IMS(SH:600556)2023-08-25 16:00Taxation and Deferred Tax - The company recognizes deferred tax assets limited to the amount of future taxable income expected to offset deductible temporary differences and tax losses[1]. - Deferred tax liabilities are recognized for all taxable temporary differences unless they arise from goodwill initial recognition or certain asset and liability transactions[3]. - The company recognizes deferred tax assets for unused tax losses only to the extent that it is probable that future taxable profits will be available[17]. - The company faces uncertainties in tax treatments that may affect current and deferred tax calculations[20]. - The company has recognized deferred tax liabilities and assets due to changes in accounting policies, which may affect future financial statements but have no impact on current data[48]. - The company has implemented a 15% corporate income tax rate for certain subsidiaries recognized as high-tech enterprises, which will benefit its overall tax burden[53]. - The company is subject to various tax rates, including a 6%, 9%, and 13% VAT rate, which could impact its pricing strategy and profitability[49]. Financial Performance - Total operating revenue for the first half of 2023 reached CNY 2,108,741,726.68, a slight increase of 1.0% compared to CNY 2,088,202,071.73 in the same period of 2022[122]. - Total operating costs increased to CNY 2,020,985,378.67, up 1.9% from CNY 1,982,425,758.21 year-over-year[122]. - Net profit for the first half of 2023 was CNY 54,863,709.54, a decrease of 64.7% compared to CNY 155,153,085.72 in the first half of 2022[124]. - Basic earnings per share for the first half of 2023 were CNY 0.0347, down from CNY 0.0935 in the same period last year[125]. - The total comprehensive income for the first half of 2023 was CNY 56,496,422.28, a decrease of 63.6% from CNY 155,231,334.65 in the same period of 2022[125]. Cash Flow and Liquidity - The company's cash and cash equivalents at the end of the period amounted to approximately ¥1,960.31 million, an increase from ¥1,842.58 million at the beginning of the period, reflecting a growth of about 6.38%[59]. - The company has a restricted cash balance of ¥11.30 million due to litigation freezes, indicating potential liquidity constraints[59]. - The company's operating cash inflow for the first half of 2023 was CNY 2,254,281,889.90, a slight increase from CNY 2,202,178,680.09 in the same period of 2022, representing a growth of approximately 2.36%[132]. - The total cash outflow from operating activities was CNY 2,290,493,200.22, compared to CNY 2,212,480,362.25 in the previous year, indicating an increase of about 3.52%[134]. - The net cash flow from operating activities was negative at CNY -36,211,310.32, worsening from CNY -10,301,682.16 in the first half of 2022[134]. Assets and Liabilities - Total assets increased to ¥5,795,279,864.31, up from ¥5,703,826,578.99, reflecting a growth of approximately 1.6% year-over-year[89]. - Total liabilities increased to ¥2,016,696,299.66 from ¥1,963,661,960.20, representing a growth of about 2.7%[89]. - Current liabilities rose to ¥1,971,418,505.50, compared to ¥1,900,691,958.47, indicating an increase of approximately 3.7%[89]. - The total balance of other receivables at the end of the period was CNY 148,433,157.83, with significant amounts due from I Love I Show (Beijing) Information Technology Co., Ltd. at CNY 99,399,652.66, accounting for 66.97% of the total[174]. Shareholder Information - The top ten shareholders held a total of 332,615,750 shares, representing 18.40% of the total shares outstanding[43]. - The company has not disclosed any significant changes in its share capital structure during the reporting period[41]. - The total owner's equity at the end of the period is CNY 3,740,164,618.79, reflecting a decrease of CNY 38,418,945.86 compared to the previous period[143]. Impairment and Provisions - The company assesses the recoverability of non-financial non-current assets and performs impairment tests when there are indications of impairment[15]. - The company applies the expected credit loss model for impairment assessment of receivables and debt investments, involving significant management judgment[11]. - The company recognized a provision for estimated liabilities related to product quality assurance, contract losses, and penalties for delayed delivery, relying on management's judgment and historical experience[21]. - The company reported a total provision for bad debts reached ¥2,718,406,481.60, with ¥2,486,974,311.17 classified as within one year[70]. Investment and Acquisitions - The company is in the process of acquiring 100% equity of the original Tianxiaxiu company at a share price of ¥3.00 per share, which is subject to adjustments based on market conditions[193]. - The asset transfer agreement was signed on December 10, 2019, with the effective date for the transfer of all assets and liabilities set for the same day[199]. - The company received conditional approval from the China Securities Regulatory Commission for the absorption merger of Beijing Tianxiexiu Technology Co., Ltd. on August 8, 2019[197]. Other Financial Metrics - Research and development expenses decreased significantly to CNY 56,692,891.58, down 38.7% from CNY 92,384,236.45 in the previous year[122]. - Investment income for the first half of 2023 was CNY 8,491,976.97, a decline of 84.4% compared to CNY 54,521,089.72 in the same period of 2022[124]. - The company reported a financial expense of CNY 688,108.65, a significant improvement from a financial income of CNY -9,226,927.99 in the previous year[122].