Boss Soft(SZ:300525)2017-04-24 16:00Financial Performance - The company's operating revenue for 2016 was CNY 171,251,296.12, representing an increase of 11.78% compared to CNY 153,197,534.27 in 2015[17]. - The net profit attributable to shareholders for 2016 was CNY 38,301,620.49, which is a 4.27% increase from CNY 36,731,975.96 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was CNY 36,060,538.97, up by 4.18% from CNY 34,613,996.30 in 2015[17]. - The basic earnings per share for 2016 was CNY 0.66, down by 8.33% from CNY 0.72 in 2015[17]. - The diluted earnings per share also stood at CNY 0.66, reflecting the same decrease of 8.33% compared to the previous year[17]. - The weighted average return on equity for 2016 was 12.08%, a decrease of 5.46% from 17.54% in 2015[17]. - The company achieved operating revenue of CNY 171.25 million in 2016, representing a year-on-year growth of 11.78%[35]. - Net profit attributable to shareholders reached CNY 38.30 million, an increase of 4.27% compared to the previous year[35]. - The total revenue for the software industry reached ¥171,251,296.12, representing a year-on-year increase of 11.78%[42]. - The gross margin for the software industry was 69.23%, an increase of 2.13% compared to the previous year[42]. Cash Flow and Assets - The net cash flow from operating activities decreased by 32.43% to CNY 32,997,092.55 from CNY 48,836,982.82 in 2015[17]. - The total assets at the end of 2016 were CNY 480,442,114.57, an increase of 72.35% from CNY 278,764,026.98 at the end of 2015[17]. - The net assets attributable to shareholders increased by 86.06% to CNY 422,225,359.08 from CNY 226,928,649.16 in 2015[17]. - The company's cash and cash equivalents increased by 189.21% compared to the beginning of the year, primarily due to funds raised from new share issuance[29]. - Cash and cash equivalents at year-end amounted to 259,634,866.04, representing 54.04% of total assets, up from 32.20% the previous year[58]. - The company's total liabilities as of December 31, 2016, were CNY 50,827,635.89, compared to CNY 48,811,894.50 at the beginning of the year, showing a slight increase of about 4.1%[191]. Revenue Segments - The software development and sales segment generated revenue of CNY 59.42 million, a significant increase of 25.20% year-on-year[40]. - Technical service revenue rose to CNY 107.27 million, reflecting a growth of 22.23% compared to the previous year[40]. - The company reported a notable increase in revenue from the Northeast region, which grew by 34.24% year-on-year[40]. - Hardware and consumables sales saw a drastic decline of 80.95%, contributing only 1.90% to total revenue[40]. Investment and R&D - The company invested ¥24,446,038.31 in R&D, accounting for 14.27% of total revenue, an increase from 12.78% in the previous year[53]. - The company is actively investing in R&D for software and internet product development, focusing on electronic payment solutions and e-government services[36]. - The company has committed to several investment projects, with the non-tax revenue management project reaching 27.52% of its planned investment progress[67]. Shareholder and Dividend Policies - The company proposed a profit distribution plan with no cash dividends or bonus shares for shareholders[5]. - The company distributed cash dividends of 2.0 yuan per 10 shares, totaling 13.63 million yuan, based on a total share capital of 68.14 million shares as of July 31, 2016[86]. - The company plans to not distribute profits or issue bonus shares for the 2016 fiscal year, aligning with its long-term development strategy[88]. - The company commits to a cash dividend amounting to no less than 30% of the distributable profits for the year after statutory reserves are deducted[94]. Market and Competition - The company faces market competition risks as the fiscal ticket electronic management market matures, potentially leading to price declines and increased competition from both domestic and foreign software firms[78]. - The company has a significant reliance on the Fujian province for revenue, which poses a risk if there are adverse changes in that market[80]. - The company aims to focus on fiscal informationization and expand into other government service areas, leveraging trends in internet and big data applications[75]. Governance and Compliance - The company emphasizes compliance with laws and regulations, ensuring transparency and timely communication with investors[121]. - The company has established independent financial management and accounting systems, ensuring financial independence from the controlling shareholder[167]. - The board of directors consists of 9 members, including 3 independent directors, ensuring compliance with legal requirements[164]. - The independent directors attended 5 board meetings, with 3 via communication and 2 in person, and did not miss any meetings consecutively[170]. Employee and Management - The total number of employees as of 2016 was 1,080, reflecting a stable workforce[150]. - The company has 520 technical personnel, 70 sales personnel, and 15 financial personnel[157]. - The total remuneration for directors and senior management during the reporting period is 261.7 million yuan[156]. - The company maintains a governance structure that complies with relevant laws and regulations, ensuring equal rights for all shareholders[163].