TC(SH:603421)2024-04-29 12:07Financial Performance - The company's operating revenue for 2023 reached ¥3,632,703,199.78, representing a year-on-year increase of 16.62% compared to ¥3,114,981,021.66 in 2022[24]. - The net profit attributable to shareholders for 2023 was ¥131,220,189.16, which is a 10.57% increase from ¥118,680,630.51 in 2022[24]. - The basic earnings per share for 2023 was ¥0.20, reflecting an 11.11% increase from ¥0.18 in 2022[25]. - The weighted average return on equity for 2023 improved to 3.89%, up by 0.28 percentage points from 3.61% in 2022[25]. - The net cash flow from operating activities for 2023 was ¥288,692,239.61, a significant recovery from a negative cash flow of ¥284,259,796.30 in 2022[24]. - The total assets at the end of 2023 amounted to ¥5,919,564,184.46, an increase of 4.52% from ¥5,663,601,090.21 at the end of 2022[24]. - The net assets attributable to shareholders at the end of 2023 were ¥3,419,152,129.33, showing a 2.87% increase from ¥3,323,802,419.44 at the end of 2022[24]. - The company reported a net profit of ¥77,404,936.16 in Q4 2023, following a profit of ¥94,058,084.01 in Q2 2023[27]. - Non-recurring gains and losses for 2023 totaled ¥4,589,026.18, compared to ¥8,637,228.27 in 2022[29]. Dividend and Audit - The company plans to distribute a cash dividend of RMB 0.61 per 10 shares, totaling RMB 39,783,621.17 for the year 2023[6]. - The company received an unqualified audit report from Ernst & Young Huaming, with emphasis on matters related to going concern uncertainties[5]. - The company’s financial report is subject to a special explanation regarding non-standard audit opinions[5]. - The board of directors and supervisory board confirm the authenticity, accuracy, and completeness of the annual report[4]. Risk Management - The company has detailed risk descriptions in the management discussion and analysis section, highlighting potential future risks[11]. - The company emphasizes the importance of investor awareness regarding the uncertainties in forward-looking statements[7]. - The company has implemented a management transformation strategy, focusing on process optimization and data-driven decision-making[38]. - The company has initiated risk assessments across various business scenarios to prioritize compliance management, referencing GB/T 35770-2022/ISO 37301-2021 for building a compliance management system[189]. Research and Development - The company has invested significantly in R&D, applying various evaluation methods to ensure technological advancement, resulting in 597 invention patents filed, with 218 granted, and 477 software copyrights filed, with 416 granted by the end of 2023[50]. - The company has made significant R&D investments in chip development, energy interconnection, and storage solutions, aiming to provide complete solutions from chips to systems[95]. - The company has developed over 50 types of "China chips," with global usage exceeding 400 million units, supporting various products and solutions in electricity, water metering, and new energy[98]. - The company is committed to advancing its research and development efforts in smart grid solutions, ensuring it remains at the forefront of industry innovation[56]. - The company has established a comprehensive resource management mechanism to ensure the smooth progress of R&D projects, focusing on human resources, budget allocation, and equipment[78]. Market Position and Strategy - The company has become a key supplier for major state-owned enterprises in the power sector, reinforcing its market position[35]. - The company is actively expanding its market presence in the fire safety industry, signing strategic partnerships with leading real estate companies[36]. - The company is focusing on developing low-voltage safety, distribution automation, and mid-voltage integration businesses as growth points in its power sector[175]. - The company is actively exploring non-State Grid markets to diversify its customer base and reduce dependency on a single client system[187]. - The company is committed to green and low-carbon development, implementing energy management systems and promoting the use of clean energy technologies[173]. Production and Operations - The company has established 8 smart electric meter production lines, 9 packaging lines, and 15 communication module production lines, achieving a maximum daily production capacity of 80,000 electric meters, 10,000 terminals, and 230,000 modules[45]. - The company has implemented advanced production equipment and integrated it with MES systems to achieve intelligent manufacturing across the entire industry chain[92]. - The company has adopted a dual-driven approach using S&OP for forecasting and order fulfillment, enhancing agile response capabilities in supply chain operations[92]. - The company has optimized its management by refreshing and consolidating 16 major process frameworks, enhancing process efficiency and supporting long-term business development[83]. Customer Relations and Sales - The company emphasizes the importance of customer relationships and has developed a multi-dimensional customer relationship system to better understand and meet customer needs[100]. - The company is actively promoting joint innovation with customers, focusing on developing solutions that address real business pain points[88]. - The company has established a comprehensive sales service network with 34 provincial service agencies and over 290 municipal and county offices, enhancing product visibility and market coverage[101]. - The top five customers contributed sales of 710.38 million RMB, accounting for 19.56% of total annual sales[125]. Sustainability and Compliance - The company has received certifications for carbon neutrality and carbon emissions management systems in 2023, indicating its commitment to sustainability[45]. - The company adheres to legal and regulatory requirements to improve corporate governance, ensuring fair shareholder meetings and protecting shareholder rights[197]. - The company has established an ISO27001 information security management system to safeguard data security, implementing measures such as new firewalls, network segmentation, and regular vulnerability assessments[194]. Future Outlook - The company anticipates a substantial market demand for high-speed dual-mode communication technology and products, with a tender for 89.11 million units completed in 2023[160]. - The company aims to enhance its product series and application scenarios for intelligent circuit breakers to provide greater value for digital substations[150]. - The company plans to invest over 100 billion yuan annually in integrated column circuit breakers during 2024-2025, with smart grid construction investment expected to exceed 30% during the 14th Five-Year Plan[165]. - The company is preparing for a technological revolution in the smart water meter sector, focusing on algorithm research and chip development[151].