Financial Performance - For the six months ended June 30, 2022, the total revenue of Nanjing Sample Technology Co., Ltd. was RMB 531,667,245.37, a decrease of approximately 7.68% compared to the same period last year[6]. - The net loss attributable to the owners of the parent company for the same period was RMB 7,108,515.65, compared to a net profit of RMB 3,077,457.74 in the previous year[6]. - The basic loss per share for the six months ended June 30, 2022, was approximately RMB 0.009, compared to basic earnings of RMB 0.004 per share in the same period last year[6]. - Total revenue for 2022 was approximately RMB 531.67 million, a decrease of 7.66% from RMB 575.89 million in 2021[18]. - The net profit for 2022 was a loss of approximately RMB 10.60 million, compared to a profit of RMB 1.54 million in 2021, indicating a significant decline[21]. - The total comprehensive income for 2022 was a loss of approximately RMB 8.74 million, compared to a gain of RMB 1.86 million in 2021[40]. - Basic earnings per share for 2022 were RMB -0.009, a decline from RMB 0.004 in 2021[40]. Assets and Liabilities - The total current assets as of June 30, 2022, amounted to RMB 2,762,693,908.03, down from RMB 2,856,235,868.32 as of December 31, 2021[10]. - The total liabilities as of June 30, 2022, were RMB 1,549,221,040.70, a decrease from RMB 1,673,797,713.11 as of December 31, 2021[16]. - The total assets as of June 30, 2022, were RMB 3,417,935,774.46, down from RMB 3,551,256,967.65 as of December 31, 2021[12]. - The accounts receivable as of June 30, 2022, were RMB 348,015,201.16, compared to RMB 326,188,720.07 as of December 31, 2021[10]. - The company reported a total equity attributable to shareholders of the parent company of RMB 805,341,465.11 as of June 30, 2022, compared to RMB 812,449,980.76 as of December 31, 2021[16]. - The total amount of minority interests was RMB 36,605,471.28 at the end of the reporting period[48]. Cash Flow and Financial Management - The company reported a net cash flow from operating activities of approximately RMB 330.60 million for the first half of 2022, compared to a negative cash flow of RMB 200.93 million in the same period of 2021[42]. - Cash and cash equivalents increased to RMB 591,965,763.39 as of June 30, 2022, compared to RMB 379,312,843.32 as of December 31, 2021[10]. - The company recorded a financial expense of approximately RMB 16.56 million in 2022, down 41.91% from RMB 28.48 million in 2021[18]. - Financial expenses decreased by approximately 41.85% to RMB 16,559,991.37, attributed to a reduction in total loans and interest expenses[99]. - The debt ratio decreased to approximately 18.50% as of June 30, 2022, from 31.91% as of December 31, 2021, due to repayment of maturing loans[107]. Operational Efficiency and Cost Management - Total operating costs for 2022 were approximately RMB 548.90 million, down 5.13% from RMB 578.57 million in 2021[18]. - Research and development expenses decreased to approximately RMB 10.12 million in 2022, down 61.49% from RMB 26.23 million in 2021[18]. - Management expenses decreased by approximately 28.09% to RMB 18,434,711.70 from RMB 25,635,448.19 in the same period last year due to reduced office, travel, technical service, and entertainment expenses impacted by pandemic restrictions[96]. - Sales expenses for the six months ended June 30, 2022, were RMB 15,541,968.31, remaining flat compared to the previous year[94]. - Interest expenses decreased to RMB 19,905,565.78 from RMB 29,306,083.47 in the same period last year[70]. Strategic Initiatives and Innovations - The company has signed new projects including the cross-border e-commerce system in Zhenjiang and the intelligent customs system in Xiong'an[121]. - The company has developed several new products such as the highway guidance information release system and the food safety supervision platform, contributing to technological advancement and business expansion[124]. - The company aims to enhance management efficiency in the transportation and customs logistics industries, focusing on customer needs and market demands[125]. - The company is committed to innovation in the smart customs sector, aiming to improve regulatory efficiency and reduce costs while facilitating trade flow[127]. - The company is collaborating with Southeast University on key research projects related to low-emission driver behavior correction technologies[122]. Corporate Governance and Compliance - The company has fully complied with the corporate governance code as per the listing rules during the six-month period ending June 30, 2022[147]. - The audit committee, consisting of three independent non-executive directors, has reviewed the group's unaudited performance during the review period[146]. - There have been no significant changes to the company's articles of association during the review period[151]. - The company did not repurchase, redeem, or sell any of its listed securities during the review period[152]. Shareholder Information - Major shareholders include Nanjing Sanbao Technology Group Co., Ltd. with 397,821,000 domestic shares and 4,310,000 H shares, holding a controlling interest[137]. - The company has a total of 50.77% of its registered capital held by Tibet Zhuocai Venture Investment Management Co., Ltd. and Shanghai Jiaxin Enterprise Management Center (Limited Partnership)[139]. - No share options have been granted under the company's share option plan since its adoption[142].

Financial Performance - For the fiscal year ending December 31, 2021, the total revenue of Nanjing Sample Technology Co., Ltd. was RMB 914,013,755.55, a decrease of 3.38% compared to the previous year[34]. - The net loss attributable to shareholders of the parent company was RMB 59,244,735.65, a significant improvement from the net loss of RMB 139,375,086.61 in the same period last year[34]. - The total revenue for the year ended December 31, 2021, was RMB 914,013,755.55, a decrease of approximately 3.38% compared to the previous year[46]. - The gross profit margin for the same period was approximately 18.54%, a slight decline of about 0.11% from the previous year[47]. - Sales expenses decreased by approximately 11.16% to RMB 38,544,136.51, primarily due to reduced offline promotional activities[48]. - Management expenses increased by approximately 9.17% to RMB 58,204,990.99, mainly due to the establishment of a subsidiary in Qingdao[49]. - The net loss attributable to shareholders for the year was RMB 59,244,735.65, a reduction from RMB 139,375,086.61 in the previous year, due to decreased impairment losses and period expenses[50]. - The net profit margin improved from -16.58% to -6.29%, primarily due to a decrease in impairment losses and period expenses compared to the previous year[69]. - The return on equity increased from -7.70% to -2.98%, attributed to reduced impairment losses and period expenses compared to the previous year[70]. - The debt ratio as of December 31, 2021, was approximately 0.32, down from 0.36 in the previous year[64]. - The debt-to-asset ratio decreased from 52.69% to 47.13%, mainly due to a reduction in current liabilities, contract liabilities, and accounts payable during the reporting period[72]. - The current ratio rose from 1.60 to 1.84, reflecting a decrease in current liabilities, contract liabilities, and accounts payable[73]. - The quick ratio increased from 1.25 to 1.40, with changes attributed to the same factors affecting the current ratio[74]. - As of December 31, 2021, the company's distributable reserves amounted to RMB 812,449,980.76, a decrease from RMB 871,694,716.41 in 2020, representing a decline of approximately 6.8%[161]. Strategic Focus and Development - The strategic focus for 2021 was on optimizing assets and enhancing technological capabilities, particularly in the fields of smart transportation and smart customs[36]. - The company plans to explore new business opportunities in big data and new energy sectors, leveraging its strong technology and industry application experience[43]. - The company focused on smart transportation and smart customs, implementing various major projects to enhance traffic efficiency and safety[84]. - The company plans to focus on smart transportation and smart customs as core industries in 2022, aiming to improve management efficiency and reduce operational costs for clients[95]. - The company aims to innovate product models and extend scenarios in the smart customs sector to enhance trade facilitation and regulatory efficiency[96]. - In 2022, the company will explore new business areas such as low-carbon parks and smart energy, aligning with carbon neutrality policies[96]. Research and Innovation - In the smart transportation sector, the company launched several innovative products, including a highway event monitoring system and a vehicle management system for service areas, which have been successfully applied on multiple highways[37]. - The company expanded its research on product differentiation and application scenarios in the smart customs field, incorporating "5G+AI" technology for innovative regulatory models[39]. - The company is developing a comprehensive traffic big data center system to support smart transportation services and enhance public service development[98]. - The company is collaborating with universities and research institutions to leverage its technological advantages in the Internet of Things for smart highway product development[98]. - The company has filed 26 software copyrights and obtained 5 invention patents during the reporting period, demonstrating its commitment to intellectual property development[93]. Employee and Corporate Governance - The total employee compensation cost was RMB 68,909,057.67, with a total of 272 employees[82]. - The company has made efforts to provide a harmonious and safe working environment, promoting diversity and offering competitive compensation and career development opportunities[133]. - The company has a significant investment in training and development resources for employees to keep up with market trends and improve performance[133]. - The company has adopted corporate governance principles and has complied with the corporate governance code throughout the year ending December 31, 2021[181]. - The board is responsible for approving the group's strategic plans, annual budgets, and major operational measures[190]. - The company has confirmed that all independent non-executive directors are independent according to the relevant regulations[189]. - The remuneration committee, consisting of two independent non-executive directors and one executive director, is responsible for setting director remuneration policies and evaluating executive performance[200]. Environmental and Social Responsibility - The company is committed to sustainable development, integrating environmental goals into its business strategy and operations[124]. - The company aims to reduce pollution emissions and improve resource utilization as part of its commitment to becoming an environmentally friendly enterprise[124]. - The company will publish an Environmental, Social, and Governance (ESG) report by the end of May 2022, in accordance with the relevant guidelines[182]. - The company plans to disclose its 2021 Environmental, Social, and Governance (ESG) report by the end of May 2022, detailing its environmental performance[124]. Related Party Transactions and Shareholder Information - The company engaged in related party transactions, including the sale of a debt for RMB 153,311,928.00 and another for RMB 352,346,262.23, both approved by shareholders[174]. - The company entered into a framework agreement for rental with its major shareholder, with a maximum annual rent of RMB 8,000,000.00, and the actual rental expense for the year was RMB 3,103,036.98[175]. - The company has confirmed that related party transactions have complied with the disclosure requirements of the listing rules[179]. - The major shareholder, Sanbao Group, holds 397,821,000 domestic shares and 4,310,000 H shares, representing a 50.77% stake in the company[143]. - The company directly holds 397,821,000 domestic shares, representing approximately 50.22% of the total issued share capital[137]. Risks and Challenges - The ongoing COVID-19 pandemic poses risks to normal business operations, with the company actively monitoring the situation and adjusting its operational plans accordingly[121]. - The company faces policy risks due to its downstream customers being concentrated in industries like road traffic and customs logistics, which are closely tied to national investment policies[120]. - The company is focused on strengthening its technological research and development to mitigate risks associated with customer changes and technical challenges[123].

Financial Performance - The total revenue for the six months ended June 30, 2021, was RMB 575,885,384.90, representing a year-on-year increase of approximately 92.95%[3] - The net profit attributable to the owners of the parent company for the same period was RMB 3,077,457.74, a decrease of approximately 70.68% compared to the previous year[3] - The basic earnings per share for the six months ended June 30, 2021, was approximately RMB 0.004, down from RMB 0.013 in the same period last year[3] - Total operating revenue for the six months ended June 30, 2021, was approximately RMB 575.89 million, a significant increase of 93.3% compared to RMB 298.46 million in the same period of 2020[15] - Net profit for the six months ended June 30, 2021, was approximately RMB 1.54 million, a decrease of 84.9% compared to RMB 10.24 million in the same period of 2020[17] - The total comprehensive income attributable to the parent company for the six months ended June 30, 2021, was approximately RMB 1.86 million, a decrease from RMB 10.50 million in the same period of 2020[22] Assets and Liabilities - As of June 30, 2021, total assets amounted to RMB 4,412,221,538.84, compared to RMB 4,179,212,189.28 as of December 31, 2020[10] - Current assets totaled RMB 3,426,347,967.92 as of June 30, 2021, compared to RMB 3,175,733,347.67 as of December 31, 2020[7] - Current liabilities amounted to RMB 2,008,408,072.37 as of June 30, 2021, compared to RMB 1,980,423,444.49 as of December 31, 2020[12] - Total liabilities as of June 30, 2021, were RMB 2,433,255,062.61, an increase from RMB 2,202,103,537.56 as of December 31, 2020[14] - The total equity attributable to the owners of the parent company was RMB 1,978,966,476.23 as of June 30, 2021, compared to RMB 1,977,108,651.72 as of December 31, 2020[14] Operating Costs and Expenses - Total operating costs for the same period were approximately RMB 578.57 million, up from RMB 295.14 million, reflecting a 96.2% increase year-over-year[15] - Research and development expenses increased to approximately RMB 26.23 million, up 33.7% from RMB 19.63 million in the previous year[15] - The company reported a significant increase in financial expenses, totaling approximately RMB 28.48 million, compared to RMB 25.48 million in the previous year[15] - The company experienced a credit impairment loss of approximately RMB -10.74 million, compared to RMB -1.37 million in the same period of 2020[17] Dividend and Shareholder Information - The company does not recommend the payment of an interim dividend for the six months ended June 30, 2021[4] - The company did not declare an interim dividend for the first half of 2021, consistent with the previous year[86] - The company's total equity attributable to shareholders was RMB 2,115,590,006.13 as of June 30, 2021, compared to RMB 2,096,606,422.10 at the end of the previous year, showing a slight increase[55] Strategic Initiatives and Future Plans - The company has signed new projects including the G3W Dezhou to Shangrao Expressway and the expansion of the Nanjing to Ma'anshan National Expressway, enhancing its project portfolio[122] - The company aims to leverage IoT and Internet+ technologies to innovate products and solutions, building a smart city ecosystem[130] - The company is committed to enhancing its competitive edge by expanding its product R&D efforts and upgrading solutions for core customers and ecosystem partners[130] - The company has been approved as an official participant in the EU Horizon 2020 project, which aims to promote international technology cooperation and industry development[127] Corporate Governance - The audit committee, consisting of three independent non-executive directors, has reviewed the group's unaudited performance during the review period and provided recommendations[153] - The company has fully complied with the corporate governance code as per the listing rules during the six-month period ending June 30, 2021[154]

Financial Performance - For the fiscal year 2020, the company's total revenue decreased by 36.39% to RMB 945,958,244.32, and it reported a net loss of RMB 139,375,086.61, compared to a net profit of RMB 107,023,458.97 in 2019[31]. - The decline in revenue was primarily due to the impact of COVID-19, which caused project delays and reduced customer payments[31]. - The gross profit margin for the same period was approximately 18.65%, down about 8.21% year-on-year, attributed to project delays and increased procurement costs due to COVID-19[49]. - The net loss attributable to shareholders for the year was RMB 139,375,086.61, compared to a net profit of RMB 107,023,458.97 in the previous year, mainly due to decreased revenue and delayed customer payments[52]. - The group's net profit margin decreased from 5.65% in the previous year to -16.58% due to a decline in operating income and increased impairment provisions related to COVID-19[68]. - The return on equity fell from 3.88% to -7.70%, primarily due to the same factors affecting net profit margin[70]. - The company's distributable reserves as of December 31, 2020, amounted to RMB 871,694,716.41, down from RMB 1,011,075,961.59 in 2019[175]. Dividend Policy - The board of directors proposed not to distribute a final dividend for the year ended December 31, 2020, to maintain sufficient liquidity amid market uncertainties[32]. - The board of directors recommended not to declare a final dividend for the year ending December 31, 2020, consistent with the previous year[140]. - The company did not declare any dividends during the fiscal year ending December 31, 2020[176]. Strategic Focus and Innovation - The company focused on long-term business layout and organizational evolution, optimizing internal structures and enhancing technological capabilities[33]. - The company emphasized the importance of technology-driven innovation to improve market competitiveness and adapt to the evolving logistics supply chain landscape[37]. - The company plans to focus on smart transportation and customs logistics, leveraging Internet of Things (IoT) technology and innovation to enhance service offerings[46]. - The company aims to increase R&D investment in IoT solutions to boost competitiveness in smart transportation and logistics sectors[43]. - The company is actively exploring the application of traffic big data analysis in new fields, integrating smart transportation concepts into its business[94]. - The company actively participated in the national IoT standardization efforts, leading the development of the national standard for IoT information sharing and exchange, which was officially implemented on March 1, 2020[98]. - In 2021, the company plans to focus on smart transportation and smart logistics, emphasizing customer-centric innovation driven by technology, and aims to enhance its market position in these sectors[99]. Market Development and Competitiveness - The company actively sought collaborations to enhance market competitiveness and achieve breakthroughs in new markets[36]. - The strategic goal for 2020 included continuous optimization of market layout and improvement of user satisfaction[33]. - The company continued to optimize its market layout in the intelligent transportation sector, aiming to strengthen its market leadership[91]. - The company aims to expand its supply chain service business in 2021, implementing a strategy for a "smart supply chain" that integrates digital research and development[102]. - The company aims to enhance its competitive edge by leveraging its strengths in technology research and development, comprehensive business qualifications, and brand recognition[131]. Operational Efficiency - During the review period, the company successfully completed projects without safety incidents and maintained project schedules despite the challenges posed by the pandemic[36]. - The company implemented a comprehensive customs supervision information system for multiple bonded zones, facilitating a more efficient office environment for customs and enterprises[37]. - The company reported a stable growth environment due to the continuous increase in fixed asset investment in the macro economy, which is closely related to its downstream customers in road traffic and customs logistics[130]. Employee and Social Responsibility - The total employee compensation cost for the company was approximately RMB 65,274,729.05, an increase from RMB 64,047,722.15 in the previous year, with a total of 290 employees[88]. - The company has been recognized for its corporate social responsibility efforts, being included in the "2019 Jiangsu Province Corporate Social Responsibility Model List"[40]. - The company is committed to sustainable development by integrating environmental goals into its business operations and reducing pollution emissions[133]. - The company will disclose its 2020 Environmental, Social, and Governance report by the end of May[134]. Investments and Acquisitions - The company agreed to acquire 100% of the Xuyi Fund from Nanjing Dongbang for RMB 450,000,000, with a decision pending on whether to proceed with the acquisition[81]. - The company will acquire 60% equity in Qingdao Big Data Technology Development Co., Ltd. from Qingdao West Coast Development Group for RMB 30,000,000, and will increase the registered capital of the company by RMB 25,000,000[82]. - The company invested RMB 25,000,000 in a partnership fund with a total capital of RMB 500,000,000, which will not be consolidated into the company's financial statements[84]. - The company acquired 60% equity in Qingdao Big Data Technology Development Co., Ltd. for RMB 30,000,000 and increased its registered capital from RMB 50,000,000 to RMB 75,000,000 by contributing an additional RMB 25,000,000[193]. Financial Position and Liquidity - The company's operating capital as of December 31, 2020, was RMB 1,195,309,903.18, up from RMB 807,688,234.33 the previous year, indicating improved liquidity[58]. - The current ratio improved from 1.37 to 1.60, attributed to an increase in current assets during the reporting period[72]. - The quick ratio rose from 0.77 to 1.25, reflecting the same reasons as the increase in the current ratio[73]. - The non-current liabilities due within one year decreased by 56.30% to RMB 156,000,000, reflecting repayment of long-term borrowings[57]. - As of December 31, 2020, the total bank borrowings of the group amounted to RMB 1,098,285,488.89, a decrease from RMB 1,173,529,550.35 as of December 31, 2019[59]. Shareholding Structure - The company has a substantial shareholding structure, with Jiangsu Sanbao Holding Co., Ltd. holding 50.77% of the registered capital through direct and indirect ownership[149]. - The company has a complex ownership structure involving multiple layers of control, with significant stakes held by various investment management companies[150]. - The company’s major shareholders include Nanjing Sanbao Technology Group Co., Ltd., which holds 50.77% of the registered capital[153]. - The company has a significant shareholder structure, with Sanbao Group holding 51% of the shares, making it the largest shareholder[1]. Customer and Supplier Concentration - The company reported that the top five customers accounted for 57.84% of total sales, with the largest customer contributing 30.44% of total sales[167]. - The top five suppliers represented 45.83% of total purchases, with the largest supplier accounting for 34.84% of total purchases[168].

Financial Performance - The total revenue for the six months ended June 30, 2020, was RMB 298,462,892.82, a decrease of approximately 63.47% compared to the same period last year[5]. - The net profit attributable to the owners of the parent company for the same period was RMB 10,496,067.21, down about 88.81% year-on-year[5]. - The basic earnings per share for the six months ended June 30, 2020, was approximately RMB 0.013, compared to RMB 0.118 for the same period in 2019[5]. - The net profit for the six months ended June 30, 2020, was RMB 10,239,936.17, a significant decrease from RMB 88,796,485.09 in the same period of 2019, representing a decline of approximately 88.5%[33]. - Total revenue for the six months ended June 30, 2020, was RMB 13,900,959.06, compared to RMB 107,608,603.61 in 2019, indicating a decrease of about 87.1%[33]. - The total comprehensive income attributable to the owners of the parent company for the six months was RMB 10,503,220.31, compared to RMB 86,825,651.70 in 2019, a decrease of about 87.9%[57]. - Cash flow from operating activities for the six months ended June 30, 2020, was negative at RMB -79,337,483.47, contrasting with a positive cash flow of RMB 120,097,470.91 in 2019[60]. - The company reported a net profit attributable to owners of the parent of RMB 10,496,067.21, a significant decline of 88.8% from RMB 93,769,545.92 in 2019[104]. Assets and Liabilities - The total current assets as of June 30, 2020, amounted to RMB 3,013,470,505.35, an increase from RMB 2,975,609,052.58 as of December 31, 2019[9]. - The total liabilities as of June 30, 2020, were RMB 2,360,117,551.74, compared to RMB 2,344,028,447.66 as of December 31, 2019[13]. - The total equity attributable to the owners of the parent company was RMB 2,050,074,546.52 as of June 30, 2020, slightly up from RMB 2,039,315,195.16 at the end of 2019[15]. - Total bank borrowings amounted to RMB 1,271,430,644.85, an increase from RMB 1,173,529,550.35 as of December 31, 2019[124]. - As of June 30, 2020, the company's debt ratio was approximately 53.98%, an increase from 49.05% on December 31, 2019, due to increased bank loans for project procurement and prepayments[129]. Expenses and Costs - Operating costs for the same period were RMB 204,675,144.25, up from RMB 619,697,654.26 in 2019, reflecting a reduction in operational efficiency[32]. - Research and development expenses for the six months ended June 30, 2020, were RMB 19,626,727.15, compared to RMB 21,659,396.02 for the same period last year[22]. - The company reported a financial expense of RMB 25,477,374.66 for the six months ended June 30, 2020, down from RMB 31,951,075.98 in 2019, indicating a reduction in financing costs[32]. - Employee costs for the period were RMB 26,755,378.47, down from RMB 32,301,246.93 in the same period last year, with total employees reduced to 255 from 316[127]. Dividends and Shareholder Information - The company did not recommend the payment of an interim dividend for the six months ended June 30, 2020[6]. - The company did not declare an interim dividend for the six months ended June 30, 2020, consistent with the previous year[105]. - The company has a major shareholder, Sanbao Group, holding 397,821,000 domestic shares and 4,310,000 H shares, representing a significant control over the company[165]. - Active Gold Holding Limited is fully owned by Jian Ying Sample High Growth Investment Fund, indicating a concentrated ownership structure[166]. Strategic Developments - The company has developed new products in the customs intelligent logistics sector, including an AI container number recognition system, which has successfully entered the market and received project orders[148]. - The company is actively exploring traffic big data analysis applications in new areas, enhancing its project management and data service capabilities[144]. - The company has maintained a focus on strategic cooperation within the industry to expand new market areas and business projects[141]. - The group plans to increase R&D investment in core technology areas to drive transformation in growth methods[152]. - The focus for the second half of the year will be on intelligent transportation for highways and smart logistics for customs, integrating Internet and IoT technologies[152]. Governance and Compliance - The audit committee, consisting of three independent non-executive directors, has reviewed the group's unaudited performance during the review period, ensuring compliance and oversight[175]. - The company has fully complied with the corporate governance code as per the listing rules during the review period, reflecting strong governance practices[176]. - There were significant changes in the board of directors, with new appointments and resignations, which may impact future strategic directions[177]. - The company's articles of association did not undergo any significant changes during the review period, suggesting stability in governance[182]. Research and Development - The group has applied for 15 new software copyrights and obtained 1 invention patent and 9 software copyrights during the review period[149]. - The group emphasizes the importance of intellectual property application and protection during the review period[149].

Financial Performance - The total revenue for the fiscal year 2019 decreased by 18.93% to RMB 1,487,129,114.80, compared to RMB 1,834,487,601.95 in 2018[30]. - The net profit attributable to shareholders decreased by 45.39% to RMB 107,023,458.97, down from RMB 195,992,114.49 in the previous year[30]. - The decline in revenue was primarily due to a reduction in project wins, leading to decreased sales in system integration and smart terminal products[30]. - The total revenue for the year ended December 31, 2019, was approximately RMB 1,487,129,114.80, representing a decrease of about 18.93% compared to the previous year, primarily due to a reduction in project bids leading to decreased sales in system integration and smart terminal products[55]. - The gross profit margin for the year ended December 31, 2019, was approximately 26.85%, consistent with the same period last year[56]. - The net profit attributable to the parent company's shareholders for the year ended December 31, 2019, was approximately RMB 107,023,458.97, a decrease of 45.39% compared to the same period last year, primarily due to a decline in revenue and an increase in financial expenses[59]. Dividend and Shareholder Matters - The board recommended not to declare a final dividend for the year ended December 31, 2019, due to the impact of COVID-19 and market uncertainties[31]. - The board recommended not to declare a final dividend for the year ended December 31, 2019, compared to a dividend of RMB 0.1 per share in 2018[132]. - The company’s major shareholder, Jiangsu Sanbao, directly holds 397,821,000 domestic shares, representing approximately 50.22% of the total issued share capital[143]. - The largest shareholder, Sanbao Group, holds 397,821,000 domestic shares and 4,310,000 H shares, representing approximately 50.77% of the company's registered capital[150]. - As of December 31, 2019, the total number of issued H shares was 229,500,000, and the total number of issued domestic shares was 562,558,500[163]. - The company has no existing major contracts with directors or supervisors that have significant interests as of the end of the year[156]. Operational Highlights - Significant progress was made in highway integration services and smart customs logistics during the year[32]. - The company successfully completed multiple key projects related to the cancellation of provincial toll stations on highways, despite tight schedules and high construction risks[36]. - The company introduced a new logistics supervision model called "Smart Eye" to enhance customs supervision efficiency and reduce clearance times[37]. - The company has signed and completed multiple projects related to the cancellation of highway toll stations, including the Shanghai-Nanjing Expressway and Suzhou Ring Expressway, focusing on ETC gantry system integration[90]. - The company is actively developing smart traffic management systems, with ongoing projects such as the Suzhou Industrial Park Phase II and Tianfu New Area Meishan Innovation Center, enhancing its capabilities in urban intelligent traffic solutions[93]. Strategic Focus and Future Plans - The company focused on core business and organizational evolution to enhance customer value and satisfaction[32]. - The strategic goal for 2019 was to maintain steady growth in smart city, smart logistics, and intelligent transportation sectors[32]. - The company plans to enhance its strategic business layout in the Internet of Things (IoT) solutions sector, aiming to expand new customer bases and develop new products[47]. - The company aims to push forward the smart water management market and expand its business in highway overload management, targeting breakthroughs in the roadside market of the Internet of Vehicles[47]. - The company will increase investment in the development of video stream technology systems for customs logistics, including container identification and inspection systems[47]. - In 2020, the company plans to focus on smart transportation and smart logistics, leveraging IoT and Internet+ technologies to build a smart city ecosystem[99]. Research and Development - The company was selected for the "High-Quality Improvement Plan for Enterprise R&D Institutions," indicating recognition of its R&D capabilities and commitment to innovation[41]. - The company has been involved in the development of national standards for the Internet of Things, including the GBT 36478.4-2019 standard, which was officially implemented on March 1, 2020[97]. - The company has received recognition as an outstanding "Jiangsu Province Enterprise Technology Center" and has filed for 6 invention patents and 39 software copyrights during the reporting period[98]. - The company plans to strengthen technology research and development investment and improve core technology protection and management[126]. Risk Management and Compliance - The company faces risks related to macroeconomic conditions and fixed asset investment growth, which could negatively impact performance if there is a slowdown[126]. - The company emphasizes compliance with laws and regulations, ensuring continuous adherence to legal requirements and maintaining good relationships with regulatory authorities[129]. - The company has a well-defined internal control system to mitigate management risks and enhance operational efficiency[126]. - The company has strengthened its internal governance measures to comply with the corporate governance code as per the listing rules[190]. Employee and Governance Matters - The total employee compensation cost for the group was approximately RMB 64,047,722.15, down from RMB 71,451,611.05 the previous year, with a total of 306 employees[89]. - The company reported a significant focus on employee development, providing competitive compensation and training resources to enhance performance and self-fulfillment[130]. - The board of directors includes both executive and non-executive members, ensuring diverse governance[136]. - The board held a total of 11 meetings during the year, with 2 being regular meetings[200]. - All independent non-executive directors confirmed their independence according to the listing rules[197]. Corporate Social Responsibility - The company was included in the national list of key guarantee enterprises for COVID-19 prevention and control, highlighting its commitment to leveraging IoT technology in response to the pandemic[52]. - The company will publish its Environmental, Social, and Governance (ESG) report within three months after the annual report[191].

Financial Performance - The total revenue for the six months ended June 30, 2019, was RMB 816,952,108.91, a decrease of approximately 5.10% compared to the same period last year[5]. - The net profit attributable to the owners of the parent company for the same period was RMB 93,769,545.92, down about 5.57% year-on-year[5]. - The basic earnings per share for the six months ended June 30, 2019, was approximately RMB 0.118, compared to RMB 0.125 for the same period in 2018[5]. - Total operating revenue for the six months ended June 30, 2019, was RMB 816,952,108.91, a decrease of 5.1% compared to RMB 860,887,967.66 in 2018[23]. - Total operating costs decreased to RMB 719,752,331.77 from RMB 744,331,462.06, reflecting a reduction of 3.3%[23]. - Net profit attributable to the parent company was RMB 88,796,485.09, down from RMB 100,493,071.26, representing a decline of 11.6%[26]. - The total profit for the six months was RMB 107,608,603.61, down from RMB 119,753,083.90, reflecting a decrease of 10.5%[26]. - The company reported a decrease in comprehensive income of RMB 93,769,545.92 during the period[39]. - The company reported a net profit attributable to shareholders of RMB 93,769,545.92 for the first half of 2019, down from RMB 99,304,107.15 in the same period of 2018[68]. Assets and Liabilities - The total current assets as of June 30, 2019, amounted to RMB 3,593,730,471.99, slightly down from RMB 3,656,893,115.15 as of December 31, 2018[11]. - The total liabilities as of June 30, 2019, were RMB 2,746,450,372.13, compared to RMB 2,730,699,861.35 as of December 31, 2018[19]. - The total assets as of June 30, 2019, were RMB 4,835,061,931.81, an increase from RMB 4,811,691,619.32 as of December 31, 2018[19]. - The total equity at the end of the reporting period was RMB 2,088,611,559.68, showing a slight increase from RMB 2,080,991,757.97 at the beginning of the year[35]. - The company's total liabilities increased, reflecting a rise in financial expenses and accounts receivable[55]. - The company's debt ratio decreased to 32.78% from 38.33% as of December 31, 2018, due to increased bank loans for project procurement[99]. Cash Flow and Financial Management - Cash flow from operating activities generated RMB 120,097,470.91, a significant improvement compared to a negative cash flow of RMB -510,615,885.05 in 2018[32]. - The company reported a net increase in cash and cash equivalents of RMB 72,235,690.64, contrasting with a decrease of RMB -160,749,872.38 in the previous year[32]. - Cash and cash equivalents increased to RMB 613,604,783.89 from RMB 532,958,036.92 as of December 31, 2018[11]. - Total financial expenses for the first half of 2019 amounted to RMB 31,951,075.98, an increase of 63.0% from RMB 19,594,742.20 in the same period of 2018[55]. - The company experienced a significant increase in financial expenses, with interest expenses rising to RMB 33,002,632.19 from RMB 18,071,560.02, an increase of 82.7%[23]. Research and Development - Research and development expenses were RMB 21,659,396.02, down from RMB 24,324,492.52, showing a reduction of 10.9%[23]. - Research and development expenses for the period were RMB 21,659,396.02, a decrease of approximately 10.96% as the group's R&D plans were concentrated in the second half of the year[85]. Market Strategy and Future Plans - The company plans to expand its market presence and invest in new technology development in the upcoming quarters[40]. - The company continues to focus on R&D and market expansion strategies to enhance its competitive position in the industry[54]. - For the second half of the year, the company plans to focus on smart transportation and customs logistics, leveraging IoT and Internet+ technologies to innovate its business model[116]. - The company aims to provide customized solutions for traffic management departments by integrating advanced ITS technologies and data from various stakeholders in the transportation sector[120]. - In customs logistics, the company will continue to enhance project quality management and service levels to improve market reputation and explore new business opportunities[120]. Shareholder and Corporate Governance - The company directly holds 397,821,000 domestic shares, accounting for approximately 50.22% of the total issued share capital[124]. - The beneficial owner, Mr. Sha, directly holds 3,375,000 domestic shares and indirectly owns 60.40% of Jiangsu Sanbao, which in turn owns 100% of Sanbao Group[123]. - Mr. Chang indirectly owns 38.96% of Jiangsu Sanbao, which holds 100% of Sanbao Group, thus being considered as having rights to all 397,821,000 domestic shares[128]. - Active Gold Holding Limited owns 123,862,500 domestic shares, representing 15.64% of the total issued share capital[132]. - The company has fully complied with the corporate governance code as per the listing rules during the six-month period ending June 30, 2019[144]. - The major shareholder, Sanbao Group, is wholly owned by Jiangsu Sanbao, which is controlled by Tibet Zhuoxin and Tibet Zhuocai[136]. Changes in Management and Structure - Changes in the board of directors include the appointment of Ms. Yu Hui as executive director and vice president, and Mr. Niu Zhongjie as independent non-executive director[145]. - Mr. Chang Yong transitioned to non-executive director and is no longer vice president[145]. - Mr. Gao Lihui appointed as chairman of the audit committee, while Mr. Shen Chengji resigned from his position as independent non-executive director and chairman of the audit committee[150].

Financial Performance - For the fiscal year 2018, the total revenue of Nanjing Sample Technology Co., Ltd. increased by 6.85% to RMB 1,834,487,601.95, while the net profit attributable to shareholders decreased by 11.75% to RMB 195,992,114.49[15]. - The decline in net profit was primarily due to increased R&D investments and the previous year's gain from the sale of 82.61% equity in Jiangsu Cross-Border E-Commerce Service Co., Ltd.[15]. - The gross profit margin for the same period was approximately 28.13%, reflecting an increase of about 1.22% year-on-year[43]. - Sales expenses decreased by approximately 4.78% to RMB 41,886,685.67, attributed to increased self-media promotion reducing business advertising costs[44]. - Management expenses increased by approximately 11.32% to RMB 63,670,452.74, mainly due to higher personnel costs during the review period[45]. - Net profit attributable to shareholders of the parent company was approximately RMB 195,992,114.49, a decrease of 11.75% year-on-year, primarily due to increased R&D investment[46]. - The net profit margin decreased from 12.81% in 2017 to 10.61% in 2018, primarily due to increased R&D investments and the absence of investment gains from the sale of a subsidiary in 2017[57]. - The return on equity fell from 10.42% in 2017 to 9.26% in 2018, mainly due to a reduction in profits during the reporting period[60]. - The debt-to-asset ratio increased from 43.45% in 2017 to 56.75% in 2018, attributed to an increase in interest-bearing debt[61]. - The current ratio declined from 2.02 in 2017 to 1.65 in 2018, as the growth in current liabilities outpaced that of current assets[62]. - The quick ratio decreased from 1.38 in 2017 to 1.11 in 2018, reflecting similar reasons as the decline in the current ratio[63]. - The total employee compensation cost was approximately RMB 71,451,611.05 in 2018, up from RMB 63,012,940.37 in 2017, with the total number of employees increasing from 335 to 384[69]. - The distributable reserves as of December 31, 2018, amounted to RMB 990,758,260.44, a decrease from RMB 1,076,559,118.85 in 2017[143]. Strategic Goals and Business Development - The strategic goal for 2018 focused on enhancing customer satisfaction and developing core businesses, particularly in proactive security and smart customs integration[17]. - The company aims to transform into an IoT intelligent system integration supplier and big data service provider, emphasizing core business profitability and value creation[18]. - Future plans include providing comprehensive industry chain services around customs and enhancing service quality and standards in free trade zones[21]. - The group aims to establish a new supply chain main channel to connect its subsidiaries and external resources, focusing on high-quality development and user value creation[33]. - The group emphasizes the importance of building a strong front office to find customers and partners for high-quality development[33]. - The company plans to build a customer-centric organizational structure to improve revenue, net profit, and GMV targets[37]. - The company aims to maintain compliance with laws and regulations, ensuring a good working relationship with regulatory authorities[109]. - The company recognizes employees as its most valuable asset and strives to provide a supportive work environment and competitive compensation[110]. - The company plans to continue expanding its market presence and improving its main business revenue and market share[106]. Technology and Innovation - Nanjing Sample Technology successfully integrated IoT data collection terminals and intelligent information management platforms to build a public travel service ecosystem[20]. - The company assisted Nanjing Customs in successfully piloting the intelligent card system, significantly reducing customs clearance time[21]. - The group has successfully implemented the Jiangsu Province proactive safety intelligent control system, with over 43,000 vehicles online, resulting in a nearly 50% reduction in unsafe driving behaviors and a 40% decrease in vehicle violations[22]. - The group achieved an 80% reduction in direct economic losses due to the implementation of the safety system[22]. - The company actively participated in the national IoT standardization work, leading the development of a national standard for data interfaces, expected to be officially released in 2019[74]. - In 2018, the company applied for 16 invention patents and 56 software copyrights, and obtained 1 invention patent and 1 utility model patent authorization[76]. - The company plans to invest 100 million in research and development over the next three years to drive innovation[93]. - New product development includes the launch of a next-generation RFID system, expected to enhance operational efficiency by 30%[99]. Market Presence and Expansion - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[93]. - A strategic acquisition of a local tech firm was announced, which is expected to contribute an additional 200 million in revenue annually[93]. - The company will collaborate with top logistics, data, finance, and risk control experts to provide personalized digital services across the entire supply chain[82]. - The company will continue to rely on the national RFID system engineering technology research center for forward-looking and industry-common technology research[83]. Corporate Governance and Compliance - The company has strengthened its internal governance measures to comply with the corporate governance code as per the listing rules[161]. - The company has established a system and allocated resources to ensure ongoing compliance with applicable laws and regulations[109]. - The board is responsible for approving the company's strategic plans, annual budgets, and major operational measures[170]. - The audit committee consists of three independent non-executive directors, ensuring compliance with the listing rules regarding financial management experience[191]. - The company confirmed its responsibility for preparing true and fair financial statements, selecting appropriate accounting policies, and applying them consistently[197]. - The company emphasizes the importance of diversity in its board composition to enhance governance standards[184]. Shareholding Structure - The company directly holds 397,821,000 domestic shares, accounting for approximately 50.22% of the total issued share capital[120]. - Jiangsu Sanbao Holdings Co., Ltd. owns 100% of Sanbao Group, which directly holds 397,821,000 domestic shares, also representing 50.22% of the total issued share capital[121]. - Mr. Sha directly holds 3,375,000 domestic shares and indirectly owns 60.40% of Jiangsu Sanbao, which leads to a total beneficial ownership of 401,196,000 domestic shares[119]. - The company’s major shareholders include Sanbao Group, Jiangsu Sanbao, and Tibet Zhuoxin, with significant control over the shareholding structure[126]. - The top five customers accounted for 42.95% of the total annual sales, with the largest customer contributing 11.10%[135]. - The top five suppliers represented 27.82% of the total annual purchases, with the largest supplier accounting for 10.04%[136]. Awards and Recognition - The group’s subsidiary, Nanjing Urban Intelligent Transportation Co., Ltd., was awarded as one of the "Top Ten Outstanding Enterprises with Craftsmanship Spirit" in China's intelligent transportation sector[26]. - The group is committed to enhancing brand influence and has received multiple awards for its contributions to smart transportation and logistics[26].