IReader Technology(SH:603533)2023-04-21 16:00Financial Performance - The company's operating revenue for 2022 was RMB 2,582,417,416.40, representing a 24.71% increase compared to RMB 2,070,784,337.34 in 2021[23] - The net profit attributable to shareholders of the listed company decreased by 61.77% to RMB 57,577,154.32 from RMB 150,604,584.97 in the previous year[23] - The net profit attributable to shareholders after deducting non-recurring gains and losses fell by 69.75% to RMB 45,717,161.02 from RMB 151,112,323.47 in 2021[23] - The basic earnings per share for 2022 was CNY 0.13, down 62.86% from CNY 0.35 in 2021[24] - The company's revenue for 2022 was CNY 2,582.42 million, representing a year-on-year growth of 24.71%[33] - The net profit attributable to shareholders for 2022 was CNY 57.58 million, a decrease of 61.77% compared to the previous year[33] - The weighted average return on equity decreased to 2.25% in 2022, down 4.20 percentage points from 6.45% in 2021[24] - The company reported a total comprehensive income of CNY 59,001,059.58, compared to CNY 141,402,956.50 in the previous year[183] Cash Flow and Assets - The net cash flow from operating activities increased by 36.49% to RMB 142,103,839.61 compared to RMB 104,116,489.76 in 2021[23] - The total assets at the end of 2022 were RMB 3,402,936,937.79, a decrease of 1.45% from RMB 3,452,833,458.53 at the end of 2021[23] - The total cash inflow from operating activities for 2022 was CNY 2,689,563,984.92, an increase of 18.8% from CNY 2,264,375,366.12 in 2021[190] - The total cash and cash equivalents at the end of 2022 amounted to CNY 1,395,911,572.89, up from CNY 1,283,736,511.81 in 2021[191] - Total current assets as of December 31, 2022, amounted to CNY 2,813,466,723.37, an increase from CNY 2,734,507,546.24 in 2021, reflecting a growth of approximately 2.9%[173] - Total liabilities decreased to CNY 794,108,889.63 in 2022 from CNY 620,066,258.90 in 2021, indicating a reduction in financial obligations[179] Research and Development - The company increased its R&D expenses significantly, with growth rates of 124.81%, 33.96%, and 28.60% compared to the previous year[34] - Research and development expenses rose by 28.60% to CNY 218,803,487.22, indicating a commitment to enhancing technological infrastructure[52] - The total R&D expenses for the period were 218,803,487.22 yuan, representing 8.47% of the operating revenue[62] User Engagement and Market Position - The average monthly active users reached 170 million in 2022, indicating a strong user engagement[34] - The average mobile internet user in China spent 177.3 hours online in December 2022, a year-on-year increase of 15.2%, indicating growing user engagement[43] - The company reported a significant increase in user retention rates, now at 85%, reflecting improved customer satisfaction[92] Strategic Initiatives and Future Plans - The company plans to distribute a cash dividend of RMB 1.5 per 10 shares to all shareholders, with no bonus shares or capital reserve conversion[5] - The company aims to enhance its operational capabilities and optimize product experience while expanding its free reading business[78] - The company plans to increase investment in AI technology research and development to deepen the application of AIGC in digital reading[78] - Future guidance suggests a revenue growth target of 10% for 2023, driven by new product introductions and market expansion strategies[90] Risks and Challenges - The company faces risks from regulatory changes in the digital reading industry that could impact its business operations[80] - The company is also challenged by increasing competition in the digital reading market, which may affect its market position[80] - Rising marketing costs could negatively impact the company's profitability as it seeks to penetrate the user base[80] - The company is at risk of copyright infringement issues that could harm its sales revenue and overall performance[81] Governance and Compliance - The company has maintained a standard unqualified audit opinion from its accounting firm, ensuring the accuracy and completeness of the financial report[4] - The company has not engaged in any related party transactions that would affect its independence[85] - The company has continued to ensure compliance with information disclosure obligations as per relevant laws and regulations[85] - The company has not reported any changes in the shareholding of its directors and senior management during the reporting period[88] Shareholder Information - The total number of employees in the parent company and major subsidiaries is 846, with 592 in the parent company and 254 in subsidiaries[103] - The company reported a total of 93,352,370 shares held by the chairman and general manager, with no change during the reporting period[88] - The top ten shareholders collectively hold 43.93% of the company's shares, with Zhang Lingyun and Cheng Xiangjun being the largest shareholders[144] Environmental and Social Responsibility - The company continues to provide digital reading services, which helps reduce paper book production and CO2 emissions[118] - The company actively participates in social welfare projects, including a program that provides job opportunities for disabled individuals, with some earning over 5,000元 per month[120]