SLC(002106)2024-03-29 16:00Financial Performance - The company's operating revenue for 2023 was ¥5,585,850,763.16, a decrease of 9.22% compared to ¥6,153,479,576.37 in 2022[30]. - The net profit attributable to shareholders for 2023 was ¥376,046,719.80, representing a 2.52% increase from ¥366,803,029.83 in 2022[30]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥368,608,193.14, up 7.42% from ¥343,136,510.93 in 2022[30]. - The company's total assets at the end of 2023 were ¥6,706,352,095.67, an increase of 7.35% from ¥6,247,161,649.11 at the end of 2022[30]. - The net assets attributable to shareholders increased by 4.74% to ¥5,213,969,499.89 at the end of 2023 from ¥4,977,805,476.58 at the end of 2022[30]. - The basic earnings per share for 2023 was ¥0.5328, a 2.52% increase from ¥0.5197 in 2022[30]. - The weighted average return on net assets for 2023 was 7.41%, down from 7.62% in 2022[30]. - The net cash flow from operating activities for 2023 was ¥724,655,273.61, a slight decrease of 1.16% from ¥733,187,087.28 in 2022[30]. - The company reported a government subsidy of ¥13,227,663.45 in 2023, a decrease of 51.7% from ¥27,384,340.22 in 2022[39]. - Non-operating income and expenses resulted in a loss of ¥4,090,476.58 in 2023, compared to a gain of ¥89,972.32 in 2022[39]. Dividend Distribution - The company plans to distribute a cash dividend of 2.5 CNY per 10 shares, totaling 176,454,040 CNY based on a total share capital of 705,816,160 shares as of December 31, 2023[8]. - The company reported a cash dividend of 2.00 CNY per 10 shares, totaling 141,163,232.00 CNY distributed to shareholders[194]. - The company's profit distribution policy was approved at the shareholders' meeting, with no capital reserve conversion to increase share capital[194]. Market Outlook - The global PC demand is expected to gradually recover in 2024, with a projected single-digit growth in notebook shipments year-on-year[19]. - The overall demand for ITO conductive glass is expected to remain challenging in 2024 due to terminal demand shrinkage and oversupply in the TFT-LCD market, leading to intensified price competition[107]. - The global notebook computer market demand is projected to grow at a single-digit rate in 2024, with an estimated 3.6% year-on-year increase in global notebook shipments, reaching approximately 172 million units[111]. - The automotive touch screen market is shifting towards larger and multi-screen configurations, with increasing demand but also heightened competition and price pressure[110]. - The Mini LED backlight technology is expected to expand into various terminal fields, with a growing market scale as production costs decrease[114]. Product Development and R&D - The company plans to develop new products and markets for GMF and AOFT structures, targeting commercial and 2-in-1 notebooks[20]. - The company aims to enhance its R&D efforts to achieve mass production of new products like 3A Coating and new structural touch screens[20]. - The company has developed a new micro-cavity display (MED) technology, with successful production of several medium-sized color MED samples in 2023, aiming to create a new business growth point[49]. - The company is actively developing new products and technologies, including the MED project, with a focus on achieving mass production of new touch screen structures and flexible electronic materials[121]. - The company has invested in new production equipment to enhance its TFT-LCD display panel capabilities, indicating a commitment to technological advancement and market expansion[49]. Competition and Market Challenges - The company anticipates increased competition from embedded touch display technologies (On Cell/In Cell), which may impact its market share[19]. - The company faces risks from fluctuations in exchange rates, particularly with USD and JPY, which could affect the cost of imported equipment for the MED project[22]. - The company is focusing on maintaining its competitive advantage in the flat panel display and touch device industries while emphasizing product differentiation[116]. - The company faces significant competition from embedded touch display technologies, which may impact the market for its existing touch screen products[123]. Investor Relations and Communication - The company conducted multiple investor meetings and discussions throughout 2023, focusing on production and operational conditions[129]. - The company hosted an online performance briefing for the fiscal year 2022 on April 12, 2023, to discuss operational performance[130]. - The company has been actively communicating with institutional investors to discuss its business strategies and performance metrics[130]. - The company’s engagement with investors reflects its strategy to maintain strong relationships with the financial community[129]. - The company has utilized both in-person and online formats for investor communications, ensuring broad accessibility[130]. Internal Control and Governance - The company has established an internal control system that spans all levels and aspects of its operations, continuously improving governance standards to ensure the achievement of business objectives[146]. - The internal control objectives include ensuring legal compliance, asset security, and the authenticity of financial reporting[200]. - The board of directors is responsible for the establishment and implementation of internal controls, while the supervisory board oversees this process[199]. - The company maintains effective financial reporting internal controls in all significant aspects as per the internal control norms[200]. Employee Management and Training - The total number of employees at the end of the reporting period was 4,779, with 1,519 in the parent company and 3,260 in major subsidiaries[189]. - The company plans to enhance employee training in 2024, focusing on corporate culture, work skills, and management knowledge[192]. - The company has implemented a performance-based salary system for management and technical personnel[191]. - The number of R&D personnel decreased by 6.17% to 350 in 2023, representing 23.04% of the total workforce[78]. Strategic Acquisitions and Investments - The company is actively pursuing strategic acquisitions to enhance its competitive position in the market[173]. - A strategic acquisition of a local tech firm was completed, valued at $50 million, aimed at enhancing R&D capabilities[163]. - The company plans to explore potential mergers and acquisitions to strengthen its market position[157]. - The company plans to use surplus fundraising and interest income to permanently supplement working capital[98].