Company code: Wuxi Chipown Micro-Electronics Limited(688508) company abbreviation: Wuxi Chipown Micro-Electronics Limited(688508) Wuxi Chipown Micro-Electronics Limited(688508)
Summary of annual report 2021
Section I important tips
1 the summary of this annual report comes from the full text of the annual report. In order to fully understand the company’s operating results, financial status and future development plan, investors should go to www.sse.com com. cn. The website carefully reads the full text of the annual report. 2. Major risk warning: the company has described the possible relevant risks in detail in this report. Please refer to the “section III Management Discussion and analysis” of this report on various risks that the company may face and countermeasures. 3. The directors and supervisors shall be jointly and severally liable for any misrepresentation, omission or material misrepresentation of the company’s annual report, and the directors and supervisors shall not be jointly and severally liable for any misrepresentation or omission. 4. All directors of the company attended the board meeting. 5 notarial Tianye Certified Public Accountants (special general partnership) has issued a standard unqualified audit report for the company. 6. The company is not profitable and has not yet achieved profitability when it is listed □ yes √ No 7. The profit distribution plan or the plan for the conversion of provident fund into share capital in the reporting period adopted by the resolution of the board of directors
The company’s profit distribution plan for 2021 is to distribute a cash dividend of 6.00 yuan (including tax) to all shareholders for every 10 shares based on the total share capital on the date of equity distribution registration. Based on the company’s total share capital of 113098500 shares as of December 31, 2021, the total cash dividend is expected to be 67859100 yuan (including tax), accounting for 33.71% of the net profit attributable to shareholders of Listed Companies in the consolidated statements of the company in 2021; The company does not convert capital reserve into share capital and does not give bonus shares. The profit distribution plan is based on the total share capital on the equity registration date of equity distribution in 2021. If the total share capital of the company changes before the equity registration date of equity distribution, the company plans to keep the total distribution unchanged, adjust the distribution proportion per share accordingly, and announce the specific adjustment separately. 8. Whether there are important matters such as special arrangements for corporate governance □ applicable √ not applicable
Section II basic information of the company
1 company profile company stock profile √ applicable □ not applicable
Company stock profile
Stock type stock exchange stock abbreviation before stock code change stock abbreviation and sector
A-share Shanghai Stock Exchange Wuxi Chipown Micro-Electronics Limited(688508) Wuxi Chipown Micro-Electronics Limited(688508) /
Scientific innovation board
Profile of the company’s depositary receipts □ applicable √ not applicable contact person and contact information
Contact person and contact information secretary of the board of directors (domestic representative of information disclosure) securities affairs representative
Name: Yi Huimin sun Chaoxia
Office address: Xinpeng building, No. 16, Changjiang Road, Xinwu District, Wuxi
Tel: (0510) 85217718 (0510) 85217718
E-mail [email protected]. [email protected].
2. Introduction to the company’s main business in the reporting period (I) main business, main products or services
The company is an integrated circuit (also known as chip and IC) design enterprise, and its main business is the R & D and sales of power management integrated circuits. The company focuses on developing power semiconductor products based on power management integrated circuits, realizing import substitution, providing customers with chip products with high efficiency, low power consumption and stable quality, and promoting the energy efficiency and technological upgrading of the whole machine.
The company’s main products are power management chips. At present, there are more than 1200 models of effective power management chips. The company has always adhered to market demand-oriented and innovation driven, actively developed new products, and developed three kinds of application series product lines, including household appliances, standard power supply and industrial control power, which are widely used in many fields, such as household appliances, mobile phone and flat-panel chargers, set-top box and notebook adapters, vehicle chargers, smart meters, industrial control equipment and so on. （2） Main business model
The company is an integrated circuit design company in the integrated circuit industry chain. It adopts the internationally popular fabless design mode and focuses on product market development, design and R & D. the production is mainly in the form of entrusted outsourcing. The dumbbell business model of light assets and focusing on product R & D and market sales is conducive to improving the overall operation efficiency of the company.
The specific modes can be divided into:
(I) R & D mode
The company adheres to “innovation driven and market demand oriented”, closely follows the changing trend of market demand, and continuously carries out iterative updates based on the independently developed high and low voltage integrated technology platform, increases product categories and expands application fields, so as to realize the growth of the company’s revenue. The company’s products rely on testing and analysis instruments, computers, EDA and other complex software and hardware platforms for R & D. the R & D process can be divided into project approval, design, project batch trial production and finalization.
(II) operation mode
Under fabless mode, the company’s production mode is mainly outsourcing, and the main production links of products, including wafer manufacturing, packaging and testing, are completed through outsourcing. The company will deliver the integrated circuit layout independently developed and designed to the wafer manufacturer for wafer production, and then hand it over to the packaging and testing manufacturer to complete packaging and testing, so as to complete chip production. In order to ensure the product quality of the company, the company implements strict quality control for each link, outsources manufacturers according to the product specifications and the requirements of the company’s R & D standards, and formulates practical and effective quality processes and management systems.
(III) sales mode
The company adopts the sales mode of “distribution first, supplemented by direct sales”, mainly selling products through dealers. In the distribution mode, the company makes buyout sales to dealers, and the company will conduct information penetration and stock control to dealers; In the direct selling mode, the company sells products directly to end customers.
（3） Industry 1 Development stage, basic characteristics and main technical threshold of the industry
According to the industry classification guidelines for listed companies (revised in 2012) issued by the CSRC, the company’s industry belongs to the software and information technology service industry (I65) in the information transmission, software and information technology service industry. According to the industrial classification and code of national economy (GB / t47542017), the industry of the company belongs to “integrated circuit design” (Code: 6520) in “software and information technology service industry”.
As the foundation and core of the information industry, integrated circuit is a strategic industry for national economic and social development. It has always accounted for more than 80% of the global sales of semiconductor products. It is used in almost all electronic equipment fields, such as computer, household appliances, digital electronics, automation, electrical, communication, transportation, medical treatment, aerospace and so on.
China’s integrated circuit industry began at the end of last century. Since the promulgation of several policies to encourage the development of software industry and integrated circuit industry in 2000, the state has successively promulgated a number of policies to vigorously support and promote the development of integrated circuit industry. In addition, the rapid development of the national economy, the continuous and in-depth transformation of the traditional economy by the Internet Information Industry and the gradual transfer of the integrated circuit industry from developed countries to developing countries have further promoted the development of China’s integrated circuit industry.
According to the statistics of China Semiconductor Industry Association, China’s integrated circuit industry continues to grow steadily. From January to September 2021, China’s integrated circuit production
The sales volume of the industry was 685.86 billion yuan, a year-on-year increase of 16.1%. Among them, the design industry increased by 18.1% year-on-year, with sales of 311.1 billion yuan; The manufacturing industry increased by 21.5% year-on-year, with sales of 189.81 billion yuan; The packaging and testing industry increased by 8.1% year-on-year, with sales of 184.95 billion yuan. According to the statistics of China’s customs, the import of integrated circuits was 47.84 billion, a year-on-year increase of 47.1-2%; The import amount was US $312.61 billion, a year-on-year increase of 23.7%. 232.98 billion pieces of integrated circuits were exported, with a year-on-year increase of 28.4%; The export value was 108.62 billion US dollars, a year-on-year increase of 33.1%.
The integrated circuit industry is a rapidly developing high-tech industry. All kinds of new technologies and products are constantly updated. On the one hand, it has produced huge market opportunities, on the other hand, it has also led to rapid changes in the market. According to Moore’s law, when the price remains unchanged, the number of components that can be accommodated on the integrated circuit will double every 18-24 months, and the performance will also double. The company needs to constantly develop marketable new products to keep up with the market demand. Continuous technological innovation in IC design industry, continuous R & D investment and new product development are important means to maintain competitive advantage. 2. Analysis of the company’s industry position and its changes
According to the different signal objects processed by integrated circuits, they can usually be divided into analog chips and digital chips. The company’s main products include home appliance chips, standard power chips and industrial control power chips, which belong to the category of power management chips in the analog chip industry. ○ 1 the company has strong technical level and high popularity in the industry
The company is good at technology development. It is a key integrated circuit design enterprise and high-tech enterprise in the national planning layout. It has participated in the drafting and formulation of a number of national standards, including “standby power measurement method of household appliances”, “general technical requirements of intelligent household appliances” and “system architecture and reference model of intelligent household appliances”, and won the “second prize of national technological invention” A number of industry honors and awards, including the “first prize of Jiangsu Science and technology”, have developed and taken the lead in mass production of 700V monolithic integrated MOS switching power management chip, 1000V intelligent MOS switching power management chip, zero watt standby high-voltage industrial switching power chip, 200V SOI integrated driving power chip and other innovative products, with 84 authorized Chinese and international patents and 100 integrated circuit layout registrations. The company’s high and low voltage integrated power chip core technology has always enjoyed high popularity in the industry.
○ 2 it has established stable cooperative relations with many well-known end customers, and its application field has been continuously expanded, and its business scale has increased year by year. With outstanding product performance, continuous technological innovation and rapid service response, the application field of the company’s power management chip has been continuously expanded, and the customer group has continued to grow. From 2019 to 2021, the company achieved steady growth in business scale, with sales revenue of 335 million yuan, 429 million yuan and 753 million yuan respectively, and gradually increased its market share and brand influence in the power management chip industry. At present, the company has developed into an advantageous supplier of power management chips in China’s household appliances and standard power industry. The well-known end customers loaded with the company’s power management chips in the whole machine / module products mainly include Midea, Haier, Hisense, Gree, oaks, Zhejiang Supor Co.Ltd(002032) , Jiuyang, Xiaomi, Skyworth, tp link, Chint, etc.
○ 3 strong market competitiveness in power management chip segment
As the power management chip industry presents a fully competitive market pattern, the market share of China’s power management chip companies is relatively scattered. Since its establishment, the company has been committed to the R & D and sales of power management chips, and has a strong market position among Chinese manufacturers, especially in the field of high-voltage power management chips such as AC-DC and gate driver, which has strong technical strength and market competitiveness. At present, in the field of household appliances, the company is the mainstream domestic power chip provider of Chinese household appliance brand manufacturers; In the field of standard power supply, the company is the leading manufacturer of Netcom, DVB and mobile phone fast charging, and the main domestic power chip provider; In the field of industrial control, the company is a leading domestic power chip provider of motors, smart meters and communication base stations. 3. Development and future development trend of new technologies, Shenzhen New Industries Biomedical Engineering Co.Ltd(300832) , new business forms and new models during the reporting period
○ 1 household appliances
The home appliance market mainly includes all kinds of household appliances, kitchen appliances, health care appliances, white electricity (refrigerator / air conditioner / washing machine), black electricity (TV / smart display), etc. The power management chip is mainly responsible for converting the source voltage and current into power that can be used by intelligent modules such as microprocessors and sensors. Therefore, domestic appliances, kitchen appliances and health care appliances equipped with intelligent modules need to use multiple different types of power management chips. Whether it is small household appliances or white electricity, it is equipped with network interaction and intelligent voice control functions to achieve a more convenient control experience, and all kinds of sensors are integrated to achieve more intelligent operation control, which makes the intellectualization of household appliances an irresistible industry development trend. According to the data of the national home appliance industry information center, in the first half of 2021, the sales of medium and high-end home appliances in the online and offline markets were further improved. The power management chip benefited from the intellectualization of home appliances and the customization of the whole house, and the development space will continue to expand in the future.
From July 1, 2021, inventory air conditioners that do not meet the new national standard (gb21455 energy efficiency limits and energy efficiency grades of room air conditioners) will not be allowed to be sold, and the sales of air conditioners under the new energy efficiency standard will increase significantly; At the same time, new energy efficiency standards for refrigerators and washing machines are also being formulated. The improvement of energy efficiency standards will promote the popularization of frequency conversion white electricity, and the penetration of standby low-power AC-DC chips and BLDC drive chips is expected to continue to increase significantly.
According to the statistics of sigmaintell, the global shipment of display panels reached 162 million in 2020, with a year-on-year increase of 12.9%. In the era of Internet plus epidemic, with the development of long-distance work, online education, internet medical and other living habits, the supporting large size, intelligent interactive display terminals are installed.
