But'one(SH:600455)2020-04-10 16:00Financial Performance - The company's operating revenue for 2019 was CNY 183,941,198.98, representing a 2.62% increase compared to CNY 179,250,584.28 in 2018[21]. - The net profit attributable to shareholders for 2019 was CNY 17,481,573.10, a significant increase of 452.28% from CNY 3,165,324.13 in the previous year[21]. - The net profit after deducting non-recurring gains and losses was CNY 15,192,477.40, compared to CNY 27,269.59 in 2018, indicating a substantial improvement[21]. - The net cash flow from operating activities reached CNY 101,913,743.86, up 34.42% from CNY 75,816,463.90 in 2018[21]. - The total assets of the company at the end of 2019 were CNY 764,592,533.89, an increase of 8.86% from CNY 702,386,176.95 in 2018[21]. - The net assets attributable to shareholders increased to CNY 149,279,437.00, reflecting a growth of 13.26% from CNY 131,797,863.90 in the previous year[21]. - Basic earnings per share increased by 452.07% to CNY 0.2799 in 2019 compared to CNY 0.0507 in 2018[22]. - The weighted average return on equity rose by 10.01 percentage points to 12.439% in 2019 from 2.431% in 2018[22]. - The company reported a net profit increase of 42.71% for its subsidiary, Xi'an Jiaotong University City College, with a net profit of ¥30,379,942.77[79]. - The total revenue for the City College reached ¥175,069,928.89, marking a 17.99% increase compared to the previous year[79]. Business Segments - The company’s main business segments include computer information technology and higher education, with higher education generating greater revenue and profit[31]. - The company holds a 70% stake in Xi'an Jiaotong University City College, which is a significant contributor to its higher education revenue[31]. - The higher education segment was the main driver of growth, while the computer information business faced challenges due to market competition and previous failed asset restructurings[51]. - The computer information business generated a revenue of CNY 8,871,270.09, a decrease of 71.26% year-on-year, with a corresponding cost reduction of 73.89%[51]. - The revenue model for the company's higher education business includes tuition and accommodation fees, with costs primarily related to teaching and campus development[38]. Cash Flow and Assets - The company reported a significant increase in cash and cash equivalents, totaling CNY 274,106,463.77, attributed to increased tuition fees for the 2019/2020 academic year[47]. - Accounts receivable decreased by 34.54% to CNY 6,517,401.84, primarily due to reduced receivables from the computer information technology business[47]. - The cash inflow from investment activities rose by 199.50% to 391,072.99 RMB, attributed to increased asset disposals[73]. - The company reported a net cash flow from operating activities of CNY 101,913,743.86, an increase from CNY 75,816,463.90 in the previous year[200]. Risks and Challenges - The company has faced risks that are detailed in the annual report, which should be reviewed for a comprehensive understanding of potential challenges[7]. - The company faces risks in the computer information business due to intense market competition and potential impacts from government reforms in natural resource management[93]. - The ongoing COVID-19 pandemic poses significant risks to the company's operations, including health risks for employees and students, as well as increased operational costs[98]. - The company has experienced multiple unsuccessful major asset restructurings, which have negatively impacted its core competitiveness and business development[95]. Governance and Management - The company emphasizes the importance of internal management and risk control in its information technology services related to natural resources[89]. - The company has established a governance structure that complies with relevant regulations, ensuring effective checks and balances among its governing bodies[154]. - The board of directors held six meetings during the year, with all members attending and fulfilling their responsibilities[158]. - The company has independent financial accounting departments and systems, ensuring compliance with tax regulations[163]. Shareholder Information - The company proposed no profit distribution for 2019 due to an accumulated undistributed profit of CNY -66,186,624.11 as of December 31, 2019[5]. - The company has not proposed any cash profit distribution plans during the reporting period despite having positive profits available for distribution[106]. - The largest shareholder, Xi'an Economic Development Group Co., Ltd., holds 12,868,062 shares, representing 20.60% of the total shares[127]. - The total number of ordinary shareholders at the end of the reporting period is 5,765, a decrease from 15,359 at the end of the previous month[125]. Employee and Compensation - The total pre-tax compensation for the board members and senior management during the reporting period amounted to 1.1838 million CNY[141]. - The company has a total of 569 employees, with 31 in the parent company and 538 in major subsidiaries[148]. - The company emphasizes a performance-based compensation system, linking employee pay to overall company performance, with a focus on efficiency and effectiveness[150]. - The company actively promotes employee training and development, encouraging participation in professional qualifications with financial support[151].