Jianan Technology releases its first financial report

2020-04-10 13:49:01 Primitive Reading

On April 9, Beijing time, CANA Technology (CAN.US) released its first financial report after listing, announcing the fourth quarter of the fiscal year 2019 and the annual financial report.

According to financial report data, Jianan Technology's total net revenue in the fourth quarter was RMB 463 million (approximately US $ 66.5 million), an increase of 66.8% year-on-year. Q4 total computing power was sold at 2.9 million Thash / s, an increase of 86.6% year-on-year.

Although the net revenue computing power in the fourth quarter of last year showed double growth, the total net revenue of Jianan Technology for the full fiscal year of 2019 was RMB 1.42 billion (approximately US $ 204.3 million), a year-on-year decrease of 47.6%. However, the total computing power Sales reached 10.5 million Thash / s, a year-on-year increase of 47.1%.

It is worth mentioning that Jianan Technology has a cash reserve of 516.6 million, enough to support the operating costs of the next 12 months.

The decrease in net revenue was due to the R & D and administrative expenses of 516 million yuan

For the decline in net revenue for the full year of 2019, Jianan Technology Financial Report shows that the decline in net revenue is related to the increase in research and development expenses and administrative expenses. In the past two years, the company has maintained a high investment in research and development. In 2018, the research and development expenses were 189 million yuan, and in 2019 the research and development expenses were 169 million yuan. Among them, R & D expenses in 2019 accounted for 11% of total revenue, higher than 7% in 2018. In addition, administrative expenses in 2019 reached 347 million yuan, mainly used for share compensation expenses of core R & D personnel. It proves that the company attaches great importance to R & D investment and R & D personnel.

It is worth noting that Jianan Technology has abundant cash flow. The financial report shows that as of December 31, 2019, Jianan Technology had 516.6 million cash and cash equivalents. Jianan Technology stated that the existing cash and cash equivalents and expected cash flow from operating activities will meet the company's expected working capital requirements and capital expenditures in the normal business process for the next 12 months.

Cash flow is an important indicator to measure whether a company's operating conditions are good, whether it has sufficient cash solvency and asset liquidity. Wall Street pays special attention to cash flow and uses it as an important reference index for rating and updating target stock prices. Facing the complex situation of the internal and external environment, the abundant cash flow of Jianan Technology will lay a solid foundation for its next blockchain and artificial intelligence strategy.

Overweight blockchain and dedicated AI chip design seek business growth

Facing the decline in net revenue for the whole year of 2019, Jianan Technology will reverse the situation through two major growth points, blockchain and dedicated AI chip design.

Zhang Nan Geng, chairman and CEO of Jianan Technology, said: "The company's two core businesses, namely blockchain and dedicated AI chip design, represent the new direction and new growth point of the long-standing industry of integrated circuits. We will pass the chip The continuous improvement of computing power, the continuous optimization of power consumption and cost, the expansion of new product application scenarios, reducing the total cost of ownership, and empowering the industry from the upstream of the industry chain. "

In terms of mining machine chips, Zhang Nan Geng said that in the first quarter of this year, the research and development of new products was not affected by the epidemic, and the research and development work was completed in February. Compared with the previous generation of mass-produced products, this product has reduced the cost and improved the performance and power consumption ratio by about 20-30%, and is in the leading position in the industry. In addition, our products based on TSMC's 5nm technology are also under intense development.

In addition to chips, Jianan Technology has also made improvements to the hardware and software design platform of blockchain computing equipment products. General hardware design can reduce costs, shorten design cycles, and bring convenience to customers' deployment and operation and maintenance. In addition, the company is also advancing the research and development of advanced technologies such as liquid cooling. In terms of software, the company began to provide native support for cloud mining software systems in pre-installed software, which is compatible with its future business development direction.

Global cooperation launches AI products for epidemic situation

In terms of AI business, based on the availability of K210 products, Jianan Technology has established strategic cooperation with domestic head customers, including strategic cooperation with domestic technology and agricultural head companies, providing intelligent solutions for the agricultural field; and a global leader Of soft drink manufacturers cooperated to provide solutions in smart industry; established initial contacts with DJI and Ubisoft to explore the integration of AI and STEAM education.

In terms of AI products, during the outbreak, the face recognition access control system was upgraded so that it can recognize people wearing masks, and can remind employees who do not wear masks. At the same time, it also integrates an intelligent time and attendance system to assist human resource management. Overall, the company's AI products have developed rapidly in areas such as smart door locks, non-inductive access control and attendance, smart energy management, and smart industry.

Since 2020, the AI overseas market has also made considerable progress. At present, Jianan Technology ’s AI chips and modules are widely welcomed by North American customers; in Japan, Kanzhi K210 chip modules already have a good developer community base. The second-generation AI chip product K510, which the company plans to launch this year, has more functions, and its performance is several times that of the first-generation product and adapts to more application scenarios.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. Amazon Finance assumes no responsibility for any errors contained herein.