KingShine(SZ:300903)2023-04-24 16:00Financial Performance - The company achieved operating revenue of CNY 2,636,620,088.96 in 2022, an increase of 17.05% compared to the previous year[19]. - The net profit attributable to shareholders decreased by 29.40% to CNY 50,089,640.07 in 2022[19]. - The net cash flow from operating activities was negative at CNY -73,827,339.01, a decline of 3,768.64% from the previous year[19]. - Basic earnings per share fell by 43.81% to CNY 0.1285 in 2022[19]. - Total assets increased by 73.79% to CNY 6,204,147,982.19 at the end of 2022[19]. - The net assets attributable to shareholders rose by 96.25% to CNY 2,365,855,916.82 at the end of 2022[19]. - The company reported a quarterly operating revenue of CNY 707,469,936.18 in Q4 2022[21]. - The net profit attributable to shareholders in Q4 2022 was negative at CNY -15,197,021.32[21]. - The total operating revenue for 2022 reached ¥2,636,620,088.96, representing a year-on-year increase of 17.05% compared to ¥2,252,597,520.88 in 2021[54]. - The gross profit margin for PCB manufacturing decreased to 9.13%, down 3.18% from the previous year, despite a revenue increase of 15.21%[55]. Dividend Distribution - The company plans to distribute a cash dividend of 0.20 RMB per 10 shares (including tax) based on a total of 414,694,422 shares[3]. - The company has not proposed any stock bonus or capital increase for shareholders in the current profit distribution plan[3]. - The cash dividend distribution plan includes a cash dividend of RMB 0.20 per 10 shares, amounting to a total of RMB 8,293,888.44, which represents 100% of the total profit distribution[171]. - The company plans to distribute cash dividends of no less than 10% of the distributable profits each year, with a cumulative minimum of 30% over three years from 2022 to 2024[169]. - The company will prioritize cash dividends in its profit distribution policy, with the option for stock dividends if conditions allow[169]. Market and Industry Outlook - The company is focused on expanding its market presence and enhancing its product offerings in the printed circuit board (PCB) sector[12]. - In 2022, the global PCB industry value was $81.74 billion, with a year-on-year growth of only 1.00%[31]. - The compound annual growth rate (CAGR) for the global PCB industry from 2022 to 2027 is projected to be 3.80%, with the Chinese market lagging at 3.30%[31]. - The market size for IC packaging substrates and HDI boards is expected to reach $22.3 billion and $14.6 billion respectively by 2027, with CAGRs of 5.10% and 4.40% from 2022 to 2027[31]. - The PCB market's growth forecast was adjusted from 2.9% to 1% for 2022, indicating a decline in market conditions[46]. Research and Development - The company is actively involved in research and development to innovate new products and technologies in the electronics sector[12]. - Research and development expenses rose to ¥168,430,687.58, marking a 48.24% increase due to new R&D projects and increased investment[64]. - The company aims to enhance its core technology capabilities in RF-IC substrate production, targeting high reliability for RF applications[66]. - The company is in the research phase for high-reliability automotive PCBs, focusing on key challenges in plating and solder mask processes[66]. - The company plans to expand its product offerings in the mini LED direct display PCB technology, enhancing its overall R&D strength[66]. Corporate Governance - The company has a total of 8 board members, including 4 independent directors, and has established specialized committees such as the strategy committee and audit committee, complying with relevant laws and regulations[117]. - The company maintains an independent financial department with dedicated financial personnel, ensuring compliance with financial accounting standards and independent tax registration[128]. - The company has implemented a performance evaluation and incentive mechanism for its directors and senior management, ensuring transparency and compliance with legal regulations[120]. - The company has a robust information disclosure system, ensuring timely and accurate communication with all shareholders, enhancing transparency[121]. - The company has established independent personnel management systems, ensuring that its management team does not hold positions in other companies controlled by the actual controller[125]. Environmental Compliance - The company has complied with environmental protection regulations and obtained necessary permits for pollution control facilities[182]. - The company has established a wastewater treatment station with a discharge standard of 12.1360 tons for COD[183]. - The company reported a wastewater discharge of 0.091 mg/L for ammonia nitrogen, which is below the local standard limit of 7.5 mg/L[185]. - The company is committed to reducing pollutant discharge and enhancing wastewater treatment efficiency[185]. - The company has implemented measures to ensure that all discharge values are consistently below the regulatory limits[186]. Operational Challenges - The company faced challenges due to insufficient downstream consumer market demand, impacting overall performance[30]. - The company plans to continue monitoring market conditions and adjust strategies accordingly to improve future performance[30]. - The company has indicated that the reasons for not meeting expected benefits include insufficient order volume and high fixed costs[91]. - The expected benefits of the Phase I project have not been met primarily due to weak demand in the PCB downstream market and high fixed costs[91]. Employee Engagement and Welfare - The company has established a comprehensive welfare system, including social insurance, housing funds, and free meals and accommodation[166]. - The company has a training plan divided into four modules to enhance employee skills and efficiency[167]. - The total number of employees at the end of the reporting period was 3,802, with 673 in the parent company and 3,129 in major subsidiaries[164]. - The company has set up various employee facilities, including a library and gym, to enhance workplace quality and employee well-being[200]. Future Growth Strategies - The company aims to expand its market presence in South Korea, Japan, Taiwan, Europe, and North America while enhancing service to existing customers and acquiring new ones[106]. - The company plans to implement technology R&D in areas such as new energy PCB and FPC boards, MINI LED products, and high-performance server products over the next three years[107]. - The company intends to strengthen its brand image and increase market share through improved product quality and service levels, aiming to enhance pricing power and competitiveness[108]. - The company is committed to enhancing its operational efficiency and exploring potential mergers and acquisitions to strengthen its market position[138].