Star-net(002396)2021-04-29 16:00Financial Performance - The company reported a total revenue of 1.2 billion RMB for the year 2020, representing a year-on-year growth of 15%[19] - The net profit attributable to shareholders was 150 million RMB, an increase of 10% compared to the previous year[19] - The company's operating revenue for 2020 was CNY 10,304,234,309.56, representing an increase of 11.21% compared to CNY 9,265,767,751.41 in 2019[27] - The net profit attributable to shareholders for 2020 was CNY 431,379,738.06, a decrease of 27.37% compared to the previous year[27] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 401,082,759.58, down 26.17% from CNY 543,253,198.73 in 2019[27] - The company's cash flow from operating activities for 2020 was CNY 740,063,570.02, a decrease of 3.01% compared to CNY 763,057,151.38 in 2019[27] - The basic earnings per share for 2020 was CNY 0.7396, down 27.37% from CNY 1.0481 in 2019[27] - The company reported a total non-recurring profit and loss of 30.30 million yuan for the reporting period[37] - The company achieved an actual net profit of 111.19 million CNY for the period, exceeding the original profit forecast of 76.92 million CNY[159] Dividends and Profit Distribution - The company plans to distribute a cash dividend of 1 RMB per 10 shares, based on a total of 583,280,278 shares[7] - The company reported a cash dividend of 58,328,027.80 yuan for the year 2020, representing 13.52% of the net profit attributable to ordinary shareholders[128] - The company implemented a stable profit distribution policy, distributing cash dividends of 1.10 yuan per 10 shares for both 2018 and 2019, totaling 64,160,830.58 yuan each year[126] - The company plans to distribute dividends based on its profit distribution policy, ensuring the protection of minority shareholders' rights[126] - The cash dividend represents a significant return to shareholders, reflecting the company's strong financial performance[132] - The total distributable profit was reported at 1,732,281,096.83 yuan, indicating a strong profit retention for future growth[132] - The company's cash dividend payout ratio is no less than 10% of the distributable profit for the year[159] Market and Product Development - User data showed an increase in active users by 20% year-on-year, reaching 2 million active users by the end of 2020[19] - The company is focusing on expanding its market presence in Southeast Asia, targeting a 25% increase in market share by 2022[19] - New product development includes the launch of a 5G-enabled router, expected to contribute an additional 200 million RMB in revenue in 2021[19] - The company launched new products such as the AI-enabled Wi-Fi 6 Plus wireless AP and a lightweight cloud desktop solution, enhancing its competitive edge[53] - The company expanded its cloud payment business, achieving significant breakthroughs in both domestic and overseas markets[54] - The company is actively investing in 5G technology development to prepare for future growth opportunities[58] - The company successfully entered the smart home system partnership for the 2022 Hangzhou Asian Games, indicating strong market positioning in the smart community sector[58] Research and Development - In 2020, the company's R&D investment totaled 1.364 billion yuan, accounting for 13.24% of its annual revenue[46] - The company applied for 288 patents in 2020, including 221 invention patents, bringing the total number of patents to 2,081 by the end of the reporting period[46] - The company’s R&D expenses amounted to 1,341,363,465.36 CNY, a 10.15% increase from 2019, accounting for 13.24% of total revenue[77] - The company plans to enhance its innovation capabilities in smart networks and cloud sectors, focusing on product design and customer needs[107] - The company will invest in R&D for 5G products and expand their applications in various vehicle categories, including containers and trucks[108] - The company aims to enhance its core competitiveness by understanding industry application needs and accelerating R&D and technological innovation[113] Financial Position and Assets - Total assets at the end of 2020 were CNY 8,715,629,599.90, an increase of 13.92% from CNY 7,650,633,765.03 at the end of 2019[30] - The net assets attributable to shareholders at the end of 2020 were CNY 4,189,444,543, a slight decrease of 0.88% from CNY 4,226,728,082 at the end of 2019[30] - The company’s total current assets amounted to approximately 5.98 billion CNY[168] - The company’s total non-current assets were approximately 1.67 billion CNY[171] - The company’s total liabilities amounted to approximately 2.76 billion CNY[171] - The company’s inventory was valued at approximately 1.65 billion CNY[168] - The total liabilities amounted to approximately ¥2,814,118,076.17, with a slight increase of ¥10,372,764.74 compared to the previous period[175] - The total equity attributable to shareholders reached ¥4,226,728,082.73, reflecting a decrease of ¥4,496,572.10[175] Strategic Initiatives and Risks - The management highlighted the importance of addressing supply chain risks and plans to diversify suppliers to mitigate potential disruptions[7] - The company recognizes the risk of intensified competition in the industry and plans to accelerate R&D and technology innovation to maintain its competitive edge[110] - The company faces risks related to high customer concentration and seasonality, particularly in sectors like telecommunications and finance, which could significantly impact sales if client strategies change[113] - The company is addressing supply chain risks by increasing feasibility studies for alternative technical solutions to mitigate the impact of unstable supply of core components[113] - The company is experiencing a shortage of high-end technical talent due to rapid industry growth, leading to intense competition for human resources[114] - The company emphasizes the importance of adapting to macroeconomic fluctuations and will adjust its operational strategies accordingly[109] Corporate Governance and Compliance - The company has committed to maintaining normal operations and fulfilling all promises made regarding competition and related transactions[135] - The company has a long-term commitment to avoid any competitive business activities with its subsidiaries and related parties[135] - The company has ensured that no assets or funds will be occupied by its subsidiaries, maintaining financial integrity[153] - The company has made a commitment to distribute dividends consistently from 2018 to 2020, adhering to legal regulations and company bylaws[157] - The company engaged Huaxing Accounting Firm for auditing services, with a fee of 2 million RMB, and has maintained this auditor for 26 years[191] - There were no significant penalties or rectifications during the reporting period[196] - The company did not implement any employee stock incentive plans or other employee incentive measures during the reporting period[197]