Financial Performance - Revenue increased by 31.9% to RMB 5,952.028 million in 2023 compared to RMB 4,511.062 million in 2022[5] - Net profit surged by 925.0% to RMB 1,099.218 million in 2023 from RMB 107.245 million in 2022[5] - Adjusted net profit (non-GAAP) rose by 169.7% to RMB 2,156.185 million in 2023 from RMB 799.449 million in 2022[5] - Annual cash receipts and revenue increased by 44.9% and 31.9% year-over-year, respectively, driven by strong user growth and increased payment ratio[9] - Total revenue increased by 31.9% from RMB 4,511.1 million in 2022 to RMB 5,952.0 million in 2023, primarily due to user growth and increased user engagement[18] - Revenue from online recruitment services for enterprise clients increased by 32.0% from RMB 4,461.3 million in 2022 to RMB 5,889.1 million in 2023[18] - Revenue from other services (mainly paid value-added services for job seekers) increased by 26.3% from RMB 49.8 million in 2022 to RMB 62.9 million in 2023[18] - Operating profit for 2023 was RMB 581.0 million, compared to an operating loss of RMB 129.5 million in 2022[23] - Net profit for 2023 increased to RMB 1,099.2 million, up significantly from RMB 107.2 million in 2022[24] - Interest and investment income rose by 167.9% to RMB 606.8 million in 2023, driven by increased investments in fixed deposits and financial products[24] - Total revenue increased to RMB 5,952,028 thousand in 2023, up 32% from RMB 4,511,062 thousand in 2022[163] - Net profit attributable to Kanzhun Ltd. shareholders surged to RMB 1,099,227 thousand in 2023, a significant increase from RMB 107,245 thousand in 2022[163] - Operating profit turned positive at RMB 580,971 thousand in 2023, recovering from an operating loss of RMB 129,519 thousand in 2022[163] - Basic earnings per share attributable to ordinary shareholders improved to RMB 1.26 in 2023 from RMB 0.12 in 2022[164] - Total comprehensive income attributable to Kanzhun Ltd. shareholders grew to RMB 1,302,853 thousand in 2023, up from RMB 1,060,194 thousand in 2022[164] - Net profit increased significantly from RMB 107,245 thousand in 2022 to RMB 1,099,218 thousand in 2023, representing a growth of approximately 925%[167] - Operating cash flow increased from RMB 1,003,042 thousand in 2022 to RMB 3,047,009 thousand in 2023, a growth of approximately 204%[167] - Total revenue for 2023 increased to RMB 5,867,883 thousand, up from RMB 4,498,131 thousand in 2022, representing a growth of approximately 30.4%[180] - Net profit for 2023 surged to RMB 697,038 thousand, a significant increase from RMB 117,298 thousand in 2022, reflecting a growth of approximately 494.3%[180] User Growth and Engagement - Average monthly active users (MAU) grew by 47.4% to 42.3 million in 2023 from 28.7 million in 2022[8] - The daily active users (DAU) to MAU ratio remained high at 26.3% in 2023, consistent with 2022 levels[8] - Blue-collar users, particularly in urban service industries, showed the fastest growth among all user segments in 2023[8] - Growth in lower-tier cities and small-to-medium enterprises outpaced that in first-tier cities and key account (KA) clients[8] - The company focused on improving personalized recommendation algorithms to serve diverse industries, regions, and company sizes[8] - User experience was enhanced for different types of job seekers, such as blue-collar workers and graduates[8] - More flexible and targeted commercial products were introduced to meet the recruitment needs of various industries and company sizes[8] Costs and Expenses - Operating costs increased by 40.4% from RMB 754.9 million in 2022 to RMB 1,059.9 million in 2023, mainly due to increased server and bandwidth costs and payment processing fees[19] - R&D expenses increased by 30.5% from RMB 1,182.7 million in 2022 to RMB 1,543.6 million in 2023, primarily due to increased employee-related expenses and technology investments[21] - General and administrative expenses increased by 12.8% from RMB 719.7 million in 2022 to RMB 811.8 million in 2023, mainly due to increased share-based compensation expenses[22] - R&D expenses increased to RMB 1,543,568 thousand in 2023, up 30.5% from RMB 1,182,716 thousand in 2022[163] - Advertising expenses for the years ended December 31, 2022, and 2023 were RMB 793.2 million and RMB 582.1 million, respectively[195] - Employee benefit expenses (including accrued but unpaid portions) for the years ended December 31, 2022, and 2023 were RMB 395.2 million and RMB 449.8 million, respectively[196] Cash Flow and Investments - Cash and cash equivalents, fixed deposits, and short-term investments totaled RMB 12.9 billion as of December 31, 2023, with net cash flow from operating activities at RMB 3.0 billion[25] - The company holds fixed-rate notes from Goldman Sachs and UBS AG, with a total fair value of approximately RMB 2.275 billion, representing 6.8% of total consolidated assets[26] - Capital commitments as of December 31, 2023, amounted to RMB 225.6 million, primarily related to server procurement[29] - Cash and cash equivalents decreased significantly from RMB 9,751,824 thousand in 2022 to RMB 2,472,959 thousand in 2023[157] - Fixed deposits increased from RMB 793,042 thousand in 2022 to RMB 6,922,803 thousand in 2023[157] - Short-term investments rose from RMB 2,665,047 thousand in 2022 to RMB 3,513,885 thousand in 2023[157] - Long-term investments were introduced in 2023, amounting to RMB 2,473,128 thousand[157] - Cash used in investing activities increased from RMB 2,816,581 thousand in 2022 to RMB 9,938,645 thousand in 2023, primarily due to increased purchases of property, equipment, and software, as well as long-term investments[167] - Cash and cash equivalents decreased from RMB 9,751,824 thousand at the beginning of 2023 to RMB 2,472,959 thousand at the end of 2023, a decrease of approximately 75%[168] - The company repurchased ordinary shares worth RMB 71,835 thousand in 2023, compared to RMB 918,894 thousand in 2022[168] - The company paid dividends of RMB 562,899 thousand in 2023, which was not done in the previous year[168] - Operating cash flow net amount: 893,078[182] - Investing cash flow net amount: (702,542)[182] - Financing cash flow net amount: (35,144)[182] - Net increase in cash and cash equivalents: 155,392[182] - Cash and cash equivalents at beginning of year: 864,851[182] - Cash and cash equivalents at end of year: 1,020,243[182] Corporate Governance and Compliance - The company has no interest-bearing bank or other borrowings, resulting in a debt-to-equity ratio of zero as of December 31, 2023[28] - The company had 5,346 full-time employees as of December 31, 2023, with 49.3% in sales and marketing and 26.1% in R&D[30][31] - A special cash dividend of $0.09 per ordinary share or $0.18 per ADS was paid in December 2023, with no annual dividend proposed for 2023[34] - The company made charitable donations of RMB 5.6 million in the fiscal year ending December 31, 2023[36] - The company did not issue any bonds during the fiscal year ending December 31, 2023[37] - The company faces risks related to technological innovation, user preferences, and competition in the online recruitment market, which could impact user growth and retention[38] - The company is exposed to risks from data protection and cybersecurity regulations in China, with potential penalties and operational impacts if compliance is not maintained[39] - The company's business is subject to risks from changes in China's economic, political, or social conditions, as well as government policies[39] - The company's U.S. depositary shares (ADS) may face delisting risks if PCAOB cannot inspect its auditors in China, potentially impacting investor value[39] - The company has contractual arrangements with consolidated affiliated entities, granting it control over their operations and economic benefits[40] - The company's foreign-invested enterprise, Beijing Hanlan Wolf, provides exclusive technical and service cooperation agreements to affiliated entities[41][42] - The consolidated affiliated entities generated revenue of RMB 5.8 billion during the reporting period, accounting for almost all of the company's revenue[46] - The total assets of the consolidated affiliated entities amounted to RMB 6.5 billion as of December 31, 2023, representing approximately 36.4% of the company's total consolidated assets[46] - The company operates through contractual arrangements due to restrictions on foreign investment in certain businesses, including "prohibited" and "restricted" categories under China's Negative List[47] - The company's A-class ordinary shares and American depositary shares represent ownership in a Cayman Islands holding company, not in the Chinese variable interest entities[47] - The contractual arrangements may be less effective than direct ownership in providing operational control over the variable interest entities[48] - The company's variable interest entity (VIE) structure may face significant adverse impacts if the VIE or its shareholders fail to fulfill their obligations under contractual arrangements, potentially affecting the company's operations and investment value[49] - The company is exposed to risks related to potential conflicts of interest between the VIE shareholders and the company, which could negatively impact its business[49] - The company's contractual arrangements with the VIE may be subject to scrutiny by Chinese tax authorities, potentially leading to additional tax liabilities and adverse effects on the company's financial condition[49] - The company's current corporate structure and business operations could be significantly affected by the Foreign Investment Law, which may impact the legality and enforceability of its VIE arrangements[49][50] - The company has implemented measures to ensure compliance with contractual arrangements, including regular board reviews and external legal consultations to address potential issues[49] - The company has obtained exemptions from the Hong Kong Stock Exchange regarding certain disclosure and approval requirements for its VIE-related transactions, allowing for greater flexibility in managing these arrangements[50][51] - The company's independent non-executive directors have confirmed that the transactions under the VIE arrangements are fair, reasonable, and in the best interests of shareholders[52] - The company's auditors have issued an unqualified opinion on the company's continuous connected transactions under the VIE arrangements, confirming compliance with relevant agreements and regulations[53] - The company operates under a dual-class share structure, where Class B shares hold 10 votes per share compared to Class A shares, granting significant voting control to certain beneficiaries despite their minority economic interest[54] - Zhao Peng controls 139,630,401 Class B shares, representing 15.8% of issued and outstanding shares and 65.3% of voting rights for non-reserved matters[55] - If all Class B shares are converted to Class A shares, the company would issue 139,630,401 Class A shares, accounting for 18.8% of total issued and outstanding Class A shares[55] - The company's senior management team consists of Zhao Peng, Zhang Yu, Chen Xu, and Zhang Tao, who are also executive directors[56] - Zhao Peng has over 19 years of experience in the internet industry and 25 years in human resource services[57] - Zhang Yu, CFO since 2019, has over 18 years of experience in research and investment in the technology, media, and telecom sectors[57] - Chen Xu, CMO since 2018, has over 23 years of marketing experience in Greater China[58] - Zhang Tao, CTO since the company's founding, has over 17 years of experience in software engineering and the internet industry[58] - Wang Xiehua, VP of Product since 2022, has over 11 years of experience in product management at internet companies[58] - Yu Haiyang, non-executive director since 2019, is currently VP of Tencent Investment and serves on the boards of DouYu and Waterdrop[59] - Sun Yonggang, independent non-executive director since 2021, is a partner at Zhongguancun M&A Fund and previously served as VP of Shougang Group[60] - The company's top five customers accounted for less than 1% of total revenue in 2023[71] - The top five suppliers accounted for approximately 42% of total procurement, with the largest supplier contributing around 12%[71] - No significant related party transactions requiring disclosure under Listing Rules Chapter 14A were identified during 2023[68] - The company maintained compliance with relevant laws and regulations impacting its business operations[72] - The company's public float remained in compliance with Listing Rules requirements as of the latest practicable date[73] - The company's board of directors includes two new independent non-executive directors appointed on October 18, 2023[61] - The company's directors and senior management are eligible participants in the 2020 equity incentive plan and post-IPO share plan[67] - No significant contracts or service agreements were entered into with the controlling shareholder or its subsidiaries during 2023[69] - The company's financial statements were audited by PricewaterhouseCoopers, which is proposed for re-election at the upcoming AGM[74] - The company's board has established a remuneration committee to formulate compensation policies[67] - The company adheres to high standards of corporate governance, ensuring shareholder interests and accountability, with compliance to all provisions of the Corporate Governance Code except for the separation of Chairman and CEO roles, which is currently held by Mr. Zhao[75] - The company emphasizes a healthy corporate culture, focusing on integrity, compliance, and risk control to achieve sustainable development and long-term shareholder value[76] - The company prioritizes user-first principles, leveraging deep learning and recommendation algorithms to enhance recruitment services, while maintaining high product quality and content governance[77] - The Board of Directors consists of nine members, including five executive directors, one non-executive director, and three independent non-executive directors, with Mr. Zhao serving as Chairman and CEO[78] - All directors participated in continuous professional development during the year, including training, seminars, and reading materials related to corporate governance and regulatory updates[80] - The company conducts anti-bribery and anti-corruption training for all employees, including full-time staff, interns, part-time workers, and contractors, to enhance awareness of business ethics[77] - The Board is responsible for major decisions, including policy, strategy, budget, internal control, risk management, and significant transactions, while management implements these decisions[78] - The company regularly reviews and updates internal policies, such as the Code of Business Conduct and Ethics, Anti-Corruption Policy, and Anti-Monopoly Compliance Guidelines, to align with legal requirements and business development[77] - External experts were invited to provide specialized training on business ethics and legal compliance for employees in legal, public affairs, and platform operations departments[77] - The company’s corporate governance framework ensures effective decision-making and leadership consistency, with Mr. Zhao’s dual role as Chairman and CEO facilitating strategic alignment and operational efficiency[75] - The company has received annual independence confirmation letters from independent non-executive directors, confirming their independence[82] - The Board of Directors held six meetings and one shareholders' meeting during the reporting period[83] - All directors attended the annual general meeting, with attendance rates for board meetings ranging from 5/6 to 6/6[84] - The company has established mechanisms to ensure the independence of the Board, including regular reviews by the Nomination and Remuneration Committees[85] - The Audit Committee, composed of three independent non-executive directors, held five meetings during the reporting period[86] - Reviewed the 2022 annual report, including corporate governance report, ESG report, board report, and financial statements[87] - Reviewed the 2023 interim report, including corporate governance report and unaudited condensed consolidated financial statements[87] - Reviewed the annual performance of the company and its subsidiaries for the years ending December 31, 2022, and 2023[87] - Reviewed the interim performance of the company and its subsidiaries for the six months ending June 30, 2023[87] - Reviewed the quarterly performance of the company and its subsidiaries for the periods ending March 31, 2023, June 30, 2023, September 30, 2023, and December 31, 2023[87] - Reviewed the external auditor's plans, reports, and non-audit services[87] - Reviewed the internal auditor's plans and work[87] - Reviewed the financial reporting system, internal controls, risk management systems, and procedures[87] - Approved a one-time performance cash bonus for senior management, recognizing their contributions to the company[88] - Approved stock awards under the post-IPO share plan for Mr. Zhang Tao, recognizing his contributions and providing incentives for future performance[88] - The company's board diversity policy has resulted in a gender diversity ratio of 22.22%, with 2 out of 9 board members being female[92] - The company has achieved a group-wide gender diversity ratio of 47.9% female employees, with 41.9% of management positions held by women[92] - The company's board members possess a balanced mix of knowledge and skills, including expertise in business management, e-commerce, software engineering, product management, finance, and law[92] - The company's board members hold degrees in various fields such as law, engineering, business administration, and mathematics[92] - The company's governance committee is responsible for reviewing and monitoring risks related to the company's dual-class share structure and potential conflicts of interest[94] - The

Investment Rating - The report maintains a "Buy" rating for BOSS Zhipin-W (2076) [4][6]. Core Views - The recruitment market is showing significant recovery, with the company experiencing an improvement in market conditions, expanding market share, and a continuous rise in profit margins [4]. - The adjusted net profit estimates for 2024 and 2025 have been raised to 2.648 billion and 3.810 billion RMB, respectively, reflecting an increase of 165 million and 617 million RMB [4]. - The company is positioned as a leading recruitment platform, with a target market capitalization of 79.4 billion RMB for 2024, corresponding to a target price of 98.33 HKD [4]. Financial Summary - Revenue for the latest quarter reached 1.580 billion RMB, representing a quarter-on-quarter increase of 4.01% [4]. - The net profit was reported at 331 million RMB, with an adjusted net profit of 628 million RMB, showing a significant recovery from a loss of 185 million RMB in the previous quarter [4]. - Monthly Active Users (MAU) increased to 41.2 million, a growth of 33% compared to the previous quarter [4]. - The number of annual paying enterprise users reached a record high of 5.2 million [4]. - The adjusted operating profit margin stood at 27.5% [4]. Market Dynamics - The demand for recruitment has stabilized since Q3 2023, with large enterprises showing a stronger recovery in hiring needs compared to small and medium enterprises [4]. - The active user ratio on the platform is shifting towards B-end users, indicating a positive trend in business client engagement [4]. - Sectors such as blue-collar services, machinery manufacturing, transportation logistics, and sales are experiencing upward trends in hiring demand [4].

Financial Performance - Revenue for the year ended December 31, 2023, was RMB 5,952,028, representing a 31.9% increase from RMB 4,511,062 in 2022[2] - Operating profit for 2023 was RMB 580,971, a significant recovery from an operating loss of RMB 129,519 in 2022[2] - Net profit surged to RMB 1,099,218 in 2023, up 925.0% from RMB 107,245 in 2022[2] - Adjusted net profit (non-GAAP) reached RMB 2,156,185, reflecting a 169.7% increase from RMB 799,449 in 2022[2] - Total revenue for the year ended December 31, 2023, was RMB 5,952,028, an increase from RMB 4,511,062 in the previous year, representing a growth of approximately 32.2%[32] - The company reported a net profit of RMB 1,099,218 for the year ended December 31, 2023, compared to RMB 107,245 in the previous year, indicating a significant increase[32] - The cash flow from operating activities for the year ended December 31, 2023, was RMB 3,047,009, up from RMB 1,003,042 in the previous year[34] - The company's total assets increased from RMB 14,826,867 as of December 31, 2022, to RMB 17,940,048 as of December 31, 2023, reflecting a growth of approximately 20.5%[33] - The company's total liabilities increased from RMB 3,186,104 as of December 31, 2022, to RMB 4,510,855 as of December 31, 2023[33] - The basic earnings per share increased significantly from RMB 0.12 in 2022 to RMB 1.26 in 2023, reflecting a growth of 950%[42] User Growth and Engagement - Average monthly active users (MAUs) grew by 47.4% to 42.3 million in 2023, compared to 28.7 million in 2022[5] - The number of paid enterprise customers reached a historical high of 5.2 million, contributing to a 44.9% increase in cash collections[6] - Revenue from key accounts (KA clients) rose from RMB 1,033.6 million in 2022 to RMB 1,261.7 million in 2023, marking an increase of about 22.0%[38] Cost and Expenses - Research and development expenses increased by 30.5% to RMB 1,543.6 million in 2023, primarily due to higher employee-related costs and technology investments[14] - Marketing expenses remained stable at RMB 1,991.2 million in 2023, compared to RMB 2,000.9 million in 2022, with a reduction in advertising costs offset by increased employee-related expenses[13] - Operating costs rose by 40.4% to RMB 1,059.9 million in 2023, mainly due to increased server and bandwidth costs[12] Shareholder Returns - A new share repurchase plan was approved by the board, allowing the company to repurchase up to USD 200 million of shares over the next 12 months starting March 20, 2024[9] - The company repurchased a total of 1,765,456 American Depositary Shares for a total consideration of $25,987,996.28 during the reporting period[28] - The company declared a special cash dividend of $0.09 per ordinary share, totaling approximately $79.2 million, which was fully paid in December 2023[49] Corporate Governance and Compliance - The audit committee reviewed the unaudited financial results for the year ended December 31, 2023, with no disagreements on accounting policies[27] - The company complied with all corporate governance codes during the reporting period, except for the separation of roles between the Chairman and CEO[24] Technology and Innovation - The company plans to enhance its technology infrastructure and optimize data analysis and deep learning capabilities to improve recommendation algorithms[9] - The company has developed a large model for generative AI services, which is the first of its kind in the recruitment industry to complete the filing under the "Interim Measures for the Management of Generative AI Services" in January 2024[9] Liabilities and Financial Position - The company has no significant contingent liabilities as of December 31, 2023[22] - The company has no major investment or capital asset future plans as of December 31, 2023[20] - The company does not use any derivative financial instruments to hedge foreign exchange risks but monitors currency risks regularly[21] Employee and Operational Metrics - The total number of employees as of December 31, 2023, was 5,346, with 49.3% in sales and marketing, 26.1% in R&D, 19.2% in operations, and 5.4% in general administration[23] - Customer advances increased to RMB 73,196 thousand in 2023 from RMB 58,630 thousand in 2022, showing a rise of 25%[48] Other Financial Metrics - The current income tax expense surged from RMB 427 thousand in 2022 to RMB 108,488 thousand in 2023, reflecting a significant increase of over 25,400%[41] - The amount payable for share repurchases was recorded at RMB 113,387 thousand in 2023, indicating a new liability category[48] - Other payables decreased significantly to RMB 17,832 thousand in 2023 from RMB 55,800 thousand in 2022, a decline of 68%[48]

Financial Performance - For Q4 2023, the revenue was RMB 1,580.2 million (USD 222.6 million), a 46.0% increase from RMB 1,082.3 million in Q4 2022[4] - For the full year 2023, the revenue reached RMB 5,952.0 million (USD 838.3 million), up 31.9% from RMB 4,511.1 million in 2022[4] - The net profit for Q4 2023 was RMB 331.2 million (USD 46.7 million), compared to a net loss of RMB 184.8 million in Q4 2022[4] - Adjusted net profit for Q4 2023 was RMB 628.6 million (USD 88.5 million), significantly up from RMB 59.5 million in Q4 2022[4] - The net profit for the year 2023 was RMB 1,099,218 thousand, compared to a net loss of RMB 107,245 thousand in 2022, marking a significant turnaround[22] - Adjusted net profit for the full year 2023 was RMB 2,156.2 million (USD 303.7 million), compared to RMB 799.4 million in 2022, driven by improved operational efficiency and increased interest and investment income[12] - The adjusted net profit for Q4 2023 was RMB 628,647 thousand, compared to a loss of RMB 184,793 thousand in Q4 2022, marking a turnaround of over 440%[25] User Metrics - The average monthly active users for Q4 2023 were 41.2 million, a 33.3% increase from 30.9 million in Q4 2022[4] - The total number of paying enterprise customers reached 5.2 million for the year, a 44.4% increase from 3.6 million in 2022[4] Operating Costs and Expenses - The operating costs for Q4 2023 totaled RMB 1,363.3 million (USD 192.0 million), a decrease of 4.4% from RMB 1,426.1 million in Q4 2022[6] - Total operating costs and expenses for the full year 2023 were RMB 5,406.4 million (USD 761.5 million), an increase of 16.1% from RMB 4,658.2 million in 2022[11] - Marketing expenses for Q4 2023 were RMB 433.5 million (USD 61.1 million), a 36.4% decrease from RMB 682.1 million in Q4 2022 due to reduced advertising costs[6] - R&D expenses for Q4 2023 were RMB 430.2 million (USD 60.6 million), an increase of 46.3% compared to RMB 294.1 million in Q4 2022, primarily due to higher employee-related costs and increased technology investments[7] Cash Flow and Liquidity - Operating cash flow for Q4 2023 was RMB 926.8 million (USD 130.5 million), a substantial increase from RMB 155.5 million in Q4 2022[9] - The net cash flow from operating activities for Q4 2023 was RMB 926,837 thousand, a significant increase from RMB 155,543 thousand in Q4 2022, representing a growth of 495%[24] - Cash and cash equivalents decreased to RMB 2,472,959 thousand as of December 31, 2023, down from RMB 9,751,824 thousand at the end of 2022[23] - The cash and cash equivalents at the end of Q4 2023 were RMB 2,472,959 thousand, a slight increase from RMB 2,444,620 thousand at the end of Q3 2022[24] - The company reported a net cash flow from financing activities of RMB (442,151) thousand in Q4 2023, down from RMB (627,954) thousand in Q4 2022, indicating reduced financing outflows[24] Future Outlook - The company expects total revenue for Q1 2024 to be between RMB 1.64 billion and RMB 1.67 billion, representing a year-over-year increase of 28.3% to 30.7%[16] - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[22] Recruitment Services - The online recruitment service revenue for enterprise clients in Q4 2023 was RMB 1,566.7 million (USD 220.7 million), a 46.5% increase from RMB 1,069.6 million in Q4 2022[5] - Revenue from online recruitment services for enterprise clients in 2023 was RMB 5,889.1 million (USD 829.5 million), up 32.0% from RMB 4,461.3 million in 2022, driven by user growth and engagement[10] Shareholder Returns - The company approved a new share repurchase plan in March 2024, allowing for the repurchase of up to USD 200 million of shares over a 12-month period[15] Financial Metrics and Definitions - The company utilizes non-GAAP financial metrics such as adjusted net profit and adjusted earnings per share to assess operational performance[19] - Non-GAAP financial metrics are not defined by US GAAP and should not replace the most directly comparable GAAP financial metrics[20] - The company emphasizes the importance of cash receipts as a key indicator of financial performance and service demand[19] - Cash receipts calculated from deferred revenue changes plus recognized income are used to measure sales growth, indicating strong service demand[19] Company Overview - The company operates China's leading online recruitment platform "BOSS Zhipin," which connects job seekers and corporate users through a highly interactive mobile application[21] - The mobile application focuses on intelligent recommendations and creates new scenarios in the online recruitment process[21] - The strong network effect from a large and diverse user base enhances recruitment efficiency and drives rapid expansion[21]

Financial Performance - For Q3 2023, the revenue was RMB 1,606.6 million (USD 220.2 million), an increase of 36.3% compared to RMB 1,178.6 million in Q3 2022[5] - The calculated cash receipts for Q3 2023 were RMB 1,635.8 million (USD 224.2 million), up 32.1% from RMB 1,238.2 million in the same period last year[5] - Net profit for Q3 2023 was RMB 425.7 million (USD 58.3 million), up 101.1% from RMB 211.7 million in Q3 2022[5] - Adjusted net profit for Q3 2023 was RMB 714.1 million (USD 97.9 million), an increase of 89.6% from RMB 376.6 million in the same quarter last year[5] - Operating profit for Q3 2023 was RMB 261.0 million (USD 35.8 million), an increase of 89.3% compared to RMB 137.9 million in Q3 2022[8] - Total revenue for the three months ended September 30, 2023, was RMB 1,606,636 thousand, representing a year-over-year increase of 36.3% from RMB 1,178,563 thousand in the same period of 2022[20] - Net profit for the three months ended September 30, 2023, was RMB 425,717 thousand, a significant increase of 100.5% compared to RMB 211,717 thousand in the same period of 2022[20] - Adjusted net profit for the nine months ended September 30, 2023, was RMB 1,527,538, a substantial increase of 106.5% from RMB 739,999 for the same period in 2022[24] User Metrics - The average monthly active users reached 44.6 million, a 37.7% increase from 32.4 million in Q3 2022[5] - The total number of paying enterprise customers was 4.9 million, a 32.4% increase from 3.7 million in the previous year[5] Expenses and Costs - The operating costs and expenses totaled RMB 1,358.7 million (USD 186.2 million), a 30.1% increase from RMB 1,044.1 million in Q3 2022[7] - Research and development expenses for Q3 2023 were RMB 414.4 million (USD 56.8 million), a 42.8% increase from RMB 290.2 million in Q3 2022[7] - The company reported a total operating cost of RMB 1,358,727 thousand for the three months ended September 30, 2023, which is an increase of 30.1% from RMB 1,044,125 thousand in the same period of 2022[20] Cash Flow and Assets - Cash flow from operating activities for Q3 2023 was RMB 812.6 million (USD 111.4 million), an increase of 121.7% compared to RMB 366.6 million in Q3 2022[10] - As of September 30, 2023, cash and cash equivalents totaled RMB 12,799.2 million (USD 1,754.3 million)[10] - Cash flow from operating activities for the nine months ended September 30, 2023, was RMB 2,120,172, compared to RMB 847,499 for the same period in 2022, indicating a significant increase of 150.3%[23] - Total assets increased to RMB 17,323,613 as of September 30, 2023, from RMB 14,826,867 as of December 31, 2022, reflecting a growth of 16.8%[22] - Cash and cash equivalents decreased to RMB 2,444,620 as of September 30, 2023, from RMB 9,751,824 at the beginning of the year, a decline of 74.9%[23] Shareholder Returns - The board approved a special cash dividend of approximately USD 80 million, reflecting the company's commitment to providing sustainable value to shareholders[5] - The company announced a special cash dividend of USD 0.09 per ordinary share and USD 0.18 per American Depositary Share, totaling approximately USD 80 million[11] Future Outlook - The company expects total revenue for Q4 2023 to be between RMB 1.51 billion and RMB 1.55 billion, representing a year-over-year increase of 39.6% to 43.3%[14] - A new share repurchase plan was approved in March 2023, allowing the company to repurchase up to USD 150 million of its shares within the next 12 months[13] - The company plans to continue expanding its user base and enhancing its mobile application features to improve recruitment efficiency and drive growth[20] Conference and Reporting - The company will hold a conference call on November 14, 2023, to discuss financial performance[15] - The company utilizes non-GAAP financial metrics to assess business performance, including adjusted net profit and adjusted earnings per share[17] Earnings Per Share - The diluted earnings per share for the three months ended September 30, 2023, was RMB 0.47, compared to RMB 0.23 in the same period of 2022[20] - The basic adjusted earnings per share for the three months ended September 30, 2023, was RMB 0.82, compared to RMB 0.43 for the same period in 2022, reflecting an increase of 90.7%[24]

Financial Performance - Revenue for the first half of 2023 reached RMB 2,765.2 million, representing a 22.9% increase compared to RMB 2,250.2 million in the same period of 2022[6] - Net profit for the first half of 2023 was RMB 342.3 million, a significant increase of 326.1% from RMB 80.3 million in the first half of 2022[6] - Adjusted net profit (non-GAAP) for the first half of 2023 was RMB 813.5 million, up 123.9% from RMB 363.4 million in the same period of 2022[6] - The company reported a pre-tax profit of RMB 383.7 million for the first half of 2023, a remarkable increase of 306.3% from RMB 94.4 million in the same period of 2022[6] - Total revenue increased by 22.9% from RMB 2,250.2 million in the first half of 2022 to RMB 2,765.2 million in the first half of 2023[19] - Revenue from online recruitment services for enterprise clients rose by 22.6% to RMB 2,730.9 million in the first half of 2023, compared to RMB 2,227.2 million in the same period of 2022[22] - Other services revenue, primarily from paid value-added services for job seekers, increased by 49.1% to RMB 34.3 million in the first half of 2023 from RMB 23.0 million in the first half of 2022[22] - Operating profit grew by 33.8% from RMB 73.0 million in the first half of 2022 to RMB 97.7 million in the first half of 2023[27] User Engagement - Average monthly active users reached 41.7 million in the first half of 2023, a 61.0% increase from 25.9 million in the first half of 2022[9] - The average daily active users to monthly active users ratio was 26.8% in the first half of 2023, consistent with the previous year[9] - The company reported a significant increase in daily active users, with a total of 1.5 million users logging in at least once per day on the BOSS recruitment mobile application[118] - The company reported a total of 55 million monthly active users as of June 30, 2023, indicating a significant user engagement[119] Operational Efficiency - The company aims to enhance operational efficiency to achieve sustainable high-quality growth in the future[10] - The company continues to focus on technology innovation and user experience optimization to strengthen its leadership in the online recruitment market in China[9] - The company is committed to continuous improvement in its operational efficiency and cost management strategies to enhance profitability[118] Expenses and Costs - Operating costs rose by 47.2% to RMB 517.5 million in the first half of 2023, up from RMB 351.6 million in the first half of 2022[23] - Marketing expenses increased by 19.4% to RMB 1,100.4 million in the first half of 2023, compared to RMB 921.9 million in the first half of 2022[24] - R&D expenses grew by 16.8% to RMB 699.0 million in the first half of 2023 from RMB 598.4 million in the first half of 2022[25] - General and administrative expenses increased by 16.3% to RMB 367.6 million in the first half of 2023, up from RMB 316.0 million in the first half of 2022[26] Cash Flow and Financial Position - As of June 30, 2023, total cash and cash equivalents, time deposits, and short-term investments amounted to RMB 12.8 billion, with a net cash flow from operating activities of RMB 1.3 billion for the first half of 2023[29] - The group had no interest-bearing bank or other borrowings as of June 30, 2023, resulting in a debt-to-equity ratio of zero[30][32] - Cash and cash equivalents decreased to RMB 2,740,769 thousand as of June 30, 2023, from RMB 9,751,824 thousand as of December 31, 2022, a decline of 71.9%[66] - Total assets increased to RMB 16,382,801 thousand as of June 30, 2023, from RMB 14,826,867 thousand as of December 31, 2022, representing a growth of 10.5%[66] - Total liabilities rose to RMB 3,550,793 thousand as of June 30, 2023, compared to RMB 3,186,104 thousand as of December 31, 2022, an increase of 11.5%[66] Corporate Governance - The company has complied with all provisions of the corporate governance code, except for the separation of roles between the Chairman and CEO, which is held by Mr. Zhao[38] - The company has established a corporate governance committee to ensure compliance with regulations and protect shareholder interests[43] - The corporate governance committee consists of three independent non-executive directors, with Zhao Peng serving as the chairman[43] Share Structure and Incentives - The company has a dual-class share structure, with Class A shares granting one vote and Class B shares granting ten votes, allowing significant voting control to Mr. Zhao, who holds approximately 16.2% of the issued shares[36] - The company has a total of 19,355,262 Class A shares reserved for future grants under the share incentive plan, which will affect voting rights if exercised[36] - The board of directors has approved a share incentive plan to motivate key employees, which is expected to drive productivity and innovation[120] Future Outlook - The company has outlined future performance guidance, aiming for a revenue growth rate of 20% year-over-year for the next fiscal year[118] - The company plans to expand its market presence in Southeast Asia, targeting a 15% increase in user acquisition by the end of 2024[120] - New product launches are expected to contribute an additional RMB 300 million in revenue for the second half of 2023[120] - A strategic acquisition is in progress, which is projected to enhance the company's market share by 10%[120]

Financial Performance - Revenue for the six months ended June 30, 2023, was RMB 2,765,161 thousand, representing a 22.9% increase from RMB 2,250,224 thousand in the same period of 2022[2] - Operating profit increased by 33.8% to RMB 97,732 thousand for the six months ended June 30, 2023, compared to RMB 73,029 thousand in the prior year[2] - Net profit surged by 326.1% to RMB 342,260 thousand for the six months ended June 30, 2023, up from RMB 80,321 thousand in the same period of 2022[2] - Adjusted net profit (non-GAAP) reached RMB 813,453 thousand, a 123.9% increase from RMB 363,367 thousand in the same period of 2022[2] - Total revenue increased by 22.9% from RMB 2,250.2 million in the first half of 2022 to RMB 2,765.2 million in the first half of 2023[16] - Revenue from online recruitment services for corporate clients rose by 22.6% to RMB 2,730.9 million in the first half of 2023, compared to RMB 2,227.2 million in the same period of 2022[15] - The company achieved a net profit of RMB 309.6 million and an adjusted net profit of RMB 568.5 million in Q2 2023, both representing historical highs for the company[6] - The company reported a pre-tax profit of RMB 383,740 thousand for the six months ended June 30, 2023, up from RMB 94,444 thousand in the same period of 2022, indicating a growth of approximately 305.5%[40] User Engagement - Average monthly active users (MAUs) increased by 61.0% to 41.7 million for the six months ended June 30, 2023, compared to 25.9 million in the same period of 2022[5] - The average daily active users (DAUs) as a percentage of MAUs remained stable at 26.8% for the first half of 2023[5] Expenses and Investments - Marketing expenses rose by 19.4% to RMB 1,100.4 million in the first half of 2023, compared to RMB 921.9 million in the first half of 2022[18] - Research and development expenses increased by 16.8% to RMB 699.0 million in the first half of 2023, up from RMB 598.4 million in the same period of 2022[19] - The company invested RMB 100.0 million in August 2023 to acquire approximately 1.38% equity in a technology company[59] Cash and Assets - Cash and cash equivalents, along with short-term investments, totaled RMB 12.8 billion as of June 30, 2023[24] - Cash and cash equivalents decreased to RMB 2,740,769 thousand as of June 30, 2023, down from RMB 9,751,824 thousand as of December 31, 2022, a decline of approximately 71.9%[41] - Total assets increased to RMB 16,382,801 thousand as of June 30, 2023, from RMB 14,826,867 thousand as of December 31, 2022, representing a growth of approximately 10.5%[41] - The total amount of fixed deposits and short-term investments grew from RMB 3,458.1 million as of December 31, 2022, to RMB 10,050.1 million as of June 30, 2023, an increase of about 190.5%[53] Corporate Governance and Shareholder Communication - The audit committee, consisting of three independent non-executive directors, reviewed the unaudited consolidated financial statements for the six months ended June 30, 2023[37] - The company complied with all corporate governance codes during the reporting period, except for the separation of roles between the chairman and CEO[35] - The announcement reflects the company's commitment to corporate governance[60] - The board is actively involved in overseeing the company's operations and performance[60] - The company is focused on transparency and timely communication with stakeholders[60] - The interim report will include key financial metrics and operational highlights[60] Future Outlook and Strategy - The company continues to focus on technology innovation and user experience optimization to strengthen its leadership in the online recruitment market in China[5] - The company is confident in further improving operational efficiency to achieve sustainable high-quality growth in the future[6] - The company plans to enhance its technology infrastructure and optimize data analytics and deep learning capabilities to improve user experience[14] - The company aims to expand its user base across various industries and regions in the second half of 2023[14] Share Repurchase and Debt - The company approved a share repurchase plan allowing for the buyback of up to $150 million worth of shares over the next 12 months[13] - The company repurchased a total of 721,426 American Depositary Shares (equivalent to 1,442,852 Class A ordinary shares) for a total consideration of $9,999,822.98 during the reporting period[38] - The highest price paid per share during the buyback was $7.185, while the lowest was $6.585[38] - The company's debt ratio was zero as of June 30, 2023, with no borrowings reported[29] Tax and Liabilities - Total income tax expense surged from RMB 14.1 million in 2022 to RMB 41.5 million in 2023, marking an increase of approximately 194.5%[50] - The deferred income tax expense for 2023 was RMB 14.4 million, indicating the company’s strategic tax planning efforts[50] - The total liabilities for other payables and accrued liabilities decreased from RMB 633.5 million as of December 31, 2022, to RMB 520.0 million as of June 30, 2023, a reduction of about 17.8%[58] Employee Statistics - The company had a total of 5,434 employees as of June 30, 2023, with 49.7% in sales and marketing, 24.8% in R&D, and 20.4% in operations[32] Legal and Regulatory Matters - The company has not been involved in any significant litigation or arbitration during the reporting period[39] - There were no major events after the reporting period that could impact the company[39]

Financial Performance - For Q2 2023, the revenue was RMB 1,487.6 million (USD 205.2 million), an increase of 33.7% compared to RMB 1,112.3 million in Q2 2022[4] - The calculated cash receipts for Q2 2023 were RMB 1,619.5 million (USD 223.3 million), up 65.4% from RMB 979.2 million in the same period last year[4] - The net profit for Q2 2023 was RMB 309.6 million (USD 42.7 million), a significant increase of 234.7% from RMB 92.5 million in Q2 2022[4] - The adjusted net profit for Q2 2023 was RMB 568.5 million (USD 78.4 million), up 134.6% from RMB 242.3 million in the same quarter last year[4] - Operating profit for Q2 2023 was RMB 175.0 million (USD 24.1 million), an increase of 129.4% compared to RMB 76.3 million in Q2 2022[8] - Total revenue for the three months ended June 30, 2023, was RMB 1,487,615 thousand, representing a 33.7% increase from RMB 1,112,344 thousand in the same period of 2022[18] - Net profit attributable to ordinary shareholders for the three months ended June 30, 2023, was RMB 309,597 thousand, a significant increase of 234.5% compared to RMB 92,493 thousand in the same period of 2022[18] - Total revenue for the six months ended June 30, 2023, was RMB 2,765,161,000, representing a year-over-year increase from RMB 2,250,224,000[22] - Net profit for the three months ended June 30, 2023, was RMB 309,597,000, compared to RMB 92,493,000 for the same period in 2022, reflecting a significant increase[22] - Adjusted net profit for the six months ended June 30, 2023, was RMB 813,453,000, compared to RMB 363,367,000 for the same period in 2022[22] User and Customer Growth - The average monthly active users reached 43.6 million, a 64.5% increase from 26.5 million in Q2 2022[4] - The total number of paying enterprise customers was 4.5 million, an 18.4% increase from 3.8 million as of June 30, 2022[4] Expenses and Costs - Operating costs and expenses totaled RMB 1,310.8 million (USD 180.8 million), a 25.8% increase from RMB 1,041.8 million in Q2 2022[6] - Marketing expenses for Q2 2023 were RMB 471.6 million (USD 65.0 million), an 18.0% increase from RMB 399.5 million in Q2 2022[7] - R&D expenses for Q2 2023 were RMB 365.9 million (USD 50.5 million), an 18.9% increase from RMB 307.7 million in Q2 2022[7] - The company reported a total operating cost of RMB 1,310,808 thousand for the three months ended June 30, 2023, which is a 25.8% increase from RMB 1,041,790 thousand in the same period of 2022[18] - Research and development expenses for the six months ended June 30, 2023, totaled RMB 698,975 thousand, an increase of 16.8% from RMB 598,425 thousand in the same period of 2022[18] Cash Flow and Investments - Net cash flow from operating activities for Q2 2023 was RMB 763.7 million (USD 105.3 million), representing a 308.6% increase from RMB 186.9 million in Q2 2022[10] - Cash flow from operating activities for the six months ended June 30, 2023, was RMB 1,307,618,000, up from RMB 480,948,000 in the same period of 2022[21] - The company reported a net cash outflow from investing activities of RMB (8,390,368,000) for the six months ended June 30, 2023, compared to RMB (97,909,000) for the same period in 2022[21] Future Outlook - The company expects total revenue for Q3 2023 to be between RMB 1.53 billion and RMB 1.56 billion, reflecting a year-over-year increase of 29.8% to 32.3%[12] - The company aims to enhance operational efficiency for sustainable high-quality growth in the future[5] Shareholder Information - Basic and diluted earnings per American Depositary Share for Q2 2023 were RMB 0.71 (USD 0.10) and RMB 0.69 (USD 0.09), respectively, compared to RMB 0.21 and RMB 0.20 in Q2 2022[9] - Adjusted earnings per American Depositary Share for Q2 2023 were RMB 1.31 (USD 0.18) and RMB 1.26 (USD 0.17), up from RMB 0.56 and RMB 0.53 in the same period last year[9] - The board approved a share repurchase plan in March 2023, allowing the company to repurchase up to USD 150 million worth of shares over the next 12 months[11] Financial Position - As of June 30, 2023, cash and cash equivalents, along with short-term investments, totaled RMB 12,790.8 million (USD 1,763.9 million)[11] - Total assets increased from RMB 14,826,867,000 as of December 31, 2022, to RMB 16,382,801,000 as of June 30, 2023[20] - Cash and cash equivalents decreased from RMB 9,751,824,000 at the end of 2022 to RMB 2,740,769,000 by June 30, 2023[21] - Deferred revenue increased from RMB 2,060,892,000 as of December 31, 2022, to RMB 2,564,777,000 as of June 30, 2023[20] - The total liabilities rose from RMB 3,186,104,000 at the end of 2022 to RMB 3,550,793,000 by June 30, 2023[20] - The company’s total equity increased from RMB 11,640,763,000 as of December 31, 2022, to RMB 12,832,008,000 as of June 30, 2023[20] Non-GAAP Metrics - The company emphasizes the importance of non-GAAP financial metrics to assess operational performance and trends[15]

Financial Performance - For Q1 2023, the revenue was RMB 1,277.5 million (USD 186.0 million), an increase of 12.3% compared to RMB 1,137.9 million in Q1 2022[4] - The calculated cash receipts for Q1 2023 were RMB 1,649.6 million (USD 240.2 million), up 27.7% from RMB 1,291.5 million in Q1 2022[4] - The net profit for Q1 2023 was RMB 32.7 million (USD 4.8 million), compared to a net loss of RMB 12.2 million in Q1 2022[4] - Adjusted net profit for Q1 2023 was RMB 245.0 million (USD 35.7 million), a 102.3% increase from RMB 121.1 million in Q1 2022[4] - Operating cash flow for Q1 2023 was RMB 543.9 million (USD 79.2 million), up 85.0% from RMB 294.0 million in Q1 2022[9] - Total revenue for the three months ended March 31, 2023, was RMB 1,277,546 thousand, representing a 12.3% increase from RMB 1,137,880 thousand in the same period of 2022[15] - The net profit for the three months ended March 31, 2023, was RMB 32,663 thousand, a turnaround from a net loss of RMB 12,172 thousand in the same period of the previous year[19] - Adjusted net profit for the three months ended March 31, 2023, was RMB 244,954 thousand, compared to RMB 121,054 thousand for the same period in 2022, reflecting a significant increase of approximately 102.5%[19] User Metrics - The average monthly active users in Q1 2023 reached 39.7 million, a 57.5% increase from 25.2 million in Q1 2022[4] - The total number of paid enterprise customers remained stable at 4.0 million as of March 31, 2023, compared to the same period in 2022[4] Expenses - Operating costs and expenses totaled RMB 1,373.7 million (USD 200.0 million) in Q1 2023, a 19.9% increase from RMB 1,146.1 million in Q1 2022[6] - Marketing expenses in Q1 2023 were RMB 628.8 million (USD 91.6 million), up 20.4% from RMB 522.4 million in Q1 2022[6] - Research and development expenses for Q1 2023 were RMB 333.1 million (USD 48.5 million), an increase of 14.6% from RMB 290.7 million in Q1 2022[6] - The company reported a significant increase in equity incentive expenses, which rose to RMB 212,291 thousand for the three months ended March 31, 2023, from RMB 133,226 thousand in the same period of 2022, an increase of approximately 59.4%[19] Shareholder Information - The adjusted earnings per American Depositary Share (ADS) for Q1 2023 were RMB 0.57 (USD 0.08), compared to RMB 0.28 in Q1 2022, reflecting strong growth[8] - The basic and diluted net profit per ADS for Q1 2023 were RMB 0.08 (USD 0.01) and RMB 0.07 (USD 0.01), respectively, compared to a loss of RMB 0.03 in the same period of 2022[8] - The company approved a new share repurchase plan in March 2023, allowing for the repurchase of up to USD 150 million worth of shares over the next 12 months[9] Future Outlook - The company expects total revenue for Q2 2023 to be between RMB 1.43 billion and RMB 1.46 billion, representing a year-over-year increase of 28.6% to 31.3%[9] - The company continues to focus on market expansion and new product development as part of its strategic initiatives moving forward[19] Cash and Assets - As of March 31, 2023, cash and cash equivalents, along with short-term investments, totaled RMB 13,456.1 million (USD 1,959.4 million)[9] - Cash and cash equivalents decreased to RMB 6,254,572 thousand as of March 31, 2023, down from RMB 9,751,824 thousand as of December 31, 2022[17] - Total assets as of March 31, 2023, were RMB 15,004,876 thousand, an increase from RMB 14,826,867 thousand as of December 31, 2022[17] Other Financial Metrics - The company emphasizes the importance of non-GAAP financial metrics for assessing business performance, which should not be solely relied upon[12] - The company reported a foreign exchange loss of RMB 1,099 thousand for the three months ended March 31, 2023, compared to a loss of RMB 442 thousand in the same period of 2022[15] - Deferred revenue increased to RMB 372,011 thousand for the three months ended March 31, 2023, from RMB 153,640 thousand in the same period of 2022, representing a growth of approximately 142.5%[19]

Financial Performance - Total revenue for 2022 was RMB 4,511,062 thousand, representing a 5.9% increase from RMB 4,259,128 thousand in 2021[6]. - The adjusted net profit for 2022 was RMB 799,449 thousand, a decrease of 6.2% from RMB 852,572 thousand in 2021[6]. - Operating loss for 2022 was RMB (129,519) thousand, a significant improvement from RMB (1,036,320) thousand in 2021, reflecting an 87.5% reduction[6]. - Net profit for 2022 was RMB 107.2 million, a significant turnaround from a net loss of RMB 1 billion in 2021[26]. - Total revenue increased by 5.9% from RMB 43 billion in 2021 to RMB 45 billion in 2022, driven by continuous investment in service capabilities[20]. - Revenue from online recruitment services for corporate clients was RMB 4,461.3 million in 2022, up 5.7% from RMB 4,219.0 million in 2021[20]. - Other services revenue, primarily paid value-added services for job seekers, rose by 24.2% to RMB 49.8 million in 2022 from RMB 40.1 million in 2021[20]. - Operating costs increased by 36.1% from RMB 554.6 million in 2021 to RMB 754.9 million in 2022, mainly due to higher employee-related expenses and server costs[21]. - Marketing expenses rose by 3.0% to RMB 2 billion in 2022, influenced by increased brand advertising costs during the 2022 FIFA World Cup[22]. - R&D expenses surged by 43.9% to RMB 1.2 billion in 2022, attributed to higher employee-related costs[23]. - General and administrative expenses decreased by 63.9% to RMB 719.7 million in 2022, following a one-time equity incentive expense of RMB 1.5 billion in 2021[24]. User Engagement - The number of monthly active users for 2022 reached 28.7 million, up 5.9% from 27.1 million in 2021[9]. - The average daily active users as a percentage of monthly active users remained stable at 27.2% in 2022, consistent with 2021[9]. - The CEO highlighted strong user growth and engagement since early 2023, indicating a recovery in recruitment demand[10]. - The CFO noted robust financial performance despite external challenges, maintaining efficient marketing activities while scaling user growth[10]. - The company continues to focus on technology innovation and enhancing user experience to strengthen its leadership in the online recruitment market[9]. - The platform connects job seekers and employers through a highly interactive mobile application, emphasizing a seamless user experience[11]. Cash and Assets - Cash and cash equivalents increased by 8.0% to RMB 132 billion as of December 31, 2022, from RMB 122 billion at the end of 2021[26]. - As of December 31, 2022, the company had no interest-bearing bank loans or other borrowings, resulting in a debt-to-equity ratio of zero[27][28]. - The total number of employees as of December 31, 2022, was 5,602, with 46.8% in sales and marketing, 25.8% in R&D, 22.4% in operations, and 5.0% in general administration[31]. - The company reported an operating loss of RMB 129.5 million in 2022, compared to an operating loss of RMB 1 billion in 2021[25]. - The company reported a significant increase in investment income, which rose to RMB 65,150 in 2022 from RMB 24,744 in 2021, an increase of 163.5%[161]. - Total assets increased to RMB 14,826,867 in 2022, up from RMB 13,641,623 in 2021, reflecting a growth of 8.7%[160]. Regulatory and Compliance Risks - The company faces risks related to currency fluctuations, as most revenues and expenses are denominated in RMB while cash and cash equivalents are primarily in USD[29]. - The company must comply with complex and evolving laws and regulations in mainland China, which could impact its operations and growth[37]. - The company is exposed to competition in the online recruitment market in China, which may impact its market share and financial performance[36]. - The company has significant risks associated with variable interest entity structures, which may be impacted by changes in Chinese laws and regulations[175]. - The company’s ability to execute contracts related to variable interest entities may be limited due to uncertainties in the Chinese legal system[175]. Corporate Governance - The board consists of nine members, including five executive directors, one non-executive director, and three independent non-executive directors[80]. - The company has adhered to all corporate governance code provisions as per the listing rules, except for the separation of roles between the Chairman and CEO[77]. - The company emphasizes a healthy corporate culture as essential for long-term success and sustainable development[78]. - The board will periodically reassess the separation of roles between the Chairman and CEO to ensure effective decision-making[77]. - The company is committed to high standards of corporate governance to protect shareholder interests and enhance accountability[78]. - The company has established a remuneration committee to review and recommend the remuneration of directors and senior management, consisting of two independent non-executive directors and one executive director[89]. Shareholder Relations - The company emphasizes effective communication with shareholders to enhance investor relations and understanding of business performance and strategies[114]. - The company is committed to timely and accurate disclosure of information to shareholders and the public[114]. - The company has established a shareholder communication policy to ensure ongoing dialogue with shareholders, particularly during annual general meetings[114]. - Major shareholders include Image Architecture Investment (Hong Kong) Limited and Tencent Holdings Limited, each holding 72,309,691 Class A ordinary shares, representing 9.98% of the total[120]. Equity Incentive Plans - The company has implemented a stock incentive plan for management and eligible employees, with expenses recognized based on the fair value of the awards granted[197]. - The maximum number of new shares that can be issued under the 2020 Share Incentive Plan is 145,696,410 shares, with an annual increase of 1.5% based on the total issued and outstanding shares[125]. - The 2020 Share Incentive Plan aims to attract and retain top talent by providing selected employees, directors, and consultants with additional rewards and opportunities to acquire shares[123]. - The company has not granted any options or awards under the 2020 Share Incentive Plan or the post-IPO share plan during the reporting period[122]. Audit and Financial Reporting - The independent auditor's report confirms that the consolidated financial statements reflect the group's financial position as of December 31, 2022, in accordance with US GAAP[149]. - The auditor's remuneration for audit and audit-related services for the years ended December 31, 2021, and 2022 was RMB 13,910 thousand and RMB 18,983 thousand, respectively, showing an increase in audit fees[196]. - The company has adopted ASC 842 for operating leases, recognizing right-of-use assets and lease liabilities based on the present value of lease payments[197]. - The company has not recognized any significant uncertain tax positions as of December 31, 2022, indicating a stable tax compliance status[198].