BESTEK(SZ:300822)2023-04-20 16:00Financial Performance - In 2022, the company's operating revenue was 993.78 million RMB, a decrease of 8.07% compared to the previous year[5]. - The net profit attributable to the parent company was 45.38 million RMB, down 64.38% year-on-year[5]. - The decline in performance was primarily due to adverse impacts from the macroeconomic environment and increased manufacturing costs, leading to a decrease in overall gross profit margin[6]. - The company's operating revenue for 2022 was ¥993,783,588.71, a decrease of 8.07% compared to ¥1,080,977,194.85 in 2021[25]. - The net profit attributable to shareholders for 2022 was ¥45,382,200.27, down 64.38% from ¥127,391,076.28 in 2021[25]. - The basic earnings per share decreased to ¥0.2836, down 64.38% from ¥0.7962 in the previous year[25]. - The company reported a net profit margin of 3.72% for 2022, down from 10.91% in 2021, indicating a significant decline in profitability[25]. - The company experienced a quarterly revenue fluctuation, with Q4 2022 revenue dropping to ¥198,119,480.99 from ¥272,102,114.78 in Q3 2022[27]. - The net profit attributable to shareholders in Q4 2022 was negative at -¥16,748,340.39, contrasting with positive profits in the earlier quarters[27]. Cash Flow and Assets - The cash flow from operating activities improved significantly to ¥155,574,743.82, compared to a negative cash flow of -¥111,553,161.08 in 2021, marking a 239.46% increase[25]. - Total assets at the end of 2022 were ¥1,565,094,823.71, a decline of 3.42% from ¥1,620,560,575.97 at the end of 2021[25]. - The inventory level decreased by 48.32% compared to the previous year, indicating effective inventory management[71]. - The total cash inflow from operating activities decreased by 3.94% from ¥1,170,579,201.51 in 2021 to ¥1,124,507,063.91 in 2022[82]. - The company reported a significant increase in cash and cash equivalents, with a net increase of ¥132,949,317.30, a turnaround from a decrease of ¥377,652,590.12 in the previous year[82]. Market and Product Development - The smart controller industry is projected to reach a global market size of approximately $2 trillion by 2024, with China's market expected to exceed ¥3 trillion by 2023[37]. - The company is focusing on expanding its product offerings in the smart products sector, which includes smart lighting and security systems, driven by rapid technological advancements[38]. - The global smart lighting market is expected to exceed $40 billion by 2022, with China's smart lighting output projected to reach 145 billion RMB in 2023, indicating a promising market outlook[40]. - The company is expanding its product portfolio, focusing on AI and smart pet care, and aims to enhance its market presence in the domestic market[64]. - The company is progressing with the construction of a new generation smart controller industrial base project to support future growth[64]. Research and Development - The company has developed 223 utility model and design patents, 5 invention patents, and 73 software copyrights, showcasing its strong R&D capabilities[55]. - The company’s R&D investment in 2022 amounted to ¥45,043,115.31, maintaining a ratio of 4.53% of operating revenue, consistent with 2021[80]. - The number of R&D personnel decreased by 11.64% from 232 in 2021 to 205 in 2022, with a notable drop in the proportion of R&D staff from 12.04% to 8.09%[80]. - The company is investing 200 million RMB in R&D for new technologies and product development in the upcoming year[137]. - The company is focusing on enhancing its R&D budget by 30% to accelerate innovation and product development[167]. Strategic Initiatives - The company plans to distribute a cash dividend of 1.5 RMB per 10 shares (including tax) and issue 5 bonus shares per 10 shares (including tax) based on a total of 160,005,000 shares[7]. - The company is considering strategic acquisitions to enhance its product portfolio and market presence[137]. - The company aims to improve operational efficiency by 15% through process optimization initiatives[137]. - The company plans to focus on high-margin projects and increase R&D investment to enhance core competitiveness[105]. - The company is expanding into the pet ecosystem smart product market, aiming for high-quality development through brand building and emotional connections[106]. Risk Management - The company faces risks from macroeconomic fluctuations that could impact market demand and operational performance[107]. - The company is addressing intensified market competition by maintaining technological innovation and improving production efficiency[109]. - The company faces significant foreign exchange risk due to its import and export business being settled in USD and HKD, which could negatively impact operating performance if the RMB continues to appreciate[112]. - The company has established long-term relationships with key suppliers to mitigate risks related to raw material procurement costs, which significantly impact profitability[114]. - The company is closely monitoring industry policies and market conditions to effectively respond to unforeseen factors that may affect project expected benefits from raised funds[113]. Governance and Compliance - The company has implemented a transparent performance evaluation and incentive mechanism for senior management, ensuring compliance with legal regulations[121]. - The company maintains a robust investor relations management system, providing multiple channels for investors to access information and engage with the company[122]. - The company has a clear governance structure with independent directors and committees to ensure effective decision-making and compliance with regulations[120]. - The company operates independently from its controlling shareholders in terms of business, personnel, assets, organization, and finance[124]. - The company has established an independent financial department with a sound financial management system[124]. Employee and Management - The total number of employees at the end of the reporting period was 2,533, with 1,011 in the parent company and 1,522 in major subsidiaries[147]. - The company emphasizes employee training and skill enhancement through targeted training programs[149]. - The company has established a multi-tiered employee compensation system to motivate staff and respect their contributions[148]. - The company has no outsourced labor, indicating a focus on in-house talent management[150]. - The company’s workforce consists of 261 employees with a college degree or higher, highlighting a significant portion of the workforce with advanced education[147]. Shareholder Engagement - The company reported a cash dividend of 1.5 yuan per 10 shares, amounting to a total cash distribution of 24,000,750 yuan (including tax), which represents 23.08% of the total profit distribution[152]. - The company’s cash dividend policy aligns with its articles of association and shareholder resolutions, ensuring transparency and protection of minority shareholders' rights[152]. - The annual shareholders meeting held on April 28, 2022, had a participation rate of 74.74%[125]. - The first extraordinary shareholders meeting of 2022 was held on October 11, 2022, with a participation rate of 74.69%[126]. - The company has not reported any penalties from regulatory authorities against its directors, supervisors, or senior management in the past three years[138].