Canaan Technology: As of Q1 2021, more than 156,000 mining machines have been pre-sold

Original source: Canaan Technology

On April 12, Beijing time, Canaan Technology (NASDAQ:CAN) released the full year and fourth quarter of 2020 financial report. The financial report shows that the company's orders increased significantly in the second half of the year, and the order volume in the fourth quarter exceeded 92,000 units. As of the end of 2020, the company has reached a total order contract of 1.131 billion yuan (RMB, the same below), of which sales advance receipts are 429 million yuan, an increase of 351 million yuan or 81.8% compared with the third quarter. As of the end of the first quarter of 2021, more than 156,000 mining machines have been pre-sold, and advance receipts have exceeded 1.547 billion yuan.

Canaan Technology’s total net revenue in the fourth quarter38.2 million< /span>yuan, the cost of revenue increased from 1.14 billion yuan in the same period of 2019 to third in 2020 span>Quarter 180 million yuan fell to 29.2 million yuan. The company's gross profit in the quarter from2019loss in the same period of the year6.734 100 million and2020third< span>Quarterloss170010,000 yuan Turning losses into profits recorded 91010,000 yuan, and the gross profit rate became positive2 3%.

From the perspective of the whole year,2020Company total net revenue4.477 100 million yuan, annual revenueThe cost has dropped from 1.94 billion yuan in 2019 to 409.9 million yuan,< span>The drop reached78.9%. 2020year annual gross profit3 78010,000 yuan, and 2019< span>The gross loss for the whole year was 5.16billion.

The following are the highlights of the company's main financial reports:

· Order Increase. With the promotion of institutional customer cooperation strategy, 2020In the second half of 2020, the company's orders have increased significantly, the fourth Quarterly orders exceeded 9.2 million units. As of the end of the first quarter of 20212021, the company pre-sold more than 15.6 million units.

· Advance receipts have soared. As of the end of 2020, the company has reached a total order contract of 1.131 billion yuan, of which the advance payment is 4.29< span>100 millionyuan, an increase of 3.51100 millionyuan, an increase of 81.8% . As of the end of the first quarter of 2021, the company’s sales advance receipts have exceeded1 5.47 billions.

· Cost reduction. The cost of revenue in the fourth quarter increased from 1.14 billion yuan in the same period in 2019 to 2020< span>ThirdQuarter 180 million yuan fell to 29.2 million yuan. 2020year annual revenuecost From 1.94 billion yuan in 2019 to 409.9 million yuan in 2019, dropped78.9%< span>.

· 2020 Total Net Revenue fell from 1.42 billion in 2019 to 447.7 million. Total net revenue in the fourth quarter increased from 463.2 million in the same period in 2019 and third in 2020 Quarter 163 million decreased to 38.2 million. Reasons for the decreaseinclude:first,companiesCommence mass production of the new product line in the fourth quarter,begin gradually increasing sales< span>. Additionally, Since Q3 2020, product inventory has been sold out.

· Mass profit turned positive . 2020The fourth quarter of 2020 turned losses into profits, and the annual gross profit margin turned positive. Canaan Technology’s gross profit in the fourth quarter9100,000, while < span>2020thirdquartergross loss170010,000 yuan, 2019 Gross loss in the fourth quarter of 2019673.4 million yuan. From the perspective of the whole year, Canaan Technology2020full year gross profit 378010,000, and 2019The annual gross loss for the year was 5.16 billions.

· Increased research and development. Canaan continues to increase investment in research and development, the fourth quarter research and development expenses4010010010010 span>10,000, and 2020thirdQuarterR&D investment is 32.1 million , a quarter-on-quarter increase of 24%. The increase in R&D investment is due to the use of more new materials, and the company will continue to increase investment to consolidate its technological and product advantages in emerging markets.

· Ample Cash. As of December 31, 2020, Companycash and cashThe equivalent is 391.1 million yuan.

· A IChip shipments have tripled3 times.

2020In 2019, after experiencing the impact of the epidemic and the challenges of the global chip shortage, Canaan Technology achieved zero inventory and locked in wafer production capacity through massive pre-sale orders, laying a solid foundation for this year's market share.

Welcome to join the official BlockBeats community:

Telegram Subscription Group: https://t.me/theblockbeats

Telegram Discussion Group: https://t.me/BlockBeats_App

Official Twitter Account: https://twitter.com/BlockBeatsAsia