Company code: Wuxi Autowell Technology Co.Ltd(688516) company abbreviation: Wuxi Autowell Technology Co.Ltd(688516) Wuxi Autowell Technology Co.Ltd(688516)
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 tips
The company has elaborated various risks and countermeasures that may be faced in the process of operation in this report. Please refer to section III “discussion and analysis of operation” of this report. 3 the board of directors, the board of supervisors and the directors, supervisors and senior managers of the company guarantee the authenticity, accuracy and completeness of the contents of the annual report, and there are no false records, misleading statements or major omissions, and bear individual and joint legal liabilities. 4. All directors of the company attended the board meeting. 5 Lixin Zhonglian Certified Public Accountants (special general partnership) 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 plans to distribute cash dividends of RMB 16.00 (including tax) to all shareholders for every 10 shares based on the total share capital on the date of equity registration of annual dividend distribution in 2021. If the total share capital of the company changes before the equity registration date of equity distribution, the total amount of distribution shall remain unchanged and the distribution proportion per share shall be adjusted accordingly. As of December 31, 2021, the total share capital of the company is 98.67 million shares. Based on this, the total cash dividend is expected to be 157872 million yuan. The company does not convert the accumulation fund into share capital or give bonus shares. The company’s annual profit distribution plan for 2021 needs to be reviewed and approved by the company’s general meeting of shareholders. 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 and sector stock abbreviation stock abbreviation before stock code change
A-share Shanghai Stock Exchange Kechuang board Wuxi Autowell Technology Co.Ltd(688516) Wuxi Autowell Technology Co.Ltd(688516) not applicable
Profile of company 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: Zhou Yongxiu, Li cuifen
Office address: No. 25, Zhujiang Road, Wuxi
Tel: 051082255998
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
1. Main business of the company
The company’s main business is the R & D, production and sales of high-end equipment. The company is a high-tech enterprise with independent research and development ability and continuous innovation ability. The company is committed to providing customers with high-end equipment and solutions with excellent performance and high cost performance.
2. The company’s main products and services
The company’s products are mainly used in the sealing and testing links of photovoltaic industry, lithium battery industry and semiconductor industry. The company’s main products are silicon wafer end single crystal furnace and silicon wafer sorter in photovoltaic industry; Integrated sintering and annealing furnace at photovoltaic cell end (light injection); Dicing machine, series welding machine, typesetter and stack welding machine at the photovoltaic module end; Lithium battery module /pack production line, cylindrical appearance inspection equipment; Aluminum wire bonding machine for semiconductor packaging link.
The company also provides customers with transformation, upgrading services and spare parts of existing equipment. （2） Main business model
1. Profit model
Revenue and profits are obtained by selling equipment and providing services to customers. The products sold in the reporting period are mainly photovoltaic modules, batteries, silicon wafer equipment, lithium battery equipment and supporting spare parts; The service mainly refers to the transformation and upgrading of photovoltaic modules and silicon wafer equipment, so as to obtain corresponding income, deduct costs, expenses and other related expenses, and form the profit of the company.
2. R & D mode
After years of exploration and accumulation, the company has formed a standardized project-based product R & D model. The company’s R & D activities are divided into product R & D and technology development. Among them, product R & D refers to independent R & D, improved R & D and customized R & D Based on the company’s product planning, product improvement application and customer contract; Technology development is divided into forward-looking technology research and development (for technical reserve and principle verification) and platform development for widely applicable modules / models.
3. Procurement mode
In order to ensure the quality of purchased materials, the company has formulated systems and processes such as supplier development and approval process, material plan, executive procurement, receipt management and material warehousing to strictly standardize the implementation process of all links of procurement. The company’s purchase is mainly based on the master production plan formed by the sales order / pre cast application to generate the material demand plan and purchase the raw materials to be purchased. The company’s production involves many kinds of raw materials, which are divided into two categories: purchased parts and processed parts. The company has a special department responsible for material storage and warehousing management.
4. Production mode
The production process of the company’s products mainly includes production planning, material procurement, whole machine assembly, commissioning, finished product inspection, finished product warehousing and other processes. In the production process, the company adopts ERP system to uniformly manage the production process.
Photovoltaic equipment: the company adopts the production mode of “production based on sales” + “pre investment production”. The company usually determines the purchase plan and production plan according to the customer’s order. Due to the large order scale and short delivery cycle of some customers, and there is a certain cycle from procurement, production organization to delivery of equipment products. At the same time, in order to realize the continuity and scale of production, after approval, the company can reasonably pre put into production some products with high degree of standardization to ensure timely delivery. Lithium battery equipment: due to the high degree of customization of lithium battery equipment, the company adopts the production mode of setting production by sales, and determines the purchase plan and production plan in strict accordance with the customer’s order.
Semiconductor equipment: the company adopts the production mode of “production based on sales” + “pre production”. According to customer orders and forecast orders, the company makes reasonable pre production of long-term parts and some complete machines.
5. Sales model
The company’s domestic sales mainly adopt the direct selling mode, while overseas sales adopt the combination of direct selling and distribution. The sales and technical department of the company has benign and in-depth communication with all departments of customers, so as to continuously understand and develop customers’ new needs, and maintain and strengthen good cooperative relations with customers.
To sum up, the company has formed the current business model in combination with upstream and downstream development, market supply and demand, main business characteristics, disposable capital scale and other factors. During the reporting period, the above key factors affecting the company’s business model have not changed significantly, and it is expected that the company’s business model will not change significantly in the short term in the future. （3） Industry 1 Development stage, basic characteristics and main technical threshold of the industry
1.1 development stage of the company’s industry
The company is mainly engaged in the R & D, design, production and sales of intelligent high-end equipment. The company’s main products are photovoltaic equipment, lithium battery module / pack production line, semiconductor packaging link bonding machine. According to the industry classification guidelines for listed companies (revised in 2012) issued by the CSRC, the company belongs to the special equipment manufacturing industry (C35). According to the industrial classification of national economy (GB / t47542017), the company belongs to the “special equipment manufacturing industry for electronics and electrical machinery” (c356) under the “special equipment manufacturing industry” (C35).
Intelligent manufacturing equipment refers to manufacturing equipment with the functions of perception, analysis, reasoning, decision-making and control. It is the integration and deep integration of advanced manufacturing technology, information technology and intelligent technology, and reflects the development requirements of intellectualization, digitization and networking of manufacturing industry. Intelligent manufacturing equipment industry is an important industry related to the sustainable development of the national economy, and it is also one of the key directions in China’s clear field of high-end equipment manufacturing.
According to the different application markets of the company’s products, the development stages and characteristics of the industry are as follows:
Industry development stage
(1) Photovoltaic industry: after more than ten years of development, the photovoltaic industry has become a rare strategic emerging industry in China that has formed an international competitive advantage, achieved end-to-end self-control, and is expected to take the lead in becoming a model of high-quality development. It is also an important engine to promote China’s energy reform. At present, China’s photovoltaic industry ranks among the top in the world in terms of manufacturing scale, industrialization technology level, application market expansion and industrial system construction. In 2021, benefiting from the dual role of industrial policy guidance and market demand drive, the country’s newly added photovoltaic grid connected installed capacity was 54.88gw, a year-on-year increase of 13.9%; The cumulative installed capacity of photovoltaic grid connection reached 308gw, with a year-on-year increase of 25.1%. The newly added and accumulated installed capacity has ranked first in the world for nine consecutive years.
(2) Lithium battery industry: in 2021, the output of Shanxi Guoxin Energy Corporation Limited(600617) vehicles reached 3.545 million, a year-on-year increase of 1.7 times; The sales of new energy vehicles reached 3.521 million, a year-on-year increase of 1.6 times, ranking first in the world for seven consecutive years. (3) Semiconductor industry: China’s integrated circuit industry has developed steadily and rapidly. In 2021, industrial sales exceeded the trillion mark for the first time, reaching 1045.8 billion yuan, a year-on-year increase of 18.2%. Among them, the packaging and testing revenue was 276.3 billion yuan, a year-on-year increase of 10.1%. At the same time, China’s semiconductor packaging and testing innovation ability has been continuously improved, the advanced packaging technology is in line with the international level, and the product structure has been continuously optimized.
1.2 basic characteristics of the industry at this stage
(1) Policies promote the sustained and rapid development of the industry
Photovoltaic, new energy and semiconductor are all emerging strategic industries of the country. The competent government departments have successively issued a series of policies to support the development of the industry, promote the intellectualization of industrial equipment, independent design and localization of (semiconductor) imported equipment. A good policy environment will further promote the sustainable and rapid development of the industry.
(2) There is a strong demand for high-end equipment and a broad market space
During the “14th five year plan” period, China’s photovoltaic market will usher in the peak of market-oriented construction. It is expected that the average annual new scale of photovoltaic installed capacity in China will be 70-90gw, and the photovoltaic industry will generally show a steady upward development trend. According to the report of China Photovoltaic Industry Association, the optimistic forecast of China’s photovoltaic new installed capacity in 2025 is 110gw and the conservative forecast is 90gw.
Development plan for new energy vehicle industry (20212035) issued by the general office of the State Council on November 2, 2020. The development plan defines the key points of the long-term planning of China Shanxi Guoxin Energy Corporation Limited(600617) automobile: by 2025, the sales of new energy vehicles will reach about 20% of the total sales of new vehicles; Improve the infrastructure construction of charging, changing electricity and hydrogenation; Relax market access and improve the double score policy. The rapid development of new energy vehicles will inevitably produce a strong demand for lithium battery production equipment.
With the rapid development of emerging industries such as 5g, industrial Internet and Internet of vehicles, the new generation of information technology has ushered in a period of strategic opportunity for in-depth adjustment. The demand for all kinds of low-power and small-size advanced packaging chips will increase day by day, which provides a huge market space for the high-quality development of China’s semiconductor packaging and testing industry.
The development of the above three industries will inevitably usher in the expansion of downstream markets and strong demand for photovoltaic equipment, lithium battery equipment and semiconductor packaging equipment; Especially in semiconductor packaging, the share of imported equipment is high, and the demand for equipment localization begins to appear.
1.3 the technology has developed rapidly and the technical threshold has been further improved
With the rapid development of photovoltaic, lithium battery and semiconductor industries, the technological renewal and iteration of high-end equipment has accelerated. Photovoltaic silicon wafers are developing in the direction of large size and flake, and lithium batteries are developing in the direction of high speed and large size; Semiconductor packaging is developing in the direction of multi variety, compatibility and advanced packaging technology. The iteration speed of equipment technology has been significantly accelerated, and the process performance requirements have been continuously improved. The production process complexity of the company’s customers has increased, the overall process and technology requirements of the equipment are high, and the comprehensive technology of high-end equipment has a high technical threshold. Enterprises need long-term technology accumulation and continuous R & D investment to meet customers’ higher and faster technical requirements. The core technologies necessary for high-end equipment, such as precision position control technology, precision detection technology, special material processing technology and intelligent manufacturing technology, need to be formed after years of precipitation and accumulation. Efficient R & D system, strong core technology, deep understanding of downstream industry processes and high-end core technical talents constitute a high technical threshold for the high-end equipment industry. 2. Analysis of the company’s industry position and its changes
The company is one of the well-known photovoltaic equipment manufacturers in China. Its core products, photovoltaic series welding machine and silicon wafer sorter, have strong market competitiveness and high market position. The company has mastered the core technologies such as precision position control technology, precision detection technology, special material processing technology and intelligent manufacturing technology necessary for high-end equipment, and extended these core technologies to lithium battery module / pack production line and semiconductor packaging link bonding machine related to this technology. The company’s large-size, ultra-high speed series welding machine and silicon wafer sorter have a high market position; The company’s semiconductor bonding machine is the main equipment imported and replaced in the packaging link; The company’s large-size n-type single crystal furnace is a new product of the company’s silicon wafer end. As the company launches new products, its market share will be gradually increased.
According to the market demand and development strategy, the company will continue to invest in scientific research and introduce talents, further improve the technology and process level, expand the leading edge of technology and maintain the leading position in the market. 3. New technologies, Shenzhen New Industries Biomedical Engineering Co.Ltd(300832) , new business forms and new products during the reporting period
