Financial Performance - For the six months ended June 30, 2022, Gome Finance Technology reported a profit before tax of RMB 7,500,000, down from RMB 12,800,000 in the same period last year, primarily due to an impairment loss of RMB 21,000,000 related to the acquisition of Tianjin Guanchuang[7]. - The group's revenue slightly increased from RMB 37,000,000 in the previous year to RMB 39,400,000, driven by an increase in financial information service revenue of RMB 2,500,000[7]. - The operating profit for the period was RMB 28,500,000, compared to RMB 12,800,000 in the previous year, with a foreign exchange gain of RMB 6,000,000 compared to a loss of RMB 4,800,000 last year[7]. - The company achieved a profit of RMB 2,700,000 attributable to owners, down from RMB 8,900,000 in the previous year, impacted by the impairment loss[26]. - The total comprehensive income for the period was RMB 45,243,000, compared to RMB 4,416,000 in the previous year, indicating a significant improvement[95]. Revenue Sources - The commercial factoring business contributed approximately 90% of the group's total revenue during the period, ensuring stable returns despite the impact of COVID-19 on the economy[8]. - Other financial services turned a profit of RMB 2,300,000 during the period, compared to a loss of RMB 61,000 in the previous year, benefiting from improved market conditions[8]. - The company's revenue increased by 7% to RMB 39,400,000 during the interim period, compared to RMB 37,000,000 in the previous year, primarily due to an increase in other financial services revenue[23]. - Revenue from other financial services reached RMB 4.495 million for the six months ended June 30, 2022, representing a 56% increase compared to RMB 2.876 million for the same period in 2021[32]. - The commercial factoring business recorded a slight revenue increase of 2% to RMB 34,931,000, up from RMB 34,134,000, attributed to extended loan terms for quality clients[26]. Loan and Credit Management - The company reported a significant reduction in the non-performing loan ratio to 0.7%, leading to a reversal of expected credit losses amounting to RMB 1,800,000 during the interim period[23]. - The company recorded an expected credit loss provision of RMB 1,800,000, up from RMB 1,000,000 in the previous year, reflecting high levels of risk management in new loans and receivables[8]. - The non-performing loan ratio dropped significantly to 0.72% as of June 30, 2022, down from 4.21% as of June 30, 2021[38]. - The provision coverage ratio increased to 198.5% as of June 30, 2022, compared to 110.09% as of June 30, 2021, indicating strong coverage of non-performing loans[38]. - The expected credit loss provision for trade receivables and loans was RMB 12,734,000 as of June 30, 2022, compared to RMB 14,487,000 as of December 31, 2021[179]. Acquisition of Tianjin Guanchuang - The company aims to continue its strategic development through the acquisition of Tianjin Guanchuang, which is considered a key element for future growth[22]. - The company is awaiting regulatory approval from the People's Bank of China for the acquisition of Tianjin Guanchuang, with a prepayment of RMB 576 million already made[43]. - The company anticipates completing the acquisition by the end of 2022, barring unforeseen circumstances[44]. - The company is considering terminating the equity transfer agreement due to the suspension of approval procedures by the People's Bank of China, which is a critical condition for the acquisition[192]. - If the acquisition is not completed by the end of 2022, the company will notify the seller to terminate the transaction and seek a refund of the prepaid amount[195]. Operational Efficiency - The company experienced a decrease in administrative expenses by RMB 2,300,000, mainly due to a reduction in employee costs, which fell by RMB 1,900,000 as the workforce was reduced from 34 to 22 employees[24]. - The overall operating expenses for other financial services decreased significantly, primarily due to a reduction in employee costs[33]. - The company reported a decrease in employee benefits expenses, totaling RMB 4,505,000 compared to RMB 6,388,000 in the previous period, reflecting a reduction of approximately 29.5%[165]. - The company employed 22 staff members as of June 30, 2022, down from 34 employees as of December 31, 2021[89]. Economic Context - The Chinese economy showed signs of stabilization with a GDP of RMB 56,264.2 billion for the period, growing by 2.5% year-on-year[13]. - The balance of inclusive micro loans in China increased by 23.8% year-on-year, significantly outpacing the growth of other loan categories[13]. Future Outlook - The company aims to explore new business opportunities to achieve growth and develop into a leading integrated financial technology service group[9]. - The group plans to continue expanding its business into e-commerce and online retail operations, aiming to enhance its overall value[66]. - The group aims to leverage technology finance as a strategic focus, exploring the integration of the metaverse with supply chain finance[65]. - The group will continue to diversify its product and service offerings to provide specialized financial services while ensuring stable returns for shareholders[65].
通通AI社交(00628) - 2022 - 中期财报