Financial Performance - The company's operating revenue for Q1 2021 was CNY 2,042,023,405.74, a decrease of 3.83% compared to CNY 2,123,304,206.17 in the same period last year[8]. - Net profit attributable to shareholders was CNY 39,109,718.48, representing a year-on-year increase of 32.73%[12]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 34,949,200.28, up 47.64% year-on-year[8]. - The software development and technical services business achieved revenue of CNY 795 million, a year-on-year increase of 25.89%[12]. - Revenue from the financial industry reached CNY 1.135 billion, up 31.92% year-on-year, with software service revenue in this sector growing by 35.57% to CNY 419 million[12]. - Basic earnings per share increased by 38.16% to CNY 0.0420, while diluted earnings per share rose by 38.54% to CNY 0.0417[8]. - The company reported a net profit margin decline due to increased operating costs, with total operating costs at CNY 1,920,235,925.57 compared to CNY 2,029,887,319.77 in the previous year[76]. - The net profit for the current period is 31,027,495.21, compared to 23,544,567.08 in the previous period, representing an increase of approximately 31.5%[83]. - The total profit for the current period is 42,671,888.32, compared to 28,848,389.03 in the previous period, marking an increase of approximately 48.1%[83]. Cash Flow and Liquidity - The company reported a net cash flow from operating activities of CNY -657,782,716.88, a decline of 9.24% compared to the previous year[8]. - The company reported a significant increase in cash flow from operating activities, totaling 1,980,005,231.88 compared to 1,377,943,966.46 in the previous period, an increase of approximately 43.7%[91]. - The ending balance of cash and cash equivalents was 907,971,907.37, up from 532,229,129.80, showing improved liquidity[97]. - Cash inflow from operating activities totaled 2,155,211,028.02, compared to 1,460,760,614.28 in the previous period, indicating growth in operational revenue[95]. - Cash outflow for employee payments was 554,443,455.08, an increase from 415,163,495.19, reflecting higher labor costs[95]. - Cash outflow for taxes paid was 155,731,847.85, significantly higher than 61,847,752.29, indicating increased tax obligations[95]. Assets and Liabilities - The company's total assets at the end of the reporting period were CNY 10,886,062,026.90, a decrease of 9.67% from the previous year[8]. - Total liabilities decreased from CNY 6,365,995,240.28 to CNY 5,236,281,414.54, representing a reduction of approximately 17.7%[64]. - Current liabilities totaled CNY 5,085,725,059.25, down from CNY 6,309,209,567.23, indicating a decline of about 19.4%[62]. - The company's total equity amounted to CNY 5,649,780,612.36, down from CNY 5,685,867,595.24, indicating a decrease of approximately 0.6%[64]. - The total liabilities to equity ratio is approximately 1.12, indicating a moderate level of financial leverage[114]. Investments and Financing - The company completed a share repurchase plan, acquiring a total of 12,864,476 shares at an average price between 14.70 and 16.70 RMB per share, with a total expenditure of approximately 200 million RMB[36]. - The company reported a total investment of 200 million RMB in bonds, with a reported gain of 496,005.91 RMB during the reporting period[40]. - The company has invested RMB 201,610,000 in entrusted financial management products, with an outstanding balance of RMB 42,130,000 as of the reporting date[49]. - The company raised RMB 200 million for major asset restructuring, with RMB 174,975,238.86 utilized by December 31, 2020, leaving a remaining balance of RMB 27,381,768.29[44]. - The company plans to use between 100 million and 200 million RMB for future share repurchases, with a maximum purchase price set at 25.5 RMB per share[35]. Operational Highlights - The company signed unrecognized orders worth CNY 60.89 billion in Q1 2021, an increase of 63.05% year-on-year, with financial technology business orders growing by 76.69%[12]. - The company has secured multiple contracts in the financial technology sector, including projects with several banks and financial institutions, enhancing its market presence[12]. - The company has ongoing contracts with various clients, including a framework contract with Guangdong Midea Refrigeration Equipment Co., Ltd. valued at an estimated total of RMB 44,096,200[46]. - The company confirmed sales revenue of RMB 389,910 for the current period and a cumulative total of RMB 4,469,650 from the contract with Guangdong Midea[46]. Governance and Compliance - The company has not reported any overdue commitments from major stakeholders during the reporting period, reflecting good governance practices[36]. - The company has received high-tech enterprise certification for its subsidiaries, enhancing its market credibility[31]. - The company has not audited the first quarter report, which may affect the reliability of the financial data presented[128]. - The company reported no violations regarding external guarantees during the reporting period[50]. - The company has no non-operating fund occupation by controlling shareholders or related parties during the reporting period[51]. Changes in Accounting and Reporting - The company has made adjustments to its accounting policies, which may affect future financial reporting[35]. - The company is implementing new leasing standards, which may affect financial reporting and asset valuation going forward[114]. - The company held an annual performance briefing on March 31, 2021, discussing the 2020 performance and future strategies[52].

Economic Performance - In 2020, the company achieved a positive economic growth amidst the global recession caused by the COVID-19 pandemic, marking it as a significant year for the company[5]. - The company reported a total revenue of RMB 1.2 billion for the fiscal year 2020, representing a year-over-year increase of 15%[23]. - The company's operating revenue for 2020 was ¥10,685,976,832, representing a 5.32% increase from ¥10,146,008,170.91 in 2019[35]. - The net profit attributable to shareholders for 2020 was ¥475,673,930.78, a 26.64% increase compared to ¥375,607,752.77 in 2019[35]. - The basic earnings per share for 2020 was ¥0.4933, up 26.52% from ¥0.3899 in 2019[35]. - The total assets at the end of 2020 were ¥12,051,862,835.52, reflecting a 12.05% increase from ¥10,755,502,029.77 at the end of 2019[35]. - The company reported a net profit of ¥257,012,764.21 in Q4 2020, significantly higher than the profits in previous quarters[40]. - The company experienced a negative cash flow from operating activities in Q1 2020, amounting to -¥602,150,915.20, but recovered in subsequent quarters[40]. Financial Technology Strategy - The company emphasizes the importance of financial technology innovation, aiming to enhance digital transformation and develop digital currency applications to improve financial inclusivity[10]. - The company is focusing on three disruptive innovations: cloud infrastructure, big data knowledge reconstruction, and business integration through digital technology[6]. - The company is committed to supporting small and micro enterprises and agricultural sectors by providing tailored financial solutions and reducing barriers to financing[8]. - The company aims to leverage new technologies to create new market opportunities and enhance its competitive positioning in the financial sector[6]. - The company is actively exploring the establishment of a financial technology regulatory framework to promote orderly financial innovation under prudent supervision[5]. - The company is dedicated to enhancing its financial technology capabilities and promoting the development of a digital economy in line with national strategies[10]. - The company acknowledges the challenges in the financial technology industry, including the need for breakthroughs in key underlying technologies and the adaptation of domestic products[7]. Research and Development - The company is investing RMB 50 million in R&D for new technologies, focusing on AI and big data analytics[23]. - Research and development expenses totaled 511 million, reflecting a 36.24% year-on-year increase, supporting product upgrades in core banking and risk control[68]. - The company has developed a product system in the AI field, including intelligent position management and automated testing platforms, which have been adopted by over ten financial institutions[77]. - The company has built a data modeling platform that has set a precedent for domestic products, with over 20 benchmark cases established in 2020[77]. - The company has implemented a management approach for capitalized R&D projects, detailing conditions, review processes, and financial accounting principles[108]. Market Expansion and Partnerships - Market expansion plans include entering two new provinces in China, aiming for a 20% market share in those regions by 2022[23]. - A strategic partnership was formed with a leading telecom provider to enhance service offerings and customer reach[23]. - The company has helped over 80 clients build open banking systems, covering various types of commercial banks[76]. - The company has established multiple R&D centers in Xi'an, Beijing, and Guangzhou, with the Xi'an center being one of the earliest and largest software development bases in the domestic financial industry[61]. Financial Performance Metrics - The gross profit margin improved to 35%, up from 30% in the previous year, due to cost optimization strategies[23]. - The company's long-term equity investments decreased by 65.84% due to the transfer of equity in an associate company, Dingjie Software[58]. - Cash and cash equivalents increased by 33.99% compared to the beginning of the period, mainly due to the proceeds from the transfer of Dingjie Software[58]. - The company's IT investment in the banking sector was projected to reach CNY 1,327 million in 2019, with a market size of approximately CNY 530 million in 2020, reflecting a year-on-year growth of 24%[50]. - The company ranked 39th in the "IDC FINTECH RANKINGS" of the world's top 100 fintech companies in 2020[57]. Dividend Distribution - The company plans to distribute a cash dividend of 0.5 RMB per 10 shares to shareholders, based on a total share count of 963,445,851 shares after accounting for repurchased shares[14]. - In 2020, the total cash dividend amounted to RMB 187,388,235.84, representing 39.39% of the net profit attributable to shareholders[167]. - The total cash dividend amount for 2020 is ¥48,172,292.55, which accounts for 10.13% of the net profit attributable to ordinary shareholders[171]. - The company has maintained its profit distribution policy without any adjustments during the reporting period[166]. Compliance and Governance - The company has committed to ensuring that cash distributions will not be less than 10% of the distributable profit for the year and at least 30% of the average distributable profit over any three consecutive years[182]. - The company has confirmed that it and its main management personnel have not faced any administrative or criminal penalties related to the securities market in the past five years[179]. - The company has established a long-term commitment to uphold these promises, with no violations reported to date[187]. - The company guarantees that all information provided for the transaction is true, accurate, and complete, with no misleading statements or omissions[198].

Financial Performance - Operating revenue for the reporting period reached ¥2,385,948,742.50, representing a year-on-year increase of 13.40%[8] - Net profit attributable to shareholders of the listed company was ¥61,960,293.61, an increase of 1.29% year-on-year[8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥27,565,523.38, up 84.36% compared to the same period last year[8] - Basic earnings per share for the reporting period were ¥0.0638, an increase of 0.47% year-on-year[8] - The company expects a net profit of approximately 43,500,000 RMB for the current year, representing a year-on-year increase of 15.81% compared to 37,560,780 RMB from the previous year[53] - The basic earnings per share are projected to be 0.4484 RMB, reflecting a growth of 15.01% from 0.3899 RMB in the same period last year[53] - The company reported a net profit of ¥60,087,172.76 for the quarter, compared to ¥44,277,007.62 in the previous year, reflecting a growth of 35.8%[88] - Net profit for the current period was ¥206,022,651.33, compared to ¥182,393,839.76 in the previous period, representing an increase of 12.92%[109] Cash Flow and Assets - Total assets at the end of the reporting period amounted to ¥10,544,216,969.92, a decrease of 1.96% compared to the end of the previous year[8] - Cash and cash equivalents decreased by 61.63% from the beginning of the year, primarily due to cash outflows from operating activities and repayment of bank loans[24] - The net cash flow from operating activities was ¥158,164,496.79, reflecting a year-on-year increase of 1.62%[8] - The company reported cash and cash equivalents at the end of the period amounting to ¥520,874,292.19, down from ¥628,323,568.02 at the end of the same quarter last year[120] - The total assets of the company reached approximately ¥3.33 billion, remaining stable compared to the previous period[143] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 78,889[12] - The largest shareholder, Shenzhou Digital Software Co., Ltd., held 40.14% of the shares[12] - The company plans to repurchase and cancel 300,000 restricted stocks due to the departure of certain incentive targets[31] - The company approved a share repurchase plan with a total fund of no less than RMB 100 million and no more than RMB 200 million, with a maximum repurchase price of RMB 25.5 per share[35] Research and Development - Research and development expenses increased by 32.47% compared to the same period last year, primarily due to increased R&D investment[27] - Research and development expenses increased to ¥125,861,423.94, up 30% from ¥96,895,928.75 in the previous period[1] - The company has initiated a new R&D project focused on AI technology, with an investment of 50 million RMB over the next two years[48] Investment and Financing Activities - Net cash flow from investing activities decreased by 70.57% compared to the same period last year, primarily due to a decrease in net redemptions of financial products[27] - Net cash flow from financing activities improved by 40.59% year-on-year, mainly due to a decrease in net loan repayments[27] - The company reported a significant increase in credit impairment losses, which rose to -¥90,890,253.90 from -¥12,105,810.05 in the previous period, indicating a deterioration in asset quality[1] Market and Strategic Initiatives - The company is expanding its market presence in Southeast Asia, with plans to enter three new countries by Q1 2021[48] - A strategic acquisition of a local tech firm was announced, expected to enhance the company's technological capabilities and add 100 million RMB in annual revenue[48] - The company is focusing on fintech, leveraging new technologies to drive the intelligent iteration of software and service products[49] Operational Metrics - Operating costs for the third quarter were ¥2,273,772,504.14, up from ¥2,062,601,013.83, reflecting a year-over-year increase of 10.2%[90] - The total operating costs for the quarter were ¥287,128,050.43, compared to ¥119,350,531.27 in the same period last year, reflecting increased operational scale[111] - The company experienced a decrease in operating expenses by 10%, improving overall profitability margins[48] Other Financial Metrics - The company reported a significant decrease in short-term borrowings to CNY 650,820,578.44 from CNY 952,479,511.83, a decline of approximately 31.66%[75] - The total current liabilities decreased to CNY 4,855,380,070.80 from CNY 5,351,464,171.85, a decrease of about 9.25%[75] - The company reported a decrease in financial expenses, which fell to ¥5,923,358.80 from ¥21,775,306.29 in the previous period, a reduction of approximately 72.8%[1]

Financial Performance - The company's operating revenue for the first half of 2020 was ¥4,374,377,079.20, representing a 5.91% increase compared to ¥4,130,194,003.47 in the same period last year[24]. - The net profit attributable to shareholders of the listed company was ¥156,700,872.96, an increase of 21.34% from ¥129,143,755.18 in the previous year[24]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥152,755,989.91, up 28.77% from ¥118,627,807.77 in the same period last year[24]. - The basic earnings per share increased to ¥0.1615, a rise of 20.52% from ¥0.1340 in the previous year[24]. - The diluted earnings per share was ¥0.1602, reflecting a 19.55% increase compared to ¥0.1340 in the same period last year[24]. - The net cash flow from operating activities improved to -¥701,003,298.42, a 9.02% improvement from -¥770,501,133.42 in the previous year[24]. - Total assets at the end of the reporting period were ¥10,118,829,043.48, a decrease of 5.92% from ¥10,755,502,029.77 at the end of the previous year[24]. - The net assets attributable to shareholders of the listed company increased to ¥5,363,959,470.68, up 2.77% from ¥5,219,351,789.16 at the end of the previous year[24]. - The company plans not to distribute cash dividends or issue bonus shares[7]. Business Operations and Strategy - The company reported a government subsidy of ¥10,589,291.82 included in the current profit and loss[28]. - The company reported a total non-operating income of 3,944,883.05, after accounting for various losses and gains[30]. - The financial technology market in China is projected to exceed 542.3 billion by 2022, with a compound annual growth rate of 20.8% from 2019 to 2023[33]. - The company's financial technology business has been continuously innovating since 1987, focusing on distributed technology and big data capabilities[36]. - The company has developed a comprehensive suite of financial solutions, including a new generation distributed technology platform and core banking systems, maintaining a leading position in the industry[36]. - The company is leveraging 5iABCDs technologies (5G, IoT, AI, Blockchain, Big Data, Cloud Computing) to enhance operational efficiency for financial institutions[40]. - The company has established partnerships with major tech firms like Huawei and ZTE to drive innovation in the financial sector[39]. - The company aims to address financing challenges for small and micro enterprises and the agricultural sector through integrated financial services[41]. - The overall investment in IT solutions for Chinese banks is expected to reach 130.5 billion in 2020, indicating strong growth potential in the sector[33]. - The company is actively exploring new business models that integrate technology, industry, and finance to enhance service capabilities[41]. - The company has successfully implemented AI technologies in risk control and operations, improving management efficiency for financial institutions[40]. Research and Development - The company increased its R&D investment to 278 million yuan, a year-on-year growth of 9.20%[53]. - The company has accumulated 1,132 software copyrights and patents, reflecting its commitment to innovation and R&D[46]. - The company has established long-term partnerships with over 800 clients in the financial sector, including central banks and various commercial banks[47]. Market Position and Competition - The company ranked first in three key segments of the banking IT solutions market, according to the 2019 report by CCID Consulting[42]. - The demand for banking information infrastructure construction is expected to reach 65 billion RMB in 2020, marking a significant growth period for financial innovation[56]. - The company successfully secured its first major information infrastructure construction project in the banking sector, integrating various components to meet high-performance and security requirements[56]. - The company has signed contracts with 8 banks for core system consulting and construction, including China Postal Savings Bank and Xiamen International Bank[56]. - The company’s distributed core business system and enterprise-level microservice platform continue to lead the market, with significant contracts signed with 7 banks including Guangzhou Bank and Guizhou Bank[56]. Financial Technology Initiatives - The company has completed technical preparations for the promotion of digital currency, participating in DCEP testing for a major state-owned bank[59]. - The company’s tax-related projects have supported 32 formal and 8 temporary requirements for the State Taxation Administration, covering 24 tax types and 298 reduction policies[61]. - The company’s "Silver Agriculture Direct Connection" business has signed contracts totaling 69.42 million, achieving a threefold increase compared to the previous year[62]. - The company has established partnerships with various financial institutions to explore financial technology applications and innovations in banking practices[63]. - The company’s mixed cloud management platform 5.0 version supports complex hybrid cloud management scenarios, successfully implemented in the Agricultural Development Bank of China[59]. - The company has signed a strategic cooperation agreement with Qinghai Rural Credit Union to explore financial technology applications in banking[63]. Shareholder and Corporate Governance - The company has implemented an employee stock option and restricted stock incentive plan, granting a total of 30 million rights, including 22.60 million stock options and 7.40 million restricted shares[108]. - The stock incentive plan was approved by the board and is subject to review by the Hong Kong Stock Exchange due to the company's indirect controlling shareholder being listed there[108]. - The actual number of restricted shares granted was 6.95 million, and the stock options granted totaled 22.47 million[112]. - The total number of shares increased from 963,431,273 to 970,381,273 after the stock incentive plan[112]. - The company has no media controversies during the reporting period[104]. - There are no penalties or rectifications reported during the reporting period[105]. - The company has disclosed the incentive plan details and adjustments in compliance with relevant regulations[109]. - The total number of ordinary shareholders at the end of the reporting period was 68,404, with a total of 10 shareholders holding more than 5% of the shares[180]. - The largest shareholder, Digital China Software Co., Ltd., held 40.14% of the shares, amounting to 389,540,110 shares[180]. Corporate Social Responsibility - The company has committed to donating 1 million RMB to support post-pandemic recovery efforts in Hubei province[158]. - The company is actively involved in the supervision of poverty alleviation funds and aims to strengthen industry integration in rural areas[155]. - The company has initiated a mechanism for follow-up support in poverty alleviation efforts, engaging social forces in the process[155]. - The company plans to promote the "Sunshine Poverty Alleviation+" platform nationwide, focusing on impoverished areas[154]. - The company provided credit loans of 520 million RMB to 11,848 fruit farmers, simplifying the borrowing process and eliminating collateral requirements[154]. - The "Silver Agriculture Direct Connection" project has been widely applied in various rural financial services, promoting financial services to grassroots levels[154]. - The company plans to continue leveraging information technology to support government poverty alleviation efforts and enhance rural financial inclusion[155]. - The company aims to reduce barriers in the loan process for farmers, providing unsecured credit loans to support agricultural production[155]. - The company has established a national-level apple industry big data center to assist farmers with risk assessment reports for credit lending[154].

Financial Performance - The company's operating revenue for Q1 2020 was ¥2,123,304,206.17, a decrease of 1.91% compared to ¥2,164,640,060.19 in the same period last year[8]. - Net profit attributable to shareholders was ¥29,464,993.65, down 13.68% from ¥34,135,746.97 year-on-year[8]. - The net profit after deducting non-recurring gains and losses was ¥23,671,543.79, a decline of 26.85% compared to ¥32,361,194.40 in the previous year[8]. - Basic earnings per share were ¥0.0304, down 14.12% from ¥0.0354 year-on-year[8]. - Total operating revenue for the first quarter was ¥2,123,304,206.17, a decrease of 1.9% compared to ¥2,164,640,060.19 in the previous period[70]. - Net profit attributable to the parent company was ¥29,464,993.65, compared to ¥34,135,746.97 in the previous year, reflecting a decline of 13.3%[77]. - The company reported a net profit of ¥28,996,067.84, down from ¥38,314,168.71, reflecting a decline of 24.5%[74]. - The total comprehensive income for the current period was ¥17,899,046.72, compared to ¥1,055,974.33 in the previous period, reflecting a positive shift in overall financial health[84]. Cash Flow - The net cash flow from operating activities was -¥602,150,915.20, a decrease of 9.20% from -¥551,439,746.68 in the same period last year[8]. - Cash flow from operating activities generated a net outflow of ¥602,150,915.20, worsening from a net outflow of ¥551,439,746.68 in the previous period[88]. - Cash flow from investing activities showed a net inflow of ¥220,135,915.61, a recovery from a net outflow of ¥4,225,027.41 in the previous period[91]. - Cash flow from financing activities resulted in a net outflow of ¥434,854,580.27, compared to a smaller outflow of ¥54,225,494.33 in the previous period[91]. - The net increase in cash and cash equivalents was ¥789,710.97, compared to ¥400,382.56 in the previous period[98]. Assets and Liabilities - Total assets at the end of the reporting period were ¥9,490,371,802.67, a decrease of 11.76% from ¥10,755,502,029.77 at the end of the previous year[8]. - Total liabilities decreased to ¥4,128,111,011.25 from ¥5,433,177,976.15, indicating a reduction of approximately 24%[59]. - The total non-current assets slightly decreased to ¥2,951,792,310.80 from ¥2,978,026,060.99, reflecting a decline of approximately 0.9%[55]. - Total owner's equity was CNY 5,322,324,053.62, a decrease from CNY 5,333,720,709.16, reflecting a change of CNY 11,396,655.54[104]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 65,080[12]. - The largest shareholder, Shenzhou Digital Software Co., Ltd., held 40.14% of the shares, totaling 389,540,110 shares[12]. - Net assets attributable to shareholders were ¥5,264,369,629.57, an increase of 0.86% from ¥5,219,351,789.16 at the end of the previous year[8]. Government Subsidies and Other Income - The company received government subsidies amounting to ¥6,864,083.17 during the reporting period[8]. - Other income increased by 175.90% to ¥12,173,268.66 from ¥4,412,124.96 due to a one-time government subsidy received by a subsidiary[26]. - The company received government subsidies amounting to 0 CNY during the reporting period[39]. Operational Changes - Research and development expenses increased to ¥112,952,927.36, up 18.5% from ¥95,376,073.36 year-over-year[74]. - The company adopted the new revenue recognition standards starting January 1, 2020, impacting the financial reporting[109]. - The first quarter report for 2020 was not audited[111]. Inventory and Receivables - Accounts receivable decreased by 82.27% to ¥7,322,217.88 from ¥41,291,473.89 as a result of collection of receivables[23]. - Inventory decreased by 37.46% to ¥1,121,822,456.85 from ¥1,793,740,641.70 due to completion of year-end stock delivery[23]. - The company reported a significant reduction in accounts receivable by ¥1,034,547,855.95, indicating improved cash collection[99].

Financial Performance - The company reported a total revenue of RMB 970,381,273 for the year 2019, with a cash dividend of RMB 0.39 per 10 shares distributed to all shareholders [8]. - The company's operating revenue for 2019 was ¥10,146,008,170.91, an increase of 11.77% compared to ¥9,077,344,908.68 in 2018 [31]. - The net profit attributable to shareholders for 2019 was ¥375,607,752.77, a significant increase of 792.26% from ¥42,096,244.42 in 2018 [31]. - The basic earnings per share for 2019 was ¥0.3899, compared to ¥0.0437 in 2018, reflecting a growth of 792.22% [31]. - The total operating revenue for the company reached ¥10,146,008,170.91, representing an increase of 11.77% compared to ¥9,077,344,908.68 in the previous year [80]. - The company reported a total of 970,381,273 shares outstanding as of October 31, 2019, with the controlling shareholder holding a 40.14% stake [29]. - The company reported a significant increase in foreign revenue, which rose by 96.07% to ¥69,967,372.58, compared to ¥35,685,305.03 in the previous year [83]. - The company achieved a revenue of ¥5,407,995,244.99 from software development and technical services, which is 53.30% of total revenue, reflecting a growth of 29.37% [83]. - The financial technology business achieved revenue of 3.899 billion yuan, reflecting a year-on-year growth of 11.29%, with a gross margin of 18.73%, up by 2.35 percentage points [66]. Dividends and Profit Distribution - The company has not proposed any bonus shares for the current financial year, focusing solely on cash dividends [8]. - The total cash dividend amount for 2019 is 37,844,869.65 CNY, which represents 100% of the distributable profit [159]. - The company did not distribute any stock dividends or increase capital from the capital reserve in the 2019 profit distribution plan [159]. - The cash dividend for the 2018 fiscal year was 0.35 CNY per 10 shares, based on a total share capital of 963,431,273 shares, and was successfully implemented on June 11, 2019 [153]. - The cash dividend amount for 2019 represents a significant increase compared to the previous year, reflecting the company's commitment to returning value to shareholders [158]. - The company has maintained a consistent cash dividend policy over the past three years, with clear standards and procedures [153]. Risks and Compliance - The company has outlined potential product technology risks and market competition risks in its annual report [4]. - The company emphasizes the importance of accurate financial reporting, with key executives confirming the authenticity and completeness of the financial statements [6]. - The company is committed to addressing human resource risks as part of its ongoing development [8]. - The company has confirmed that there are no violations of social insurance or housing fund regulations for its subsidiaries during the reporting period [166]. - The company has maintained compliance with its commitments regarding related party transactions, ensuring fair pricing and proper disclosure [171]. Market Strategy and Development - The company plans to expand its market presence and enhance its product offerings as part of its future development strategy [7]. - The company aims to extend financial services to small and micro enterprises and the "three rural" areas by leveraging its understanding of industry data and scenarios [52]. - The company is actively exploring new business models that integrate technology, industry, and finance, particularly in the context of the "silver tax interaction" policy [52]. - The company is focused on driving financial technology development through innovations in artificial intelligence, big data, and blockchain [52]. - The company is expanding its market presence, targeting a 25% increase in market share within the next two years [180]. Research and Development - The company has established multiple R&D centers in cities like Xi'an, Beijing, and Guangzhou, with Xi'an being one of the earliest and largest software development bases in the domestic financial industry [57]. - Research and development expenses increased by 58.54% to ¥374,946,590.50, reflecting a significant investment in R&D [93]. - Ongoing research and development efforts are focused on enhancing existing software solutions, with an investment of 100 million RMB allocated for this purpose [180]. - The company completed significant R&D projects, including a distributed new core project and various AI-related solutions [95]. Partnerships and Collaborations - The company has established partnerships with major firms like Huawei and Loongson to enhance the adaptation and application of foundational software and hardware products in the financial sector [51]. - The company has established partnerships with various research institutions to enhance innovation in fintech, focusing on blockchain and big data applications [73]. - The company has served over 800 clients in the financial sector, including central banks, state-owned commercial banks, and various other financial institutions, establishing a strong brand image and extensive partnerships [58]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 12% [180]. - New product launches are expected to contribute an additional 200 million RMB in revenue, with a focus on rural information technology solutions [180]. - A strategic acquisition is planned, which is expected to enhance the company's service offerings and increase overall competitiveness [180].

Financial Performance - Operating revenue for the period reached RMB 2,104,043,896.30, representing a year-on-year increase of 4.66%[8] - Net profit attributable to shareholders was RMB 61,170,421.26, an increase of 33.37% year-on-year[8] - Basic earnings per share for the period were RMB 0.0635, up 33.40% year-on-year[8] - The company reported a total comprehensive income of ¥58,830,853.33, compared to ¥44,164,139.05 in the previous period, indicating a growth of 33.4%[90] - Net profit for the current period was ¥182,393,839.76, a decrease from ¥294,177,470.74 in the previous period, indicating a decline of approximately 38.0%[102] - The total comprehensive income for the current period was ¥195,161,811.48, down from ¥291,926,729.03 in the previous period, reflecting a decrease of approximately 33.0%[104] Cash Flow - The company reported a net cash flow from operating activities of RMB -614,865,394.82, a decrease of 14.68% year-on-year[8] - Cash inflow from operating activities is 6,343,622,059.07, compared to 6,249,108,230.55 in the previous period, showing a slight increase[112] - The cash flow from investing activities shows a net inflow of 474,157,884.41, compared to a net outflow of -323,118,497.22 in the previous period[116] - Cash flow from financing activities showed a net outflow of -714,491,181.80, worsening from -264,050,680.36 in the previous period[118] Assets and Liabilities - Total assets at the end of the reporting period amounted to RMB 9,986,486,358.01, a decrease of 6.64% compared to the end of the previous year[8] - Current liabilities decreased from CNY 5,575,438,558.34 to CNY 4,802,910,027.78, a reduction of about 13.8%[68] - The total liabilities decreased from CNY 5,672,619,873.04 to CNY 4,858,998,187.54, a reduction of about 14.3%[70] - The total equity attributable to shareholders increased from CNY 4,946,084,692.51 to CNY 5,039,130,284.13, an increase of about 1.9%[70] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 63,000[12] - The largest shareholder, Shenzhou Digital Software Co., Ltd., held 40.43% of the shares, amounting to 389,540,110 shares[12] - The company did not engage in any repurchase transactions during the reporting period[16] Research and Development - Research and development expenses increased by 53.22% to CNY 241,550,502.75, mainly due to increased investment in R&D[26] - Research and development expenses increased significantly to ¥96,895,928.75 from ¥45,594,224.14, marking a rise of 112%[84] Strategic Initiatives - The company plans to donate CNY 2 million to establish the Beijing Fintech Research Institute[32] - The company announced a strategic partnership with a leading tech firm to enhance its service offerings, expected to generate 100 million RMB in additional revenue[42] - The company plans to implement a stock option incentive plan for key employees, aiming to improve retention and performance[42] Market Performance and Guidance - User data showed an increase in active users by 20% compared to the previous quarter, reaching 2 million active users[42] - The company provided guidance for Q4 2019, expecting revenue growth of 10% to 12% year-over-year[42] - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by 2021[42] Investment and Acquisitions - The company completed the acquisition of a software firm for 500 million RMB, aimed at strengthening its product portfolio[42] - DC Software has sold a total of 3,031,000 shares of Dingjie Software, retaining 43,696,639 shares, which accounts for approximately 16.43% of the total share capital[34] Financial Adjustments - The company executed adjustments in financial reporting standards, impacting various financial statement items[125] - The company has not engaged in any derivative investments during the reporting period[55]

Financial Performance - The company reported a total revenue of RMB 1.2 billion for the first half of 2019, representing a year-on-year increase of 15%[23] - The net profit attributable to shareholders was RMB 150 million, an increase of 10% compared to the same period last year[23] - Operating revenue for the current reporting period is ¥4,130,194,003.47, a decrease of 0.74% compared to the same period last year[30] - Net profit attributable to shareholders is ¥129,143,755.18, down 48.44% from ¥250,492,169.97 in the previous year[30] - Net profit after deducting non-recurring gains and losses is ¥118,627,807.77, an increase of 37.79% compared to ¥86,092,030.62 last year[30] - The company achieved a revenue of 4.13 billion CNY, remaining stable compared to the same period last year, with a net profit attributable to shareholders of 129 million CNY, and a significant growth of 37.79% in net profit excluding non-recurring items to 119 million CNY[59] - The company reported a 0.74% decrease in total revenue to RMB 4.130 billion compared to the previous year[75] Research and Development - The company plans to invest RMB 200 million in research and development for new technologies and products in the upcoming year[23] - The company is focusing on enhancing its research and innovation capabilities in financial technology, particularly in big data and artificial intelligence[43] - Research and development investment increased by 7.12% to RMB 254.69 million, reflecting the company's commitment to innovation[75] - Development expenditures rose by 81.40% compared to the beginning of the year, driven by the addition of new R&D projects during the reporting period[48] Market Expansion and Strategy - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 25% increase in market share by 2021[23] - The company aims to expand its market share by leveraging trends in distributed architecture and open banking[43] - The company expanded its market presence in Southeast Asia and the financial sector, leveraging its distributed core system solutions[61] - The company is actively involved in setting industry standards and has initiated the drafting of technical specifications for distributed technology in the financial sector[53] Financial Sector Performance - In the financial sector, the company generated a revenue of 1.73 billion CNY with a gross profit of 328 million CNY, resulting in a gross margin of 18.98%. The software and service business alone contributed 820 million CNY in revenue, reflecting a year-on-year growth of 14.79% and a gross margin of 28.41%[60] - The company's total operating revenue for the financial sector was CNY 1,726,976,157.19, with a year-on-year decrease of 0.97%[76] - Revenue from the government and enterprise sector decreased by 23.46% to RMB 1.022 billion, with a gross margin of 19.12%[69] - The company achieved a 55.56% year-on-year increase in revenue from the telecommunications sector, reaching RMB 1.210 billion, with a gross margin of 16.26%[70] Cash Flow and Assets - Net cash flow from operating activities is -¥770,501,133.42, an improvement of 9.11% from -¥847,767,247.75 in the previous year[30] - The company reported a 59.24% decrease in cash and cash equivalents compared to the beginning of the year, primarily due to cash outflows from operations[48] - Cash and cash equivalents at the end of the reporting period were CNY 618,801,938.08, down 2.36% from the previous year[83] - The company's inventory increased to CNY 1,795,173,607.51, which is 18.22% of total assets[83] - The company has a total of CNY 1,012,215,343.87 in short-term loans, representing 10.27% of total assets[83] Shareholder Information - The total number of shares is 963,431,273, with 100% ownership[173] - The largest shareholder, Digital China Software Co., Ltd., holds 40.43% of the shares, totaling 389,540,110 shares[179] - The total number of ordinary shareholders at the end of the reporting period was 65,669[179] - The company has a total of 28,516,942 shares with restrictions on sale, with 9,825 shares being released from restrictions[178] Risk Management - The company identified risks including market competition and technology development, with strategies in place to mitigate these risks[6] - The company faced risks related to market competition and human resources, emphasizing the need for competitive compensation and a supportive work environment to retain talent[99] Corporate Governance - The company did not engage in any major asset or equity sales during the reporting period, indicating stability in its asset management strategy[93] - The company has implemented an employee stock option and restricted stock incentive plan, granting a total of 30 million rights, including 22.60 million stock options and 7.40 million restricted shares[114] - The company’s stock incentive plan requires approval from the Hong Kong Stock Exchange due to its indirect controlling shareholder being a listed company[114] Legal and Compliance - The company is involved in a significant lawsuit with a claim amount of 46.72 million, which has not formed an expected liability[111] - The company has fully recognized bad debt provisions for the receivables related to the ongoing lawsuit, ensuring no impact on current profits[111] - The company did not report any significant changes in its subsidiaries during the reporting period[168] - The company has not undergone any bankruptcy reorganization during the reporting period[110] Community and Social Responsibility - The company is actively responding to national poverty alleviation strategies by enhancing its information technology capabilities for agricultural modernization[153] - The company has developed an agricultural fund supervision platform that allows users to check the distribution of agricultural subsidies, enhancing efficiency in fund management[154] - The "Sunshine Poverty Alleviation+" agricultural fund supervision module has been implemented in Jiangsu and Shanxi provinces, receiving positive feedback from users[154]

Financial Performance - The company's operating revenue for Q1 2019 was ¥2,164,640,060.19, a decrease of 2.11% compared to ¥2,211,351,512.76 in the same period last year[8] - Net profit attributable to shareholders was ¥34,135,746.97, representing an increase of 15.73% from ¥29,496,938.98 year-on-year[8] - The net profit after deducting non-recurring gains and losses was ¥32,361,194.40, up 18.83% from ¥27,233,264.42 in the previous year[8] - The basic earnings per share for the period was ¥0.0354, an increase of 15.69% compared to ¥0.0306 in the same period last year[8] - Total operating revenue for the current period was ¥2,164,640,060.19, a decrease of 2.1% from ¥2,211,351,512.76 in the previous period[59] - Net profit attributable to the parent company was ¥34,135,746.97, an increase of 15.5% from ¥29,496,938.98[65] - Comprehensive income for the current period was ¥40,871,797.81, compared to ¥31,766,405.67 in the previous period, reflecting a growth of 28.8%[65] Assets and Liabilities - The total assets at the end of the reporting period were ¥10,740,550,364.36, reflecting a 0.41% increase from ¥10,696,306,209.17 at the end of the previous year[8] - The net assets attributable to shareholders were ¥4,916,254,129.99, a decrease of 0.60% from ¥4,946,084,692.51 at the end of the previous year[8] - Total liabilities as of March 31, 2019, were ¥5,749,258,106.41, compared to ¥5,672,619,873.04 at the end of 2018, reflecting an increase of approximately 1.35%[48] - The total equity decreased to ¥4,991,292,257.95 from ¥5,023,686,336.13, a decline of about 0.64%[48] - The company's total non-current assets were CNY 2,819,168,771.37, down by CNY 34,448,226.16 compared to the previous period[101] Cash Flow - The net cash flow from operating activities was -¥551,439,746.68, slightly worse than -¥545,649,190.15 in the same period last year, a decrease of 1.06%[8] - Net cash flow from investing activities dropped by 101.33% to -¥4,225,027.41 from ¥318,303,386.93[22] - Net cash flow from financing activities increased by 87.99% to -¥54,225,494.33 from -¥451,610,244.72, mainly due to a net increase in bank loans[22] - The cash flow from operating activities shows a net outflow of ¥551,439,746.68, slightly worse than the previous period's outflow of ¥545,649,190.15[73] - Cash flow from financing activities resulted in a net outflow of $38,037,183.31, compared to a net outflow of $445,875.00 in the previous period[82] Expenses - Research and development expenses rose by 50.84% to ¥95,376,073.36 from ¥63,230,232.94, attributed to increased investment in R&D[19] - Financial expenses surged by 3206.80% to ¥29,730,652.22 from -¥956,954.58, mainly due to increased bank interest and reduced exchange gains[19] - Total operating costs decreased to ¥2,139,778,832.23, down 2.5% from ¥2,193,488,600.11[62] - The company reported a significant reduction in financial expenses, with interest expenses at ¥27,311,849.56 compared to ¥17,634,807.33 in the previous period[62] Shareholder Information - The top shareholder, Shenzhou Digital Software Co., Ltd., held 40.43% of the shares, with a total of 389,540,110 shares[12] - The company holds 1,611,600 shares of Shenzhou Digital, with a reported profit of 3,738,912.00 yuan during the reporting period[30] Other Information - The company reported non-recurring gains and losses totaling ¥1,774,552.57 for the period[8] - The company has received government subsidies, although the specific amount is not detailed in the report[28] - The company has announced plans for future expansion and product development, but specific details are not provided in the available documents[28] - The company has conducted a site visit for institutional investors on March 28, 2019, to discuss its operations[34] - The company has disclosed its first quarterly report for 2019, indicating ongoing financial assessments and strategic planning[33] - The company is implementing new financial accounting standards effective from January 1, 2019, which may impact future financial reporting[104]

Financial Performance - The company reported a total revenue of RMB 963,431,273 for the year 2018, with a cash dividend of RMB 0.35 per 10 shares distributed to all shareholders[6]. - The company's operating revenue for 2018 was CNY 9,077,344,908.68, representing a 10.87% increase compared to CNY 8,187,056,661.83 in 2017[28]. - The net profit attributable to shareholders for 2018 was CNY 42,096,244.42, a significant decrease of 86.09% from CNY 302,642,281.64 in 2017[28]. - The net cash flow from operating activities for 2018 was CNY 237,248,165.21, down 30.96% from CNY 343,643,405.55 in 2017[28]. - The total assets at the end of 2018 amounted to CNY 10,696,306,209.17, a slight decrease of 0.22% from CNY 10,719,793,873.77 at the end of 2017[28]. - The net profit attributable to the parent company was 42 million yuan, a decrease of 86.09%, but adjusted net profit excluding the ATM business was 331 million yuan, reflecting a growth of 9.24%[58]. - The company reported a net profit attributable to shareholders of CNY -254,259,733.62 in Q4 2018, indicating a significant loss compared to previous quarters[33]. - The company’s total share capital increased from 458,905,958 shares to 917,811,916 shares following the implementation of a capital reserve conversion plan in 2015[26]. Dividend Distribution - The board of directors has approved a profit distribution plan, indicating a commitment to returning value to shareholders[6]. - The company plans to distribute a cash dividend of 0.35 CNY per 10 shares based on a total share capital of 963,431,273 shares for the 2018 fiscal year[180]. - The total cash dividend for 2018 amounts to 33,720,094.56 CNY, representing 80.10% of the net profit attributable to ordinary shareholders[178]. - The cash dividend for 2017 was 30,829,800.74 CNY, which accounted for 10.19% of the net profit attributable to ordinary shareholders[178]. - The cash dividend policy is compliant with the company's articles of association and shareholder resolutions[174]. - The cash dividend distribution plan for 2018 is subject to approval at the annual general meeting[180]. - The company committed to distributing at least 10% of its distributable profits as cash dividends annually, with a cumulative distribution of no less than 30% of the average annual distributable profits over any three consecutive fiscal years[186]. Strategic Initiatives - The company plans to expand its market presence and enhance its product offerings, focusing on new technologies and services[6]. - The company aims to leverage its technological capabilities to drive growth and innovation in the digital services sector[6]. - The company is actively pursuing strategic partnerships and collaborations to enhance its service offerings and market reach[6]. - The company is exploring opportunities for mergers and acquisitions to strengthen its competitive position in the market[6]. - The company aims to leverage new technologies to drive digital transformation across various industries, including finance, government, and agriculture[43]. - The company plans to continue expanding its smart service products and strengthen partnerships with major clients like Huawei and Midea[68]. - The company will actively participate in the quantum communication market, focusing on applications in finance, defense, and government sectors, supported by favorable government policies[158]. Risk Management - The company acknowledges potential risks including market competition, product technology risks, and human resource risks, which may impact future performance[6]. - The company faces market competition risks due to the growing demand for IT services and the emergence of new technologies, necessitating continuous innovation[162]. Research and Development - The company invested ¥49,005.54 million in R&D, accounting for 5.40% of total operating revenue[94]. - The number of R&D personnel increased to 3,870 in 2018, representing a 0.55% increase from 3,849 in 2017, with R&D personnel accounting for 42.12% of total employees[96]. - The company has accumulated nearly 600 software product copyrights by the end of the reporting period[94]. - The company emphasizes independent innovation and will increase investment in emerging technology R&D while developing proprietary software products and services[160]. Market Position - The software and information technology service industry in China achieved a revenue of 6.3 trillion CNY in 2018, growing by 14.2% year-on-year[42]. - The company has established a broad customer base, covering over 80 insurance and securities companies, and numerous banks and government agencies[48]. - The company has been recognized for its distributed banking core business system, winning the "Top Ten Excellent Products Award" at the 22nd China International Software Expo[47]. Compliance and Governance - The company has maintained a transparent and compliant process for adjusting its cash dividend policy[174]. - Independent directors have fulfilled their responsibilities in overseeing the cash dividend policy[174]. - The company has not reported any issues or other situations regarding the use and disclosure of raised funds[136]. - The company has confirmed that it will not engage in any business that competes with its main operations, including system integration and technology services, after the transaction[196].