Financial Performance - The company's operating revenue for Q3 2021 was ¥83,063,036.78, representing a year-over-year increase of 29.55%[5] - Net profit attributable to shareholders for Q3 2021 reached ¥24,512,018.52, a significant increase of 265.08% compared to the same period last year[5] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥22,828,496.89, up 296.89% year-over-year[5] - The company achieved a year-to-date revenue of ¥199,169,958.89, which is a 53.27% increase compared to the same period last year[5] - The net profit attributable to shareholders for the year-to-date period was ¥33,106,736.59, reflecting a 301.22% increase year-over-year[5] - Net profit for the third quarter of 2021 was ¥32,478,117.46, a substantial rise from ¥8,289,868.03 in the same quarter of 2020, reflecting an increase of approximately 292.5%[25] - Basic and diluted earnings per share for the third quarter of 2021 were both ¥0.65, compared to ¥0.16 in the same quarter of 2020, marking an increase of 306.3%[26] Assets and Liabilities - The total assets at the end of the reporting period were ¥1,149,923,727.27, reflecting a slight increase of 0.42% from the end of the previous year[6] - Total current assets decreased to ¥1,009,215,350.35 from ¥1,086,704,784.08 year-over-year[18] - Total assets as of September 30, 2021, are ¥1,149,923,727.27, slightly up from ¥1,145,058,888.71 at the end of 2020[19] - Short-term borrowings increased to ¥66,266,976.00 from ¥42,079,973.00 year-over-year[19] - Total liabilities decreased to ¥96,448,470.43 from ¥122,391,365.62 year-over-year[19] - Total liabilities as of the end of the third quarter of 2021 were ¥104,308,743.70, a decrease from ¥122,922,558.53 at the end of the previous year[24] - The total liabilities rose to ¥139,379,107.48, with a corresponding increase of ¥16,456,548.95[33] Cash Flow - The cash flow from operating activities showed a net outflow of ¥47,227,062.24, primarily due to increased payments for goods and employee compensation[6] - Cash inflow from operating activities for the first three quarters of 2021 totaled ¥245,180,846.79, up from ¥181,288,815.56 in 2020, representing a growth of about 35.3%[28] - The net cash flow from operating activities was -¥47,227,062.24, a decrease from ¥9,048,434.77 in the previous year[29] - Total cash inflow from investment activities amounted to ¥1,687,890,123.31, while cash outflow was ¥1,687,825,564.22, resulting in a net cash flow of ¥64,559.09[29] - Cash flow from financing activities generated a net inflow of ¥7,203,697.92, compared to a net outflow of -¥1,474,477.81 in the same period last year[30] - The total cash and cash equivalents at the end of the period were ¥490,236,083.16, down from ¥530,150,344.39 at the beginning of the period[30] Shareholder Information - Total number of common shareholders at the end of the reporting period is 6,685[15] - The largest shareholder, Zhong Zhu, holds 13,460,000 shares, representing 26.30% of total shares[15] Research and Development - Research and development expenses totaled ¥12,415,458.57 for the quarter, a decrease of 29.41% compared to the same period last year[6] - Research and development expenses for the third quarter of 2021 amounted to ¥44,772,018.66, compared to ¥40,105,511.01 in the same quarter of 2020, showing an increase of approximately 11.7%[24] Other Financial Metrics - The basic earnings per share for Q3 2021 was ¥0.52, an increase of 300.00% year-over-year[6] - The weighted average return on equity was 2.35%, an increase of 1.68 percentage points compared to the previous year[6] - Total operating costs for the first three quarters of 2021 were ¥182,563,343.44, compared to ¥117,691,714.08 in 2020, indicating an increase of about 55.2%[24] - Deferred income tax liabilities were reported at ¥482,996.03, compared to ¥531,192.91 in the previous year, reflecting a decrease of approximately 9.1%[24] - The company reported a financial expense of -¥3,337,689.92 for the third quarter of 2021, an improvement from -¥4,587,650.50 in the same quarter of 2020[24] - The company's cash and cash equivalents as of September 30, 2021, amount to ¥490,343,583.16, a decrease from ¥533,257,844.39 at the end of 2020[18] - The company has a total of 200,000,000 in trading financial assets, down from 270,000,000[18] - The company reported a decrease in accounts receivable to ¥211,862,680.32 from ¥214,645,035.91 year-over-year[18] - The company has no new product launches or significant market expansion strategies mentioned in the report[17]

Financial Performance - The company reported a total revenue of RMB 100 million for the first half of 2021, representing a year-on-year increase of 20%[1]. - The company's operating revenue for the first half of 2021 was approximately ¥116.11 million, representing a 76.37% increase compared to ¥65.83 million in the same period last year[23]. - Net profit attributable to shareholders for the first half of 2021 reached approximately ¥8.59 million, a significant increase of 459.08% from ¥1.54 million in the previous year[23]. - The basic earnings per share for the first half of 2021 was ¥0.13, up 333.33% from ¥0.03 in the same period last year[21]. - The company's revenue for the first half of 2021 increased by 76.37% compared to the same period last year, driven by the long-term growth trend in the cybersecurity industry[24]. - The net profit attributable to the parent company increased significantly due to the revenue growth in the first half of 2021, with basic earnings per share also rising accordingly[24]. - The company achieved a main business revenue of 116.11 million yuan, an increase of 76.37% compared to the same period last year[98]. - The net profit attributable to shareholders reached 8.59 million yuan, representing a significant growth of 459.08% year-on-year[98]. User Growth and Market Expansion - User data indicates a growth in active users by 15%, reaching a total of 1.5 million users by June 30, 2021[1]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by the end of 2022[1]. - The company is expanding its market presence in Southeast Asia, targeting a 30% increase in sales in that region by the end of 2022[134]. Research and Development - The company's R&D expenditure as a percentage of operating revenue was 27.87%, down 6.34 percentage points from 34.21% in the previous year[21]. - The company increased its R&D and sales personnel by 36.45% and 35.71% respectively, leading to a rise in employee compensation and a decrease in net cash flow from operating activities[24]. - The company has established a detailed R&D project management system to ensure accurate accounting of R&D expenses, including a project budget prepared by the R&D department and approved by the management committee[37]. - The company has made significant advancements in security management technology, enhancing performance and optimizing security resources through virtualization[67]. - The company has focused on cross-vendor integration and centralized management of security strategies, enhancing the effectiveness of security measures[67]. - Research and development expenses increased to ¥32,356,560.09, compared to ¥22,518,455.65 in the first half of 2020, indicating a rise of 43.73%[176]. Product Development and Innovation - New product development includes the launch of the ABT Security Platform Operation System, aimed at enhancing data security capabilities[1]. - The company emphasizes independent innovation in its R&D strategy, ensuring that its products meet market demands and have broad application prospects[36]. - The company is focusing on expanding its market presence through the launch of new security products tailored for various user types, including IoT devices[63]. - The company aims to enhance its product offerings through continuous research and development in network security solutions[63]. - The SPOS security gateway product's R5.4 version was released in June 2021, featuring multiple optimizations to support business expansion in the second half of the year[90]. Financial Health and Investments - The company's total assets at the end of the reporting period were approximately ¥1.13 billion, a decrease of 1.44% from ¥1.15 billion at the end of the previous year[23]. - The company's cash flow from operating activities showed a net outflow of approximately ¥39.55 million, a decrease of 266.05% compared to a net inflow of ¥23.82 million in the previous year[23]. - The company has a total of 51,180,000 shares outstanding, with 44.35% being restricted shares[152]. - The total number of common stock shareholders at the end of the reporting period is 6,707[153]. - The company has unused raised funds of RMB 27,273.58 million as of June 30, 2021[148]. Risk Factors and Management - The company has identified potential risks including market competition and regulatory changes, which are detailed in the risk factors section of the report[1]. - The company faces risks related to technology and product replacement, as well as potential loss of core technical personnel, which could impact its competitive edge[93]. - The company has committed to maintaining stock price stability for three years following its IPO[127]. Corporate Governance and Compliance - All financial reports have been confirmed as accurate and complete by the management team, ensuring transparency for investors[1]. - The company confirmed its legal and effective existence, with no circumstances requiring termination under laws and regulations[138]. - The company has established a long-term commitment to avoid conflicts of interest and ensure fair treatment of stakeholders[138]. - The company has confirmed that there are no significant lawsuits or arbitration matters during the reporting period[143].

Financial Performance - Operating revenue for the first quarter reached CNY 43.95 million, representing an increase of 86.21% year-on-year[5]. - Net profit attributable to shareholders was CNY 3.82 million, a significant recovery from a loss of CNY 1.81 million in the same period last year[5]. - The weighted average return on net assets improved to 0.37%, compared to -0.18% in the previous year[5]. - Basic and diluted earnings per share were both CNY 0.07, recovering from a loss of CNY 0.04 per share in the same period last year[5]. - The company reported a significant increase in other income, which rose by 327.68% to CNY 6,287,792.09, mainly from tax refunds[15]. - The total comprehensive income for Q1 2021 was CNY 3,855,241.31, compared to a loss of CNY 1,948,251.67 in Q1 2020[32]. Assets and Liabilities - Total assets at the end of the reporting period were approximately CNY 1.13 billion, a decrease of 1.01% compared to the end of the previous year[5]. - The total assets as of March 31, 2021, were CNY 1,133,438,605.66, a slight decrease from CNY 1,145,058,888.71 at the end of 2020[21]. - Total liabilities as of March 31, 2021, were CNY 144,753,231.22, down from CNY 156,959,586.41 at the end of 2020[26]. - The total equity attributable to shareholders as of March 31, 2021, was CNY 936,796,757.25, slightly down from CNY 938,728,664.40 at the end of 2020[26]. Cash Flow - The company reported a cash flow from operating activities of -CNY 6.37 million, an improvement from -CNY 17.77 million in the same period last year[5]. - The net cash flow from operating activities improved to CNY -6,369,498.50, a significant reduction from CNY -17,766,811.68 in the previous year[16]. - The company generated CNY 99,866,784.52 in cash inflows from operating activities, compared to CNY 56,842,281.07 in Q1 2020[35]. - The cash inflow from investment activities totaled CNY 120,949,525.85, while cash outflow was CNY 150,115,875.00, resulting in a net cash flow of -CNY 29,166,349.15[37]. - The net increase in cash and cash equivalents for the period was -CNY 31,207,916.05, compared to -CNY 15,525,472.92 in Q1 2020[39]. Shareholder Information - The total number of shareholders at the end of the reporting period was 6,306[9]. - The top shareholder, Zhong Zhu, held 26.30% of the shares, amounting to 13,460,000 shares[9]. Research and Development - Research and development expenses accounted for 34.89% of operating revenue, a decrease of 1.14 percentage points compared to the previous year[5]. - Research and development expenses increased by 80.36% to CNY 15,335,567.69, attributed to a rise in personnel and salary costs[15]. - Research and development expenses for Q1 2021 were CNY 15,335,567.69, up from CNY 8,502,936.54 in Q1 2020, indicating an increase of about 80%[29]. - The company incurred research and development expenses of CNY 8,764,276.01, up from CNY 4,116,737.75 in the previous year, indicating a focus on innovation[32]. Borrowings and Financing - Short-term borrowings increased by 47.45% to CNY 62,046,949.00, driven by operational financing needs[13]. - The company raised CNY 36,126,922.00 through borrowings in Q1 2021, compared to CNY 1,149,587.00 in Q1 2020, reflecting increased financing activities[36]. Other Financial Metrics - Non-recurring gains and losses for the period totaled CNY 1.26 million, including government subsidies and other income[7]. - The company reported a credit impairment loss of CNY 8,044,378.41 in Q1 2021, compared to a reversal of CNY 5,249,099.77 in Q1 2020[29]. - Payments to employees increased to CNY 18,598,041.51 from CNY 11,831,657.44, reflecting a rise of 57.4%[37]. - The company made an investment payment of CNY 150,000,000.00 during the quarter, indicating a significant capital allocation strategy[37].

Financial Performance - The company's operating revenue for 2020 was CNY 262,835,660.84, representing a 5.67% increase compared to CNY 248,731,759.62 in 2019[23]. - The net profit attributable to shareholders of the listed company decreased by 39.72% to CNY 44,473,425.09 from CNY 73,771,975.96 in the previous year[23]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 32,099,198.70, down 53.47% from CNY 68,990,205.17 in 2019[23]. - The net cash flow from operating activities was CNY 12,479,395.72, a decrease of 45.60% compared to CNY 22,940,105.08 in 2019[23]. - As of the end of 2020, the total assets amounted to CNY 1,145,058,888.71, reflecting a 7.52% increase from CNY 1,064,997,333.22 at the end of 2019[23]. - The net assets attributable to shareholders of the listed company increased by 2.03% to CNY 1,019,996,189.88 from CNY 999,665,911.12 at the end of 2019[23]. - Basic earnings per share decreased by 50.85% to CNY 0.87 from CNY 1.77 in the previous year[24]. - The company's cash flow from operating activities decreased by 45.60% to CNY 12.48 million, indicating potential liquidity challenges[110]. Research and Development - The company's R&D investment as a percentage of operating revenue increased by 8.89 percentage points to 24.08%, reflecting a significant increase in R&D expenses by CNY 25.53 million, or 67.58% year-on-year[24]. - The company achieved a total R&D expenditure of ¥63,300,838.14, representing a 67.58% increase compared to the previous year[78]. - R&D expenditure accounted for 24.08% of total revenue, an increase of 8.89 percentage points from the previous year[78]. - The company applied for 71 new patents and obtained 22 new invention patents during the reporting period, bringing the total number of patents to 44[76]. - The company has a strong focus on R&D, with numerous patents and software copyrights related to its core technologies, indicating a commitment to innovation[69]. Corporate Governance - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties[8]. - The company has stated that there are no violations of decision-making procedures for external guarantees[8]. - The board of directors and supervisory board members have ensured the accuracy and completeness of the annual report[4]. - The company does not have any special arrangements for corporate governance[8]. - The company emphasizes the importance of internal control systems to effectively manage risks[145]. - The company is committed to enhancing corporate governance and operational standards[145]. Market and Industry Trends - The global cybersecurity industry reached a scale of $124.40 billion in 2019, with an expected growth to $127.83 billion in 2020, reflecting a growth rate of 2.75% due to the pandemic impact[50]. - In China, the cybersecurity industry size was approximately ¥156.36 billion in 2019, growing by 17.1% from 2018, and is projected to reach ¥170.20 billion in 2020, with a growth rate of about 8.85%[50]. - The cybersecurity industry in China is entering a "fast lane" of development, driven by policy support, demand expansion, and application upgrades[56]. - The company is focusing on the development of security products for 5G, including advanced firewalls and gateways, to enhance security capabilities[53]. Shareholder and Stock Information - The profit distribution plan for 2020 proposes a cash dividend of 3.00 RMB per 10 shares, totaling approximately 15,354,000.00 RMB (including tax) to be distributed to shareholders[6]. - The cash dividend for 2019 was 4.5 RMB per 10 shares, totaling 23,031,000.00 RMB, which was 31.22% of the net profit attributable to shareholders[149]. - The total share capital as of December 31, 2020, was 51,180,000 shares[148]. - The company has established a cash dividend policy in accordance with relevant laws and regulations[148]. Social Responsibility - During the COVID-19 pandemic, the company donated 5,000 protective masks to Jianghan Fangcang Hospital and 3,000 masks to Wuhan Donghu Middle School, among other contributions[193]. - The company actively engaged in social responsibility initiatives, particularly during the pandemic, to support healthcare workers and local communities[193]. Risk Management - The report includes a detailed description of potential risks faced by the company[4]. - The company faced challenges due to the pandemic, impacting sales and R&D activities, particularly in its subsidiary Wuhan Sipuleng[24]. - The company is focusing on product upgrades and R&D investments to mitigate risks associated with rapid technological advancements in the industry[106]. Audit and Compliance - The company has received a standard unqualified audit report from Da Xin Accounting Firm[5]. - The internal control audit will also be conducted by Da Xin Accounting Firm, with a remuneration of 150,000 RMB[169]. - The company has committed to fulfilling all disclosed commitments in the prospectus to protect the rights of investors[165].

Financial Performance - Net profit attributable to shareholders decreased by 62.52% to CNY 8,251,473.12 for the first nine months of the year[6] - Operating income increased by 2.11% to CNY 129,950,212.96 for the first nine months[6] - Basic earnings per share decreased by 71.93% to CNY 0.16[7] - Total profit for the first three quarters of 2020 was ¥7,245,059.21, down from ¥23,712,401.24 in the same period of 2019[30] - Net profit for Q3 2020 was ¥7,078,986.91, slightly down from ¥7,189,932.84 in Q3 2019, representing a decrease of 1.5%[30] - The company’s total comprehensive income for Q3 2020 was ¥7,078,986.91, compared to ¥7,189,932.84 in Q3 2019, showing a decrease of 1.5%[31] Assets and Liabilities - Total assets decreased by 3.11% to CNY 1,031,900,717.18 compared to the end of the previous year[6] - As of September 30, 2020, total assets amounted to ¥1,031,900,717.18, a decrease from ¥1,064,997,333.22 as of December 31, 2019, reflecting a decline of approximately 3.1%[21] - Current assets totaled ¥974,806,681.18, down from ¥1,017,982,074.85, indicating a decrease of about 4.2%[21] - Total liabilities increased significantly, with accounts payable decreasing by 69.00% to CNY 7,877,102.95, indicating a reduction in payable goods[14] - Total liabilities decreased to ¥45,767,748.73 from ¥64,289,030.02, a decline of about 28.8%[23] - The total current liabilities decreased from ¥63,710,667.52 to ¥45,221,517.48, a reduction of approximately 29.0%[22] Cash Flow - Cash flow from operating activities decreased by 10.34% to CNY 9,048,434.77 for the first nine months[6] - Cash received from operating activities increased by 196.85% to CNY 8,928,578.50, mainly due to higher interest income[15] - The net cash flow from operating activities for the first three quarters of 2020 was ¥9,048,434.77, slightly down from ¥10,092,146.34 in the same period of 2019[36] - Total cash inflow from operating activities reached ¥218,047,287.50, compared to ¥46,140,395.81 in the previous year, indicating an increase of approximately 373%[40] Research and Development - Research and development expenses accounted for 30.86% of operating income, an increase of 14.42 percentage points[7] - Research and development expenses rose by 91.71% to CNY 40,105,511.01, driven by an increase in personnel and salary costs[15] - R&D expenses in Q3 2020 reached ¥17,587,055.36, a significant increase of 111.5% compared to ¥8,323,454.41 in Q3 2019[29] - Research and development expenses surged to ¥10,042,125.11 in Q3 2020, up from ¥4,081,728.95 in Q3 2019, reflecting an increase of about 146%[33] Shareholder Information - The total number of shareholders reached 6,157 by the end of the reporting period[11] - The top shareholder, Zhong Zhu, holds 26.30% of the shares, totaling 13,460,000 shares[11] Government Support - The company received government subsidies amounting to CNY 1,493,793.30 for the first nine months[8] Financial Management - The weighted average return on equity decreased by 7.39 percentage points to 0.82%[7] - The company reported a credit impairment loss of ¥6,239,554.89 in Q3 2020, compared to ¥3,681,240.14 in Q3 2019, indicating a worsening trend[30] - The financial expenses for Q3 2020 were reported at -¥386,463.90, a decrease from -¥64,700.53 in Q3 2019, indicating improved financial management[33] Investment Activities - The company reported a net cash outflow from investing activities of ¥231,259,714.00 in 2020, a decrease from a net inflow of ¥15,928,000.00 in 2019, reflecting a strategic shift in investment focus[41] - The company’s investment activities included cash payments of ¥249,740,000.00 for asset acquisitions, a significant increase from ¥4,000,000.00 in the previous year, indicating aggressive expansion efforts[41] Other Financial Metrics - Cash paid to employees increased by 33.84% to CNY 47,454,128.80, reflecting a rise in personnel and salary expenses[15] - The company reported a significant increase in cash paid for dividends, which rose by 3658.78% to CNY 23,404,863.81[15] - The company has long-term equity investments valued at 57,233,483.75, reflecting strategic investment decisions[49] - The company is focused on maintaining a strong balance sheet with total assets and equity significantly exceeding liabilities[51]

Financial Performance - The company reported a total revenue of RMB 100 million for the first half of 2020, representing a year-on-year increase of 20%[1] - The company's operating revenue for the first half of 2020 was ¥65,831,581.32, a decrease of 8.13% compared to the same period last year[21] - The net profit attributable to shareholders decreased by 89.50% to ¥1,537,287.56, primarily due to increased R&D investment and expanded sales team[24] - The basic earnings per share dropped by 92.11% to ¥0.03 compared to ¥0.38 in the same period last year[22] - The total assets at the end of the reporting period were ¥1,008,494,389.58, a decrease of 5.31% from the previous year-end[21] - The net assets attributable to shareholders decreased by 2.15% to ¥978,172,198.68[21] - The company achieved total operating revenue of 65.83 million yuan, a year-on-year decrease of 8.13%[90] - The net profit attributable to the parent company was 1.5373 million yuan, a year-on-year decrease of 89.50%[90] - The company reported a significant decrease in cash flow from operating activities, indicating potential challenges in operational efficiency[178] User Metrics - User data showed an increase in active users by 15% compared to the previous period, reaching 1.5 million active users[1] - The company reported a significant increase in active users, reaching 2 million, which is a 15% increase compared to the previous year[129] Research and Development - The company has invested RMB 10 million in research and development for new technologies in cybersecurity[1] - R&D expenditure as a percentage of operating revenue increased by 16.63 percentage points to 34.21%[23] - The total R&D expenditure for the period was ¥22,518,455.65, representing 34.21% of the company's operating revenue[73] - The company increased its R&D expenses by 78.76% year-on-year, amounting to 22.52 million yuan, reflecting a commitment to product innovation and development[100] - The company has a research and development team of 107 members, accounting for 55.44% of total employees[82] Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 30% market share by the end of 2021[1] - The company is focusing on multi-dimensional analysis and visualization of advanced security threats, which is becoming a trend in security investment[46] - The company is focusing on enhancing its capabilities in IPv6 and IoT security, with significant R&D investments aimed at improving product performance in these areas[94] - The company is committed to enhancing its capabilities in network security as part of the national strategy to strengthen cybersecurity and protect critical information infrastructure[42] Product Development - New product development includes the launch of the ABT Security Platform Operation System, aimed at enhancing network security capabilities[1] - The company launched a free network security policy inspection tool that supports over 90% of firewall brands, aimed at reducing network risks and improving compliance[68] - The company launched the V5.2 version of the SPOS security gateway product in May 2020, integrating hardware and software upgrades to enhance performance and support customer solutions[92] - The company completed the research and development work for the SPOS security gateway product to run in Docker containers, enhancing its applicability in cloud security scenarios[65] Financial Guidance and Outlook - The company has set a revenue guidance for the second half of 2020, projecting a growth of 25% year-on-year[1] - The company provided a positive outlook for the second half of 2020, projecting a revenue growth of 25%[129] - New product launches are expected to contribute an additional $100 million in revenue by the end of the year[128] Risk Factors - The company has identified potential risks related to market competition and regulatory changes, which are detailed in the risk factors section[1] - The company faces risks related to technology replacement, core personnel turnover, and supply chain stability, which could impact its competitive position[95] Compliance and Governance - The report emphasizes the importance of maintaining accurate financial reporting and compliance with regulatory standards[1] - The company is committed to maintaining compliance with regulatory requirements, ensuring all commitments are met to protect investor interests[129] Shareholder Information - The company has committed to not transferring or entrusting the management of shares held prior to the IPO for 36 months from the listing date on the Shanghai Stock Exchange[114] - The company will not transfer or manage its existing shares for 36 months following the IPO[119] - The company has committed to a 12-month lock-up period for shares following its IPO on the Shanghai Stock Exchange's Sci-Tech Innovation Board[118] Customer Satisfaction - Customer satisfaction ratings have improved, with a reported 90% satisfaction rate in recent surveys[129]

Financial Performance - Operating revenue for the reporting period was CNY 23,602,409.32, down 19.19% from CNY 29,206,057.73 in the same period last year[5] - The net profit attributable to shareholders of the listed company was CNY -1,813,621.44, a substantial increase in loss compared to CNY -31,526.70 in the same period last year[5] - Net loss for Q1 2020 was CNY 1,948,251.67, compared to a net loss of CNY 530,296.59 in Q1 2019, representing a significant increase in losses[29] - The net profit for Q1 2020 was ¥311,104.98, a decrease of 69.9% from ¥1,034,640.83 in Q1 2019[32] - The company’s total comprehensive income for Q1 2020 was ¥311,104.98, down from ¥1,034,640.83 in Q1 2019[32] Cash Flow - Net cash flow from operating activities was CNY -17,766,811.68, compared to CNY -6,787,529.27 in the previous year, indicating a significant decline[5] - The net cash flow from operating activities was -¥17,766,811.68 in Q1 2020, worsening from -¥6,787,529.27 in Q1 2019[35] - The company reported a total cash inflow from operating activities of ¥56,842,281.07 in Q1 2020, an increase from ¥47,982,820.81 in Q1 2019[34] - The total cash outflow from operating activities was ¥74,609,092.75 in Q1 2020, compared to ¥54,770,350.08 in Q1 2019[35] - Cash received from tax refunds increased by 127.21% to ¥1,469,799.74, driven by higher VAT refunds[14] Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,025,983,759.84, a decrease of 3.66% compared to the end of the previous year[5] - The total liabilities decreased to ¥27,223,708.31 from ¥64,289,030.02, showing a significant reduction in financial obligations[21] - Total assets decreased to ¥1,025,983,759.84 from ¥1,064,997,333.22, indicating a reduction in overall asset value[20] - Total current assets amounted to 1,017,982,074.85, while total non-current assets were 47,015,258.37, leading to a total asset value of 1,064,997,333.22[41] - Current liabilities totaled $32,606,539.13, including accounts payable of $17,515,911.33 and employee compensation payable of $7,502,442.01[46] Shareholder Information - The total number of shareholders at the end of the reporting period was 6,377[7] - The largest shareholder, Zhong Zhu, held 26.30% of the shares, amounting to 13,460,000 shares[7] - The company's equity totaled 1,000,708,303.20, with the attributable equity to shareholders amounting to 999,665,911.12[42] Research and Development - Research and development expenses accounted for 36.03% of operating revenue, an increase of 13.62 percentage points year-on-year[5] - Research and development expenses increased to CNY 8,502,936.54 in Q1 2020, up 30% from CNY 6,545,039.10 in Q1 2019[28] - Research and development expenses rose to ¥4,116,737.75 in Q1 2020, up 114.0% from ¥1,921,407.81 in Q1 2019[31] Financial Position - Financial expenses decreased significantly by 448.66% to -¥527,656.14, attributed to a reduction in loan interest and an increase in interest income[12] - Deferred income tax assets increased by 39.79% to CNY 4,334,391.09, reflecting the provision for bad debt during the reporting period[11] - The company reported a significant increase in accounts receivable, which reached CNY 18,943,801.08, up 1031.45% due to the receipt of bank acceptance bills[10] - The company incurred a credit impairment loss of -¥3,011,977.99 in Q1 2020, compared to -¥134,474.06 in Q1 2019[31] Changes in Accounting Standards - The company implemented new revenue and leasing standards starting January 1, 2020, affecting the financial statements[39] - The company has implemented new revenue recognition standards effective January 1, 2020, impacting financial reporting[48]

Financial Performance - The company's operating revenue for 2019 was CNY 248,731,759.62, representing a 27.33% increase compared to CNY 195,346,548.76 in 2018[21]. - The net profit attributable to shareholders for 2019 was CNY 73,771,975.96, which is a 19.86% increase from CNY 61,549,570.52 in 2018[21]. - The net assets attributable to shareholders increased by 291.38% to CNY 999,665,911.12 at the end of 2019, compared to CNY 255,418,127.27 at the end of 2018[22]. - Total assets grew by 241.75% to CNY 1,064,997,333.22 at the end of 2019, up from CNY 311,633,724.87 at the end of 2018[22]. - The basic earnings per share for 2019 was CNY 1.77, a 10.63% increase from CNY 1.60 in 2018[23]. - The diluted earnings per share for 2019 also stood at CNY 1.77, consistent with the basic earnings per share[23]. - The company reported a net profit of CNY 51,755,633.77 in the fourth quarter of 2019, significantly contributing to the annual performance[25]. - The company’s weighted average return on equity decreased to 16.04% in 2019 from 26.93% in 2018, a decline of 10.89 percentage points[23]. - The company reported a non-operating income of 4,781,770.79 in 2019, a significant increase from 1,546,322.90 in 2018, representing a growth of approximately 209%[29]. - The government subsidies recognized in the current period amounted to 5,641,517.10 in 2019, compared to 1,742,200.00 in 2018, indicating a year-over-year increase of about 224%[28]. Research and Development - The R&D expenditure as a percentage of operating revenue increased to 15.19% in 2019 from 13.59% in 2018, reflecting a 1.6 percentage point increase[23]. - The company reported a total R&D expenditure of ¥37,773,098.02, which accounts for 15.19% of its operating revenue[78]. - The number of R&D personnel is 109, representing 56.77% of the total workforce[78]. - During the reporting period, the company applied for 64 domestic invention patents and 12 software copyrights[76]. - The company is conducting foundational research in artificial intelligence and machine learning technologies[76]. - The company has filed multiple patents related to its core technologies, including those for the ABT SPOS platform, which is designed for various hardware architectures[65]. - The company has established R&D centers in Beijing and Wuhan, and a network attack and defense research laboratory in Tianjin[89]. Product Development and Innovation - The company launched three major versions of its security gateway products: V4.7, V4.7P, and V5.0, along with two major versions of its security policy visualization products: V1.7 and V1.8[76]. - The company has developed a core security technology platform (ABT SPOS) that supports rapid adaptation across multiple architectures, enhancing its product offerings[65]. - The company’s security management software has been recognized as a key module for major industry solutions, receiving multiple accolades including the "Most Potential Award" at the 2nd Financial Critical Information Infrastructure Protection Forum[56]. - The company’s products are widely adopted by major manufacturers, including Huawei and Xinhua San, showcasing strong market presence[57]. - The company achieved a total revenue of 248.73 million yuan in 2019, representing a year-on-year growth of 27.33%[108]. - The company successfully launched products compatible with domestic high-end chips, quickly capturing the domestic security market[101]. - The company expanded its support for IPv6 networks across multiple versions of its security products, enhancing its application in various industries[100]. Market and Industry Trends - In 2018, the global cybersecurity industry reached a scale of $111.99 billion, with an expected growth to $121.67 billion in 2019, reflecting an annual growth rate of 11.3%[43]. - The domestic cybersecurity industry in China was valued at 51.09 billion yuan in 2018, with a projected increase to 63.13 billion yuan in 2019, marking a growth of 19.2%[43]. - The number of cellular IoT terminal connections in China reached 920 million by Q3 2019, expected to exceed 1.9 billion by 2025[47]. - The demand for security management platform products is expected to grow due to the increasing attack surface from the exponential growth of internet assets during the IPv6 upgrade[59]. - The commercial rollout of 5G has led to an explosive increase in IoT terminal numbers, necessitating enhanced security measures to prevent attacks and data breaches[60]. Corporate Governance and Shareholder Commitments - The profit distribution plan for 2019 is to distribute a cash dividend of 4.5 RMB per 10 shares, totaling approximately 23,031,000 RMB (including tax) to all shareholders[6]. - The company has committed to not transferring or entrusting management of shares held prior to the IPO for 36 months from the listing date[146]. - The company has outlined specific plans for the use of undistributed profits, although details were not disclosed in the report[145]. - The company has established a limit on the annual transfer of shares by its directors and senior management to no more than 25% of their total holdings during their tenure[153]. - The company will ensure that all related party transactions are documented through written contracts or agreements[168]. - The company will take responsibility for any losses caused to the company or other investors due to non-compliance with the commitments made[168]. Financial Management and Investments - The company has invested a total of RMB 1,939.85 million in various projects, with a current investment of RMB 1,939.85 million[81]. - The security strategy project has a total investment of RMB 650 million, with RMB 378.82 million already invested, achieving automated security policy deployment and attack surface calculation[81]. - The company approved a plan to use up to RMB 600 million of temporarily idle raised funds for cash management, ensuring it does not affect the investment project progress or normal operations[186]. - The company has a total of RMB 9 million in principal guaranteed investment with an annualized return of 1.71% and a floating return investment of RMB 10 million with an annualized return of 3.35%[188]. - The company reported a significant increase in cash flow from financing activities, amounting to 660.83 million yuan, a 28,457.14% increase year-on-year[110]. Risk Management - The company has not faced any non-operational fund occupation by controlling shareholders or related parties[8]. - The company has not violated any decision-making procedures for providing guarantees[8]. - The company faced risks related to core component supply chains, particularly with reliance on suppliers like Cavium and Intel[104]. - The company is actively addressing industry risks by increasing investment in product and R&D departments to keep pace with technological advancements[105]. - The COVID-19 pandemic caused delays in the company's Wuhan R&D center, impacting product development timelines[107].

Financial Performance - Operating revenue for the first nine months reached ¥127,262,708.47, a 22.81% increase year-on-year[6] - Net profit attributable to shareholders increased by 128.54% to ¥22,016,342.19 compared to the same period last year[6] - Basic earnings per share rose by 128.00% to ¥0.57[7] - The weighted average return on net assets increased by 3.67 percentage points to 8.21%[7] - Total operating revenue for Q3 2019 was CNY 55,605,152.58, an increase of 43.1% compared to CNY 38,839,437.85 in Q3 2018[31] - Total operating costs for Q3 2019 were CNY 47,432,125.64, up 59.9% from CNY 29,661,914.25 in Q3 2018[31] - Net profit for Q3 2019 was CNY 7,189,932.84, a decrease of 21.0% from CNY 9,115,534.97 in Q3 2018[32] - Earnings per share (EPS) for Q3 2019 was CNY 0.19, down from CNY 0.25 in Q3 2018[34] - The total comprehensive income for the first three quarters of 2019 was CNY 21,096,597.22, compared to CNY 8,317,408.00 in the same period of 2018[33] - The total profit for the first three quarters of 2019 was ¥25,853,956.71, compared to a loss of ¥2,057,700.49 in the same period of 2018[37] Asset and Equity Growth - Total assets increased by 219.34% to ¥995,166,041.07 compared to the end of the previous year[6] - Net assets attributable to shareholders increased by 271.12% to ¥947,910,277.35 compared to the end of the previous year[6] - Current assets totaled ¥950,767,495.06, compared to ¥271,720,871.49 in the previous year, indicating a growth of about 250%[23] - Cash and cash equivalents increased to ¥784,835,827.95 from ¥106,336,571.06, representing a growth of approximately 638%[23] - Shareholders' equity increased significantly to ¥948,736,175.90 from ¥257,163,770.79, reflecting a growth of around 269%[25] - The company reported a total equity of CNY 881,796,940.51, significantly higher than CNY 186,292,339.32 in the previous year[30] - The company reported a significant increase in capital reserve by CNY 657.68 million, a growth of 559.49%, resulting from the premium on shares issued during the IPO[15] - The company’s capital reserve increased to ¥775,231,456.31 from ¥117,550,648.42, representing a growth of about 560%[25] Cash Flow and Financing Activities - Net cash flow from operating activities for the first nine months was ¥10,092,146.34, a significant recovery from a negative cash flow of ¥34,081,041.43 in the same period last year[6] - Cash received from sales of goods and services increased by CNY 34.01 million, a growth of 32.96%, due to increased sales collections during the reporting period[19] - Cash received from investment increased by CNY 685.61 million, a growth of 100%, primarily from IPO fundraising[19] - Cash flow from operating activities for the first three quarters of 2019 was ¥10,092,146.34, a recovery from a negative cash flow of ¥34,081,041.43 in the same period of 2018[39] - Financing activities generated a net cash inflow of ¥673,093,472.18 in Q3 2019, a significant improvement from a net outflow of ¥11,222,513.93 in Q3 2018[40] - Cash flow from financing activities resulted in a net inflow of $671,392,439.84 in the first nine months of 2019, compared to a net outflow of -$8,949,913.93 in the same period of 2018[43] Shareholder Information - The company had a total of 9,158 shareholders at the end of the reporting period[11] - The top shareholder, Zhong Zhu, holds 26.30% of the shares, totaling 13,460,000 shares[11] Research and Development - Research and development expenses for Q3 2019 totaled CNY 8,323,454.41, an increase of 93.5% compared to CNY 4,312,403.69 in Q3 2018[31] - The company plans to continue investing in R&D to drive future growth and innovation[31]