But'one(SH:600455)2015-04-16 16:00Financial Performance - The net profit attributable to the parent company for 2014 was CNY 6,001,157.25, with retained earnings remaining negative at CNY -84,416,473.77 due to previous losses[6]. - The company proposed not to distribute profits for 2014, including cash dividends and stock dividends, to offset prior years' losses[6]. - The company's operating revenue for 2014 was CNY 207,771,529.51, a decrease of 20.23% compared to CNY 260,456,411.43 in 2013[33]. - The net profit attributable to shareholders for 2014 was CNY 6,001,157.25, down 43.05% from CNY 10,537,539.48 in 2013[33]. - The net cash flow from operating activities increased significantly to CNY 41,698,869.25, a 431.16% increase from CNY 7,850,532.74 in 2013[33]. - The total assets at the end of 2014 were CNY 715,933,802.50, reflecting a slight increase of 1.38% from CNY 706,203,528.14 at the end of 2013[33]. - The company's net assets attributable to shareholders increased by 4.80% to CNY 131,049,587.34 at the end of 2014, compared to CNY 125,048,430.09 at the end of 2013[33]. - Basic earnings per share for 2014 were CNY 0.096, a decrease of 43.20% from CNY 0.169 in 2013[34]. - The weighted average return on net assets for 2014 was 4.69%, down 4.11 percentage points from 8.80% in 2013[34]. - The company reported a significant loss of CNY 2,760,075.43 in net profit after deducting non-recurring gains and losses, compared to a profit of CNY 4,087,022.65 in 2013[33]. Business Operations - The company’s main business as of 2014 includes computer information and higher education services[23]. - The company’s main business has evolved over the years, with significant changes in its operations since its listing in 2004[23]. - The computer information business generated revenue of ¥71,874,870.83, down from ¥101,055,569.49 in 2013, while the education segment saw an increase in revenue to ¥135,189,084.33 from ¥126,069,542.56[44]. - The company has been focusing on enhancing internal management and R&D efforts to improve market competitiveness[38]. - The company has expanded its product offerings to include mobile internet applications, capturing market opportunities[65]. - The company holds a 70% stake in Xi'an Jiaotong University City College, which focuses on higher education, and a 100% stake in Xi'an Botong Technology Co., Ltd., which specializes in computer information[66]. Strategic Initiatives - The company has committed to not planning any major asset restructuring for six months starting from December 2, 2014, after terminating a proposed major asset restructuring due to compliance issues[40]. - The company aims to achieve an operating income of 22 million yuan in 2015, with cost control set at 21.5 million yuan[81]. - The computer information business requires funding of 30 million yuan for 2015, sourced from business receivables and bank loans[82]. - The city college's campus construction funding needs 25 million yuan, primarily from bank loans and tuition income[82]. - The company plans to enhance its core competitiveness and sustainable profitability by improving technology R&D, market sales, and teaching quality[80]. - The company will focus on expanding its market share and increasing the proportion of high-margin project contracts[81]. Governance and Compliance - The company received a standard unqualified audit report from Xinyong Zhonghe Accounting Firm for the 2014 financial report[7]. - The company’s board of directors and senior management confirmed the accuracy and completeness of the annual report[5]. - The company has established a comprehensive cash dividend mechanism to protect investor interests, as per the guidelines from the China Securities Regulatory Commission[87]. - The company has emphasized its commitment to social responsibility, focusing on employee rights protection and environmental sustainability[92]. - The company has not proposed any cash dividend distribution for the years 2013 and 2014, as all net profits were used to offset previous losses[90]. - The company has adhered to the requirements of the Company Law and the China Securities Regulatory Commission, with no discrepancies reported[162]. Market and Industry Trends - The software industry, where the company operates, is experiencing rapid growth, supported by government demand for information technology and electronic governance[75][76]. - The government’s "Internet Plus" initiative presents significant opportunities for the computer information industry[77]. - The company is actively researching capital restructuring to enhance its sustainable profitability[81]. Employee and Management - The total remuneration for all directors, supervisors, and senior management personnel at the end of the reporting period amounted to 1.5571 million yuan before tax[152]. - The company employed a total of 656 staff, with 167 in the parent company and 489 in major subsidiaries[152]. - The technical team and key technical personnel have remained stable, with most having been with the company for over three years, some exceeding ten years[150]. - The company has a strong focus on employee training, conducting various training programs to enhance overall employee quality and competitiveness[154]. Risks and Challenges - The company has faced risks related to future development plans and strategies, which are highlighted in the report[12]. - The company faced challenges in its main business operations due to the termination of a major asset restructuring plan, which negatively impacted profitability[38]. - The company faces risks in the computer information business due to market competition and the need for technological innovation[83].