Incident: The company released the “2023 Annual Report” on the evening of March 26. The company achieved operating income of 439 million yuan, up 30.9% year on year; net profit attributable to shareholders of listed companies was 109 million yuan, up 13.8% year on year; net profit attributable to shareholders of listed companies after deducting non-recurring profit and loss was 95 million yuan, up 25.9% year on year.
The company achieved EPS (basic) of 1.46 yuan.
1. Performance is in line with expectations, increasing dividends and positive returns to shareholders
In 2023, the company's industrial switching product revenue reached 310 million yuan, up 21.64% year on year; industrial gateway and wireless product revenue was 52 million yuan, up 9.32% year on year; new solution business revenue reached 65 million yuan; mainly benefiting from the rapid development of the company's industrial Internet industry and steady growth in downstream terminal application market demand; in addition, the company initially realized the development of an end-to-end full-stack product solution enterprise, from a single communications product provider in the past to a scenario-based software and hardware product solution Solution providers help the company to further enhance its order development capabilities and market competitiveness, and the company's orders remain stable and continue to increase.
According to the 2023 profit distribution and capital transfer plan from the Capital Provident Fund, the company plans to distribute a cash dividend of 5.2 yuan (tax included) to all shareholders for every 10 shares, and plans to transfer 4.8 shares to all shareholders for every 10 shares. In total, it is proposed to distribute a cash dividend of 38,708,654.40 yuan (tax included), and the dividend ratio will rise to 35.4%.
2. Launch the “Shenzhen and Shanghai Dual Headquarters Strategy” to enhance the company's core competitiveness. Smart energy, industrial Internet, smart transportation, smart cities and other industry sectors achieved revenue of 177 million yuan, 96.705 million yuan, 77.229 million yuan, 51.45 million yuan, and 37.1169 million yuan respectively in 2023. Among them, the industrial Internet, smart city, and smart transportation industry sectors achieved year-on-year revenue growth of 79.48%, 69.57%, and 49.25%, and the stock market and core market grew steadily.
On March 27, 2024, the opening ceremony of the Sanwang Communications Industry Internet Industrial and Research Base was held in Shanghai to launch the “Shenzhen and Shanghai Dual Headquarters Strategy”. During the conference, events such as the inauguration ceremony of the Yangtze River Delta G60 Science and Technology Innovation Corridor Industrial Communication Innovation Center were held, strategic cooperation agreements were signed with the Yangtze River Delta Institute of the China Telecom Industry Research Institute, etc., and joint innovation laboratories were set up with universities such as Beijing University of Posts and Telecommunications. We believe that the company actively promotes the integration of industry, education and research, which is expected to enhance the company's core competitiveness and help accelerate the release of new quality productivity.
Risk warning: Product development risk, risk of market expansion falling short of expectations, risk of increasing costs and expenses.