2021 年第一季度报告 公司代码：600410 公司简称：华胜天成 北京华胜天成科技股份有限公司 2021 年第一季度报告 1 / 24 2021 年第一季度报告 一、 二、 11Í 四、 目录 | --- | |----------------| | | | 重要提示 . | | 公司基本情况 . | | 重要事项 . | | 附录 . | 2 / 24 2021 年第一季度报告 单位：元币种：人民币 一、 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真实、准确、完整，不存 在虚假记载、误导性陈述或者重大遗漏，并承担个别和连带的法律责任。 公司全体董事出席董事会审议季度报告。 公司负责人王维航、主管会计工作负责人张秉霞及会计机构负责人（会计主管人员）朱凡保证季 度报告中财务报表的真实、准确、完整。 本公司第一季度报告未经审计。 二、 公司基本情况 2.1 主要财务数据 | --- | --- | --- | --- | |------------------------------------------------|------------------|----------- ...

Financial Performance - The company achieved a net profit attributable to shareholders of RMB 131,492,398.69 in 2020, with an undistributed profit of RMB 1,113,145,205.06 at year-end[7]. - The company's operating revenue for 2020 was CNY 3,901,169,825.50, a decrease of 14.73% compared to CNY 4,575,030,442.22 in 2019[30]. - The net profit attributable to shareholders for 2020 was CNY 131,492,398.69, down 19.83% from CNY 164,023,084.37 in 2019[30]. - The basic earnings per share for 2020 were CNY 0.1197, down 19.83% from CNY 0.1493 in 2019[30]. - The company reported a profit of 27.38 million RMB in 2020, compared to 32.89 million RMB in 2019, indicating a decrease in profit year-over-year[178]. - The company reported a retained earnings balance of RMB 1,113,145,205.06 at the end of 2020[174]. - The company achieved a total revenue of approximately 3.85 billion CNY in 2020, with cloud computing business revenue around 800 million CNY[82]. - The overall gross margin decreased by 4.18 percentage points to 13.70% compared to the previous year[122]. Dividend Distribution - The proposed cash dividend distribution is RMB 0.25 per 10 shares, totaling RMB 27,384,867.08 to be distributed to shareholders[7]. - The company has a cash dividend policy that aims for a minimum of 10% of the distributable profit to be distributed annually[173]. - The company has a cash dividend policy that prioritizes stability and continuity, with a focus on long-term shareholder value[173]. Risk Management - The company emphasizes the importance of risk awareness regarding future plans and potential operational risks[8]. - The company’s future development discussions highlight potential risks that investors should be aware of[9]. - The company has identified potential risks including industry policy changes, technology misalignment, and talent retention challenges[165][167]. Audit and Compliance - The company’s financial report has been audited and received a standard unqualified opinion from the accounting firm[6]. - The company’s management has confirmed the accuracy and completeness of the financial report[6]. - The company has not disclosed any significant changes in its accounting policies or estimates during the reporting period[182]. - The company has not faced any risks of suspension or termination of its listing during the reporting period[183]. Investments and Partnerships - The company has invested in various sectors including cloud computing, IoT, and industry applications, enhancing its core competitiveness and market position[61]. - The company directly holds 9.92% of Tai Ling Microelectronics, a leading domestic IoT chip company, which has been recognized for its innovation in the Bluetooth low-power chip sector[62]. - The company holds a 31.76% stake in Beijing Shenzhou Cloud Motion Technology Co., focusing on CRM software cloud service solutions, with notable clients including JD Technology and Tencent Cloud[63]. - The company has established partnerships with over 50 top global partners, including AWS and Huawei, to enhance its cloud computing and IT service capabilities[77]. - The company has actively pursued strategic partnerships with public cloud giants to expand its cloud computing market presence[162]. Research and Development - Research and development expenses increased by 9.53% to ¥123,888,640.11, representing 6.08% of total revenue[130][133]. - The company maintained a stable R&D investment, totaling approximately ¥237.32 million, focusing on cloud computing and big data software[134]. - The company plans to enhance its core competitiveness by increasing investment in research and development, ensuring a solid technological barrier[160]. Market Trends and Future Outlook - The cloud computing market in China is expected to exceed CNY 230 billion by 2023, indicating strong growth potential for the industry[40]. - The company anticipates accelerated development in the cloud computing and trusted innovation industries over the next three to five years due to government support and policy emphasis[41]. - The global CRM market is projected to grow from $48.2 billion in 2018 to $81.9 billion by 2025, highlighting significant growth potential for CloudCC CRM in China[98]. - The company aims to achieve a long-term goal of "100 years of Huasheng, 100 billion Tiancheng" while focusing on the trillion market of industrial upgrades and transformations[158]. Emergency Management Solutions - The emergency command center utilizes advanced technologies such as AI and big data to enhance public safety and disaster response capabilities[50]. - The emergency command and dispatch platform integrates communication systems for real-time information sharing during emergencies, improving response efficiency[51]. - The data governance platform consolidates emergency data resources, enhancing monitoring and decision-making capabilities[52]. - The company has established a comprehensive emergency management service covering five levels of government, including provincial and county levels, focusing on various emergency scenarios such as urban safety and forest fire prevention[88]. Financial Health - The asset-liability ratio improved from 44.77% in the previous year to 40.24% at the end of the reporting period, indicating enhanced solvency[112]. - The company’s cash and cash equivalents at the end of the reporting period amounted to RMB 31.07 million, primarily restricted as collateral[144]. - The company has completed the SPAC transaction with GD Company, resulting in a pre-tax investment income of approximately RMB 983 million, accounting for 140% of the company's total profit[149].

Financial Position - Total assets at the end of the reporting period were CNY 9,899,734,014.14, a decrease of 1.02% compared to the end of the previous year[18]. - The company’s total assets amounted to ¥10,001,655,801.47, down from ¥10,007,992,682.78, a decrease of ¥6,336,881.31[91]. - Total liabilities amounted to ¥4,104,456,400.97, a decrease from ¥4,478,138,537.06 in the previous period, reflecting a reduction of approximately 8.4%[54]. - Total liabilities decreased to ¥4,478,138,537.06 from ¥4,487,173,408.35, a decrease of ¥9,034,871.29[94]. - The total liabilities amount to approximately ¥3.87 billion, indicating a significant leverage position[103]. - The total current liabilities represent a significant portion of the total liabilities, indicating a reliance on short-term financing[99]. Shareholder Information - Net assets attributable to shareholders of the listed company increased by 1.42% to CNY 4,890,514,011.13[18]. - The company reported a total of 148,889 shareholders at the end of the reporting period[26]. - The largest shareholder, Wang Weihang, held 80,926,158 shares, representing 7.37% of the total shares[26]. - Total equity attributable to shareholders reached ¥4,890,514,011.13, up from ¥4,822,258,342.79, marking an increase of about 1.4%[54]. Revenue and Profitability - Operating revenue for the first nine months was CNY 2,556,948,347.03, down 23.48% year-on-year[18]. - The company reported a net profit of ¥1,091,617,016.04, an increase from ¥999,626,452.21, showing a growth of about 9.2%[54]. - Net profit attributable to shareholders of the listed company decreased by 53.10% to CNY 127,520,624.35[18]. - Total operating revenue for Q3 2020 was ¥755.73 million, a decrease of 19.6% compared to ¥941.22 million in Q3 2019[62]. - The company reported a total profit of ¥-164.24 million in Q3 2020, a significant decline from ¥113.19 million in Q3 2019[67]. Cash Flow - The net cash flow from operating activities for the first nine months was CNY 21,135,673.55, a significant increase of 115.96% compared to the previous year[18]. - Cash flow from operating activities for the first three quarters of 2020 was 2.81 billion RMB, down from 3.68 billion RMB in the same period of 2019, indicating a decline in cash generation[78]. - The net cash flow from investing activities decreased to -¥15,222,013.77, a decline of ¥249,719,044.65 or -106.49% year-over-year, primarily due to the purchase of financial products[38]. - Financing cash inflow reached CNY 1,544,051,486.75, compared to CNY 1,265,267,383.06 previously, while financing cash outflow increased to CNY 1,894,480,889.82 from CNY 1,667,081,053.23, resulting in a net cash flow from financing activities of -CNY 350,429,403.07[83]. Investment Activities - Long-term equity investments increased by 108.64% to ¥3,220,909,536.25 from ¥1,543,795,445.27, primarily due to the change in accounting treatment for a subsidiary[31]. - The company reported a 177.81% increase in investment income to ¥1,089,432,799.48 from ¥392,152,812.13, attributed to gains from the spin-off of a subsidiary[35]. - The company plans to acquire 7,033,261 shares of Tai Lingwei for ¥150 million, which will result in a significant ownership stake[39]. - The company signed a subscription agreement to invest ¥70,000,000.84 in Beijing Shenzhou Yundong Technology Co., aiming to hold a 31.76% stake post-transaction[40]. Expenses - The company’s income tax expense increased by 1388.29% to ¥301,797,702.77 from ¥20,278,145.59, mainly due to tax expenses related to gains from asset disposals[35]. - Research and development expenses for Q3 2020 were ¥25.62 million, a decrease of 20.7% from ¥32.20 million in Q3 2019[65]. - The company experienced a substantial investment loss of ¥110.66 million in Q3 2020, compared to a gain of ¥197.25 million in Q3 2019[65]. - The company reported a significant increase in financial expenses, totaling 55.30 million RMB for the first three quarters of 2020, compared to 94.19 million RMB in the same period of 2019[73]. Asset Management - Accounts receivable decreased by 34.84% to ¥984,067,517.90 from ¥1,510,346,858.86, mainly due to the collection of receivables[31]. - The company’s goodwill decreased by 87.95% to ¥94,359,389.20 from ¥782,931,359.25, primarily due to the termination of goodwill recognition related to a subsidiary[31]. - Inventory decreased to ¥599,826,653.62 from ¥686,381,256.95, indicating a reduction of approximately 12.6%[57]. - The company has maintained a 45.25% stake in Tai Lingwei, receiving ¥770 million from equity transfers, which has been used to repay debts[39].

Financial Performance - The company reported a total revenue of RMB 1.2 billion for the first half of 2020, representing a year-on-year increase of 15%[19]. - The net profit attributable to shareholders was RMB 200 million, up 10% compared to the same period last year[19]. - The company's operating revenue for the first half of the year was ¥1,801,222,026.32, a decrease of 24.96% compared to the same period last year[22]. - Net profit attributable to shareholders was ¥293,346,288.16, an increase of 70.66% year-over-year[22]. - The company reported a significant increase in capital reserves, amounting to approximately $2.54 billion, which supports future investments[171]. - The company reported a net loss of CNY 204,031,718.17 for the first half of 2020, compared to a profit in the same period of 2019[145]. - The company reported a significant increase in long-term equity investments to approximately ¥3.39 billion from ¥1.54 billion, representing a growth of about 119.0%[136]. User Growth and Market Expansion - User data showed an increase in active users by 25%, reaching 5 million by the end of June 2020[19]. - The company has expanded its market presence in Southeast Asia, with a 40% increase in sales in that region[19]. - The company aims to expand its market presence through strategic investments and partnerships within the industry chain[37]. - The company plans to continue expanding its market share in key sectors while enhancing its integrated project implementation capabilities[48]. Product Development and Innovation - The company plans to launch three new products in the second half of 2020, focusing on cloud computing and big data solutions[19]. - Research and development expenses increased by 30% to RMB 150 million, reflecting the company's commitment to innovation[19]. - The company launched a unified cloud computing brand, Tiancheng Cloud, which includes a series of products and services based on self-developed and open-source technology[32]. - The company is committed to developing new products and technologies, focusing on cloud computing, big data, IoT, and AI[36]. Strategic Initiatives - The company is exploring potential mergers and acquisitions to enhance its market position and technological capabilities[19]. - The company has strategically invested in cloud computing, IoT core technologies, and industry applications through acquisitions and participation in industry funds, enhancing its core competitiveness and market position[39]. - The company aims to enhance its operational efficiency through strategic initiatives and potential mergers and acquisitions[176]. Financial Health and Cash Flow - The net cash flow from operating activities was ¥139,502,998.45, a significant improvement from a negative cash flow of ¥154,830,952.33 in the previous year, representing a 190.10% increase[22]. - The company's cash flow from investing activities increased by 34.18% to approximately ¥203.71 million, compared to ¥151.82 million in the previous year[56]. - The company reported a net increase in cash and cash equivalents of CNY 250,885,644.13, compared to a decrease of CNY -296,555,375.21 in the first half of 2019[160]. Compliance and Governance - No non-operating fund occupation by controlling shareholders was reported during the period[6]. - The company has not provided any guarantees that violate regulatory decision-making procedures[6]. - The company held one annual general meeting and one extraordinary general meeting during the reporting period, complying with relevant regulations[81]. Challenges and Risks - The company faces market risks due to macroeconomic conditions affecting project implementation and revenue expectations[78]. - The overall revenue for the cloud computing segment decreased by 39.28% compared to the previous period, indicating a need for strategic adjustments[47]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 155,994[105]. - The largest shareholder, Wang Weihang, holds 85.59 million shares, accounting for 7.79% of the total shares[105]. - The company has not been penalized for any violations of environmental regulations during the reporting period[102].

Financial Performance - Net profit attributable to shareholders increased by 34.34% to CNY 259,207,133.70 year-on-year[12] - Operating income decreased by 19.50% to CNY 926,988,418.87 compared to the same period last year[12] - Basic earnings per share rose by 34.80% to CNY 0.2359 compared to CNY 0.1750 in the same period last year[14] - The company reported a significant loss of CNY -152,548,153.34 in net profit after deducting non-recurring gains and losses, a decrease of 181.53% year-on-year[12] - The company reported a significant increase in tax expenses by 2833.85% to CNY 333.56 million, linked to changes in payable taxes and deferred tax liabilities[25] - Net profit for Q1 2020 was approximately $535.71 million, compared to $193.92 million in Q1 2019, representing an increase of 176.5%[53] - Net profit for Q1 2020 was -$98.85 million, a significant decline from a net profit of $7.77 million in Q1 2019[61] Cash Flow - Net cash flow from operating activities improved significantly, reaching CNY 32,947,375.75, a 182.61% increase from a negative cash flow of CNY -39,883,810.27 in the previous year[12] - Cash flow from operating activities for Q1 2020 was $32.95 million, a turnaround from -$39.88 million in Q1 2019[65] - Cash flow from operating activities for Q1 2020 was negative at -$16.89 million, a significant decline from $136.47 million in Q1 2019, representing a decrease of approximately 112.4%[71] - Net cash flow from financing activities was negative at -$125.49 million in Q1 2020, an improvement from -$491.24 million in Q1 2019[72] - The company’s net cash flow from investment activities improved to $4.16 million in Q1 2020, compared to -$32.08 million in Q1 2019[71] Assets and Liabilities - Total assets increased by 5.62% to CNY 10,564,238,953.85 compared to the end of the previous year[12] - Total current assets decreased from 5,639,138,847.88 to 5,320,710,047.76, a decline of approximately 5.66%[33] - Total liabilities decreased slightly from 4,478,138,537.06 to 4,470,143,025.94, a decrease of about 0.18%[37] - Owner's equity increased from 5,523,517,264.41 to 6,094,095,927.91, an increase of approximately 10.34%[37] - The company’s total liabilities were approximately $4.19 billion in Q1 2020, a slight decrease from $4.20 billion in Q1 2019[79] Investments and Expenses - Long-term equity investments increased by 110.82% to $3.25 billion primarily due to the loss of control over a subsidiary and reclassification to an associate[22] - Research and development expenses rose by 31.28% to $28.09 million, reflecting increased investment in R&D[25] - Research and development expenses increased to approximately $28.09 million in Q1 2020, up from $21.40 million in Q1 2019, reflecting a growth of 31.2%[51] - The company reported a significant increase in investment income, rising to approximately $1.01 billion in Q1 2020 from $186.09 million in Q1 2019[51] Shareholder Information - The total number of shareholders at the end of the reporting period was 157,122[12] - The company’s major shareholder, Wang Weihang, holds 8.38% of the shares, with 68,000,000 shares pledged[12] Government Support - The company received government subsidies amounting to CNY 387,883.63, which are closely related to its normal business operations[14]

Financial Performance - The company achieved a net profit attributable to shareholders of RMB 164,023,084.37 for the year 2019, with retained earnings at RMB 999,626,452.21 at year-end[6]. - The proposed cash dividend is RMB 0.30 per 10 shares, totaling RMB 32,894,840.49 to be distributed to shareholders[6]. - The company's operating revenue for 2019 was ¥4,575,030,442.22, a decrease of 12.42% compared to ¥5,224,124,676.76 in 2018[26]. - The net profit attributable to shareholders in 2019 was ¥164,023,084.37, a significant increase of 172.62% from a loss of ¥225,871,722.68 in 2018[26]. - The net profit after deducting non-recurring gains and losses was ¥22,053,804.55, improving by 106.02% from a loss of ¥366,271,502.35 in 2018[26]. - The net cash flow from operating activities was ¥171,996,601.70, down 78.17% from ¥787,747,720.32 in 2018[26]. - The total assets at the end of 2019 were ¥10,001,655,801.47, a decrease of 1.31% from ¥10,134,675,641.82 in 2018[26]. - The net assets attributable to shareholders increased by 3.47% to ¥4,822,258,342.79 at the end of 2019, compared to ¥4,660,534,532.35 at the end of 2018[26]. - Basic earnings per share for 2019 were ¥0.1493, compared to a loss of ¥0.2063 in 2018, reflecting an increase of 172.37%[26]. - The weighted average return on net assets was 3.45% in 2019, an increase of 8.19 percentage points from -4.74% in 2018[26]. - The company reported a total of ¥141,969,279.82 in non-recurring gains and losses for 2019, compared to ¥140,399,779.67 in 2018[30]. Shareholder Returns - The company plans to maintain a stable cash dividend policy, distributing at least 10% of the available profit to shareholders annually, with a cumulative distribution of at least 30% over the last three years[120]. - In 2019, the company distributed a cash dividend of 0.30 CNY per 10 shares, totaling 32,894,840.49 CNY, which represents 20.06% of the net profit attributable to ordinary shareholders[124]. - The company's cash dividend distribution plan for 2019 reflects a recovery from the previous year's loss, indicating improved financial health[124]. Investment and Growth Strategy - The company is focusing on digital transformation and upgrading traditional industries to enhance efficiency and reduce costs, in line with national policies promoting IoT, cloud computing, big data, and AI[35]. - The company is committed to a "cloud-first" strategy, emphasizing rapid development in cloud business since 2018[37]. - The company utilizes various investment strategies, including incubation, integration, and acquisitions, to expand its cloud computing and IoT capabilities[37]. - The company has made strategic investments in cloud computing, IoT core technologies, and industry applications, enhancing its core competitiveness and market position[43]. - The company expects substantial investment returns from its projects over the next three years, enhancing its main business capabilities and achieving technological expansion[46]. Market Position and Client Base - The company has provided IT solutions to over 10,000 government and enterprise clients, maintaining high user stickiness[37]. - The traditional business segment, which includes enterprise IT system solutions, accounts for over 60% of the company's revenue[40]. - The company has established a large customer base, having provided solutions and services to over 10,000 clients across various industries, ensuring high user retention[53]. Research and Development - Research and development expenses totaled ¥225,648,118.51, representing 4.93% of total revenue, with a workforce of 1,097 R&D personnel[79]. - The company holds 82 patents and 349 software copyrights, showcasing its strong R&D capabilities in cloud computing and data governance[51]. - The company has achieved CMMI-L5 certification, indicating its advanced product development and project management capabilities[51]. Financial Stability and Liabilities - The asset-liability ratio decreased to 44.77%, a reduction of about 3.33 percentage points year-on-year, indicating improved financial stability[62]. - The company's total liabilities decreased from CNY 4,874,900,916.00 at the beginning of the period to CNY 4,478,138,537.06 at the end, resulting in a reduction of the debt ratio from 48.10% to 44.77%[196]. - The company has reduced financial expenses by 33.60%, attributed to a decrease in interest expenses and improved foreign exchange risk management[78]. Corporate Governance and Compliance - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[8]. - There are no violations of decision-making procedures regarding external guarantees[8]. - The company emphasizes corporate social responsibility and has established a stable profit distribution policy to enhance shareholder returns[176]. - The company adheres to environmental protection laws and has not faced any penalties for violations during the reporting period[179]. Future Outlook - The company aims to become a leading enterprise in the cloud computing sector by 2020, focusing on market opportunities and performance breakthroughs[108]. - The company plans to transition from project-based revenue to standardized product rental and service fee models[107]. - The company aims to build an ecosystem and explore new business models leveraging accumulated data and traffic, which are considered the most valuable resources in the 21st century[109].

Financial Performance - Net profit attributable to shareholders of the listed company was ¥271,887,140.27, representing a significant increase of 431.12% year-on-year[17]. - Operating revenue for the first nine months was ¥3,341,431,769.69, down 11.21% from ¥3,763,276,664.49 in the same period last year[17]. - The company reported non-operating income of ¥80,159,259.50 for the third quarter, contributing to the overall financial performance[21]. - Total revenue for Q3 2019 was approximately ¥941.22 million, a decrease of 38.5% compared to ¥1,530.17 million in Q3 2018[57]. - The company's operating revenue for Q3 2019 was ¥348,437,270.65, a decrease from ¥912,253,124.45 in Q3 2018, representing a decline of approximately 61.8%[70]. - The total comprehensive income for Q3 2019 was approximately ¥32.83 million, compared to ¥45.23 million in Q3 2018, reflecting a decrease of 27.5%[63]. - The total comprehensive income attributable to the parent company for Q3 2019 was ¥122,686,176.56, a significant increase from ¥69,593,057.34 in Q3 2018, reflecting a growth of approximately 76.3%[68]. Cash Flow - The net cash flow from operating activities was -¥132,468,999.51, a decrease of 147.08% compared to ¥281,361,232.55 in the previous year[17]. - Cash flow from operating activities for the first three quarters of 2019 was negative at -132,468,999.51, compared to a positive cash flow of 281,361,232.55 in the same period of 2018, representing a decline of approximately 147%[83]. - Total cash inflow from operating activities decreased to 3,848,551,327.93 in 2019 from 4,846,230,463.94 in 2018, a drop of about 20.6%[83]. - Cash outflow from operating activities also decreased, totaling 3,981,020,327.44 in 2019 compared to 4,564,869,231.39 in 2018, reflecting a reduction of approximately 12.8%[83]. - Cash inflow from financing activities decreased to 1,265,267,383.06 in 2019 from 2,605,377,547.05 in 2018, a decline of about 51.4%[84]. - The net cash flow from financing activities was negative at -401,813,670.17 in 2019, compared to -1,141,641,424.34 in 2018, indicating a reduction in cash outflow by approximately 64.8%[84]. Assets and Liabilities - Total assets at the end of the reporting period reached ¥10,161,941,162.07, a slight increase of 0.27% compared to the end of the previous year[17]. - The company’s total liabilities decreased by 36.67% in current non-current liabilities to ¥108,576,176.10 from ¥171,457,580.18, mainly due to loan repayments[32]. - Total current assets increased to ¥5,569,850,485.06, up from ¥4,907,716,552.34, representing a growth of approximately 13.4% year-over-year[40]. - Total liabilities decreased to ¥4,487,243,973.94 from ¥4,874,900,916.00, a reduction of about 7.9%[46]. - The company’s total assets amounted to ¥10,161,941,162.07, slightly up from ¥10,134,675,641.82, indicating a marginal increase of about 0.3%[46]. - The total assets decreased from ¥8,789.56 million in the previous period to ¥8,136.34 million, a decline of 7.4%[54]. - Total liabilities decreased from ¥4,795.93 million to ¥4,175.13 million, a reduction of 12.9%[54]. Shareholder Information - The total number of shareholders at the end of the reporting period was 137,200[23]. - The top shareholder, Wang Weihang, held 92,069,358 shares, accounting for 8.38% of the total shares[23]. Research and Development - The company’s development expenditures increased by 35.30% to ¥318,112,917.51 from ¥235,119,022.47, reflecting active investment in R&D[32]. - Research and development expenses for Q3 2019 were approximately ¥32.20 million, an increase from ¥25.69 million in Q3 2018[60]. - Research and development expenses for Q3 2019 were ¥30,534,646.52, up from ¥25,254,978.51 in Q3 2018, marking an increase of about 21%[74]. Investment Income - Investment income rose by 142.56% to ¥392,152,812.13 from ¥161,672,491.02, mainly due to higher stock returns from indirect holdings in Ziguang Co., Ltd.[33]. - Investment income for Q3 2019 was approximately ¥197.25 million, up from ¥156.61 million in Q3 2018, indicating a growth of 25.9%[60]. - The investment income for Q3 2019 was ¥15,940,111.29, down from ¥97,535,181.34 in Q3 2018, indicating a decline of about 83.7%[74].

Financial Performance - The company reported a total revenue of 1.5 billion RMB for the first half of 2019, representing a year-on-year increase of 12%[2]. - The net profit attributable to shareholders was 200 million RMB, up 15% compared to the same period last year[2]. - The company's operating revenue for the first half of the year reached ¥2,400,213,407.78, representing a 7.48% increase compared to the same period last year[17]. - Net profit attributable to shareholders was ¥171,885,647.13, a significant increase of 1,390.64% year-over-year[17]. - The basic earnings per share (EPS) increased to ¥0.16, up 1,500.00% from ¥0.01 in the previous year[20]. - The total profit for the first half of 2019 was ¥174,139,130.68, compared to ¥37,545,035.97 in the same period last year, indicating a year-over-year increase of 365.5%[186]. - The company anticipates continued growth in revenue and profitability, driven by market expansion and new product development initiatives[186]. User Growth and Market Expansion - User data showed an increase in active users by 20%, reaching 5 million by the end of June 2019[2]. - The company plans to expand its market presence in Southeast Asia, targeting a 25% growth in that region by the end of 2020[2]. - The company has established a comprehensive marketing service network covering major cities in China and regions in Southeast Asia, North America, and Europe[50]. Research and Development - The company is investing 100 million RMB in R&D for new technologies, focusing on cloud computing and big data solutions[2]. - The company is focusing on cloud computing and big data as part of its strategic development, aiming to enhance its cloud services and solutions[27]. - The company has developed a series of cloud computing products, including domestic database products and hybrid cloud management platforms, to meet market demands[30]. Cloud Computing and Technology - The emerging cloud computing business generated revenue of approximately RMB 708 million, representing a significant year-on-year growth rate of 27.71%, and accounted for about 30% of total revenue[54]. - The gross profit margin for the cloud computing products and services segment was 32.53%, slightly up from 32.18% in the previous period[55]. - The smart retail cloud is positioned to capitalize on the growing new retail market, projected to reach 1.8 trillion yuan in 2022, with a compound annual growth rate of 115%[41]. - The company holds over 100 patents and 365 software copyrights, establishing a robust cloud computing product and service ecosystem[45]. Financial Position and Cash Flow - The company reported a net cash flow from operating activities of -¥154,830,952.33, indicating a significant decline compared to the previous year[19]. - The company’s total assets at the end of the reporting period showed a significant change in accounts receivable, with a decrease of 62.49% in notes receivable[68]. - The company’s cash and cash equivalents at the end of the reporting period amounted to ¥184,549,944.07, which is restricted due to margin requirements[71]. - The company reported a decrease in cash flow from investment activities by 69.42%, totaling ¥151,822,829.19 compared to ¥496,430,553.52 in the previous year[66]. Risks and Challenges - Risks associated with market competition and regulatory changes have been identified and detailed in the report[2]. - The company faces market risks, technological risks, investment risks, and overseas business operation risks[90]. - The overall financial health of the company appears to be under pressure, necessitating a review of operational strategies[136]. Shareholder and Corporate Governance - The company repurchased and canceled 3,575,000 shares, completed on August 7, 2019[105]. - The total number of ordinary shareholders at the end of the reporting period was 129,952[133]. - The largest shareholder, Wang Weihang, holds 92,069,358 shares, accounting for 8.35% of the total shares, with 68 million shares pledged[133]. - The company has not faced any penalties for environmental violations during the reporting period[129]. Strategic Initiatives and Acquisitions - A strategic acquisition of a local tech firm is anticipated to enhance the company's capabilities in IoT, with an expected completion date in Q4 2019[2]. - The company is currently evaluating opportunities for mergers and acquisitions to enhance its market position[138]. - The company has invested a total of RMB 1 billion in the Beijing Integrated Circuit Advanced Chip Equity Investment Center, with an initial contribution of RMB 400 million completed[111].

Financial Performance - In 2018, the company achieved a net profit attributable to shareholders of -225,871,722.68 CNY, with an undistributed profit at the end of the year amounting to 832,272,730.14 CNY[9]. - The company's operating revenue for 2018 was CNY 5,224,124,676.76, a decrease of 3.81% compared to CNY 5,431,194,163.81 in 2017[32]. - The net profit attributable to shareholders for 2018 was a loss of CNY 225,871,722.68, representing a decline of 199.05% from a profit of CNY 228,027,938.92 in 2017[32]. - The net cash flow from operating activities for 2018 was CNY 787,747,720.32, a significant improvement compared to a negative cash flow of CNY -895,305,533.44 in 2017, marking a 187.99% increase[32]. - The total assets at the end of 2018 were CNY 10,134,675,641.82, down 15.87% from CNY 12,046,439,633.52 at the end of 2017[32]. - The basic earnings per share for 2018 was -CNY 0.2063, a decrease of 199.57% compared to CNY 0.2072 in 2017[32]. - The weighted average return on equity for 2018 was -4.74%, a decrease of 9.44 percentage points from 4.70% in 2017[32]. - The company reported a net profit loss of CNY 366,271,502.35 after deducting non-recurring gains and losses for 2018[32]. - The net assets attributable to shareholders at the end of 2018 were CNY 4,660,534,532.35, a decrease of 4.38% from CNY 4,874,110,614.44 at the end of 2017[32]. - The company reported a total revenue of approximately 5.166 billion RMB, reflecting a year-over-year decrease of 4.10%[90]. Business Model and Strategy - The company has transitioned to an industry cloud business model, focusing on providing cloud infrastructure products and industry application services[4]. - The company aims to expand its cloud services market, particularly in the industrial internet sector, with a goal of developing "hundreds of industry clouds"[4]. - The strategic focus includes deepening industry cloud services and leveraging partnerships with unique segment leaders for mutual growth[4]. - The company emphasizes innovation and execution, leveraging 20 years of industry experience to enhance its cloud offerings[4]. - The company’s innovative business in cloud computing is expected to drive future growth, with a focus on hybrid cloud management and automation platforms[48]. - The company aims to become a leading player in the industry cloud market in 2019, leveraging over 20 years of experience and technology accumulation[131]. - The company intends to focus on industry cloud development while streamlining peripheral businesses to improve operational efficiency[131]. Investments and Acquisitions - The company invested in key technologies, including a significant investment in IoT chip company TaiLing Microelectronics, which has been applied in products for major clients like Intel and GE[4]. - The acquisition of GridDynamic, a cloud computing service company, has enhanced the company's capabilities in big data and machine learning, serving major global clients[4]. - The company has committed RMB 1 billion to the Beijing Integrated Circuit Advanced Chip Equity Investment Center, with an initial investment of RMB 400 million completed[166]. - The company completed the transfer of 100% equity of its subsidiary, Changtian Technology, for a consideration of RMB 158 million, resulting in an investment income of approximately RMB 123 million[119]. Revenue Streams and Market Presence - The international business accounted for 40% of total operations in 2018, with over 2,300 overseas employees[4]. - The company's main business, traditional IT system solutions, accounted for over 70% of total revenue, primarily from system integration and application software development[44]. - The company achieved a profit from the disposal of non-current assets amounting to RMB 124,386,503.68 in 2018, up from RMB 110,372,415.46 in 2017[36]. - The company has over 10,000 government and enterprise clients, showcasing a strong customer base and high user stickiness[66]. - The company has formed a marketing service network covering major cities in China and regions in Southeast Asia, North America, and Europe, enhancing its global sales and service capabilities[66]. Research and Development - Research and development expenses increased by 6.51% to approximately 113 million RMB, reflecting the company's commitment to innovation[85]. - The number of R&D personnel was 1,073, making up 27.44% of the total workforce[99]. - The company plans to increase R&D investment in proprietary products in 2019 to enhance its core competitiveness[131]. Profit Distribution and Shareholder Relations - The company will not implement a profit distribution for 2018 due to the negative net profit[9]. - The board decided not to implement any profit distribution for 2018 due to the negative net profit[142]. - The company emphasizes a cash dividend policy, aiming for a minimum annual cash distribution of 10% of the distributable profit[137]. - The company has committed to maintaining a stable profit distribution policy, with cumulative cash distributions over the last three years not less than 30% of the average annual distributable profit[137]. - The company is committed to protecting the rights and interests of suppliers and customers, ensuring compliance with intellectual property laws[183]. Legal and Compliance Matters - The company reported a payment of 39,116,128 RMB for a dispute with Shenzhou Digital, including interest losses and legal fees, following an arbitration ruling[153]. - The company is involved in a lawsuit where it claims 86,515,475 RMB from Wuhan Smart Ecology Technology Investment Co., including interest losses and related litigation costs[153]. - The company has not disclosed any new product developments or technological advancements in this report[198]. - The company is not listed as a key pollutant discharge unit by the Beijing Environmental Protection Bureau as of March 28, 2018, and adheres to various environmental protection laws without any penalties during the reporting period[185].

Financial Performance - In 2018, the company achieved a net profit attributable to shareholders of -225,871,722.68 CNY, resulting in no profit distribution for the year[9]. - The company reported an ending undistributed profit of 832,272,730.14 CNY for 2018[9]. - The company's operating revenue for 2018 was CNY 5,224,124,676.76, a decrease of 3.81% compared to CNY 5,431,194,163.81 in 2017[33]. - The net profit attributable to shareholders for 2018 was a loss of CNY 225,871,722.68, representing a decline of 199.05% from a profit of CNY 228,027,938.92 in 2017[33]. - The net cash flow from operating activities for 2018 was CNY 787,747,720.32, a significant improvement compared to a negative cash flow of CNY -895,305,533.44 in 2017, marking a 187.99% increase[33]. - The total assets at the end of 2018 were CNY 10,134,675,641.82, down 15.87% from CNY 12,046,439,633.52 at the end of 2017[33]. - The company's net assets attributable to shareholders decreased by 4.38% to CNY 4,660,534,532.35 at the end of 2018 from CNY 4,874,110,614.44 at the end of 2017[33]. - The basic earnings per share for 2018 was -0.2063 CNY, a decrease of 199.57% compared to 0.2072 CNY in 2017[33]. - The diluted earnings per share for 2018 was -0.2048 CNY, down 199.13% from 0.2066 CNY in 2017[33]. - The weighted average return on net assets for 2018 was -4.74%, a decrease of 9.44 percentage points from 4.70% in 2017[33]. - The company achieved a total revenue of approximately 5.17 billion RMB, representing a year-over-year decrease of 4.10%[91]. - The company's total revenue for 2018 was approximately 5.2 billion, with cloud computing revenue reaching 1.204 billion, representing a growth of 48.89% year-over-year[67]. Cloud Computing Business - The company has transitioned to an industry cloud business model, focusing on cloud infrastructure products and industry application services[4]. - The company aims to expand its cloud services market, particularly in the industrial internet sector, targeting the development of "hundreds of industry clouds"[4]. - The company has developed specialized industry cloud services, including "Easy Safety Cloud" for industrial internet and "Smart Retail Cloud" for the retail sector[4]. - The company’s cloud computing services aim to provide clients with a light-asset model, allowing for flexible and efficient resource utilization[46]. - The revenue model for the Smart Retail Cloud includes service fees based on customer needs and application module usage fees, enhancing shopping experience and operational efficiency[50]. - The Cross-Border Logistics Cloud aims to create a digital logistics ecosystem, integrating various resources and providing services such as online ERP software and digital customs clearance, contributing to revenue growth[53]. - The Smart Tourism Cloud offers a one-stop service platform for the tourism industry, generating income from project implementation fees and operational service revenues[54]. - The Digital Factory Cloud helps manufacturing enterprises build a new generation cloud data center, facilitating unified management of IT resources and industrial control systems[55]. - The Public Safety Cloud focuses on providing a comprehensive service platform for safety management, generating revenue from membership services and platform transaction income[56]. - The company’s cloud series products generated a total revenue of approximately 600 million in 2019, reflecting a year-over-year growth of 31%[70]. - Cloud computing business revenue grew by 48.89% year-on-year, accounting for about 23% of total revenue[86]. Strategic Partnerships and Investments - The company has established a strategic partnership with GridDynamic, a leader in e-commerce big data and machine learning technologies[4]. - The company invested in key technologies and acquired several unicorn companies, including a significant investment in IoT chip company Tailin Microelectronics[4]. - The company has formed strategic partnerships to enhance its public safety cloud platform, serving over 46,000 enterprises and 90 inspection institutions[83]. - The company has invested a total of 10 billion RMB in the Beijing Integrated Circuit Advanced Chip Equity Investment Center, with an initial contribution of 4 billion RMB completed[167]. - The company acquired a 200 million RMB share in the Zhongyu Zhaotuo Equity Investment Center for a maximum price of 2.44612 billion RMB, with the transaction completed on January 8, 2019[167]. - The IoT M&A Fund has a total paid-in capital of 2.196 billion RMB and holds an 82.7471% stake in Tailin Microelectronics, which has leading technology in IoT chips[167]. Market Presence and Customer Base - The international workforce reached over 2,300 employees in 2018, with business from Hong Kong, Macau, and Europe/America accounting for 40% of total operations[4]. - The company has over 10,000 enterprise clients, showcasing a strong customer base and high user retention[67]. - The company has established a strong market presence with a mature marketing system and high customer trust across various industries, including government and finance[62]. - The company has formed a marketing service network covering major cities in China and regions in Southeast Asia, North America, and Europe, enhancing its global sales and service capabilities[68]. - The company’s overseas business accounted for 40.78% of total revenue, indicating rapid international expansion[95]. Research and Development - The company emphasizes its commitment to innovation and leveraging its 20 years of industry experience to enhance its cloud offerings[4]. - Research and development expenses increased by 6.51% year-on-year, totaling approximately 113 million RMB[87]. - The company will enhance R&D efforts, increasing capital and human resources to strengthen its core competitiveness[131]. - The company achieved CMMI-L5 software maturity certification, indicating advanced product development and project management capabilities, enhancing competitive advantage[62]. Corporate Governance and Social Responsibility - The company emphasizes corporate social responsibility, focusing on shareholder returns and employee development[183]. - The company has implemented a stable profit distribution policy and actively protects investor rights[185]. - The company has established a dedicated investor relations management position to enhance communication with investors[185]. - The company confirmed that it did not face any risks of suspension from listing during the reporting period[155]. Legal and Compliance Issues - The company was ordered to pay a total of RMB 39,116,128 for a dispute related to a sales contract, including interest losses and other fees, as per the arbitration ruling[157]. - The company is involved in a lawsuit where it claims RMB 86,515,475 from Wuhan Zhihui Ecological Technology Investment Co., Ltd. for contract payments and interest losses[157]. - The company did not report any significant accounting errors during the reporting period[154]. Future Outlook - The company aims to leverage the growing smart tourism market, which is projected to reach a scale of hundreds of billions in the coming years, by providing smart tourism management services to various levels of tourism management departments[75]. - The long-term goal is to achieve "100 years of Huasheng, 100 billion Tiancheng," aligning with national strategies and focusing on a trillion market for industrial upgrades[130]. - In 2019, the company plans to accelerate the development of industry clouds, aiming for profit growth and a mature business model[131].