Group 1: Company Overview and Strategic Partnerships - China Telecom's acquisition of Changan Technology aligns with national policies to concentrate state capital in key industries related to national security and economic lifelines [4] - The collaboration between China Telecom and Changan Technology leverages strengths in smart IoT platforms, 5G, and cloud infrastructure to enhance public safety solutions [4][5] - China Telecom aims to support Changan Technology in expanding market penetration through its extensive government and enterprise client resources [5] Group 2: Financial Performance and Challenges - The company's profit growth has lagged behind revenue growth due to customer structure, contract types, and seasonal business fluctuations [7] - The impact of COVID-19 and complex economic conditions have affected project implementation timelines and acceptance progress [7] - Measures have been taken to improve accounts receivable recovery, resulting in a significant increase in cash received from sales compared to the previous year [7][8] Group 3: Market Expansion and Future Prospects - Changan Technology plans to enhance its overseas market presence in regions such as Latin America, Africa, and Southeast Asia, utilizing resources from China Telecom [9] - The company is focused on maintaining stable development despite challenges posed by the pandemic, with positive business momentum observed in the second half of the year [8] - Future SaaS revenue is anticipated to grow, although specific timelines for service launches remain uncertain [6] Group 4: Investor Relations and Communication - The company emphasizes the importance of effective communication with investors to enhance their understanding of business developments and build confidence [10] - Strategies to improve investor sentiment include maintaining strong media relations and enhancing market visibility [10] - The company aims to share growth dividends with long-term investors by leveraging its strong shareholder background [9][10]

Group 1: Company Overview and Financial Performance - In 2020, the company achieved a revenue of 1.65 billion, a slight increase of 5% compared to the previous year [3] - The net profit attributable to the parent company was 91.94 million, a decline of approximately 25% year-on-year [3] - Operating cash flow net amount was 77.48 million, a significant increase of 272% compared to the previous year [3] Group 2: Business Development and Market Performance - The public safety and emergency business grew rapidly, with a revenue increase of 61.24% year-on-year [4] - Domestic business proportion increased, with successful project signings in various provinces, including Jiangsu and Hainan [4] - The company signed multiple overseas projects, including in Laos and Indonesia, despite the challenges posed by the global pandemic [4] Group 3: Strategic Goals and Future Plans - The company aims to become an innovative public safety high-tech company within the next five years, focusing on profitability and healthy development [5] - Plans to expand into more regions along the Belt and Road Initiative and enter markets in Central and Eastern Europe [5] - The company is collaborating with China Telecom to leverage its resources and enhance market development capabilities [7] Group 4: Cash Flow and Operational Efficiency - The company emphasized the importance of cash collection, leading to a positive cash flow in 2020 [6] - The overseas business revenue proportion increased, and the company is prepared for project development and delivery in 2021 [6] - The strategy for 2021 includes optimizing personnel and resource allocation without significantly increasing staff numbers [6]

北京辰安科技股份有限公司 2022 年第三季度报告 1.董事会、监事会及董事、监事、高级管理人员保证季度报告的真实、准确、完整，不存在虚假记载、误 导性陈述或重大遗漏，并承担个别和连带的法律责任。 2.公司负责人、主管会计工作负责人及会计机构负责人（会计主管人员）声明：保证季度报告中财务信息 的真实、准确、完整。 3.第三季度报告是否经过审计 □是 否 一、主要财务数据 （一） 主要会计数据和财务指标 证券代码：300523 证券简称：辰安科技 公告编号：2022-078 北京辰安科技股份有限公司 2022 年第三季度报告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚假记载、误 导性陈述或重大遗漏。 重要内容提示： 公司是否需追溯调整或重述以前年度会计数据 □是 否 | | 本报告期 | 本报告期比上年同期 | 年初至报告期末 | 年初至报告期末比上 | | --- | --- | --- | --- | --- | | | | 增减 | | 年同期增减 | | 营业收入（元） | 473,731,156.02 | 95.48% | 1,217,174,447.63 | 61.72% | ...

Financial Performance - The report period covers from January 1, 2022, to June 30, 2022, indicating a half-year performance review[12]. - The company's operating revenue for the first half of 2022 was ¥743,443,291.61, representing a 45.69% increase compared to ¥510,307,115.44 in the same period last year[22]. - The net profit attributable to shareholders was ¥15,721,934.51, a significant turnaround from a loss of ¥97,611,359.08 in the previous year, marking a 116.11% improvement[22]. - The net cash flow from operating activities reached ¥108,369,922.89, compared to a negative cash flow of ¥343,243,969.10 in the same period last year, reflecting a 131.57% increase[22]. - The company's revenue for the first half of 2022 reached ¥743,443,291.61, representing a 45.69% increase compared to ¥510,307,115.44 in the same period last year, primarily due to the acceptance of urban lifeline projects[59]. - The gross profit margin improved to 45.10%, up by 10.95% compared to the previous year[62]. - The urban safety segment saw a remarkable revenue increase of 135.47% to ¥154,326,050.72, with a gross margin of 37.57%[61]. - The emergency management segment's revenue decreased by 36.41% to ¥112,595,995.13, with a gross margin of 20.71%[61]. - The international business revenue dropped by 49.07% to ¥82,343,162.53, with a gross margin of 26.97%[61]. - The company reported a total revenue of 14,881.60 million yuan for the first half of 2022[124]. Strategic Plans and Future Outlook - The company aims to become a global leader in public safety during the "14th Five-Year Plan" period, focusing on gas monitoring and urban lifeline safety[31]. - The company plans to increase market expansion efforts and strengthen R&D investments in the second half of 2022[46]. - The company has outlined a future outlook with a projected revenue growth of 20% for the second half of 2022[138]. - The company is focusing on expanding its market presence in Southeast Asia and Europe, overcoming pandemic challenges to secure new projects in countries like Serbia and Indonesia[34]. - The company is exploring potential mergers and acquisitions to enhance its technological capabilities and market presence[138]. - The company aims to enhance its research and development efforts to innovate new technologies[197]. - The company is committed to maintaining a robust growth trajectory, with a revenue guidance of 6,590 million yuan for the full year 2022[146]. Risk Management and Governance - The company emphasizes the importance of risk management and outlines potential operational risks in the report[2]. - The company is subject to regulatory oversight by various governmental bodies, including the Ministry of Emergency Management and the Ministry of Finance[13]. - The company faces risks related to industry policy adjustments, new business development, and overseas political and economic changes, but the overall risk is considered relatively low[92][93][94]. - The company has established measures to protect its intellectual property rights amid potential disputes and infringements[100]. - The company has a comprehensive governance structure in place, as detailed in the governance section of the report[6]. Research and Development - The company has strengthened its talent acquisition by hiring over 40 master's and doctoral graduates, enhancing its core competitiveness[55]. - The company holds over 300 patents, including invention, utility model, and design patents, as of June 30, 2022, reflecting its commitment to continuous R&D and innovation[54]. - The company is actively integrating new technologies such as IoT, big data, and AI into public safety, aiming to build a comprehensive emergency management platform[54]. - The company is focusing on enhancing its product line with new technologies, including advanced fire monitoring and prevention systems, and intelligent firefighting robots[45]. Social Responsibility and Community Engagement - The report highlights the company's commitment to social responsibility and environmental considerations[6]. - The company received commendations for its support services during the Beijing Winter Olympics, highlighting its commitment to social responsibility[112]. - The company has signed contracts for new projects in public safety education, including the Zhejiang Provincial Civil Defense Education Center and the Taizhou Safety Education Experience Center[34]. Financial Management and Capital Structure - The company plans not to distribute cash dividends, issue bonus shares, or increase capital from reserves[3]. - The total amount of raised funds is RMB 151.59 million, with RMB 16.57 million invested during the reporting period[79]. - The actual net amount of raised funds after deducting issuance costs is RMB 151.59 million[79]. - The company has not reported any changes in the project status or significant variances in expected benefits[82]. - The company has not experienced any significant changes in the feasibility of committed investment projects[82]. Market Expansion and Business Development - The company is focusing on expanding its market presence in Latin America, Africa, Southeast Asia, and along the Belt and Road Initiative, aiming to enhance recognition of the "Chinese model" and "Chinese solutions" in these regions[53]. - The company is committed to developing customized solutions for urban infrastructure monitoring[145]. - The company is actively pursuing partnerships and collaborations to enhance project delivery and operational efficiency[144]. Operational Efficiency and Project Management - The company has implemented a comprehensive management enhancement strategy, focusing on product system updates, market optimization, and risk control, ensuring operational efficiency[41]. - The company is currently engaged in the construction of data engineering and system integration for bridge projects, with ongoing work in software development and network transmission systems[143]. - The company aims to enhance its technological capabilities through the development of specialized software for bridge engineering[143]. - The company is committed to ensuring the successful execution of its projects through rigorous quality control and testing protocols[143].

Financial Performance - The company's revenue for Q1 2022 was CNY 191,334,411.60, representing a 49.17% increase compared to CNY 128,265,546.27 in the same period last year[2]. - Net profit attributable to shareholders was CNY 6,908,723.12, a significant turnaround from a loss of CNY 78,036,712.83 in the previous year, marking a 108.85% improvement[2]. - The company reported a weighted average return on equity of 0.48%, up from -5.05% in the previous year[2]. - The total operating revenue for Q1 2022 was CNY 191,334,411.60, an increase of 49.2% compared to CNY 128,265,546.27 in the same period last year[30]. - Net profit for Q1 2022 was CNY 18,490,927.85, a significant recovery from a net loss of CNY 76,377,070.06 in Q1 2021[31]. - The company reported a gross profit margin of approximately 14.5% for Q1 2022, compared to a negative margin in the previous year[30]. - The company achieved a basic earnings per share of CNY 0.03, recovering from a loss per share of CNY 0.34 in the previous year[31]. - The company reported other income of CNY 32,733,258.13, significantly higher than CNY 8,367,001.17 in the previous year, contributing to overall profitability[30]. Cash Flow and Financial Position - The net cash flow from operating activities improved to -CNY 43,425,112.57, a reduction of 82.79% in losses compared to -CNY 252,281,268.94 in the same period last year[2]. - Cash flow from operating activities showed a net outflow of CNY 43,425,112.57, an improvement from a net outflow of CNY 252,281,268.94 in the same quarter last year[33]. - The total cash inflow from financing activities was 130,756,765.16 CNY in Q1 2022, up from 118,415,902.19 CNY in Q1 2021[35]. - The net cash flow from financing activities improved to 9,665,293.07 CNY in Q1 2022, compared to a negative 9,065,623.80 CNY in Q1 2021[35]. - The cash and cash equivalents at the end of Q1 2022 were 494,781,594.38 CNY, a decrease from 328,639,912.40 CNY in Q1 2021[35]. - The company reported a decrease in cash and cash equivalents by 57,815,578.34 CNY in Q1 2022, compared to a decrease of 120,049,185.69 CNY in Q1 2021[35]. - The total liabilities decreased to CNY 1,674,731,439.76 from CNY 1,802,926,985.93, showing improved financial stability[30]. - The total equity attributable to shareholders of the parent company was CNY 1,431,193,844.86, slightly up from CNY 1,424,357,593.73[30]. Operational Highlights - The company secured over CNY 7 billion in contracts for urban lifeline safety engineering projects in Anhui province during the reporting period, contributing to a total of over CNY 34 billion in executed contracts and bids[7][8]. - The emergency management and urban safety sectors showed strong growth, with a focus on expanding the urban lifeline business nationwide[7]. - The company completed the construction acceptance of multiple major contracts related to the Hefei Urban Lifeline Engineering Safety Operation Monitoring System, with several segments already undergoing final audit[21]. - The company has made significant progress in the Angola Public Safety Integrated Platform project, with the national and backup centers officially in operation[22]. - Over 30 functional modules of the Tax Information Security and Management System project are now operational, with most remote site equipment delivered[23]. - The company has completed partial equipment installation and software data engineering for various contracts related to the Anhui Province Urban Lifeline Safety Engineering project[24]. Costs and Expenses - The financial expenses increased significantly by 784.40% to CNY 7,582,500.14 due to higher bank interest expenses[11]. - Total operating costs for Q1 2022 were CNY 224,132,740.13, up from CNY 210,671,844.67, reflecting a year-over-year increase of 6.9%[30]. - The income tax expense rose to ¥2,109,385.95, a significant increase of 218.67% from ¥661,943.37, attributed to higher profits leading to increased tax provisions[12]. - Cash paid for various taxes increased by 90.18% to ¥50,953,484.25 from ¥26,792,126.14, driven by higher VAT and corporate income tax payments[14]. - Research and development expenses increased to CNY 25,970,266.04, up from CNY 20,389,679.26, indicating a focus on innovation[30]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 11,458, with no preferred shareholders[16]. - The top shareholder, China Telecom Group Investment Co., Ltd., holds 18.68% of the shares, followed by Xuanyuan Group with 12.05%[16]. Other Financial Metrics - The cash flow impact from exchange rate changes was negative, amounting to -¥54,809.72, reflecting adverse currency fluctuations[14]. - The company received government subsidies amounting to CNY 9,561,595.41, which are closely related to its normal business operations[4]. - The net cash flow from investment activities was -24,000,949.12 CNY in Q1 2022, compared to 141,261,463.36 CNY in Q1 2021, indicating a significant decline[35]. - The total cash inflow from investment activities was 90,184,360.72 CNY in Q1 2022, compared to 442,933,818.54 CNY in Q1 2021[35]. Audit Status - The company’s first quarter report was not audited[36].

Financial Performance - The company reported a decline in performance, with specific risks outlined in the management discussion section[4]. - The annual report covers the period from January 1, 2021, to December 31, 2021, detailing the company's financial performance and outlook[12]. - The company's operating revenue for 2021 was ¥1,539,329,118.70, a decrease of 6.71% compared to ¥1,649,980,378.21 in 2020[20]. - The net profit attributable to shareholders in 2021 was -¥159,181,899.45, representing a decline of 273.14% from a profit of ¥91,939,550.63 in 2020[20]. - The net cash flow from operating activities was -¥235,045,683.48 in 2021, a decrease of 403.37% compared to ¥77,477,271.34 in 2020[20]. - The total assets at the end of 2021 were ¥3,431,776,805.91, an increase of 13.27% from ¥3,029,842,315.34 at the end of 2020[20]. - The net assets attributable to shareholders decreased by 10.11% to ¥1,424,357,593.73 at the end of 2021 from ¥1,584,495,830.90 at the end of 2020[20]. - The basic earnings per share for 2021 was -¥0.68, a decrease of 270.00% from ¥0.40 in 2020[20]. - The company reported a quarterly revenue of ¥786,676,815.80 in Q4 2021, which was the highest among the four quarters[23]. - The net profit attributable to shareholders in Q4 2021 was ¥15,817,061.65, marking a positive turnaround after three consecutive quarters of losses[23]. Government Support and Industry Outlook - The company operates in the public safety emergency and urban safety industry, which is a key component of the national strategic emerging industries and the "14th Five-Year Plan" for new infrastructure construction[31]. - The public safety industry is experiencing rapid growth, with increasing market competition and a significant rise in the overall market size and engineering technology level since the establishment of the Ministry of Emergency Management[31]. - The government has emphasized the importance of urban infrastructure safety monitoring, leading to a significant development outlook for urban safety infrastructure[32]. - The company is aligned with national policies aimed at enhancing public safety systems, which are expected to drive the rapid development of the public safety industry[34]. - The "14th Five-Year Plan" outlines comprehensive measures for improving public safety capabilities, indicating strong governmental support for the industry[37]. Technology and Innovation - The company has successfully exported a complete set of public safety and emergency software solutions, showcasing its core technology capabilities and first-mover advantages in both domestic and international markets[32]. - The company maintains a leading market position in emergency management, urban safety, and overseas public safety sectors, with a strong focus on technology innovation and market demand[33]. - The company has established a comprehensive public safety core technology system, integrating new technologies such as big data, AI, and cloud computing into its product offerings[50]. - The company is actively developing a public safety SaaS service model, which will adopt standardized pricing based on market demand and service types[46]. - The company has developed a comprehensive natural disaster monitoring and early warning system, focusing on risk assessment and timely alerts to improve disaster response capabilities[42]. - The urban safety segment utilizes IoT technology to monitor critical infrastructure, aiming to prevent major accidents such as gas explosions and bridge collapses[43]. - The company is innovating in the firefighting sector by integrating IoT, AI, and big data technologies into its service offerings[67]. Market Expansion and International Business - The business has expanded to cover 32 provinces in China and over 300 cities, as well as international markets in Latin America, Africa, Southeast Asia, Central Asia, and along the Belt and Road Initiative[40]. - The overseas public safety division provides integrated emergency platforms and software solutions to developing countries, enhancing their public safety and social security systems[44]. - The company is actively expanding its market presence in Latin America, Africa, Southeast Asia, and Central Asia, with ongoing efforts to enhance coverage and development in these regions[49]. - The company signed new projects in multiple provinces, including Heilongjiang and Guizhou, enhancing its market presence in emergency management[63]. - The overseas public safety business signed new projects in Singapore, the Philippines, and Indonesia, despite challenges posed by the global pandemic[66]. Research and Development - The company maintained stable R&D investment in 2021, with over 280 authorized patents, including more than 70 invention patents, and over 750 software copyrights[52]. - The company achieved a 150% increase in R&D investment from ¥109,349,496.56 in 2020 to ¥147,787,672.69 in 2021[106]. - The company is focusing on enhancing its core competitiveness through technological innovation and R&D investment[164]. - The company is developing a health status management system for equipment, aimed at enhancing security monitoring in the power sector, particularly in Singapore[99]. - The company is focusing on integrating AI algorithms to optimize deep learning models for fire detection and other intelligent analysis services[105]. Corporate Governance and Management - The company has established a robust corporate governance structure, complying with relevant laws and regulations, which enhances operational transparency and accountability[154]. - The company held three shareholder meetings during the reporting period, ensuring compliance with legal procedures and protecting shareholder rights[155]. - The company has a dedicated intellectual property management team to protect its extensive IP portfolio, mitigating risks associated with IP disputes[150]. - The company emphasizes the importance of strategic management and internal collaboration to support its long-term development goals[145]. - The company has experienced a leadership transition with multiple appointments and resignations in 2021, including the appointment of Zhao Weihua as vice president[164]. Employee and Talent Management - The total number of employees at the end of the reporting period was 1,793, with 866 in the parent company and 927 in major subsidiaries[194]. - The technical personnel comprised the largest group, totaling 1,271 employees, representing approximately 71% of the total workforce[194]. - The company is implementing a training program for mid-to-senior management, focusing on unified goals and identity recognition[198]. - The company is enhancing its online learning platform, "Chen Reading Academy," to cover various training topics for all employees[199]. - The employee compensation system is designed to be fair, competitive, and dynamic, adjusting based on performance and economic factors[197]. Financial Management and Cash Flow - Operating cash inflow decreased by 11.62% to CNY 1,383,731,909.57, while cash outflow increased by 8.78% to CNY 1,618,777,593.05, resulting in a net cash flow from operating activities of -CNY 235,045,683.48, a decline of 403.37%[113]. - Investment cash inflow increased by 21.20% to CNY 558,855,632.76, with cash outflow decreasing by 44.00% to CNY 407,026,530.85, leading to a net cash flow from investing activities of CNY 151,829,101.91, an increase of 157.14%[114]. - Financing cash inflow rose by 70.89% to CNY 531,296,821.08, while cash outflow increased by 38.77% to CNY 343,652,948.32, resulting in a net cash flow from financing activities of CNY 187,643,872.76, a growth of 196.57%[114]. - The company reported a total of CNY 61,521,099.23 in restricted assets, primarily due to guarantees and loans[123]. - The company has committed to investing CNY 15,158.8 million in the smart fire integrated cloud service platform project, with CNY 3,564.99 million already invested and a cumulative investment of CNY 7,111.01 million, achieving 46.91% of the planned investment[133].

Financial Performance - The company's revenue for Q3 2021 was ¥242,345,187.46, representing a year-on-year increase of 6.32%[2] - The net profit attributable to shareholders was -¥77,387,602.02, a significant decline of 1,303.43% compared to the same period last year[2] - The basic earnings per share for the period was -¥0.33, reflecting a decrease of 1,200.00% year-on-year[2] - Total operating revenue for Q3 2021 was CNY 752,652,302.90, a decrease of 12.7% compared to CNY 862,326,766.47 in the same period last year[29] - Net profit for Q3 2021 was a loss of CNY 161,933,044.77, compared to a profit of CNY 19,448,474.65 in Q3 2020[30] - The company reported a total comprehensive loss of CNY 161,544,117.64 for Q3 2021, compared to a comprehensive income of CNY 19,189,431.59 in Q3 2020[31] Assets and Liabilities - The total assets at the end of the reporting period were ¥3,029,132,802.70, showing a slight decrease of 0.02% from the end of the previous year[2] - The company's total assets amounted to CNY 3,029,132,802.70, slightly down from CNY 3,029,842,315.34 at the end of the previous quarter[27] - Total liabilities increased to CNY 1,445,053,750.58, up from CNY 1,262,803,416.32 year-on-year[27] Cash Flow - The cash flow from operating activities was -¥383,833,367.94, a decline of 153.06% year-to-date[2] - The net cash flow from operating activities was -383,833,367.94 CNY, compared to -151,678,983.36 CNY in the previous year, indicating a significant decline[34] - Total cash inflow from investment activities was 554,389,383.71 CNY, while cash outflow was 370,139,664.57 CNY, resulting in a net cash flow of 184,249,719.14 CNY[34] - Cash inflow from financing activities amounted to 437,098,491.83 CNY, with cash outflow totaling 286,821,655.38 CNY, leading to a net cash flow of 150,276,836.45 CNY[35] Inventory and Receivables - The company's inventory increased by 42.31% to ¥569,472,688.01, primarily due to unfinished projects[9] - Accounts receivable stood at approximately CNY 1.25 billion, down from CNY 1.29 billion, indicating a decrease of about 3.9%[25] Research and Development - R&D expenses increased by 54.29% to ¥84,024,311.90 in the first nine months of 2021 compared to ¥54,459,969.24 in the same period of 2020[12] - Research and development expenses for Q3 2021 were CNY 84,024,311.90, a significant increase of 54.3% compared to CNY 54,459,969.24 in Q3 2020[30] Contracts and Projects - The company signed new contracts worth over 100% growth compared to the same period last year, indicating strong market demand[6] - The company has ongoing major contracts related to the "Anhui Urban Lifeline Project," with several segments completed and others in the acceptance preparation stage[19] - The "Angola Public Safety Integrated Platform Project" is progressing well, with the national and backup centers operational and hardware installation completed for provincial centers[20] - The company has successfully delivered multiple business systems for the "Customs Management Information System Project," which is now being promoted nationwide[21] - The "Smart Safety Foshan Phase I Project" has completed implementation and passed trial operation acceptance[22] - The "Smart Jiangxia" project has entered the operational phase after completing the construction stage acceptance[22] Shareholder Information - The top shareholder, China Telecom Group, holds 18.68% of the shares, totaling 43,459,615 shares[15] Tax and Financial Adjustments - Cash received from tax refunds decreased by 70.29% to ¥6,270,228.36, attributed to a reduction in VAT refunds[13] - The company received tax refunds totaling 21,106,000.32 CNY during the quarter[34] Other Financial Metrics - Financial expenses surged by 216.23% to ¥15,890,782.89, primarily due to increased bank interest expenses[12] - Investment income improved by 73.72%, with losses from associates decreasing to -¥2,085,385.37 from -¥7,935,508.69[12] - The company experienced a 273.00% increase in credit impairment losses, totaling -¥16,489,531.17, due to higher provisions for bad debts[12] - The company's cash and cash equivalents decreased to approximately CNY 439.56 million from CNY 469.25 million at the end of 2020, reflecting a decline of about 6.5%[25] - The ending balance of cash and cash equivalents was 398,996,547.76 CNY, down from 448,644,172.72 CNY at the beginning of the period[35] Audit Status - The third-quarter report was not audited[37]

Financial Performance - The company reported a revenue of RMB 300 million for the first half of 2021, representing a year-on-year increase of 15%[12]. - The net profit attributable to shareholders was RMB 50 million, up 20% compared to the same period last year[12]. - The company's operating revenue for the reporting period was ¥510,307,115.44, a decrease of 19.56% compared to the same period last year[18]. - The net profit attributable to shareholders was -¥97,611,359.08, representing a significant decline of 2,929.09% year-over-year[18]. - The net cash flow from operating activities was -¥343,243,969.10, a decrease of 303.94% compared to the previous year[18]. - The total assets at the end of the reporting period were ¥2,931,378,580.02, down 3.25% from the end of the previous year[18]. - The company's operating revenue for the first half of 2021 was CNY 510.31 million, a decrease of 19.5% compared to CNY 634.39 million in the same period of 2020[168]. - The company's net profit attributable to shareholders decreased to CNY 1.35 million, compared to CNY 100.23 million in the same period last year, reflecting a significant decline[165]. - The total comprehensive income for the first half of 2021 was a loss of CNY 86,864,344.02, compared to a profit of CNY 14,696,362.10 in the first half of 2020[170]. Research and Development - The company plans to invest RMB 100 million in R&D for new technologies and products in the upcoming year[12]. - Research and development investment increased by 31.78% to ¥58,484,255.44, reflecting the company's commitment to enhancing R&D capabilities[50]. - Research and development expenses increased to CNY 50.79 million, representing a 43% increase from CNY 35.52 million in the first half of 2020[168]. - The company is focusing on new technology research, including AI applications in public safety, and has developed new fire extinguishing agents and environmentally friendly transformer oils[38]. - The company is focusing on technological innovation and business innovation to enhance its core capabilities and operational efficiency[29]. Market Expansion and Strategy - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 10% market share by 2023[12]. - User data indicates a growth of 25% in active users, reaching 1.5 million by the end of June 2021[12]. - The company actively pursued market expansion in Southeast Asia, securing multiple new orders in Singapore, Indonesia, and the Philippines[31]. - The company is focusing on expanding its market presence in developing countries in Latin America, Africa, and Southeast Asia, while promoting the "Chinese model" and "Chinese solutions"[45]. - The company aims to enhance its market expansion and R&D efforts in the second half of 2021, ensuring the execution of signed projects and improving service quality for domestic and overseas clients[38]. Acquisitions and Investments - The company is exploring potential acquisitions to enhance its technology portfolio, with a budget of RMB 200 million allocated for this purpose[12]. - The company plans to expand its business in the public safety sector through mergers and acquisitions, aiming for scale development despite potential risks in new market exploration[84]. - The company completed the acquisition of Keda Lian'an in 2018, which has met its profit commitments, but future performance declines could lead to goodwill impairment risks[87]. Operational Efficiency - The company has established a product management center and solution center to optimize delivery systems, improving operational efficiency and supporting business goals[35]. - The company has achieved a 70% improvement in risk inspection efficiency through its monitoring systems, significantly contributing to urban safety management[32]. - The company is focusing on enhancing its cloud services, expecting a 30% increase in revenue from this segment by the end of 2021[12]. Risk Management - The management has identified risks related to regulatory changes and has implemented measures to mitigate these risks[3]. - The company acknowledges risks related to seasonal revenue fluctuations, with a significant portion of revenue concentrated in the fourth quarter[86]. - The company is focused on enhancing project management and operational efficiency to mitigate risks associated with industry policy adjustments[83]. Social Responsibility - The company donated 100 emergency service stations to enhance grassroots emergency capabilities in Changsha, Hunan Province, reflecting its commitment to social responsibility[101]. Shareholder Information - No cash dividends or stock bonuses will be distributed to shareholders for this period[4]. - The company plans to not distribute cash dividends, issue bonus shares, or convert capital reserves into share capital for the semi-annual period[96]. - There were no stock incentive plans, employee stock ownership plans, or other employee incentive measures implemented during the reporting period[97]. Financial Stability and Debt Management - The company reported a total debt of 1,000 million with a performance fulfillment rate of 8.67% for the contract dated April 2019[125]. - The company has shown a trend of fulfilling its debt obligations, with rates fluctuating but generally remaining above 4%[125]. - The company’s financial strategy appears focused on ensuring compliance with debt obligations through consistent performance tracking[125]. - The company is actively managing accounts receivable to mitigate potential bad debt risks as its business scales up[89]. Compliance and Governance - The company maintains a commitment to compliance with regulatory requirements in financial reporting and disclosures[198]. - The semi-annual financial report has not been audited[107]. - The company has not reported any major environmental or regulatory penalties during the reporting period[110].

Financial Performance - The company's operating revenue for Q1 2021 was ¥128,265,546.27, a decrease of 52.52% compared to ¥270,131,311.78 in the same period last year[7]. - The net profit attributable to shareholders was -¥78,036,712.83, representing a decline of 296.33% from -¥19,690,027.85 year-on-year[7]. - Basic and diluted earnings per share were both -¥0.34, a drop of 325.00% from -¥0.08 in the same period last year[7]. - The company reported a net profit attributable to shareholders of -¥78,036,712.83 for Q1 2021, a decline of 296.33% compared to the same period last year, reflecting increased investments in market and R&D[26]. - The net profit for the first quarter of 2021 was -56,599,892.93 CNY, compared to -44,906,066.40 CNY in the same period last year, representing an increase in net loss of approximately 26.0%[72]. - Operating profit for the first quarter was -57,280,139.80 CNY, which is a decline of about 26.6% from -45,269,510.89 CNY in the previous year[72]. - The company reported a significant increase in prepaid expenses, rising by 213.21% to CNY 68,830,836.55, mainly due to increased project payments[18]. - The company’s investment income decreased by 143.24% to CNY -1,278,017.88, primarily due to increased losses from associated companies[21]. - The company’s tax expenses dropped by 89.56% to CNY 661,943.37, reflecting a reduction in income tax across various subsidiaries[21]. Cash Flow and Assets - The net cash flow from operating activities was -¥252,281,268.94, a decrease of 32.74% compared to -¥190,061,914.52 in the previous year[7]. - Cash flow from operating activities showed a net outflow of -252,281,268.94 CNY, worsening from -190,061,914.52 CNY year-over-year[76]. - The total cash inflow from investment activities was 442,933,818.54 CNY, significantly higher than 428.00 CNY in the previous year, indicating a strong investment recovery[76]. - The total cash and cash equivalents at the end of the period decreased to 328,639,912.40 CNY from 411,492,549.48 CNY, reflecting a decline of approximately 20.1%[77]. - The company's total assets decreased to CNY 1,856,310,387.91 from CNY 1,967,255,194.77, a decline of 5.6%[64]. - The company's current assets decreased to CNY 2,382,577,552.55 from CNY 2,571,408,248.38, reflecting a reduction of about 7.4%[58]. - Cash and cash equivalents dropped to CNY 348,588,134.26 from CNY 469,248,550.25, indicating a decline of approximately 25.7%[58]. - The company's total liabilities decreased to CNY 794,454,989.97 from CNY 848,799,903.90, a reduction of 6.4%[64]. Shareholder Information - The top shareholder, China Telecom Group Investment Co., Ltd., holds 18.68% of the shares, totaling 43,459,615 shares[11]. - Net assets attributable to shareholders decreased by 4.90% to ¥1,506,790,773.48 from ¥1,584,495,830.90 at the end of the previous year[7]. - The company did not engage in any repurchase transactions among the top ten shareholders during the reporting period[12]. Research and Development - R&D expenses grew by 19.15% year-on-year, indicating a continued focus on developing core capabilities in high-end equipment manufacturing and safety products[25]. - The company completed the R&D of the "One Map" emergency management product, which provides GIS service support for emergency departments at provincial, municipal, and county levels[32]. - The company is developing a comprehensive decision-making system for fire rescue, which integrates various data sources to improve decision-making efficiency and market expansion[32]. Market Strategy and Expansion - The company is focusing on expanding its market presence and enhancing its product offerings, with ongoing investments in new technologies and projects[16]. - The company aims to enhance its comprehensive competitiveness and strengthen collaboration with China Telecom to drive high-quality growth in 2021[41]. - The company is actively developing AIOT products for urban safety, leveraging partnerships with China Telecom to enhance community safety solutions[39]. - The company has ongoing major contracts, including the "Integrated Public Safety Platform Project" in Angola, which is progressing normally and has seen the completion of key installations[28]. Risks and Challenges - The company faces risks related to industry policy adjustments, new business development, and overseas political and economic uncertainties, which could impact profitability[42][43]. - The company has identified risks related to accounts receivable due to the expansion of domestic and international business, which may lead to potential bad debt risks[48]. - The company experiences seasonal revenue fluctuations, with a significant portion of revenue concentrated in the second half of the year, particularly in Q4[44].

Dividend Distribution - The company plans to distribute a cash dividend of 0.78 RMB per 10 shares to all shareholders, based on a total of 232,637,638 shares[3]. - The total cash dividend distributed for 2020 is RMB 18,145,735.76, which represents 19.74% of the net profit[164]. - The cash dividend per 10 shares for 2020 is RMB 0.78, and no shares were issued as bonus shares[163]. - The company has maintained a consistent cash dividend distribution policy over the past three years, with 2018, 2019, and 2020 dividends being RMB 31,018,351.80, RMB 23,729,039.08, and RMB 18,145,735.76 respectively[164]. Financial Performance - The company's operating revenue for 2020 was ¥1,649,980,378.21, representing a 5.43% increase compared to ¥1,564,941,700.64 in 2019[15]. - The net profit attributable to shareholders for 2020 was ¥91,939,550.63, a decrease of 25.57% from ¥123,531,034.17 in 2019[15]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥73,848,714.24, down 35.29% from ¥114,120,313.96 in 2019[15]. - The total assets at the end of 2020 were ¥3,029,842,315.34, an increase of 13.79% from ¥2,662,705,648.21 at the end of 2019[15]. - The company's revenue for the reporting period reached ¥1,649,980,378.21, with a net profit attributable to the parent company of ¥91,939,550.63, reflecting a year-on-year revenue growth of 5.43%[64]. - The gross profit margin for the software and information technology services sector was 39.08%, with a year-on-year increase of 5.44%[88]. Risk Management - The company has outlined potential risks in its future development outlook, which investors should pay attention to[3]. - The company recognizes the risk of revenue instability due to changes in the political and economic landscape of overseas markets, which may affect project execution and acceptance[149]. - The company emphasizes the importance of managing accounts receivable as its business scales, with potential increases in both the absolute value and collection periods[153]. Research and Development - The company maintains a stable R&D investment, emphasizing independent innovation and technological quality barriers[47]. - The company is focusing on R&D in natural disaster monitoring and risk assessment, launching new systems to support business expansion in these areas[79]. - The company invested 200 million RMB in R&D for new technologies, focusing on AI and big data analytics[177]. - The company has achieved a significant increase in capitalized R&D expenditures, with 25.56% of total R&D investment being capitalized in 2020[104]. Market Expansion - The company has expanded its business coverage to 32 provinces in China and over 10 national ministries, as well as markets in nearly 300 cities and regions, including countries along the Belt and Road Initiative[26]. - The company is actively expanding its market presence in Latin America, Africa, Southeast Asia, Central Asia, and West Asia, with successful applications along the "Belt and Road" initiative[48]. - The company is exploring potential acquisitions to enhance its market position, targeting firms with complementary technologies[176]. Compliance and Governance - The company emphasizes the importance of adhering to the disclosure requirements set by the Shenzhen Stock Exchange for software and information technology service businesses[3]. - The company has committed to ensuring that the prospectus does not contain false records, misleading statements, or major omissions, and will bear individual and joint legal responsibility for its authenticity, accuracy, completeness, and timeliness[182]. - The company guarantees compliance with commitments to protect the legal rights of Changan Technology, with a willingness to compensate for any losses incurred due to violations[172]. Operational Efficiency - The company has established a collaborative innovation center with several prestigious institutions to enhance its research and development efforts[8]. - The company is actively integrating its main products and services to accelerate domestic business development and promote a comprehensive emergency command center model[25]. - The company has established regional marketing centers and operational institutions across major areas to enhance market coverage and service efficiency[61]. Strategic Partnerships - The company is exploring potential acquisitions to strengthen its technology portfolio, with a budget of 500 million RMB allocated for this purpose[173]. - A strategic partnership was formed with a leading tech firm to co-develop new solutions, expected to launch in Q3 2021[177]. Subsidiaries and Investments - The company added several subsidiaries during the reporting period, including GSAFETY DOMINICANA and GSAFETY CHILE SPA, contributing to its market expansion strategy[96]. - Major subsidiaries contributed significantly to the company's net profit, with Beijing Chanan Information Technology Co., Ltd. reporting a net profit of approximately ¥64 million, and Hefei Keda Lian'an Security Technology Co., Ltd. reporting a net profit of approximately ¥37.7 million[133]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 15% to 1.725 billion RMB[175]. - The company aims to enhance its core technology capabilities and project delivery capabilities by optimizing its product system and improving standardization in product delivery and application[144].