TECHSEM(SZ:300046)2019-04-24 16:00Business Expansion and Market Strategy - The company plans to expand sales and market share of existing products such as thyristors, rectifiers, IGBTs, and power electronic modules, leveraging opportunities from the domestic semiconductor industry's growth due to US-China trade tensions [6]. - The company will actively connect industry resources through investments, acquisitions, and business collaborations to cultivate new growth points [6]. - The company plans to focus on the power semiconductor sector, particularly IGBT and MOSFET devices, to enhance its market position and expand its product offerings [97]. - The company is positioned as a leading manufacturer in the domestic power semiconductor industry, with a focus on optimizing market and product structures [32]. - The company aims to strengthen management of Bianchun Tian to ensure investment effectiveness and reduce goodwill impairment risks, focusing on developing online drama business and enhancing core competitiveness [7]. - The company’s strategic focus includes optimizing product structure and expanding its sales network to increase market share in the power semiconductor industry [96]. - The company is actively pursuing external cooperation and investment opportunities to accelerate its expansion in the semiconductor field [97]. - The company plans to establish a semiconductor industry investment and financing platform in partnership with Hengyuan Xinda and Tianyue Huaying, with the agreement signed on December 28, 2018 [137]. Financial Performance - The company's operating revenue for 2018 was ¥418,108,792.96, representing a 50.05% increase compared to ¥278,651,806.10 in 2017 [20]. - The net profit attributable to shareholders for 2018 was ¥85,771,733.25, a 60.66% increase from ¥53,387,828.67 in 2017 [20]. - The net profit after deducting non-recurring gains and losses reached ¥58,738,839.87, showing a significant increase of 619.84% from ¥8,159,964.73 in 2017 [20]. - The company's total assets at the end of 2018 were ¥1,050,389,797.77, a 2.41% increase from ¥1,025,717,939.08 at the end of 2017 [20]. - The basic earnings per share for 2018 was ¥0.4025, up 60.68% from ¥0.2505 in 2017 [20]. - The weighted average return on equity increased to 9.95%, up 3.40 percentage points from 6.55% in 2017 [20]. - The company achieved total revenue of CNY 418.11 million in 2018, representing a year-on-year growth of 50.05% [44]. - The net profit attributable to shareholders reached CNY 85.77 million, an increase of 60.66% compared to the previous year [44]. - The company achieved an annual revenue of 497 million yuan in 2018, completing 108.56% of the annual plan [99]. Research and Development - The company is focusing on the research and development of third-generation wide bandgap semiconductor materials and devices, specifically SiC and GaN technologies, to achieve industrial upgrades through continuous technological innovation [6]. - The company is committed to enhancing its R&D capabilities in third-generation semiconductor materials like SiC and GaN to maintain technological leadership [97]. - The company obtained 5 new patents during the reporting period, enhancing its technological leadership and core competitiveness [40]. - Research and development expenses were 7.34 million yuan, a slight increase of 0.89% year-on-year [48]. - The number of R&D personnel increased to 60, accounting for 10.91% of the total workforce [65]. Risk Management - The economic environment, particularly the uncertainty from trade tensions, poses risks to industry demand and competition, which could adversely affect the company's operations [6]. - The company emphasizes the importance of risk awareness regarding forward-looking statements in its annual report, clarifying that plans and forecasts do not constitute substantial commitments to investors [5]. - The company has a significant goodwill risk associated with its acquisition of Beijing Bianchun Tian Film Co., Ltd., which requires annual impairment testing; if the company fails to generate expected returns, it may negatively impact overall performance [7]. - The company recorded a goodwill impairment provision of 25.13 million yuan for 2018 due to the underperformance of its investment projects [116]. - The company will continue to monitor macroeconomic conditions and adapt its strategies accordingly to mitigate potential negative impacts on its business [6]. Shareholder and Dividend Information - The profit distribution plan approved by the board proposes a cash dividend of 3 RMB per 10 shares (tax included) based on a total of 213,120,000 shares, with no bonus shares issued [9]. - The total cash dividend amount for 2018 is 63.936 million yuan, with no shares being issued as bonus shares [106]. - The cash dividend for 2018 is proposed at 3 yuan per 10 shares, totaling 63.936 million yuan, which represents 74.54% of the net profit attributable to ordinary shareholders [108]. - The company has a three-year shareholder return plan (2017-2019) to enhance cash dividend policies and protect minority investors [104]. Corporate Governance and Compliance - The company adheres to governance standards set by the China Securities Regulatory Commission and Shenzhen Stock Exchange, ensuring compliance with relevant laws and regulations [197]. - The company maintains independent operations in procurement, production, sales, and R&D, with no overlap in personnel or financial management with the controlling shareholder [198]. - The company has established procedures for the approval of related party transactions to protect shareholder interests [112]. - The company has not reported any significant non-equity investments during the reporting period [82]. - The company has not engaged in any major guarantees, entrust loans, or other significant contracts during the reporting period [141][144]. Employee and Management Information - The total remuneration paid to directors, supervisors, and senior management during the reporting period amounted to CNY 2.8866 million [189]. - The company employed a total of 550 staff, with 301 in production, 100 in technical roles, and 46 in sales [191][192]. - The company follows a compensation policy that includes performance-based pay for senior management, linked to the company's annual performance evaluation [193]. - The company plans to enhance training for different employee roles, focusing on management, technical skills, and sales capabilities in 2019 [195]. - The company has established a reasonable suggestion reward system to encourage employee contributions [193].