INLY(SH:603598)2022-08-30 16:00Financial Performance - The company's operating revenue for the first half of 2022 was ¥1,974,229,811.26, a decrease of 26.60% compared to ¥2,689,640,390.16 in the same period last year[18]. - The net profit attributable to shareholders for the first half of 2022 was ¥22,461,669.46, down 1.37% from ¥22,773,600.96 in the previous year[18]. - The net profit after deducting non-recurring gains and losses increased by 20.87% to ¥14,140,716.91 from ¥11,699,456.91 year-on-year[18]. - The net cash flow from operating activities was negative at -¥129,964,849.42, a decline of 237.35% compared to ¥94,620,852.05 in the same period last year[18]. - The net assets attributable to shareholders increased by 9.94% to ¥271,656,659.78 from ¥247,089,526.37 at the end of the previous year[18]. - Total assets decreased by 18.90% to ¥1,383,020,372.57 from ¥1,705,398,221.10 at the end of the previous year[18]. - Basic earnings per share remained unchanged at ¥0.08 compared to the same period last year[19]. - The weighted average return on net assets increased by 3.76 percentage points to 8.66% from 4.90% year-on-year[19]. - The company achieved a revenue of 1.974 billion yuan in the first half of 2022, a year-on-year decrease of 26.60%[46]. - The net profit attributable to shareholders was 22.46 million yuan, a year-on-year decrease of 1.37%, while the net profit excluding non-recurring gains and losses increased by 20.87% to 14.14 million yuan[46]. Market Trends - The digital economy in China reached a scale of 45.5 trillion yuan in 2021, accounting for 39.8% of GDP, highlighting its critical role in high-quality economic development[31]. - The internet advertising market in China was estimated at 290.34 billion yuan in the first half of 2022, reflecting a decrease of 2.3% year-on-year, although video and social media advertising maintained relative growth[32]. - The brand e-commerce service industry in China is projected to reach a market size of 366.32 billion yuan in 2022, with a year-on-year growth of 24.1%[34]. Business Operations - The company has established long-term partnerships with nearly 1,000 domestic and international brand enterprises, including over 100 clients for more than 10 years[25]. - The company collaborates with over 300 media outlets, including major traditional and digital platforms, to meet diverse advertising needs[26]. - The company's marketing services are divided into four main segments: brand marketing, performance marketing, social marketing, and e-commerce marketing and operations[24]. - The company leverages rich customer resources and media partnerships to create a private traffic matrix for clients, enhancing business growth through social marketing[29]. - The company has developed innovative performance marketing capabilities driven by creative content and data technology, improving advertising effectiveness and ROI for clients[27]. - The company aims to provide comprehensive data-driven marketing strategies to assist clients in decision-making and achieving business growth objectives[30]. - The company has a professional team of over 300 people dedicated to content creation and marketing, capable of producing nearly 5,000 short videos monthly[37]. - The company has developed a data technology platform to enhance its marketing capabilities, focusing on data-driven and technology innovation[43]. - The company has improved its gross profit margin, particularly in social marketing and e-commerce services, despite a decline in overall business scale[46]. - The company has actively expanded its effect advertising, social marketing, and e-commerce data services to meet client demands[39]. Financial Management - The company's cash and cash equivalents decreased by 50.04% to ¥105,420,767.33 from ¥211,017,930.08 year-on-year[61]. - Accounts receivable decreased by 34.04% to ¥684,480,434.60 from ¥1,037,720,541.65 in the previous year, reflecting a reduction in business scale[61]. - Prepaid accounts increased by 58.23% to ¥373,867,685.08 from ¥236,274,671.40, attributed to new business development[61]. - The company reported a significant increase in investment income, rising to ¥221,154.38 from a loss of -¥307,605.58, marking a 171.90% improvement[59]. - The net cash flow from financing activities increased by 157.17% to ¥25,934,264.64 from ¥10,084,678.26 year-on-year[59]. - The company faces potential risks from regulatory changes in advertising and data protection laws, which may impact its operations[64][65]. Corporate Governance - Independent director Lu Chuang will resign after serving for nearly six years, in compliance with regulations limiting the term of independent directors to six years[73]. - Chen Gang has been nominated as the independent director candidate, with his term starting from the approval date of the 2021 annual general meeting until the end of the current board's term[74]. - The company will not distribute cash dividends, issue bonus shares, or increase capital from the capital reserve for the first half of 2022[75]. - The company has not granted any of the reserved 1.3 million stock options from the 2020 stock option incentive plan, which have now expired[78]. - The company has made commitments to avoid competition with its subsidiaries and ensure no direct competition arises post-acquisition[82]. - The company has established measures to minimize related party transactions and will sign agreements in accordance with relevant laws and regulations when unavoidable[83]. - The company has committed to not engaging in any competitive business activities that could harm its interests or those of its shareholders[85]. - The company will not allow its controlling shareholders to seek improper benefits that could damage the interests of other shareholders[85]. - The company has set a deadline for compliance with its commitments until the controlling shareholder ceases to be a shareholder of the company[85]. - The company will take necessary actions to terminate any competitive business activities if they arise during the holding period[85]. Risk Management - The company has strengthened risk control in its performance marketing business by optimizing client selection and increasing the proportion of advance payments[48]. - The company has committed to compensating for any economic losses incurred by shareholders due to violations of commitments made by the controlling shareholders[85]. - The company has committed to minimizing related party transactions with Gravity Media, ensuring compliance with relevant laws and regulations[87]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period was 35,752[99]. - The largest shareholder, 罗衍记, held 42.23% of the shares, with a total of 113,126,000 shares[101]. - The second-largest shareholder, 滨州合众信息科技中心, held 7.47% of the shares, totaling 20,000,000 shares[101]. - The company did not experience any changes in its total share capital or share structure during the reporting period[98]. Accounting Policies - The company’s financial report was approved by the board of directors on August 30, 2022, ensuring compliance with regulatory requirements[142]. - The company's financial statements are prepared based on the assumption of going concern, in accordance with the relevant accounting standards and policies[144]. - The company adheres to the accounting standards, ensuring that its financial reports accurately reflect its financial position and operating results[147]. - The company consolidates all controlled subsidiaries and structured entities in its financial statements[152]. - The company recognizes financial assets and liabilities based on their classification and measurement methods, including fair value and amortized cost[155].