Chipown(688508)2023-03-16 16:00Financial Performance - The company's operating revenue for 2022 was CNY 719,591,403.82, a decrease of 4.46% compared to CNY 753,171,012.92 in 2021[20]. - The net profit attributable to shareholders decreased by 55.36% to CNY 89,844,436.30 from CNY 201,280,924.67 in the previous year[20]. - The net cash flow from operating activities dropped by 79.79% to CNY 51,852,291.68, down from CNY 256,617,725.96 in 2021[20][22]. - Basic earnings per share fell by 55.62% to CNY 0.79, compared to CNY 1.78 in 2021[21]. - The company reported a decrease in net profit after deducting non-recurring gains and losses by 61.82% to CNY 58,006,935.00[20]. - The weighted average return on equity decreased by 8.36 percentage points to 6.09% from 14.45% in 2021[21]. - The company achieved operating revenue of ¥719,591,403.82, a decrease of 4.46% compared to the previous year[74]. - The net profit attributable to the parent company was ¥89,844,436.30, reflecting a year-on-year decline of 55.36% due to the semiconductor downturn[66]. Research and Development - The company's R&D expenditure accounted for 26.28% of operating revenue, an increase of 8.79 percentage points from 17.49% in 2021[21]. - The total R&D expenses for the year amounted to RMB 189.09 million, representing 26.28% of the company's total revenue[34]. - The company has applied for 16 new patents during the reporting period, with 4 patents granted, including 2 invention patents[34]. - The company has developed 15 core technologies in power integrated circuits, all of which are original innovations and have been protected by intellectual property rights[48]. - The company’s innovative low-power high-voltage startup technology reduces startup time by 90% and standby power loss by 70% compared to traditional methods[49]. - The company’s R&D team consists of 238 members, with 70.41% of employees dedicated to research and development, including 4 PhDs[63]. - R&D investment totaled approximately ¥189.09 million, a significant increase of 43.53% year-over-year, representing 26.28% of total revenue[54]. Market and Industry Trends - The Chinese smartphone market saw a decline in sales of 13.2% in 2022, with approximately 286 million units sold[31]. - The retail market for home appliances in China decreased by 7.4% in 2022, totaling RMB 708.1 billion[31]. - The integrated circuit industry in China saw a production decline of 9.8% in 2022, with a total output of 32.42 billion units, and a 12% decrease in exports, totaling 27.34 billion units[40]. - The household appliance market is experiencing a trend towards smart appliances, with the demand for power management chips expected to continue growing due to the integration of smart modules[44]. - The standard power supply market is expanding significantly, driven by the increasing prevalence of IoT devices and fast-charging technology, leading to strong growth in demand for standard power supply chips[45]. - The industrial power market is projected to see increased demand for chips and modules due to the rising global energy needs and the push for renewable energy solutions[46]. - The domestic power management chip market has a growth potential as current domestic products account for less than 20% of the market[110]. Corporate Governance - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[7]. - The company has not violated any decision-making procedures for providing guarantees[7]. - The company has not faced any issues with a majority of directors being unable to ensure the authenticity and completeness of the annual report[7]. - The company has not disclosed any special arrangements for corporate governance[7]. - The company has implemented a business continuity management system to enhance supplier collaboration and improve delivery levels[61]. - The company has established a remuneration and assessment committee that proposes remuneration for directors and senior management[131]. - The company has maintained a rigorous approach to internal control and compliance with regulatory requirements throughout the reporting period[141]. Shareholder and Executive Compensation - The total number of shares held by the chairman, Zhang Lixin, remained unchanged at 34,301,000 shares, with a pre-tax compensation of 698,000 CNY[123]. - The total number of shares held by the general manager, Yi Yangbo, increased by 75,000 shares to 4,662,000 shares, with a pre-tax compensation of 808,000 CNY[123]. - The total number of shares held by the director, Xue Weiming, increased by 60,000 shares to 1,557,000 shares, with a pre-tax compensation of 968,000 CNY[123]. - The total number of shares held by the financial director, Yi Huimin, increased by 22,500 shares to 33,000 shares, with a pre-tax compensation of 927,700 CNY[123]. - The total number of shares held by the deputy general manager, Li Haisong, increased by 12,000 shares to 120,000 shares, with a pre-tax compensation of 1,321,800 CNY[123]. - The total number of shares held by all listed executives at the end of the reporting period was 40,873,000 shares, with a total pre-tax compensation of 8,996,200 CNY[123]. - The total remuneration for all directors, supervisors, and senior management at the end of the reporting period amounted to 899.62 million RMB[131]. Dividend Distribution - The company plans to distribute a cash dividend of RMB 2.50 per 10 shares, totaling RMB 27,905,508.25, which accounts for 31.06% of the net profit attributable to shareholders for 2022[5]. - The proposed cash dividend for 2022 is RMB 2.50 per 10 shares (including tax), totaling RMB 27,905,508.25 (including tax), which accounts for 31.06% of the net profit attributable to the parent company[146]. - The company has adhered to its cash dividend policy, ensuring clarity in distribution standards and compliance with decision-making procedures[147]. - The board of directors and independent directors have approved the profit distribution plan, ensuring the protection of minority shareholders' rights[147]. - The company has not engaged in capital reserve transfers or stock dividends for the 2022 profit distribution[146]. Environmental and Social Responsibility - The company does not engage in activities that cause environmental pollution, as it operates under a Fabless model for IC design[166]. - The company has made a donation of 2.5069 million RMB for public welfare activities[169]. - The company donated 12 million RMB to Southeast University to support the development of its electronic discipline and reward outstanding students and teachers[175]. - The company emphasizes ESG responsibilities, focusing on corporate governance and stakeholder rights[164]. - The company has not established an environmental protection mechanism, as it does not fall under key pollutant discharge units[166]. Strategic Initiatives - The company plans to continue expanding its high-quality talent team focused on R&D and increasing the development of industrial and automotive products[21]. - The company aims to enhance its market presence through the development of advanced power semiconductor technologies, which are expected to create a trillion-level market opportunity[47]. - The company is actively expanding into the new energy vehicle sector, having completed ISO 26262 certification for functional safety and testing several products for AEC-Q100 reliability certification[35]. - The company aims to upgrade its technology platform along the product lines from consumer-grade to industrial-grade and automotive-grade[34]. - The company has launched two phases of restricted stock incentives covering over 40% of employees to attract and retain top talent[113]. - The company aims to accelerate the training and recruitment of high-quality talent, particularly in integrated circuit design and management[116].