Heshun Electric(300141)2021-06-01 16:00Financial Performance - The company's operating revenue for 2020 was approximately ¥526.36 million, a slight increase of 1.00% compared to ¥521.17 million in 2019[19]. - The net profit attributable to shareholders was a loss of approximately ¥58.92 million, a significant decrease of 1,026.53% from a profit of ¥6.36 million in 2019[19]. - The net cash flow from operating activities decreased by 65.31% to approximately ¥17.71 million, down from ¥51.04 million in the previous year[19]. - The total assets at the end of 2020 were approximately ¥1.00 billion, representing a decrease of 25.05% from ¥1.34 billion at the end of 2019[19]. - The net assets attributable to shareholders decreased by 8.60% to approximately ¥666.64 million, down from ¥729.35 million in 2019[19]. - The basic earnings per share for 2020 were -¥0.23, compared to ¥0.02 in 2019, reflecting a decrease of 1,250.00%[19]. - The company acknowledges the uncertainty regarding its ability to continue as a going concern due to recent financial performance[19]. - The company's net profit for the year was -62,606,584.71 yuan, with significant adjustments made for credit impairment and asset depreciation[73]. Revenue Breakdown - The company's electric power equipment segment generated revenue of approximately 188.10 million yuan, accounting for 35.74% of total revenue, with a year-on-year decline of 13.48%[45]. - The revenue from power transmission and control equipment manufacturing accounted for 97.74% of total revenue, with a slight increase of 1.22% compared to the previous year[52]. - The revenue from charging devices dropped significantly by 50.07% to ¥32,789,901.55[56]. - The installation and construction segment saw a revenue increase of 38.42%, reaching ¥289,679,426.73, up from ¥209,275,982.94 in 2019[52]. - The revenue from the East China region decreased by 12.97% to ¥111,965,573.88, while revenue from North China surged by 243.27% to ¥290,427,150.77[53]. Investment and Assets - Fixed assets increased by 66.77% compared to the beginning of the period, primarily due to the acquisition of two photovoltaic power stations[32]. - The company's cash and cash equivalents decreased by 30.42% compared to the beginning of the period, reflecting investments in project construction[32]. - Accounts receivable increased by 171.60% compared to the beginning of the period, mainly due to the receipt of commercial acceptance bills from power grid companies[32]. - The company made a significant investment of 169.5 million yuan in a solar power project, acquiring a 100% stake in the project[82]. - The company increased its investment in research and development, resulting in a rise in fixed assets to 234,336,878.39 yuan, which accounted for 23.33% of total assets[77]. Shareholder Structure and Dividends - The company will not distribute cash dividends or issue bonus shares for the reporting period[7]. - The company’s total share capital as of July 7, 2020, was 253,884,600 shares, a decrease from 255,459,600 shares as of December 31, 2019[121]. - The company has committed to not planning any major asset restructuring within specified timeframes, ensuring stability in its operations[123]. - The company will not distribute cash dividends or increase capital stock from capital reserves for the 2020 fiscal year, with undistributed profits carried forward to the next year[120]. - The cash dividend for the 2019 fiscal year was set at 0.15 RMB per 10 shares, totaling 3,831,894 RMB distributed to shareholders[117]. Research and Development - The company is actively investing in R&D for charging-related products to address the decline in charging pile business orders and gross profit margins[47]. - R&D expenses increased by 39.97% to ¥28,401,462.55 in 2020 from ¥20,291,195.43 in 2019, reflecting increased investment in new product development[67]. - The number of R&D personnel decreased to 53 in 2020 from 86 in 2019, with the proportion of R&D personnel to total employees at 22.36%[71]. - The company is focusing on developing a new type of power system to accommodate a high proportion of renewable energy generation, as emphasized in the national energy strategy[90]. - The company plans to enhance R&D efforts for high-power fast charging technology to meet market demand[100]. Market Strategy and Operations - The company plans to enhance profitability by developing new businesses and optimizing shareholder structure, leveraging new shareholders' customer resources[6]. - The company is focusing on the development of electric vehicle charging stations, with a significant market opportunity due to the projected 25% share of new energy vehicles in total vehicle sales by 2025[47]. - The company has established a strong marketing service network with five branches and multiple subsidiaries across the country to enhance customer response[37]. - The company aims to reduce operational costs and improve efficiency by optimizing procurement, production, and sales processes[50]. - The company is committed to improving service quality and reducing costs to achieve differentiated competition in a mature market[109]. Risk Management and Compliance - The company aims to enhance its risk management capabilities and optimize its internal control systems to address operational management risks[111]. - The company has committed to fulfilling its obligations as a listed company shareholder and will not engage in actions that could harm the interests of the company and its shareholders[126]. - The company has established a consensus action agreement among shareholders to address management issues based on majority shareholding principles, effective since October 2017[124]. - The company has taken steps to prevent any misuse of its shareholder position to influence decisions that could harm the company or other shareholders[126]. - The company has ensured that all commitments regarding avoiding competition and related party transactions are strictly adhered to, with ongoing compliance as of the report date[125].