ZHEJIANG SHIBAO(SZ:002703)2024-03-28 16:00Dividend and Profit Distribution - The company plans to distribute a cash dividend of RMB 20,000,000 (including tax), which translates to approximately RMB 0.25 per 10 shares based on the total share capital of 789,644,637 shares as of March 27, 2024[6]. - The company reported a profit distribution of 1,420,425.21 CNY to its surplus reserve during the year[102]. Financial Performance - The total revenue for the fourth quarter reached ¥642,919,787.78, showing a significant increase compared to previous quarters[37]. - The net profit attributable to shareholders for the fourth quarter was ¥36,477,892.65, reflecting strong performance growth[37]. - The company's total revenue for 2023 reached ¥1,819,442,221.52, representing a 31.24% increase compared to ¥1,386,395,566.38 in 2022[90]. - Net profit attributable to shareholders was ¥77,204,342.79, a significant increase of 387.91% from ¥15,823,592.47 in the previous year[90]. - The net profit after deducting non-recurring gains and losses was ¥64,374,816.28, up 766.55% from a loss of ¥9,657,861.73 in 2022[90]. Cash Flow and Liquidity - The net cash flow from operating activities was RMB 3,196,715.47, a decrease of 97.12% year-on-year, primarily due to an increase in accounts receivable related to sales growth[44]. - The total cash and cash equivalents decreased by RMB 35,812,236.20, a decline of 374.83% year-on-year[44]. - Cash and cash equivalents at the end of the reporting period were RMB 158,481,484.94, accounting for 5.98% of total assets, a decrease of 3.74% year-on-year[48]. - The company’s cash flow from operating activities was ¥3,196,715.47, a decrease of 97.12% compared to ¥110,871,280.81 in the previous year[90]. Assets and Liabilities - The company’s total assets at the end of 2023 were ¥2,650,678,847.84, reflecting a 10.93% increase from ¥2,389,483,168.38 at the end of 2022[90]. - The company’s financial liabilities at the end of the period were ¥1,054,785,589.38, up from ¥893,350,963.09 the previous year[181]. - The total borrowings amount to RMB 207,741,181.54, an increase from RMB 196,981,075.00 in the previous year[190]. Investment and R&D - Research and development investment increased by 18.59% to ¥118,196,951.05 in 2023, representing 6.50% of total revenue[43]. - The company is investing 50 million RMB in R&D for new technologies aimed at enhancing product efficiency[159]. - Direct investment in R&D rose to ¥36,613,870.86, compared to ¥24,180,621.70, marking a significant increase of 51.3%[142]. Risk Management - The company emphasizes the risk of industry fluctuations, particularly due to the dependence on the automotive sector, which is influenced by macroeconomic cycles and national policies[8]. - The company acknowledges the risk of product quality issues, which could lead to significant costs related to recalls and damage to brand reputation[9]. - The company has established risk management policies to address credit risk, liquidity risk, and market risk associated with financial instruments[181]. Market and Strategic Goals - The company aims to enhance the safety and comfort of driving by providing advanced steering systems to leading global automotive groups[98]. - The company plans to continue expanding its market presence and investing in new product development to sustain growth[90]. - The company is considering strategic acquisitions to bolster its market position, with a budget of 200 million RMB allocated for potential deals[159]. Management and Governance - The company’s financial statements are prepared based on the assumption of going concern, with no significant doubts about its ability to continue operations[107]. - The current chairman, Zhang Shiquan, has held the position since June 12, 2004, and his term will end on June 30, 2024[150]. - The company’s board of directors held a total of 6 meetings during the reporting period, with all members present at least once[171]. Subsidiaries and Consolidation - The company consolidated six subsidiaries into its financial statements, including Hangzhou Shibao Automotive Steering Gear Co., Ltd. and Beijing Autonic Technology Co., Ltd.[143]. - The company’s subsidiary, Hangzhou New Shibao Electric Steering System Co., Ltd., reported operating revenue of CNY 453.02 million and a net profit of CNY 27.87 million for the current period[175]. Government Subsidies - The company received government subsidies totaling ¥13,856,164.82, an increase from ¥11,629,829.74 in the previous year[133]. - The total amount of government subsidies recognized in other income for the current period was ¥18,887,393.18, compared to ¥18,840,594.64 in the same period last year[179].