ST路通(300555) - 2018 Q4 - 年度财报

Financial Performance - The company's overall gross margin for the reporting period was 22.96%, a decrease of 7.09 percentage points compared to the same period last year[8]. - The company's operating revenue for 2018 was ¥338,794,993.23, a decrease of 10.19% compared to ¥377,233,779.93 in 2017[25]. - The net profit attributable to shareholders for 2018 was ¥10,256,588.09, down 77.17% from ¥44,934,977.44 in 2017[25]. - The net profit after deducting non-recurring gains and losses was ¥3,920,166.48, representing an 88.76% decrease from ¥34,882,457.91 in 2017[25]. - The total profit for the year was 10.05 million yuan, down 81.36% year-on-year[45]. - The company's total assets at the end of the reporting period were 821.46 million yuan, an increase of 0.43% from the beginning of the year[45]. - The company's cash flow from operating activities improved by 85.70%, reaching -¥8,321,305.31 in 2018 compared to -¥58,182,691.99 in 2017[25]. - The weighted average return on net assets was 1.62% in 2018, down from 7.30% in 2017, reflecting a decrease of 5.68%[25]. Revenue Breakdown - Revenue from network equipment manufacturing was CNY 264,441,313.20, accounting for 78.06% of total revenue, down 13.23% year-over-year[75]. - Revenue from IoT applications and technology services increased by 0.27% to CNY 71,023,810.12, with a gross margin of 27.79%[75]. - The revenue from the network transmission system decreased by 23.15% to CNY 240,133,899.26, with a gross margin of 23.22%[76]. - Revenue from smart IoT applications surged by 110.27% to CNY 68,375,981.66, with a gross margin of 20.07%[76]. - Revenue from the South China region increased by 157.52% to CNY 30,783,442.91, while the gross margin was 4.98%[76]. Accounts Receivable and Cash Flow - As of the end of the reporting period, the net value of accounts receivable was 390.2063 million yuan, which is significant due to the settlement characteristics of the broadcasting industry[9]. - The company reported an increase in accounts receivable and longer aging due to delayed payments from clients, leading to an asset impairment provision of 18.58 million yuan[47]. - The company reported a net profit of ¥953.82 million, with a significant difference of ¥1,785.95 million from the cash flow generated from operating activities due to increased project-related business and longer collection cycles[98]. - The company’s cash and cash equivalents increased by 107.52% to ¥6,058,596.77, reversing a significant decline from the previous year[94]. Strategic Focus and Market Position - The company aims to expand its market presence by offering integrated solutions and services to both broadcasting network operators and enterprise clients[33]. - The company is aware of the competitive landscape in the access network equipment market and is strategizing to capture more market share[6]. - The company has established a significant market advantage by qualifying in tenders from broadcasting network operators in 24 provinces, enhancing its brand influence[129]. - The company plans to focus on business opportunities from smart broadcasting construction, emphasizing emergency broadcasting, smart tourism, and smart community services in 2019[125]. Research and Development - The company has a total of 73 patents and 72 software copyrights, showcasing its strong R&D capabilities[56]. - The company is actively engaged in R&D for new products, including smart integration terminals, which are part of ongoing contracts with multiple broadcasting networks[80]. - The company has increased its R&D investment, holding a total of 73 patents and 72 software copyrights as of the end of the reporting period[91]. - R&D personnel increased to 99, accounting for 21.81% of total employees, with R&D investment amounting to ¥15,836,574.52, representing 4.67% of operating revenue[94]. Risk Management - The company anticipates potential risks of declining gross margins due to intensified market competition and rising raw material costs[8]. - The company faces risks related to the slowdown of network construction and transformation investments by broadcasting network operators, which may impact sales of access network equipment[6]. - The company emphasizes the importance of maintaining good credit relationships with broadcasting network operators to mitigate accounts receivable risks[9]. - The company is exploring strategies to mitigate risks related to reliance on imported core components, including increasing order volumes and seeking alternative chips[134]. Dividend Policy - The company plans to distribute cash dividends of 0.00 yuan per 10 shares and no bonus shares, with a capital reserve transfer of 0 shares per 10 shares[12]. - The company will not distribute cash dividends or bonus shares for the 2018 fiscal year, retaining profits for future development[140]. - The company did not distribute cash dividends for the year 2018, despite having positive profits available for distribution to ordinary shareholders[143]. - The cumulative cash dividends distributed over the last three years exceeded 30% of the average annual distributable profits[143]. Corporate Governance - The company’s board and supervisory committee completed their re-election process in October 2018[178]. - The company appointed Zhongtianyun Accounting Firm (Special General Partnership) as its auditor, with an audit fee of 450,000 RMB and a continuous service period of 2 years[158]. - The company has maintained transparency and compliance with information disclosure regulations, ensuring fair treatment of all investors[175]. - The company has not experienced significant changes in the feasibility of its investment projects[113].