Financial Performance - The company reported a net profit of negative value for the last three accounting years after deducting non-recurring gains and losses, indicating a need for measures to enhance resource utilization and revenue generation [6]. - The company's operating revenue for 2020 was ¥221,676,657.80, a decrease of 23.11% compared to ¥288,308,607.71 in 2019 [30]. - The net loss attributable to shareholders was ¥68,802,674, representing a 73.26% improvement from a loss of ¥257,255,734 in 2019 [30]. - The net cash flow from operating activities decreased by 62.94% to ¥19,408,981.80 from ¥52,377,893.30 in the previous year [30]. - The total assets at the end of 2020 were ¥699,891,894, down 13.44% from ¥808,535,974 at the end of 2019 [30]. - The net assets attributable to shareholders decreased by 21.82% to ¥244,788,215 from ¥313,096,456 in 2019 [30]. - The basic and diluted earnings per share improved to -¥0.19 in 2020 from -¥0.70 in 2019, a 72.86% increase [30]. - The company's overall operating revenue decreased by 23.11% year-on-year, totaling 221,676,657.80 CNY, with a gross margin of 52.16% [68]. - The revenue from game products decreased by 15.13% year-on-year, amounting to 53,330,342.57 CNY, with a gross margin of 84.50% [68]. - The revenue from the software product sales segment decreased by 44.55% year-on-year, totaling 10,424,014.65 CNY, with a gross margin of 70.18% [68]. Business Strategy and Development - The company plans to expand its game business and mobile communication resale business to increase revenue, while optimizing cost control and human resource structure [6]. - The company is actively developing new game products and updating existing ones to maintain competitiveness in the gaming market [16]. - The company aims to diversify its operations by integrating its mobile resale business with various smart products to achieve differentiated growth [14]. - The company is focused on expanding its market presence and profitability through strategic partnerships and product diversification in the internet and gaming sectors [45]. - The company plans to enhance its mobile office client and develop a mobile intelligent website building platform to meet the needs of mobile e-commerce [46]. - The company aims to expand its mobile game business and mobile communication resale business by leveraging its R&D advantages and existing telecommunications licenses [47]. - The company is committed to integrating existing platform resources to further develop its mobile game and telecom resale businesses, aiming for synergy across the internet industry [144]. - The company plans to continue developing its CRM product, which is currently in the market introduction phase [111]. Risk Management and Compliance - The company has identified six significant non-financial internal control deficiencies during the reporting period, which need to be addressed [5]. - The company is addressing the risk of reliance on core technical personnel by implementing a mature talent reserve mechanism and adjusting incentive measures [12]. - The company is committed to complying with regulatory requirements in the telecommunications sector while enhancing network security measures [14]. - The company has established a comprehensive information security management system to mitigate risks related to internet, system, and data security [9]. - The company reported a non-standard audit report with a section indicating "significant uncertainty related to going concern," which the board is actively addressing [192]. - The board emphasized the importance of resolving the issues raised in the audit report to mitigate their impact on the company's operations and investor interests [193]. Intellectual Property and Innovation - The company has established a comprehensive intellectual property management system to protect its rights and actively apply for product copyrights [18]. - The company focuses on providing SaaS solutions for SMEs, enhancing cloud office applications like enterprise email and OA systems, and has developed products such as "35 Cloud Portal" and "35 Business Management" to improve operational efficiency [39]. - The company aims to innovate its product offerings, including cloud computing and mobile office solutions, to meet the evolving needs of its clients, ensuring seamless integration across multiple devices [41]. - The company has introduced innovative products like "Three Five Business Card Chain" and "Knock Knock Here" to enhance customer engagement and operational management for businesses [39]. Market Environment and Competition - The company is facing significant market competition in the software operation service industry, necessitating a focus on product development and user experience [8]. - The company has seen a continuous expansion in the internet service market, driven by government support for the new generation of information technology, with significant growth in demand for software services [40]. - The overall industry environment is favorable due to government support for new information technology and the expansion of the internet market [140]. Financial Management and Fundraising - The total amount of raised funds is 48,296.61 million CNY, with 46,946.61 million CNY already utilized, representing a utilization rate of 97.22% [106]. - The company has a remaining balance of 1,350 million CNY in the fundraising account, which has not been utilized [106]. - The company has committed to invest 5,904 million CNY in the upgrade of the enterprise mail system, with 3,200.12 million CNY already invested, achieving 100% of the planned investment [107]. - The company has a total of 1,600 million CNY in funds that have been repurposed, accounting for 33.59% of the total raised funds [106]. - The company has reported a total of 72,245.05 million in fundraising projects, with a shortfall of 1,845 million [111]. Shareholder Commitments and Governance - The company has committed to avoiding any substantial competition with its controlling shareholder's other businesses [159]. - The company has established a management system for related party transactions to ensure compliance with relevant regulations and protect the interests of minority shareholders [160]. - The company has committed to not reducing shareholdings during the implementation period of the transaction announced in February 2020, with compliance confirmed [153]. - The company has confirmed normal performance in shareholding plans and transactions as of June 2020 [152]. - The company has committed to fulfilling legal procedures and disclosure obligations for any necessary adjustments in the future [158].

Financial Performance - The company reported a net profit of negative value for the last three accounting years, indicating a need for measures to enhance resource utilization and optimize cost control [6]. - The company has reported negative net profits for the last three consecutive fiscal years, leading to a risk warning for its stock trading [20]. - The net loss attributable to shareholders was ¥93,777,162, representing a 63.55% improvement from a loss of ¥257,255,734 in 2019 [30]. - The basic earnings per share improved to -¥0.26 in 2020 from -¥0.70 in 2019, a 62.86% increase [30]. - The total profit for the period was -¥95,865,168.80, while the net profit attributable to the parent company was -¥93,777,162.86, reflecting an increase of 62.28% and 63.55% respectively, mainly due to a decrease in goodwill impairment for the subsidiary [53]. - The company reported a negative net profit after deducting non-recurring gains and losses for the last three accounting years, indicating ongoing financial challenges [31]. - The company’s operating revenue for 2020 was ¥221,676,657.80, a decrease of 23.11% compared to ¥288,308,607.71 in 2019 [30]. - The net cash flow from operating activities decreased by 62.94% to ¥19,408,981.80 from ¥52,377,893.30 in the previous year [30]. - The total assets at the end of 2020 were ¥699,891,894, down 13.44% from ¥808,535,974 at the end of 2019 [30]. - The net assets attributable to shareholders decreased by 21.82% to ¥244,788,215 from ¥313,096,456 in 2019 [30]. Business Strategy and Development - The company plans to expand its game business and mobile communication resale business to increase revenue [6]. - The company is actively developing new game products and updating existing ones to maintain competitiveness in the gaming market [16]. - The company aims to diversify its operations by integrating its mobile resale business with various smart products [14]. - The company is focusing on providing SaaS solutions for SMEs, enhancing cloud office applications like enterprise email and OA systems, and has developed products such as "35 Cloud Portal" and "35 Business Management" to improve operational efficiency [39]. - The company aims to innovate its product offerings, including cloud services and intelligent terminal products, to create a comprehensive cloud office solution that allows users to manage tasks seamlessly across multiple devices [41]. - The company is committed to enhancing its market competitiveness and profitability by exploring synergies between its gaming and virtual operator businesses, aiming for a comprehensive development in the internet industry [45]. - The company plans to enhance its enterprise service products, including the development of a mobile office client and an upgraded intelligent website building platform [46]. - The company aims to expand its mobile game business and mobile communication resale business, leveraging its R&D advantages to introduce various game products [47]. - The company is actively expanding its gaming business through its subsidiary, Daoxi Technology, which is focusing on mobile game development and leveraging partnerships with platforms like Tencent to enhance market competitiveness [44]. Compliance and Internal Control - The company has identified six significant non-financial internal control deficiencies during the reporting period, which need to be addressed [5]. - The company is committed to complying with regulatory requirements in the telecommunications sector while enhancing its network security measures [14]. - The company has established a comprehensive information security management system to mitigate risks related to data security and system stability [9]. - The company has established a comprehensive intellectual property management system to protect its rights and actively apply for product copyrights [18]. - The company has made commitments regarding the authenticity, accuracy, and completeness of the information provided, with compliance confirmed as of February 2020 [155]. - The company has confirmed that there are no significant changes in its operational commitments as of the reporting period [155]. - The company has committed to fulfilling information disclosure obligations in case of any changes in shareholding [158]. - The company has established management systems for related party transactions to ensure compliance with relevant regulations and protect the interests of minority shareholders [162]. Market Competition and Challenges - The company is facing significant market competition in the software operation service industry, necessitating a focus on product development and user experience [8]. - The company has seen a continuous expansion in the internet service market, supported by national policies promoting the digital economy and the integration of new technologies like 5G, which is expected to drive growth in cloud computing and big data [40]. - The company has experienced a significant reduction in non-operating income, with a total of -¥9,279,795.48 in 2020 compared to an income of ¥8,053,213.77 in 2019 [36]. - The company has reported a non-standard audit report with a section indicating significant uncertainties related to going concern, which the board is actively addressing [194]. Investments and Acquisitions - The company acquired 100% equity of Shenzhen Xinnan Technology Co., Ltd. for 130,000.00 on March 30, 2020, with a revenue of 24,162,222.67 and a net profit of 19,061,708.35 from the acquired entity [76]. - The company completed the acquisition of Shenzhen Xinman Technology Co., Ltd. on March 30, 2020, with a total acquisition cost of CNY 130 million and recognized revenue of CNY 24,162,222.67 from the acquired entity [199]. - The company has invested 15.5 million yuan in Sanwu New Energy, which is still in the early investment phase and has not yet reached expected operational status [130]. - The company plans to acquire 100% equity of Wanrui (Shanghai) E-commerce Co., Ltd. through a combination of issuing shares and cash payment, while also raising matching funds through a private placement [179]. Shareholder Commitments and Governance - The company has committed to not reducing shareholdings during the commitment period, which began on July 25, 2009, and has been strictly adhered to until the reporting period [156]. - The company has reported that all commitments made by major shareholders have been strictly adhered to as of the reporting period [155]. - The company has committed to maintaining the independence of its operations, assets, and finances post-equity change [161]. - The company has established an independent financial department and accounting system to ensure financial independence [161]. - The company will avoid engaging in any business that competes with the listed company to protect shareholder interests [161]. - The company has committed to using raised funds strictly for operational purposes and will not engage in high-risk investments [187]. Future Outlook and Plans - The company aims to improve cash flow, optimize asset structure, and allocate resources to support core business development for sustainable growth [134]. - The company plans to implement new leasing standards starting January 1, 2021, in accordance with the revised accounting standards issued by the Ministry of Finance [198]. - The company will continue to deepen its strategic development in the gaming industry through its wholly-owned subsidiary, Daoxi Technology [144]. - The company plans to focus on core business areas to align with long-term interests and avoid harming shareholder interests [134]. - The company has no current plans for significant adjustments to its board of directors or senior management following the recent equity changes [159].

Financial Performance - The company's operating revenue for Q1 2021 was ¥54,302,752.41, representing a 3.72% increase compared to ¥52,357,269.14 in the same period last year[7]. - Net profit attributable to shareholders was ¥2,694,925.86, a significant increase of 296.32% from a loss of ¥1,372,744.20 in the previous year[7]. - The net profit after deducting non-recurring gains and losses was ¥947,778.08, up 125.71% from a loss of ¥3,686,474.25 in the same period last year[7]. - The net cash flow from operating activities reached ¥6,413,659.12, marking a 509.76% improvement from a negative cash flow of ¥1,565,213.08 in the previous year[7]. - Basic and diluted earnings per share were both ¥0.0074, compared to a loss of ¥0.0038 per share in the same period last year, reflecting a 294.74% increase[7]. - The company reported a turnaround in Q1 2021, achieving profitability after consecutive losses in the previous three years, but faces risks if it cannot maintain profitability throughout 2021[33]. Assets and Liabilities - The total assets at the end of the reporting period were ¥673,903,639.47, a decrease of 3.71% from ¥699,891,894.67 at the end of the previous year[7]. - Total liabilities decreased by 6.96% to ¥430,854,360.44, down from ¥463,061,723.56 at the beginning of the year[20]. - The company's total assets decreased by 4.20% to RMB 673,903,639.47 as of March 31, 2021, down from RMB 703,481,418.54 at the beginning of the year[18]. - The total equity attributable to shareholders increased to ¥247,493,387.49, up 1.11% from ¥244,788,215.04 at the end of the previous year[7]. Shareholder Engagement and Commitments - The company has committed to fulfilling various shareholder promises, including shareholding plans that are currently being executed normally[38]. - The company has ongoing shareholding plans that are expected to be executed within the next 12 months, indicating a stable outlook for shareholder engagement[39]. - The company has made commitments regarding related party transactions and fund usage, which have been fulfilled as of the report date[39]. - The company is focused on maintaining its listing status and has made commitments to uphold this objective[39]. Business Strategy and Development - The company plans to enhance its cloud service offerings and intelligent terminal products, focusing on mobile office solutions and cloud computing technologies[28]. - The company is focusing on expanding its core businesses, including enterprise postal services, office automation systems, website construction, domain registration, and hosting services, while promoting its mobile cloud office strategy with products like "35 Meeting Management" and "35 Cloud Portal" to enhance operational efficiency and cost savings for clients[29]. - The company plans to actively develop its existing main business and optimize asset quality and business structure to enhance competitiveness and profitability[43]. - The company plans to issue shares and pay cash to acquire 100% of Wanrui (Shanghai) E-commerce Co., Ltd. and will also raise matching funds through a private placement[80]. Compliance and Governance - The company has committed to strict compliance with legal procedures and information disclosure obligations for any future changes[44]. - The company has established independent financial accounting systems and management practices[49]. - The company guarantees that all provided information regarding the transaction is true, accurate, and complete, with no false records or misleading statements[68]. - The company has maintained compliance with national and local laws, with no significant economic disputes or administrative penalties in the past five years[69]. Investment and Fundraising - The total amount of raised funds is CNY 48,296.61 million, with CNY 1,350 million invested in the current quarter[96]. - The company has committed to invest CNY 21,516.2 million in various projects, with a total of CNY 10,285 million already invested[97]. - The company has established multiple subsidiaries, including Xiamen Sanwu Mobile Communications Technology Co., Ltd. with an investment of CNY 1,020 million[97]. - The company has completed the transfer of 95.50% equity in Beijing Yizhong Postal Information Technology Co., Ltd. for 1,500 million, with the funds returned to the company's fundraising account[98]. Operational Efficiency - The company's R&D expenses decreased by 12.25% to RMB 5,053,077.09 compared to RMB 5,758,628.75 in the same period last year[22]. - The company reported a significant increase in other income, which rose by 25,701.31% to RMB 40,072.01 due to increased non-operating income[24]. - The company has achieved a project completion rate of 100% for several key investment projects[96]. - The company has established technical support and marketing centers in 18 cities, falling short of the initial target of 30 cities due to adjustments in personnel and cost control[99].

Financial Performance - The company reported a net profit of negative value for the last three accounting years after deducting non-recurring gains and losses, indicating a need for measures to enhance resource utilization and improve profitability[6]. - The company has reported negative net profits for the last three consecutive years, leading to a risk warning for its stock trading[20]. - The company's operating revenue for 2020 was ¥221,676,657.80, a decrease of 23.11% compared to ¥288,308,607.71 in 2019[30]. - The net loss attributable to shareholders for 2020 was ¥93,777,162, representing a 63.55% improvement from a loss of ¥257,255,734 in 2019[30]. - The net cash flow from operating activities decreased by 62.94% to ¥19,408,981.80 in 2020, down from ¥52,377,893.30 in 2019[30]. - The total assets at the end of 2020 were ¥699,891,894, a decline of 13.44% from ¥808,535,974 at the end of 2019[30]. - The net assets attributable to shareholders decreased by 21.82% to ¥244,788,215 at the end of 2020, down from ¥313,096,456 at the end of 2019[30]. - The basic earnings per share improved to -¥0.26 in 2020 from -¥0.70 in 2019, marking a 62.86% increase[30]. - The weighted average return on equity was -35.18% in 2020, an improvement from -57.07% in 2019[30]. - The total profit for the period was -¥95,865,168.80, and the net profit attributable to the parent company was -¥93,777,162.86, representing an increase of 62.28% and 63.55% respectively, mainly due to a reduction in goodwill impairment for the subsidiary[53]. Business Strategy and Development - The company is actively expanding its game business and mobile communication resale business to increase revenue[6]. - The company has launched a series of cloud office products, including 35 Cloud Attendance and 35 Cloud Portal, to differentiate its offerings and enhance customer trust[8]. - The company is focusing on developing new game products and updating existing ones to maintain competitiveness in the gaming market[16]. - The company plans to continue investing in research and development to ensure sustainable growth in its gaming business[17]. - The company aims to innovate its product offerings, including cloud services and intelligent terminal products, to create a comprehensive cloud office solution that allows users to manage tasks seamlessly across multiple devices[41]. - The company is actively developing mobile gaming through its subsidiary, Dao Xi Technology, which is expanding its product line to include H5 games and leveraging partnerships with platforms like Tencent to enhance market competitiveness[44]. - The company plans to continue its dual cloud strategy, focusing on the innovation and iteration of enterprise office products, while also enhancing its gaming and virtual operator businesses to strengthen its position in the internet industry[45]. - The company aims to expand its mobile game business and mobile communication resale business by leveraging its R&D advantages and actively launching various game products[47]. Market Competition and Risks - The company faces significant market competition risks as the software operation service industry in China is rapidly growing, with many new entrants[8]. - The company has established formal cooperation with major telecom operators to enhance its mobile resale business, integrating resources to provide unified communication services[45]. - The company has obtained a value-added telecommunications business operation license, but faces increasing competition in the virtual operator sector[13]. Internal Controls and Compliance - The company has identified six significant non-financial internal control deficiencies during the reporting period, which need to be addressed[5]. - The company has established a comprehensive information security management system to mitigate risks related to internet, system, and data security[9]. - The company has established a comprehensive intellectual property management system to protect its rights and actively apply for product copyrights[18]. - The company has committed to avoiding competition and related transactions, with compliance confirmed as of February 11, 2020[155]. - The company has made a commitment to maintain the authenticity, accuracy, and completeness of the provided information, with compliance confirmed as of February 11, 2020[155]. Shareholder and Governance Matters - The stock will be suspended for one day on April 23, 2021, and will resume trading on April 26, 2021, under the new name "ST Sanwu" with a trading limit of 5%[20]. - No cash dividends or stock bonuses will be distributed to shareholders for the current fiscal year[20]. - The company has reported a commitment to transparency in financial reporting and governance practices, with compliance confirmed as of the report date[155]. - The company has confirmed that all major shareholders are committed to avoiding conflicts of interest and ensuring independent operations[154]. - The company has established management systems for related party transactions to ensure compliance with relevant regulations and protect the interests of minority shareholders[162]. Financial Management and Investments - The company has established an independent financial department and accounting system, ensuring compliance with tax regulations[161]. - The company has committed to not reducing shareholdings during the commitment period, which started from July 25, 2009, and will continue until the commitments are fulfilled[156]. - The company has a total of 1,600 million CNY in funds that have been repurposed, accounting for 33.59% of the total raised funds[106]. - The company has reported a total of 4,588 million CNY allocated to technology support and marketing center upgrades, with 100% of the investment completed[108]. - The company has utilized CNY 12.0736 million of surplus raised funds for permanent working capital as of December 31, 2020[125]. Operational Efficiency and Cost Management - The company is committed to reducing costs and improving average employee efficiency through its independent accounting management systems[39]. - The company's operating costs decreased by 22.96% year-on-year, totaling 106,053,819.64 CNY[72]. - The company reported a significant reduction in operating costs for game products, with a decrease of 45.64% year-on-year in operational expenses[72]. - The company has made strategic adjustments in personnel and expenses to align with market demands, enhancing operational efficiency[112]. Subsidiaries and Acquisitions - The company completed the acquisition of Shenzhen Xinman Technology Co., Ltd. on March 30, 2020, with a total acquisition cost of CNY 130 million, and reported revenue of CNY 24,162,222.67 and net profit of CNY 19,061,708.35 from the acquired entity[197]. - The company disposed of its stake in Beijing Yizhong Postal Information Technology Co., Ltd. for CNY 15 million, resulting in a loss of CNY 24,880,800.32 upon loss of control on December 29, 2020[198]. - The company has established new subsidiaries and made equity investments, including a 300,000 yuan investment in Shenzhen Guoniu Education Training Co., Ltd., acquiring a 3% stake[101]. Future Outlook and Plans - The company plans to enhance its cloud service offerings and intelligent terminal products, focusing on mobile internet and cloud computing, supported by national policies[140]. - The company will continue to implement its dual-cloud strategy, focusing on innovation and iteration of enterprise office products, including upgrades to "35 Cloud Portal" and "Three Five Business Card Chain" to enhance user experience and service offerings[144]. - The company plans to enhance its mobile office client and develop a mobile intelligent website building platform to meet the needs of enterprises for mobile image display and e-commerce[46].

Financial Performance - Operating revenue for the reporting period was CNY 54,879,478.78, down 15.33% year-on-year, and CNY 173,600,573.09 for the year-to-date, down 20.24%[7] - Net profit attributable to shareholders was a loss of CNY 5,175,608.17, a decrease of 153.28% year-on-year, with a year-to-date loss of CNY 11,005,303.84, down 1,265.75%[7] - Basic and diluted earnings per share were both CNY -0.0142, a decrease of 153.57% year-on-year[7] - The weighted average return on net assets was -1.70%, compared to -1.31% in the previous year[7] - The company reported a net loss of CNY 535,540,364.64 in retained earnings[133] - The company reported a net loss for Q3 2020 of CNY 5,265,414.08, compared to a net loss of CNY 1,682,852.59 in Q3 2019[109] Cash Flow - The net cash flow from operating activities was a negative CNY 5,623,271.34, a decline of 156.30% compared to the same period last year[7] - The net cash flow from operating activities decreased by 94.98% to ¥1,783,310.46 compared to the same period last year, primarily due to a reduction in cash received from sales of goods and services[28] - The net cash flow from investing activities increased by 45.02% to -¥24,001,899.49, mainly due to an increase in cash received from investment recoveries[29] - The net cash flow from financing activities decreased by 357.41% to -¥39,370,609.73, attributed to a reduction in bank loans obtained and an increase in bank loans repaid[29] - The net increase in cash and cash equivalents decreased by 270.19% to -¥61,647,278.38, influenced by reduced bank loans obtained and increased repayments, along with decreased cash received from sales[29] Assets and Liabilities - Total assets at the end of the reporting period were CNY 767,548,460.33, a decrease of 5.07% compared to the end of the previous year[7] - The total liabilities decreased by 5.61% to RMB 467,873,067.02 from RMB 495,683,610.07 year-on-year[22] - The company's cash and cash equivalents decreased by 23.64% to RMB 101,105,867.86 from RMB 132,402,092.76 at the end of 2019[18] - Accounts receivable decreased by 23.91% to RMB 18,865,996.98 from RMB 24,793,199.31 year-on-year[18] - Current liabilities totaled CNY 173,741,780.53, including short-term loans of CNY 45,000,000.00 and accounts payable of CNY 34,878,999.34[132] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 49,116[10] - The largest shareholder, Gong Shaohui, held 36.88% of the shares, with a total of 134,886,701 shares, of which 134,536,066 were pledged[10] - The company did not conduct any repurchase transactions among the top 10 shareholders during the reporting period[12] - Gong Shaohui plans to reduce his holdings in the company by up to 30% of the total share capital within the next 12 months[50] - Caida Securities intends to reduce its holdings by no more than 19 million shares after holding them for 6 months, using methods such as centralized bidding and block trading[51] Business Outlook and Strategy - The company provided a future outlook, projecting a revenue growth of 10% for Q4 2020, driven by new product launches and market expansion[34] - The company plans to expand its market presence in Southeast Asia, targeting a 30% market share by the end of 2021[34] - A strategic acquisition of a local tech firm was announced, expected to enhance product offerings and increase market competitiveness[35] - The company has committed to reducing operational costs by 15% over the next year through efficiency improvements[35] - New product launches are anticipated to contribute an additional 200 million RMB in revenue for Q4 2020[35] Compliance and Governance - The company has committed to strictly follow legal procedures and disclosure obligations for any future changes in management personnel[40] - The company has confirmed that it holds complete ownership and disposal rights of the assets involved in the transaction, with no encumbrances or disputes[65] - The company guarantees that all information provided regarding the transaction is true, accurate, and complete, with no false records or misleading statements[65] - The company has not engaged in any illegal activities or received administrative penalties in the last five years, ensuring compliance with laws and regulations[66] - The company has committed to avoiding any conflicts of interest and ensuring fair transactions with its subsidiaries[63] Research and Development - The company's R&D expenses decreased by 10.70% to RMB 18,028,474.73 from RMB 20,188,400.99 in the same period last year[25] - Investment in new technology R&D increased by 25% year-over-year, totaling 150 million RMB in Q3 2020[35] - Research and development expenses for Q3 2020 were CNY 5,937,712.66, slightly down from CNY 6,682,987.58 in the previous year[108] Legal and Regulatory Matters - The company reported on the progress of legal proceedings related to civil lawsuits on September 23 and October 19, 2020[31] - The company has not disclosed any plans for mergers or acquisitions in the next 12 months[40] - The company has taken necessary confidentiality measures to prevent the leakage of sensitive information related to the transaction[73]

Financial Performance - The company reported a significant loss in the first half of 2020 due to the impact of the pandemic and unmet business targets, continuing a trend of substantial losses from 2018 and 2019[10]. - The company's operating revenue for the reporting period was ¥118,721,094.31, a decrease of 22.33% compared to the same period last year[23]. - The net profit attributable to shareholders was -¥5,829,695.67, representing a decline of 295.14% year-on-year[23]. - The net cash flow from operating activities was ¥7,406,581.80, down 70.97% from the previous year[23]. - The total assets at the end of the reporting period were ¥781,232,643.46, a decrease of 3.38% compared to the end of the previous year[23]. - The net assets attributable to shareholders were ¥307,837,163.80, down 1.68% from the previous year[23]. - The total profit for the period was CNY -7,197,058.41, and the net profit attributable to the parent company was CNY -5,829,695.67, representing decreases of 192.00% and 295.14% respectively[54]. - The gross margin for the total revenue was 47.04%, which is a decline of 8.23% year-over-year[64]. Business Strategy and Development - The company plans to enhance resource utilization efficiency and optimize cost control measures to improve profitability, focusing on mobile game business expansion and telecommunications resale services[10]. - The company aims to leverage existing R&D experience to launch new game products and strengthen partnerships with gaming platforms to enhance operational quality[7]. - The company is committed to improving its product development concepts to lower costs and enhance profit margins amid increasing competition in the gaming industry[10]. - The company will continue to integrate existing platform resources to support its growth strategy in the gaming industry[10]. - The company is focusing on mobile cloud office strategies with products like "35 Cloud Portal" and "35 Business Card Chain" to improve operational efficiency for clients[32]. - The company plans to continue improving its enterprise service products, including upgrades to its mobile office client and the development of a mobile intelligent website building platform[37]. - The company aims to expand its mobile game and communication resale businesses, focusing on developing new game products and utilizing its telecommunications business license[38]. - The company is enhancing its product competitiveness through continuous updates and integration of mobile internet with various industries[57]. Market Competition and Risks - The company faces risks related to reliance on a limited number of game products, which may affect overall profitability if new impactful products are not launched timely[7]. - The gaming market is experiencing intensified competition, with established companies and emerging teams posing significant challenges to the company's market share[8]. - The company acknowledges the risk of core technical talent loss, which could adversely affect long-term sustainable development if not addressed[10]. - The company faces significant market competition risks in the software operation service industry, necessitating a focus on product differentiation and user experience[41]. - The mobile resale business faces increasing competition and regulatory risks, which may impact revenue growth; the company aims to adapt its business model accordingly[47]. Talent and Human Resources - The company emphasizes the importance of maintaining a stable core team to ensure healthy development and mitigate operational risks[10]. - The company is addressing the risk of reliance on core technical personnel by establishing a talent reserve mechanism and adjusting compensation to retain key staff[43]. - The company emphasizes talent development and has established a high-quality workforce through training programs[52]. - The company has a stable core technology team and a large direct sales elite team, enhancing customer loyalty and market insight[51]. Innovation and Technology - The company is committed to continuous innovation in cloud computing technology to meet the evolving needs of its enterprise clients[31]. - The company has established a comprehensive intellectual property management system to protect its rights and actively applies for product copyrights and trademark registrations[46]. - The company is implementing a dual-cloud strategy to innovate and iterate its enterprise office products[56]. - The company is enhancing its game product offerings by continuously updating existing games and launching new titles across various genres to ensure sustainable business development[125]. Financial Management and Investments - The company will not distribute cash dividends, issue bonus shares, or increase capital from reserves for the reporting period[11]. - The company has established a cost control plan for 2020, focusing on optimizing human resources and product development to enhance profitability[39]. - The company is pursuing a cautious investment strategy for mergers and acquisitions, focusing on targets that align closely with its core business to maximize value[43]. - The company has committed to shareholding reduction plans initiated by controlling shareholder Gong Shaohui, with a commitment period of 12 months starting from January 2020, but has encountered abnormal performance in fulfilling this commitment[134]. - The company plans to use surplus fundraising of 1,550 million CNY for further investments in subsidiaries[96]. Related Party Transactions and Compliance - The company has established regulations for related party transactions, ensuring compliance with relevant laws and protecting the interests of minority shareholders[142]. - The company has committed to avoiding any related party transactions that could harm its interests, ensuring compliance with regulatory requirements[169]. - The company has not engaged in any related party transactions prior to the current changes, maintaining a clear separation from its controlling shareholders[141]. - The company guarantees that it will not obtain any improper benefits through related transactions, and any losses incurred due to violations will be borne by the company[154]. Legal and Regulatory Matters - The company has not faced any administrative penalties or major economic disputes in the past five years, complying with national and local laws[156]. - The company has a pending lawsuit with an involved amount of 497.45 million yuan, with some cases already adjudicated and others still in progress[175]. - The company received a warning from the Xiamen Securities Regulatory Bureau regarding compliance with information disclosure laws, prompting a commitment to improve practices[181]. - The company has not reported any plans for share reduction by its directors or senior management during the transaction period, indicating confidence in its stock performance[169].

Financial Performance - Total revenue for Q1 2020 was ¥52,357,269.14, a decrease of 26.19% compared to ¥70,931,624.68 in the same period last year[7]. - Net profit attributable to shareholders was -¥1,372,744.20, representing a decline of 133.23% from ¥4,130,722.11 year-on-year[7]. - Basic and diluted earnings per share were both -¥0.0038, a decrease of 133.63% compared to ¥0.0113 in the same period last year[7]. - The company reported a net loss from investment income of RMB -290.90, a decrease of 163.73% compared to a profit of RMB 456.46 in the previous year[22]. - The company reported a total cash inflow from financing activities of 257,835.00 yuan, with cash outflow amounting to 10,398,593.98 yuan, leading to a net cash flow of -10,140,758.98 yuan from financing activities[116]. Cash Flow and Assets - Net cash flow from operating activities was -¥1,565,213.08, down 115.40% from ¥10,164,574.81 in the previous year[7]. - Total assets at the end of the reporting period were ¥789,167,453.63, a decrease of 2.40% from ¥808,535,974.26 at the end of the previous year[7]. - The company's cash and cash equivalents decreased by RMB 21,886,239.50, representing a decline of 315.00% compared to the previous year[22]. - The company's cash and cash equivalents dropped to ¥21,210,455.47 from ¥52,490,058.80 at the end of 2019[99]. - The total cash outflow from investing activities was -¥3,116,460.44, a decrease from -¥25,499,679.05 in the previous period, indicating reduced investment activity[112]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 55,977[11]. - The largest shareholder, Gong Shaohui, holds 36.88% of the shares, totaling 134,886,701 shares[11]. - The company did not engage in any repurchase transactions during the reporting period[12]. - The company has committed to not reducing its shareholdings during the implementation period of its recent transaction, reflecting a commitment to stability[33]. Regulatory Compliance and Governance - The company received public reprimands from the Shenzhen Stock Exchange, which may impact its future operations and investor confidence[31]. - The actual controller and major shareholders have committed to various promises regarding stock incentives and compliance with regulations, ensuring adherence to corporate governance standards[32]. - The company has implemented corrective measures as mandated by the Xiamen Securities Regulatory Bureau, indicating a proactive approach to regulatory compliance[31]. - The company has committed to ensuring the authenticity and accuracy of the information provided in its reports[34]. Investment and Strategic Focus - The company is focusing on the dual cloud strategy, enhancing enterprise office product innovation and system iteration, and developing a one-stop mobile information cloud service platform for SMEs[27]. - The company aims to expand its game and virtual operator businesses, leveraging synergies in the internet industry to enhance market competitiveness and profitability[27]. - The company plans to issue shares and pay cash to acquire 100% of Wanrui (Shanghai) E-commerce Co., Ltd. and will raise matching funds through a private placement of shares[58]. - The company has adjusted its investment plans in response to changes in government subsidy policies for new energy vehicles, focusing on enhancing operational efficiency[76]. Related Party Transactions - The company is engaged in ongoing discussions regarding related party transactions and fund occupation issues, aiming to resolve these matters effectively[32]. - The company has made promises to avoid competition and related party transactions, which may enhance its market positioning and investor trust[33]. - The company guarantees that no related party transactions will harm the interests of the listed company and its minority shareholders[45]. - The company has established a commitment to avoid and minimize related party transactions with its subsidiaries, ensuring fair and reasonable dealings[55]. Future Outlook and Challenges - The company has faced significant losses in recent years and is implementing measures to improve resource utilization and control costs to mitigate risks of potential stock suspension[28]. - The company’s financial performance reflects ongoing challenges in achieving projected benefits from its investments due to market changes[75]. - The company has reported a commitment to reduce and regulate related party transactions, with compliance confirmed as of February 11, 2020[34]. - The company has not reported any violations regarding external guarantees during the reporting period[86].

Financial Performance - Total revenue for Q1 2020 was ¥52,357,269.14, a decrease of 26.19% compared to ¥70,931,624.68 in the same period last year[7]. - Net profit attributable to shareholders was -¥1,372,744.20, representing a decline of 133.23% from ¥4,130,722.11 year-on-year[7]. - Net cash flow from operating activities was -¥1,565,213.08, down 115.40% from ¥10,164,574.81 in the previous year[7]. - Basic and diluted earnings per share were both -¥0.0038, a decrease of 133.63% compared to ¥0.0113 in the same period last year[7]. - The company reported a net loss of CNY 1,372,744.20 for the first quarter of 2020, compared to a net loss of CNY 1,540,000.00 in the same period of 2019[104]. - Total operating revenue for Q1 2020 was ¥52,357,269.14, a decrease of 26% compared to ¥70,931,624.68 in the same period last year[109]. - The company reported a significant reduction in sales expenses by 36.76% to RMB 11,171,011.53 compared to the previous year[23]. - The company reported a credit impairment loss of ¥746,128.60, worsening from a loss of ¥369,112.45 in the previous year[110]. Assets and Liabilities - Total assets at the end of the reporting period were ¥789,167,453.63, a decrease of 2.40% from ¥808,535,974.26 at the end of the previous year[7]. - Total liabilities decreased by 3.47% to RMB 478,477,394.42 compared to the beginning of the year[21]. - Current assets decreased from CNY 204,221,902.37 to CNY 188,876,616.81, representing a reduction of about 7.5%[101]. - Total liabilities for the first quarter of 2020 were CNY 140,494,021.65, with current liabilities at CNY 105,494,021.65[130]. - Total equity decreased from CNY 312,852,364.19 to CNY 310,690,059.21, a slight decline of about 0.7%[104]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 55,977[12]. - The largest shareholder, Gong Shaohui, held 36.88% of the shares, amounting to 134,886,701 shares, with 134,536,066 shares pledged[12]. - The company reported a total of 21,251,566 shares frozen, indicating significant shareholder activity[13]. - The company has not engaged in any repurchase agreements among the top 10 shareholders during the reporting period[14]. - The company has a total of 1,052,100 shares held by shareholder Liao Xiaodong, including shares held through margin trading accounts[14]. Regulatory Compliance and Governance - The company has been actively addressing related party transactions and fund occupation issues, ensuring compliance with regulatory requirements[38]. - The company is in the process of rectifying issues raised by the Xiamen Securities Regulatory Bureau, demonstrating a commitment to compliance[37]. - The company has confirmed that it has fulfilled its capital contribution obligations to Daoxi Technology, with actual contributions aligning with registration data, ensuring no false or incomplete contributions[53]. - The company has taken necessary confidentiality measures to prevent the leakage of sensitive information related to asset transactions[61]. - The company guarantees compliance with the lock-up agreements and any adjustments mandated by regulatory authorities[45]. Investment and Development - The company is focusing on enhancing its cloud office applications and services, including products like enterprise mail and OA approval systems[28]. - The company is pursuing a dual-cloud strategy to innovate and iterate its enterprise office products, leveraging cloud computing and storage technologies[31]. - The company plans to issue shares and pay cash to acquire 100% equity of Wanrui (Shanghai) E-commerce Co., Ltd. and will raise matching funds through a private placement of shares[65]. - The company has committed to investing CNY 3,200 million in the enterprise mail upgrade project, achieving 100% completion[79]. - The company is actively working on cost control and optimizing human resources to improve operational efficiency and profitability[34]. Cash Flow and Fund Management - Cash inflow from operating activities totaled CNY 53,389,149.64, down 37.5% from CNY 85,841,661.75 in the previous period[119]. - Net cash flow from operating activities was negative at CNY -1,565,213.08, compared to a positive CNY 10,164,574.81 in the previous period[119]. - The company has utilized CNY 155 million of surplus raised funds for capital increases in subsidiaries, including CNY 15.5 million for Sanwu New Energy[86]. - The company has utilized a total of RMB 202.11 million from the over-raised funds as of March 31, 2020[87]. - The company has reported a total of 71,995.05 million in raised funds, with a total allocation of approximately 78,565 million[80].

Financial Performance - The company reported a total revenue of ¥288,308,607.71 in 2019, representing a year-over-year increase of 22.79% from ¥234,806,558.59 in 2018[71]. - The net loss attributable to shareholders was ¥257,255,734, an improvement of 25.62% from a loss of ¥420,824,013 in the previous year[23]. - The company's operating revenue for 2019 was ¥288,308,607, representing a 22.79% increase compared to ¥234,806,558 in 2018[23]. - The company reported a total revenue of 361.4 million in 2019, reflecting a year-on-year growth of 42%[50]. - The company reported a total revenue of 1.2 billion RMB, marking a 15% increase compared to the previous year[57]. - The company reported a total revenue of 302.6 million in 2019, reflecting a year-on-year growth of 39%[54]. - The company achieved a revenue of 297.56 million RMB for the year, reflecting a growth of 12% compared to the previous year[61]. - The company reported a total of 5,904 million in fundraising for the project "Three Five Internet Post Office," with 100% of the funds utilized by the end of the reporting period[119]. Market Competition and Risks - The gaming market is experiencing intensified competition, with established companies and emerging teams posing challenges to the company's market share[6]. - The company reported significant reliance on a limited number of game products, which poses a risk to overall profitability if new impactful products are not launched timely[5]. - The company faces market competition risks as the software operation service industry grows rapidly, necessitating a focus on product differentiation and user experience[169]. - The mobile resale business is facing increasing competition and regulatory pressures, which may impact growth rates and require adjustments to business models[179]. - The company is at risk of losing core technical personnel, which could impact operations, and has established a talent reserve mechanism to address this issue[173]. Strategic Initiatives and Future Plans - The company plans to enhance resource utilization efficiency and expand mobile game and communication resale businesses to increase revenue[9]. - The company aims to strengthen its core advantages and expand market share through the continuous development of high-quality games[7]. - The company plans to optimize cost control and improve human resource structure to enhance profit margins[9]. - The company is focusing on expanding its market presence through new product development and technological research, aiming to enhance its service offerings[53]. - The company plans to expand its market presence in Southeast Asia, targeting a 20% increase in market share by 2021[51]. - The company aims to enhance its competitive edge by integrating existing products into a platform-level product after the completion of the enterprise cloud disk function[46]. - The company is committed to expanding its market presence and exploring new business strategies to drive future growth[62]. Product Development and Innovation - The company is committed to launching new game products based on existing R&D experience to improve operational quality[5]. - The company has launched the "35 Cloud Portal," a digital asset management and application platform aimed at providing comprehensive solutions for enterprise clients[41]. - The company has increased R&D investment to enhance product competitiveness and improve product iteration processes[43]. - The company has launched 4 new self-developed games during the reporting period, with 6 games currently in operation[67]. - The focus of game development has shifted towards H5 games, with plans to diversify the product offerings further with the upcoming launches of "PPXY," "SFLL," and "RYXX"[46]. - The company has established a comprehensive intellectual property management system to protect its rights and actively applies for product copyrights and trademark registrations[178]. Financial Management and Investments - The company will not distribute cash dividends, issue bonus shares, or increase share capital from reserves[10]. - The company has made significant adjustments to its financial statements due to accounting errors, resulting in an increase in net profit for 2018 by ¥74,970,769.86[25]. - The company has received formal licenses to operate as a virtual operator, collaborating with major telecom operators to expand its market presence[35]. - The company has invested 11 million CNY in Xiamen Luowa Network Technology Co., holding a 15% stake, and established Shenzhen Aishida Technology Co. with an investment of 1 million CNY, holding 100%[42]. - The company has a total of ¥1,302.89 million in unutilized raised funds[116]. - The company has allocated 100 million RMB for research and development in new technologies, focusing on data conversion and electronic media[56]. Operational Efficiency and Cost Management - The company emphasizes the importance of retaining core technical talent to ensure sustainable development amidst business expansion[9]. - The company has established a cost control plan for 2020, focusing on optimizing personnel structure and enhancing operational efficiency to manage expenses effectively[168]. - The company aims to reduce operational costs by 10% through efficiency improvements and automation initiatives[51]. - The total operating costs for 2019 amounted to ¥137,655,543.27, representing a 71.33% increase compared to ¥80,347,374.79 in 2018[83]. Shareholder and Regulatory Compliance - The company has not distributed any cash dividends or conducted capital reserve transfers in the past three years, reflecting a focus on reinvestment rather than shareholder returns[184]. - The actual controller and shareholders have fulfilled their commitments as of the end of the reporting period[186]. - The company has maintained compliance with all commitments made during the asset restructuring process[186]. - The company has confirmed that all related party transactions will be conducted fairly and transparently, adhering to corporate governance standards[197].

Financial Performance - The company reported a revenue of 300 million RMB for the first half of 2019, representing a year-on-year increase of 15%[13]. - The net profit attributable to shareholders was 50 million RMB, up 10% compared to the same period last year[13]. - The company aims to achieve a revenue target of 600 million RMB for the full year 2019, reflecting a growth rate of 20%[13]. - Total revenue for the reporting period was ¥152,844,868.69, representing a year-on-year increase of 29.60%[19]. - Net profit attributable to shareholders decreased by 80.82% to ¥2,987,502.21 compared to the same period last year[19]. - The gross margin for the first half of 2019 was reported at 38%, indicating a stable cost structure and efficient operations[51]. - Revenue for the first half of 2019 reached 301.89 million, reflecting a 12% growth year-over-year[55]. - The company reported a total revenue of 30,279,524 for the first half of 2019, reflecting a growth of 38% compared to the previous period[52]. User Engagement and Market Expansion - User data showed an increase in active users by 20%, reaching 1.5 million active users by the end of June 2019[13]. - The company reported a significant increase in user engagement, with a 45% growth in online social network services compared to the previous period[48]. - The company has over 1.66 million mobile users and 300,000 mobile number resources, as well as over 530,000 telecom users and 750,000 telecom number resources[39]. - User data indicates a significant increase in online service engagement, with a notable rise in the number of active users utilizing the company's internet chat and forum services[53]. - The company plans to expand its market presence by launching new products and enhancing its online marketplace services[55]. - The company is exploring market expansion opportunities in Southeast Asia, aiming to capture a larger share of the regional market[50]. Research and Development - The company has invested 10 million RMB in R&D for new technologies, focusing on enhancing user experience and product functionality[13]. - Investment in R&D for new technologies has increased, with a focus on enhancing product offerings and improving user experience[51]. - The company is committed to investing in research and development for innovative products, with a focus on quality assurance and performance testing[52]. - The company is focusing on H5 game development, with several new games like "田园物语" and "凹凸三国" set to launch soon, aiming to diversify its product offerings[45]. - The company is enhancing its knowledge property management system to protect its intellectual property rights amid risks of infringement in the gaming industry[136]. Strategic Acquisitions and Investments - The company is exploring potential acquisitions to enhance its technology capabilities, with a budget of 50 million RMB allocated for this purpose[13]. - A strategic acquisition is planned to enhance the company's technological capabilities and broaden its service offerings[51]. - The company has completed the acquisition of 70% of Beijing Yizhong Information Technology Co., Ltd., with the project achieving a 27% return on expected benefits[105]. - The company plans to divest its 51.64% stake in the new energy vehicle subsidiary to focus on its core business and improve operational efficiency[105]. - The company plans to sell its 51.64% stake in Xiamen Sanwu New Energy Co., Ltd. for RMB 21 million, with the proceeds returning to the fundraising account[113]. Operational Efficiency and Cost Management - Operating costs rose to RMB 146,914,921.45, an increase of 24.36% year-on-year, driven by higher procurement costs associated with the mobile communication resale business[69]. - The company has strengthened its talent team and optimized personnel structure to enhance operational efficiency[64]. - The company has implemented a talent reserve mechanism to address risks associated with the reliance on core technical personnel and their potential turnover[131]. - The company is adapting its mobile resale business model to comply with regulatory requirements and mitigate risks from increasing competition and telecom fraud[139]. Corporate Governance and Compliance - There were no major litigation or arbitration matters during the reporting period[145]. - The semi-annual financial report has not been audited[143]. - The company has no overdue commitments from actual controllers, shareholders, or related parties as of the end of the reporting period[142]. - The company has not engaged in entrusted financial management, derivative investments, or entrusted loans during the reporting period[118][119][120]. Marketing and Brand Strategy - The company is implementing new marketing strategies to increase brand awareness and drive customer acquisition[50]. - A new marketing strategy has been implemented, focusing on digital channels to increase brand visibility and customer engagement[54]. - The company has allocated 200 million RMB for research and development of new technologies in the upcoming fiscal year[56]. Financial Position and Cash Flow - The net cash flow from operating activities was ¥25,514,448.64, a slight decrease of 0.10% from the previous year[19]. - The company's cash and cash equivalents decreased by 11.77% to RMB 129,448,297.61 compared to the previous year[86]. - The total assets amounted to RMB 1,099,555,651.57, showing a slight increase compared to RMB 1,083,711,280.97 from the previous year[87]. Intellectual Property and Compliance - The company obtained 7 software copyrights and 95 registered trademarks during the reporting period, enhancing its intellectual property portfolio[46]. - The company is committed to innovation and has a strategy in place to protect and manage its intellectual property effectively[46]. - The company has established a comprehensive information security management system to mitigate risks related to internet, system, and data security[129].