As we see the end of 2022 and step into a new year, it is time for reflection and to imagine the possibilities that lie ahead of us. Looking back, 2022 was a year of both significant challenges and exciting progress for YOFC. Despite the ongoing pandemic and complex international landscape, we delivered a great transcript with commitment to the goal and concerted efforts.
In the context of ever-evolving environment in 2022, we never swayed from our strategic path and continued to create value for the community, customers, partners and other stakeholders. On the occasion of new year, I would like to, on behalf of YOFC, wish all of those who have been supporting us a thriving and prosperous new year! I would also like to thank every YOFC employee for your contributions that brought us where we are and your families who have stuck by us through thick and thin. Happy New Year to you all!
Looking at the big picture, the year 2022 was marked by exciting achievements and robust growth for China. In this context, the information communication industry became booming driven by the market tailwinds and strong momentum in the fields of new infrastructure construction, new-generation information technology and digital economy etc.
In the past year, YOFC was on track to deliver on its annual and multi-year targets with progress and breakthroughs made by every YOFC employee’s hard work and dedication.
Now join me in having a look at the key milestones in the past year that have defined our success!
In 2022, we harnessed the power of our portfolio to make great headway in implementing our five pillar strategies, namely, the growth of a full range of business, internationalization, diversification, technological innovation, digital transformation and capital optimization. Progress made in these fronts positioned us to buck the trend and perform strongly.
We continued to stay ahead globally in optical fibre, cable and preform business. We won the bids for centralized procurement of G.654.E fibre from China’s operator giants such as China Telecom, China Mobile and China Unicom with the largest share. It further consolidated our position as an industry leader.
Our commitment to internationalization continued throughout 2022 with equal emphasis on setting greater capacities in motion and undertaking EPC projects in different regions. We expanded the production capacity of the optical cable plant in Indonesia, completed the production of the first 100 million fkm qualified cable from the optical cable plant in Poland, and the communication network projects in the Philippines, Peru and Indonesia were well underway and recognized by clients. In 2022, revenue from YOFC’s overseas business for the first three quarters accounted for over 30% of the Company's total revenue, outperforming the industry average in terms of growth.
We invested enormous resources into diversification and stepping up coordinated development of the whole value chain, which further sharpened our competitive edge. In 2022, YOFC optimized the strategic planning of major diversification sectors, such as the third-generation semiconductors, optical modules and components, industrial lasers and submarine cable engineering, etc.
We worked on pushing the boundaries of technological innovation and taking digital transformation of the manufacturing industry to the next level. Ultra-low attenuation G.654.E fibre, of which the international standards were co-developed by YOFC, supported China Mobile in a milestone achievement: 800G transmission over 2000km. YOFC also worked with China Telecom Research Institute in the joint innovation laboratory to work on R&D of new optical fibres such as space division multiplexing, new components, optical fibre transmission and sensing in different application scenarios to advance the innovative development of industry. YOFC made it into the list of the first batch of digital transformation service providers of manufacturing industry in Jiangxi Province due to its strong track record of industrial internet, identity analysis and intelligent manufacturing solutions, indicating the increasingly mature capability of digital transformation solutions.
Achievements made in capital optimization positioned us well for sound operation and quality growth. China Lianhe Credit Rating and CCXl affirmed YOFC’s long-term credit rating at AAA with stable outlook. Bloomberg Businessweek recognized YOFC as one of the Listed Enterprises of the Year for the 7th year in a row.
While hearing the call for entering the brand new 2023 full of possibilities and challenges, I can’t help pondering over what has been driving YOFC to navigate through the challenges with self-confidence and become stronger? It turns out to be the aspiration, resilience and confidence! As an industry leading company, YOFC echoes the trend of times, pushes the limits of what’s possible in the field, pursues the sustainable development of the industry and takes on the responsibility of making China stronger in science and technology. These spirits are the essential legacy we must build on going forward.
The uncertain micro-environment will not deter us from our commitment to make a difference in the world. We should be convinced that a better future will be ahead of us. As long as we stay hopeful, focused on the strategies and motivated, we can pave the way for next 34 years of success and realize our vision of connecting the world as a whole with optical fibre and capturing the opportunities of digital economy.
We are all driven by the desire to create a brighter future to refresh ourselves and pursue our dreams. At last, I would like to extend best wishes to all of us again! Going forward, let us work together to embark on a new journey!
Executive Director & President of Yangtze Optical Fibre and Cable Joint Stock Limited Company