TIANSHENG(SZ:300169)2020-04-23 16:00Financial Performance - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the year, representing a growth of 15% compared to the previous year[15]. - The company's operating revenue for 2019 was ¥893,508,335.61, a decrease of 1.22% compared to ¥904,549,750.64 in 2018[20]. - The net profit attributable to shareholders was -¥288,775,261.40, representing a significant decline of 1,883.25% from ¥16,193,787.58 in 2018[20]. - The net cash flow from operating activities was -¥23,953,757.95, a decrease of 421.74% compared to ¥7,445,143.22 in 2018[20]. - The total assets at the end of 2019 were ¥1,822,544,072.89, down 11.91% from ¥2,068,868,771.92 at the end of 2018[20]. - The net assets attributable to shareholders decreased by 24.31% to ¥906,837,725.43 from ¥1,198,083,723.02 in 2018[20]. - The company reported a basic earnings per share of -¥0.89, a decline of 1,880.00% from ¥0.05 in 2018[20]. - The company's 2019 revenue was CNY 893,508,335.61, a decrease of 1.22% compared to the previous year, primarily due to a decline in export business and sales prices[39]. - The 2019 gross profit margin was 23.82%, down 1.95% year-on-year, mainly due to a decrease in the gross margin of sound barrier products[39]. - The company reported a net profit for 2019 of a loss of CNY 112,464,884.80, which represents a decline of 415.19% from a loss of CNY 21,829,741.89 in 2018[74]. Strategic Initiatives - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 12%[15]. - New product development initiatives include the launch of a lightweight composite material expected to reduce production costs by 5%[15]. - The company is expanding its market presence in Southeast Asia, targeting a 25% market share in the region by 2025[15]. - A strategic acquisition of a local competitor is anticipated to enhance production capacity by 30%[15]. - The company plans to invest 100 million RMB in R&D for new technologies over the next three years[15]. - The company aims to reduce its carbon footprint by 15% through sustainable practices by 2025[15]. - The company has established a joint venture with CAF Power & Automation, S.L. to manufacture urban rail traction equipment, enhancing its position in the rail transportation supply chain[31]. - The company has developed the Strucell series of structural foam materials, successfully entering new markets such as wind power and rail transportation[30]. - The company plans to enhance its product offerings in the rail transit sector, focusing on lightweight materials and system solutions for high-speed trains and maglev trains[80]. Research and Development - The research institute has shifted its focus to incubating industrial technology, aiming to meet the lightweight demands of the manufacturing industry[32]. - The company completed several R&D projects, including high-temperature resistant acrylic protective films and functional adhesive tapes for electric vehicles[57]. - The company is currently developing multiple new products, including sound-absorbing panels and noise barriers, with several projects still in progress[58]. - The company has a total of 87 registered trademarks and 79 patents, including 27 invention patents, as of the end of the reporting period[36]. - The company's R&D investment in 2019 amounted to ¥13,131,077.01, representing 1.47% of operating revenue, a decrease from 2.06% in 2018[58]. - The number of R&D personnel decreased to 42 in 2019, accounting for 5.40% of the total workforce, down from 7.66% in 2018[58]. Market and Sales Performance - User data showed a 20% increase in active users, reaching 500,000 by the end of the fiscal year[15]. - The manufacturing sector accounted for 94.51% of total revenue in 2019, with a revenue of CNY 844,467,466.93, down 3.32% year-on-year[43]. - Revenue from transportation supporting products was CNY 184,760,551.61, representing a decline of 23.09% compared to the previous year[43]. - The company achieved a 25.95% increase in foreign sales, totaling CNY 117,897,949.71 in 2019[43]. - The company's domestic sales reached CNY 775.61 million, a year-on-year increase of 21.53%, while international sales increased by 38.86% to CNY 117.90 million[46]. - The total sales volume in the manufacturing sector was CNY 670.20 million, up 1.26% from the previous year, while production volume decreased by 2.23% to CNY 635.76 million[46]. Governance and Compliance - The board of directors confirmed the accuracy and completeness of the annual report, ensuring no misleading statements or omissions[3]. - All directors attended the board meeting to review the report, emphasizing the importance of risk awareness regarding forward-looking statements[4]. - The company has established a robust management system to mitigate risks associated with rapid business expansion and ensure stable growth[85]. - The company has a governance structure that complies with relevant laws and regulations, ensuring independent operation from its controlling shareholders[183]. - The company has established a comprehensive internal control system to ensure accurate financial reporting[198]. - The internal control verification report issued a standard unqualified opinion, indicating no major defects in non-financial reporting[199]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[107]. Shareholder Information - The company reported a total cash dividend of 0.00 yuan for the fiscal year 2019, with a distributable profit of -103,031,958.26 yuan[91]. - The company has not proposed any cash dividends or capital reserve transfers for the years 2017, 2018, and 2019 due to negative distributable profits[93]. - The company’s total cash dividend as a percentage of the total profit distribution for 2019 was 0.00%[96]. - The company’s cash dividend history shows no distributions in the last three years, indicating a focus on maintaining liquidity for operational needs[94]. - The company’s controlling shareholders are all natural persons, with no changes in the controlling shareholder during the reporting period[152]. - The company has a total of 12,680 common shareholders at the end of the reporting period[150]. - The total number of shares after the recent changes is 325,984,300, with 19.44% being limited shares and 80.56% being unrestricted shares[145]. Risk Management - The company faces risks related to the loss of core technical personnel, which could impact its competitive position in the polymer foaming industry[85]. - The company recognizes the high costs and risks associated with new product development, particularly in polymer foaming materials, and is committed to maintaining continuous innovation capabilities[86]. - The company has committed to enhancing its international talent acquisition and management capabilities to support its global expansion strategy[87]. - The company is actively learning from its overseas business experiences to improve its operational management and risk control[87]. Management and Leadership - The company experienced a leadership change with the resignation of the Technical Director and Vice President due to personal reasons[164]. - The current Chairman, Wu Haizhou, has extensive experience in the plastic industry, having held various positions since 1991[165]. - The company’s President, Xu Yi, has been with the organization since 1992 and has held multiple leadership roles[167]. - The company’s financial manager, Xu Jue, has a background in accounting and has been with the company since 2012[171]. - The company appointed Xu Dongdong as Vice President and Board Secretary in April 2019, reflecting a strategic shift in management[171]. - The company has a strong focus on financial oversight, with the current CFO, Xue Meixia, having previously served as the financial director at another major group[171]. Internal Controls - The company reported zero significant defects in both financial and non-financial internal controls for the reporting period[196]. - The internal control self-assessment report was disclosed on April 23, 2020, confirming the effectiveness of internal controls related to financial statements as of December 31, 2019[198]. - The company maintained effective internal controls in all material aspects as per the guidelines issued by the Ministry of Finance and other relevant authorities[198].