Company code: 688110 company abbreviation: Dongxin Semiconductor Co., Ltd
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 the website of Shanghai Stock Exchange (www.sse. Com. CN.) The website carefully reads the full text of the annual report. 2 major risk tips
The company has described the possible risks in this report. Please refer to “IV. risk factors” in “section III Management Discussion and analysis” for investors’ attention to investment risks. 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 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 a cash dividend of 1.80 yuan (including tax) to all shareholders for every 10 shares based on the total share capital registered on the date of equity distribution. As of December 31, 2021, the total share capital of the company is 44224975800 shares. Based on this calculation, it is expected to distribute 7960495644 yuan of cash dividends (including tax), accounting for 30.41% of the net profit attributable to the shareholders of the parent company in 2021. No capital reserve will be converted into share capital and no bonus shares will be given in this year. If the total share capital of the company and the number of shares to be distributed change before the equity registration date of equity distribution, the total amount to be distributed will remain unchanged, and the distribution proportion per share will be adjusted accordingly.
The above profit distribution plan of the company has been deliberated and approved at the 26th meeting of the first board of directors of the company and needs to be submitted to the general meeting of shareholders of the company for deliberation and approval. 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 Dongxin shares 688110 is not applicable
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: Jiang Yuzhou, Huang Shenyi
Office address: Hongqiao world center, Lane 1588, Zhuguang Road, Xujing Town, Qingpu District, Shanghai
L4A-F5
Tel: 02161369022
E-mail [email protected]. [email protected].
2. Introduction to the company’s main business during the reporting period (I) main business, main products or services 1. Main business
The company is a leading memory chip design company in the mainland, focusing on the R & D, design and sales of small and medium-sized memory chips. It is one of the few companies in the mainland that can provide complete solutions for major memory chips such as NAND, nor and DRAM at the same time. With strong R & D capability and stable supply chain system, the products have entered many well-known customers at home and abroad, and are widely used in 5g communication, Internet of things terminals, consumer electronics, industrial and automotive electronic products and other fields.
Since its establishment, the company has been committed to the technological breakthrough of local memory chips. Through the unified underlying design and functional variable R & D architecture, the company has built a powerful database of design circuit diagram and packaging test, realized the control ability of the whole process of chip design, manufacturing process, chip design, packaging test and other links, and has completely independent intellectual property rights. The 24nm NAND and 48nm nor designed, developed and mass produced by the company are the leading NAND and nor processes in mainland China.
Based on China and facing the world, the company deeply cultivates the world’s largest storage chip application market, accurately senses the rapidly changing market trend, closely follows the wave of localization of storage chips, quickly responds to customers’ personalized needs by virtue of all-round technical reserves from chips, application circuits to system platforms, and provides targeted complete storage chip solutions including NAND, nor and DRAM. After years of experience accumulation and technology upgrading, the company has created a variety of memory chip products characterized by low power consumption and high reliability. With excellent performance in process and performance, the company’s products have not only been certified by Qualcomm, Broadcom, MediaTek, Ziguang zhanrui, ZTE, Rockchip Electronics Co.Ltd(603893) , Ingenic Semiconductor Co.Ltd(300223) , Bestechnic (Shanghai) Co.Ltd(688608) , but also entered Samsung Electronics, Hangzhou Hikvision Digital Technology Co.Ltd(002415) Goertek Inc(002241) , Shenzhen Transsion Holdings Co.Ltd(688036) , huierfeng and other well-known customers’ supply chain systems at home and abroad are widely used in communication equipment, security monitoring, wearable devices, mobile terminals and other terminal products. 2. Main products or services
The company’s main products are nonvolatile memory chips NAND flash and NOR flash; Volatile memory chip DRAM and derivative product MCP. The specific conditions of various products are as follows: (1) NAND flash
NAND flash is a kind of general-purpose nonvolatile memory chip. Its storage array is connected by storage units in series. It reads and writes in the unit of “page” and erases in the unit of “block”. Therefore, it has the characteristics of large storage capacity and fast write / erase speed.
The company focuses on the design and R & D of planar SLC NAND flash. The main products adopt floating gate process structure, with storage capacity covering 1GB to 32GB. SPI or PPI type interfaces can be flexibly selected, with 3.3v/1.8v voltages, which can meet the needs of customers in different application fields and application scenarios. The company’s SLC NAND flash products are mainly used to support the storage and operation of application system codes such as Linux and RTOS, and realize the storage and rapid rewriting of data. They are widely used in 5g communication modules and terminal system operation modules with high integration requirements.
The core technology advantages of NAND flash products of the company are obvious, especially SPI NAND flash. The company adopts the industry-leading single-chip integration technology to integrate the storage array, logic circuit and interface module in the same chip, effectively saving the chip area, reducing the product cost and improving the market competitiveness of the company’s products. The company’s products are stable in terms of durability and data retention characteristics. Not only has the erasure times of a single chip exceeded 100000 times in the industrial temperature control standard, but also the data validity can be maintained in the extreme environment of – 40 ℃ to 105 ℃ for 10 years. The product reliability is gradually moving forward from the industrial standard to the vehicle specification standard.
NAND flash of the company is widely used in communication equipment, security monitoring, wearable devices, mobile terminals and other fields due to its rich product categories, low power consumption and high reliability. It has been verified and recognized by MediaTek, Rockchip Electronics Co.Ltd(603893) , ZTE micro, Broadcom and other mainstream platform manufacturers in the industry. It is mainly used in 5g communication, enterprise gateway, network intelligent monitoring, digital video recorder Digital set-top box, smart bracelet and other terminal products. The well-known end customers using the company’s products include Zte Corporation(000063) , Fiberhome Telecommunication Technologies Co.Ltd(600498) , Hangzhou Hikvision Digital Technology Co.Ltd(002415) , Zhejiang Dahua Technology Co.Ltd(002236) , Skyworth Digital Co.Ltd(000810) , Aisino Corporation(600271) , etc. （2）NOR Flash
NOR flash is a kind of general-purpose nonvolatile memory chip. Its memory array is composed of storage units connected in parallel. While realizing fast random reading of data by bit, it allows the system to read and execute code directly from the storage unit. Therefore, it has the characteristics of on-chip execution and fast reading speed. It is usually used to store relevant data and code programs to meet the needs of fast starting application system, It is widely used in wearable devices, mobile terminals and other fields.
SPI nor flash independently designed by the company has a storage capacity of 2Mb to 256MB and supports a variety of data transmission modes. The company’s products are mainly used to store code programs, such as the startup program for communication data exchange in functional mobile phones; The instruction code for correcting the image resolution is stored in the camera module of the smart phone; The boot program at startup is stored in the Bluetooth wireless headset. At present, the company has provided products for well-known terminal customers at home and abroad, such as Samsung Electronics, LG, Shenzhen Transsion Holdings Co.Ltd(688036) , Goertek Inc(002241) and so on. （3）DRAM
DRAM is one of the main volatile storage products in the market. It realizes data storage by using the presence or absence of stored charge in capacitor memory to represent binary bits. DRAM has the characteristics of fast reading and writing speed. It is often used in the running memory of system hardware to process the instructions and data in the system.
The DDR3 series developed by the company is a DRAM product that can transmit double data streams. It has the characteristics of high bandwidth and low delay, and is widely used in communication equipment, mobile terminals and other fields; The products developed by LPR are low-power and intelligent devices, which are suitable for the use of mobile Internet of things and other products with low power consumption. At present, the international well-known customers using the company’s DRAM series products include LG, Renesas, soxi, huierfeng, Flextronics, etc. （4）MCP
MCP is a product that seals the flash memory chip and DRAM to jointly realize the functions of storage and data processing, save space and improve the storage density. At present, it is mainly used in electronic products with limited space and is applied to the field of mobile terminals and communication equipment.
The company’s MCP products integrate the self-developed flash memory chip and DRAM. With its design advantages, it has passed the certification in the 4G module platforms of Ziguang zhanrui, Qualcomm and MediaTek. It has been applied to functional mobile phones, MiFi, Internet phones, POS machines and other products, and has been recognized by TCL Technology, Sunsea Aiot Technology Co.Ltd(002313) , Jabil and other well-known enterprises. (5) Technical services
The company has independent and complete intellectual property rights. With years of memory chip design experience and senior R & D team, the company can provide customized design services and overall solutions for NAND, nor, DRAM and other memory chips according to customers’ specific needs, help customers reduce product development time and cost and improve product development efficiency.
In the process of customized design for customers, the company constantly understands the functional requirements of the market for products, receives customers’ feedback on end products, repeatedly verifies and polishes existing technologies, and establishes a technology development cycle of “R & D transformation innovation” to further enhance technical capabilities.
（2） Main business model
The integrated circuit industry chain is mainly composed of integrated circuit design, wafer manufacturing, packaging and testing. From the perspective of business model, it is mainly divided into IDM model (enterprise business covers all links of integrated circuit design, manufacturing, packaging and testing) and fabless model (integrated circuit design model without wafer production line, that is, enterprises only design and sell integrated circuits, and outsource manufacturing, packaging and testing to professional wafer manufacturing enterprises, packaging and testing enterprises). As an IC design enterprise, the company has adopted fabless mode since its establishment, focusing on integrated circuit design, final sales and after-sales service, and outsourcing wafer manufacturing, packaging and testing to special wafer foundry, packaging and testing manufacturers.
From the perspective of the overall industrial chain of integrated circuits, integrated circuit design is an R & D and design link with independent intellectual property rights and reflects the core technical content. Finished product sales is an after-sales service link that controls sales channels, customer resources and brands. They all play a core and leading role in the industrial chain and are the embodiment of original innovation and the source of value creation in the IC design industry. The company focuses on R & D, design and product sales. It plays an important role in the whole industrial chain and has core competitiveness.
From the perspective of sales model, the company’s sales are mainly direct sales and distribution. Under the direct sales mode, the company directly signs sales contracts (orders) with customers and delivers goods; Under the distribution mode, the company signs the dealer agreement and sales contract with the dealer, the company delivers goods to the dealer, and then the dealer sells them to end customers. In this mode, sell out sales are adopted. As a common sales mode in the IC design industry, distribution mode effectively improves the operation efficiency of enterprises in the industry and promotes the rapid development of enterprises. Under the distribution mode, as the link between upstream and downstream industries, dealers have played an important role in efficiently developing the market, providing customer maintenance and accelerating capital flow. Under the direct selling mode, the company’s sales process is shortened, and the enterprise can maintain close contact with end customers. Through the communication with end customers, it helps to provide perception of the changing trend of the industry, timely grasp the market demand, so as to carry out product technological innovation and improvement, and constantly launch high-quality products to meet the market. Relying on the stable performance and reliable quality of products, the company has gained good brand awareness in the industry and attracted well-known customers to purchase products directly from the company. （3） Industry 1 Development stage of the industry
