KFMI(SZ:300666)2020-04-24 16:00Financial Performance - The company reported a total revenue of 2.1876 billion RMB for the year 2019, marking a year-on-year increase of 15%[7] - The net profit attributable to shareholders was 218 million RMB, representing a growth of 12% compared to the previous year[7] - The company's operating revenue for 2019 was CNY 824,964,791.18, representing a 26.98% increase compared to CNY 649,683,244.58 in 2018[29] - The net profit attributable to shareholders for 2019 was CNY 64,185,986.25, which is a 9.14% increase from CNY 58,808,599.14 in the previous year[29] - The net cash flow from operating activities surged to CNY 94,628,704.41, a significant increase of 1,746.40% compared to CNY 5,125,028.59 in 2018[29] - The basic earnings per share for 2019 was CNY 0.29, up 7.41% from CNY 0.27 in 2018[29] - The company reported a decrease of 23.67% in net profit attributable to shareholders after deducting non-recurring gains and losses, totaling CNY 33,764,334.84 in 2019 compared to CNY 44,236,334.26 in 2018[29] - The weighted average return on equity for 2019 was 9.95%, slightly down from 9.98% in 2018[29] - The quarterly operating revenue for Q4 2019 reached CNY 256,354,331.26, marking a steady growth throughout the year[31] - The net profit attributable to shareholders in Q4 2019 was CNY 31,657,131.14, indicating strong performance in the last quarter[31] Research and Development - The company has allocated 10% of its annual revenue towards R&D, aiming to enhance product innovation and technology[7] - The company invested 59.74 million RMB in R&D during the reporting period, an increase of 28.27% compared to the previous year[85] - The company has established a diversified product R&D system focusing on high-purity sputtering targets for semiconductor chips, liquid crystal displays, and solar cells[68] - The company emphasizes continuous technological innovation and has increased R&D investment to ensure product innovation and technological leadership[68] - The R&D personnel count increased to 135, representing 16.00% of the total workforce, indicating a focus on innovation[157] - The R&D investment accounted for 7.24% of the operating revenue, reflecting the company's commitment to technological advancement[157] Market Expansion and Strategy - The company plans to distribute a cash dividend of 0.60 RMB per 10 shares, totaling approximately 13.1 million RMB in dividends[7] - User data showed an increase in customer base by 20% year-on-year, with significant growth in the semiconductor materials segment[7] - The company is focusing on expanding its market presence in Southeast Asia, targeting a 25% increase in market share by 2021[7] - The company is actively pursuing market expansion in the LCD and solar cell sectors, leveraging its existing technology and customer resources[80] - The company has established stable supply relationships with major clients such as TSMC and SMIC, enhancing its market position in the semiconductor industry[79] - The company has positioned itself as a primary supplier for new factories being established in the semiconductor industry, facilitating product evaluations and mass production[91] - The company aims to further enhance its market presence by leveraging its strong brand, quality service, and stable product quality in both domestic and international markets[94] Production and Operations - The company specializes in the research, production, and sales of high-purity sputtering targets, with key products including aluminum, titanium, tantalum, and tungsten-titanium targets, primarily used in semiconductor manufacturing[44] - The company achieved mass supply of ultra-high purity metal sputtering targets for advanced manufacturing processes at the 7nm technology node, indicating strong market penetration in the semiconductor industry[44] - The production model is customized based on client needs, focusing on "small batch, multiple varieties" to meet the unique technical and quality requirements of world-class chip manufacturers[51] - The company has a comprehensive business process that includes grain orientation control, material welding, precision processing, product testing, and cleaning packaging, ensuring high-quality production standards[51] - The company has established a state-of-the-art analysis and testing platform, enhancing its R&D capabilities and competitive strength in the industry[95] Financial Position and Assets - The total assets at the end of 2019 amounted to CNY 1,465,642,899.28, reflecting a 1.49% increase from CNY 1,444,148,387.35 at the end of 2018[29] - The net assets attributable to shareholders increased by 11.28% to CNY 682,626,409.63 from CNY 613,456,738.04 in 2018[29] - The company's intangible assets at the end of the reporting period amounted to 34.31 million, an increase of 59.89% compared to the end of the previous year, mainly due to the acquisition of land by a subsidiary during the reporting period[63] - The company's cash and cash equivalents at the end of the reporting period were 250.68 million, a decrease of 51.22% compared to the end of the previous year, mainly due to repayment of bank loans and acquisition of fixed and intangible assets[63] - The company's accounts receivable at the end of the reporting period were 209.00 million, an increase of 59.83% compared to the end of the previous year, driven by steady growth in operating income and customer payment terms[63] - The company's inventory at the end of the reporting period was 325.07 million, an increase of 39.22% compared to the end of the previous year, mainly due to the expansion of sales scale[63] Corporate Governance and Compliance - The company has established a special account for the management of raised funds, ensuring compliance with regulatory requirements[181] - The company has not reported any significant changes in the measurement attributes of its main assets during the reporting period[180] - The company has not experienced any significant changes in project feasibility or adverse effects on normal operations due to the change in project implementation locations[197] - The company has achieved no expected benefits from the "Analysis and Testing and Customer Support Service Center Construction Project" as of the report date[190] - The company has strictly managed the use of raised funds in accordance with regulations, ensuring no violations occurred in the disclosure of fund usage[198]