DFDR(SZ:300217)2020-04-28 16:00Financial Performance - Total revenue for Q1 2020 was ¥483,330,203.08, a decrease of 27.42% compared to ¥665,885,751.70 in the same period last year[9]. - Net profit attributable to shareholders was -¥1,664,620.74, representing a decline of 105.49% from ¥30,327,680.30 in the previous year[9]. - Net profit after deducting non-recurring gains and losses was -¥5,207,470.11, down 119.32% from ¥26,949,701.33 year-on-year[9]. - Basic and diluted earnings per share were both -¥0.0013, a decrease of 105.46% compared to ¥0.0238 in the previous year[9]. - The company reported a net loss in other comprehensive income of ¥722,156.82 compared to a loss of ¥453,349.24 in the previous period[69]. - Net profit for the period was a loss of ¥3,654,468.75, compared to a profit of ¥33,829,694.79 in the same period last year[85]. - The company reported a gross margin decline, with operating profit showing a loss of ¥6,290,614.90 compared to a profit of ¥37,735,672.97 previously[81]. - Total comprehensive income for the current period is $14.39 million, compared to $25.76 million in the previous period, reflecting a decrease of 44.1%[92]. Cash Flow and Assets - The net cash flow from operating activities was ¥56,543,678.02, a significant improvement from -¥206,446,996.64 in the same period last year[9]. - Cash flow from operating activities generated a net inflow of $56.54 million, a significant improvement from a net outflow of $206.45 million in the previous period[93]. - Cash and cash equivalents decreased to ¥231,321,759.07 from ¥254,357,308.83, reflecting a decline of 9.05%[60]. - Total current assets amounted to ¥2,357,520,733.54, a decrease of 3.58% from ¥2,445,363,575.60 on December 31, 2019[60]. - The company reported a net increase in cash and cash equivalents of ¥8,664,070.27, contrasting with a decrease of ¥-85,826,202.22 in the previous period[103]. - Total assets at the end of the reporting period were ¥3,467,009,321.94, down 2.91% from ¥3,570,832,513.53 at the end of the previous year[9]. - Total liabilities decreased to ¥1,379,508,709.16 from ¥1,479,408,624.42, indicating a reduction of 6.73%[66]. Shareholder Information - Net assets attributable to shareholders were ¥1,881,958,400.97, a slight decrease of 0.10% from ¥1,883,891,829.29 at the end of the previous year[9]. - The company reported a total of 56,479 common shareholders at the end of the reporting period[13]. - Major shareholders include Tan Rongsheng with a 16.37% stake and Tan Wei with a 12.16% stake, both of whom have pledged a portion of their shares[13]. Business Segments and Contracts - The company experienced a 39.31% decline in revenue from its main business of electric heaters, totaling 285.52 million yuan[26]. - The industrial equipment manufacturing segment reported stable sales with a slight revenue increase of 2.84% to 19.32 million yuan, but net profit dropped significantly[26]. - The optical communication business showed improvement with revenue of 113.57 million yuan, a decrease of only 0.55% year-on-year[27]. - Significant contracts include a total price of 43.77 million yuan for supplying electrodes to Xinjiang Xiexin, with 30.64 million yuan received to date[29]. - The total contract value for the supply of cold hydrogenation/exhaust gas recovery heat exchangers to Xinjiang Dongfang Hope is 23 million yuan, with 70% of the advance payment received amounting to 16.1 million yuan[30]. Research and Development - The company is developing high-performance electric heaters for high-humidity environments, with progress including system simulation optimization and patent applications[33]. - The company is working on a low-cost heating solution for electric vehicles, with small batch production underway and product standards being established[33]. - The company obtained 2 invention patents and 1 utility model patent during the reporting period, enhancing its technological advancement and market competitiveness[39]. - Research and development expenses were ¥14,080,702.81, a decrease of 35.5% from ¥21,837,092.20 in the prior year[81]. Market Risks and Strategies - The company faces significant risks from the COVID-19 pandemic and tightening industrial policies, which may adversely affect demand for its products[42]. - The company plans to strengthen research on macroeconomic and industrial policies and adjust its operational strategies accordingly to mitigate risks[42]. - The company is increasing efforts to develop new products, new customers, and new markets to reduce reliance on major clients[47]. - The company is also focusing on enhancing its management capabilities and cost control to counteract the impact of macroeconomic fluctuations[42]. Supplier and Customer Information - The top five suppliers during the reporting period included Shanghai Hangxiao Steel Material Co., Ltd., Zhenjiang Dongfang Shanyuan Electric Heating Co., Ltd., Shanghai Qingxuan Industrial Co., Ltd., Haining Yongli Electronic Ceramics Co., Ltd., and Zhuhai Yuanxinda Electronics Co., Ltd.[40]. - The top five customers during the reporting period were Gree Group, Haier Group, Midea Group, Xinjiang Dongfang Hope New Energy Co., Ltd., and Sinopec International Ningbo Co., Ltd.[41].