HAND(300170)2023-04-24 16:00Financial Performance - In 2022, the company achieved a revenue of 3.007 billion CNY, a year-on-year increase of 6.98%, marking a historical high for the company[5]. - The company's revenue for 2022 was CNY 3,006,881,053.26, representing a 6.98% increase compared to CNY 2,810,661,529.65 in 2021[34]. - Net profit attributable to shareholders increased by 122.14% to CNY 437,771,215.55 in 2022 from CNY 197,066,619.71 in 2021[34]. - The basic earnings per share rose to CNY 0.49, a 122.73% increase from CNY 0.22 in the previous year[34]. - The gross profit margin for the main business increased to 29.60%, up from 25.74% in 2021, with emerging business gross margins rising to 31.67% from 25.51%[113]. - The net profit attributable to shareholders reached CNY 43,777.12 million, a significant increase of 122.14% year-on-year[116]. - The company reported a net profit margin of 18% for the last fiscal year, up from 15% the previous year[197]. Business Growth and Strategy - The self-developed product business (industrial digitalization + financial digitalization) grew by 28.36%, with revenue accounting for 48.02% of total revenue[5]. - Future growth strategies include market expansion and potential mergers and acquisitions to strengthen its competitive position[26]. - The company plans to continue its cautious optimism in 2023, despite ongoing economic challenges from 2022, and is preparing to address potential difficulties[8]. - The company aims to achieve a revenue growth target of 15% for the upcoming fiscal year[154]. - The company is focusing on expanding its market presence in Southeast Asia, aiming for a 20% market share by 2025[197]. - The company plans to launch a new software solution aimed at improving operational efficiency, expected to generate an additional 300 million RMB in revenue[197]. Digital Transformation and Innovation - The company plans to enhance its digital transformation services, focusing on integrating various business and technology components through its HZERO platform[26]. - The company is investing in new product development, particularly in AI-generated content (AIGC) and process automation technologies[26]. - The company aims to enhance its digital solutions by expanding its capabilities in AI applications to prepare for the upcoming enterprise intelligent upgrades[70]. - The company is focusing on AI applications in its products and services, aligning with the trend of increasing enterprise intelligence[60]. - The company has increased its focus on AI applications in finance, utilizing its Easy-Link RPA product to automate repetitive tasks and improve operational efficiency[91]. Market Opportunities - The digital economy's contribution to GDP is projected to rise from 7.8% in 2020 to 10% by 2025, indicating a favorable environment for the company's growth[45]. - The domestic software and information technology service industry is expected to reach a scale of ¥14 trillion by 2025, providing significant market opportunities for the company[46]. - The company is positioned to benefit from the ongoing trend of domestic software localization, which is gaining momentum due to government support and market demand[48]. - The company has served over 6,000 domestic and international enterprises, including more than 300 of China's top 500 companies and over 100 global top 500 companies[51]. Operational Efficiency - The company aims to improve delivery efficiency and reduce costs by promoting a centralized delivery model and optimizing development tools[15]. - The company has implemented a new generation of centralized delivery centers to enhance delivery efficiency and quality, aiming for standardized and automated processes[107]. - The company acknowledges the risk of technological innovation challenges and is focusing on optimizing development tools to improve R&D efficiency and reduce costs[177]. Research and Development - The company invested ¥437,894,141.10 in R&D in 2022, which is 14.56% of total operating revenue[133]. - Research and development expenditures increased by 5.26% year-over-year, indicating a commitment to innovation[151]. - The number of R&D personnel increased by 10.55% to 7,105 in 2022, with a proportion of 68.69% of total employees[133]. Shareholder Engagement and Governance - The company provides online voting services for minority shareholders during general meetings, facilitating their rights to participate[182]. - The company maintains an independent business, personnel, assets, and financial operations, ensuring no competition or unfair transactions with controlling shareholders[185]. - The company has established a transparent performance evaluation and incentive mechanism for its directors and senior management[184]. - The company ensures timely, accurate, and complete information disclosure, with designated platforms for investor relations[184]. Challenges and Risks - The company anticipates risks from macroeconomic fluctuations that could impact client IT investment, and it will adjust strategies accordingly while controlling personnel and expenditure[175]. - Rising human resource costs are a concern, and the company plans to enhance delivery efficiency through centralized delivery centers to mitigate these costs[176].