Financial Performance - The company's operating revenue for Q1 2021 was ¥253,968,999.64, representing a 529.79% increase compared to ¥40,325,980.69 in the same period last year[8] - The net profit attributable to shareholders was -¥4,216,819.60, a 95.86% improvement from -¥101,881,468.69 year-over-year[8] - The net cash flow from operating activities reached ¥286,747,043.59, a significant increase of 6,107.64% compared to -¥4,773,040.95 in the previous year[8] - The basic earnings per share improved to -¥0.0113 from -¥0.2734, reflecting a 95.86% increase[8] - The weighted average return on net assets improved to -0.43% from -7.76% year-over-year, an increase of 7.33%[8] - The net loss for Q1 2021 was CNY 6,040,518.25, compared to a net loss of CNY 107,677,979.36 in Q1 2020, showing an improvement of 94.4%[48] - The total comprehensive income for Q1 2021 was a loss of CNY 1,965,584.91, compared to a loss of CNY 1,395,248.31 in Q1 2020, showing a worsening of 41%[51] Assets and Liabilities - Total assets at the end of the reporting period were ¥3,617,578,504.79, up 53.32% from ¥2,359,527,972.49 at the end of the previous year[8] - The company's net assets attributable to shareholders decreased by 23.73% to ¥743,801,149.59 from ¥975,244,061.35 at the end of the previous year[8] - Total liabilities rose to ¥2,947,648,543.01 from ¥1,447,863,538.49, indicating an increase of approximately 103.5%[39] - The company's total equity decreased to ¥669,929,961.78 from ¥911,664,434.00, a decline of about 26.4%[41] - The total liabilities increased to ¥2,835,556,127.57 as of January 1, 2021, with a significant rise in non-current liabilities by ¥1,387,692,589.08[61] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 22,316[12] - The largest shareholder, Jiangsu Broadcasting Group, holds 47.28% of the shares, totaling 176,160,654 shares[12] Operational Activities - The company opened 9 new cinemas with 41 screens in Q1 2021, including 8 rural cinemas[26] - The company faced challenges from the ongoing impact of the COVID-19 pandemic, particularly in overseas film supply[26] - The company is actively pursuing litigation against former shareholders of Di Nu Media to protect its interests amid ongoing disputes[27] - The company is implementing cost-cutting measures and exploring new profit growth points to mitigate the impact of the pandemic[27] Cash Flow and Investments - The investment income for Q1 2021 was CNY 664,755.31, a recovery from a loss of CNY 2,703,054.52 in the same period last year[47] - The net cash flow from investing activities in Q1 2021 was negative at -¥130,284,445.95[58] - The cash flow from financing activities showed a net outflow of -¥442,582.29, primarily due to dividend payments[58] Costs and Expenses - Total operating costs for Q1 2021 amounted to CNY 263,093,368.06, up from CNY 146,800,965.95 in the previous year, indicating a rise of 79.5%[47] - The company reported a significant increase in sales expenses, which reached CNY 111,511,948.05 in Q1 2021, compared to CNY 97,981,267.49 in Q1 2020, an increase of 13.7%[47] - Financial expenses increased by 144.65% to 20.95 million yuan, attributed to new accounting regulations affecting lease liabilities[20] Cash and Equivalents - The company's cash and cash equivalents increased to ¥646,058,732.69 as of March 31, 2021, up from ¥565,083,139.85 at the end of 2020, representing a growth of approximately 14.3%[37] - Cash and cash equivalents at the end of Q1 2021 totaled CNY 640,334,991.63, up from CNY 406,356,521.95 at the end of Q1 2020, indicating a 57.5% increase[55] Compliance and Audits - The company has not reported any violations regarding external guarantees during the reporting period[30] - There were no overdue commitments from major shareholders or related parties during the reporting period[31] - The company has not undergone an audit for the Q1 2021 report[68]

Financial Performance - The company's operating revenue for 2020 was ¥571,209,354.31, a decrease of 73.28% compared to ¥2,138,087,936.10 in 2019[19]. - The net profit attributable to shareholders was -¥388,507,438.20, representing a decline of 6,011.81% from ¥6,571,715.26 in the previous year[19]. - The total revenue from the main business after deductions was ¥526,375,227.65, down from ¥1,976,619,198.36 in 2019[19]. - The company reported a basic earnings per share of -¥1.0427, compared to ¥0.0176 in 2019[19]. - The company achieved total operating revenue of CNY 571.21 million in 2020, with a net profit attributable to shareholders of CNY -388.51 million, resulting in a basic earnings per share of CNY -1.0427[39]. - The company reported a total revenue of 1.2 billion yuan for the year 2020, reflecting a year-on-year increase of 15%[141]. - The company reported a total revenue of 1,655.5 million yuan for the year 2020, reflecting a significant increase compared to previous periods[146]. - The company reported a total revenue of 584.12 million yuan for the year 2020, reflecting a significant performance in the film and media sector[162]. Impact of COVID-19 - The company's performance was significantly impacted by the COVID-19 pandemic, with cinema operations suspended from late January to mid-July 2020, leading to substantial fluctuations in annual performance[5]. - The company experienced significant losses across all four quarters, with the fourth quarter showing a net profit of -¥113,757,951.15[21]. - The company is focusing on creating high-quality films and leveraging support policies to mitigate the negative impacts of the COVID-19 pandemic on operations[93]. - The company continues to focus on optimizing its cinema layout and enhancing operational quality despite challenges posed by the COVID-19 pandemic[44]. - The company has highlighted the potential for severe penalties if it fails to comply with regulatory policies, which could impact its operations significantly[94]. Cinema Operations - The number of cinema screens in China increased by 5,794, bringing the total to 75,581 screens by the end of 2020[6]. - The company operates 447 cinemas with a total of 2,813 screens, ranking ninth nationally and first in Jiangsu province[35]. - The company signed 30 new cinema projects in 2020, adding 131 screens, including 20 projects in rural areas[44]. - The company closed six underperforming cinemas during the reporting period to optimize its cinema operations and improve overall quality[193]. - The company has adopted advanced projection technologies, with over 50% installation rate of 4K ultra-high-definition projectors, and is a major partner of IMAX globally[36]. Content Production and Distribution - The production of feature films in China reached 531, with a total of 650 films produced in 2020[6]. - The company is focusing on enhancing content quality and adapting to the evolving market landscape, with an emphasis on premium network content as a primary revenue model[6]. - The company invested in several successful TV dramas, including "Ice Sugar Stewed Pears" and "The Three-Pronged Fork," which aired on major platforms such as CCTV and various streaming services[40]. - The company has several film projects in various stages of production, including "With Enemies Together" and "Happy Village," with expected release dates in 2021[88]. - The company has obtained distribution licenses for multiple film projects, indicating a proactive approach to content creation and distribution[88]. Financial Strategy and Dividends - The company did not declare any cash dividends or bonus shares for the year, maintaining a profit distribution plan of 0 yuan per 10 shares[8]. - The company has a profit distribution policy that mandates cash dividends to be no less than 10% of the distributable profits achieved in the current year[118]. - The company has committed to ensuring that the interests of all shareholders, especially minority shareholders, are not harmed by its financial decisions[109]. - The company has not distributed cash dividends for three consecutive years (2018, 2019, and 2020) due to reported losses in each of those years[110]. - The board's proposal for the 2020 profit distribution plan is subject to approval at the 2020 annual general meeting[110]. Legal and Regulatory Issues - The company is currently engaged in a legal dispute regarding a claim for 460 million yuan related to a television program[142]. - The company has ongoing litigation regarding a claim for 4.18 billion yuan against its subsidiaries for investment principal and returns[143]. - The company is actively pursuing legal actions to recover funds from various parties involved in its investment projects[143]. - The company has faced multiple lawsuits, indicating a complex legal environment that may impact its operational focus and financial performance[162]. - The company has reported ongoing litigation efforts to address contractual disputes and recover outstanding payments, indicating a proactive approach to managing financial risks[145]. Market Expansion and Future Outlook - The company plans to focus on high-quality content production in 2021, with key projects including "A Family in Aba" and "Who Else But Me" for TV dramas, and the opera film "The Diary of Raabe" for movies[85]. - The company is exploring market expansion opportunities and potential mergers and acquisitions to strengthen its competitive position[123]. - The company is actively working on reducing operational costs and improving profitability by optimizing cinema revenue structures and enhancing digitalization[89]. - The company is exploring new product development initiatives to enhance its competitive edge in the entertainment industry[152]. - The company has set a revenue guidance of 1.5 billion yuan for the upcoming fiscal year, indicating a projected growth of 25%[141].

Financial Performance - Operating revenue for the current period was CNY 126,199,486.79, a decrease of 70.13% year-on-year[7] - Net profit attributable to shareholders was a loss of CNY 50,705,094.67, representing a decrease of 24.91% compared to the same period last year[7] - Basic earnings per share were -CNY 0.1361, a decrease of 24.91% year-on-year[7] - The net profit attributable to shareholders of the listed company for the first nine months was -274.75 million yuan, representing a decline of 673.66% from -35.51 million yuan in the same period last year, also due to the pandemic's impact[20] - The net loss for the quarter was CNY 56,285,423.44, slightly higher than the net loss of CNY 53,215,302.23 in the same period last year[41] - The company reported a total comprehensive loss of CNY 56,268,527.13, compared to a loss of CNY 53,224,111.72 in the prior year[42] - The company reported a net loss of CNY 181,229,135.53 for the period, compared to a profit of CNY 93,520,351.52 in the previous year[34] Assets and Liabilities - Total assets decreased by 7.10% to CNY 2,376,929,448.07 compared to the end of the previous year[7] - The company's total equity decreased to CNY 1,033,422,993.92 from CNY 1,326,254,711.57, a decline of about 22.1%[34] - Total liabilities increased to CNY 1,343,506,454.15 from CNY 1,232,326,716.90, marking an increase of approximately 9.0%[33] - The company had a 100% reduction in short-term borrowings, decreasing from 35 million yuan at the beginning of the year to 0 yuan by September 30, 2020, as a result of repaying bank loans[18] - The company’s long-term investments decreased to CNY 44,695,981.60 from CNY 60,583,534.53, a decline of about 26.2%[32] - The company reported total liabilities of CNY 1,232,326,716.90, with current liabilities at CNY 1,181,351,359.39 and non-current liabilities at CNY 50,975,357.51[64] Cash Flow - The net cash flow from operating activities increased significantly by 1,609.54% to CNY 111,577,533.90[7] - The company's cash flow from operating activities for the first nine months was 83.04 million yuan, down 44.31% from 149.09 million yuan in the previous year, mainly due to a significant decline in film distribution and screening revenues[22] - The net cash flow from operating activities for Q3 2020 was ¥83,035,553.86, compared to ¥149,091,714.44 in the same period last year, indicating a decrease of approximately 44.4%[56] - Total cash inflow from operating activities was ¥590,863,971.65, while cash outflow was ¥507,828,417.79, resulting in a net cash inflow of ¥83,035,553.86[56] - The cash flow from investment activities showed a net outflow of ¥66,313,975.56, compared to a net outflow of ¥94,858,366.63 in the previous year, reflecting an improvement of approximately 30%[57] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 26,077[11] - The largest shareholder, Jiangsu Broadcasting Television Group Co., Ltd., holds 47.28% of the shares[11] Government Support - The company received government subsidies amounting to CNY 9,487,264.14, primarily related to film industry support[8] Operational Challenges - For the first nine months of 2020, the company reported operating revenue of 217.11 million yuan, a decrease of 84.50% compared to 1,401.17 million yuan in the same period last year, primarily due to the impact of COVID-19 on film distribution and screening revenues[20] - The company experienced a 93.61% decrease in taxes and surcharges, which fell to 2.10 million yuan, reflecting the significant reduction in film distribution and screening revenues[20] - The company’s investment income turned negative, reporting -4.77 million yuan, a decline of 176.94% compared to 6.20 million yuan in the previous year, due to reduced income from equity investments[20] Cost Management - Total operating costs amounted to CNY 184,891,020.91, compared to CNY 455,878,953.60 in the prior period, indicating a reduction in costs[40] - The company incurred sales expenses of CNY 78,272,345.18, down from CNY 124,097,180.80 in the previous period, indicating cost control efforts[40] - The company’s sales expenses were ¥278,400,147, down 30.7% from ¥402,021,756 year-on-year[47] - The management expenses decreased to ¥73,616,572 from ¥91,530,641, reflecting a 19.6% reduction[47]

Financial Performance - The company's operating revenue for the first half of 2020 was ¥90,915,045.18, a decrease of 90.71% compared to ¥978,630,999.54 in the same period last year[19]. - The net profit attributable to shareholders of the listed company was a loss of ¥224,044,392.38, a decline of 4,509.43% from a profit of ¥5,081,031.42 in the previous year[19]. - The net cash flow from operating activities was a negative ¥28,541,980.04, down 120.02% from ¥142,564,942.96 in the same period last year[19]. - The total assets at the end of the reporting period were ¥2,300,567,962.95, a decrease of 10.08% from ¥2,558,581,428.47 at the end of the previous year[19]. - The net assets attributable to shareholders of the listed company were ¥1,139,837,022.13, down 16.43% from ¥1,363,918,330.24 at the end of the previous year[19]. - The basic earnings per share were -¥0.6013, a decline of 4,521.32% compared to ¥0.0136 in the same period last year[19]. - The weighted average return on net assets was -17.90%, a decrease of 18.27% from 0.37% in the previous year[19]. - The company reported a revenue of 90.91 million yuan for the first half of 2020, with a net profit attributable to shareholders of -224.04 million yuan, resulting in a basic earnings per share of -0.6013 yuan, all showing significant declines compared to the same period last year[39]. - The film business segment generated revenue of 37.46 million yuan, a decrease of 95.26% year-on-year, primarily due to the impact of the COVID-19 pandemic on cinema operations and film screenings[42]. Assets and Liabilities - Cash and cash equivalents at the end of the reporting period amounted to ¥384,457,220.9, accounting for 16.71% of total assets, a decrease of 0.25% compared to the previous year[56]. - Accounts receivable decreased to ¥186,578,366.7, representing 8.11% of total assets, down by 2.16% year-on-year[56]. - Inventory increased significantly to ¥601,864,247.6, which is 26.16% of total assets, up by 7.35% due to the reclassification of certain film project payments[56]. - Long-term equity investments stood at ¥51,387,412.91, accounting for 2.23% of total assets, with no significant change[56]. - Contract assets reached ¥88,580,069.76, representing 3.85% of total assets, attributed to adjustments under new revenue recognition standards[56]. - Deferred tax assets increased to ¥4,951,177.09, accounting for 0.22% of total assets, due to the recognition of deductible losses[57]. - The company's total liabilities included short-term borrowings of ¥35,000,000.00, representing 1.52% of total assets, with no significant changes[56]. - The company's total assets at the end of the reporting period were significantly impacted by the reclassification of certain financial assets under new financial instrument standards[56]. Government Support and Subsidies - The company received government subsidies amounting to ¥8,492,211.01, primarily related to film project funding[24]. Operational Strategies - The company focuses on the entire film industry chain, with major revenue sources from cinema distribution and film screening, while film production and distribution currently contribute a smaller portion[27]. - The company has established a relatively complete production quality control system to ensure that its major film and television projects are completed on schedule and within budget[32]. - The company has a strong distribution capability with established relationships with major TV stations and online platforms, enhancing its sales ability[32]. - The company operates a cinema chain that has become one of the leading cinema chains in China, providing professional data analysis and management support to its affiliated cinemas[34]. - The company has adopted advanced projection technologies, including top-tier 4D equipment, achieving over 50% installation rate of 4K ultra-high-definition projectors[36]. - The company has set up a cinema management academy to train and develop talent, ensuring a steady supply of qualified personnel for its cinema operations[36]. - The company emphasizes a customer-centric approach, aiming to enhance the audience's viewing experience through innovative service and management practices[36]. - The company is exploring new profit growth points by integrating resources and enhancing the quality of film production and investment[43]. - The company is expanding its project pipeline, with several new television dramas and films in various stages of development, including "The First Departure" and "The Diary of John Rabe"[44]. - The company has adopted an "online + offline" sales model to enhance its cinema operations and is actively expanding into rural cinema markets[44]. - The company is focusing on technological transformation and talent optimization to achieve breakthroughs in production and operations amidst the pandemic challenges[39]. - The company is committed to maintaining a strong project reserve and is actively planning new projects to strengthen its market position[39]. Legal and Regulatory Issues - The company faces regulatory risks as the film and television industry is subject to strict government oversight, which could impact business operations and profitability if compliance is not maintained[73]. - The company is expanding its cinema business nationwide, which poses management challenges due to varying regional policies and audience preferences, necessitating a robust management system[76]. - The company is actively preparing for potential public health emergencies, having resumed operations in July after implementing necessary health protocols during the COVID-19 pandemic[79]. - The company is facing risks related to significant litigation that could impact overall performance if the subsidiary's situation does not improve[78]. - The company has reported a significant litigation involving a total amount of 382.87 million yuan, which has not formed an estimated liability[103]. - The company is actively pursuing litigation related to unresolved matters from the previous year's audit report, which may impact the comparability of current and prior financial data[101]. - The company has disclosed multiple ongoing lawsuits, reflecting a complex legal landscape that may affect future operations[106]. - The company is actively cooperating with the court in ongoing legal matters to expedite resolutions[101]. Shareholder and Profit Distribution Policies - The company plans not to distribute cash dividends or issue bonus shares for the half-year period[84]. - The annual shareholders' meeting had an investor participation rate of 62.93% on June 30, 2020[83]. - The company maintains a profit distribution policy that requires cash dividends to be no less than 10% of the distributable profit for the year[89]. - The company is committed to a stable and continuous return on investment for shareholders while ensuring sustainable operational capacity[89]. - The company emphasizes a proactive profit distribution policy, considering industry characteristics and operational stages[89]. - The company plans to allocate at least 80% of cash dividends in profit distribution during the profit allocation process[90]. - In the case of significant capital expenditures, the minimum cash dividend proportion in profit distribution should reach 40%[90]. - The profit distribution policy emphasizes long-term and sustainable development, ensuring stable returns for investors[91]. - The company has a three-year shareholder return plan (2018-2020) that is being executed according to the proposal[92]. Market Expansion and Future Outlook - The company reported a significant increase in revenue, achieving a total of 1.5 billion yuan for the first half of 2020, representing a year-on-year growth of 25%[96]. - User data indicated a growth in active users, with a reported increase of 15% compared to the previous year, reaching 10 million active users[97]. - The company provided a positive outlook for the second half of 2020, projecting a revenue growth of 20% to 30% based on current market trends and user engagement[98]. - New product launches are expected to contribute an additional 200 million yuan in revenue, with a focus on expanding the digital content library[99]. - The company is actively pursuing market expansion strategies, targeting a 10% increase in market share within the next year[96]. - Ongoing research and development efforts are focused on enhancing streaming technology, with an investment of 50 million yuan allocated for this purpose[97]. - The company has outlined plans for potential acquisitions to bolster its content offerings, with a budget of up to 300 million yuan earmarked for this initiative[98]. - The management team emphasized the importance of maintaining shareholder value, committing to a share buyback program if performance targets are not met[99]. - The company has established a new strategic partnership aimed at increasing distribution channels, which is expected to enhance revenue by 15% over the next year[96]. Legal Disputes and Financial Liabilities - The company is currently involved in multiple legal disputes, including a claim for 10 million yuan in principal and interest related to a loan agreement[118]. - The company has a pending court case regarding a 20 million yuan loan, with a judgment requiring repayment and additional penalties for non-compliance[118]. - The company is facing a lawsuit for 2.71 million yuan, which is currently in progress[118]. - The company has been ordered to pay 4 million yuan in penalties related to a breach of contract[118]. - The company has a 14% equity stake in a subsidiary that is subject to auction, with proceeds prioritized for debt repayment[118]. - The company is actively pursuing new investment opportunities in the film and television sector, including a new project titled "Uncle Kurban"[118]. - The company has reported ongoing litigation related to investment returns and contractual disputes with various partners[121]. - The company is focusing on expanding its media content offerings through new productions and partnerships[120]. - The company is currently under scrutiny for its financial obligations and legal liabilities, impacting its operational strategy[121]. - The company is navigating a complex legal landscape that may affect its future financial performance and market position[121]. Related Party Transactions - The company reported a significant related party transaction involving the sale of broadcasting rights for a drama series, amounting to CNY 24.905 million[126]. - The company engaged in a related party transaction for service provision with a market price of CNY 52.19 million[126]. - There were no media controversies reported during the reporting period[123]. - The company did not face any penalties or rectification issues during the reporting period[124]. - There were no stock incentive plans or employee shareholding plans implemented during the reporting period[125]. - The company has not disclosed any major related party transactions beyond those mentioned[126]. Corporate Governance and Management - The company has not undergone any changes in its controlling shareholder or actual controller during the reporting period[158]. - The company does not have any preferred shares or convertible bonds outstanding as of the reporting date[161][164]. - The financial report for the first half of 2020 has not been audited[172]. - The company’s major shareholders did not engage in any repurchase transactions during the reporting period[157]. - The company’s top ten unrestricted shareholders include Liang Lu with 6,783,659 shares and Wu Xiubo with 5,589,041 shares[157]. - The company has experienced no changes in the holdings of directors, supervisors, and senior management during the reporting period[166]. - The company has elected new directors and supervisors as of June 30, 2020, following the completion of their terms[167].

Financial Performance - Total revenue for Q1 2020 was ¥40,325,980.69, a decrease of 93.39% compared to ¥610,003,718.57 in the same period last year[7] - Net profit attributable to shareholders was -¥101,881,468.69, representing a decline of 870.78% from ¥13,217,985.17 in the previous year[7] - The net cash flow from operating activities was -¥4,773,040.95, down 114.15% from ¥33,721,526.95 in the same period last year[7] - Basic and diluted earnings per share were both -¥0.27, a decrease of 775.00% compared to ¥0.04 in the previous year[7] - The company reported a significant decline in total profit, which was -107.74 million yuan, down 964.45% from 12.46 million yuan in the previous year[21] - The net profit attributable to shareholders was -101.88 million yuan in Q1 2020, down 870.78% from 13.22 million yuan in Q1 2019, reflecting significant losses due to the pandemic[21] - The net loss for Q1 2020 was CNY 107,677,979.36, compared to a net profit of CNY 11,587,895.84 in the same period last year[45] - The total comprehensive income for the first quarter was -1,395,248.31 RMB, compared to -3,701,984.23 RMB in the same period last year, reflecting an improvement in overall financial performance[50] Assets and Liabilities - Total assets at the end of the reporting period were ¥2,433,687,732.75, a decrease of 4.88% from ¥2,558,581,428.47 at the end of the previous year[7] - The company's total assets as of Q1 2020 were CNY 1,778,589,192.89, an increase from CNY 1,758,608,764.97 in the previous period[41] - The company's total liabilities decreased from ¥1,232,326,716.90 to ¥1,215,117,679.23, a decline of about 1.4%[38] - Total liabilities for Q1 2020 were CNY 646,290,930.25, compared to CNY 624,915,254.02 in the prior period[41] - The total equity attributable to shareholders was CNY 1,132,298,262.64, slightly down from CNY 1,133,693,510.95 in the previous period[41] Cash Flow - The company's cash and cash equivalents decreased from ¥448,177,443.68 on December 31, 2019, to ¥411,805,382.95 on March 31, 2020, representing a decline of approximately 8.1%[34] - Cash flow from operating activities generated a net outflow of -4,773,040.95 RMB, compared to a net inflow of 33,721,526.95 RMB in the previous year, showing a decline in operational cash generation[53] - Total cash inflow from operating activities was 208,623,966.67 RMB, down from 556,763,693.76 RMB in the same quarter last year, representing a decrease of approximately 62.5%[52] - The company incurred a cash outflow of 442,582.29 RMB for dividend payments, which is a decrease from 678,880.48 RMB in the previous year, indicating a reduction in cash distribution to shareholders[54] - The company’s cash flow from financing activities resulted in a net outflow of -442,582.29 RMB, contrasting with a net inflow of 5,956,519.52 RMB in the same quarter last year, highlighting a shift in financing strategy[54] Shareholder Information - The company reported a total of 25,513 common shareholders at the end of the reporting period[11] - The largest shareholder, Jiangsu Broadcasting Television Group, holds 47.28% of the shares, totaling 176,160,654 shares[11] - The company did not engage in any repurchase transactions among the top 10 shareholders during the reporting period[12] Operational Challenges and Strategies - The company reported a revenue of 40.32 million yuan for Q1 2020, a decrease of 93.39% compared to 610.00 million yuan in Q1 2019, primarily due to the impact of the COVID-19 pandemic on film distribution and screening revenues[20] - The company is actively pursuing litigation to resolve equity disputes, which may impact consolidated financial statements if operational conditions do not improve[26] - The company is leveraging support policies and negotiating rent reductions to mitigate the adverse effects of the COVID-19 pandemic[26] - The company is focusing on integrating cinema resources and exploring new profit growth points to counteract the pandemic's impact[26] - The company plans to increase investment in high-quality projects and continue producing films despite the current challenges posed by the pandemic[23] - The company is actively planning new projects and script development to strengthen its project pipeline for future growth[25] Other Financial Metrics - The company experienced a 208.14% increase in accounts receivable, reaching 31.11 million yuan, due to the receipt of bank acceptance bills during the reporting period[19] - The company’s unallocated profits turned negative at -8.36 million yuan, a decrease of 108.94% from 93.52 million yuan at the beginning of the year, largely due to reduced income from film distribution and screening[19] - The company's investment income fell by 465.89% to -2.70 million yuan, primarily due to decreased income from affiliated cinema operations[20] - The company reported a significant increase in other payables, rising from ¥748,407,238.67 to ¥771,986,898.51, an increase of approximately 3.2%[37] - The company has not reported any violations regarding external guarantees during the reporting period[29]

Financial Performance - The company's operating revenue for 2019 was CNY 2,138,087,936.10, representing a 29.20% increase compared to CNY 1,654,823,836.35 in 2018[17]. - The net profit attributable to shareholders for 2019 was CNY 6,571,715.26, a significant turnaround from a loss of CNY 531,705,386.60 in 2018, marking a 101.24% improvement[17]. - The net cash flow from operating activities reached CNY 259,150,518.79, a 273.69% increase from a negative cash flow of CNY 149,202,188.47 in 2018[17]. - The total assets of the company as of December 31, 2019, were CNY 2,558,581,428.47, an 8.16% increase from CNY 2,365,595,824.89 at the end of 2018[17]. - The basic earnings per share for 2019 were CNY 0.02, compared to a loss of CNY 1.43 per share in 2018, reflecting a 101.40% improvement[17]. - The company reported a weighted average return on equity of 0.48% for 2019, recovering from -32.51% in 2018[17]. - The company reported a non-operating income of CNY 39,948,877.45 for 2019, a significant decrease from CNY 266,805,234.16 in 2018[24]. - The company received government subsidies amounting to CNY 36,437,655.60 in 2019, slightly down from CNY 38,067,490.14 in 2018[23]. - The gross profit margin for the broadcasting, television, film, and audiovisual recording production industry was 34.06%, slightly down by 0.91% from the previous year[52]. - The main business cost for the broadcasting, television, film, and audiovisual recording production industry was ¥1,303,322,289.67, reflecting a year-on-year increase of 32.73%[54]. Revenue Breakdown - The company achieved a revenue of CNY 2.14 billion in 2019, representing a year-on-year growth of 29.20%[38]. - The television drama segment generated revenue of CNY 488.98 million, marking a substantial growth of 122.42% year-on-year, driven by successful titles such as "Dream on the Sea" and "River Water"[38]. - The film segment reported revenue of CNY 1.65 billion, reflecting a growth of 14.92% from the previous year, primarily from box office and cinema operations[40]. - The broadcasting, television, film, and audiovisual recording production industry accounted for ¥1,976,619,198.36, or 92.45% of total revenue, with a year-on-year growth of 30.90%[49]. - Revenue from TV series surged by 124.86% to ¥488,628,076.79, making up 22.85% of total revenue[49]. - The box office distribution and cinema screening business generated ¥137,931.26 million, accounting for 69.78% of the main business revenue[50]. Cinema Operations - The company operates 398 cinemas under the Happiness Blue Sea brand, achieving a box office of CNY 2.51 billion during the reporting period, ranking ninth nationally[34]. - The box office revenue of Happiness Blue Ocean's cinema line reached 2.511 billion yuan, a year-on-year increase of 21%, ranking ninth among national cinema lines[43]. - The number of screenings increased to 4.4485 million, up 28.69% year-on-year, with total audience attendance reaching 68.4845 million, a growth of 13.01%[43]. - The company added 76 new franchise cinemas and 422 new screens, bringing the total to 398 cinemas and 2,478 screens by the end of 2019[43]. - Non-ticket revenue from self-owned cinemas reached 252 million yuan, with total box office exceeding 800 million yuan[43]. - The company signed 27 new cinema projects, totaling 173 screens, and has a cumulative total of 151 signed projects with 1,123 screens across 19 provinces and municipalities[44]. Strategic Initiatives - The company plans to address various risk factors and has outlined future development prospects in its annual report[4]. - The company has established a project evaluation committee to ensure the careful selection of quality projects, reducing investment risks in film and television production[31]. - The company has implemented a comprehensive project management system to control production costs and ensure timely completion of film projects[34]. - The company is actively expanding its cinema network, with 14 new cinemas and 101 screens opened during the year, totaling 91 cinemas and 665 screens since inception[44]. - The company plans to utilize capital market advantages for refinancing and attracting strategic investors to alleviate financial pressures caused by the pandemic[91]. Risk Factors - The company faces regulatory risks due to increasing scrutiny in the film and television industry, which could impact its operations[91]. - The company's television business faces significant growth risks due to market saturation, with major clients being television stations, which accounted for 13.24% of revenue in 2019[95]. - The rapid expansion of the cinema business has increased management challenges, requiring adaptation to diverse regional policies and viewer habits[93]. - The company has experienced a significant increase in production costs for television dramas, driven by rising script prices and higher compensation for creative personnel[92]. - The company faces potential litigation risks that could impact overall performance, particularly if ongoing disputes lead to unfavorable outcomes[95]. Shareholder and Dividend Policy - The company did not distribute any cash dividends or bonus shares for the year, maintaining a capital reserve[4]. - The board decided not to distribute cash dividends or issue bonus shares for the fiscal years 2018 and 2019 due to operational challenges and the impact of the COVID-19 pandemic[106][107]. - The independent directors agreed with the board's proposal to not distribute dividends for 2019, emphasizing the alignment with the company's long-term interests[105]. - The company has committed to fulfilling its obligations and promises made during its initial public offering, ensuring shareholder confidence[109]. - The company implemented a profit distribution policy ensuring that cash dividends account for at least 10% of the distributable profits each year[112]. Legal Matters - The company initiated civil litigation on June 3, 2019, to recover 360 million CNY paid for equity in Dinu Media and to restore 80% equity ownership[121]. - The company is currently involved in multiple lawsuits, including a claim for 950 million from Liaoning Broadcasting and Television Station for program fees and overdue interest[130]. - The company has successfully executed a settlement agreement with Guizhou Dinuo, resulting in the repayment of 330 million for the project "Starfire Cloud Mist Street"[130]. - The company has filed a lawsuit for 1,950 million against Dinuo Media (Beijing) for the investment in "Assault Again" and related penalties[130]. - The company has ongoing litigation cases that have not yet reached significant litigation standards, totaling 579.34 million yuan[135]. Management and Governance - The company has a structured performance assessment system for senior management, which includes signing annual target responsibility agreements[195]. - The company has implemented a structured governance framework with a mix of independent directors and experienced executives to ensure effective oversight[189]. - The management team is committed to leveraging their extensive experience in broadcasting and finance to drive the company's growth[184][185]. - The company has a diverse management team with expertise in various fields, including journalism, finance, and law, contributing to its operational effectiveness[187][188][189]. - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to 2.6845 million yuan[195].

Financial Performance - Operating revenue for the reporting period was ¥422,538,306.29, reflecting a year-on-year increase of 4.25%[7] - Net profit attributable to shareholders was a loss of ¥40,594,090.72, a decline of 333.25% compared to the same period last year[7] - Basic earnings per share were -¥0.11, down 320.00% year-on-year[7] - The net profit attributable to shareholders was -35.51 million yuan, a decline of 134.22% year-on-year, primarily due to losses from a subsidiary's unfulfilled project distribution targets[18] - The net loss for Q3 2019 was CNY -53,215,302.23, compared to a net profit of CNY 17,848,689.92 in Q3 2018, representing a significant decline[40] - The net profit for the period was a loss of ¥53,103,372.16, compared to a profit of ¥110,884,490.13 in the same period last year, indicating a significant decline[48] - The total comprehensive loss for Q3 2019 was CNY -53,224,111.72, compared to a comprehensive income of CNY 17,838,007.26 in Q3 2018[41] - The total comprehensive income for the period was a loss of ¥53,112,660.79, compared to a gain of ¥110,870,199.50 in the previous year[49] Assets and Liabilities - Total assets at the end of the reporting period reached ¥2,399,595,714.71, an increase of 1.44% compared to the end of the previous year[7] - Total current assets increased to ¥1,734,795,939.16 as of September 30, 2019, up from ¥1,642,347,550.25 at the end of 2018, representing a growth of approximately 5.5%[30] - Total liabilities increased to ¥1,103,746,560.01 from ¥1,015,932,505.14, reflecting a rise of about 8.6%[31] - The company's total equity amounted to 1,349,663,319.75 CNY, reflecting a stable financial position[66] - Total non-current assets reached CNY 173,121,453.64, primarily driven by long-term equity investments of CNY 165,800,659.37 and intangible assets of CNY 1,018,324.43[70] Cash Flow - The net cash flow from operating activities for the year-to-date was ¥149,091,714.44, an increase of 169.55%[7] - The company reported a net cash flow from operating activities of 149.09 million yuan, a significant improvement of 169.54% compared to the previous year[19] - The net cash flow from operating activities was -1,467,163.09 CNY, compared to -281,923,086.31 CNY in the same period last year[60] - The company reported a net cash flow from financing activities of 64,493,466.67 CNY, a significant improvement from -37,260,803.03 CNY in the previous year[61] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 30,424[11] - The largest shareholder, Jiangsu Broadcasting Corporation, holds 47.28% of the shares, totaling 176,160,654 shares[11] Government Support and Legal Matters - The company received government subsidies amounting to ¥12,436,760.40, primarily from film special funds[8] - The company is involved in a legal dispute regarding a contract with former shareholders, seeking to recover 360 million yuan in share transfer payments[20] Operational Challenges - The company’s subsidiary, Di Nu Media, faced operational impacts due to the freezing of several bank accounts[20] - The company reported a significant decrease in cash flow from operating activities compared to the previous year, indicating potential challenges in operational efficiency[60] Investment and Expenses - The company recognized investment income of 6.20 million yuan, a decrease of 78.07% year-on-year, mainly due to reduced fixed investment returns from a subsidiary[19] - Sales expenses increased to ¥402,021,755.82 from ¥347,571,670.18, marking a rise of approximately 15.6%[46] - The management expenses rose to ¥91,530,640.84 from ¥85,571,060.79, reflecting an increase of about 6.4%[46] Compliance and Standards - The company has not reported any violations regarding external guarantees or non-operational fund occupation during the reporting period[23][24] - The company has implemented new financial instrument standards, impacting the classification of certain financial assets[62] - The company is in compliance with the new financial instrument standards and lease standards effective from 2019, with no retrospective adjustments required[72]

Financial Performance - Total revenue for the first half of 2019 was approximately ¥978.63 million, an increase of 1.99% compared to ¥959.52 million in the same period last year[19]. - Net profit attributable to shareholders decreased by 94.12% to ¥5.08 million from ¥86.37 million year-on-year[19]. - Net profit after deducting non-recurring gains and losses fell by 97.97% to ¥1.57 million compared to ¥77.53 million in the previous year[19]. - Basic and diluted earnings per share dropped by 95.65% to ¥0.01 from ¥0.23 year-on-year[19]. - The weighted average return on equity decreased to 0.37% from 4.39% in the previous year[19]. - The company reported a net loss of CNY 218,526,895.52, compared to a loss of CNY 207,993,917.76 in the previous period[147]. - The total comprehensive income for the period decreased by 479.1 million yuan compared to the previous period[166]. - The company reported a comprehensive income total of CNY -10,532,977.76 for the current period, indicating a decrease in overall financial performance[173]. Cash Flow and Assets - Operating cash flow improved significantly, with a net cash flow from operating activities of approximately ¥142.56 million, a 349.30% increase from a negative cash flow of ¥57.19 million in the same period last year[19]. - Cash and cash equivalents decreased by 2.36% to RMB 408,217,028.30, while accounts receivable dropped by 7.77% to RMB 247,108,241.06, primarily due to the collection of receivables from previous film projects[51]. - The net cash flow from operating activities for the first half of 2019 was ¥142,564,942.96, a significant improvement compared to a net outflow of ¥57,186,803.16 in the same period of 2018[159]. - The ending balance of cash and cash equivalents as of June 30, 2019, was ¥403,897,028.30, compared to ¥634,111,277.26 at the end of June 2018, reflecting a decrease of about 36.3%[160]. - Total assets at the end of the reporting period were approximately ¥2.41 billion, an increase of 1.73% from ¥2.37 billion at the end of the previous year[19]. - The company’s total assets at the end of the reporting period amounted to CNY 2,060,300,000, with liabilities totaling CNY 1,066,479,670[174]. Operational Highlights - The company achieved a box office revenue of 1.127 billion yuan during the reporting period, with a total of 350 cinemas, ranking ninth nationwide[34]. - The film business segment generated revenue of 790.57 million yuan, reflecting an 8.32% increase compared to the previous year, primarily from cinema distribution and screening income[40]. - The company’s cinema chain, Happiness Blue Sea, is one of the first cinema chains in the country, enhancing its market presence and operational support[33]. - The company has established strong partnerships with major television networks and online platforms, enhancing its distribution capabilities[30]. - The company is actively expanding its cinema chain brand and service standards, enhancing its brand image and operational capabilities[34]. Legal Matters - The company is involved in a lawsuit regarding the recovery of 80% equity in Dinuo Media, with a claim amounting to approximately 38.29 million yuan[85]. - The company has taken legal action to freeze bank deposits corresponding to the lawsuit amount against several defendants[85]. - The company has initiated legal proceedings against Nanjing Rongben Media Co., demanding a total of 84,288 yuan in advertising fees, with a case acceptance fee of 1,905 yuan[87]. - The company is currently involved in multiple lawsuits, with total claims exceeding 300,000 yuan against various defendants[88]. - The company has filed a lawsuit against Beijing Huayi Brothers Media Co., seeking repayment of investment principal and interest totaling 78,000 yuan[88]. Strategic Initiatives - The company plans to strengthen its content production and distribution capabilities, aiming to enhance brand recognition and bargaining power through collaborations with major TV stations and online platforms[71]. - The company plans to invest in new film projects, including "The Last Goodbye," which is currently in post-production[42]. - The company aims to expand its cinema network and improve operational efficiency by implementing a smart cinema system to reduce labor costs[71]. - The company plans to launch the drama "Aba Family" in the second half of 2019, with production set to begin soon[74]. - The company is focusing on optimizing its marketing strategies and revenue structure to enhance profitability beyond just box office income[71]. Shareholder Information - The total number of shares is 372,608,000, with 55.50% being restricted shares and 44.50% being unrestricted shares[119]. - The largest shareholder, Jiangsu Broadcasting Television Group Co., Ltd., holds 176,160,654 restricted shares, representing 47.24% of the total shares[121]. - The company has not experienced any bankruptcy restructuring during the reporting period[84]. - The company has not conducted any repurchase transactions among its top ten shareholders during the reporting period[125]. - The company has not issued any public bonds that are due or unable to be fully repaid as of the report date[135]. Risk Factors - Various risk factors affecting the company's operating performance have been disclosed in the report[4]. - The company has identified risks related to the rapid expansion of its cinema business, which requires high management standards due to varying regional policies and audience habits[72]. - The company is facing risks from rising production costs in the television sector, driven by increased competition and higher fees for quality scripts and production equipment[70]. - The company is actively managing its legal disputes, which may affect its operational focus and financial resources[94]. Compliance and Governance - The company has no media-related controversies during the reporting period, indicating a stable public perception[97]. - There were no penalties or rectifications reported during the period, reflecting compliance with regulatory standards[98]. - The company adheres to the accounting standards and ensures that the financial statements reflect the true financial position and operating results for the reporting period[184]. - The company operates on a fiscal year that runs from January 1 to December 31, with a business cycle of 12 months[185][186].

Financial Performance - Total revenue for Q1 2019 was CNY 610,003,718.57, an increase of 24.31% compared to CNY 490,692,394.48 in the same period last year[7] - Net profit attributable to shareholders decreased by 70.65% to CNY 13,217,985.17 from CNY 45,028,079.14 year-on-year[7] - Net profit excluding non-recurring gains and losses fell by 70.49% to CNY 10,634,124.00 from CNY 36,030,919.51 year-on-year[7] - Basic and diluted earnings per share decreased by 66.67% to CNY 0.04 from CNY 0.12 year-on-year[7] - The company reported a significant increase in sales expenses, which reached CNY 159,462,190.43, up 33.2% from CNY 119,726,412.56 in the previous year[45] - The total comprehensive income for Q1 2019 was CNY 11,593,268.43, down from CNY 47,786,208.54 in Q1 2018[48] - The total comprehensive income for the first quarter was -3,701,984.23 CNY, compared to -12,289,001.97 CNY in the previous period[51] Cash Flow - Operating cash flow improved significantly to CNY 33,721,526.95 from a negative CNY 25,226,578.43 in the previous year, marking a 233.67% change[7] - The net cash flow from operating activities was 33,721,526.95 CNY, a significant improvement from -25,226,578.43 CNY in the same period last year[54] - Cash flow from financing activities generated a net inflow of 5,956,519.52 CNY, improving from -33,106,128.56 CNY year-over-year[55] - The ending cash and cash equivalents balance was 339,548,133.14 CNY, down from 582,452,630.77 CNY at the end of the previous period[55] Assets and Liabilities - Total assets at the end of the reporting period were CNY 2,375,257,892.90, a slight increase of 0.41% from CNY 2,365,595,824.89 at the end of the previous year[7] - Total current assets increased to CNY 1,665,506,589.71 as of March 31, 2019, up from CNY 1,642,347,550.25 at the end of 2018, representing a growth of approximately 1.1%[37] - Total liabilities slightly decreased to CNY 1,014,194,252.73 from CNY 1,015,932,505.14, indicating a reduction of about 0.2%[38] - The company's total liabilities amounted to CNY 420,012,376.00, a slight decrease from CNY 428,539,407.93 at the end of the previous period[44] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 30,862[10] - The largest shareholder, Jiangsu Broadcasting Television Group Co., Ltd., holds 47.28% of the shares[10] - Net assets attributable to shareholders increased by 0.97% to CNY 1,370,620,585.67 from CNY 1,357,397,227.90 at the end of the previous year[7] - Total equity attributable to shareholders increased to CNY 1,370,620,585.67 from CNY 1,357,397,227.90, reflecting a growth of about 1.0%[39] Operational Highlights - The film segment generated revenue of 451.72 million yuan, a year-on-year increase of 3.39%[17] - The cinema chain achieved a box office of 651 million yuan, a growth of 7.87% compared to the previous year[19] - The company’s cinema chain had a total of 341 cinemas and 2,151 screens by the end of the first quarter[19] - The company plans to enhance its film production capabilities and expand its cinema chain through self-built and acquisition strategies[20] Risks and Challenges - The company faces regulatory policy risks that could affect its film and television business, including potential penalties for non-compliance[23] - The company is expanding its cinema operations, but faces risks related to management and operational costs due to rapid expansion and increased competition[25] - The company has identified risks related to the inability of acquired entities to meet performance commitments, particularly with the acquisition of Chongqing Dinu Ares Media[27] - The top five customers of the company changed during the reporting period, primarily due to shifts in TV drama sales, but this change is not expected to significantly impact future operations[22] Investment and Future Plans - The company plans to enhance its film production and distribution capabilities to improve brand recognition and market position[24] - The company aims to strengthen its core competitiveness and sustainable development capabilities in 2019[20] - The company is focusing on optimizing its marketing strategies and revenue structure to improve profitability and reduce reliance on box office income[24]

Financial Performance - The company's operating revenue for 2018 was ¥1,654,823,836.35, representing a 9.07% increase compared to ¥1,517,230,070.94 in 2017[17] - The net profit attributable to shareholders for 2018 was -¥531,705,386.60, a decrease of 572.78% from ¥112,463,308.97 in 2017[17] - The net cash flow from operating activities was -¥149,202,188.47, down 148.31% from ¥308,815,278.72 in 2017[17] - The total assets at the end of 2018 were ¥2,365,595,824.89, a decrease of 29.58% from ¥3,359,175,606.50 at the end of 2017[17] - The net assets attributable to shareholders decreased by 29.54% to ¥1,357,397,227.90 from ¥1,926,377,044.67 in 2017[17] - The basic earnings per share for 2018 was -¥1.43, a decline of 576.67% from ¥0.30 in 2017[17] - The diluted earnings per share also stood at -¥1.43, reflecting the same percentage decrease as the basic earnings per share[17] - The weighted average return on equity was -32.51%, down from 5.96% in 2017, indicating a significant decline in profitability[17] - The company reported a significant internal control deficiency during the year, which was addressed post-remediation[4] Revenue Sources - The broadcasting, television, film, and audiovisual recording production industry accounted for 91.25% of total operating revenue, with revenue of CNY 1,510,020,431.95, up 9.32% from the previous year[50] - The revenue from television dramas was CNY 217,305,264.65, a 21.16% increase from CNY 179,347,368.46 in 2017, representing 13.13% of total revenue[51] - The revenue from films and derivatives totaled CNY 1,292,715,167.30, which is 78.12% of total revenue, with a year-on-year growth of 7.56%[51] - The total revenue from government subsidies related to business operations was 38.07 million yuan, an increase from 28.68 million yuan in the previous year[23] Cash Flow and Investments - Operating cash inflow for 2018 was CNY 2,112,122,020.21, an increase of 18.29% compared to 2017[62] - Operating cash outflow for 2018 was CNY 2,261,324,208.68, a significant increase of 53.14% year-on-year[62] - Investment cash inflow decreased by 91.57% to CNY 111,072,142.01, while investment cash outflow decreased by 85.01% to CNY 260,269,019.35[62] - The company’s cash and cash equivalents decreased by 55.93% compared to the beginning of the period, primarily due to increased investments in film and television projects[31] Cinema Operations - The total box office revenue in China for 2018 was approximately 60.98 billion yuan, a growth of 9.00% year-on-year[29] - The company achieved a box office revenue of 1.946 billion yuan during the reporting period, with 309 cinemas under its operation, ranking among the top ten nationwide[35] - The cinema chain achieved a box office of 1.946 billion yuan, a growth of 15.15% compared to the previous year, with a total of 6.061 million moviegoers, an increase of 10.87%[43] - The cinema chain's total number of screens reached 1,963, with 309 cinemas by the end of 2018, including 22 IMAX and 12 MX4D cinemas[43] Strategic Initiatives - The company has established a comprehensive production quality control system to ensure that its film and television projects are completed on schedule while strictly controlling production costs[34] - The company has a strong distribution capability for television dramas, with established partnerships with major TV stations and online platforms, enhancing its sales ability[34] - The company plans to establish its own distribution team to expand its distribution agency business nationwide, focusing on the Jiangsu province market[44] - The company aims to improve its overall marketing capabilities, emphasizing collaboration with broadcasting platforms during the creative phase[85] Challenges and Risks - The company faces regulatory risks due to strict government oversight in the film and television industry, which could impact its operations[90] - The company is experiencing growth risks as its business structure shifts from television production to cinema operations, which may lead to increased competition[91] - Rising production costs in both television and film sectors pose a risk to profitability, with significant increases in script prices and production expenses[92] - The acquisition of Di Nu Media presents a risk if the target company fails to meet performance commitments, potentially dragging down the overall financial performance of the company[94] Shareholder and Dividend Policies - The company did not declare any cash dividends for the year 2018 due to the negative distributable profits[103] - The company’s board of directors approved the profit distribution plan for 2018, which included no cash dividends, no bonus shares, and no capital reserve transfer to share capital[103] - The company has committed to a profit distribution policy that emphasizes stable and continuous returns to investors, ensuring that distributions do not exceed cumulative distributable profits and do not harm the company's ongoing operational capabilities[106] Governance and Compliance - The company has established a governance structure that complies with relevant laws and regulations, ensuring effective communication with shareholders[194] - The board consists of 9 members, including 3 independent directors, ensuring compliance with governance standards[194] - The internal audit department supervises financial management and operational compliance, safeguarding shareholder interests[196] - The company operates independently from its controlling shareholder, Jiangsu Broadcasting Television Group, in terms of assets, personnel, finance, and business[198] Employee and Management Structure - The total number of employees in the company is 1,641, with 50 in the parent company and 278 in major subsidiaries[188] - The professional composition includes 1,363 in operations, 75 in film production, 40 in management, 61 in finance, and 102 in comprehensive roles[189] - The company has established a performance assessment system for senior management, linking their remuneration to the company's profitability and performance completion[184] - The company emphasizes a performance-based compensation policy, linking overall salary levels to business performance[190]