OBM(SH:603729)2022-04-26 16:00Financial Performance - The company's total revenue for 2021 was approximately RMB 739.83 million, representing a year-over-year increase of 19.05% compared to RMB 621.43 million in 2020[21]. - The net profit attributable to shareholders of the listed company for 2021 was a loss of RMB 63.02 million, worsening from a loss of RMB 21.63 million in 2020[21]. - The net cash flow from operating activities was RMB 20.04 million in 2021, recovering from a negative cash flow of RMB 29.06 million in 2020[21]. - The total assets of the company decreased by 6.90% to RMB 976.19 million at the end of 2021, down from RMB 1,048.52 million at the end of 2020[21]. - The net assets attributable to shareholders of the listed company decreased by 8.27% to RMB 721.29 million at the end of 2021, compared to RMB 786.36 million at the end of 2020[21]. - The company's operating revenue increased by 19.05% compared to the same period last year, and by 15.07% compared to 2019, primarily due to the active expansion of new customers and an increase in advertising orders[22]. - The net profit attributable to shareholders decreased by 191.34% year-on-year and by 7.29% compared to 2019, mainly due to intensified industry competition and increased discounts to attract and retain quality customers, leading to a decline in gross margin[23]. - The overall gross margin for the company was 2.76%, down 9.69 percentage points from the previous year[46]. - The company reported a significant increase in regular agency business revenue, which rose by 163.25% due to efforts to secure international clients[48]. - The company reported a net loss for 2021 of ¥62,228,641.00, compared to a net loss of ¥22,027,856.48 in 2020, indicating a deterioration in financial performance[173]. Revenue and Costs - The company achieved operating revenue of ¥739,825,941.18, representing a year-on-year increase of 19.05%[41]. - Operating costs rose to ¥719,426,100.27, reflecting a year-on-year increase of 32.24%[41]. - The advertising sector generated ¥697,193,075.52 in revenue, with a gross margin decrease of 10.18 percentage points year-on-year[46]. - The liquor sales segment saw a revenue increase of 81.39%, reaching ¥41,172,265.05, driven by expanded sales channels[48]. - The company's total revenue from full-service advertising decreased by 17.45% to ¥401,436,763.32, while the cost of sales decreased by 9.01% to ¥394,466,242.98, resulting in an average gross margin of 1.74%[68]. - The conventional media agency business achieved a revenue increase of 163.25% to ¥295,756,312.20, with a corresponding cost increase of 201.37% to ¥295,627,300.36, leading to an average gross margin of 0.04%[68]. Cash Flow and Investments - The net cash flow from operating activities improved significantly, with a net inflow of ¥20,040,040.28 compared to a net outflow of ¥29,063,188.53 in the same period last year, marking an increase of 168.95%[43]. - The company's investment activities resulted in a net cash outflow of ¥2,114,028.43, a decrease of 98.20% compared to the previous year[44]. - The company incurred a total operating cost of ¥610,304,380.39 in 2021, which was an increase from ¥437,219,168.62 in 2020[174]. - The company’s financing activities resulted in a net cash outflow of -¥90,163,723.86 in 2021, compared to a net inflow of ¥4,272,236.01 in 2020[179]. Governance and Management - The company has established a robust governance structure, including a board of directors and specialized committees to ensure effective decision-making and oversight[78]. - The company has implemented internal regulations to improve governance and operational standards, further enhancing its compliance with legal requirements[79]. - The company is committed to improving corporate governance and investor relations in compliance with relevant laws and regulations, aiming to enhance profit growth points and return to investors[74]. - The company has authorized the board to handle matters related to the non-public share issuance[92]. - The company has established several specialized committees, including the audit committee and strategic committee[94]. Market and Strategic Focus - The company plans to continue focusing on customer acquisition and retention strategies to stabilize revenue and improve profitability in the future[22]. - The company aims to leverage its partnership with Yuheng Film and Media to enhance its content production capabilities and marketing effectiveness[40]. - The company plans to enhance its "Big Culture and Entertainment" development strategy, upgrading its Optimal Buy-in Media to Optimal Business Model to assist enterprises in digital transformation[72]. - The advertising market in China is expected to show a recovery growth, with advertisers increasing their digital marketing budgets, reflecting a trend towards "big, new, and connected" advertising budget allocation[70]. Risks and Challenges - The company has acknowledged the presence of risks and uncertainties that may affect future performance, as detailed in the management discussion section[9]. - The company faces risks from intensified market competition, particularly from emerging self-media platforms like Douyin and Kuaishou, which may impact profitability and market share[75]. - The macroeconomic environment poses risks due to demand contraction and external uncertainties, which could affect the company's operational goals[75]. - The ongoing impact of the COVID-19 pandemic may continue to affect the company's annual performance and financial status, prompting management to enhance core competitiveness[75]. Employee and Compensation - The total remuneration for directors, supervisors, and senior management during the reporting period amounted to CNY 295.39 million[86]. - The company has established a salary policy that links employee compensation to company performance and individual performance, aiming to attract and retain talent[104]. - The total number of employees in the parent company and major subsidiaries is 167, with 133 in the parent company and 34 in subsidiaries[102]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 7,195, an increase from 7,016 at the end of the previous month[134]. - The largest shareholder, Duan Peizhang, holds 23,094,300 shares, representing 24.74% of the total shares, with 3,510,000 shares pledged[136]. - The company has not disclosed any significant changes in its share capital structure during the reporting period[132].