Sanchuan Wisdom's 2017 net profit of 79.93 million decreased 40.16% year-on-year

[China Instrument Network Instrument Enterprise] On February 27th, Sanchuan Wisdom released its performance report. From January to December of 2017, the company realized operating income of 613 million yuan, a year-on-year decrease of 11.79%, and the average operating income of the instrumentation industry increased by 56.71%; The net profit of the shareholders of the listed company was RMB 799.320 million, a decrease of 40.16% year-on-year, and the average net profit growth rate of the instrumentation industry was 30.98%.

Picture from Sanchuan Wisdom

Sanchuan Wisdom stated that in the report period, the company invested a large amount of manpower and resources to develop and commercialize the NB-IoT Internet of Things water meter, and successfully developed a series of NB-IoT Internet of Things meters, such as photovoltaic, non-magnetic and ultrasonic.

In September 2017, Sanchuan Wisdom NB-IoT Internet of Things meter passed the function and performance test of China Tell Laboratory. It was the first domestic NB-IoT Internet of Things meter certified by China Tell Laboratory. At the 14th China Infoport Forum in 2017, Sanchuan Wisdom "NB-IoT Narrowband Internet of Things Water Meter" won the 2017 China Information Communication and "Internet Plus" application outstanding achievement bonus award.

At present, the commercial application of Sanchuan Wisdom Internet of Things meter has made significant progress. It has completed the replacement of more than 60,000 water meters in Yingtan City, Jiangxi Province, and has built the first-ever application demonstration project for the 10,000-ton NB-IoT Internet of Things meter in the industry.

Regarding the reasons for the declining performance of the company, the company stated that during the reporting period, the company’s new product and new technology R&D investment continued to grow; subsidiary Ai Shui Technology increased investment in the development of smart water business. As of the end of the reporting period, it had obtained more than 20 water company water data. The exclusive operation right of the company, Smart Water Big Data Service has achieved a good start; holding subsidiary Sanchuan Guode smart water software business continues to expand, serving customers has more than 100. Due to the substantial increase in R&D and business development costs, the company's performance during the reporting period has been affected.

Sanchuan Wisdom was established in 1971. On March 26th, 2010, it successfully listed on the Shenzhen GEM. It became the first domestic listed company with water meter as its main business. The company's current main business includes various types of water meters, water management application systems, water investment operations, water supply and distribution companies' poor production and sales, and DMA division management, municipal water treatment, and industrial wastewater treatment with intelligent water meters, especially the Internet of Things water meter as the core product. Smart water cloud platform construction, etc., is committed to becoming the world's most advanced water metering service provider and smart water service provider.

(Source: Flushing Finance, Securities Times, Sanchuan Wisdom, Phoenix Network Jiangxi)