OURPALM(SZ:300315)2016-08-23 16:00Financial Performance - Total revenue for the first half of 2016 reached RMB 954.41 million, an increase of 108.65% compared to RMB 457.43 million in the same period last year[16]. - Net profit attributable to shareholders was RMB 418.50 million, representing a growth of 148.40% from RMB 168.48 million year-on-year[16]. - Operating cash flow for the period was RMB 451.16 million, up 180.43% from RMB 160.88 million in the previous year[16]. - Basic earnings per share increased to RMB 0.15, a rise of 114.29% compared to RMB 0.07 in the same period last year[16]. - The total profit reached CNY 454.14 million, reflecting a growth of 119.73% compared to the previous year[25]. - The company achieved operating revenue of CNY 954.41 million, a year-on-year increase of 108.65%[25]. - The mobile game segment generated revenue of approximately 804.53 million RMB, reflecting a year-on-year growth of 61.49%[36]. - The company reported a significant increase in cash and cash equivalents, rising by 431.85% to CNY 1.58 billion, mainly from fundraising activities[27]. Assets and Liabilities - Total assets at the end of the reporting period were RMB 10.06 billion, reflecting a 27.71% increase from RMB 7.88 billion at the end of the previous year[16]. - The company's total assets as of the end of the reporting period were CNY 10,028,838,792.62, up from CNY 7,965,227,182.90 at the beginning of the year[133]. - The total liabilities increased to CNY 1,771,779,561.46 from CNY 1,266,205,265.68, indicating a rise of 40%[133]. - The company's total liabilities were not explicitly stated, but the short-term borrowings remained constant at CNY 100 million[127]. Investment and Acquisitions - The company completed the acquisition of 80% equity in Tianma Timespace and 30% equity in upstream information, enhancing its R&D capabilities and profitability[42]. - The company has invested in several VR-related companies, including Beijing LeKe LingJing Technology Co., and has secured rights for the mobile adaptation of Ubisoft's "Assassin's Creed Online: Allies" in mainland China[43]. - The company has terminated the project for the development of mobile terminal single-player games and inter-network page games due to significant changes in feasibility[50]. - The company invested CNY 22 million for a 32.67% stake in Beijing Zhuchao New Game Network Technology Co., with an assessed value of CNY 22.3013 million[51]. - The company has been actively involved in mergers and acquisitions, including the purchase of stakes in various technology firms to expand its market presence[158]. Cash Flow and Financing - Cash flow from operating activities surged by 180.43% to CNY 451.16 million, primarily due to increased revenue[27]. - The company achieved a net cash inflow from financing activities of CNY 2,240,177,955.32, compared to a net outflow of CNY 59,060,103.20 in the previous period[141]. - The company raised a total of RMB 1,499,999,998.59 through a private placement of 115,473,441 shares at a price of RMB 12.99 per share in January 2016[56]. - The company has utilized 796 million RMB of the raised funds for capital increase in Tianjin Fanyou Technology, with all uses within the approved scope[80]. Shareholder Information - The profit distribution plan for 2015 included a cash dividend of RMB 0.17 per share, which was implemented on July 11, 2016[63]. - The company reported a positive net profit for the reporting period, but no cash dividend distribution plan was proposed despite having undistributed profits[64]. - Major shareholder姚文彬 holds 17.80% of shares, totaling 493,650,409 shares, with a decrease of 62,000,000 shares during the reporting period[113]. - The total number of shareholders at the end of the reporting period is 183,584[113]. Risks and Challenges - The company faces risks related to game product development, including rapid market changes and player preferences[20]. - There is a risk of core personnel turnover, which could impact the company's competitive advantage in game development[21]. - The company is pursuing an "internal + external" growth strategy, which includes mergers and acquisitions, but this also introduces integration risks[22]. Corporate Governance and Compliance - The financial statements were approved by the board of directors on August 23, 2016, indicating a commitment to transparency and accountability[168]. - The company maintained compliance with its cash dividend policy and shareholder rights protection mechanisms[64]. - There were no significant litigation or arbitration matters reported during the period[66]. - The company has not identified any issues or problems in the use and disclosure of raised funds[60]. Operational Developments - The company appointed Hu Bin as the new General Manager on April 8, 2016, following the resignation of the previous General Manager due to strategic development needs[121]. - The company has included 34 subsidiaries in its consolidated financial statements, all of which are wholly owned except for one holding subsidiary with an 80% ownership[169]. - The company added 2 new subsidiaries this period: Beijing Quwan Tiancheng Technology Co., Ltd. and Fan You (Hong Kong) Co., Ltd., while one subsidiary, Youzhou Information Technology (Tianjin) Co., Ltd., was deregistered[171].