Silver Basis Technology(002786)2021-04-28 16:00Financial Performance - The company reported a total revenue of 1.2 billion RMB for the year 2020, representing a year-on-year increase of 15%[19]. - The net profit attributable to shareholders was 150 million RMB, an increase of 10% compared to the previous year[19]. - The company's operating revenue for 2020 was CNY 3,242,156,267.70, representing a 16.66% increase from CNY 2,779,183,852.05 in 2019[27]. - The net profit attributable to shareholders for 2020 was a loss of CNY 325,201,900.81, a decline of 23.77% compared to a loss of CNY 262,747,473.76 in 2019[27]. - The company reported a basic earnings per share of -CNY 0.85 for 2020, down 23.19% from -CNY 0.69 in 2019[27]. - The company’s weighted average return on equity was -44.47% in 2020, compared to -25.61% in 2019, indicating a significant decline[27]. - The company’s revenue for the fourth quarter of 2020 was CNY 591,830,787.92, with a net profit attributable to shareholders of -CNY 299,251,355.78[33]. - The company received government subsidies amounting to CNY 46,735,299.01 in 2020, down from CNY 85,256,844.24 in 2019[34]. - The company reported a significant increase in investment income of ¥22,189,042.76, contributing -6.37% to total profit, primarily from equity disposals[104]. - The company’s total liabilities at the end of 2020 were CNY 569,521,877.22, a decrease of 36.01% from CNY 890,073,806.71 at the end of 2019[27]. Investment and R&D - The company plans to invest 200 million RMB in R&D for new product development in the upcoming year[19]. - The company has made significant investments in R&D, focusing on new technologies such as semi-solid die casting and lightweight products[72]. - Research and development expenses increased by 42.37% to ¥212,636,844.47, reflecting a significant investment in new technologies[91]. - The company has developed advanced technologies in lightweight materials, including LFT-D technology and high-performance semi-solid die-casting processes, aimed at reducing costs and energy consumption[56]. - The company is focusing on lightweight composite materials technology, which aims to reduce vehicle weight by over 10%[94]. - The company has established a dedicated automotive lightweight materials research laboratory to maintain a competitive edge in the industry[60]. Market Strategy and Expansion - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 30% increase in market share by 2022[19]. - The company anticipates a revenue growth of 20% for the fiscal year 2021, driven by increased demand in the automotive sector[19]. - The company is actively exploring new business areas, including 5G technology and smart automotive products, with a focus on high-quality components for antennas and base stations[67]. - The company has established stable strategic partnerships with major domestic and international automotive manufacturers and leading companies in the communication industry, including BMW, Nissan, and Huawei[46]. Operational Challenges and Risks - The company faces potential risks including market competition and supply chain disruptions, which could impact future performance[6]. - The company is facing risks from macroeconomic factors, including the impact of the COVID-19 pandemic and trade tensions, which may adversely affect its operations[141]. - The company recognizes the risk of intensified market competition and plans to strengthen its R&D and product structure adjustments to maintain competitiveness[142]. - The company is actively managing raw material costs and labor expenses to mitigate the impact of price fluctuations on its operations[145]. Corporate Governance and Compliance - The company has committed to not using raised funds for significant investments or financial-type investments[158]. - The company has established a special storage account for raised funds and will manage them according to relevant laws and regulations[158]. - The company has confirmed that it will not engage in any business that may compete with its subsidiary's main operations, ensuring a clear separation of business interests[162]. - The company has pledged to minimize related party transactions with its subsidiaries, ensuring that unavoidable transactions are conducted on a fair and reasonable basis[165]. - The company guarantees that its senior management will not hold positions in its subsidiaries beyond board roles, ensuring independence in management[165]. Product Development and Innovation - A new product line is expected to launch in Q3 2021, projected to contribute an additional 100 million RMB in revenue[19]. - The company has developed an integrated product and service model, providing a complete supply chain from mold design to assembly, catering to one-stop procurement needs[66]. - The company has established five fully automated production lines for IME technology, meeting diverse production needs[72]. - The company is developing new mold manufacturing and forming process technologies, including micro-foaming technology that can reduce product weight by over 10%[94]. Financial Management - The company has fully utilized the raised funds from its initial public offering, with a total of RMB 34,068.16 million raised and RMB 34,068.16 million utilized by the end of 2020[119][122]. - The company reported a cumulative investment of RMB 295,903,135.20 in fundraising projects, with no remaining balance of raised funds as of December 31, 2020[122]. - The company’s accounts receivable financing is classified as financial assets measured at fair value, with a total of RMB 59,469,820.03 pledged against bills[113]. - The company has no significant asset or equity sales during the reporting period[131]. - The company has no issues or other circumstances regarding the use and disclosure of raised funds[129].