Financial Performance - Operating revenue for the reporting period was ¥132,260,560.58, representing a year-on-year increase of 23.69%[7]. - Net profit attributable to shareholders decreased by 55.70% to ¥7,439,845.35 compared to the same period last year[7]. - The net profit attributable to shareholders after deducting non-recurring gains and losses fell by 87.57% to ¥1,812,341.78[7]. - Basic earnings per share decreased by 55.56% to ¥0.0120[7]. - The weighted average return on net assets was 0.54%, down by 0.71% from the previous year[7]. - The estimated net profit attributable to shareholders for 2014 is expected to range from 21.99 million to 43.99 million RMB, representing a decrease of 30% to 65% compared to 62.84 million RMB in 2013[23]. Cash Flow and Assets - The net cash flow from operating activities showed a significant decline, amounting to -¥44,082,735.80, a decrease of 467.87%[7]. - Cash flow from operating activities decreased by 467.87% compared to the same period last year, mainly due to increased cash payments for purchased goods[15]. - Total assets at the end of the reporting period reached ¥1,588,160,179.23, an increase of 0.46% compared to the previous year[7]. - Accounts receivable increased by 51.54% compared to the end of the previous year, mainly due to an increase in customer payments within the credit period[15]. - Other current liabilities decreased by 83.91% compared to the end of the previous year, mainly due to the amortization of government subsidies related to assets[15]. - Deferred tax assets increased by 71.77% compared to the end of the previous year, mainly due to losses from subsidiaries and corresponding increases in deferred tax assets[15]. Investments and Expenditures - Development expenditures increased by 109.92% compared to the end of the previous year, primarily due to increased capitalized R&D investments[15]. - Investment income increased by 159.68% compared to the same period last year, primarily due to increased interest from purchased financial products[15]. - The company has invested approximately RMB 24,881.25 million in fundraising projects, mainly for hardware and software purchases and implementation costs[18]. - The company won a bid for a software development project in Henan Province with a total amount of RMB 6,300,000[20]. - The company plans to build a new R&D and office base on a land plot acquired for RMB 8,789,000, covering an area of 13,142.92 square meters[19]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 49,697[11]. - The largest shareholder, Lu Feng, holds 23.09% of the shares, with 143,655,740 shares, of which 130,991,804 are pledged[11]. Accounting Policies and Compliance - The company has implemented changes to its accounting policies in accordance with seven new accounting standards issued by the Ministry of Finance in 2014, ensuring more accurate and reliable financial reporting[30]. - The board of directors unanimously approved the accounting policy changes with a vote of 9 in favor, 0 against, and 0 abstentions, indicating strong support for the adjustments[30]. - The independent directors confirmed that the changes comply with relevant regulations and do not harm the interests of shareholders, particularly minority shareholders[30]. - The supervisory board also agreed that the accounting policy changes align with national regulations and accurately reflect the company's financial situation, ensuring no harm to investors' rights[30]. - The company will provide broader disclosures related to fair value measurements in its financial statements following the adoption of the new standards[29]. - The adjustments to the accounting policies are expected to enhance the fair presentation of the company's financial position and operating results[30]. - The company has committed to adjusting its financial statements in accordance with the new standards, ensuring compliance with the updated accounting framework[29]. - The board's decision and the independent opinions were disclosed on the company's designated information disclosure website, ensuring transparency[30]. Corporate Governance - The company has made commitments to assist in obtaining business opportunities within its main business scope[22]. - The company’s major shareholders have committed to avoid any competition with the company and its subsidiaries[22]. - The company has signed confidentiality and technical achievement ownership agreements with senior management and core technical personnel to protect intellectual property[22]. - The company has not engaged in any securities investments during the reporting period[24]. - The company does not hold shares in other listed companies during the reporting period[25].

Financial Performance - The company's operating revenue for the reporting period was ¥258,749,726.58, a decrease of 10.96% compared to the same period last year[20]. - The net profit attributable to shareholders was ¥36,997,846.78, down 27.24% year-on-year[20]. - The net profit after deducting non-recurring gains and losses was ¥24,325,012.37, reflecting a significant decline of 49.86% compared to the previous year[20]. - Basic earnings per share were ¥0.0595, down 27.17% from ¥0.0817 in the previous year[20]. - The company's revenue for the software industry was approximately ¥258.75 million, a decrease of 10.96% compared to the previous year, with a gross margin of 40.42%, which increased by 1.08% year-on-year[36]. - System integration revenue was about ¥180.46 million, down 8.43% year-on-year, with a gross margin of 19.01%, which increased by 3.10% compared to the previous year[36]. - The company reported a total revenue of 330.18 million, with a net profit of 5.26 million, indicating a profit margin of approximately 1.59%[63]. - The net profit attributable to shareholders for the first nine months of 2014 is expected to range from 47.35 million to 81.17 million RMB, representing a year-on-year change of -30.00% to 20.00%[68]. - The company reported a net profit of 67.6423 million RMB for the first nine months of 2013, indicating a potential fluctuation in performance due to increased R&D and intangible asset amortization[68]. Cash Flow and Liquidity - The net cash flow from operating activities was -¥47,798,260.38, a drastic decrease of 1,067.94% compared to the same period last year[20]. - The company achieved a net increase in cash and cash equivalents of CNY 158,904,701.69, a rise of 75.53% due to reduced term deposits and increased redemption of financial products[32]. - The cash flow from operating activities shows a net outflow of CNY 47,798,260.38, compared to a net outflow of CNY 4,092,532.12 in the previous period[135]. - The cash flow from investment activities has a net inflow of CNY 222,806,786.04, an increase from CNY 126,081,696.33 in the previous period[136]. - The company reported a net decrease in cash and cash equivalents of 59,268,932.79 CNY, compared to a decrease of 58,055,579.23 CNY in the previous period[140]. - The company’s cash and cash equivalents increased to ¥518,910,875.26 from ¥399,619,093.57, representing a growth of approximately 30%[121]. Investments and Expenditures - The company invested CNY 43,400,000 in Xiamen International Bank, acquiring 7 million shares at CNY 6.2 per share, enhancing its financial partnerships[30]. - The company invested approximately ¥56.30 million during the reporting period, representing a 6.45% increase from the previous year's investment of ¥52.89 million[41]. - The company has committed to not selling more than 5% of its total shares within six months following the reduction by the controlling shareholder[101]. - The company has utilized RMB 63 million and RMB 67 million of the raised funds to supplement working capital in 2011 and 2012, respectively[56]. - The company reported a total investment payment of 779,704,591.40 CNY, a substantial increase from 61,075,600.00 CNY in the previous period[139]. - The company continues to increase R&D investment to promote product upgrades and extend R&D timelines to meet customer demands[56]. Shareholder and Equity Information - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company distributed a cash dividend of 0.5 RMB per 10 shares, totaling 15.555 million RMB, based on a total share capital of 311.1 million shares[70]. - The controlling shareholder, Mr. Lu Feng, reduced his stake by 12.5 million shares, accounting for 4.018% of the total share capital, leaving him with 89,827,900 shares or 28.874% ownership[101]. - The company completed a capital reserve conversion, increasing total share capital from 311,100,000 shares to 622,200,000 shares, effectively diluting earnings per share by 50%[106]. - The total owner's equity at the end of the current period is 1,363,751,000 CNY, reflecting a growth from the previous year's balance of 1,275,713,000 CNY[151]. Research and Development - Research and development expenses increased by 28.40% to CNY 31,661,273.67, reflecting a commitment to innovation[32]. - The company has established a strong customer base across various sectors, including government and telecommunications, leading to high customer satisfaction and loyalty[37]. - The company has focused on technological innovation, particularly in mobile office cloud platforms and smart city solutions, to maintain industry leadership[37]. - A total of 40.29 million was allocated for research and development in new technologies, representing a commitment to innovation[62]. - The company is exploring potential mergers and acquisitions to strengthen its market position and diversify its product offerings[63]. Governance and Compliance - The company has not encountered any issues or other circumstances regarding the use and disclosure of raised funds[57]. - The company’s governance practices align with the requirements of the Company Law and relevant regulations[77]. - The company has no major litigation or arbitration matters during the reporting period[78]. - The company did not report any new product developments or market expansions in the conference call[116]. - The financial statements are prepared in accordance with the Chinese Accounting Standards, reflecting the company's financial position as of June 30, 2014, and its performance for the first half of 2014[158]. Assets and Liabilities - Total assets at the end of the reporting period were ¥1,567,251,045.14, a decrease of 0.86% from the end of the previous year[20]. - The company's total assets at the end of the period were CNY 1,581,802,628.76, up from CNY 1,543,163,235.60 at the beginning of the period[126]. - Current liabilities decreased to CNY 217,620,325.99 from CNY 207,049,031.93, reflecting improved liquidity management[126]. - The total liabilities and owner's equity at the end of the current period amount to 1,350,975,000 CNY, indicating a stable financial position[147]. Market Position and Strategy - The company expanded its operational service network by establishing over 120 new service points, enhancing service coverage and quality, which contributed to an increase in market share[40]. - The company is focusing on market expansion through strategic partnerships and technology transfers, aiming to increase its market share in the computer industry[63]. - The company has engaged in multiple institutional research activities to discuss its main business operations[74].

Financial Performance - Operating revenue for Q1 2014 was CNY 123,216,993.79, a decrease of 3.02% compared to CNY 127,059,180.60 in the same period last year[8]. - Net profit attributable to shareholders was CNY 14,326,721.98, down 30.22% from CNY 20,530,629.34 year-on-year[8]. - Net profit excluding non-recurring gains and losses was CNY 12,335,408.34, a decline of 34.2% compared to CNY 18,746,866.38 in the previous year[8]. - The net cash flow from operating activities was negative CNY 58,332,697.38, a significant decrease of 1,188.32% from negative CNY 4,527,824.90 in the same period last year[8]. - Total assets at the end of the reporting period were CNY 1,552,045,933.78, down 1.82% from CNY 1,580,829,480.17 at the end of the previous year[8]. - The company's net assets attributable to shareholders increased by 1.08% to CNY 1,364,681,800.55 from CNY 1,350,150,043.04 at the end of the previous year[8]. Accounts and Liabilities - Accounts receivable increased by 44.11% compared to the end of the previous year, primarily due to increased revenue recognition based on project completion progress[15]. - Prepayments increased by 66.40% compared to the end of the previous year, mainly due to increased payments to suppliers[15]. - Other current liabilities decreased by 36.71% compared to the end of the previous year, mainly due to the amortization of government subsidies related to future revenue during the reporting period[20]. Expenses and Income - Financial expenses increased by 67.68% year-on-year, primarily due to a decrease in interest accrued on time deposits during the reporting period[20]. - Investment income increased by 343.50% year-on-year, mainly due to an increase in interest from financial products during the reporting period[20]. - Net cash flow from operating activities decreased by 1,188.32% year-on-year, primarily due to increased payments for purchased goods during the reporting period[21]. - Cash flow from investing activities increased by 426.36% year-on-year, mainly due to an increase in the recovery of financial product funds during the reporting period[21]. Projects and Investments - The company has invested approximately 85 million RMB in the "Ma'anshan Smart Park Project," with a total expected investment of 150 million RMB, scheduled for completion by June 2014[22]. - The company won a bid for the "Fuzhou Government Cloud Computing Platform Project" with a total amount of 15.97 million RMB, accounting for 2.81% of the company's 2012 revenue[24]. - Cumulative direct investment in fundraising projects reached 195.83 million RMB, accounting for 88.83% of the planned total investment of 220.68 million RMB[25]. - The company plans to expand its office space and is in discussions with local government to acquire land for project construction, expected to start in the first half of 2014[26]. Shareholder Information - The number of shareholders at the end of the reporting period was 28,162[11]. - The company’s major shareholder, Mr. Lu Feng, reduced his shareholding by 12.5 million shares, representing 4.018% of the total share capital[23]. Future Outlook - The net profit attributable to shareholders for the first half of 2014 is expected to range from 31.02 million to 61.02 million CNY, representing a year-on-year increase of 20% to 30%[31]. - The net profit for the first half of 2013 was 50.85 million CNY, indicating a significant growth expectation for 2014[31]. - The company anticipates stable business development in 2014, although increased R&D investment and intangible asset amortization may impact performance[31]. - The expected fluctuation in net profit is attributed to increased R&D spending and amortization of intangible assets[31]. Corporate Governance and Strategy - The company has committed to maintaining the confidentiality and ownership of technological achievements through agreements with key personnel[30]. - The actual controller of the company has pledged not to sell shares below a certain threshold for six months, ensuring stability for minority shareholders[30]. - The company is classified as a high-tech enterprise, indicating a focus on innovation and technology[30]. - There are no reported securities investments or holdings in other listed companies[32]. - The company has successfully fulfilled its commitments in a timely manner, with no outstanding obligations[30]. - The company is focused on protecting intellectual property and retaining core personnel amidst high turnover in the technology sector[30].

Financial Performance - In 2013, the company's operating revenue was ¥603,142,394.74, an increase of 6.13% compared to ¥568,319,810.56 in 2012[22]. - The net profit attributable to shareholders was ¥62,838,706.64, a decrease of 49.46% from ¥124,344,607.19 in 2012[22]. - The net profit after deducting non-recurring gains and losses was ¥49,841,085.97, down 58.38% from ¥119,754,808.44 in 2012[22]. - The net cash flow from operating activities was ¥57,140,556.07, a decline of 51.68% compared to ¥118,258,078.90 in 2012[22]. - The total assets at the end of 2013 were ¥1,580,829,480.17, an increase of 6.11% from ¥1,489,736,073.92 at the end of 2012[22]. - The net assets attributable to shareholders were ¥1,350,150,043.04, up 2.37% from ¥1,318,910,791.09 at the end of 2012[22]. - The total revenue for 2013 was 602.94 million yuan, reflecting a year-on-year growth of 6.09%[56]. - The total cost of goods sold for 2013 was 411.04 million yuan, representing a year-on-year increase of 15.48%[59]. - The gross profit margin for the software industry decreased by 5.54% to 31.83% compared to the previous year[66]. Dividends and Share Capital - The company plans to distribute a cash dividend of 0.50 CNY per 10 shares to all shareholders based on the total share capital as of December 31, 2013[5]. - The company will increase its share capital by issuing 10 additional shares for every 10 shares held by shareholders[5]. - The company distributed dividends of ¥31,110,000.00 to shareholders, with a cash dividend of ¥1.5 per 10 shares[32]. - The total capital reserve as of December 31, 2013, is reported at 675,293,237.65 yuan, with plans for a capital reserve conversion of 10 shares for every 10 shares held[120]. - The company's total share capital increased from 207,400,000 shares to 311,100,000 shares after the capital reserve conversion, representing a 50% increase[157]. Investments and Projects - The company invested ¥28,817,600 in Wenxin Lianye, acquiring a 15% stake[33]. - The company signed an investment contract for the establishment of the Xinyang Rongji Software Park project, with an investment of ¥21,000,000[35]. - The company has invested a total of 32,682.83 million yuan in various projects, including 6,764.68 million yuan for the new generation electronic government application platform[52]. - The total amount raised for project investment is 182.23 million yuan, with 85.79% of the planned investment of 220.68 million yuan already utilized[55]. - The company has initiated the construction of the SG-ERP system, integrating six key areas of the power sector, enhancing operational efficiency and risk management capabilities[104]. Risks and Challenges - The company faces risks including rising human resource costs, industry technology risks, and risks associated with new business investments and mergers[13]. - The company faced challenges in meeting expected revenue due to changes in market demand and technology development, leading to a delay in project completion[91]. - The company faces risks related to rising human resource costs and talent shortages, particularly in R&D, which could impact market opportunities[110]. Research and Development - The company's R&D expenditure for the year amounted to 69.19 million yuan, which is 5.12% of the latest audited net assets and 11.47% of total revenue[63]. - The company continues to increase R&D investment to promote product upgrades and meet customer demands[91]. - The company has a strong focus on R&D, with several strategic products developed, including the "Rongji Electronic Document System" and "Rongji I-TASK Management Platform"[183]. - The company has filed for 23 invention patents and holds 12 patents and 99 software copyrights, reflecting its commitment to innovation and intellectual property protection[53]. Corporate Governance and Management - The company emphasizes the importance of accurate and complete financial reporting, with key personnel affirming the integrity of the annual report[4]. - The company aims to enhance its management capabilities to cope with the challenges posed by business expansion, including improving governance structures and internal controls[112]. - The board of directors and management underwent re-election on December 16, 2013, with several new appointments made[190]. - The governance structure includes a clear division of responsibilities among the shareholders' meeting, board of directors, supervisory board, and management[199]. Market Position and Strategy - The company has established a leading position in the electronic government application software sector, becoming one of the most competitive service providers in regions such as Beijing, Fujian, Zhejiang, Henan, and Shanghai[47]. - The company is actively involved in market expansion and has established several subsidiaries to enhance its service offerings[184]. - The company is positioned to benefit from the national strategic emerging industry policies, which aim to optimize the software industry environment and improve development quality[102]. - The company plans to significantly increase its information technology investments in the coming years, capitalizing on the historical opportunity for informationization development[104]. Employee and Shareholder Information - The total number of employees as of December 31, 2013, is 829, with 43.31% being R&D personnel[192]. - The company has a total of 359 R&D personnel, which constitutes 43.31% of the workforce[192]. - The controlling shareholder, Mr. Lu Feng, increased his shareholding by 200,000 shares, representing 0.096% of the total share capital, bringing his total holdings to 68,218,580 shares, or 32.89%[149]. - The company has a total of 10 major shareholders, with no known relationships or agreements among them[167].