KFMI(SZ:300666)2022-04-25 16:00Financial Performance - The company's operating revenue for 2021 was CNY 1,593,912,652.91, representing a 36.64% increase compared to CNY 1,166,542,634.09 in 2020[37]. - The net profit attributable to shareholders for 2021 was CNY 106,626,738.28, a decrease of 27.55% from CNY 147,168,583.70 in 2020[37]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 76,171,693.93, which is a 25.59% increase from CNY 60,649,625.47 in 2020[37]. - The net cash flow from operating activities for 2021 was CNY 102,906,718.42, a significant increase of 325.96% compared to a negative cash flow of CNY -45,541,005.28 in 2020[37]. - The total assets at the end of 2021 were CNY 2,901,436,340.37, which is a 22.35% increase from CNY 2,371,502,811.46 at the end of 2020[37]. - The diluted earnings per share for 2021 was CNY 0.47, down 28.79% from CNY 0.66 in 2020[37]. - The weighted average return on net assets for 2021 was 8.77%, a decrease of 8.38% from 17.15% in 2020[37]. - Total revenue for the fourth quarter reached ¥470,484,682.72, marking a significant increase compared to previous quarters[41]. - The net profit attributable to shareholders for the fourth quarter was ¥11,372,077.78, a decrease from the previous quarter's ¥34,618,771.24[41]. - The net cash flow from operating activities for the fourth quarter was negative at ¥-1,739,980.26, contrasting with positive cash flows in the second and third quarters[41]. Dividend Distribution - The company plans to distribute a cash dividend of 1.00 yuan (including tax) for every 10 shares, with no bonus shares issued[7]. - The total number of shares eligible for the dividend distribution is 227,621,934 shares[7]. Industry Position and Market Trends - The company operates in the high-purity metal sputtering target industry, which is classified under the computer, communication, and other electronic equipment manufacturing sector[54]. - The industry is supported by national policies aimed at fostering the development of strategic emerging industries, including high-purity sputtering targets[56]. - The market for semiconductor sputtering targets is expected to grow in line with the rapid expansion of the global semiconductor industry and wafer production capacity[63]. - The company has become a supplier for major semiconductor manufacturers such as TSMC, SK Hynix, and SMIC, indicating its competitive position in the semiconductor industry[66]. - The company is positioned to benefit from the domestic production trend in the flat panel display industry, with significant potential for import substitution[64]. Research and Development - Research and development investment amounted to RMB 98.26 million, a 33.13% increase year-on-year, accounting for 6.16% of operating revenue[98]. - The company has established a diversified product R&D system centered on high-purity sputtering targets for semiconductor chips, with additional developments for LCDs and solar cells[108]. - The company has a strong technical team with extensive industry experience, including members with over ten years in the field, enhancing its R&D capabilities[107]. - The company is actively involved in national high-tech research projects, contributing to the development of key materials in the semiconductor sector[66]. - The company has been actively increasing R&D investment to ensure product innovation and technological leadership, breaking the reliance on imports in the domestic high-purity sputtering target market[108]. Production and Supply Chain - The company specializes in the research, production, and sales of ultra-pure metal sputtering targets and key components for semiconductor equipment, including aluminum, titanium, tantalum, and copper targets[75]. - The production model is customized based on the unique technical requirements of world-class chip manufacturers, focusing on "small batch, multiple varieties" production[87]. - The company has established stable supply channels for raw materials and maintains long-term strategic partnerships with key suppliers[86]. - The company has successfully broken the monopoly of American and Japanese multinational companies in the ultra-pure metal target market, filling a gap in the domestic electronic materials industry[75]. - The company is in the mass production stage for advanced Ta sputtering targets, aiming to break foreign monopolies and establish a fully autonomous supply chain[142]. Financial Management and Fundraising - The total cash inflow from financing activities in 2021 was ¥1,666,158,737.36, an increase of 11.77% compared to 2020[152]. - The company issued convertible bonds, resulting in an increase in payable bonds by 11.97% to CNY 347,161,298.87[159]. - The company raised a total of RMB 25,376.16 million from its initial public offering, with a net amount of RMB 21,211.78 million after deducting fees[171]. - The company has no issues with the timely, truthful, accurate, and complete disclosure of information regarding the raised funds[192]. - The company has strictly managed the use of raised funds according to regulations, ensuring project quality and resource allocation[189]. Customer Relationships and Sales - The total sales amount from the top five customers reached ¥636,055,536.97, accounting for 39.91% of the annual total sales[138]. - The total procurement amount from the top five suppliers was ¥591,971,405.04, representing 52.04% of the annual total procurement[138]. - The company has established stable supply relationships with major clients such as SMIC, TSMC, and BOE, which helps in sharing the vast market in the downstream applications of high-purity sputtering targets[119]. Challenges and Risks - The company emphasizes the importance of risk awareness for investors regarding future operational challenges[7]. - The company faces high customer certification barriers, requiring rigorous quality management and performance standards to become a qualified supplier[69]. - The company has faced delays in project implementation due to the pandemic, affecting the installation of imported equipment, but projects are expected to gradually ramp up based on sales orders and customer certifications[186].