Baolande(SH:688058)2022-06-13 16:00Financial Performance - The company's operating revenue for 2021 was CNY 199,839,475.80, representing a 9.65% increase from CNY 182,260,206.51 in 2020[23]. - The net profit attributable to shareholders for 2021 was CNY 26,820,613.19, a decrease of 56.07% compared to CNY 61,055,136.92 in 2020[23]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 13,201,514.57, down 73.19% from CNY 49,239,726.23 in 2020[23]. - The net cash flow from operating activities for 2021 was CNY -6,239,878.25, a significant decline from CNY 26,871,698.94 in 2020[23]. - As of the end of 2021, the net assets attributable to shareholders were CNY 952,398,365.60, a decrease of 2.85% from CNY 980,380,212.25 at the end of 2020[23]. - Total assets at the end of 2021 were CNY 992,327,122.35, down 2.56% from CNY 1,018,442,219.74 at the end of 2020[23]. - The company's basic earnings per share decreased by 56.21% to CNY 0.67, and diluted earnings per share decreased by 55.92% to CNY 0.67 compared to the previous year[25]. - The company's weighted average return on equity fell by 3.58 percentage points to 2.79%[25]. - The company reported a total revenue of 701,942 million, reflecting a growth of 61% compared to the previous year[96]. - The company reported a total revenue of 720,000 in 2021, reflecting a growth of 16.2% compared to the previous year[97]. - The company reported a total revenue of 56,322 million RMB for the year 2021, with a significant increase in user engagement through its messaging services[104]. Dividend and Share Capital - The company plans to distribute a cash dividend of 6 CNY per 10 shares, totaling 24 million CNY (including tax), which represents 89.48% of the net profit attributable to shareholders for 2021[5]. - The company will increase its total share capital from 40 million shares to 56 million shares by distributing 4 additional shares for every 10 shares held, resulting in a total of 16 million shares being distributed[5]. - The profit distribution plan has been approved by the board and will be submitted to the shareholders' meeting for review[7]. - The company is still in the process of share repurchase and will not participate in this profit distribution[5]. Operational Risks and Governance - The company has detailed various operational risks and corresponding countermeasures in the report[4]. - The company has not reported any non-operational fund occupation by controlling shareholders or related parties[9]. - The company has not disclosed any special arrangements for corporate governance[8]. - The board of directors and supervisory board members have confirmed the authenticity, accuracy, and completeness of the annual report[4]. Research and Development - R&D expenses increased by 68.07% year-on-year, accounting for 33.99% of operating revenue, reflecting a significant investment in talent and technology[26]. - The total R&D expenditure reached CNY 67.92 million, accounting for 33.99% of operating revenue, up from 22.17% in the previous year[89]. - The company has obtained 8 new invention patents and 49 software copyrights during the reporting period, bringing the total to 11 invention patents and 141 software copyrights[85]. - The company is focusing on enhancing its product capabilities and technical levels through increased investment in research and development[72]. - The company has developed new middleware products, including cloud and microservices versions of application servers, which have been widely adopted across various industries[114]. Market and Product Development - The company has expanded its smart operation products to over 10 provinces in China, enhancing IT operation support for clients[34]. - The company launched several new middleware products, including a cloud management platform and a data integration platform, enriching its product offerings[36]. - The company introduced a new infrastructure monitoring software and an intelligent operation orchestration software, enhancing its monitoring capabilities[37]. - The company has integrated its product offerings into solutions like container cloud solutions and intelligent operation solutions, improving customer experience[39]. - The company is focusing on expanding its product offerings in cloud-native middleware to meet evolving enterprise needs[44]. - The company is actively involved in industry standards and collaborations to strengthen its market position[44]. - The company aims to enhance user satisfaction and product reliability, responding to the increasing demand for IT system stability and availability[45]. Sales and Revenue Growth - The company achieved operating revenue of CNY 199.84 million, a year-on-year increase of 9.65%[135]. - The financial sector saw a revenue increase of 706.98%, with income rising from 164.41 million yuan to 1,326.75 million yuan[146]. - The government sector's revenue increased by 71.22%, from 4,083.99 million yuan to 6,992.59 million yuan[146]. - The infrastructure software sales business grew by 4,225.01 million yuan, a growth rate of 63.25%[145]. - The smart operation software service revenue decreased by 1,398.04 million yuan, a decline of 51.07%[145]. - The direct sales model revenue decreased by 2.73%, while the distribution model revenue increased by 29.50%[143]. Challenges and Risks - The company faces market competition risks, particularly from established international IT firms like IBM and Oracle, which dominate the middleware software market[126]. - The company’s cash flow from operating activities turned negative at CNY -6.24 million, a significant decline compared to the previous year[139]. - The company significantly increased sales and R&D expenses, leading to a substantial cash outflow, as these investments have not yet translated into effective revenue[170]. - The company has 72 invention patents pending, which poses a risk if they are not granted, potentially affecting technological competitiveness[124]. Future Outlook - The company aims to enhance its competitive edge by offering customized development services tailored to high-value clients' specific needs[49]. - The company plans to expand its market presence through new product offerings and technology advancements in the coming year[106]. - The company is focusing on developing a distributed high-performance analytical database, aiming to replace existing Hadoop systems, with a project budget of 3,700,000[99]. - The company is exploring opportunities in the digital economy by increasing investments in big data technologies and applications across various industries[82].