Eazytec(688258)2021-04-20 16:00Financial Performance - The company's operating revenue for 2020 was RMB 198,416,265.14, a decrease of 6.77% compared to RMB 212,833,556.40 in 2019[22]. - Net profit attributable to shareholders for 2020 was RMB 58,053,310.21, an increase of 41.34% from RMB 41,074,894.24 in 2019[22]. - The net profit excluding non-recurring gains and losses was RMB 44,691,262.43, showing a slight increase of 1.00% from RMB 44,249,413.01 in 2019[22]. - Cash flow from operating activities increased by 73.24% to RMB 92,912,408.11 in 2020, compared to RMB 53,632,420.23 in 2019[22]. - Total assets at the end of 2020 were RMB 1,006,316,001.06, reflecting a growth of 6.64% from RMB 943,689,669.75 at the end of 2019[22]. - Net assets attributable to shareholders increased by 5.42% to RMB 902,109,954.02 at the end of 2020, compared to RMB 855,724,948.43 at the end of 2019[22]. - The basic earnings per share for 2020 was 0.67 yuan, up 6.35% from 0.63 yuan in 2019[23]. - The diluted earnings per share was 0.65 yuan, reflecting a 3.17% increase compared to 2019[23]. - The weighted average return on equity decreased to 6.62%, down 6.27 percentage points from 12.89% in 2019[23]. - The company achieved operating revenue of CNY 198.42 million in 2020, a decrease of 6.77% compared to 2019[82]. - The net profit for the year was CNY 58.05 million, representing a year-on-year growth of 41.34%[82]. - Revenue from core firmware business was CNY 96.95 million, accounting for 49.50% of main business revenue, while cloud service revenue was CNY 98.90 million, making up 50.50%[1]. Research and Development - The company is focused on independent research and development to ensure full control over core technologies[13]. - Research and development expenses accounted for 19.64% of operating revenue, an increase of 5.04 percentage points from the previous year[23]. - The company applied for 8 invention patents and obtained 8 patents during the reporting period, with a total of 43 applied and 13 obtained to date[56]. - Total R&D investment reached ¥38,971,191.25, an increase of 25.44% compared to the previous year, with R&D investment accounting for 19.64% of operating revenue, up by 5.04 percentage points[59]. - The R&D team includes professionals with experience from major industry players like Intel and IBM, contributing to the company's competitive edge[70]. - The company is enhancing its core BIOS technology with an investment of RMB 5 million in Intel SnowRidge CRB BIOS projects, aimed at solidifying its competitive advantage in the IoT sector[63]. - The company is focusing on enhancing its PaaS and SaaS capabilities, with a specific investment of RMB 200 million in data and AI algorithms to improve cloud service offerings[63]. Cloud Computing and Services - The company is actively involved in the cloud computing sector, providing various services including IaaS, PaaS, and SaaS[13]. - The company has established a comprehensive data management system centered around cloud centers to enhance data processing and analysis capabilities[13]. - The cloud service business targets government and enterprise clients, providing customized software development and integrated hardware-software solutions[37]. - The company has developed a proprietary cloud platform architecture called "Zhuoyi Cloud Platform," which includes SaaS, PaaS, and IaaS layers, providing comprehensive services for government and enterprise clients[40]. - The IaaS layer features a total storage capacity of 8PB, with 5PB currently in use, and a single instance memory performance reaching 4000MB/S[42]. - The company’s cloud service revenue includes IaaS layer service income and SaaS software sales, with a focus on customized solutions for government and enterprise applications[44]. - The company has developed a flood control IoT cloud project for Yixing Public Industry Construction Investment Co., providing integrated solutions and data analysis capabilities[39]. Corporate Governance and Compliance - The report includes a standard unqualified audit opinion from Tianheng Accounting Firm[4]. - The board of directors has ensured the authenticity, accuracy, and completeness of the annual report[4]. - The company has confirmed that there are no violations of decision-making procedures for external guarantees[7]. - The company has not conducted any capital reserve transfers to increase share capital or issued bonus shares for the year[5]. - The company has maintained a clear and compliant dividend policy that protects the rights of minority investors[132]. - The company has established a governance structure to protect the rights of shareholders and creditors, ensuring timely and accurate information disclosure[168]. - The company has implemented a performance evaluation system to protect employee rights and provide a safe working environment[169]. Dividend Policy - The company plans to distribute a cash dividend of 2.02 CNY per 10 shares, totaling approximately 17.57 million CNY, which represents 30.26% of the net profit attributable to shareholders for 2020[5]. - The cash dividend distribution policy stipulates that if there are no major investment plans, at least 20% of the distributable profits should be distributed as cash dividends[129]. - The cash dividend distribution plan has been approved by the board and requires shareholder meeting approval for implementation[131]. - The company has a structured decision-making process for dividend distribution, ensuring transparency and compliance with regulations[132]. - The company has committed to a continuous and stable profit distribution policy, emphasizing reasonable returns for investors while ensuring sustainable development[146]. Market Position and Strategy - The company aims to expand its market presence through new product development and technological advancements[13]. - The company is positioned in the competitive landscape of BIOS firmware products, with a focus on the domestic market driven by national security strategies[51]. - The company aims to deepen its market presence in Jiangsu province while gradually expanding its services nationwide, particularly in government cloud services[52]. - The company intends to deepen strategic partnerships with existing clients to enhance its domestic market share and expand into international markets through technical cooperation[125]. Risks and Challenges - The company has detailed various operational risks and corresponding mitigation measures in the report[4]. - The company faces risks related to market competition and the need for ongoing technological advancements to meet customer demands[78].