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].

Financial Performance - The company's operating revenue for 2016 was ¥685,434,259.36, representing an increase of 11.58% compared to ¥614,317,863.64 in 2015[30]. - The net profit attributable to shareholders for 2016 was ¥55,457,939.40, a growth of 16.99% from ¥47,402,043.09 in 2015[30]. - The net cash flow from operating activities surged to ¥82,095,061.54, a significant increase of 2,624.13% compared to ¥3,013,626.36 in 2015[30]. - Basic earnings per share for 2016 were ¥1.10, up 17.02% from ¥0.94 in 2015[30]. - Total assets at the end of 2016 reached ¥741,285,521.61, an increase of 11.01% from ¥667,780,474.53 at the end of 2015[30]. - The net assets attributable to shareholders increased by 15.45% to ¥371,217,689.19 in 2016 from ¥321,537,463.85 in 2015[30]. - The company reported a quarterly revenue of ¥321,537,268.95 in Q4 2016, which was the highest among the four quarters[32]. - The company experienced a net profit of ¥60,446,421.66 in Q4 2016, marking a strong performance in the last quarter[32]. - The weighted average return on equity for 2016 was 16.13%, slightly up from 15.81% in 2015[30]. - The company received government subsidies amounting to ¥1,575,000.00 in 2016, compared to ¥436,800.00 in 2015[35]. Dividend Distribution - The company plans to distribute a cash dividend of 3.00 CNY per 10 shares to all shareholders, based on a total of 67,420,000 shares[17]. - The cash dividend represents 100% of the total profit distribution amount, with a distributable profit of 194,518,383.77 CNY[123]. - In 2016, the cash dividend paid was 20,226,000 CNY, which accounted for 36.47% of the net profit attributable to shareholders[126]. - The cash dividend for 2015 was 10,113,000 CNY, representing 21.33% of the net profit attributable to shareholders[126]. - The cash dividend for 2014 was also 10,113,000 CNY, which was 19.83% of the net profit attributable to shareholders[126]. - The company has a policy that cash dividends should account for at least 20% of profit distribution during significant capital expenditure phases[124]. Research and Development - The company intends to increase R&D efforts to continuously develop new technologies and products to meet market demands[9]. - The company invested approximately 84.87 million yuan in product research and development, which is 12.38% of its operating revenue, and obtained 43 new patents[70]. - The company's R&D investment in 2016 was ¥84,867,516.88, accounting for 12.38% of operating revenue, a decrease from 15.30% in 2015[91]. - The company is committed to continuous software product development and upgrades, reflecting its dedication to innovation[51]. - The company is focused on continuous technological innovation to meet customer needs and has formed a complete cloud and big data PaaS and IaaS platform[50]. Market Expansion and Strategy - The company aims to enhance market expansion by developing new products and services, including virtual operators and cloud services[7]. - The company plans to expand its market scale by leveraging its core position in the telecom industry and actively developing applications in cloud and big data[107]. - The company aims to enhance its core competitiveness by integrating resources in products, services, and markets to further consolidate its leading position in the telecom sector[108]. - The company will focus on international market expansion as part of its strategic initiatives[108]. - The company is exploring strategic partnerships to enhance its service offerings and market reach[57]. Risk Management - The company recognizes the risk of revenue concentration in the fourth quarter due to customer procurement processes and budget controls[5]. - The company acknowledges the competitive risk from new entrants in the market and emphasizes the need for timely product and technology upgrades[8]. - The company is aware of the risks associated with talent retention in a competitive software industry and is taking measures to address this[12]. - The company faces risks related to technology upgrades not matching market demands, which could negatively impact operations[113]. - The company has a concentrated customer base, primarily relying on major telecom operators, which poses a risk if market conditions change[114]. Intellectual Property - The company has obtained a total of 94 invention patents, 65 registered trademarks, and 324 software copyrights by the end of the reporting period[51]. - The company acquired 43 new invention patents, enhancing its intellectual property portfolio[52]. - The patents obtained include methods for data storage and transmission, video file encryption, and dynamic template configuration, indicating a focus on innovative technology solutions[52]. - The company emphasizes the importance of intellectual property in maintaining a competitive edge in the market[51]. Operational Efficiency - The company is committed to enhancing project management and acceptance control levels to improve operational efficiency[7]. - The company is focused on improving its organizational structure and management practices to match its growing business scale[14]. - The company aims to improve operational efficiency, targeting a reduction in costs by 5% over the next year[148]. Compliance and Governance - The management emphasized the importance of compliance and transparency in financial reporting to maintain investor trust and confidence[149]. - The company guarantees that it will not use related party transactions to harm the interests of shareholders[152]. - The company has made commitments regarding its public offerings and will disclose any failures to meet these commitments[153]. - The company will ensure that any profits obtained due to unfulfilled commitments will be returned to the company[156]. Shareholder and Management Stability - The largest shareholder, Wu Feizhou, holds 40.51% of the shares, totaling 20,486,080 shares[191]. - The company has not experienced any changes in its controlling shareholder or actual controller during the reporting period[193][195]. - The total number of shares held by the board members and senior management at the end of the reporting period was 29,718,130 shares[200]. - The company’s total shareholding structure reflects stability among its key executives and board members[200].