SACA(SZ:300464)2024-04-22 13:13Financial Performance - The company achieved operating revenue of CNY 1.63 billion in 2023, a decrease of 30.85% compared to the previous year[3]. - The net profit attributable to shareholders was a loss of CNY 76.09 million, a significant reduction in loss compared to the previous year's loss of CNY 260.09 million, representing a 70.77% improvement[3][18]. - The net cash flow from operating activities was negative CNY 39.54 million, a decline of 127.48% compared to the previous year[18]. - The total assets at the end of 2023 were CNY 1.99 billion, down 13.86% from the previous year[18]. - The net profit excluding non-recurring gains and losses was a loss of CNY 33.41 million, an 85.68% improvement from the previous year[18]. - The basic earnings per share for 2023 was -CNY 0.1888, a 74.39% improvement from -CNY 0.7400 in the previous year[18]. - The company’s total equity attributable to shareholders increased by 266.02% to CNY 565.12 million compared to the previous year[18]. - The company reported a total non-recurring loss of approximately -¥42.68 million for 2023, compared to -¥26.99 million in 2022[25]. - The company reported a consolidated net profit attributable to shareholders for 2023 is -76,092,497.39 CNY, and the net profit for the parent company is -39,167,434.25 CNY[162]. Business Operations - The company's core business remains in precision hardware and cross-border e-commerce, with no significant adverse changes in core competitiveness[3]. - The company is focusing on the development of precision hardware components, particularly in the furniture hardware sector, which is experiencing growth due to increased demand for high-end manufacturing and electronic communication equipment[30][31]. - The company plans to enhance its competitiveness by increasing investment in new product development and adopting smart manufacturing technologies[31]. - The overall market for furniture hardware is expected to expand, driven by rising consumer demand for home renovations and high-quality products[30][31]. - The company’s product line includes precision hardware such as slides and hinges, which are widely used in customized furniture and home appliances[42]. - The company’s subsidiary, Huahui Technology, focuses on cross-border e-commerce, offering high-quality products in categories like smart kitchen appliances and home goods, which have gained popularity among overseas consumers[41]. - The company is focusing on expanding its market presence and enhancing its product offerings through new technology development[135]. Market Trends - The precision hardware market in China reached approximately 226.11 billion CNY in 2023, with a compound annual growth rate (CAGR) of 9.8% from 2019 to 2023, and is expected to grow to 324.45 billion CNY by 2028, reflecting significant growth potential[33]. - The cross-border e-commerce sector in China is projected to grow at a compound annual growth rate (CAGR) of 16.4%, reaching over 10 trillion CNY by 2025, following a 9.4% growth in 2022 despite challenges[38][39]. - The furniture hardware market in China is expected to maintain a CAGR of 7.6% over the next five years, indicating ongoing demand for innovative products[33]. Sales and Revenue - In 2023, the company's total revenue from cross-border e-commerce was ¥808,701,010.66, a decrease of 34.17% compared to ¥1,228,498,193.43 in 2022[47]. - Revenue from Amazon decreased by 28.60% to ¥429,061,165.97, accounting for 53.06% of total revenue in 2023[47]. - The smart home appliance category generated ¥350,285,122.87, representing 43.31% of total revenue, down 40.00% from ¥583,763,805.95 in 2022[49]. - North America accounted for 62.81% of total revenue, totaling ¥507,925,491.27, a decline of 35.92% from ¥792,601,321.47 in 2022[51]. - The cross-border e-commerce segment accounted for 49.69% of total revenue, down from 52.06% in the previous year, with a revenue drop of 33.99%[66]. Investment and Financial Management - The company completed a directed financing of CNY 500 million in August 2023, reducing interest-bearing liabilities by approximately CNY 460 million[63]. - The asset-liability ratio improved from 92.53% at the beginning of the year to 70.52% by year-end[63]. - The company raised a total of ¥499,999,996.32 through a private placement in 2023, with a net amount of ¥490,545,044.03 after expenses, all of which was used to repay loans[101]. - The company has established a comprehensive and effective internal control system to mitigate operational risks and ensure the achievement of internal control objectives[170]. Research and Development - The company is committed to enhancing its R&D capabilities to support sustainable development and meet evolving market demands[82]. - The number of R&D personnel decreased to 171 in 2023, a reduction of 17.79% compared to 208 in 2022[83]. - R&D investment amounted to ¥35,433,630.77 in 2023, down 47.16% from ¥67,048,510.07 in 2022[84]. - The company is focusing on R&D for its sliding rail products in 2024, aiming to improve design and quality while expanding market share[113]. Corporate Governance - The company has a structured board and supervisory board that complies with legal requirements, ensuring effective governance and oversight[126]. - The company has implemented a performance assessment system for senior management that aligns with its development needs and encourages creativity[124]. - The company emphasizes investor relations management, ensuring timely and accurate information disclosure to protect the rights of all shareholders[124]. - The company has received multiple regulatory warnings and penalties from the Shenzhen Stock Exchange and Guangdong Securities Regulatory Bureau between 2021 and 2022[140][141]. Legal and Compliance - The company has ongoing litigation with Sunvalley E-commerce (HK) Limited, with a claim amount of 8,610.14 million yuan[195]. - The company reported a total of 4,529.38 million RMB in unresolved litigation cases as of the end of the reporting period[197]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[178]. Employee Relations - The total number of employees at the end of the reporting period was 1,247, with 311 in the parent company and 936 in major subsidiaries[154]. - The company has established a stable labor relationship and adheres to labor laws, ensuring employee rights and safety in the workplace[181].