GENVICT(SZ:002869)2022-04-25 16:00Financial Performance - The company's operating revenue for 2021 was ¥301,555,088.53, a decrease of 80.71% compared to ¥1,563,646,033.41 in 2020[24]. - The net profit attributable to shareholders for 2021 was -¥192,732,391.13, representing a decline of 130.56% from ¥630,630,950.34 in 2020[24]. - The basic and diluted earnings per share for 2021 were both -¥1.08, down 130.59% from ¥3.53 in 2020[24]. - The net cash flow from operating activities was -¥36,188,644.35, an improvement of 56.74% compared to -¥83,647,556.44 in 2020[24]. - Total assets at the end of 2021 were ¥2,657,584,277.95, down 8.25% from ¥2,896,549,718.88 at the end of 2020[24]. - The company's net assets attributable to shareholders decreased by 4.19% to ¥2,271,158,328.18 at the end of 2021 from ¥2,370,538,863.60 at the end of 2020[24]. - The company achieved operating revenue of 301.55 million yuan in 2021, a decrease of 80.71% compared to the previous year, and a net profit attributable to shareholders of -192.73 million yuan, down 130.56% year-on-year[57]. - The company reported a total revenue of 1.5 billion RMB for the fiscal year 2021, representing a year-over-year growth of 20%[156]. Business Strategy and Development - The company has a comprehensive strategy for future development, including potential risks and countermeasures[5]. - The company focuses on advanced communication perception technologies, widely applied in network integration, particularly in automotive electronic identification systems[15]. - The company is developing vehicle-road collaboration technologies to enhance traffic safety and efficiency, utilizing real-time information exchange[15]. - The company is involved in the evolution of C-V2X technology, with standards set by 3GPP for enhanced vehicle communication services[16]. - The company has established a strong foundation in the ETC-X application, which aims to improve traffic safety and efficiency with minimal costs[15]. - The company is actively participating in the development of 5G standards (R16, R17) for vehicle-road collaboration, aligning with international communication technology trends[16]. - The company focuses on smart transportation and IoT applications, providing core products and solutions in three main business segments: smart highways, smart cities, and smart connected vehicles[41]. - The company is actively expanding its product range in response to market demands, transitioning from a single product provider to a comprehensive service provider[46]. - The company’s smart connected vehicle business focuses on electric and intelligent automotive sectors, providing pre-installed ETC and V2X units[44]. - The company plans to enhance its supply chain capabilities and promote ETC2.0 and V2X pre-installation to ensure sustainable business development[68]. - The company plans to actively participate in the construction of industry standards, focusing on ETC expansion applications, C-V2X, and smart highways to support the development of intelligent transportation[114]. Research and Development - The company has maintained a high level of R&D investment, with 449 independent intellectual property rights, including 223 invention patents, and added 30 new patents in 2021[59]. - The company invested CNY 8,293,28 in R&D during the reporting period[68]. - R&D investment amounted to ¥82,932,771.58, which is 27.50% of operating revenue, a significant increase from 7.94% in the previous year[86]. - The company is involved in various national and provincial key R&D projects, enhancing its capabilities in V2X product offerings[44]. Market and Competition - The smart transportation industry, where the company operates, remains a key area supported and encouraged by the government[34]. - The company anticipates a stable and continuous market demand for ETC devices as the pre-installed ratio in new vehicles is expected to increase over the next 2-3 years[38]. - The company faces risks from industry policies that could impact performance, and it plans to develop new products and explore new business models to maintain competitive advantages[119]. - Market competition poses a risk, and the company will continue to invest in R&D and improve user experience to sustain its market leadership[120]. - The ongoing pandemic may affect business operations, and the company will adjust strategies to mitigate impacts while leveraging its contactless ETC technology[121]. Governance and Compliance - The company emphasizes the importance of information disclosure through various media channels, ensuring transparency to investors[21]. - The company held four shareholder meetings during the reporting period, ensuring compliance with legal requirements and equal rights for all shareholders[133]. - The board of directors convened seven meetings, maintaining a composition that meets legal and regulatory standards, with three independent directors[134]. - The supervisory board held five meetings, with its composition adhering to legal requirements, ensuring effective oversight of major company matters[135]. - The company has established a transparent performance evaluation and incentive mechanism for senior management, ensuring fairness in appointments[136]. - The company strictly adheres to information disclosure regulations, ensuring timely and accurate communication of significant events to investors[138]. - The company has established a complete and independent business system, ensuring separation from the controlling shareholder in terms of assets, personnel, finance, organization, and operations[141]. Employee Management - The total number of employees at the end of the reporting period was 722, with 535 in the parent company and 187 in major subsidiaries[175]. - The company has a total of 1,247 employees receiving salaries, with a professional composition including 314 production personnel, 117 sales personnel, and 166 technical personnel[176]. - The company has established a competitive salary incentive mechanism, including basic salary, position salary, and performance salary[177]. - The company has a training plan that includes various forms of employee development to meet business needs[178]. Risks and Challenges - The company emphasizes the protection of its core technologies and is aware of risks related to technology leaks and personnel turnover[123]. - The company faced risks related to intellectual property infringement and plans to enhance protection measures and attract core technical personnel through various incentives[124]. - The company is transitioning from a single product supplier to a comprehensive service provider, which requires improvements in organizational structure and management capabilities to avoid operational risks[126]. - There is a risk of long collection cycles for accounts receivable, which could strain operational funds; the company is implementing stricter controls and establishing a dedicated collection team to manage this risk[127]. Future Outlook - The company has provided a revenue guidance of 1.8 billion RMB for the next fiscal year, expecting a growth rate of approximately 20%[156]. - New product development includes the launch of an advanced traffic management system, projected to enhance operational efficiency by 30%[156]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[156]. - A strategic acquisition of a local tech firm is in progress, expected to close by Q3 2022, which will enhance the company's technological capabilities[156].