Incentives and Performance Targets - The company granted incentives to certain directors and employees to subscribe for 145,460,000 shares at a price of HKD 5.08 per share[1] - The performance targets for the share incentives are related to the company's financial parameters, including revenue and profit[1] - Non-financial parameters such as strategic goals and operational objectives are also part of the performance criteria for the incentives[1] Supplementary Information - The company maintains that the supplementary information does not affect other data in the 2023 annual report[2]

Investment Rating - The report maintains a "Buy" rating for China Software International (0354.HK) [2] Core Insights - The company reported a revenue of 7.926 billion RMB for the first half of 2024, a year-on-year decline of 6.2%, primarily due to reduced demand from core clients in 2023 [1] - Gross profit for 1H24 was 1.831 billion RMB, with a gross margin of 23.1%, down 0.6 percentage points year-on-year [1] - Net profit for 1H24 was 285 million RMB, reflecting an 18.6% year-on-year decline, with a net margin of 3.6% [1] - The company is focusing on AI-driven innovations and aims to become a comprehensive AI software and service provider, enhancing collaboration with leading clients across various industries [1] - Cloud intelligence revenue increased to 42.5% of total revenue, with a 2% year-on-year growth in cloud intelligence business revenue [1] Summary by Sections Financial Performance - Revenue for 1H24 was 7.926 billion RMB, down 6.2% year-on-year [1] - Gross profit was 1.831 billion RMB, with a gross margin of 23.1% [1] - Net profit was 285 million RMB, down 18.6% year-on-year [1] Business Development - The company is enhancing its AI capabilities, focusing on natural language processing, computer vision, and predictive applications [1] - It has expanded its international business, particularly in the Middle East and Southeast Asia, collaborating with global partners like Huawei [1] Emerging Business Segments - Cloud intelligence revenue reached 33.68 billion RMB, accounting for 42.5% of total revenue [1] - The company is actively developing its ERP services and has launched several projects in key industries [1] Profit Forecast and Valuation - The net profit forecast for 2024 and 2025 has been adjusted to 720 million RMB and 870 million RMB, respectively, reflecting a decrease of 36% and 37% [1] - The company has conducted share buybacks totaling nearly 260 million shares over two years, indicating confidence in long-term growth [1]

香港交易及結算所有限公司及香港聯合交易所有限公司對本公佈之內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公佈全部或任 何部份內容而產生或因倚賴該等內容而引致之任何損失承擔任何責任。 概要 截至二零二四年上半年業績 截至六月三十日止六個月 二零二四年 二零二三年 損益表概要 （未經審核） （未經審核） 變化 人民幣千元 人民幣千元 % 收入 7,926,183 8,450,060 (6.2%) 服務性收入 7,647,920 8,295,751 (7.8%) 本期溢利 285,353 350,687 (18.6%) 本公司擁有人應佔溢利 285,720 351,028 (18.6%) 每股基本盈利（人民幣分） 10.93 12.44 (12.1%) • 董事不建議就截至二零二四年六月三十日止六個月派發中期股息。 CHINASOFT INTERNATIONAL LIMITED 中軟國際有限公司 * （於開曼群島註冊成立之有限公司） （股份代號：354） 截至二零二四年六月三十日止六個月 中期業績公告 • 本公司不會暫停辦理過戶登記手續。 1 管理層討論與分析 主要運營資料 於二零二四年 ...

Financial Performance - In 2023, the company achieved revenue of RMB 17.12 billion, marking a significant growth of 400 times since its inception[5]. - The net profit margin improved by 0.4% to reach 4.2%, despite a decrease in business scale[5]. - The company reported a gross profit of RMB 4,003,076 thousand, a decrease of 13.0% year-on-year[59]. - The company's revenue for 2023 was RMB 17,116,894 thousand, a decrease of 14.4% compared to RMB 20,005,171 thousand in 2022[72]. - Service revenue for 2023 was RMB 16,631,560 thousand, down 14.7% from RMB 19,489,625 thousand in 2022[72]. - The group reported a net profit of RMB 712,667 thousand in 2023, down 6.1% from RMB 758,829 thousand in 2022, with the profit margin increasing to 4.2% from 3.8%[82]. - The total revenue for the group in 2023 was RMB 17,116,894 thousand, a decrease of 14.4% from RMB 20,005,171 thousand in 2022[83]. - The group maintained a cash balance of RMB 5,088,641 thousand in 2023, slightly down from RMB 5,112,410 thousand in 2022, with a current ratio of 4.4 compared to 3.8 in 2022[81]. - The company achieved a compound annual growth rate (CAGR) of 26.1% in revenue and 32.7% in service revenue since its listing in 2003[62]. Strategic Initiatives - The company launched the SP304 strategic plan, focusing on "embracing the AIGC industrial revolution" and enhancing productivity through AI applications[5]. - The company established the JointPilot platform and the AIGC Research Institute to develop AI-native application capabilities and reduce development barriers[6]. - A strategic cooperation agreement was signed with Huawei to create joint solutions for government and enterprise clients, focusing on AI applications[7]. - The company aims to enhance its capabilities in various sectors, including finance, government, and manufacturing, through integrated AI solutions[7]. - The establishment of the AIGC Research Institute focuses on building a large model application ecosystem, enhancing collaboration with clients, universities, and research institutions to drive innovation in the AIGC field[15]. - The company aims to enhance its overseas service system and compliance construction to provide superior products and services globally[11]. - The company is actively involved in setting industry standards for large model applications in collaboration with various institutions, contributing to the establishment of several industry standards[22]. Market Expansion - The company is expanding its market presence in key regions such as Beijing, Guangdong, Jiangsu, and Sichuan[5]. - The company has expanded its overseas business in Southeast Asia and the Middle East, establishing local project delivery capabilities in the UAE and Saudi Arabia[11]. - The company is expanding its market presence in overseas regions such as Singapore, Malaysia, Thailand, UAE, Saudi Arabia, and Chile, aiming to establish a global IT influence[14]. - The company has achieved nearly 100% renewal rate with existing clients while expanding its market presence to cover over 50 big data bureaus across 25 cities[21]. - The company has successfully completed 7 first-level labels and 12 second-level labels certifications in CTSP professional services, ranking first among partners[39]. Research and Development - The company has over 35,000 certified HarmonyOS developers, ranking first in the ecosystem[8]. - The company launched a financial HarmonyOS native technology development platform, winning multiple significant development projects in the financial sector[26]. - The company has developed a comprehensive domestic self-research IoT product matrix in the water conservancy industry and implemented the first domestic "Harmony Tunnel" solution in the transportation sector[8]. - The company has developed a distributed microservice architecture platform, TOPLINK 5.0, supporting various domestic software systems[41]. - Research and development costs decreased by 12.9% year-on-year, reflecting ongoing investment in innovation[59]. Corporate Governance - The company emphasizes the importance of corporate governance for its success and has implemented various measures to maintain high standards[88]. - The board consists of a mix of executive, non-executive, and independent directors, ensuring diverse expertise and experience[89]. - The company has adhered to the corporate governance code, with the board confirming compliance for the year ending December 31, 2023, except for certain attendance issues at the annual general meeting[88]. - The company has established a risk management and compliance system overseen by the board of directors[185]. - The company has a zero-tolerance policy towards violations of business ethics and has implemented strict internal policies to regulate employee conduct[185]. Environmental, Social, and Governance (ESG) - The company is committed to corporate social responsibility (CSR) by aligning with SA8000 standards and actively engaging in green innovation practices[110]. - The company is focused on digital empowerment for low-carbon development and green transformation in industries[163]. - The ESG governance structure includes a three-tier system with the board of directors, an ESG working committee, and various operational groups to ensure effective implementation of ESG strategies[178]. - The company has established an ESG working committee to oversee key ESG issues and ensure alignment with corporate strategy[162]. - The company promotes integrity in procurement processes and collaborates with suppliers to establish integrity clauses in contracts[185]. Client Engagement and Service Quality - The company provided services for 3,723 projects to over 1,500 government and enterprise clients, generating a Gross Transaction Value (GTV) of 14.4 billion RMB during the reporting period[21]. - The group achieved a customer suggestion handling rate of 91.60% in 2023, with a Net Promoter Score (NPS) of 71%, reflecting a year-on-year increase of 5.4%[198]. - The group has established a customer complaint handling mechanism to improve service quality based on feedback[125]. - The company has optimized customer service through an official consultation platform and regular communication with clients, ensuring timely resolution of issues[197]. Awards and Recognition - The company has been recognized as the largest software enterprise in China and ranked 73rd among global IT service providers by Gartner[5]. - The company received multiple awards from Huawei, including the Gold Supplier Award for 2023 in China[56]. - The company was recognized as an excellent contributor at the openGauss Summit 2023 and launched several new tools, including SQL audit tools and database performance monitoring tools[52]. - The company received multiple awards, including "Best IR Team" and "Best Hong Kong Stock Connect Company" at the 8th Zhitong Finance Listed Company Awards[189].

Investment Rating - The report assigns an "Outperform" rating to the company [1]. Core Insights - The company's computing power scheduling platform is positioned as a crucial driver for digital economic transformation, with significant growth potential and returns [4][7]. - The collaboration with Huawei has led to the launch of various AI products, enhancing the company's competitive edge in the AI sector [13][20]. - The company is expected to experience substantial revenue growth, with projected revenues of 213.37 billion, 257.90 billion, and 297.54 billion yuan for 2024, 2025, and 2026 respectively [21][23]. Summary by Sections Investment Rating - The company is rated as "Outperform" with a target price range of 6.83 to 8.54 HKD based on a dynamic PE of 20-25 times for 2024 [4][21]. Financial Performance - The company’s projected net profits for 2024, 2025, and 2026 are 918 million, 1.154 billion, and 1.389 billion yuan respectively, with corresponding EPS of 0.32, 0.40, and 0.48 yuan [5][21]. - The revenue for 2023 is expected to be 171.17 billion yuan, reflecting a year-on-year decrease of 14% [5][23]. Computing Power Scheduling Platform - The computing power scheduling platform is essential for managing diverse computing resources and optimizing their utilization across various business scenarios [4][8]. - The platform includes three core components: the computing power access management center, the computing power orchestration scheduling center, and the computing power operation center [9][11]. Collaboration with Huawei - The company has deepened its partnership with Huawei, resulting in the introduction of numerous AI products, including the AIGC model factory and various large model services [13][20]. - The collaboration aims to enhance the efficiency of model training and application development, addressing the challenges faced by enterprises in deploying large models [14][19]. Future Outlook - The company is well-positioned to benefit from the growing demand for AI and computing power solutions, with expectations of significant growth in the digital economy [12][21]. - The report emphasizes the importance of the company's innovative solutions in driving digital transformation across various industries [12][20].

Financial Performance - Total revenue for the year ended December 31, 2023, was RMB 17,116,894 thousand, a decrease of 14.4% compared to RMB 20,005,171 thousand in 2022[2]. - Service revenue for the same period was RMB 16,631,560 thousand, down 14.7% from RMB 19,489,625 thousand in the previous year[2]. - Annual profit attributable to shareholders was RMB 713,394 thousand, reflecting a decline of 6.1% from RMB 759,441 thousand in 2022[2]. - Basic earnings per share decreased by 0.9% to RMB 25.88 from RMB 26.11 in the prior year[2]. - Gross profit for the year was RMB 4,003,076 thousand, down from RMB 4,600,170 thousand in 2022[4]. - Total comprehensive income for the year was RMB 706,486 thousand, compared to RMB 756,900 thousand in the previous year[5]. - Revenue from the Technology Professional Services segment was RMB 15,020,564 thousand in 2023, down from RMB 17,930,401 thousand in 2022, representing a decline of 16.4%[13]. - Revenue from the Internet Information Technology Services segment increased slightly to RMB 2,096,330 thousand in 2023 from RMB 2,074,770 thousand in 2022, a growth of 1.0%[13]. - The gross profit for 2023 was RMB 4,003,076 thousand, a decline of 13.0% from RMB 4,600,170 thousand in 2022, with a gross margin of 23.4%[41]. - The group achieved a net profit of RMB 712,667 thousand in 2023, a 6.1% decrease from RMB 758,829 thousand in 2022, with a profit margin of 4.2%[50]. Dividends and Shareholder Returns - The board proposed a final dividend of HKD 0.0811 per share for the year ended December 31, 2023[2]. - The company declared a final dividend of HKD 0.0811 per share for the year ending December 31, 2023, an increase from HKD 0.0567 in 2022[17]. - The board proposed a final dividend of HKD 0.0811 per ordinary share for the fiscal year ending December 31, 2023, subject to shareholder approval[62]. Assets and Liabilities - Non-current assets increased to RMB 4,122,341 thousand from RMB 3,364,263 thousand in 2022[6]. - Total liabilities increased to RMB 2,338,700 thousand from RMB 1,276,708 thousand in the previous year[7]. - Total equity attributable to shareholders decreased to RMB 11,742,461 thousand from RMB 12,109,765 thousand in 2022[7]. - Trade receivables (net of provisions) were RMB 5,304,724 thousand in 2023, a decrease from RMB 5,469,959 thousand in 2022, representing a decline of 3.0%[19]. - The aging analysis of trade receivables showed that RMB 4,019,768 thousand was within 90 days, down from RMB 4,384,078 thousand in 2022, a decrease of 8.3%[21]. - Total liabilities decreased to RMB 1,662,625 thousand in 2023 from RMB 2,043,359 thousand in 2022, a reduction of 18.6%[21]. - The group reported a current ratio of 4.4 in 2023, an increase from 3.8 in 2022, indicating improved liquidity[49]. Operational Highlights - The number of active customers in 2023 was 2,191, with 182 large customers contributing service revenue greater than RMB 6 million[31]. - The company’s top five customers accounted for 61.7% of total service revenue, while the top ten customers contributed 70.4%[31]. - The total number of employees at the end of 2023 was 69,976, a decrease of 14.8% from 82,140 at the end of 2022[33]. - The company is actively expanding its overseas business, achieving rapid growth in Hong Kong and establishing project delivery capabilities in the Middle East[26]. - The company has strengthened its partnerships with major banks and financial institutions, expanding cooperation in various financial sectors[27]. - The company has made breakthroughs in smart water and smart transportation solutions based on open-source Hongmeng technology[25]. - The company is focusing on a "platform + service" model in the ERP sector, enhancing its consulting services in key industries[25]. - The company has successfully maintained its leading position in cloud migration and development services, ranking first in these segments[26]. Strategic Initiatives - The company aims to become a global leader in technology-based IT services, leveraging core technologies and enhancing service capabilities[28]. - The group aims to enhance profit margins through a "1+3" strategic layout, focusing on high-margin service business and software-hardware product transformation[42]. - The establishment of the AIGC Research Institute aims to enhance joint innovation in the AIGC field, focusing on large model applications and solutions[24]. - The company has launched the JointPilot AI application platform to provide integrated AI application solutions for clients and ISVs[24]. - The company plans to expand into new markets including Singapore, Malaysia, Thailand, UAE, Saudi Arabia, and Chile[32]. - The company plans to allocate approximately HKD 7.88 billion for the development of full-stack cloud intelligent products and solutions, with about HKD 6.57 billion specifically for R&D and related investments[55]. - The company intends to invest in the development of the HarmonyOS and OpenHarmony hardware and software products, with a significant portion of the funds allocated for this purpose[55]. Corporate Governance - The audit committee reviewed and approved the financial statements for the fiscal year, ensuring compliance with accounting standards[61]. - The company has adopted various measures to ensure high standards of corporate governance, complying with the corporate governance code[56]. - The company will suspend share transfer registration from May 14 to May 20, 2024, to determine eligibility for voting at the annual general meeting[63]. - The annual general meeting is scheduled for May 20, 2024, at 2 PM[65]. - The annual report will be published in both Chinese and English, with the Chinese version prevailing in case of discrepancies[65]. - Financial reports prepared in accordance with international financial reporting standards will be available in English[65]. - The annual report will include all information required by the listing rules appendix 16 and will be sent to shareholders in due course[65]. Research and Development - R&D expenditure for 2023 was RMB 1,078,296 thousand, a decrease of 12.9% from RMB 1,238,035 thousand in 2022, with an R&D cost ratio of 6.3%[46].

Share Incentive Plan - The share incentive plan granted a total of 130,349,000 shares during the year, with 101,123,000 shares remaining unexercised as of December 31, 2022[2] - The company reported a total of 87,629,000 shares granted to other employees during the year, with 74,703,000 shares remaining unexercised[2] - The share incentive plan does not have any applicable plan authorization or service provider sub-limits[4] Compensation - The five highest-paid individuals in the company received a total of 36,960,000 shares, with 11,000,000 shares granted to the executive director Chen Yuhong[2][3] Governance Structure - The board of directors includes three executive directors and three independent non-executive directors, ensuring a diverse governance structure[5]

[0 -> 19] 然后我们接下来是中国忍者国际进行录演及投资者交流时长40分钟,有请中忍国际。大家好,我是中忍国际的陈怡妮丹妮。那很感谢大家今天来参加我们的这样一个交流会。那么因为我们公司最近也是 [25 -> 50] 我們公司最近也是剛推出中期的一個業績首先我們會先就我們公司大致的情況還有就我們公司中期的業績做個簡單的回顧以及介紹中人國際是在2000年成立的大型軟件信息技術服務公司我們是在2003年的時候在港股上市的 [52 -> 58] 下雨了吗对对对 [59 -> 87] 然後成立那麼多年以來其實我們整體營收都是保持在接近30%的高速增長那麼我們主要的業務是分成兩個大的板塊一個是我們的基石業務也就是大家理解的這種比較傳統的軟件外包服務那麼這一塊主要我們的服務對象是包括像是華為、匯豐、騰訊等等這一種行業的聯通企業客戶 [87 -> 111] 去给他们提供这种软件信息技术服务那么另外一方面呢也就是我们称为的新兴业务这一块呢主要是包括像是云智能业务然后鸿蒙业务 汉语IP然后智能汽车等等的这一系列的现在市场上面比较关注的这种新型的一些业务那么 [111 -> 133] 就是整體來看其實2022年以及2023年 ...

Financial Performance - For the first half of 2023, the company reported revenue of RMB 8,450.06 million, a decrease of 15.7% compared to RMB 10,025.28 million in the same period of 2022[4]. - Service revenue for the same period was RMB 8,295.75 million, down 15.5% from RMB 9,820.49 million year-on-year[4]. - The net profit for the first half of 2023 was RMB 350.69 million, representing a decline of 38.6% from RMB 570.88 million in the previous year[4]. - Basic earnings per share decreased by 36.6% to RMB 12.44 from RMB 19.62 in the same period last year[4]. - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2023[4]. - The company achieved a net profit margin of 4.2% during the reporting period, indicating a healthy business development despite the revenue decline[6]. - The company reported a profit for the period of RMB 350,687 thousand, down from RMB 570,880 thousand in the first half of 2022[140]. - The company’s total assets as of June 30, 2023, were RMB 14,430,156 thousand, an increase from RMB 13,411,499 thousand at the end of 2022, reflecting a growth of about 7.6%[165]. - The company reported a foreign exchange loss of RMB (3,266) thousand from overseas operations, compared to a gain of RMB 1,743 thousand in the previous year[163]. Strategic Partnerships and Collaborations - The company signed a cooperation agreement with Huawei Cloud for the Pangu model, becoming a strategic partner and receiving the "Pangu Model Technology Leader" award[8]. - The company is actively collaborating with Huawei to develop a core business system that is self-controllable, efficient, and secure, focusing on "extremely simple architecture, extremely high quality, extremely low cost, and extremely superior experience"[14]. - The company has established a strong partnership with Huawei Cloud, binding 10% of its capabilities to enhance advanced cloud digital transformation consulting and system integration services[15]. - The company has established a deep collaboration with Huawei and China Mobile Hong Kong, becoming one of the qualified suppliers for the Hong Kong government's IT services over the next four years[24]. - The company has signed strategic partnerships with NetEase and Zhujian Intelligent Technology to explore AIGC and low-code applications[32]. - The company has established 13 joint innovation centers with Huawei, focusing on software development, industrial internet, and AI capabilities[69]. Technological Innovations and Developments - The company has launched the JointPilot AI platform, integrating with Huawei's Pangu model and AI cloud services, focusing on industry application services[8]. - The company has introduced AIGC technology to enhance operational efficiency and quality, aiming to build a healthy profitability model through process optimization and automation[21]. - The company has developed a self-research voice recognition assistant for digital witnessing in bidding processes, ensuring the authenticity of transaction data[30]. - The company has launched the JointPilot AI application platform, which integrates various model capabilities and data governance to provide comprehensive AI solutions for government and enterprise clients[28]. - The company has developed an enterprise-level server operating system "Pan Shi" based on the openEuler community version, which simplifies system migration and significantly reduces costs[95]. - The company has developed a digital content review system that covers all service types, ensuring excellent SLA performance across various business areas[100]. Market Expansion and Global Presence - The company has expanded its services into Southeast Asia, the Middle East, and Latin America, covering markets such as Singapore, Malaysia, Thailand, Indonesia, and India, and has become the IT service provider for Kenagan Bank[24]. - The company aims to strengthen its global IT influence by establishing an overseas sales service platform and expanding its market presence[24]. - The company is focusing on expanding its presence in Southeast Asia and the Middle East, aiming to enhance its global IT influence[135]. - The company has established a comprehensive digital transformation service for 47 countries globally, leveraging partnerships with major clients such as Huawei, Tencent, and Alibaba[135]. Operational Efficiency and Cost Management - The company aims to enhance efficiency and quality through integrated financial and operational projects while increasing the proportion of high-margin and high-output businesses[143]. - The company plans to accelerate the deployment of AIGC and AIOT industries to improve service and product competitiveness[143]. - The company has committed to a high-quality closed-loop management system to enhance execution efficiency and investment effectiveness[26]. - The company has implemented a one-stop service model for digital transformation, receiving high praise from customers and product partners[60]. Employee and Financial Management - The total number of employees decreased by 19.9% year-on-year to 72,937 as of June 30, 2023, primarily due to business fluctuations and strategic transformation[136]. - Employee compensation for the six months ended June 30, 2023, was approximately RMB 7,199,889,000, up from RMB 8,598,009,000 in the same period of 2022[198]. - The company’s interest expenses for borrowings increased to RMB 77,399,000 in the first half of 2023, compared to RMB 42,244,000 in the same period of 2022[181]. - The company’s total borrowings amounted to RMB 4,060,175,000, a significant increase from RMB 1,928,531,000 as of December 31, 2022, reflecting a growth of approximately 110.5%[83][195]. Industry Engagement and Standards - The company has become a leading participant in the construction of the digital RMB system, winning multiple bids for digital RMB projects with various banks[72]. - The company is focusing on optimizing data applications in railway and water transport sectors, enhancing digital transformation efforts in ports like Ningbo-Zhoushan[82]. - The company has received recognition as a top-level partner in the healthcare sector with Huawei, serving numerous hospitals domestically and internationally[89]. - The company is actively involved in green finance, providing products for financial institutions to support their green transformation efforts[75].

Financial Performance - Revenue for the first half of 2023 was RMB 8,450,060 thousand, a decrease of 15.7% compared to RMB 10,025,275 thousand in the same period of 2022[3] - Service revenue decreased by 15.5% to RMB 8,295,751 thousand from RMB 9,820,494 thousand year-on-year[2] - Net profit for the period was RMB 350,687 thousand, down 38.6% from RMB 570,880 thousand in the previous year[3] - Basic earnings per share decreased by 36.6% to RMB 12.44 from RMB 19.62 year-on-year[3] - The company achieved a gross profit of RMB 2,001,135 thousand in the first half of 2023, with a gross margin of 23.7%, compared to RMB 2,481,725 thousand and a gross margin of 24.8% in the same period of 2022[15] - The company reported a pre-tax profit of RMB 342,373 thousand for the first half of 2023, representing a margin of 4.1%, down from 6.1% in the same period of 2022[15] - Gross profit for the first half of 2023 was RMB 2,001,135 thousand, a decline of 19.4% from RMB 2,481,725 thousand in the same period of 2022, resulting in a gross margin of 23.7%[19] - Other income decreased by 24.0% to RMB 143,660 thousand in the first half of 2023, compared to RMB 188,917 thousand in the same period of 2022[20] - The net profit for the first half of 2023 was RMB 350,687 thousand, a decrease of 38.6% from RMB 570,880 thousand in the first half of 2022, with a profit margin of 4.2%[27] - The basic earnings per share for the first half of 2023 was approximately RMB 12.44, down 36.6% from RMB 19.62 in the same period of 2022[27] Dividends and Shareholder Returns - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2023[1] - The company declared a final dividend of HKD 0.0567 per share for the year ended December 31, 2022, totaling HKD 153,445,586, compared to HKD 99,148,317 in 2022[50] Strategic Initiatives and Partnerships - The company established the AIGC Research Institute and launched the JointPilot AI application platform to enhance IT asset optimization and upgrade traditional solutions[4] - The company signed a cooperation agreement with Huawei Cloud for the Pangu large model and became an ecosystem partner for Baidu's Wenxin Yiyan and Qianfan platforms[4] - The company focused on digital transformation in six key industries, including petrochemicals and automotive, through a "platform + service" model[5] - The automotive business achieved high gross profit growth, expanding collaborations with major automotive industry players[5] - The company aims to expand its market presence in Southeast Asia and the Middle East, establishing integrated local sales and service teams[11] Employee and Operational Metrics - The number of employees decreased by 19.9% year-on-year to 72,937 as of June 30, 2023, down from 91,114 a year earlier, primarily due to business fluctuations and strategic transformation[12] - Employee compensation for the six months ended June 30, 2023, was approximately RMB 7,199,889,000, an increase from RMB 8,598,009,000 in 2022[67] Financial Position and Cash Flow - The group had a cash balance of RMB 5,042,594 thousand in the first half of 2023, slightly down from RMB 5,112,410 thousand in the same period of 2022[25] - The group’s current ratio improved to 4.0 in the first half of 2023, compared to 3.8 in 2022[25] - The net cash used in operating activities for the six months ended June 30, 2023, was RMB (731,184) thousand, compared to RMB (798,572) thousand for the same period in 2022, indicating an improvement of approximately 8.4%[40] - The net cash generated from financing activities increased significantly to RMB 812,612 thousand in the first half of 2023, compared to RMB 302,897 thousand in the same period of 2022, representing a growth of approximately 168.5%[40] - The company reported a net loss of RMB (640,552) thousand in cash and cash equivalents for the six months ended June 30, 2023, compared to a loss of RMB (1,068,832) thousand in the same period of 2022, showing a reduction in cash outflow of approximately 40.1%[40] Market Position and Shareholder Information - The company ranked 73rd in the Gartner global IT services market share, reflecting its strong market position and resilience[4] - Major shareholders include Dan Capital Tangkula Limited Partnership with 330,142,144 shares (11.07%), UBS Group AG with 270,058,029 shares (9.06%), and Bank of Communications Trustee Limited with 282,638,000 shares (9.48%) as of June 30, 2023[85] Governance and Compliance - The company maintained compliance with corporate governance codes, with minor exceptions noted during the annual general meeting[68] - The company plans to enhance corporate governance practices and will regularly review these practices to ensure compliance with legal and professional standards[70] - The audit committee, consisting of three independent non-executive directors, reviewed the interim results for the six months ended June 30, 2023, ensuring compliance with applicable accounting standards and regulations[88]