证券代码：838924 证券简称：广脉科技 公告编号：2023-032 广脉科技股份有限公司 2022 年年度报告业绩说明会预告公告 本公司及董事会全体成员保证公告内容的真实、准确和完整，没有虚假 记载、误导性陈述或者重大遗漏，并对其内容的真实性、准确性和完整性承 担个别及连带法律责任。 一、 说明会类型 广脉科技股份有限公司（以下简称"公司"）于 2023 年 4 月 17 日在北京 证券交易所官方信息披露平台（www.bse.cn）和中国证券网（www.cnstock.com） 披露了《2022 年年度报告》（公告编号：2023-012）及《2022 年年度报告摘要》 （公告编号：2023-013），为方便广大投资者更深入了解公司 2022 年年度经营 业绩的具体情况，公司拟召开 2022 年年度报告业绩说明会。 二、 说明会召开的时间、地点 （一）会议召开时间：2023 年 5 月 10 日（星期三）15:00-17:00。 （二）会议召开地点 本次年度报告业绩说明会将采用网络远程的方式举行，投资者可登陆全景 网"投资者关系互动平台"（https://ir.p5w.net）参与本次年报业绩说明会。 三、 ...

Financial Performance - Net profit attributable to shareholders increased by 512.28% to ¥4,632,150.27 for the first quarter of 2023[10] - Operating revenue rose by 5.21% to ¥55,011,742.41 in the first quarter of 2023 compared to the same period last year[10] - Total profit increased by 565.58% to ¥5,336,567.15, driven by higher operating profit[16] - Basic earnings per share increased by 500.00% to ¥0.06[11] - Net profit for Q1 2023 was ¥4,653,502.69, compared to ¥499,768.79 in Q1 2022, reflecting a year-over-year increase of approximately 831.5%[43] - The total comprehensive income for Q1 2023 was ¥4,653,502.69, significantly higher than ¥499,768.79 in Q1 2022[44] - Operating profit for Q1 2023 was ¥4,782,419.02, an increase of 108.5% from ¥2,298,651.91 in Q1 2022[46] Assets and Liabilities - Total assets decreased by 7.02% to ¥482,134,647.32 compared to the end of the previous year[10] - The company's total assets amounted to ¥482,134,647.32, a decrease from ¥518,553,347.46 as of December 31, 2022[34] - Total liabilities decreased to ¥224,316,750.54 as of March 31, 2023, from ¥259,717,904.59 at the end of 2022, a decline of approximately 13.6%[40] - Shareholders' equity increased to ¥261,011,541.35 as of March 31, 2023, compared to ¥256,758,892.06 at the end of 2022, an increase of about 1.0%[40] Cash Flow - Cash flow from operating activities improved by 41.70%, reaching -¥30,795,170.71[11] - The net cash flow from operating activities for Q1 2023 was -31,082,578.95 RMB, compared to -51,520,696.24 RMB in Q1 2022, showing an improvement[52] - Total cash inflow from operating activities was 82,698,979.92 RMB in Q1 2023, up from 70,554,794.03 RMB in Q1 2022, representing a growth of approximately 31.5%[53] - The cash flow from operating activities showed a decrease in cash outflow, improving from -51,520,696.24 RMB in Q1 2022 to -31,082,578.95 RMB in Q1 2023, indicating better operational efficiency[52] Investments and Expenses - Investment income rose by 59.92% to ¥53,136.98, attributed to increased maturity of financial products[15] - Research and development expenses for Q1 2023 amounted to ¥2,286,324.21, compared to ¥2,002,480.85 in Q1 2022, reflecting a growth of 14.2%[46] - The company reported a significant increase in credit impairment losses, which rose to ¥2,603,669.18 in Q1 2023 from ¥1,630,801.52 in Q1 2022[46] Shareholder Information - The total number of ordinary shares remained at 83,000,000, with no changes during the reporting period[22] - The largest shareholder, Zhao Guomin, holds 39.81% of the total shares, amounting to 33,045,591 shares[24] - The total number of shareholders with more than 5% ownership is 10, collectively holding 65.08% of the shares[25] - The total number of ordinary shareholders is 6,632, indicating a broad base of ownership[22] Operational Changes - The company halted new marketing for its card business, leading to an 83.22% decrease in sales expenses to ¥1,318,682.76[14] - There were no significant changes in accounting policies or errors reported during the period[21] - The company has not terminated any stock incentive plans during the reporting period[30] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[44] Miscellaneous - Government subsidies recognized in the current period amounted to 8,597.46 million, contributing positively to the financial results[19] - The company experienced a fair value change in financial assets and liabilities, contributing to the overall financial performance[20] - There were no significant litigation or arbitration matters during the reporting period[28]

Financial Performance - In 2022, the company achieved operating revenue of 341.70 million yuan, a year-on-year decrease of 9.57%[7] - The net profit attributable to shareholders was 14.92 million yuan, down 51.54% year-on-year[7] - The gross profit margin for 2022 was 22.76%, a decline from 33.19% in 2021[37] - The total assets at the end of 2022 were ¥518.55 million, a decrease of 2.88% from ¥533.96 million at the end of 2021[38] - The total liabilities at the end of 2022 were ¥264.82 million, down 5.68% from ¥280.76 million at the end of 2021[38] - The company's current ratio improved to 1.69 in 2022 from 1.67 in 2021[38] - The net cash flow from operating activities for 2022 was ¥25.31 million, a decrease of 27.98% compared to ¥35.14 million in 2021[40] - The weighted average return on equity for 2022 was 5.90%, down from 17.31% in 2021[37] - The basic earnings per share for 2022 was ¥0.18, a decline of 58.14% from ¥0.43 in 2021[37] - The company's total revenue for 2022 was RMB 341.70 million, primarily from information communication system integration, ICT industry applications, asset operation services, and digital content services[114] Business Strategy and Development - The company expanded its information communication system integration business to Guangdong and Heilongjiang, and its ICT industry application business to Shanghai, Sichuan, and Hubei, with a year-on-year increase in bid amounts of 66.85%[7] - In 2023, the company aims to enhance market and business development while increasing R&D investment to improve scale and profit levels[10] - The company is committed to becoming a full-service provider for operators, focusing on infrastructure construction and digital transformation[10] - The company is actively expanding into the smart home market, with products entering testing and marketing phases in 2023[8] - The company has shifted its business focus from digital content services to the smart home market, gradually stopping new SIM card marketing promotions since Q4 2022[17] - The company aims to enhance the integration of 5G technology in various sectors, including smart governance, transportation, and security, thereby improving urban management efficiency[67] - The company is focusing on the development of smart home applications, emphasizing core applications and partnerships with hardware manufacturers[131] - The company intends to increase R&D investment in the smart home market, focusing on key products to drive business growth[135] Risks and Challenges - The company has faced significant risks in its digital content services, with a notable decline in revenue due to market demand and policy changes[17] - The company has identified risks related to talent retention, particularly in a knowledge-intensive industry where skilled professionals are in high demand[19] - The company has acknowledged the risk of significant revenue decline in its digital content services due to competition from well-capitalized internet entrants[17] - The company is at risk of losing its high-tech enterprise status, which could increase its corporate tax rate from 15% to 25% if it fails to pass the review[140] - The company faces intensified market competition in the 5G sector, necessitating continuous innovation and improvement in service quality[141] Research and Development - The company has completed the "Community Micro-Brain Platform R&D Project" on schedule, achieving expected results[7] - The company is actively engaged in R&D for 5G network optimization and related applications, although there are risks associated with product development failures[19] - R&D expenses increased to ¥10,484,364.94, representing 3.07% of total revenue, up from 2.71% last year[78] - The company has successfully implemented a "Smart Campus IoT Management and Control Platform," enhancing the management level of digital campuses[112] Corporate Governance and Compliance - The company has established a risk management framework to mitigate potential governance and control risks associated with its major shareholder[143] - The company has implemented measures to strengthen its intellectual property rights to prevent infringement and unauthorized use[19] - The company is expanding its governance structure to meet the increasing demands of its growing business and compliance with listing requirements[17] - The company has established measures to ensure that no unfair benefits are transferred to other entities or individuals[199] Shareholder and Stock Management - The company has initiated a share buyback for employee equity incentives to foster growth and shared success[9] - The company approved a share repurchase plan on April 27, 2022, intending to buy back between 750,000 and 1,500,000 shares, representing 0.90%-1.81% of the total share capital[164] - As of November 28, 2022, the company repurchased 1,500,000 shares, which is 1.8072% of the total share capital, at a total cost of 9,896,631.40 CNY[167] - The company implemented a stock incentive plan in 2022, granting stock options to 12 core employees[157] Social Responsibility and Community Engagement - The company actively participated in poverty alleviation and rural revitalization efforts, contributing to regions such as Jiamusi City and Akto County[120] - The company contributed to COVID-19 prevention efforts by developing software and supporting isolation points during the pandemic[124] - The company maintained full salary payments to employees during pandemic-related lockdowns, ensuring no delays or reductions in compensation[121] - The company achieved ISO45001 certification for occupational health and safety management, emphasizing safety production and employee health[122]

Financial Performance - The company's operating revenue for 2022 was CNY 341,694,508.88, a decrease of 9.57% compared to the previous year[4] - Net profit attributable to shareholders was CNY 15,472,181.59, down 49.74% year-on-year[4] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 9,685,871.50, a decline of 65.46% compared to the previous year[4] - Basic earnings per share decreased to CNY 0.19, down 55.81% year-on-year[4] Assets and Equity - Total assets at the end of the reporting period were CNY 522,137,943.08, a decrease of 2.21% from the beginning of the period[6] - Shareholders' equity attributable to the company increased to CNY 253,503,168.03, a growth of 0.64% year-on-year[6] Revenue Challenges - The decline in net profit was primarily due to a 61% drop in revenue from the subsidiary Zhejiang Guangmai Internet Technology Co., Ltd. due to competition and logistics issues[7] - The high-margin railway business revenue is expected to decrease by 38% due to pandemic impacts[7] - The company faced increased labor costs and operational disruptions due to pandemic restrictions, affecting revenue collection[7] Financial Data Disclaimer - The preliminary financial data has not been audited and is subject to change in the final annual report[9]

Financial Performance - The net profit attributable to shareholders for the year 2022 is expected to be 15.47 million yuan, a decrease of 49.74% compared to 30.78 million yuan in the previous year[4]. - The revenue of the subsidiary Zhejiang Guangmai Internet Technology Co., Ltd. is expected to decline by 61% due to competition and logistics issues caused by the pandemic[6]. - The high-speed rail business revenue is anticipated to decrease by 38% due to changes in business structure and increased costs, impacting profit margins[6]. Operational Challenges - The company's human resource costs have been increasing annually, and some business areas were affected by pandemic lockdowns, leading to operational challenges[6]. - The peak revenue and payment period typically occurs at the end of the year, but in December 2022, the surge in infections post-pandemic restrictions delayed project acceptance and payment collection[6]. Caution for Investors - The performance forecast is based on preliminary calculations and has not been audited, thus investors are advised to exercise caution[7].

Financial Performance - Operating revenue for the first three quarters of 2022 was RMB 219,707,413.28, down 12.99% from RMB 252,512,384.45 in the same period of 2021[14] - Net profit attributable to shareholders for the first three quarters of 2022 was RMB 16,511,123.35, a decrease of 15.72% compared to RMB 19,590,932.18 in the previous year[14] - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 38.62% year-on-year, primarily due to a 51.49% decline in the marketing business of the subsidiary Guangmai Interconnect[17] - In Q3 2022, operating revenue increased by 11.47% to RMB 88,059,693.34 compared to RMB 78,997,746.61 in Q3 2021[15] - Net profit attributable to shareholders in Q3 2022 rose by 79.36% to RMB 11,610,490.79, compared to RMB 6,473,205.67 in the same quarter of the previous year[15] - Net profit for the first nine months of 2022 was RMB 19,093,190.61, compared to RMB 22,350,064.65 in the same period of 2021, showing a decrease of about 14.5%[46] - The company reported a total revenue of CNY 199,370,597.31 for the first nine months of 2022, down from CNY 208,279,334.03 in the same period of 2021, a decrease of 4.3%[49] - The company reported a total comprehensive income of CNY 11,557,116.97 for Q3 2022, compared to CNY 6,148,171.43 in Q3 2021, marking an increase of 88.5%[48] Assets and Liabilities - Total assets as of September 30, 2022, were RMB 521,241,309.53, a decrease of 2.38% compared to RMB 533,957,532.23 at the end of 2021[14] - The company's cash and cash equivalents decreased to ¥38,629,369.43 from ¥148,402,870.25 year-over-year[37] - The total current liabilities decreased to ¥231,053,515.67 from ¥249,248,824.97 year-over-year[39] - The company's total equity increased slightly to ¥255,281,728.80 from ¥253,196,364.16 year-over-year[39] - Total assets as of the latest reporting period amounted to ¥522,646,288.57, slightly down from ¥528,451,051.42 in the previous period[43] - Current liabilities decreased to ¥229,576,023.18 from ¥243,428,871.12, a reduction of approximately 5.7%[43] - Total liabilities decreased to ¥264,482,088.24 from ¥274,941,214.22, indicating a decline of about 3.8%[43] Cash Flow - The net cash flow from operating activities for the first three quarters of 2022 improved by 41.56% to RMB -29,484,343.65, compared to RMB -50,449,479.97 in the same period of 2021[19] - Operating cash inflow for the first nine months of 2022 was CNY 248,809,339.31, an increase from CNY 200,515,699.03 in the same period of 2021, representing a growth of approximately 23.9%[52] - Cash inflow from investment activities totaled CNY 130,360,279.86, significantly higher than CNY 34,079,194.20 in 2021, marking an increase of approximately 282.5%[53] - Cash outflow from investment activities was CNY 231,375,543.93, compared to CNY 50,890,401.50 in the same period last year, indicating a rise of about 354.5%[53] - Net cash flow from investment activities was -CNY 101,015,264.07, worsening from -CNY 16,811,207.30 in 2021[53] - Cash inflow from financing activities was CNY 73,000,000.00, up from CNY 27,000,000.00 in the previous year, reflecting an increase of approximately 170.4%[53] - Net cash flow from financing activities was CNY 22,687,359.04, compared to CNY 14,312,249.68 in 2021, showing an increase of about 58.5%[53] - The ending cash and cash equivalents balance for the first nine months of 2022 was CNY 34,816,904.62, a significant increase from CNY 8,352,239.19 in the same period of 2021[53] Shareholder Information - The total number of ordinary shares is 83,000,000, with 44.56% being unrestricted shares[23][24] - Major shareholders include Zhao Guomin with 39.81% and Zhao Shufei with 6.55% of shares[27] - The proportion of shares held by the top ten shareholders is 65.13%[27] - The company has not reported any litigation or arbitration matters during the reporting period[30] - There were no significant changes in the shareholding structure during the reporting period[23] - The company repurchased 1,499,540 shares, accounting for 1.8067% of the total share capital, with a total expenditure of ¥9,893,832.20[33] Employee Incentives - A stock option plan was approved, granting 810,000 options at a price of ¥5.8 per share to 12 core employees[32] - The company plans to repurchase between 750,000 and 1,500,000 shares for employee incentive purposes[32] Government Subsidies - The company received increased government subsidies during the reporting period, contributing to the rise in net profit in Q3 2022[17] - The company received government subsidies amounting to ¥4,705,391.86 related to normal business operations[21]

Business Performance - The company's operating revenue for the first half of 2022 was CNY 131.65 million, a decrease of 24.13% compared to CNY 173.51 million in the same period last year[29]. - The net profit attributable to shareholders for the first half of 2022 was CNY 4.90 million, down 62.64% from CNY 13.12 million in the previous year[29]. - The gross profit margin decreased to 29.60% from 34.14% year-on-year[29]. - The company reported a significant decline in the net profit growth rate of 66.39% compared to a growth of 17.46% in the previous year[31]. - The company's cash flow from operating activities showed a net outflow of approximately CNY 49.96 million, a decline of 28.11% from the previous year[66]. - The company's total profit decreased by 66.45% year-over-year to 5,530,686.87 yuan, reflecting the decline in operating profit[57]. - The company reported a total comprehensive income of ¥4,528,994.82 for the first half of 2022, compared to ¥13,272,124.88 in the same period of 2021[193]. Project and Contract Achievements - In the first half of 2022, the company won bids for 11 projects in the system integration business, including significant contracts with Zhejiang Unicom and Shanghai Unicom[5]. - The ICT industry application business secured 23 projects, including major initiatives like the Ningxia section of the Zhonglan Railway and the Ganshen High-speed Railway[5]. - The company completed a capital increase, raising its registered capital from CNY 69 million to CNY 83 million in January 2022[25]. Financial Position and Ratios - The total assets at the end of the reporting period were CNY 527.28 million, a slight decrease of 1.25% from CNY 533.96 million at the end of the previous year[30]. - The company's debt-to-asset ratio increased to 53.00% from 52.58% year-on-year[30]. - The company's cash and cash equivalents decreased by 75.84% from CNY 148.4 million at the end of the previous year to CNY 35.9 million[49]. - The company's inventory increased by 37.01% from CNY 41.4 million to CNY 56.7 million, reflecting a strategic buildup of resources[49]. - The company's accounts receivable turnover rate dropped to 0.56 from 0.92 year-on-year[30]. Risks and Challenges - The company faces risks related to business concentration, primarily in the East China region, which could impact performance if investment scales decline[12]. - The company is at risk of losing its high-tech enterprise status if it fails to pass the re-examination before the certificate expires, which could increase its corporate tax rate from 15% to 25%[12]. - The company is facing risks related to talent acquisition and retention in a competitive market, emphasizing the need for a strong corporate culture and competitive compensation[81]. Governance and Corporate Structure - The actual controller of the company, Zhao Guomin, holds a 39.81% stake, indicating concentrated ownership which could lead to governance risks[13]. - The company has established a governance structure that requires ongoing improvement to adapt to its expanding business scope and operational scale[13]. - The company has strengthened internal management by establishing a more robust backend management support department and business line management structure, leading to improved governance and reduced risks[84]. Shareholder Commitments and Transactions - The company has implemented a share buyback program, indicating a commitment to returning value to shareholders[87]. - The company plans to repurchase shares using its own funds to implement an equity incentive plan, with a maximum repurchase price set at 12.50 CNY per share[93]. - The controlling shareholder has committed to maintaining the company's independence in assets, personnel, finance, business, and organization[104]. Research and Development - The company is investing in R&D for new products and technologies, with a focus on 5G applications to enhance its competitive edge in the market[81]. - Research and development expenses for the first half of 2022 were ¥3,979,861.51, slightly decreased from ¥4,087,678.41 in the first half of 2021[192]. Compliance and Regulatory Matters - The company has implemented ISO45001 for occupational health and safety management, ensuring compliance with safety production standards and conducting regular safety inspections[76]. - The company has implemented ISO14000 for environmental management, committing to pollution prevention and sustainable development practices[79]. - There are no significant litigation or arbitration matters reported during the reporting period[88].

Financial Performance - Operating revenue for Q1 2022 was CNY 52,286,800.70, down 19.06% from CNY 64,596,457.24 in Q1 2021[14] - Net profit attributable to shareholders for Q1 2022 was CNY 756,546.93, a decline of 66.38% compared to CNY 2,250,311.61 in the same period last year[14] - Basic earnings per share for Q1 2022 were CNY 0.01, down 66.67% from CNY 0.03 in Q1 2021[14] - The total comprehensive income for Q1 2022 was CNY 499,768.79, significantly lower than CNY 2,349,629.17 in Q1 2021, indicating a decrease of approximately 78.7%[45] - Operating revenue for Q1 2022 was CNY 45,245,392.83, down from CNY 54,674,449.48 in Q1 2021, representing a decline of about 17.5%[46] Cash Flow - The company's net cash flow from operating activities for Q1 2022 was negative CNY 52,824,865.96, compared to negative CNY 48,503,183.33 in Q1 2021, reflecting an 8.91% increase in cash outflow[14] - Net cash outflow from operating activities was -$51,520,696.24 in Q1 2022, compared to -$39,562,279.04 in Q1 2021, indicating a decline in cash flow performance[54] - Total cash outflow from operating activities was $122,075,490.27 in Q1 2022, up from $101,593,331.23 in Q1 2021, reflecting a rise of about 19.9%[54] Assets and Liabilities - Total assets as of March 31, 2022, were CNY 509,870,619.99, a decrease of 4.51% compared to CNY 533,957,532.23 at the end of 2021[14] - The company's total liabilities were CNY 256,174,487.04, compared to CNY 280,761,168.07 at the end of the previous year[37] - The company's asset-liability ratio (consolidated) as of March 31, 2022, was 50.24%, down from 52.58% at the end of 2021[14] - Current assets totaled CNY 365,686,601.42, down from CNY 416,062,562.37 in the previous period[36] Shareholder Information - The total number of ordinary shares was 83 million, with 41.63% being unrestricted shares[23] - The largest shareholder, Zhao Guomin, holds 39.81% of the shares, totaling approximately 33.05 million shares[25] - The company has a total of 8,427 ordinary shareholders[24] Research and Development - Research and development expenses increased to CNY 2,002,480.85 in Q1 2022 from CNY 1,815,816.62 in Q1 2021, marking an increase of about 10.3%[47] Financing Activities - The company raised CNY 46,000,000.00 through borrowings in Q1 2022, compared to CNY 16,000,000.00 in Q1 2021, indicating a growth of 187.5% in financing activities[51] - The company reported a significant increase in interest expenses, which rose to CNY 785,923.30 in Q1 2022 from CNY 171,671.56 in Q1 2021, indicating a rise of about 357.5%[47] Tax and Impairment - The company’s income tax expense for the reporting period was approximately 0.11 million, up from 0.09 million in the previous period[20] - The company reported a credit impairment loss of approximately -0.51 million, compared to -0.42 million in the previous period[20] Other Financial Metrics - The weighted average return on equity based on net profit attributable to shareholders was 0.30% for Q1 2022, down from 1.46% in Q1 2021[14] - Non-recurring gains and losses for the period totaled CNY 53,618.74, with a net amount after tax of CNY 45,559.12[17]

Business Expansion and Projects - In 2021, the company won bids for 32 system integration projects, including significant contracts with China Mobile for communication engineering services in Zhejiang[5]. - The ICT industry application business secured 50 projects, including a major event communication guarantee service for the Hangzhou Asian Games in collaboration with Huawei[5]. - The company is actively expanding its business beyond the East China region to mitigate risks associated with customer concentration[12]. - The company has been awarded multiple projects in asset operation services, including public safety and communication site resource services[5]. - The company plans to enhance its market presence by entering new regions, targeting a 15% market share increase in the next fiscal year[21]. - GCOM has established partnerships with major telecom operators, which is expected to boost service adoption rates by 40% in the next year[21]. - The company aims to deepen its existing market presence and enhance delivery capabilities to increase customer satisfaction and loyalty, targeting a higher market share across all business areas[140]. - The company plans to secure 3-4 new high-speed rail projects in 2022, expanding its market share in this segment and enhancing brand reputation[145]. Financial Performance - The company reported a significant growth in revenue, with a year-on-year increase of 25% in the ICT industry applications segment[21]. - The company’s total revenue for 2021 was CNY 377,863,523.72, representing a year-over-year increase of 13.56% compared to CNY 332,729,931.38 in 2020[34]. - The net profit attributable to shareholders for 2021 was CNY 30,782,409.64, a slight increase of 1.59% from CNY 30,299,901.80 in 2020[34]. - The company's gross profit margin improved to 33.19% in 2021, up from 27.06% in 2020[34]. - The company reported a net profit growth rate of 0.64% in 2021, significantly lower than the 155.39% growth rate in 2020[39]. - The company achieved operating revenue of ¥377,863,523.72, representing a year-on-year growth of 13.56%[58]. - The company’s capital reserve increased by 165.12% to ¥87,689,726.22, reflecting strong financial health[68]. - The company reported a total comprehensive income of ¥30,847,075.78 for the period, compared to ¥30,093,540.50 in the previous year[49]. Research and Development - The company aims to enhance its design and R&D capabilities to meet increasing customer demands in the competitive telecommunications market[13]. - GCOM is investing in the development of new technologies, particularly in 5G infrastructure, with an expected budget allocation of 50 million RMB for R&D in 2022[21]. - The company has completed part of its 5G application scenario and digital governance platform R&D projects during the reporting period, but faces risks in scaling these into sales revenue[14]. - The total number of patents owned by the company increased from 28 to 30 during the reporting period[104]. - R&D expenditure for the period was ¥10,254,075.91, representing 2.71% of total revenue, a slight decrease from 2.94% in the previous year[102]. Market Trends and Opportunities - The market size for 5G-related industries is expected to grow from ¥760 billion in 2020 to ¥3.8 trillion by 2025, with a compound annual growth rate of 30.80%[62]. - The company’s information communication system integration and asset operation services are positioned to significantly benefit from the 5G "deep coverage" construction phase[131]. - The investment scale for smart city technology in China is expected to exceed $40 billion by 2023, with a compound annual growth rate of approximately 14.87% from $20 billion in 2018[133]. - The smart city market in China reached approximately 14.9 trillion yuan in 2020, projected to grow to 25 trillion yuan by 2022[133]. - The number of mobile SIM cards in China is projected to grow from 1.66 billion in 2020 to 1.73 billion by 2025, indicating a stable growth trend[137]. Corporate Governance and Compliance - The company has established a sound internal control system to adapt to its current stage of development and ensure effective governance[152]. - The company has taken steps to improve its governance structure and internal controls in response to the increasing demands following its listing on the Beijing Stock Exchange[152]. - The company has committed to ensuring that its public offering documents do not contain false records or misleading statements[171]. - The company has completed commitments regarding non-competition from shareholders and management, ensuring no conflicts of interest[170]. - The company has reported that all public commitments made during its IPO process are being honored[175]. Risk Management - The company has established a data security system to manage risks related to data misuse and personal privacy in its internet services[15]. - The company’s actual controller holds a 39.81% stake, indicating a concentrated ownership structure that could impact decision-making[12]. - The company is exploring potential mergers and acquisitions to enhance its service offerings and market reach, with a focus on complementary technology firms[21]. - The company has implemented measures to enhance personnel management, including competitive compensation and performance systems to attract and retain high-quality professionals[151]. Social Responsibility and Employee Welfare - The company actively participated in poverty alleviation projects, contributing to local development initiatives[121]. - The company emphasized employee rights protection and implemented various training programs to enhance workforce stability[122]. - The company has established a safety management system and regularly conducts safety inspections to ensure employee health and safety[123]. - The company formed a labor union to safeguard employee rights and facilitate communication between management and staff[124]. - The company has achieved ISO9000 quality management system certification and has implemented long-term quality management mechanisms to ensure high service quality[125].