CIH(SH:600715)2023-04-28 16:00Box Office and Film Industry Performance - In 2022, the total box office revenue for the Chinese film market was 30.067 billion yuan, a decline of approximately 36.4% compared to 2021, with a loss of 17.19 billion yuan year-on-year[7]. - The number of new cinema openings in 2022 was 770, representing a year-on-year decrease of 30.3%[10]. - The number of film projects approved for production in 2022 was 1,876, significantly lower than in previous years, indicating a potential cyclical impact on future content supply[7]. - The proportion of domestic films in the total box office was 84.85%, with domestic films generating 25.511 billion yuan in revenue[7]. - The number of new films released in 2022 was 325, a decrease of 222 films compared to the previous year, with only 39 films surpassing 100 million yuan at the box office[9]. - The average daily box office fell below 20 million yuan for 108 days in 2022, highlighting the market's struggles[9]. Gaming Market Performance - The total revenue from the gaming market in China for 2022 was 265.884 billion yuan, a decrease of 10.33% year-on-year, with mobile gaming revenue dropping by 14.40% to 193.058 billion yuan[13]. - The gaming user base in China was 664 million, showing a slight decline of 0.33% year-on-year[13]. - The gaming business showed signs of recovery with the mobile game "Attack City" entering a stable phase during the reporting period[35]. Cultural Industry Overview - In 2022, the national cultural industry achieved operating income of CNY 121,805 billion, a year-on-year increase of 0.9%[16]. - Among nine cultural sectors, five sectors including content creation and cultural investment operations saw revenue growth, with increases of 3.4%, 3.3%, and 3.2% respectively[17]. - The cultural new business model sectors generated operating income of CNY 43,860 billion in 2022, growing by 5.3%, which is 4.4 percentage points faster than the overall cultural enterprises[17]. - The government introduced 43 specific measures to support the recovery of the service industry, including the cultural and tourism sectors, reflecting a strong commitment to revitalizing the market[17]. - The "Cultural +" initiative is gaining attention, emphasizing the integration of culture with various industries to drive economic growth[15]. - The expansion of the online game approval pilot program aims to simplify the game license approval process, enhancing efficiency and supporting industry development[15]. - The "14th Five-Year" cultural development plan was issued to guide the implementation of cultural policies across regions and departments[20]. Company Financial Performance - Total assets decreased by 30.43% to approximately ¥5.02 billion in 2022 compared to ¥7.22 billion in 2021[27]. - Net profit attributable to shareholders decreased by 60.97% to approximately -¥1.31 billion in 2022 from -¥578.86 million in 2021[27]. - Operating revenue increased by 3.05% to approximately ¥799.73 million in 2022 compared to ¥776.09 million in 2021[27]. - The company reported a cash flow from operating activities of approximately ¥74.11 million, a decrease of 42.46% from ¥128.81 million in 2021[27]. - The first quarter of 2022 saw operating revenue of approximately ¥225.12 million, with a net profit of approximately -¥79.65 million[30]. - The fourth quarter of 2022 reported operating revenue of approximately ¥228.64 million, with a net profit of approximately -¥963.07 million[30]. - The company's operating revenue for the reporting period was 800 million, representing a growth of 3.05% compared to 2021[35]. - The net assets attributable to shareholders decreased by 60.97% to 835 million by the end of 2022[36]. - The company incurred a total loss of 1.273 billion during the reporting period due to various factors including asset impairment and bad debt losses[35]. - Fixed asset impairment losses amounted to 22 million, and accelerated amortization of long-term prepaid expenses was 102 million[35]. - The company recognized goodwill impairment losses of 356 million and prepaid account impairment losses of 112 million due to market changes[35]. Company Strategy and Operations - The company operates in the film and gaming sectors, focusing on cinema management, film investment, and game development[22]. - The cinema operation model includes revenue from ticket sales, merchandise, and advertising, while film production involves careful market analysis and collaboration with partners[22]. - The company aims to diversify its revenue channels through horizontal and vertical investments in the cultural sector[25]. - The company has established a presence in the Winter Olympics cultural activities, with rights to produce and retail various licensed products[24]. - The total number of ordinary shareholders increased to 45,747 by the end of the reporting period[31]. - The largest shareholder, Beijing Cultural Investment Holdings, holds 20.35% of the shares, with 377,389,466 shares pledged[31]. - The total share capital remained unchanged at 1.854 billion shares compared to the previous period[36].