长信科技(300088) - 2020 Q4 - 年度财报

Financial Performance - The company's operating revenue for 2020 was ¥6,843,956,121.41, representing a 13.62% increase compared to ¥6,023,777,582.46 in 2019[30]. - The net profit attributable to shareholders for 2020 was ¥834,231,659.93, a decrease of 1.33% from ¥845,436,642.81 in 2019[30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥775,263,594.78, which is a 6.62% increase from ¥727,114,273.59 in 2019[30]. - The company's total assets at the end of 2020 were ¥9,889,974,875.69, reflecting a 9.66% increase from ¥9,018,621,203.73 at the end of 2019[30]. - The net assets attributable to shareholders increased by 11.46% to ¥7,026,648,699.07 at the end of 2020, compared to ¥6,304,237,116.90 at the end of 2019[30]. - The basic earnings per share for 2020 was ¥0.34, down 8.11% from ¥0.37 in 2019[30]. - The diluted earnings per share for 2020 was also ¥0.34, a decrease of 2.86% from ¥0.35 in 2019[30]. - The net cash flow from operating activities for 2020 was ¥1,613,905,053.12, an increase of 8.85% from ¥1,482,730,757.72 in 2019[30]. - The company reported a weighted average return on equity of 12.58% for 2020, down from 16.09% in 2019[30]. - Non-operating income for 2020 amounted to ¥58,968,065.15, a decrease of 50.16% compared to ¥118,322,369.22 in 2019[41]. Investment and R&D - Research and development expenses increased by 28.08% to ¥267,743,962.12, driven by increased investment in R&D projects[85]. - The company invested approximately ¥267.74 million in R&D in 2020, representing 3.91% of its operating revenue, an increase from 3.47% in 2019[98]. - The number of R&D personnel decreased to 1,519 in 2020, accounting for 11.48% of the total workforce, down from 11.69% in 2019[98]. - The company has initiated several R&D projects, including ultra-thin glass technology and large-size automotive curved touch display modules[86]. - The company is focusing on the development of new technologies such as Mini LED and Micro LED display modules, aiming to expand its technological moat and maintain industry leadership[56]. Market Position and Strategy - The company maintained a leading position in the automotive electronics sector, providing key components for high-end electric vehicle clients[45]. - The ultra-thin LCD panel business remains the largest in the domestic market, recognized by major global panel manufacturers[46]. - The wearable display module business has positioned the company as an industry leader, supplying major international clients[47]. - The company has established a comprehensive business chain from conductive glass to integrated touch display modules, enhancing customer cooperation and solidifying its competitive advantage[53]. - The company targets mid-to-high-end clients, including major panel manufacturers and giants in consumer and automotive electronics, ensuring stable and continuous business relationships[54]. - The company has a strong market judgment and innovation capability, with significant experience in automotive touch display modules and advanced display technologies, maintaining a high market share[55]. Risk Management - The company emphasizes the importance of managing accounts receivable risks, which have historically been high, and is implementing measures to enhance collection efforts and customer compliance[6]. - The company is actively managing foreign exchange risks associated with its import and export business, primarily settled in USD, by matching foreign currency income and expenses[10]. - The company is addressing the risk of rising raw material prices by strengthening partnerships with key suppliers and diversifying its supply chain[13]. - The company is adopting a group management model to mitigate goodwill impairment risks from acquisitions, ensuring efficient operation of subsidiaries[13]. - The company acknowledges potential risks from declining customer demand due to geopolitical tensions and the impact of the COVID-19 pandemic, and plans to focus on top-tier domestic and international clients[10]. Cash Flow and Financial Health - The company reported a significant increase in cash and cash equivalents, growing by 74.17% from the previous year[50]. - The net cash flow from financing activities decreased by 67.56% in 2020 compared to 2019, primarily due to a decline in bank borrowings[102]. - The net increase in cash and cash equivalents was 730,610,526.21, contrasting with a decrease of 221,642,282.92 in the previous year[102]. - The total amount of raised funds from 2015 and 2019 was CNY 239,726.23 million, with CNY 211,254.24 million utilized by the end of the reporting period[117]. - As of December 31, 2020, the company had CNY 7,572.15 million of unutilized raised funds, with 5.56% of the total raised funds being repurposed[117]. Project Developments - The company has completed 200,000 bending tests for its Ultra Thin Glass (UTG) products, which are crucial for foldable mobile devices, indicating readiness for increased production[69]. - The company is preparing for increased production capacity in flexible OLED mobile display modules, leveraging its existing advantages in the LCD high-end display module sector[71]. - The company has established a holding subsidiary, Changxin Display, to enhance core competitiveness and management efficiency, further solidifying its leading position in various business segments[68]. - The company plans to terminate the small-size touch display integration project and redirect the remaining funds to enhance liquidity, as existing capacity meets market demand[124]. - The total investment commitment for the large-size thin touch display integration project was CNY 79,420 million, with CNY 29,800.23 million invested by the end of the reporting period[121].