RONGJI SOFTWARE(002474)2025-04-17 10:25Financial Performance - Fujian Rongji Software reported no cash dividends or stock bonuses for the fiscal year 2024[5]. - The company's operating revenue for 2024 was ¥484,414,968.67, representing a 29.17% increase compared to ¥375,009,219.29 in 2023[18]. - The net profit attributable to shareholders for 2024 was -¥86,902,866.92, an improvement of 40.33% from -¥145,647,872.79 in 2023[18]. - The net cash flow from operating activities increased by 23.37% to ¥34,531,479.64 in 2024, up from ¥27,991,161.57 in 2023[18]. - The basic earnings per share for 2024 was -¥0.1397, a 40.32% improvement from -¥0.2341 in 2023[18]. - Total assets at the end of 2024 were ¥2,526,128,008.70, a decrease of 5.69% from ¥2,678,483,306.70 at the end of 2023[18]. - The net assets attributable to shareholders decreased by 5.80% to ¥1,400,097,618.42 at the end of 2024, down from ¥1,486,354,529.53 at the end of 2023[18]. - The company reported a quarterly operating revenue of ¥121,601,539.19 in Q4 2024, with a net profit attributable to shareholders of -¥67,148,966.49[22]. - The company has experienced a continuous improvement in its financial metrics, indicating a potential recovery trajectory despite ongoing challenges[18]. Business Operations - The company operates in five main business areas: digital government, collaborative management, information security, big data, and the Internet of Things[11]. - The company is involved in significant electronic government projects, including the Jin Guan Project, which supports customs services and information resources[12]. - The company has a dedicated mobile collaborative management platform, Rongji iTask, to enhance remote work efficiency[12]. - The company is focusing on the development of new technologies and products in the software and information technology services industry, which is a strategic emerging industry in China[26]. - The company is focusing on the integration of AI with government services, enhancing its smart governance software platforms and products[38]. - The company is a leading service provider in the digital government and collaborative management sectors, contributing to national digital governance projects[36]. - The company has been recognized as a "2024 Provincial AI 'Leading Goose' Software Enterprise" by the Fujian Provincial Department of Industry and Information Technology[38]. - The company has actively expanded its market presence in the Xinchuang sector, focusing on key industries such as courts, customs, and local state-owned enterprises[41]. Research and Development - The company has established a robust software development process control system in compliance with ISO9001 and CMMI-5 standards, ensuring high-quality software development[56]. - The company holds 64 patents and 715 software copyrights, showcasing its strong core technology competitiveness in areas like artificial intelligence and cloud computing[62]. - The company is developing a government integration platform with a capitalized R&D amount of ¥30,092,225.91, aimed at enhancing digital governance capabilities[85]. - The company is also working on an intelligent platform for industry applications, with a capitalized R&D amount of ¥18,880,874.43, focusing on integrating smart technologies into various sectors[85]. - The company has implemented a comprehensive training system for employees, including various professional skills training[172]. Market Trends and Industry Outlook - In 2024, China's software and information technology service industry achieved a revenue of 1,372.76 billion yuan, representing a year-on-year growth of 10.0%[29]. - The total profit of the software industry reached 169.53 billion yuan in 2024, with a year-on-year increase of 8.7%[29]. - By 2025, the market size of China's software and information technology service industry is expected to exceed 14 trillion yuan[29]. - The digital economy in China has become the second largest globally, driven by strong policy support and rapid growth[29]. - The government has outlined plans to enhance digital economy innovation and infrastructure, which may benefit the company's future growth prospects[27]. Governance and Compliance - The company has established a rigorous process for managing R&D expenditures, ensuring accurate and reliable measurement of costs associated with intangible asset development[87]. - The company has implemented a performance evaluation and incentive mechanism for directors, supervisors, and senior management, ensuring transparency in the appointment process[130]. - The company has a dedicated board secretary responsible for information disclosure, ensuring accurate and timely communication with investors[132]. - The company has established a sound organizational structure, ensuring independence from controlling shareholders and other enterprises[141]. - The company has implemented targeted compliance training for management and employees to enhance governance and risk awareness[176]. Social Responsibility and Environmental Compliance - The company is committed to building an environmental protection information system as part of its social responsibility initiatives[12]. - The company has disclosed its social responsibility report on April 18, 2025, detailing its efforts in social responsibility initiatives[184]. - The company has committed to ongoing environmental supervision to ensure compliance with policies and regulations[183]. - There were no environmental penalties or issues reported during the period, and the company adheres to environmental regulations[183]. Shareholder Relations and Profit Distribution - The company has committed to a cash dividend policy, aiming for a stable growth in dividends, with a minimum distribution of 10% of the net profit attributable to shareholders in the current year[188]. - The company has cumulatively distributed cash dividends amounting to no less than 30% of the average net profit attributable to shareholders over the last three years[188]. - The company will disclose the implementation of the profit distribution plan and cash dividend policy in the annual report[190]. - The board of directors is responsible for formulating the profit distribution plan based on the company's operational status, cash flow, and future business development needs[189]. Human Resources - The total number of employees at the end of the reporting period was 841, with 298 in the parent company and 543 in major subsidiaries[169]. - Employee compensation totaled 10.1259 million yuan, accounting for 2.87% of the company's operating costs[171]. - The company has maintained a stable technical team without significant personnel loss, but will enhance talent cultivation and incentive mechanisms to attract and retain high-quality professionals[122]. Financial Management - The company has established a commitment to avoid competition with its controlling shareholder, ensuring no direct or indirect competition with its subsidiaries[187]. - The company has independent ownership and usage rights for assets related to its main business, including land, office space, equipment, patents, and trademarks, with no assets occupied by the controlling shareholder or related enterprises[139]. - The company has a structured approach to managing its board and executive roles, ensuring accountability and performance[143].