Securities code: Jiangsu Gian Technology Co.Ltd(300709) securities abbreviation: Jiangsu Gian Technology Co.Ltd(300709) Announcement No.: 2022024 Jiangsu Gian Technology Co.Ltd(300709) 2021 annual report summary
1、 Important note: 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 carefully read the full text of the annual report in the media designated by the CSRC. All directors attended the board meeting to consider this annual report. The audit opinion of zhongxinghua Certified Public Accountants (special general partnership) on the company’s financial report this year is: standard unqualified opinion. Changes of accounting firm during the reporting period: the company’s accounting firm has not changed this year. Tips on non-standard audit opinions □ applicable √ not applicable the company was not profitable at the time of listing and is not profitable at present □ applicable √ not applicable to the profit distribution plan of common stock or the plan of converting accumulation fund into share capital in the reporting period considered by the board of directors √ applicable □ not applicable
The company’s profit distribution plan for ordinary shares reviewed and approved by the board of directors is: taking 155173793 as the base, distribute cash dividends of 1.80 yuan (including tax) to all shareholders for every 10 shares, send 0 bonus shares (including tax), and increase 2 shares for every 10 shares to all shareholders with capital reserve.
Preferred stock profit distribution plan for the reporting period adopted by the board of directors □ applicable √ not applicable II. Basic information of the company 1. Company profile
Stock abbreviation Jiangsu Gian Technology Co.Ltd(300709) stock code Jiangsu Gian Technology Co.Ltd(300709)
Shenzhen Stock Exchange
Contact person and contact information secretary of the board of directors securities affairs representative
Name: Huang Yichao, Wang Tao
Office address: No. 59, palm Road, Zhonglou Economic Development Zone, Changzhou City, Jiangsu Province
Fax: 051969890860
Tel: 051969890866
E-mail [email protected]. [email protected].
2. Introduction to main business or products during the reporting period
(1) Main business, main products and uses of the company
During the reporting period, the company mainly provided a large number of customized MIM core parts products with high complexity, high precision, high strength and exquisite appearance for consumer electronics and automotive fields such as smart phones and wearable devices. The products include camera brackets, connector interfaces, decorative rings, MIM parts for rotating shafts in smart phones, watch case body, watch structure parts and headset structure parts of watches in wearable devices, Auto parts, etc., covering multiple sub categories. In addition, the company also provides precision transmission mechanism products such as rotating shaft devices and motor gearbox modules for smart phones, smart headphones, smart appliances and other fields, as well as heat pipe, VC and other heat dissipation products for consumer electronics, communications and other heat dissipation fields; The subsidiary Andersen mainly provides customers in the field of consumer electronics with one-stop solutions for Bluetooth audio product technology. The products cover smart headphones, TWS Bluetooth headphones, active noise reduction headphones, smart wear and other related products.
With excellent product quality and quick response service system, the company’s products have been finally applied to well-known consumer electronics brands at home and abroad such as apple, Samsung, Xiaomi, oppo, vivo, Google and Hisense, as well as well-known automobile brands and auto parts suppliers at home and abroad such as great wall, Honda, SAIC GM, Schaeffler and Cummins. Its subsidiary, Andersen, is mainly committed to the smart headset business, and its main customers include well-known brands at home and abroad such as oppo, nothing, Anke, duoke and Feizhi.
(2) Industry pattern and development trend
1) MIM service
MIM is known as “one of the hottest metal parts forming technologies in the world”. It has become a new near net shape technology with rapid development and the most promising in the field of international powder metallurgy. MIM process has extremely high barriers and has great advantages in the production of complex metal products.
The global MIM market is growing steadily and the industry has great development potential. According to the prediction of Liding Industry Research Center, China’s MIM market will reach 14.14 billion yuan in 2026. With the rise and development of 5g smart phones, multi camera smart phones, folding screen mobile phones and other smart phones, as well as the development of wearable devices such as smart watches and TWS headphones, the internal structure of consumer electronic devices continues to develop towards precision and miniaturization. MIM process has obvious advantages in manufacturing precision structural parts with high complexity, high precision, high strength and exquisite appearance, Therefore, the overall market space of MIM industry is expected to maintain a certain growth.
On the one hand, folding screen mobile phones are gradually emerging in the field of smart phones. In 2021, major mobile phone brand manufacturers outside China have entered the folding screen mobile phone market. Samsung, Huawei, Xiaomi, oppo, glory and other brands have launched one or more generations of folding screen mobile phones. According to the statistics of omdia and counterpoint, the global sales of folding screen mobile phones will be close to 18.3 million in 2022. Folding screen rotating shaft is the most important part of folding screen mobile phone. Its structure is complex. It is composed of hundreds of precision parts and components superimposed in a limited space. The most important part is MIM parts. According to different folding forms of folding machine, the cost of MIM parts is about tens to hundreds of yuan. In the long run, the folding screen mobile phone will realize the combination of tablet and mobile phone. With the innovation of technology and process, the folding screen is expected to become the next generation of breakthrough design leading the industry reform, and the market prospect is expected to drive the growth of MIM industry. On the other hand, the sales volume of smart watches continues to grow rapidly under the trend of continuous improvement of battery life, diversification of functions and accurate data monitoring. According to the statistics of sunrise big data, the global shipment of smart watches in 2020 is about 194 million, with a year-on-year increase of 26%. It is expected to reach 510 million by 2023, with a three-year compound growth rate of 38%. The industry penetration and growth speed up. The smart watches that have attracted much attention of consumers are equipped with such as blood oxygen ECG, respiratory rate detection and other health monitoring functions are expected to achieve disease from passive treatment to active prevention, which will promote a new round of popularization and penetration of smart watches.
In addition, with the development of 5g, AI, VR and other technologies, wearable intelligent devices will play an increasingly important role in the fields of biometrics, medical monitoring, security and digital payment. In particular, technology giants continue to enhance the application of wearable AI technology and create more application scenarios for wearable devices. MIM process can provide the field of wearable devices with MIM products such as the case and body of smart watches and wearable device structural parts. The expansion of application scenarios and market penetration of wearable devices, including smart watches, are expected to drive the growth of MIM demand.
MIM has a wide range of applications. Globally, MIM technology has been widely used in many fields, such as automobiles, electronic products, medical devices, consumer goods and so on, except mobile phones and wearable devices. However, there are obvious differences in MIM application structure around the world: MIM process is mainly used in electronic products industry in Asian market, medical devices and other fields in North American market, and more emphasis is placed on automobile and consumer goods industry in Europe. MIM products are mainly produced in Asia, and most of its products are in the global low-end industry with an annual revenue of less than 200 million yuan. MIM products are mainly concentrated in the global low-end industry, There are only a few first tier enterprises in the MIM industry with an annual revenue of more than 500 million yuan in the world. However, with the gradual recognition of MIM technology by the market, the market competition environment of MIM industry has also changed greatly in recent years. Large downstream assembly plants and some listed companies in the consumer electronics industry have vertically integrated the upstream and downstream industries and joined the competition ranks of MIM industry, further increasing the number of large-scale competitors.
2) Transmission business
Driven by the Internet era, with the continuous development of 5g and other emerging technologies, the market has also given more space and opportunities for the development of transmission business. The company’s transmission business includes transmission component business and precision transmission mechanism business. Among them, transmission components such as folding screen mobile phone shaft, TWS Bluetooth headset shaft and other products applied in the field of consumer electronics. Precision transmission mechanism mainly includes precision gearbox and transmission system, It has small volume, complex structure and high requirements for design, manufacturing and assembly. It can be applied to smart phones, smart appliances, smart homes, medical treatment, automobiles, Siasun Robot&Automation Co.Ltd(300024) and many other fields, and has a good market prospect.
In the field of consumer electronics, folding screen mobile phones are gradually emerging. One of the core of folding screen is the design of hinge shaft. Because the folding screen needs to be folded more than 100000 times, each folding will cause certain wear on the rotating shaft, and it is necessary to be thin, and more than 100 parts and components related to the folding screen, such as connection, wiring, heat dissipation and so on, should be well designed. Therefore, the precision, complexity, lightness and performance of the hinge rotating shaft of the folding hand machine far exceed the requirements of notebook computers, Its durability and reliability become one of the technical challenges of folding screen mobile phones. In the future, with the promotion of folding screen mobile phones, the shipment of folding screen mobile phones is expected to grow continuously, driving the growth of hinge shaft market demand.
In the field of smart home, both the global smart home market and China’s smart home market show a rapid growth trend. According to IDC data, it is predicted that the compound annual growth rate of global smart home equipment shipments from 2020 to 2025 will be about 12.2%, and it is expected to exceed 1.4 billion units by 2025; In the first half of 2021, the shipment volume of China’s smart home equipment market was about 100 million units, with a year-on-year increase of 13.7%. It is expected that the annual shipment volume in 2021 will be 230 million units, with a year-on-year increase of 14.6%. It is predicted that the shipment volume will reach 540 million units in 2025. With the development of smart home industry, more and more smart home application scenarios and smart home items appear, which requires more intelligent interaction and control. For example, intelligent curtain deceleration, intelligent TV camera lifting, intelligent lock core, etc. all need to complete the corresponding actions and realize specific functions through intelligent interaction and control. As an essential transmission system in mechanical drive, it plays an important role, which will affect the efficiency and accuracy of action completion of smart home devices. In order to improve the degree of intelligence and provide a better user experience, the requirement that the precision of interaction and control between smart home system and products needs to be improved will become stronger, which will make the micro transmission system with higher precision more widely used in smart home products. In the future, with the development of 5g technology and the gradual expansion of commercial promotion and aiot ecology, the recognition of smart home market will continue to improve, smart home products will be further promoted and applied, and the integration of smart home and precision transmission technology will be more in-depth, which will produce huge market demand for more precise and efficient micro transmission system.
In the automotive field, precision transmission mechanisms are widely used, such as electric tailgate brace, automatic door lock, electrically controlled window lifting system, touch glove box, etc. among them, the automobile electric tailgate remotely opens the tailgate through electric push rod, sensor, pull in lock device, controller, etc., which has convenient operation and strong practicability, and is more common in the equipment of new energy vehicles. According to the data of China Automobile Association, in 2021, the national automobile sales volume was 26.275 million, with a year-on-year increase of 3.8%, the sales volume of new energy vehicles reached 3.521 million, with a year-on-year increase of 1.6 times, and the penetration rate of new energy vehicles in the whole year reached 13%; According to the new energy vehicle industry development plan (20212035) issued by the State Council, by 2025, the sales volume of Shanxi Guoxin Energy Corporation Limited(600617) new vehicles will reach about 20% of the total sales volume of new vehicles. With the gradual increase of the penetration rate and sales volume of new energy vehicles, it will further promote the development of precision transmission mechanism (automobile electric tailgate, etc.) on new energy vehicles. In the future, driven by the trends of automobile electrification, intelligence and lightweight, the precision transmission mechanism that can meet the requirements of automobile precision control, miniaturization and lightweight will benefit from further development and application.
3) TWS headset service
TWS earphones have developed rapidly in recent years. At present, the main market participants include TWS brands of smart phone brand manufacturers, traditional earphone manufacturers and white brand TWS earphones. With the improvement of consumers’ awareness of TWS headset consumption, the market competition is becoming more and more fierce, and the branding of TWS headset is also accelerating. According to the statistics of sunrise big data, the shipment volume of TWS headset in the first half of 2021 increased by 47.69% year-on-year; In the first half of 2021, brand TWS headphones accounted for 48%, an increase of 4 points over 2020. Among them, Android brand quickly penetrated the middle and low-level market with price advantage, driving the growth of TWS headphone demand. According to IDC’s prediction, the global TWS shipment volume will increase from 230 million pairs to nearly 400 million pairs from 2020 to 2024, and the penetration rate of TWS headphones is expected to be further improved.
(3) Industry position and product market position of the company
At present, MIM industry has a high degree of marketization, and its market competitiveness is mainly reflected in professional technology, product quality, supply capacity, after-sales service and product price. Enterprises with comprehensive competitive advantages have more obvious advantages in market competition
