Financial Performance - The net profit attributable to ordinary shareholders of the listed company for 2022 was 8,080.3 million, representing an increase of 18.60% compared to 6,812.9 million in 2021[21]. - The net profit excluding non-recurring gains and losses was 6,166.9 million, up 86.54% from 3,305.9 million in the previous year[21]. - Total assets increased by 7.22% to 180,953.6 million from 168,763.4 million in 2021[21]. - The basic earnings per share rose to 1.71, a 16.33% increase from 1.47 in 2021[21]. - Operating revenue for 2022 was 122,954.4 million, reflecting a 7.36% increase from 114,521.6 million in 2021[23]. - The net cash flow from operating activities decreased by 51.81% to 7,577.7 million from 15,723.5 million in 2021[23]. - The total liabilities amounted to 121,410.4 million, a 5.14% increase from 115,475.8 million in 2021[23]. - The company achieved a revenue of CNY 122.95 billion in 2022, representing a year-on-year growth of 7.36%[43]. - Net profit attributable to ordinary shareholders was CNY 8.08 billion, an increase of 18.60% year-on-year, while the net profit excluding non-recurring gains and losses rose by 86.54% to CNY 6.17 billion[43]. - The operating revenue from the domestic market was 85,246.3 million, with a year-on-year increase of 9.20%[54]. Dividend and Shareholder Information - The company plans to distribute a cash dividend of RMB 4 per 10 shares to all shareholders, subject to approval at the shareholders' meeting[2]. - The board proposed a cash dividend of 4 yuan per 10 shares for the 2022 fiscal year, subject to shareholder approval[87]. - The company distributed a total of 4.36 billion CNY in cash dividends from 2020 to 2022, representing 68.34% of the average annual net profit attributable to shareholders of 6.38 billion CNY over the last three years, exceeding the 30% requirement[130]. - The company will complete the dividend distribution for the 2022 fiscal year by August 31, 2023, based on the timing of the shareholders' meeting[130]. Corporate Governance - The report indicates a commitment to corporate governance and social responsibility, ensuring transparency and accountability[3]. - The company adheres to corporate governance regulations and has established a governance structure that ensures equal rights for all shareholders[120]. - The board consists of nine members, including three executive directors, two non-executive directors, and three independent non-executive directors, ensuring compliance with listing rules[137]. - The company ensures that directors avoid conflicts of interest during decision-making processes[146]. - The company has a multi-layered cultural system aimed at fostering a harmonious and responsible corporate atmosphere[121]. - The company has implemented a comprehensive compliance management system to mitigate risks associated with international operations[115]. Risk Management - The company emphasizes the importance of risk management, detailing potential operational risks in the report[2]. - The company has strengthened its foreign exchange risk management through business strategy guidance, internal settlement management, financing structure design, and foreign exchange derivatives hedging[94]. - The company has established a risk control and information disclosure system for derivative investments to effectively regulate derivative trading behavior and control associated risks[97]. - The company aims to reduce the impact of exchange rate and interest rate fluctuations on its assets, liabilities, and profitability through hedging transactions[98]. Research and Development - The company has maintained a strong focus on R&D, particularly in core technologies, to enhance product competitiveness and align with global digitalization and low-carbon development trends[28]. - The company is investing in advanced technologies such as heterogeneous computing and distributed databases to optimize performance and reduce costs[5]. - The company is investing 500 million in research and development for new technologies in telecommunications[175]. - Research and development (R&D) expenditure amounted to 21,602.3 million, a 14.88% increase, representing 17.57% of operating revenue, up by 1.15 percentage points[59]. Market Expansion and Strategy - The company is focusing on new product development, particularly in 5G technology and AI solutions, to enhance its market position[5]. - The company aims to enhance market share in the domestic market and improve customer service capabilities in 2023[16]. - The company is focusing on high-value industries such as internet, finance, and transportation for future growth[16]. - The company is actively expanding its market presence in Europe and Southeast Asia by collaborating with major operators to establish 5G demonstration networks[48]. - The company plans to expand its market presence in Southeast Asia, targeting a 20% market share by 2025[175]. Technological Innovation - The company is focusing on innovation in its consumer business, particularly in mobile imaging and display experiences, while expanding smart home applications[113]. - The company launched the new UniSite NEO solution, which includes the OmniUBR product and the new generation 5 series AAU, significantly reducing equipment size, weight, and power consumption while supporting multi-band and high bandwidth[31]. - The company achieved a global shipment of over 240,000 servers in 2022, supporting digital transformation across various industries[33]. - The company’s Common Core solution reduces network complexity and construction costs by over 40%, while improving delivery speed by 30%[31]. Employee and Workforce Information - The company reported a total employee count of 74,811 as of December 31, 2022, with total employee compensation amounting to approximately 27.7 billion[106]. - The group has 36,300 R&D personnel, representing 48.5% of the total workforce[197]. - Female employees account for approximately 24.0% of the total workforce, with 17,936 women employed[200]. - The number of employees with a master's degree is 28,839, making up 38.5% of the total[200]. International Operations - The company operates in over 100 countries, facing various country-specific risks including legal compliance, taxation, and political stability[115]. - The company is exposed to foreign exchange risks due to sales and procurement in currencies other than RMB, and is enhancing its foreign exchange risk management strategies[117]. Awards and Recognition - The company won the "Most Innovative Network Slicing Case" award at the 2022 Network X conference for its 5G slicing solution, which supports flexible slicing granularity from 5 Gbps to 10 Mbps[32].
中兴通讯(00763) - 2022 - 年度财报