SGSG(300561)2020-04-27 16:00Financial Performance - The company's operating revenue for 2019 was ¥196,542,876.01, a decrease of 19.64% compared to ¥244,580,350.28 in 2018[21]. - The net profit attributable to shareholders for 2019 was ¥20,118,329.09, down 22.73% from ¥26,037,504.42 in 2018[21]. - The net profit after deducting non-recurring gains and losses was ¥7,383,347.52, an increase of 33.41% from ¥5,534,245.08 in 2018[21]. - The net cash flow from operating activities was ¥52,417,303.66, a significant increase of 206.80% compared to -¥49,078,930.65 in 2018[21]. - The total assets at the end of 2019 were ¥783,491,877.45, a decrease of 0.91% from ¥790,680,560.65 at the end of 2018[21]. - The net assets attributable to shareholders decreased by 2.28% to ¥669,725,192.26 from ¥685,376,542.47 in 2018[21]. - The weighted average return on equity for 2019 was 2.99%, down from 3.84% in 2018[21]. - The company achieved a gross profit margin of 58.16% in 2019, an increase of 7.28% compared to the previous year[60]. - The company reported a net profit of ¥18,606,222.72 for 2019, with a significant difference of ¥33,811,080.91 compared to the net cash flow from operating activities[76]. Dividend Distribution - The company reported a profit distribution plan to distribute cash dividends of 0.8 RMB per 10 shares, based on a total of 253,736,848 shares[10]. - A cash dividend of RMB 0.80 per 10 shares (including tax) was distributed to all shareholders, with no stock dividends or capital reserve transfers[116]. - The total cash dividend amount for 2019 was RMB 20,298,947.84, which accounted for 100% of the total profit distribution[115]. - The company plans to maintain a stable and active profit distribution policy, prioritizing cash dividends, with a minimum of 10% of distributable profits allocated for cash dividends annually[111]. - In the case of significant capital expenditures, the minimum cash dividend ratio is set at 20% for companies in a growth phase[112]. - The company’s profit distribution plan for 2019 was approved by the board and aligned with the company’s articles of association[115]. - The company has established a three-year shareholder return plan for 2019-2021, emphasizing sustainable and reasonable returns to investors[110]. Research and Development - The company has a strong focus on R&D, with over 95% of its technological achievements converted into products, and has participated in the formulation of 3 national and industry standards[36]. - The company has obtained 22 invention patents, 48 utility model patents, and 18 design patents, emphasizing its commitment to innovation and patent protection[39]. - The company is focused on applying high-tech solutions such as artificial intelligence and IoT in the financial sector, aiming to reduce operational costs and control risks systematically[37]. - The company aims to enhance its R&D capabilities and align product planning with financial industry trends and customer needs to improve profitability[103]. - The company reported an R&D investment amounting to ¥32,347,916.13 in 2019, representing 16.46% of total revenue, an increase from 14.68% in 2018[71]. Market Position and Strategy - The company emphasizes the importance of maintaining a stable and growing customer base in the banking sector, which is crucial for its operational stability and growth[8]. - The company aims to enhance its competitive strength and industry position by accelerating the development and promotion of new products[7]. - The company is focused on maintaining its market share and influence by timely launching new products and upgrading existing ones[9]. - The company has established a nationwide customer network, serving major commercial banks and financial institutions across China[47]. - The company has a strong brand advantage due to its long-term relationships with banking clients, which creates barriers for new entrants[47]. Risks and Challenges - The company faces risks related to the development and market expansion of new products, which may have uncertain revenue expectations due to lengthy promotion cycles[7]. - The company acknowledges the risk of declining gross margins due to intensified competition in the financial technology sector and plans to focus on innovation to maintain its leading advantage[9]. - The company recognizes the potential impact of macroeconomic factors and regulatory changes on the banking industry, which could affect its business development[8]. Compliance and Governance - The company emphasizes compliance with the requirements of the Growth Enterprise Market and aims to enhance corporate governance and risk management[105]. - The company has adhered to strict compliance with its articles of association and relevant regulations regarding related party transactions[146]. - The company has established a profit distribution policy, particularly focusing on cash dividends, to ensure investor returns[143]. Asset Management and Investments - The company reported a total investment of ¥181,707,551.79 during the reporting period, representing a significant increase of 283.46% compared to the previous year's investment[85]. - The company has invested a total of 33,296.61 million CNY in fundraising projects, with 18,022.5 million CNY allocated to the R&D center construction project[93]. - The company has a bank financial product with a principal amount of 6 million CNY, yielding an annualized return of 3.35%[179]. - The company raised a total of 4,000 million in funds through wealth management products with a return rate of 3.00% in November 2019[181]. Corporate Social Responsibility - The company actively engages in social responsibility initiatives, focusing on community support and employee rights protection[186]. - The company established a charity fund focused on supporting social welfare initiatives in Zhuhai, including scholarships for local schools[187]. - The company has a comprehensive employee welfare system, providing social insurance and optimizing employee care[187].