -412,559.58 CNY, indicating challenges in profitability[189]. - The subsidiary in Liuzhou had an operating revenue of 125,958,125.40 CNY but also reported a net loss of -7,802,247.72 CNY[189]. - The company recorded a net loss of CNY 5,753,220 for the subsidiary Impression Dinosaur Cultural and Art Co., Ltd., which was a reduction in loss by CNY 9,064,030 compared to the previous year[194].