SZZT(SZ:002197)2016-08-26 16:00Financial Performance - The company achieved operating revenue of CNY 595,516,047.05, representing an increase of 86.10% compared to the same period last year[21]. - The net profit attributable to shareholders was CNY 10,206,046.10, reflecting a growth of 2.40% year-on-year[21]. - The net profit after deducting non-recurring gains and losses was CNY 8,573,001.28, up by 13.62% from the previous year[21]. - Total assets at the end of the reporting period reached CNY 3,587,741,043.08, a 21.94% increase from the end of the previous year[21]. - The company's total equity decreased to CNY 919,219,710.77 from CNY 946,406,023.63, indicating a decline of about 2.9%[168]. - The net profit for the first half of 2016 was ¥39,189.58 million, down from ¥60,662.15 million for the full year of 2015, representing a decline of approximately 35.4%[124]. - The company's total liabilities increased to CNY 2,163,201,420.96 from CNY 1,614,664,320.46, marking an increase of approximately 33.9%[168]. Dividends and Share Capital - The company reported a plan not to distribute cash dividends, issue bonus shares, or increase capital from reserves[5]. - A cash dividend of 0.60 RMB per 10 shares was approved at the 2015 annual general meeting, with a total share capital of 426,036,752 shares[70]. - The cash dividend distribution was executed on June 8, 2016, with the record date set for June 7, 2016[70]. - The company plans not to distribute cash dividends or issue bonus shares for the half-year period[72]. - The total number of shares outstanding is 426,036,752, with 20.85% being limited shares and 79.15% being unrestricted shares[144]. Governance and Compliance - The financial report is guaranteed to be true, accurate, and complete by the company's management, with no significant omissions or misleading statements[4]. - The company has established a governance structure that complies with relevant laws and regulations, ensuring transparency and protection of shareholder rights[76]. - The independent directors have fulfilled their responsibilities effectively, and minority shareholders have had opportunities to express their opinions[71]. - The company has not engaged in any research, communication, or interview activities during the reporting period[73]. - The half-year financial report has not been audited[112]. Legal Matters - There are ongoing litigation matters involving a total amount of 10,793.19 million RMB, but the impact of these cases is currently indeterminate as they have not yet been adjudicated[77]. - The company is involved in multiple ongoing lawsuits, with claims amounting to approximately ¥2,486.35 million against Shenzhou Chuangyu Low Carbon Technology Investment (Beijing) Co., Ltd. and ¥639.73 million against Dongguan Donghai Long Environmental Technology Co., Ltd.[79]. - The company is currently involved in litigation with Shanghai Shancai Technology Development Co., Ltd. and others, with claims totaling ¥1,643.4 million[79]. - The company is also pursuing claims against Shanghai Jinheng Real Estate Development Center and others, amounting to ¥470.83 million[79]. Investments and Projects - The company has invested a total of RMB 51,290,000 in external investments during the reporting period, a decrease of 27.29% compared to RMB 70,538,600 in the same period last year[43]. - The company has committed to an investment project for the annual production of 500,000 financial IC card POS terminals, with a total investment of 9,589 million CNY, of which 2,263.6 million CNY has been invested, achieving a progress rate of 32.74% as of September 30, 2016[57]. - The annual production capacity expansion project for 30,000 self-service terminals has been fully completed, with a total investment of 7,119 million CNY, achieving 100% of the planned investment by December 31, 2015[57]. - The company has terminated the payment card industry security chip project due to changes in market demand and operational adjustments, reallocating the remaining funds for working capital[58]. Financial Position and Ratios - The debt-to-asset ratio increased to 21.87% in June 2016 from 22.02% at the end of 2015[124]. - The current ratio decreased significantly to 15.54 from 3.88, indicating a substantial increase in short-term liabilities[124]. - The return on equity (ROE) for the first half of 2016 was 6.20%, down from 12.31% in 2015[124]. - The company has maintained a 100% repayment rate for loans and interest over the past three years, with no overdue debts[138]. Research and Development - Research and development expenses rose by 68.50% to CNY 37,142,206.31, primarily due to an increase in personnel and projects[34]. - The company has obtained CMMI-ML3 certification, enhancing its R&D management and project delivery capabilities[30]. Subsidiaries and Operations - The company operates under various subsidiaries, including Shenzhen SZZT Jin Xin Technology Co., Ltd. and others[9]. - The company’s subsidiary, ZT Network, has successfully launched the merchant management system and personalized activity development for the "O2O Community Bank Mobile Internet Core Development Platform"[30]. - The company’s data center in Nansha, Guangzhou, has officially commenced operations, with ongoing construction of additional data centers in Changsha and Shenzhen[31]. Market and Customer Base - The company has a strong customer base, including major clients such as China Mobile and China Telecom, and has established partnerships with international clients like Hitachi and Fujitsu[42]. - The company has established a nationwide marketing and after-sales service network, with sales covering all 31 provinces, municipalities, and autonomous regions in China[42].