SHINRY(SZ:300745)2022-04-26 16:00Financial Performance - The company's operating revenue for 2021 was ¥934,523,265.24, representing a 164.22% increase compared to ¥353,696,960.31 in 2020[19]. - The net profit attributable to shareholders was ¥25,468,302.39, a significant recovery from a loss of ¥284,780,040.29 in 2020, marking an increase of 108.94%[19]. - The total assets at the end of 2021 reached ¥2,094,478,178.34, up 47.76% from ¥1,417,485,380.83 at the end of 2020[19]. - The company reported a basic earnings per share of ¥0.22 in 2021, compared to a loss of ¥2.49 per share in 2020, reflecting an improvement of 108.84%[19]. - The net cash flow from operating activities was negative at -¥129,198,125.71, worsening by 76.52% from -¥73,193,780.45 in 2020[19]. - The company's net profit after deducting non-recurring gains and losses was -¥22,102,096.08, an improvement of 92.65% from -¥300,752,874.24 in 2020[19]. - The company achieved a remarkable 514.03% increase in revenue from the Northeast region, reaching ¥5,517,300.00[73]. - The international revenue grew by 289.02%, amounting to ¥16,738,478.24, indicating successful market expansion efforts[73]. - The company reported a total revenue of 1.5 billion RMB for the fiscal year 2021, representing a year-over-year growth of 20%[148]. Business Operations - The company operates several wholly-owned subsidiaries, including Hangzhou Xinrui, Jiangsu Xinrui, Shanghai Xinrui, and Wuhan Xinrui[11]. - The company is listed on the Shenzhen Stock Exchange with the stock code 300745[15]. - The company has a dedicated board secretary for investor relations, ensuring effective communication with stakeholders[16]. - The company primarily adopts a direct sales model, focusing on customized product solutions for new energy vehicle manufacturers and their integration suppliers[40]. - The sales process includes annual framework contracts with clients, which do not specify exact supply data, allowing for flexibility in order fulfillment[40]. - The company has established a qualified supplier directory to ensure stable quality and smooth channels for raw materials procurement[41]. - The company has developed multiple proprietary technologies and holds several patents, which are crucial for maintaining its competitive edge[122]. Research and Development - The company's R&D investment in 2021 was CNY 88.19 million, reflecting a commitment to innovation[53]. - The company holds 41 invention patents, 441 utility model patents, and 35 design patents, ranking among the industry leaders in intellectual property[54]. - The company is committed to enhancing its research capabilities and technological advancements to drive future growth[145]. - The company is investing 100 million RMB in R&D for new technologies aimed at enhancing product efficiency[148]. Market Trends and Challenges - The automotive industry saw a significant growth in 2021, with global new energy vehicle sales reaching nearly 6.5 million units, a 108% increase year-on-year[29]. - The penetration rate of new energy vehicles in China reached 13.4%, with production and sales of pure electric vehicles increasing by 1.7 times and 1.6 times respectively[29]. - The company plans to enhance its comprehensive capabilities to support the industry's transition towards new energy vehicles amid ongoing challenges such as chip shortages and rising raw material prices[29]. - The global trend towards banning fuel vehicles is accelerating the development of the new energy vehicle industry, with China's penetration rate expected to exceed 30% by 2025[51]. - The sales price of vehicle power products is expected to decline as automakers transfer cost-cutting pressures upstream, which could adversely affect the company's operating performance if it fails to keep pace with market changes[127]. - The overall gross margin of the industry is projected to decline due to reduced government subsidies for new energy vehicles and cost pressures from automakers, posing a risk to the company's performance if it cannot innovate or expand its customer base[127]. Governance and Compliance - The company has a board of directors consisting of 7 members, including 3 independent directors, complying with legal and regulatory requirements[133]. - The company emphasizes information disclosure, ensuring timely and fair access to information for all shareholders[135]. - The company maintains independent operations in assets, personnel, finance, institutions, and business, ensuring no reliance on the controlling shareholder[137]. - The company has established specialized committees under the board to provide scientific and professional opinions for decision-making[133]. - The company has not faced any penalties from securities regulatory agencies in the past three years[155]. - The company’s governance practices were aligned with the relevant laws and regulations, ensuring transparency and accountability[161]. Employee and Management - The total number of employees at the end of the reporting period was 1,047, with 401 technical personnel and 382 production personnel[166]. - The company has established a differentiated compensation system to ensure market competitiveness while incentivizing high-performance employees[167]. - The training program focuses on developing a high-performance workforce in the new energy vehicle power supply sector, including onboarding and management training[169]. - The company emphasizes employee development and has established a comprehensive performance evaluation system to enhance employee satisfaction and retention[191]. Future Plans - The company plans to enhance its technological innovation and increase investment in new technologies and products[115]. - The company intends to deepen its domestic market presence while exploring overseas opportunities, particularly in the automotive sector[116]. - The company is exploring potential mergers and acquisitions to enhance its product portfolio, with a budget of 500 million RMB allocated for this purpose[148]. - The company aims to reduce operational costs by 15% through improved supply chain management initiatives[148]. - The company plans to use the remaining RMB 17,949.93 million of the raised funds for investment projects in the future[108].