Financial Performance - Huitongda Network Co., Ltd. reported a significant increase in revenue, achieving a total of RMB 1.2 billion, representing a year-on-year growth of 25%[36] - The company reported total revenue of RMB 39.89 billion for the six months ended June 30, 2022, representing a year-on-year growth of 33.1%[44] - Revenue from the commerce business reached RMB 39.49 billion, accounting for 99.0% of total revenue, with a year-on-year increase of 32.7%[44] - Adjusted net profit attributable to equity shareholders was RMB 187 million, reflecting a year-on-year increase of 57.7%[47] - The overall sales revenue from the service business was RMB 364 million, reflecting a year-on-year increase of 117.2%[52] - The service business revenue increased by 117.2% from RMB167,820 thousand to RMB364,447 thousand, primarily driven by SaaS+ subscriptions and merchant solutions[78] - The revenue from the SaaS+ subscription business grew significantly by 259.0% compared to the same period last year[79] - Adjusted net profit (non-IFRS measures) for the six months ended June 30, 2022, was RMB291.5 million, representing a 49.1% increase from RMB195.5 million in the same period of 2021[115] User Growth and Engagement - The user base expanded to 5 million active users, reflecting a 30% increase compared to the previous period[36] - New product launches contributed to a 15% increase in user engagement metrics, indicating strong market reception[36] - Total SaaS+ subscription users reached 110,781, up 55.1% from the previous year[45] - Paid SaaS+ users surged to 27,065, representing a remarkable growth of 179.7%[45] Market Expansion and Strategy - Huitongda plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[36] - The company is exploring potential acquisitions to bolster its service offerings and market reach, with a budget of RMB 500 million allocated for this purpose[36] - The Group aims to enhance its service capabilities through the SaaS+ strategy, focusing on supply chain, advertising, and logistics services[65] - The Group is investing in IT R&D to improve digital capabilities across the entire supply chain and support differentiated external interfaces[65] Financial Management and Investments - The company is investing RMB 200 million in R&D for new technologies aimed at enhancing user experience and operational efficiency[36] - The total allocated amount across all categories is RMB 1,782 million, with RMB 130 million used and RMB 1,652 million remaining[177] - The Company received HK$2,185.0 million of net proceeds from the initial public offering of H Shares, contributing to increased bank deposits and interest income[104] - As of June 30, 2022, cash and cash equivalents amounted to RMB4,501.1 million, up from RMB2,966.9 million as of December 31, 2021, indicating strong liquidity[121] Cost Management and Profitability - The gross profit margin improved to 35%, up from 30% in the previous year, indicating better cost management[36] - Gross profit for the period was RMB 1.15 billion, with a year-on-year growth of 49.1%[44] - The Group's cost of revenue rose by 32.7% from RMB29,203.4 million to RMB38,744.4 million for the six months ended June 30, 2022[86] - Selling and marketing expenses surged by 93.7% from RMB319.6 million to RMB619.1 million, with the proportion of these expenses in revenue rising from 1.1% to 1.6%[93] Corporate Governance and Compliance - The Company has maintained compliance with the corporate governance code since its listing date, ensuring shareholder interests and corporate accountability[149][151] - The Company has adopted a model code for securities transactions, ensuring compliance by all directors and supervisors throughout the reporting period[152] - The Audit Committee has reviewed the unaudited interim results for the six months ended June 30, 2022[181] Shareholder Information - The interests of directors and executives in the Company include 39,516,334 H Shares (21.92% of H Shares) and 114,439,526 Domestic Shares (29.93% of Domestic Shares) held by Chairman Wang Jianguo[158][159] - Executive Director and CEO Xu Xiuxian holds 18,295,661 H Shares (10.15% of H Shares) and 52,984,339 Domestic Shares (13.86% of Domestic Shares)[158][160] - As of June 30, 2022, Alibaba (China) Network Technology Co., Ltd. held 24,915,812 H Shares, representing approximately 13.82% of the relevant class of Shares and 4.43% of the total issued Shares of the Company[165] Future Outlook - The company anticipates a revenue growth forecast of 20% for the next quarter, projecting total revenue to reach RMB 1.44 billion[36] - In the second half of the year, the company aims to upgrade supply chain capabilities and explore cooperation with top upstream brand manufacturers[63]
汇通达网络(09878) - 2022 - 中期财报