Feitian(SZ:300386)2022-04-07 16:00Financial Performance - The company achieved operating revenue of 779.31 million yuan, a decrease of 13.26% compared to the same period last year[4]. - The net profit attributable to shareholders of the listed company was a loss of 48.87 million yuan, marking a shift from profit to loss year-on-year[4]. - The decline in revenue was primarily due to a significant drop in sales of USB Key and dynamic token products, alongside rising operating expenses[4]. - The net cash flow from operating activities was ¥8,917,580.37, down 82.28% from ¥50,338,161.99 in the previous year[25]. - The company reported a basic earnings per share of -¥0.12 for 2021, a drop of 180.00% from ¥0.15 in 2020[25]. - The company reported a net profit attributable to shareholders of approximately -¥11.08 million in the first quarter of 2021, indicating ongoing financial challenges[55]. Revenue Breakdown - USB Key products generated revenue of ¥296.57 million, accounting for 38.06% of total revenue, with a year-on-year decrease of 22.96%[53]. - Revenue from smart terminal systems reached ¥216.25 million, representing 27.75% of total revenue, and increased by 45.24% year-on-year[50]. - Chip products contributed ¥100.95 million to revenue, making up 12.95% of total revenue, with a year-on-year increase of 24.21%[50]. - OTP token products generated revenue of ¥39.46 million, accounting for 5.06% of total revenue, showing a significant decline of 68.53% year-on-year[51]. Market Strategy and Development - The company plans to maintain its existing product market while developing new products and expanding into other markets to cultivate new growth points[5]. - The company plans to expand its focus on next-generation security chips, devices, and systems while continuing to develop its core identity authentication business[34]. - The company aims to leverage its technological advantages to enhance its product offerings and market presence in the information security sector[39]. - The company is exploring potential acquisitions to enhance its technology portfolio, with a focus on cybersecurity firms[43]. - The company is focused on expanding its market presence and enhancing its product offerings, particularly in the field of digital security solutions[106]. Research and Development - The company is investing in R&D, with a budget increase of 30% to support the development of new technologies and products[43]. - The company has filed for 10 new patents in 2021, focusing on security technology and user authentication methods[48]. - The company has developed a compatible PIV fingerprint FIDO2 product, expanding its application scenarios and aiming for a broader market share[70]. - The company is focusing on the development of an industrial-grade high-performance 32-bit security master control chip, which has improved performance by over 100% compared to the previous generation[70]. Governance and Management - The company has established a governance structure that complies with relevant laws and regulations, ensuring independent operations in business, personnel, assets, and finance[99][100]. - The company held three shareholder meetings during the reporting period, with participation rates of 56.52%, 43.08%, and 55.78% respectively[102]. - The company experienced a change in management with the resignation of several key personnel, including the deputy general manager and independent directors, indicating potential shifts in strategic direction[105]. - The company has a strong leadership team with diverse backgrounds in technology and finance, which supports its growth strategy[108]. Employee and Compensation - The total remuneration for the board of directors, supervisors, and senior management in 2021 amounted to CNY 10.3943 million[114]. - Employee compensation accounted for 5.50% of the total operating costs in 2021, amounting to RMB 25.65 million, an increase of 0.34% from the previous year[128][129]. - The company approved a restricted stock incentive plan on April 14, 2021, to enhance employee motivation and retention[133]. - A total of 40 internal training sessions were organized, with 1,452 participants, to enhance employee skills and knowledge[130]. Legal and Compliance - There is an ongoing lawsuit regarding patent rights, with the company defending against claims made by Beijing Xinan Century Technology Co., Ltd.[159]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[145]. - The company has not faced any penalties or rectifications during the reporting period[162]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 20% to 1.8 billion yuan[43]. - The company plans to continue expanding into overseas markets as the international market is expected to recover post-pandemic[94]. - Future industry trends will be influenced by the implementation of the Data Security Law and the Personal Information Protection Law in China[91].