Financial Performance - In 2022, the company achieved a revenue of RMB 2,728.3 million, a year-on-year decline of 12.7%[22] - The net profit attributable to shareholders was RMB 226.4 million, down 37.6% compared to the previous year[22] - Gross profit was approximately RMB 494.0 million, down 32.6% year-on-year[25] - Profit before tax was approximately RMB 278.8 million, a decrease of 37.3% compared to the previous year[25] - The logistics and supply chain services segment generated revenue of approximately RMB 1,982.7 million, a decrease of 1.1% year-on-year, accounting for 72.7% of total revenue[28] - The supply chain finance services segment reported revenue of approximately RMB 570.9 million, down 27.2% year-on-year[28] - Revenue from the logistics and supply chain services segment decreased by approximately 1.1% from RMB 2,004.6 million in 2021 to RMB 1,982.7 million in 2022, primarily due to a significant drop in product sales[42] - The supply chain finance services segment saw a revenue decline of about 27.2%, from RMB 784.0 million in 2021 to RMB 570.9 million in 2022, attributed to a sharp decrease in the production and sales of commercial vehicles[43] - Revenue from the Internet of Vehicles and data services segment fell by approximately 48.4%, from RMB 338.3 million in 2021 to RMB 174.7 million in 2022, mainly due to the impact of the pandemic on product sales[44] - Total revenue for the year ended December 31, 2022, was RMB 2,234.3 million, a decrease of approximately 6.7% from RMB 2,394.4 million in 2021[47] Operational Highlights - The company provided supply chain services for approximately 72,400 commercial vehicles and logistics services for about 53,700 vehicles in 2022[22] - The company completed over ten product development and data quality improvement projects in 2022[23] - As of December 31, 2022, approximately 994,900 heavy commercial vehicles were connected to the company's IoT platform[23] - The company plans to enhance its integrated service capabilities across the entire industry chain, focusing on logistics, supply chain finance, and IoT services in 2023[34] - The company aims to accelerate the development of a cloud control platform for autonomous driving services and expand into the new energy sector[33] Investment and Financing - The financing lease and factoring business had a cumulative new investment of RMB 6,733.8 million in 2022[22] - The company’s asset-backed securities (ABS) issuance totaled RMB 1,500 million in 2022[22] - The company issued a total of RMB 1,500 million in asset-backed securities (ABS) in 2022 to diversify funding sources[31] - The company plans to utilize the raised funds for the construction of a digital storage and distribution network for commercial vehicles, with a budget of HKD 377.7 million[127] Cost and Expense Management - Employee benefits expenses in sales increased to RMB 34.7 million, representing 75.5% of total sales expenses, up from 71.4% in 2021[51] - Total sales expenses rose by approximately 20.3% to RMB 46.0 million in 2022, primarily due to an increase in sales personnel and market expansion costs[51] - Administrative expenses decreased by approximately 4.9% from RMB 1,277.4 million in 2021 to RMB 1,214.7 million in 2022, primarily due to reduced business entertainment and travel expenses related to the pandemic[17] - R&D expenses increased by approximately 36.1% from RMB 305.3 million in 2021 to RMB 414.8 million in 2022, driven by intensified development efforts in the connected vehicle and data services sectors[55] Risk Management - The company aims to enhance risk prevention awareness and improve compliance and risk control systems to address systemic risks[36] - The company has established credit policies to monitor credit risk exposure related to cash and cash equivalents, restricted bank deposits, and trade receivables[98] - The company has established a risk management policy to identify, analyze, mitigate, and monitor various operational risks, ensuring effective long-term business development[124] - The company monitors key risk indicators such as overdue rates in supply chain finance and employee turnover rates to manage potential risks[200] Corporate Governance - The company has complied with all relevant laws and regulations in China, with no significant violations reported for the fiscal year ending December 31, 2022[121] - The company emphasizes the importance of independent judgment and oversight from its independent directors[104][105][106] - The board consists of nine members, including three independent non-executive directors, ensuring a diverse governance structure[180] - The audit committee has reviewed the annual performance report and financial statements, confirming compliance with applicable accounting standards and listing rules[173] - The company has established appropriate channels for employees to report misconduct confidentially, ensuring fair investigations[188] Shareholder Information - The company reported a proposed final dividend of RMB 0.4336 per 10 shares for the fiscal year ending December 31, 2022[118] - As of December 31, 2022, the company had reserves available for distribution to shareholders amounting to approximately RMB 299.8 million[128] - The top five customers accounted for approximately 44.2% of total revenue for the year ended December 31, 2022, up from 31.2% in the previous year[129] - The largest single customer represented about 16.3% of total revenue for the year ended December 31, 2022, compared to 22.0% in the prior year[129] Management and Leadership - The company has a strong management team with extensive experience in finance and operations, including the CFO with over 13 years of financial management experience[114] - The management team has a strong background in finance, engineering, and business management, which supports the company's strategic decision-making[103][107] - The company is focused on enhancing its operational management and expanding its market presence through experienced leadership[103][107] Future Outlook - The company plans to enhance its core competitiveness and expand independent third-party customer business in 2023[23] - The company aims to accelerate investment in the new energy industry and develop new business models and services[23] - The company plans to continue focusing on market expansion and new product development to enhance revenue streams in the upcoming fiscal year[49]

Financial Performance - The total revenue for the year ended December 31, 2022, was RMB 2,728,298 thousand, a decrease of 12.7% compared to RMB 3,126,850 thousand in 2021[2] - The gross profit for the year was RMB 494,042 thousand, down 32.5% from RMB 732,409 thousand in the previous year[2] - The operating profit decreased to RMB 274,346 thousand, a decline of 36.8% from RMB 433,942 thousand in 2021[2] - The net profit for the year was RMB 220,035 thousand, representing a decrease of 40.3% compared to RMB 368,737 thousand in 2021[3] - Basic earnings per share for the year were RMB 0.12, down from RMB 0.22 in the previous year[3] - Profit before income tax was approximately RMB 278.8 million, reflecting a decrease of 37.3% compared to 2021[33] - Pre-tax profit decreased by 37.3% from RMB 4,446 million in 2021 to RMB 2,788 million in 2022, impacted by adverse factors such as the pandemic and industry downturn[70] - Net profit for the year was approximately RMB 2,200 million in 2022, down from RMB 3,687 million in 2021, with a net profit margin of 8.1% compared to 11.8% in the previous year[72] Assets and Liabilities - Total assets as of December 31, 2022, were RMB 9,172,653 thousand, a decrease from RMB 10,188,027 thousand in 2021[7] - Total liabilities decreased to RMB 5,837,104 thousand from RMB 7,738,280 thousand in the previous year[7] - The company's equity attributable to shareholders increased to RMB 3,338,455 thousand from RMB 2,444,375 thousand in 2021[6] - Current assets decreased by RMB 751 million to approximately RMB 6,898 million as of December 31, 2022, primarily due to reductions in inventory and short-term receivables[72] - Current liabilities decreased by RMB 1,555 million to approximately RMB 4,590 million as of December 31, 2022, mainly due to reduced business volume across various sectors[72] Revenue Segmentation - The logistics and supply chain services segment generated revenue of RMB 2,003,183 thousand, while the financial services segment contributed RMB 579,271 thousand, and data services brought in RMB 175,155 thousand[12] - The logistics and supply chain services segment generated revenue of approximately RMB 1,982.7 million, down 1.1% year-on-year, accounting for 72.7% of total revenue[36] - The supply chain finance services segment reported revenue of approximately RMB 570.9 million, a decline of 27.2% year-on-year[36] - Revenue from the logistics and supply chain services segment decreased by approximately 1.1% from RMB 2,004.6 million in 2021 to RMB 1,982.7 million in 2022, primarily due to a 44.3% drop in product sales[50] - The supply chain finance services segment saw a revenue decline of about 27.2%, from RMB 784.0 million in 2021 to RMB 570.9 million in 2022, largely due to a significant drop in the production and sales volume of commercial vehicles[51] - Revenue from the Internet of Vehicles and data services segment fell by approximately 48.4%, from RMB 338.3 million in 2021 to RMB 174.7 million in 2022, mainly due to the impact of the pandemic[52] Costs and Expenses - The total cost for the year was RMB 2,234.3 million, representing 81.9% of total revenue, compared to RMB 2,394.4 million or 76.6% of total revenue in 2021[54] - The cost of logistics and supply chain services was RMB 1,892.9 million, accounting for 69.4% of total revenue, while the supply chain finance services segment's cost was RMB 264.5 million, representing 9.7% of total revenue[54] - Sales expenses increased by approximately 20.3% from RMB 38.2 million in 2021 to RMB 46.0 million in 2022, driven by an increase in sales personnel and related costs[60] - Administrative expenses decreased by about 4.9% from RMB 127.7 million in 2021 to RMB 121.5 million in 2022, mainly due to reduced business entertainment and travel expenses[62] Research and Development - Research and development expenses rose to RMB 41,476 thousand, an increase of 36% compared to RMB 30,533 thousand in 2021[2] - R&D expenses increased by approximately 36.1% from RMB 305 million in 2021 to RMB 415 million in 2022, primarily due to enhanced internal application platform development in the IoT and data services sectors[64] Cash Flow and Financing - Net cash used in operating activities was RMB 142.7 million for the year ended December 31, 2022, a decrease of RMB 328.0 million compared to the previous year, reflecting reduced scale in financing lease business[86] - Net cash used in investing activities was RMB 32.1 million for the year ended December 31, 2022, an increase of RMB 12.7 million compared to the previous year, mainly due to increased investment in logistics equipment[87] - As of December 31, 2022, the net cash from financing activities was RMB 1,110.4 million, an increase of RMB 603.9 million compared to the same period in 2021[89] - The total capital expenditure for the year ended December 31, 2022, was RMB 65.2 million, with investments in property, plant, and equipment amounting to RMB 24.7 million[90] Market Outlook and Strategy - Future outlook indicates a projected revenue growth of 10% for the next fiscal year, driven by new product launches and market expansion strategies[123] - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in sales in that region over the next two years[123] - The company aims to enhance its integrated service capabilities across the entire industry chain, focusing on logistics, supply chain finance, and IoT services in 2023[41] - The company plans to accelerate the development of new energy businesses and cloud control platforms for autonomous driving services[41] Corporate Governance - The audit committee has reviewed the annual performance announcement for the year ending December 31, 2022, confirming compliance with applicable accounting standards[117] - The company continues to review and monitor its corporate governance practices to ensure compliance with governance codes[116]

Revenue Performance - The company reported a revenue of approximately RMB 1,429.8 million for the first half of 2022, a decrease of 23.6% year-on-year[8]. - Revenue from logistics and supply chain services was approximately RMB 1,023.8 million, down 18.5% year-on-year, accounting for 71.6% of total revenue[8]. - The supply chain financial services segment generated revenue of approximately RMB 311.2 million, a decrease of 23.9% year-on-year, representing 21.8% of total revenue[8]. - The company's revenue for the six months ended June 30, 2022, was RMB 1,429.8 million, a decrease of 23.6% compared to RMB 1,871.7 million for the same period in 2021[17]. - The logistics and supply chain services segment generated RMB 1,023.8 million, accounting for 71.6% of total revenue, down from RMB 1,256.3 million (67.1%) in the previous year, primarily due to the impact of the pandemic and economic downturn[18][20]. - The supply chain finance services segment reported revenue of RMB 311.2 million, a decrease of 23.9% from RMB 409.2 million, also affected by reduced leasing volumes due to the pandemic[21]. - The IoT and data services segment's revenue fell by approximately 54.0% to RMB 94.8 million from RMB 206.2 million, significantly impacted by the latest wave of COVID-19[22]. - Total revenue for the six months ended June 30, 2022, was RMB 1,429,785 thousand, a decrease from RMB 1,871,696 thousand in the same period of 2021, representing a decline of approximately 23.5%[79]. Profitability - Gross profit decreased by approximately 32.0% to about RMB 291.5 million, with the gross margin declining from approximately 22.9% to 20.4% due to changes in revenue composition[25]. - Profit before tax decreased by approximately 45.3% from RMB 274.9 million for the six months ended June 30, 2021, to RMB 150.3 million for the six months ended June 30, 2022[32]. - Net profit decreased to approximately RMB 117.7 million for the six months ended June 30, 2022, down from RMB 224.8 million for the same period last year, resulting in a net profit margin of 8.2% compared to 12.0%[33]. - Operating profit decreased to RMB 163,110 thousand from RMB 269,533 thousand year-on-year, reflecting a decline of approximately 39.5%[79]. - The company reported a profit of RMB 114,926 thousand for the six months ended June 30, 2022, compared to a profit of RMB 222,644 thousand for the same period in 2021, indicating a decrease of 48.3%[83]. - Basic earnings per share decreased to RMB 0.05 for the six months ended June 30, 2022, compared to RMB 0.10 in the same period of 2021, reflecting a 50.0% decline[115]. Cost Management - The company's total cost for the six months ended June 30, 2022, was RMB 1,138.3 million, a reduction of about 21.1% from RMB 1,443.2 million in the prior year[23]. - Administrative expenses decreased by approximately 12.2% from RMB 57.2 million for the six months ended June 30, 2021, to RMB 50.2 million for the six months ended June 30, 2022[27]. - R&D expenses increased by approximately 25.8% from RMB 12.0 million for the six months ended June 30, 2021, to RMB 15.1 million for the six months ended June 30, 2022[28]. - Total expenses decreased to RMB 1,280,253 thousand for the six months ended June 30, 2022, down from RMB 1,612,445 thousand in the same period of 2021, a reduction of 20.5%[111]. Assets and Liabilities - Current assets increased by approximately 39.0% to RMB 2,091.3 million as of June 30, 2022, from RMB 1,504.0 million as of December 31, 2021[34]. - Total assets as of June 30, 2022, amounted to RMB 9,500,342 thousand, a decrease from RMB 10,188,027 thousand at the end of 2021[81]. - Total liabilities were RMB 7,136,006 thousand, down from RMB 7,738,280 thousand at the end of 2021, indicating a reduction of approximately 7.8%[81]. - The company reported a total financial liability of RMB 7,200,193 thousand as of June 30, 2022, with RMB 5,527,123 thousand due within one year[97]. - The company’s total borrowings as of June 30, 2022, were RMB 4,350,782 thousand, with RMB 3,320,547 thousand due within one year[97]. - The company’s trade receivables from related parties were RMB 192,389 thousand as of June 30, 2022, up from RMB 149,573 thousand as of December 31, 2021, indicating an increase of about 28.6%[122]. Cash Flow - Net cash generated from operating activities for the six months ended June 30, 2022, was RMB 292.8 million, an increase of RMB 259.2 million compared to the same period in 2021[47]. - Cash and cash equivalents increased from RMB 213.3 million as of December 31, 2021, to RMB 680.7 million as of June 30, 2022[46]. - The net cash flow from operating activities for the six months ended June 30, 2022, was RMB 292,757 thousand, significantly up from RMB 33,508 thousand in the same period of 2021, representing an increase of 774%[85]. - Net cash used in investing activities for the six months ended June 30, 2022, was RMB 17.2 million, an increase of RMB 13.4 million compared to the same period in 2021[48]. Shareholder Information - Major shareholders include Shanxi Automobile Group with a 67.09% stake and Shanxi Heavy Truck with a 5.24% stake[66]. - The total number of shares held by major shareholders amounts to 2,236,042,500, representing 100% of the company's equity[66]. - The company did not recommend any interim dividend for the six months ended June 30, 2022, consistent with the previous year[73]. - The company declared dividends amounting to RMB 201,126 thousand during the period, which is a new distribution compared to no dividends declared in the same period of the previous year[85]. Regulatory and Governance - The company is subject to regulations from the China Securities Regulatory Commission and the Hong Kong Securities and Futures Commission[200]. - The company operates under the legal framework of the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong)[200]. - The company has established a compensation committee within its board of directors[199]. - The company is subject to oversight by the State Taxation Administration of the People's Republic of China[199]. Future Plans and Developments - The company plans to enhance its service capabilities by developing a unified online service platform for users and improving its existing logistics and maintenance services[14][15]. - The company aims to expand its user base in the IoT and data services sector while continuously upgrading its platform's core technology and algorithms[15]. - The company plans to utilize the remaining net proceeds of HKD 1,007.2 million for various business developments, including online and offline service platforms, by the end of 2026[75]. - The company has allocated HKD 377.7 million for the construction of offline digital warehousing and distribution networks, expected to be completed by the end of 2026[75].