VEKEN TECHNOLOGY(SH:600152)2024-04-15 13:54Financial Performance - The company reported a total revenue of CNY 1.67 billion for the period, a decrease of 28.08% compared to the previous year[89]. - The net profit attributable to shareholders was CNY -120 million, indicating a loss for the period[89]. - Total assets at the end of the period were CNY 3.24 billion, down 7.25% from the beginning of the period[89]. - The overall revenue and cost of main business saw a significant decline due to decreased sales prices and lower sales volumes[61]. - The company experienced a significant decline in sales of aluminum shell battery products, with a revenue drop of 40.16%[95]. - Direct sales revenue amounted to ¥1,672,169,340.72, with a year-over-year decline of 23.82%[98]. - The company reported an investment loss of CNY 19.35 million primarily due to reduced losses from its investment in Jiangxi Weile[86]. Assets and Investments - Long-term equity investments decreased by 97.87% to ¥928,443.34 due to the consolidation of Jiangxi Weile[3]. - Investment properties decreased by 88.91% to ¥12,383,588.84, primarily due to the consolidation of Jiangxi Weile[3]. - The overseas asset scale is ¥94,045,828.13, accounting for 2.90% of total assets[4]. - The company acquired a 76% stake in Weile Battery for $1, transitioning it from an associate to a subsidiary[9]. - The company acquired a 34% stake in Jiangxi Weile Battery for 1 USD, changing its status from an associate to a subsidiary, effective from October 9, 2023[151]. Research and Development - The company is committed to developing new customers in the 3C sector and enhancing its BMS independent R&D capabilities[19]. - The company plans to enhance its R&D investment and technological innovation to provide better products and services, particularly in the 3C industry[48]. - Research and development expenses increased by 12.21% to CNY 87.32 million due to a rise in personnel costs[92]. - The company's R&D expenses for the period amounted to 87,315,941.40 RMB, representing 5.22% of total operating revenue[191]. - The company has a total of 528 R&D personnel, accounting for 22.18% of the total workforce[192]. Sales and Market Performance - Domestic sales revenue reached ¥1,336,866,395.42, with a year-over-year increase of 28.53%[98]. - Gross margin for domestic sales improved by 2.14 percentage points to 6.52%[98]. - Overseas sales revenue was ¥335,282,945.30, reflecting a year-over-year increase of 3.37%[98]. - Gross margin for overseas sales decreased by 8.32 percentage points to 19.11%[98]. - The sales volume of polymer batteries decreased by 13.85%, aluminum shell batteries by 30.47%, and small power batteries by 18.52% year-on-year[61]. Cost Management - The average price of key materials for lithium-ion batteries decreased significantly, with lithium cobalt oxide down approximately 39%, electrolyte down about 32%, and anode materials down around 29%[61]. - The cost of materials for polymer batteries decreased by approximately 39% for lithium cobalt oxide, 32% for electrolytes, and 29% for anodes compared to the previous year[65]. - Labor costs decreased by approximately 0.35 yuan per unit due to optimization of production processes, resulting in a year-on-year reduction of 44.19% in labor costs for aluminum shell batteries[65]. - The company aims to build a strategic procurement team to implement cost reduction strategies and ensure supply stability amid price fluctuations[51]. Operational Changes - The company has eliminated two production lines for aluminum shell batteries, leading to a reduction in production capacity[62]. - The company is focusing on transforming its development model to adapt to market changes and enhance operational efficiency[47]. - The company plans to implement sodium battery demonstration projects, including energy storage stations and applications in special vehicles[18]. Employee and Governance - The total number of employees in the company is 2,381, with 1,653 in production, 528 in technical roles, and 134 in administrative positions[71]. - The company held 13 board meetings during the year, with various financial and operational reports reviewed[41]. - The company plans to implement a shareholder return plan for 2023-2025, emphasizing clear dividend standards and decision-making processes[74]. - The company has established a clear cash dividend policy in accordance with regulatory requirements, ensuring transparency in profit distribution[74]. Cash Flow and Financing - The company’s operating cash flow increased by 28.24% to CNY 360.40 million, reflecting improved cash management[92]. - The net cash flow from operating activities for the current period is RMB 360,396,489.79, an increase of 28.24% compared to the previous period[193]. - The net cash flow from investment activities for the current period is -RMB 122,924,590.81, which is a decrease from -RMB 76,546,961.00 in the previous period[193]. - The net cash flow from financing activities for the current period is -RMB 258,506,976.39, compared to -RMB 168,796,443.25 in the previous period[193]. Related Transactions - The company reported accounts receivable from the bankrupt Gionee Communications amounting to ¥78,770,110.37, with full impairment recognized[121]. - The company expects to purchase ¥7.54 million and sell ¥523.81 million from related parties in 2023[124]. - The company reported a total of 7,044,552.91 RMB in related transactions during the reporting period, with 610.65 million RMB in related sales accounting for 0.76% of total revenue[148]. - The company engaged in routine procurement transactions totaling 850,100 RMB with related parties during the reporting period[148]. Leasing and Guarantees - The total amount of guarantees provided by the company is 1,100,000,000.00 RMB, which accounts for 61.18% of the company's net assets[176]. - The company has a total of 710,000,000.00 RMB in guarantees provided to shareholders, actual controllers, and their related parties[177]. - The company has a leasing asset amounting to ¥95,172,944.13 with a rental income of ¥7,614,126.05 from Jiangxi Weike Technology Co., Ltd. to Jiangxi Weile Battery Co., Ltd. for a lease period from January 20, 2021, to January 19, 2031[153].