Financial Performance - Total revenue for the fiscal year 2024 reached RMB 919.37 million, a decrease of 4.6% from RMB 963.52 million in 2023[7]. - Net profit for 2024 grew by 37% to RMB 390.87 million, compared to RMB 285.55 million in 2023[4][9]. - The company's main business revenue was approximately RMB 919.4 million, a slight year-on-year decrease of about 4.6%[21]. - The company achieved a net profit of approximately RMB 390.9 million, a significant year-on-year increase of about 36.9%[21]. - Adjusted net profit rose by 17.7% year-on-year to RMB 343.3 million for the year ended December 31, 2024, compared to RMB 291.6 million in 2023[48]. - The company recorded other income of RMB 72.9 million, a 208.4% increase from RMB 23.6 million in the previous year[41]. - The share of profits from joint ventures increased significantly by 511.8% year-on-year to RMB 124.6 million[42]. - Revenue from digital financial solutions decreased by 27.8% year-on-year to RMB 521.9 million[37]. User and Market Growth - Cumulative platform users increased by 18.3% to over 18,100 as of December 31, 2024[4][13]. - The company facilitated RMB 248.9 billion in orders and financing services for SMEs, a 29% increase year-on-year[13]. - The number of funding partners linked to the platform increased to 163, a year-on-year growth of 24.4%[25]. - The company aims to expand into new industries, targeting a potential market size exceeding RMB 10 trillion and over 10 million potential customers[26]. Research and Development - Total R&D investment exceeded RMB 250 million, with 80 national invention patents and software copyrights[11]. - The company has invested over RMB 250 million in R&D, with R&D personnel accounting for nearly 30% of the workforce[25]. - The group is focused on increasing R&D investments in key areas such as data, models, and computing power to support the growth of small and micro enterprises[105]. Operational Efficiency and Technology - The company plans to enhance operational efficiency by at least 50% by 2025 through AI-driven data analysis and smart asset matching algorithms[32]. - AI-related revenue is projected to increase to over 50% of total revenue in the future, driven by ongoing technological integration[11]. - The company has established a comprehensive integration with domestic open-source AI models, enhancing its capabilities in supply chain management and digital transformation[34]. - The company is focusing on developing AI agents to assist small and medium enterprises in achieving more precise market analysis and efficient supply chain management[32]. Financial Position and Borrowings - As of December 31, 2024, total borrowings, including related party loans, amounted to RMB 5,136.1 million, a decrease of 28.5% year-on-year[63]. - The average daily borrowing balance for 2024 was RMB 5,917.4 million, down 9.1% compared to the previous year[63]. - The financing cost decreased by RMB 49.7 million year-on-year, primarily due to the decline in average daily borrowing balance and the average borrowing interest rate dropping from 6.3% in 2023 to 6.1% in 2024[63]. - The leverage ratio, calculated as total liabilities divided by total equity, improved to 1.58 as of December 31, 2024, compared to 1.91 a year earlier[75]. Corporate Governance - The company aims to enhance shareholder confidence through robust corporate governance practices, adhering to the corporate governance code as per the listing rules for the fiscal year ending December 31, 2024[132]. - The board consists of two executive directors, one non-executive director, and four independent non-executive directors, ensuring a diverse and independent oversight structure[139]. - The company is committed to maintaining high standards of corporate governance and will regularly review its governance practices to align with shareholder expectations[132]. - The company has established effective mechanisms to ensure independent viewpoints from board members are communicated, enhancing decision-making objectivity[143]. Dividend and Shareholder Communication - The company plans to distribute a dividend of RMB 0.347 per share, maintaining a dividend payout ratio of no less than 90% for the next three years (2024-2026)[17]. - The board proposed a final dividend of RMB 0.347 per ordinary share for the year ended December 31, 2024, compared to HKD 0.269 per share for the previous year[76]. - The company has a shareholder communication policy to ensure transparent and timely communication with shareholders[198]. - The company encourages shareholder participation in annual general meetings and allows proxy representation[198]. Risk Management - The group conducts an annual review of the adequacy and effectiveness of its risk management and internal control systems[200]. - The audit committee is authorized to oversee risk management and internal control, ensuring the effectiveness of these systems is evaluated annually[200]. - The internal audit function has been established to continuously improve the effectiveness of risk management and internal controls[200]. Employee and Workforce Development - The total employee cost for the year ended December 31, 2024, was approximately RMB 214.6 million, compared to RMB 202.0 million for the year ended December 31, 2023[108]. - The number of employees increased to 363 as of December 31, 2024, from 358 as of December 31, 2023, indicating growth in workforce[108]. - The group has implemented a comprehensive incentive plan to reward existing senior management and employees, aimed at retaining talent for future development[109]. Strategic Partnerships and Acquisitions - The company has established strategic partnerships in the cross-border e-commerce sector, helping hundreds of e-commerce businesses address supply chain financing needs amounting to billions[26]. - The acquisition agreement for Mingfeng Holdings was signed on July 9, 2024, with a conditional purchase price of RMB 300 million, and potential additional payments of up to RMB 500 million based on performance targets[94]. - The group has diluted its indirect equity in Wuxi Guojin from 80% to 49% through a capital increase of RMB 569.4 million, resulting in Wuxi Guojin no longer being a subsidiary[92].
盛业(06069) - 2024 - 年度财报