Financial Performance - Revenue for 2023 reached RMB 5,679,073 thousand, an increase from RMB 4,865,769 thousand in 2022[6] - Net loss attributable to owners of the Company in 2023 was RMB 209,890 thousand, improving from a loss of RMB 389,158 thousand in 2022[6] - Basic loss per share in 2023 was RMB (6.07) cents, compared to RMB (11.31) cents in 2022[6] - Revenue in 2023 reached RMB 5.68 billion, a year-on-year growth of 16.7%[14] - Net loss attributable to shareholders narrowed by 46.1% year-on-year to RMB 210 million in 2023[14] - Operating cash flow increased by 74.5% year-on-year to RMB 650 million in 2023[14] - Kingdee's total revenue for 2023 reached approximately RMB 5,679,073,000, representing a 16.7% year-on-year growth compared to 2022[21] - Net cash flow from operating activities increased by 74.5% year-on-year to approximately RMB 653,319,000[21] - The company's loss attributable to owners narrowed to approximately RMB 209,890,000, compared to a loss of RMB 389,158,000 in 2022[21] - Total revenue for the year ended 31 December 2023 was RMB5,679,073,000, representing a yoy growth of 16.7% (2022: RMB4,865,769,000)[35] - Gross profit increased by 21.6% yoy to RMB3,643,989,000 (2022: RMB2,997,633,000), with gross profit margin rising to 64.2% (2022: 61.6%)[38] - Loss attributable to owners of the Company decreased to RMB209,890,000, with a net loss margin of 3.7% and basic losses per share of RMB6.07 cents[44] - Total assets increased to RMB 14,139,197,000 in 2023 from RMB 11,731,437,000 in 2022, reflecting a growth of 20.5%[190] - Revenue from contracts with customers rose to RMB 5,679,073,000 in 2023, up 16.7% from RMB 4,865,769,000 in 2022[195] - Gross profit improved to RMB 3,643,989,000 in 2023, a 21.6% increase compared to RMB 2,997,633,000 in 2022[195] - Operating loss narrowed to RMB 419,947,000 in 2023 from RMB 587,344,000 in 2022, indicating a 28.5% improvement[195] - Research and development costs increased to RMB 1,439,671,000 in 2023, up 11.1% from RMB 1,295,476,000 in 2022[195] - Net assets grew to RMB 8,702,152,000 in 2023, a 17.5% increase from RMB 7,407,583,000 in 2022[192] - Total liabilities rose to RMB 5,437,045,000 in 2023, up 25.8% from RMB 4,323,854,000 in 2022[192] - Loss for the year decreased to RMB 269,806,000 in 2023, a 40.4% improvement from RMB 452,404,000 in 2022[195] - Share of profits of associates increased to RMB 28,506,000 in 2023, up 121.8% from RMB 12,850,000 in 2022[195] - Basic loss per share improved to RMB 6.07 cents in 2023 from RMB 11.31 cents in 2022, reflecting a 46.3% reduction[195] - Annual loss for 2023 decreased to RMB 269.8 million from RMB 452.4 million in 2022, showing a reduction of 40.4%[196] - Total comprehensive loss for 2023 was RMB 202.7 million, compared to RMB 366.5 million in 2022, a decrease of 44.7%[196] - Other comprehensive income for 2023 was RMB 67.1 million, down from RMB 85.9 million in 2022, a decrease of 21.9%[196] - Total equity increased from RMB 7,407,583 thousand in 2022 to RMB 8,702,152 thousand in 2023, reflecting a growth of 17.5%[199] - Net cash inflow from operating activities rose to RMB 653,319 thousand in 2023, up from RMB 374,437 thousand in 2022, a 74.5% increase[200] - Net cash outflow from investing activities increased to RMB 1,304,553 thousand in 2023, compared to RMB 787,031 thousand in 2022, a 65.8% rise[200] - Net cash inflow from financing activities surged to RMB 1,670,991 thousand in 2023, a significant increase from RMB 300,525 thousand in 2022, up 456.1%[200] - Cash and cash equivalents at the end of 2023 stood at RMB 2,963,723 thousand, a 52.6% increase from RMB 1,942,735 thousand at the end of 2022[200] - The company issued new shares worth RMB 1,411,847 thousand in 2023, compared to no issuance in 2022[200] - Retained earnings decreased to RMB 1,020,406 thousand in 2023 from RMB 1,230,296 thousand in 2022, a 17.1% decline[199] - Non-controlling interests dropped to RMB 103,096 thousand in 2023 from RMB 142,230 thousand in 2022, a 27.5% decrease[199] - The company's total comprehensive loss for 2023 was RMB 202,725 thousand, compared to a loss of RMB 269,806 thousand in 2022, a 24.9% improvement[199] - Proceeds from disposal of financial assets at fair value through profit or loss were RMB 61,142 thousand in 2023, down from RMB 829,459 thousand in 2022, a 92.6% decrease[200] Cloud Services and SaaS Performance - Cloud Services revenue grew by 21.3% year-on-year, accounting for 79.3% of total revenue in 2023[14] - Annual Recurring Revenue (ARR) from cloud subscription services increased by 33.1% year-on-year to RMB 2.86 billion in 2023[14] - Cloud subscription net dollar retention rates were 105.3% for Kingdee Cloud Cosmic and Constellation, 97.2% for Kingdee Cloud Galaxy, and 90.8% for Kingdee Cloud Stellar in 2023[14] - Cloud services revenue grew by 21.3% year-on-year, accounting for 79.3% of the Group's total revenue[21] - Annual Recurring Revenue (ARR) for Kingdee Cloud subscription services reached approximately RMB 2.86 billion, a 33.1% year-on-year increase[21] - Contract liabilities related to cloud subscription services grew by 29.6% year-on-year[21] - Cloud services revenue increased to RMB 4,504,983,000, up 21.3% YoY, accounting for 79.3% of the Group's revenue[23] - Revenue from the Cloud Services increased by 21.3% yoy to RMB4,504,983,000 (2022: RMB3,714,093,000)[35] - Kingdee Cloud Cosmic and Kingdee Cloud Constellation recorded revenue of approximately RMB981 million, representing a year-over-year (yoy) growth of approximately 40.9%, with subscription ARR increasing by approximately 48.7% yoy and a Net Dollar Retention (NDR) rate of 105.3%[26] - Kingdee Cloud Galaxy achieved revenue of approximately RMB1,952 million, representing a yoy growth of approximately 16.2%, with subscription ARR increasing by approximately 29.2% yoy and an NDR of 97.2%[27] - Kingdee Cloud Stellar revenue increased by approximately 108.6% yoy, with an NDR of 90.8%[29] - SME finance cloud realized revenue of approximately RMB1,080 million, representing a yoy increase of approximately 25.4%, with subscription ARR increasing by approximately 45.6% yoy[29] - Kingdee Cloud Galaxy signed more than 1,400 national and provincial specialized and new enterprises, with a market share of 43% among national specialized and new "small giants"[27] Market Position and Awards - The company has been ranked No.1 by IDC in China's growing enterprise application software market share for 19 consecutive years[1] - Kingdee was selected as one of the S&P Global "Sustainability Yearbook (China Edition) 2023", with ESG score ranking first among software enterprises[1] - The company won the IDC 2023 Global Customer Satisfaction Award for Financial SaaS[1] - Kingdee is the only Chinese vendor ranked among the top 10 Gartner's high-productivity aPaaS platform vendors for three consecutive years[1] - The company has been ranked No.1 by IDC in 2023 H1 ERM SaaS and Financial SaaS market[1] - Kingdee won the first prize of the "China Standard Innovation Contribution Award", the highest national honor in China's standardization field[1] - Kingdee maintained the number one position in Gartner's high-productivity aPaaS market for three consecutive years and entered the top ten global aPaaS market share[16] - Kingdee ranked first in IDC SaaS market share and Gartner's high-productivity aPaaS market for three consecutive years[19] - The company was the only Chinese firm to win IDC's 2023 Financial SaaS Global Customer Satisfaction Award[19] - Kingdee's ESG score was the highest among Chinese software companies, earning it a place in the S&P Global Sustainability Yearbook (China Edition) 2023[19] - Kingdee maintained the No.1 market share in China's SaaS ERM and Financial cloud services for IDC 2023 H1[22] - Kingdee ranked among the top ten global high-productivity aPaaS platforms by Gartner for three consecutive years[22] - Kingdee achieved 19 consecutive years as the No.1 market share leader in China's growing enterprise application software market[22] - Kingdee was selected for the S&P Global Sustainable Yearbook (China Edition) 2023, achieving the highest ESG score among Chinese software companies[70] Strategic Initiatives and Partnerships - Kingdee launched the Cosmic GPT platform and introduced China's first financial vertical LLM, accelerating financial management intelligence[15] - Over 50 Fortune 500 companies and SOEs formed new partnerships with Kingdee in 2023, including Sinochem, China National Building Material Group, and Mercedes-Benz China[15] - Kingdee launched the enterprise-level large language model (LLM) platform, Kingdee Clouds Cosmic GPT, integrating with Baidu and Microsoft's LLMs[23] - Kingdee introduced China's first financial model, leveraging 30 years of financial knowledge and serving over 7.4 million customers[23] - Kingdee Clouds Constellation replaced foreign ERP products in the Weichai Lovol project, improving 21 key business indicators and integrating 18 peripheral systems[23] - Kingdee's Constellation HR Cloud helped large enterprises like Huawei and China Construction Bank achieve digital HR transformation[24] - Kingdee's global platform capabilities (language, deployment, privacy) were validated by international enterprises such as China Merchants Group and Hisense[25] - Kingdee has helped 221 enterprises complete localization substitution as of the reporting period[26] - Kingdee Cloud Stellar Ultra Edition was released, providing integrated production, supply, and marketing solutions to small and micro manufacturing and trade enterprises[28] - The SME partner ecosystem expanded, with the number of marketing and service partners exceeding 1,900[28] - Kingdee entered into new strategic cooperation with cloud service vendors such as CTYun, Baidu, and Microsoft, and deepened cooperation with partners like KPMG, iSoftStone, Ernst & Young, Deloitte, and HAND Information[30] - Nearly 200 ISV partners have built digital products based on Cosmic, forming joint industry solutions covering 19 major industries[30] - Kingdee's 2024 strategy focuses on "Subscription priority, AI priority" to enhance digital management value for Chinese enterprises[70] - The Group continues to deepen cloud transformation and support enterprises in building new-quality productivity[70] Corporate Governance and Leadership - Xu Shao Chun, aged 60, is the founder, chairman, and CEO of the Group, with a Master of Accounting and an EMBA degree[71] - Xu Shao Chun has been awarded numerous accolades, including the "World Indigenous Entrepreneur Award of the United Nations" and "Shenzhen Science and Technology Innovation Mayor's Award"[71] - Lin Bo, aged 50, has been an executive Director since 2016 and currently serves as the CFO of the Company[71] - Lin Bo holds a bachelor's degree in Computer Science from Xiamen University and has extensive experience in strategic planning, marketing, and financial management[71] - Lin Bo was awarded the "Top 10 CFO in China of the year 2018"[71] - Ms. DONG Ming Zhu, aged 69, has been a non-executive Director since 2012 and is currently the chairman and President of Gree Electric Appliances, Inc. of Zhuhai (stock code: SZ000651)[72] - Ms. DONG has been elected as a member of the 10th, 11th, 12th, 13th, and 14th National People's Congress and holds various prestigious positions including United Nations Ambassador for Sustainable Urban Development[72] - Ms. DONG has been awarded numerous honors including "National Model Worker", "National May 1 Labor Medal", and "China Outstanding Individual for Quality (National Individual Quality Award)"[72] - Gary Clark BIDDLE, aged 72, has been an independent non-executive Director since 2004 and was re-designated as a non-executive Director on 31 December 2021[72] - Mr. BIDDLE is a Professor of Financial Accounting at the University of Melbourne and a visiting professor at Columbia University, the University of Hong Kong, and London Business School[72] - Mr. BIDDLE earned his MBA and PhD degrees at the University of Chicago and has served as a professor at several prestigious universities including the University of Chicago and the University of Washington[72] - Mr. BIDDLE is a member of the American Institute of Certified Public Accountants (AICPA), Australian Institute of Company Directors, CPA Australia, and Hong Kong Institute of Certified Public Accountants (HKICPA)[72] - Mr. BIDDLE is a leading expert in financial and management accounting, value creation, economic forecasting, corporate governance, and performance metrics[72] - Mr. BIDDLE is currently an independent non-executive director of Shui On Land Limited (stock code: 272)[72] - ZHOU Jun Xiang has been an independent non-executive Director since 31 December 2021, holding a bachelor's degree in computer science and a master's degree in accounting, and is currently a Partner at Beijing Dahua International Accounting Firm[73] - Katherine Rong XIN has been an independent non-executive Director since 31 December 2021, holding a master's degree in applied linguistics, an MBA, and a doctorate in business administration, and is currently a professor at the China Europe International Business School[73] - ZHOU Jun Xiang is a member of the Expert Group and Review Committee of Shenzhen Municipal Government Guidance Fund, Shenzhen Municipal Government Stable Fund, and Shenzhen Angel FOF[73] - Katherine Rong XIN was awarded the Chinese Most Cited Researchers by Elsevier for seven consecutive years from 2014 to 2020[73] - ZHOU Jun Xiang is currently an independent director of Suntak Technology Co., Ltd., Shenzhen Institute of Building Research Co., Ltd., and Shen Zhen Kaifa Technology Co., Ltd.[73] - Katherine Rong XIN is currently an independent director of Contemporary Amperex Technology Co., Ltd. and an independent non-executive director of Fosun Tourism Group, EuroEyes International Eye Clinic Limited, and Landsea Green Life Service Company Limited[73] - BO Lian Ming, aged 60, has been an independent non-executive Director since 30 December 2022, with extensive experience in management and corporate leadership[74] - SIU Man Ho, Simon, aged 50, joined the Company in 2019, is a practicing solicitor of the High Court of Hong Kong, and has expertise in corporate finance, capital markets, and mergers and acquisitions[74] - ZHANG Yong, aged 49, is the president of Kingdee International and Kingdee China, with significant experience in marketing and team management since joining the Company in 1995[75] - The Board comprises 7 Directors, including 2 executive Directors, 2 non-executive Directors, and 3 independent non-executive Directors, with 2 female members out of 7[150] - The Board's age distribution includes 2 members aged 50-59, 4 aged 60-69, and 1 aged 70-79[150] - The length of service for Directors includes 3 with less than 5 years, 1 with 6-10 years, and 3 with over 10 years of service[150] - The Nomination Policy was revised on 15 March 2023 to ensure a balance of skills, experience, and diversity in the Board[151][154] - The Nomination Committee is responsible for identifying qualified candidates for Board membership and making recommendations to the Board[152] - The Nomination Committee reviews the Board's structure, size, composition, and diversity (including gender and ethnicity) at least annually[153][155] - The company is committed to increasing the proportion of female Board members over time as suitable candidates are identified[149] - The company will continue to apply the principle of merit-based appointments while considering the benefits of diversity on the Board[149] - The Nomination Committee held two meetings during the reporting period to review the Board's structure, size, composition, and diversity, as well as the time commitment required from Directors, especially independent non-executive Directors[157] - The Nomination Committee's criteria for selecting and recommending candidates for directorship include considerations of qualifications, skills, and alignment with the company's goals and development strategy[157
金蝶国际(00268) - 2023 - 年度财报