Revenue Performance - For the six months ended June 30, 2022, the company's revenue was approximately RMB 203.9 million, a decrease of about 1.4% compared to RMB 206.7 million in the same period of 2021[11]. - Revenue from government big data software and related services was approximately RMB 193.4 million, an increase of about 13.4% from RMB 170.6 million in the same period of 2021[12]. - Revenue from low-carbon ecological software and related services was approximately RMB 10.5 million, a decrease of about 70.9% from RMB 36.1 million in the same period of 2021[13]. - The company's revenue for the six months ended June 30, 2022, was RMB 203,876,000, a decrease of 1.0% compared to RMB 206,716,000 for the same period in 2021[91]. - Total revenue for the six months ended June 30, 2022, was RMB 203,876,000, compared to RMB 206,716,000 for the same period in 2021, representing a decrease of approximately 1.6%[112]. Cost and Expenses - The company's sales cost for the six months ended June 30, 2022, was approximately RMB 132.2 million, a decrease of about 8.3% from RMB 144.3 million in the same period of 2021[15]. - Distribution and selling expenses increased to approximately RMB 12.6 million from RMB 10.1 million in the same period of 2021, due to market expansion efforts outside Jiangsu Province[22]. - General and administrative expenses significantly decreased to approximately RMB 18.0 million from RMB 45.4 million in the same period of 2021, mainly due to the absence of expenses related to share-based payments to employees[23]. - The company incurred total expenses of RMB 12,550,000 in distribution and selling expenses, compared to RMB 10,051,000 in the previous year, reflecting an increase of approximately 24.9%[119]. Research and Development - Research and development costs increased by approximately 34.9% to RMB 54.8 million from RMB 40.6 million in the same period of 2021, reflecting increased investment in future product development[17]. - The company recognized RMB 54,754,000 in research and development costs for the six months ended June 30, 2022, compared to RMB 40,590,000 in the same period of 2021, indicating an increase of approximately 34.7%[129]. Profit and Loss - The total profit and comprehensive income for the six months ended June 30, 2022, was approximately RMB 2.5 million, compared to a loss of approximately RMB 28.6 million for the same period in 2021[25]. - The company reported a profit before tax of RMB 8,248,000, compared to a loss of RMB 30,163,000 in the same period last year[91]. - The net profit attributable to the owners of the company was RMB 3,321,000, a significant recovery from a loss of RMB 28,168,000 in the prior year[91]. - The net profit for the period was RMB 2,486,000, a significant recovery from a net loss of RMB 28,635,000 in the same period of the previous year[119]. Cash Flow - The net cash inflow from operating activities for the six months ended June 30, 2022, was approximately RMB 22.3 million, a significant improvement from a net outflow of RMB 8.5 million for the same period in 2021[27]. - The net cash generated from operating activities for the six months ended June 30, 2022, was RMB 22,347 thousand, compared to a net cash used of RMB (8,474) thousand in the same period of 2021[101]. - The total net cash used in investing activities for the six months ended June 30, 2022, was RMB (130,489) thousand, slightly improved from RMB (132,021) thousand in the prior year[101]. - The financing activities generated a net cash inflow of RMB 3,168 thousand for the six months ended June 30, 2022, compared to a net cash outflow of RMB (256,567) thousand in the same period of 2021[101]. Assets and Liabilities - As of June 30, 2022, the net current assets of the group were approximately RMB 1,475.5 million, slightly down from RMB 1,481.9 million as of December 31, 2021[26]. - Total assets as of June 30, 2022, were RMB 2,033,203,000, slightly up from RMB 2,021,274,000 at the end of 2021[94]. - The company's net asset value increased to RMB 1,950,255,000 from RMB 1,944,067,000 at the end of the previous year[94]. - Trade receivables from third parties increased to RMB 1,342,808 thousand as of June 30, 2022, compared to RMB 1,326,083 thousand as of December 31, 2021, reflecting a growth of 1.3%[150]. - Deferred tax liabilities totaled RMB (82,948) thousand as of June 30, 2022, compared to RMB (77,207) thousand as of December 31, 2021, reflecting an increase in deferred tax liabilities[159]. Share Capital and Dividends - The board of directors does not recommend the distribution of an interim dividend for the six months ended June 30, 2022[44]. - As of June 30, 2022, the total number of issued shares of the company was 1,222,384,600 shares[51]. - The company did not declare any interim dividends for the six months ended June 30, 2022, similar to the previous year[143]. Corporate Governance - The company has complied with all applicable corporate governance code provisions except for the separation of the roles of chairman and CEO, which are held by the same individual[70]. - The audit committee was established on June 11, 2013, to assist the board in overseeing financial reporting and risk management[73]. - The remuneration committee was formed on June 11, 2013, to provide recommendations on the remuneration policies for directors and senior management[74]. - The nomination committee was established on June 11, 2013, to recommend appointments of board members[75]. Strategic Plans - The group plans to enhance research and development efficiency by incorporating artificial intelligence technologies to reduce labor cost pressures[42]. - The group aims to expand its market presence in the government sector by increasing investment in integrated remote service equipment, driven by rising demand for remote services[42]. - The company plans to focus on expanding its software development and system integration services in the Chinese market[104]. - The company has initiated a strategy to enhance its low-carbon ecological software offerings to align with market trends[110]. - The company is exploring potential acquisitions to strengthen its market position and expand its service offerings[110].
中国擎天软件(01297) - 2022 - 中期财报