LETS(SZ:002398)2016-04-25 16:00Financial Performance - The company's operating revenue for Q1 2016 was ¥233,792,002.75, a decrease of 16.62% compared to ¥280,399,894.08 in the same period last year[8]. - The net profit attributable to shareholders was ¥39,042,315.69, down 17.84% from ¥47,520,485.10 year-on-year[8]. - The net profit after deducting non-recurring gains and losses was ¥33,855,807.41, reflecting a decline of 26.35% compared to ¥45,969,435.74 in the previous year[8]. - The net cash flow from operating activities was negative at -¥11,254,409.69, a significant drop of 198.10% from ¥11,472,921.98 in the same period last year[8]. - Basic and diluted earnings per share were both ¥0.11, down 21.43% from ¥0.14 in the previous year[8]. - The total assets at the end of the reporting period were ¥2,388,746,900.89, a decrease of 3.59% from ¥2,477,603,517.81 at the end of the previous year[8]. - The net assets attributable to shareholders increased by 1.95% to ¥2,036,300,591.66 from ¥1,997,258,275.97 at the end of the previous year[8]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 20,070[12]. - The largest shareholder, Cai Yongtai, holds 17.76% of the shares, with 60,853,129 shares, of which 45,639,846 are pledged[12]. Cash Flow and Investments - Cash and cash equivalents decreased by ¥64,425,513.01, a decline of 49.62%, primarily due to increased purchases of bank principal-protected financial products during the reporting period[16]. - Cash flow from investing activities decreased by ¥206,503,366.28, mainly due to the purchase of bank principal-protected financial products during the reporting period[18]. - Investment income rose by ¥4,897,886.36, an increase of 378.34%, attributed to dividend payments received from an associated company by the subsidiary Fujian Jianyan[17]. Operational Changes - The company is actively adjusting its strategic planning in response to the ongoing decline in the domestic macroeconomic environment[27]. - The company aims to enhance its comprehensive ability to withstand market slowdown risks by integrating resources and adopting an "Internet+" based new business model[27]. - Efficiency improvements and strengthened customer risk control measures are being implemented to enhance internal operational management[27]. Commitments and Governance - The company has committed to not engage in high-risk investments such as securities investments for twelve months after raising funds to replenish working capital[25]. - The company has promised to maintain stable operations and sustainable development, ensuring that major shareholders do not seek to become controlling shareholders or actual controllers[24]. - The company has undertaken a commitment to not reduce its shareholdings for six months from September 20, 2014, to March 19, 2015[26]. - The company has ensured that all related party transactions will be conducted fairly and in accordance with the company's financial management system[23]. - The company has a commitment from major shareholders to avoid any form of fund occupation of the company and its subsidiaries[23]. - The company has confirmed that it will not participate in any activities that may affect the actual control of the company by its major shareholder, Cai Yongtai[24]. - The company has stated that it will not transfer or entrust the management of its shares during the commitment period[26]. - The company has committed to adjusting the number of locked shares in case of capital increases or stock dividends during the commitment period[26]. Future Projections - The net profit attributable to shareholders for the first half of 2016 is expected to range from 82.03 million to 114.84 million CNY, representing a decrease of 25.00% to an increase of 5.00% compared to the same period in 2015[27]. - The net profit for the first half of 2015 was 109.37 million CNY[27].