HES(SZ:002963)2022-04-14 16:00Financial Performance - The company's operating revenue for 2021 was approximately ¥787.94 million, representing a 31.74% increase compared to ¥598.12 million in 2020[19]. - The net profit attributable to shareholders decreased by 68.91% to approximately ¥13.29 million in 2021 from ¥42.75 million in 2020[19]. - The net profit after deducting non-recurring gains and losses was approximately -¥9.47 million, a decline of 142.83% compared to ¥22.12 million in 2020[19]. - Basic and diluted earnings per share decreased by 67.86% to ¥0.09 in 2021 from ¥0.28 in 2020[19]. - The weighted average return on net assets was 0.80%, down from 2.60% in 2020, indicating a decline in profitability[19]. - Operating profit decreased to 12.50 million yuan, down 73.44% year-on-year, while total profit fell to 12.05 million yuan, a decrease of 74.15%[41]. - The company achieved total operating revenue of 787.94 million yuan, an increase of 31.74% compared to the same period last year[41]. - Net profit attributable to shareholders was 13.29 million yuan, a decline of 68.91% compared to the previous year[41]. Cash Flow and Investments - The net cash flow from operating activities improved significantly to approximately ¥66.41 million, a 154.02% increase from -¥122.94 million in 2020[19]. - The company reported a significant increase in R&D expenses, totaling CNY 49.64 million in 2021, up 68.17% from the previous year[90]. - The company's cash and cash equivalents net increase was 25,206,407.85 CNY in 2021, a turnaround from a decrease of -393,432,020.26 CNY in 2020, marking a 106.41% improvement[96]. - Investment activity cash flow net improved by 89.69%, from -259,864,816.63 CNY in 2020 to -26,787,187.83 CNY in 2021, attributed to the redemption of financial products[97]. - The total investment amount for the reporting period is CNY 50,000,000, unchanged from the previous year, resulting in a 0.00% change[106]. Business Strategy and Development - Future plans and development strategies are subject to various risk factors, which the company has outlined in its report[5]. - The company aims to leverage core technologies to expand its international brand presence and market reach[31]. - The company is focusing on three smart business segments: "Smart Light Art," "Smart Cultural Tourism," and "Smart City Domain," leveraging digital technology to create the "HAO Digital Twin Integration Network Platform"[36]. - The company aims to accelerate the integration of light environment and related industries, focusing on "smart+" development strategies, including smart lighting and smart cultural tourism[127]. - The company plans to leverage opportunities in the night economy to strengthen its leading position in various lighting sectors, including national events and public facilities[127]. Market Position and Competitive Advantage - The company holds the highest qualifications in the lighting engineering industry, including "Class A Qualification for Lighting Engineering Design" and "First-Class Qualification for Municipal and Road Lighting Engineering" among 191 companies[34]. - The company has completed 65 projects of super high-rise buildings (over 200 meters), representing 7.41% of domestic and 3.89% of global super high-rise projects, indicating a leading position in the industry[35]. - The company has a strong competitive advantage in large-scale engineering projects, with extensive experience in design and construction, enhancing its brand effect in the industry[38]. - The company is recognized as a national high-tech enterprise, highlighting its commitment to innovation and technology advancement in the lighting engineering sector[36]. - The industry is experiencing rapid growth due to the ongoing development of smart cities and digital rural areas, with high-quality lighting environments becoming increasingly important[34]. Research and Development - The company has a mature R&D team of 248 personnel, accounting for 38.33% of total employees[40]. - The number of R&D personnel rose by 26.09% from 115 in 2020 to 145 in 2021, with a notable increase in master's degree holders by 100%[95]. - The company is researching innovative night lighting technologies aimed at enhancing interaction and immersive experiences[91]. - The company is focusing on integrating IoT technology into urban lighting systems to enhance management efficiency and service levels[93]. - The company aims to build a comprehensive management cloud platform utilizing AI, big data, and blockchain technologies for smart city applications[93]. Governance and Compliance - The company has established a clear and independent asset ownership structure, with no funds or resources occupied by the controlling shareholder or related enterprises[139]. - The governance structure includes a well-defined shareholder meeting, board of directors, and supervisory board, ensuring operational independence from the controlling shareholder[140]. - The company emphasizes the importance of internal control and compliance training to enhance governance and operational efficiency[129]. - The company has not reported any instances of directors failing to attend meetings consecutively[162]. - The company has not identified any significant internal control deficiencies during the reporting period, indicating effective internal governance[180]. Shareholder and Market Relations - The controlling shareholders of Haosai Technology Group, including Dai Baolin, Liu Qingmei, and Dai Congqi, committed to not transferring or entrusting their shares within 36 months post-IPO[194]. - The company will adjust the transferable share quota based on changes in shareholding due to rights distributions or capital reductions[194]. - The shareholders must announce their reduction plans 3 trading days in advance and comply with disclosure obligations[196]. - The company emphasizes compliance with relevant laws and regulations regarding shareholding changes and reductions[196]. - The company emphasizes maintaining effective communication with investors through various channels, ensuring transparency in information disclosure[189].