NeuSoft(SH:600718)2023-04-16 16:00Financial Performance - The company's operating revenue for the current period reached ¥9,465,800,628, representing an increase of 8.37% compared to ¥8,734,802,910 in the same period last year[3]. - Operating costs increased by 16.27% to ¥7,498,681,654 from ¥6,449,582,001, leading to a decrease in gross profit margin[3]. - The net cash flow from operating activities decreased by 14.07% to ¥672,577,776 from ¥782,735,311[3]. - The company reported a significant decrease in financing cash flow, which was -¥333,966,573, compared to ¥412,830,073 in the previous year, a change of -180.90%[3]. - The company reported a net profit margin of 8% for 2022, which is an improvement from 6.5% in 2021[74]. - Neusoft reported a total revenue of 10.5 billion RMB for 2022, representing a year-over-year growth of 15%[80]. - The company achieved a net profit of CNY 1.2 billion in 2022, which is an increase of 20% compared to the previous year[80]. - The company's net profit attributable to shareholders for 2022 was a loss of CNY 342,884,715, a decrease of 129.23% from a profit of CNY 1,173,245,291 in 2021[129]. - The total assets at the end of 2022 were CNY 18,872,131,465, an increase of 3.10% from CNY 18,305,146,392 at the end of 2021[129]. - The total owner's equity at the end of the period is 8,268,960,769, reflecting an increase of 600,381,904 from the previous year[199]. Research and Development - Research and development expenses amounted to ¥920,541,791, reflecting a 5.49% increase from ¥872,614,056[3]. - The total R&D investment, including capitalized expenses, reached 969,111,995 RMB, with 5.01% of this amount capitalized[11][12]. - The company is investing heavily in R&D, with a budget allocation of 1.5 billion RMB, which is 15% of total revenue[74]. - Neusoft's R&D expenditure reached 1.5 billion RMB, accounting for 14% of total revenue, highlighting its commitment to innovation[120]. - The company's R&D efforts in smart cities included the development of integrated big data platforms and digital archive management systems[188]. Market and Product Development - The company plans to achieve operating revenue of 10.63 billion yuan for 2023, expecting a growth of 12%[50]. - Neusoft plans to launch three new products in the next fiscal year, targeting a market share increase of 5% in the software sector[74]. - The company is exploring market expansion opportunities in Southeast Asia, aiming for a 10% revenue contribution from this region by 2025[74]. - Neusoft's strategic acquisition of a local tech firm is expected to enhance its capabilities in cloud computing services, projected to contribute an additional CNY 300 million in revenue[80]. - The company has launched several new products in 2022, including the first domestically developed high-end fiber optic distributed MRI and the high-end spectral dual-column DR Beidou series[168]. Strategic Initiatives - The company emphasizes a global development strategy focused on improving customer satisfaction and sustainable business growth[46]. - Neusoft is committed to building a digital economy ecosystem, exploring innovative development models to generate new growth momentum[46]. - The company is committed to enhancing organizational efficiency and optimizing business units to adapt to the evolving market landscape[93]. - Neusoft's vision, mission, and values have been redefined to focus on professional responsibility, efficiency, collaboration, and open innovation[93]. - The company is initiating a regional digital economy innovation action centered on the value of data elements, marking the beginning of a new era in urban data operations[95]. Governance and Investor Relations - The company held 2 shareholder meetings during the reporting period, ensuring all shareholders had equal rights to participate and vote on significant matters[58]. - The board of directors consists of 9 members, including 3 independent directors, with a majority being external directors, enhancing governance and internationalization efforts[58]. - The company received an "A" rating from the Shanghai Stock Exchange for its information disclosure practices for the 2021-2022 period[58]. - The company actively engaged with investors through various channels, including online roadshows and investor forums, to enhance transparency and communication[58]. - The total remuneration for all directors, supervisors, and senior management personnel amounted to RMB 16.96 million[93]. Social Responsibility and Community Engagement - The company is committed to social responsibility initiatives, including educational support and employment services for migrant workers[58]. - Neusoft's digital healthcare solutions have been recognized as a model for county-level medical community reforms, promoting the integration of quality medical resources[159]. - The company has established data companies in Jinzhou and Shenyang in collaboration with local governments to enhance the value of health data and human resources services[149]. Challenges and Risks - The company faces macroeconomic risks due to increasing uncertainties in the international environment, which may impact IT demand and information consumption[51]. - Neusoft's international software business faced significant profit impacts due to fluctuations in the exchange rate, particularly the depreciation of the Japanese yen against the yuan[148].