On February 22nd, Huazi Science and Technology (300490) issued a notice that the company's wholly-owned subsidiary Jingshi Electronics recently received a bid-winning notice from the main customer Ningde Times and its holding subsidiaries by email. In total, the bid-winning lithium battery production equipment is about 499 million yuan (including tax), accounting for 34.68% of the company's audited main business income in the most recent fiscal year. In addition to the amount of this order, from December 8, 2020 to the date of disclosure of this announcement, Jingshi Mechatronics received other bid winning notices of RMB 14.5095 million (including tax) from Ningde Times and its holding subsidiaries.
According to the announcement, Jingshi Electric, a wholly-owned subsidiary of Huazi Science and Technology, signed a "framework procurement contract" with Ningde Times on June 19, 2019, stipulating that Ningde era will purchase equipment from Jingli Mechanical and Electrical equipment in the form of an order. the contract is valid from June 19, 2019 to June 19, 2022. The contract amount is not stipulated in the above contract, and the specific price shall be subject to the purchase order, which shall be sent to the company and its changes by Ningde Times in writing or in other forms agreed upon by both parties.
Huazi Science and Technology said that Ningde era occupies a leading position in the global power battery field, and this award demonstrates the comprehensive strength of its subsidiary Lean Mechatronics in power battery production equipment for new energy vehicles, marking the high recognition of international first-class customers for Fine Mechatronics capabilities, which is conducive to further enhancing the reputation and brand influence of the company and its subsidiaries in the industry. It is beneficial to the business development of the company and its subsidiaries in the field of new energy batteries. At the same time, the implementation of the order will help to improve the technical level and service capability of the subsidiary in the field of power battery equipment of new energy vehicles.
It is worth noting that on December 7, 2020, Fine Machinery, a wholly-owned subsidiary of Huazi Science and Technology, recently received a bid-winning notice from the main customer Ningde Times and its holding subsidiaries by email. In total, the bid-winning lithium battery production equipment is about 530 million yuan (including tax), accounting for 36.83% of the company's audited main business income in the most recent fiscal year.
In addition to the amount of the order issued, the amount of purchase orders signed with the company by Ningde Times and its holding subsidiaries in the past 12 months of the announcement is about 105 million yuan.
The battery network also noted that the power battery giant expanded production, and lithium equipment enterprises were the first to benefit. In addition to Huazi Science and Technology, in the Ningde era in 2020, there were only two months from October to December in the Ningde era. There are 10 lithium equipment enterprises, such as Shenghe Technology, pilot Intelligence, Haimu Star, Nebula shares, Chaoye Precision, Zhengye Technology, Today International, Big Family Laser, Shanhui Technology, and so on, which have publicly announced that they have won large purchase orders in Ningde era. A number of orders account for more than 50% of the company's audited main business income in the most recent fiscal year, and a number of enterprises have mastered the purchase orders of the Ningde era and its holding subsidiaries in the past few months.
On the same day, Huazi Technology also disclosed its annual performance KuaiBao. During the reporting period, the company realized operating income of 1.173 billion yuan, down 18.51 percent from the same period last year. Net profit belonging to shareholders of listed companies was 33.0783 million yuan, down 62.38 percent from the same period last year. Basic earnings per share is 0.13 yuan.
In view of the main reason for the decline in business performance compared with the same period last year, Huazi Science and Technology said that in the first half of 2020, affected by the COVID-19 epidemic, the company resumed work and production in batches, and suppliers and customers were also affected by the epidemic to varying degrees. As a result, the implementation and delivery progress of the company's project was lower than expected. In the second half of the year, the company worked hard to overcome the negative effects of the epidemic. Although it reversed the situation of losses in the first half of the year, for the whole year, the company's operating income still decreased significantly compared with the previous year. At the same time, due to the larger fixed expenditure of the company due to economies of scale, various expenses have not been reduced by Synchronize, resulting in a sharp decline in operating profit, total profit and net profit in 2020 compared with the same period last year.
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