Financial Performance - The company reported a significant increase in revenue for the first half of 2019, with total revenue reaching RMB 500 million, representing a year-on-year growth of 25%[13]. - Total revenue for the reporting period was ¥292,674,009.45, an increase of 21.58% compared to ¥240,728,605.51 in the same period last year[19]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion RMB for the first half of 2019, representing a year-on-year growth of 25%[56]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the first half of 2019, representing a year-over-year growth of 15%[58]. - The company's operating revenue for the first half of 2019 was RMB 292,674,009.45, representing a year-on-year increase of 21.58% compared to RMB 240,728,605.51 in the same period last year[77]. - The total operating revenue for the first half of 2019 reached CNY 292,674,009.45, an increase of 21.5% compared to CNY 240,728,605.51 in the same period of 2018[181]. User Engagement - User data showed a total of 1.5 million active users on the platform, an increase of 30% compared to the same period last year[13]. - User data showed an increase in active users, reaching 2 million, which is a 15% increase compared to the previous period[56]. - User data showed an increase in active users by 20%, reaching 500,000 users by the end of June 2019[59]. - The company reported a significant increase in user engagement, with a 25% growth in active users year-over-year[61]. Strategic Initiatives - The company has set a revenue guidance for the second half of 2019, projecting a growth rate of 20% year-on-year, aiming for a total revenue of RMB 600 million[13]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[13]. - The company is focusing on expanding its market presence in Southeast Asia, targeting a 10% market share by the end of 2020[57]. - The company is exploring potential mergers and acquisitions to enhance its service offerings and market presence[58]. - The company has initiated a strategic acquisition of a local tech firm, which is expected to enhance its technological capabilities and customer base[57]. Research and Development - New product development includes the launch of an AI-driven analytics tool, expected to enhance user engagement and retention rates by 15%[13]. - The company plans to invest RMB 50 million in R&D for new technologies, focusing on cloud computing and IoT solutions[13]. - Research and development expenses increased by 30% to support innovation and new technology initiatives[56]. - The company focused on developing AI-PaaS platforms, including intelligent algorithm open operation service platforms and AI computing power open platforms, to enhance its AI capabilities[69]. - Research and development investment increased by 24.46% to RMB 81,827,832.55 from RMB 65,746,654.61 year-on-year, reflecting the company's commitment to innovation[77]. Financial Position - Net profit attributable to shareholders was -¥7,596,619.65, improving by 41.46% from -¥12,976,533.63 year-on-year[19]. - The company's net assets attributable to shareholders decreased by 4.95% to ¥679,347,452.74 from ¥714,743,610.84 at the end of the previous year[19]. - The company's total liabilities reached CNY 597,253,957.25, compared to CNY 477,480,527.76 at the end of 2018, marking an increase of around 25.09%[174]. - The total equity attributable to shareholders decreased to CNY 679,347,452.74 from CNY 714,743,610.84, a decline of about 4.93%[174]. - The company's cash and cash equivalents at the end of the reporting period were RMB 484.25 million, which is 37.84% of total assets, up from 32.22% a year earlier[85]. Market Trends - The telecommunications industry is experiencing a significant shift with the rollout of 5G, creating a trillion-dollar market opportunity for the company[44]. - By 2025, it is expected that the number of 5G connections in China will exceed 400 million, indicating significant market potential for the company[48]. - The company increased its investment in the 5G sector, focusing on the development of 5G system research and typical application scenarios such as eMBB, mMTC, and uRRLC[68]. Corporate Governance - The board has decided not to distribute cash dividends for this fiscal year, opting to reinvest profits into growth initiatives[6]. - The company did not distribute cash dividends or bonus shares during the reporting period[116]. - The company’s board of directors and supervisory board were re-elected on June 11, 2019, following the completion of the annual shareholders' meeting[140]. Risk Management - The company faces risks related to customer concentration, with the top five clients accounting for 60% of total revenue[5]. - The management highlighted the importance of adapting to technological upgrades and market demand shifts to mitigate potential risks[5]. - The company is aware of potential risks related to fundraising investment projects and plans to strengthen internal controls and funding management[111]. Awards and Recognition - The company received multiple awards in the first half of 2019, including "Best Joint Innovation Partner" and "Excellent Solution Award for Smart City"[46].

Financial Performance - Total revenue for Q1 2019 was ¥88,170,328.89, representing a 22.55% increase compared to ¥71,949,261.36 in the same period last year[8] - Net profit attributable to shareholders was -¥41,522,834.11, an improvement of 15.68% from -¥49,246,582.68 year-over-year[8] - Basic and diluted earnings per share improved to -¥0.39 from -¥0.46, reflecting a 14.17% increase[8] - The company achieved operating revenue of 88.17 million yuan, representing a year-on-year growth of 22.55%[21] - The net profit attributable to shareholders was -4.15 million yuan, an increase of 15.68% year-on-year[21] - The total comprehensive loss for Q1 2019 was CNY 41,951,041.60, compared to a loss of CNY 49,272,764.26 in Q1 2018, showing a decrease of 14.5%[52] - Operating profit for Q1 2019 was CNY -42,544,010.26, an improvement from CNY -49,192,301.74 in the previous year[50] Cash Flow - Net cash flow from operating activities was ¥2,273,645.47, a significant increase of 105.03% compared to -¥45,161,556.20 in the previous year[8] - Cash inflow from operating activities totaled 215.94 million yuan, a 39.95% increase driven by the collection of receivables[20] - The cash inflow from operating activities increased to ¥215,942,762.58, up from ¥154,297,697.10 in the previous period, representing a growth of approximately 40%[59] - The company reported a net cash outflow from investing activities of ¥46,842,137.78, a decline from a positive cash flow of ¥26,827,188.21 in the previous period[59] - Cash inflow from financing activities totaled ¥150,000,000.00, up from ¥105,000,000.00, marking an increase of approximately 43%[60] - The ending cash and cash equivalents balance was ¥346,326,314.06, compared to ¥265,648,977.98 in the previous period, reflecting an increase of approximately 30%[60] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,151,580,911.15, down 3.71% from ¥1,195,999,022.24 at the end of the previous year[8] - Total current assets decreased from CNY 1,036,841,734.73 to CNY 987,499,934.61, a decline of approximately 4.9%[42] - Total liabilities decreased from CNY 477,480,527.76 to CNY 475,460,459.23, a decrease of approximately 0.4%[44] - Total equity decreased from CNY 718,518,494.48 to CNY 676,120,451.92, a decrease of about 5.9%[45] - The company reported a decrease in retained earnings from CNY 284,525,881.96 to CNY 243,003,047.85, a decline of approximately 14.6%[45] Research and Development - The company continues to focus on innovation and R&D investment to meet customer demands and ensure timely project delivery[21] - The company has made significant progress in its R&D projects, including the full cloudification of the BOSS system, which enhances market share in the BOSS field[22] - The company has obtained 14 new invention patents and 14 software copyrights during the reporting period, bringing the total to 229 invention patents and 437 software copyrights[23] - Research and development expenses for Q1 2019 amounted to CNY 41,816,066.03, compared to CNY 37,235,972.09 in the previous year, indicating an increase of 12.9%[50] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 8,003[12] - The largest shareholder, Wu Feizhou, holds 30.39% of the shares, totaling 31,958,293 shares[12] - Major shareholders have reduced their holdings, with a cumulative reduction of 1.28% in total share capital by shareholder Yao Guoning[32] - The company’s total share capital decreased from 106,117,800 shares to 105,175,200 shares after the cancellation of 942,600 restricted stocks[29] Fundraising and Investments - The company plans to use RMB 54.93 million of raised funds to replace pre-invested self-raised funds for projects from April 1, 2018, to February 28, 2019[30] - The total amount of raised funds is RMB 232.9731 million, with RMB 2.1796 million invested in the current quarter[35] - The cumulative amount of raised funds invested is RMB 161.4264 million, with no changes in the use of raised funds reported during the period[35] - The company has temporarily used RMB 15,000 million of raised funds to supplement working capital, which has been fully returned to the special account[37] Compliance and Governance - The report indicates that the first quarter report was not audited, which may affect the reliability of the financial data presented[72] - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[39] - There are no violations regarding external guarantees during the reporting period[38]

Financial Performance - The company's operating revenue for 2018 was ¥787,696,203.48, representing a 6.44% increase compared to ¥740,004,269.25 in 2017[19]. - The net profit attributable to shareholders for 2018 was ¥85,315,661.84, a 30.35% increase from ¥65,452,202.05 in 2017[19]. - The net cash flow from operating activities improved significantly to ¥88,415,838.08, compared to a negative cash flow of ¥19,414,441.19 in 2017, marking a 555.41% increase[19]. - The total assets at the end of 2018 reached ¥1,195,999,022.24, a 24.02% increase from ¥964,331,172.64 at the end of 2017[19]. - The company's basic earnings per share for 2018 was ¥0.80, up 23.08% from ¥0.65 in 2017[19]. - The weighted average return on equity for 2018 was 12.55%, an increase from 11.13% in 2017[19]. - The company reported a total revenue of 4,847.42 million CNY for the year 2018, reflecting a significant growth compared to the previous year[57]. - The company achieved a revenue growth of 3.0% in the telecommunications sector, reaching 1.3 trillion yuan during the reporting period[46]. - The revenue from the telecommunications sector accounted for 94.29% of total revenue, amounting to ¥742.71 million, which is a 5.59% increase from ¥703.40 million in 2017[84]. - The company reported a net profit margin of 12%, indicating strong operational efficiency and cost management[57]. Dividend and Profit Distribution - The company plans to distribute a cash dividend of 2.60 RMB per 10 shares (including tax) based on a total of 104,953,024 shares[5]. - The company has a profit distribution plan that includes a capital reserve conversion of 5 shares for every 10 shares held[5]. - The company distributed cash dividends totaling 27,287,786.24 yuan in 2018, representing 31.98% of the net profit attributable to ordinary shareholders[147]. - In 2017, the cash dividends amounted to 24,760,820.00 yuan, which was 37.83% of the net profit attributable to ordinary shareholders[147]. - In 2016, the cash dividends were 20,226,000.00 yuan, accounting for 36.47% of the net profit attributable to ordinary shareholders[147]. Market Expansion and Strategic Initiatives - The company is focused on expanding its cloud and big data services, establishing itself as a major player in the industry[29]. - The company aims to build a partner development ecosystem to enhance its platform and operations, extending its services to various sectors including telecommunications and IoT[29]. - The company is expanding into non-telecom markets, including AI, smart cities, and e-commerce, to diversify its service offerings[30]. - The company plans to expand its market presence in cloud and big data services, smart manufacturing, and smart cities, targeting small and medium enterprises and virtual operators[125]. - The company is actively exploring 5G network slicing, SDN/NFV, and edge computing to prepare for becoming a core support vendor for 5G networks[127]. - The company has made significant investments in R&D to enhance product quality and functionality, ensuring sustained core competitiveness in the market[42]. - The company is investing heavily in R&D, with a budget increase of 30% aimed at developing new technologies and enhancing existing products[57]. - The company is exploring potential acquisitions to enhance its technology portfolio, with a focus on firms specializing in AI and big data[57]. Innovation and Technology Development - The company has a commitment to continuous innovation and has established a competitive public cloud and big data service offering[29]. - The company aims to become a trusted expert in cloud, big data, IoT, AI, and smart operations, focusing on creating value for customers and maintaining long-term partnerships[30]. - The company has established a new business unit for AI, focusing on real-time facial recognition and identity verification technologies[35]. - The company is focusing on enhancing its capabilities in AI, cloud computing, big data, blockchain, and 5G technologies[55]. - The company has developed smart city solutions, including a smart operation platform and data brain, to support urban development[50]. - The company has developed a comprehensive solution for telecom operators, including core business systems and network support services[32]. - The company introduced a cloud and big data AI platform for SMEs, enhancing their ICT management services and enabling a digital ecosystem for business operations[73]. Risk Management and Challenges - The company faces risks including customer concentration, seasonal performance fluctuations, and technology talent loss[5]. - The company anticipates seasonal fluctuations in performance due to customer concentration among major telecom operators, which may impact revenue recognition primarily in the fourth quarter[128]. - The company plans to enhance project management and acceptance control to mitigate risks associated with customer procurement and payment processes[129]. - The company has faced risks related to rapid technological changes and the need for continuous product upgrades to meet customer demands[132]. - The company is monitoring industry policies and market changes to manage risks associated with investment projects[138]. Corporate Governance and Compliance - The company has established a value assessment system to retain talent and ensure competitive compensation aligned with performance[136]. - The company is committed to improving its internal controls and financial management to address uncertainties in investment project implementation[138]. - The company has committed to a share repurchase plan, with each repurchase not less than 0.5% of the total share capital and a cumulative limit of 2% within 12 months[152]. - The company aims to stabilize its stock price if the closing price falls below the audited net asset value per share for 20 consecutive trading days[152]. - The company will publicly disclose any unfulfilled commitments and apologize to shareholders and the public if necessary[158]. - The company has implemented an equity incentive plan, ensuring compliance with relevant laws and regulations[158]. Research and Development - The company has made significant progress in basic research, particularly in foundational R&D areas[55]. - The number of R&D personnel increased to 2,693 in 2018, accounting for 93.67% of the workforce[98]. - R&D investment amounted to ¥152,926,773.96 in 2018, representing 19.41% of total revenue[98]. - The company is actively involved in research and development for new products and technologies, as evidenced by its extensive software offerings[60]. - The company is enhancing its core competitiveness in the big data field through the establishment of a new big data cloud R&D center[97]. Acquisitions and Investments - The company acquired a 65% stake in Beijing Sichuang Lifang Technology Co., Ltd. during the reporting period[91]. - The company established a wholly-owned subsidiary, Chengdu Yixin Technology Co., Ltd., with a registered capital of RMB 40 million for a new mobile internet big data cloud R&D center[188]. - The company set up another wholly-owned subsidiary, Hefei Siter Technology Co., Ltd., using RMB 20 million of its own funds[189]. - The company acquired 65% of Beijing Sichuang Lifang Technology Co., Ltd. for RMB 13 million, completing the transaction on July 31, 2018[187]. Future Outlook - The company has set a revenue guidance for 2019, projecting an increase of 15% to 20% over the 2018 figures[57]. - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 25% based on new product launches and market expansion strategies[155]. - The company aims to launch three new products in the upcoming quarter, which are expected to contribute an additional 500 million RMB in revenue[155]. - Future strategies include potential mergers and acquisitions to bolster growth and expand product lines, with a focus on synergistic opportunities[161].

Financial Performance - Operating revenue for the reporting period was CNY 145,434,607.28, representing a year-on-year increase of 13.51%[8] - Net profit attributable to shareholders decreased by 54.81% to CNY 3,154,421.79 for the year-to-date period[8] - The basic earnings per share for the reporting period was CNY 0.15, up 7.14% compared to the same period last year[8] - The weighted average return on equity was 2.51%, down 62.20% year-on-year[8] - Total operating revenue for Q3 2018 was CNY 145,434,607.28, an increase of 13.5% compared to CNY 128,120,132.93 in Q3 2017[39] - Net profit for Q3 2018 reached CNY 16,088,966.41, representing a growth of 7.3% from CNY 14,996,787.26 in Q3 2017[40] - Earnings per share for Q3 2018 were CNY 0.15, compared to CNY 0.14 in Q3 2017, reflecting a 7.1% increase[40] - Total profit for the current period was ¥4,762,767.36, down from ¥7,694,351.64, representing a decrease of approximately 38.3%[46] Assets and Liabilities - Total assets increased by 8.80% to CNY 1,049,168,969.17 compared to the end of the previous year[8] - Accounts receivable decreased by 80.87% to ¥1,370,561.07 due to the recovery of notes[15] - Inventory increased by 59.80% to ¥268,039,265.06 primarily due to concentrated acceptance confirmations in Q4[15] - Fixed assets rose by 265.77% to ¥69,796,031.67 mainly due to the capitalization of subsidiary office buildings[15] - Short-term loans increased by 106.09% to ¥237,000,000.00 driven by operational needs for additional bank loans[15] - Total liabilities increased from RMB 310,686,372.11 to RMB 415,530,775.49, which is an increase of approximately 33.8%[33] - The company's equity attributable to shareholders decreased from RMB 651,644,800.53 to RMB 631,679,217.30, a decline of about 3.1%[33] Cash Flow - Cash flow from operating activities showed a net outflow of CNY 49,309,796.30 for the year-to-date period[8] - The net cash flow from operating activities for Q3 2018 was -49,309,796.30 CNY, an improvement from -86,832,929.03 CNY in the same period last year, indicating a reduction in cash outflow[53] - Total cash inflow from financing activities was 207,000,000.00 CNY, compared to 331,578,107.12 CNY in the previous year, reflecting a decrease in financing received[57] - The net cash flow from investing activities was -84,297,506.20 CNY, worsening from -62,776,619.28 CNY year-over-year, highlighting increased investment outflows[53] - The total cash and cash equivalents at the end of Q3 2018 stood at 192,697,566.45 CNY, up from 165,884,812.04 CNY in the same quarter last year[54] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 9,652[11] - The largest shareholder, Wu Feizhou, holds 30.12% of the shares, with 4,620,000 shares pledged[11] - The company did not engage in any repurchase transactions during the reporting period[12] - The company distributed a cash dividend of RMB 2.8 per 10 shares, totaling RMB 24,760,820.00, based on a total share capital of 88,431,500 shares[25] - The company has maintained a clear and transparent cash dividend policy, ensuring the protection of minority shareholders' rights[24] Investments and Subsidiaries - The company plans to establish a wholly-owned subsidiary in Chengdu for a new mobile internet big data cloud R&D center[18] - The company has completed the establishment of a wholly-owned subsidiary in Hefei with an investment of ¥20 million[19] - The company acquired 65% of the equity in Beijing Sichuang Lifang Technology Co., Ltd. for ¥1,300.00 million[21] Other Income and Expenses - Non-recurring gains and losses totaled CNY 1,440,464.27, primarily from government subsidies and investment management income[9] - Other income decreased by 71.65% to ¥1,328,140.78 primarily due to delays in software product tax refunds[15] - Research and development expenses for Q3 2018 were CNY 21,364,339.84, down 12.0% from CNY 24,297,942.16 in Q3 2017[39] - Research and development expenses increased to ¥85,375,239.60, compared to ¥73,536,322.39, marking a growth of about 16.0%[44]

Client Concentration and Market Expansion - The company reported a significant concentration of clients, primarily in telecom operators, which poses risks due to potential macroeconomic changes affecting normal operations[6]. - The company aims to strengthen market expansion by developing new products and acquiring new clients, particularly in virtual operators and cloud services[8]. - The company is actively expanding into non-telecom operator markets, focusing on smart cities, cloud services for SMEs, e-commerce, and IoT[40]. - The company has successfully developed cloud and big data capabilities, which have been validated through operations with domestic telecom operators[40]. - The company is exploring new business opportunities in virtual operators and cloud services to diversify its revenue streams[104]. Financial Performance - Total revenue for the reporting period was CNY 240,728,605.51, an increase of 9.53% compared to CNY 219,785,676.44 in the same period last year[32]. - Net profit attributable to shareholders was a loss of CNY 12,976,533.63, representing a 61.88% increase in loss compared to a loss of CNY 8,015,970.97 in the previous year[32]. - The net cash flow from operating activities improved to a loss of CNY 29,050,408.76, a 71.09% reduction in loss from CNY 100,492,795.96 in the same period last year[32]. - The company’s basic earnings per share for the reporting period was -CNY 0.12, a 50.00% increase in loss compared to -CNY 0.08 in the previous year[32]. - The company reported a significant loss of -1,551,851.80 in another subsidiary, indicating broader financial difficulties across its operations[101]. Tax and Financial Management - The corporate tax rate is currently 10% due to its status as a high-tech enterprise, and any changes in tax policies could adversely affect financial performance[11]. - The company is focused on expanding its operational scale and improving performance to lessen the impact of tax incentives on overall results[12]. - The company plans to enhance project management and acceptance control to mitigate risks associated with customer concentration and seasonal performance fluctuations[104]. - The company is actively monitoring industry policies and market changes to manage risks associated with fundraising investment projects[112]. Research and Development - The company faces risks from rapid technological advancements and changing user demands, necessitating increased R&D efforts to align with market needs[9]. - The company has significantly increased its R&D investment, with R&D expenses showing a notable rise compared to previous years, enhancing its technological reserves and product competitiveness[52]. - The company has established a comprehensive end-to-end R&D management system to improve the quality and delivery of R&D outputs[51]. - The company is actively collaborating with universities to leverage advanced research methods and frameworks, enhancing its R&D capabilities[52]. - The company has obtained 34 new invention patents during the reporting period, bringing the total to 184 invention patents[62]. Operational Efficiency and Employee Management - The company recognizes the risk of talent loss in a competitive software industry and is implementing measures to enhance employee retention through improved compensation and training systems[13]. - The company has established a stable supplier management system, ensuring efficient procurement processes for software and hardware[45]. - The company has implemented a strategy to enhance its operational business model, focusing on smart cities, big data, and IoT product development[49]. - The company promotes a harmonious and enjoyable work environment to enhance the capabilities and innovation of its technical personnel[61]. Shareholder and Stock Management - The company does not plan to distribute cash dividends or issue bonus shares for the current period[18]. - The company has committed to not transferring or entrusting shares held prior to the public offering for a period of 36 months[117]. - The company’s major shareholders have agreed to limit the transfer of shares to 25% of their total holdings annually during their tenure as directors or senior management[117]. - The company has implemented a stock repurchase plan, allowing for repurchases of up to 2% of total shares within 12 months, with each repurchase not less than 0.5% of total shares at the time of implementation[118]. - The company reported a commitment from its controlling shareholder, Wu Feizhou, to not reduce holdings for three years post-IPO, with a maximum of 25% reduction per year thereafter[120]. Compliance and Transparency - The company has committed to strict adherence to public commitments made during its initial public offering, with penalties for non-compliance[123]. - The company will ensure compliance with regulations regarding the repurchase of shares and will convene necessary meetings for approval[121]. - The company has established measures to minimize investor losses in case of non-compliance with public commitments[123]. - The company will publicly disclose reasons for any unfulfilled commitments and apologize to shareholders, maintaining transparency[123].

Financial Performance - Total revenue for Q1 2018 was ¥71,949,261.36, representing a 14.36% increase compared to ¥62,912,114.05 in the same period last year[8] - Net profit attributable to shareholders was -¥49,246,582.68, an improvement of 14.05% from -¥57,299,317.39 year-on-year[8] - Basic earnings per share improved by 29.01%, from -¥0.78 to -¥0.56[8] - The company achieved operating revenue of 71.9493 million CNY in Q1 2018, representing a year-on-year growth of 14.36%[31] - The net loss for the period was CNY 49,247,000.89, compared to a net loss of CNY 57,299,317.39 in the previous period, indicating an improvement[64] - The total comprehensive income for the period was -¥49,272,346.05, compared to -¥57,252,129.38 in the previous year[67] Cash Flow - The net cash flow from operating activities was -¥45,161,556.20, a decrease of 37.12% compared to -¥71,817,125.11 in the previous year[8] - The company reported a net cash inflow from operating activities of 154.30 million CNY, up 58.96% year-on-year[30] - Cash flow from operating activities showed a net outflow of ¥45,161,556.20, an improvement from a net outflow of ¥71,817,125.11 in the previous year[71] - The cash and cash equivalents net increase was 30.13 million CNY, a decrease of 81.81% compared to the previous year, mainly due to reduced cash flow from investment and financing activities[30] - The ending balance of cash and cash equivalents was ¥239,179,348.84, down from ¥343,466,209.04[76] Assets and Liabilities - Total assets decreased by 2.36% to ¥941,586,017.53 from ¥964,331,172.64 at the end of the previous year[8] - Total liabilities increased to CNY 336,752,377.34 from CNY 310,686,372.11, primarily due to an increase in current liabilities[60] - The company's total assets as of March 31, 2018, amounted to RMB 941.586 million, a decrease from RMB 964.331 million at the beginning of the year[56] - The company's cash and cash equivalents increased to RMB 268.793 million from RMB 238.605 million at the beginning of the year[55] Shareholder Information - The top shareholder, Wu Feizhou, holds 30.12% of the shares, with a total of 10,833 common shareholders reported[20] - Major shareholders include Wu Feizhou with 26,631,911 shares, Ma Qingxuan with 6,251,245 shares, and Shi Zhensheng with 5,682,950 shares[25] - The company has no preferred shareholders as indicated in the report[23] - The company has a total of 10 major unrestricted shareholders, with the largest being Ma Qingxuan and Zhongtou Wealth Xinmao (Tianjin) Venture Capital Partnership[22] Market and Business Strategy - The company plans to enhance its market share and product offerings to mitigate risks associated with tax policy changes and technology upgrades[13][12] - The company aims to strengthen its project management and market expansion efforts, including the development of new products and services[16] - The company is actively expanding its market presence, particularly in new business areas such as big data and cloud services for small and medium enterprises[38] - The company is focusing on technological innovation and product development to maintain its competitive edge in the market[38] Intellectual Property - The company obtained 9 new invention patents, bringing the total to 159 patents by the end of the reporting period[33] - The company has added 13 software copyrights during the reporting period, enhancing its intellectual property portfolio[36] Investment and Financing - The company invested RMB 36.23 million to purchase a property in Shanghai for office use, with 60% of the total price paid by the end of the reporting period[39] - The total amount of raised funds was RMB 232.9731 million, with RMB 12.20078 million invested cumulatively by the end of the reporting period[43] - The company completed 100% of the investment in the "Fully Cloud-Based BOSS System" project[44] Risks and Challenges - The company faces risks related to customer concentration and seasonal performance fluctuations, primarily due to reliance on telecom operators[10] - The expected liabilities increased by 234.43% to 4.48 million CNY, primarily due to loss contracts[29]

Financial Performance - The company's operating revenue for 2017 was CNY 740,004,269.25, representing a 7.96% increase from CNY 685,434,259.36 in 2016[30]. - The net profit attributable to shareholders for 2017 was CNY 65,452,202.05, an 18.02% increase compared to CNY 55,457,939.40 in 2016[30]. - The net cash flow from operating activities was negative CNY 19,414,441.19, a decrease of 123.65% from CNY 82,095,061.54 in 2016[30]. - The total assets at the end of 2017 amounted to CNY 964,331,172.64, a 30.09% increase from CNY 741,285,521.61 in 2016[30]. - The net assets attributable to shareholders increased by 75.54% to CNY 651,644,800.53 from CNY 371,217,689.19 in 2016[30]. - The basic earnings per share for 2017 was CNY 0.78, a decrease of 7.14% from CNY 0.84 in 2016[30]. - The weighted average return on equity for 2017 was 11.13%, down from 16.13% in 2016, reflecting a 5.00% decrease[30]. - The company achieved a revenue of 740.0043 million yuan in 2017, representing a year-on-year growth of 7.96%[105]. - The net profit for 2017 was 65.4522 million yuan, an increase of 18.02% compared to the previous year[105]. Dividend and Shareholder Value - The company reported a cash dividend of 2.80 RMB per 10 shares and a capital reserve increase of 2 shares per 10 shares[18]. - The cash dividend payout ratio for 2017 was 37.83% of the net profit attributable to ordinary shareholders, which was 65,452,202.05 CNY[193]. - The company has consistently increased its cash dividends over the past three years, reflecting a commitment to returning value to shareholders[193]. - The capital reserve increase in 2017 was also part of the strategy to enhance shareholder value by increasing the number of shares held[190]. - The board's proposals for profit distribution are subject to approval at the annual shareholders' meeting, ensuring shareholder involvement in key financial decisions[190]. - The company has maintained a stable dividend policy, which is crucial for attracting and retaining investors[193]. Market and Client Focus - The company’s revenue is primarily concentrated in the telecommunications sector, with significant clients including China Mobile, China Unicom, and China Telecom[6]. - The company has expanded its market reach beyond telecom operators to include small and medium enterprises, e-government, e-commerce, and IoT sectors, leveraging cloud and big data technologies[41]. - Revenue from the telecommunications sector accounted for 95.05% of total revenue, amounting to ¥703,395,698.95, with a year-on-year growth of 7.98%[119]. - The technical services segment saw significant growth, with revenue increasing by 37.94% to ¥281,021,253.86, while software development revenue decreased by 4.65% to ¥455,726,508.15[119]. Research and Development - The company is committed to increasing research and development efforts to keep pace with rapid technological advancements and user requirements[10]. - The company significantly increased its R&D investment in 2017, with R&D expenses showing a marked increase compared to previous years, enhancing its technological reserves and product competitiveness[69]. - R&D investment amounted to ¥143,792,855.37 in 2017, representing 19.43% of total revenue, a significant increase from 12.38% in 2016[132]. - The number of R&D personnel increased to 2,439 in 2017, accounting for 86.83% of the total workforce[132]. - The company has established joint laboratories with top universities to advance core algorithm research[97]. Operational Strategy - The company plans to enhance project management and acceptance control to mitigate risks associated with client procurement and payment processes[8]. - The company aims to increase its market share and improve operational performance to reduce the impact of tax incentives on its financial results[13]. - The company emphasizes the importance of timely and scientific planning with telecom operators to enhance operational stability[8]. - The company is focusing on integrating cloud computing, big data, and IoT technologies to enhance operational efficiency and customer satisfaction[99]. - The company has established measures to monitor industry policies and market changes to ensure effective project management and funding[18]. Risk Management - The company faces risks related to talent retention due to intense competition for skilled professionals in the software industry[14]. - The company acknowledges potential risks in fundraising projects due to market and policy changes, which could impact investment returns[183]. - The company faces risks related to customer concentration and seasonal performance fluctuations, primarily relying on telecom operators[173]. - The company is at risk of technology upgrades not matching market demands, necessitating continuous R&D efforts to align with customer needs[177]. Innovation and Technology - The establishment of a joint laboratory with the University of Electronic Science and Technology of China focuses on cutting-edge technologies such as big data analysis, artificial intelligence, and IoT, indicating a commitment to innovation[68]. - The company has developed over 30 IaaS and PaaS software products, establishing a competitive cloud and big data service platform[48]. - The company is committed to building an ecosystem for IoT services, offering a public cloud service platform for small and medium enterprises[53]. - The company has successfully adapted to the changing user habits driven by the 4G era, with a focus on data traffic as a primary demand from users[73]. Corporate Governance - The company’s governance structure and management practices have been continuously improved to enhance operational efficiency and adapt to market demands[70]. - The company has implemented a value assessment system (VES) to enhance management efficiency and employee productivity, linking performance metrics to rewards and promotions[70]. - The company has established a robust supplier management system, ensuring stable cooperation with key suppliers for software outsourcing and hardware procurement[56].

Financial Performance - Operating revenue for the current period was CNY 128,120,132.93, up 6.22% year-on-year[8] - Net profit attributable to shareholders increased by 106.00% to CNY 14,996,787.26 compared to the same period last year[8] - Basic earnings per share rose by 70.00% to CNY 0.17[8] - The weighted average return on net assets increased to 2.56%, up from 0.18%[8] - Total operating revenue for Q3 2017 was CNY 128,120,132.93, an increase of 6.25% from CNY 120,614,377.53 in the same period last year[39] - Net profit for Q3 2017 reached CNY 14,996,787.26, compared to CNY 7,279,858.78 in Q3 2016, representing a growth of 105.00%[40] - Basic and diluted earnings per share for Q3 2017 were CNY 0.17, compared to CNY 0.10 in Q3 2016, an increase of 70.00%[41] - The total profit for the third quarter was ¥24,717,621.44, a significant improvement compared to a loss of ¥2,094,681.32 in the same period last year[52] - The net profit for the quarter reached ¥24,004,121.76, compared to a net profit of ¥147,592.75 in the previous year[52] Assets and Liabilities - Total assets increased by 9.67% to CNY 812,934,406.36 compared to the end of the previous year[8] - The company's current assets totaled CNY 761,981,744.05, up from CNY 712,582,628.74 at the beginning of the period, indicating a growth of approximately 6.5%[31] - The total liabilities decreased to CNY 219,914,164.84 from CNY 370,067,832.42, a reduction of approximately 40.4%[33] - The company's total liabilities decreased to CNY 207,041,005.28 from CNY 363,782,328.80, a reduction of 43.20%[37] Shareholder Information - Net assets attributable to shareholders increased by 59.75% to CNY 593,020,241.52 compared to the end of the previous year[8] - The total number of shareholders at the end of the reporting period was 11,494[12] - The largest shareholder, Wu Feizhou, holds 30.39% of the shares, totaling 26,631,911 shares[12] - The company's equity increased significantly, with total equity reaching CNY 593,020,241.52, up from CNY 371,217,689.19, indicating a growth of approximately 59.6%[33] - Equity attributable to shareholders of the parent company rose to CNY 624,410,881.06 from CNY 385,550,317.18, an increase of 62.00%[37] Cash Flow - Cash flow from operating activities showed a net outflow of CNY 86,832,929.03, a decrease of 126.77% compared to the previous year[8] - Cash and cash equivalents decreased to CNY 167,595,891.33 from CNY 213,441,562.07, reflecting a decline of about 21.5%[31] - The net cash flow from operating activities was -¥86,832,929.03, worsening from -¥38,291,632.64 in the same quarter last year[55] - Cash inflow from operating activities totaled ¥439,608,245.57, slightly down from ¥444,265,838.56 year-over-year[55] - The ending cash and cash equivalents balance was ¥165,884,812.04, down from ¥84,866,063.49 year-over-year[56] Investments and Expenses - Management expenses increased by 50.00% to ¥108,319,319.96 from ¥72,210,542.05, mainly due to increased R&D expenditures for fundraising projects[17] - Investment income skyrocketed by 5716.67% to ¥845,753.22 from ¥14,540.17, attributed to the purchase of principal-protected bank wealth management products and government bond reverse repos[17] - The company reported a decrease in financial expenses to CNY 6,254,256.30, down 37.5% from CNY 9,966,176.63 year-over-year[46] - Cash outflow from investing activities was ¥63,622,672.50, compared to ¥22,586,805.35 in the previous year, indicating increased investment activity[56] Corporate Actions - The company raised ¥235,082,442.12 from public investors through the initial public offering of common stock[18] - The company established a wholly-owned subsidiary in Shanghai with a registered capital of ¥50 million, contributing ¥26.5 million as of the report date[19] - The company formed a joint venture in Shenzhen with a total capital of ¥2,000,000, where the company holds a 70% stake[20] - The company's cash dividend policy was executed according to the profit distribution plan, with a total cash dividend of CNY 20,226,000 distributed, amounting to CNY 3.00 per 10 shares[26] - The company is currently fulfilling commitments to eliminate potential competition by deregistering related parties, with one entity already deregistered as of August 25, 2017[24]

Financial Performance - Total revenue for the reporting period was ¥219,785,676.44, a decrease of 9.66% compared to the same period last year[36]. - Net profit attributable to shareholders was a loss of ¥8,015,970.97, an improvement of 34.66% from a loss of ¥12,268,341.04 in the previous year[36]. - The net cash flow from operating activities was -¥100,492,795.96, which represents a 161.88% increase in cash outflow compared to -¥38,374,129.46 in the same period last year[37]. - Basic earnings per share were -¥0.10, a 41.18% improvement from -¥0.17 in the previous year[37]. - Total assets increased by 19.67% to ¥887,067,004.38 from ¥741,285,521.61 at the end of the previous year[37]. - Net assets attributable to shareholders rose by 55.71% to ¥578,037,948.42 from ¥371,217,689.19 at the end of the previous year[37]. - The company reported a significant increase in non-operating income, totaling ¥7,856,112.14 after tax adjustments[41]. - The weighted average return on net assets improved to -1.60%, up from -3.93% in the previous year[37]. - The company achieved operating revenue of 219.79 million yuan and a net profit of -8.016 million yuan during the reporting period[76]. Market Expansion and Product Development - The company plans to enhance market expansion by developing new products and services, including virtual operators and cloud services, to mitigate risks associated with customer concentration[9]. - The company is expanding its market presence by enhancing data business operations and establishing an overseas sales management system[58]. - The company is focusing on small and medium-sized enterprise cloud services and smart city applications, aligning with national strategies like "Made in China 2025" and "Internet Plus"[58]. - The company has developed over 30 IaaS and PaaS products to meet the needs of telecom operators in the 4G and evolving 5G environments[54]. - New product development is underway, with plans to launch two innovative software solutions by Q4 2017, aimed at enhancing user experience and operational efficiency[146]. - The company is exploring potential acquisitions to bolster its technology capabilities, with a budget of up to 200 million RMB allocated for this purpose[162]. - A new strategic partnership was announced with a leading tech firm, aimed at co-developing next-generation products[169]. Research and Development - The company emphasizes the importance of research and development, aiming to increase investment in new technologies and products to stay competitive in the rapidly evolving market[11]. - Research and development expenses increased by 37.55% to ¥56,530,691.23, reflecting greater investment in project funding[96]. - The company is committed to continuous technological innovation to develop products that meet customer needs[45]. - The company has obtained a total of 113 invention patents, 67 registered trademarks, and 339 software copyrights by the end of the reporting period[62]. - The company emphasizes continuous innovation and R&D, with a focus on software product development and upgrades[62]. - The company is conducting in-depth research on 5G technologies, focusing on cloud, big data, and mobile internet applications[86]. - The company has committed to continuous R&D to maintain product advancement and align with market trends, particularly in the areas of deep learning and AR technologies[84]. Risk Management and Internal Controls - The company has identified management risks due to its expanding business scale and is implementing measures to optimize organizational structure and improve management skills[17]. - The company aims to strengthen internal controls and enhance fund management to mitigate risks associated with investment projects[20]. - The company faces risks related to customer concentration and seasonal performance fluctuations, which may impact revenue recognition primarily in the fourth quarter[125]. - The company intends to closely monitor industrial policies and market changes while enhancing internal controls and fund management[136]. - The company is committed to strengthening its organizational transformation and agile project management to adapt to market changes[126]. Talent Management - The company has established a value assessment system to retain talent and ensure that compensation reflects performance and capability, addressing the risk of talent loss in a competitive industry[14]. - The company is actively recruiting high-end talent and has optimized its talent acquisition mechanisms to improve the quality and speed of recruitment[92]. - The company emphasizes the importance of talent retention and has implemented a value assessment system to enhance employee engagement and reduce turnover[131]. - The company has established a mechanism for cultivating and improving management talent to optimize its management talent structure[134]. Shareholder and Financial Commitments - The company will not distribute cash dividends or issue bonus shares, focusing instead on reinvestment for growth[21]. - The management emphasized the importance of shareholder value, with plans to distribute dividends amounting to 10% of net profits for the fiscal year 2017[146]. - The company has committed to maintaining transparency in its financial reporting and ensuring compliance with regulatory requirements[164]. - The company has made commitments to ensure compliance with public promises and will take necessary measures if unable to fulfill them[173]. - The company will announce any changes to the shareholding structure and commitments through public disclosures, ensuring transparency to investors[156]. Legal and Compliance Matters - The company has faced a lawsuit regarding copyright infringement, with a court ruling requiring it to pay 700,000 yuan in damages[178]. - The company's semi-annual financial report has not been audited[175]. - There are no significant litigation or arbitration matters reported during the period[178]. - The company has not faced any media scrutiny during the reporting period[179]. - There are no penalties or rectification measures applicable to the company during the reporting period[180].

Financial Performance - Total operating revenue for Q1 2017 was ¥62,912,114.05, representing a 7.21% increase compared to ¥58,681,064.82 in the same period last year[7]. - Net profit attributable to shareholders was -¥57,299,317.39, a decrease of 5.40% from -¥60,570,874.71 year-on-year[7]. - The weighted average return on net assets improved to -13.61% from -20.76% year-on-year, indicating a positive trend despite ongoing losses[7]. - The company reported a basic and diluted earnings per share of -¥1.02, a 15.00% improvement from -¥1.20 in the same period last year[7]. - Operating profit for Q1 2017 was -¥58,026,530.83, an improvement from -¥63,133,048.36 in the previous period[94]. - Net profit for Q1 2017 was -¥57,299,317.39, compared to -¥60,570,874.71 in the same period last year, showing a reduction in losses of 3.8%[95]. Cash Flow and Assets - The net cash flow from operating activities was -¥71,817,125.11, which is a 6.85% increase compared to -¥67,211,804.06 in the previous year[7]. - Cash and cash equivalents increased by 77.97% to 379.85 million RMB due to public offering of common stock[22]. - The company’s net cash flow from financing activities was 237.64 million RMB, significantly improved from a negative 3.52 million RMB in the previous period[23]. - Total current assets increased to CNY 873,993,351.13 from CNY 712,582,628.74, representing a growth of approximately 22.67%[87]. - Total cash and cash equivalents at the end of the period reached 343,466,209.04 CNY, up from 46,753,574.81 CNY in the previous period, reflecting a significant increase[107]. Investments and R&D - The company aims to increase R&D efforts to develop new technologies and products to address competition risks in the market[12]. - The company has made significant progress in key R&D projects, including the full cloud-based BOSS system, which aims to enhance market share in the BOSS field and strengthen its position as a core vendor[25]. - The company has obtained 8 new patents and 3 software copyrights during the reporting period, bringing the total to 102 patents and 327 software copyrights[27]. - Investment income increased to ¥109,836.16 from ¥3,242.61, indicating a significant rise in returns[94]. Shareholder and Stock Information - The company successfully listed on the Shenzhen Stock Exchange on February 13, 2017, under the stock code "300608"[30]. - The company has committed to a share lock-up period of 36 months for its controlling shareholders, starting from the date of the initial public offering[32]. - The company’s stock code is "300608" and the stock abbreviation is "SITQ"[31]. - The company plans to distribute a cash dividend of CNY 3.00 per 10 shares, totaling CNY 20.226 million, pending shareholder approval[79]. Risk Management and Compliance - The company plans to enhance project management and control levels to mitigate risks associated with customer concentration and seasonal performance fluctuations[10]. - The company is actively pursuing compliance with all regulatory commitments related to its IPO and shareholding structure[32]. - The company guarantees that there are no undisclosed related party transactions that should be reported according to legal regulations[62]. - The company has committed to not using information obtained from the issuer to engage in competitive activities that may harm the issuer's interests[65]. Future Plans and Business Expansion - The company is focused on expanding into new business areas such as virtual operators and cloud services to drive growth[10]. - The company is planning to establish a wholly-owned subsidiary in Shanghai to further its business expansion[30]. - The company is advancing its projects related to cloud and big data technologies to solidify its competitive advantage in the market[29]. - The company is actively developing new business models and integrating over 20 years of business and product experience to create a customer-centric product system[29].