Pinming Software(SH:688109)2022-04-22 16:00Financial Performance - The company's operating revenue for 2021 was CNY 475,495,638.02, representing a year-on-year increase of 25.17%[22]. - Net profit attributable to shareholders decreased by 35.81% to CNY 62,679,510.83 compared to the previous year[22]. - The net cash flow from operating activities fell significantly to CNY -24,792,936.68, a decrease of 139.92% year-on-year[22]. - The company's total assets increased by 179.30% to CNY 1,033,379,389.74, primarily due to funds raised from the initial public offering[25]. - The net assets attributable to shareholders rose by 225.66% to CNY 909,781,904.88, driven by the capital increase from the IPO[24]. - Basic earnings per share dropped by 48.54% to CNY 1.23, while diluted earnings per share remained the same[23]. - The company's revenue from the software industry reached ¥475,495,638.02, with a gross margin of 77.69%, reflecting a decrease of 4.10 percentage points compared to the previous year[101]. - Revenue from the construction information software segment was ¥245,119,720.71, with a gross margin of 97.63%, showing a slight decrease of 0.04 percentage points year-on-year[101]. - The smart construction product segment generated ¥230,375,917.31 in revenue, with a gross margin of 56.47%, down by 4.49 percentage points from the previous year[101]. - The company reported a gross margin of 45%, up from 42% in the previous quarter[143]. Research and Development - Research and development expenses accounted for 25.19% of operating revenue, an increase of 4.10 percentage points from the previous year[23]. - The company achieved a total R&D investment of ¥119,754,298.32, representing a 49.46% increase compared to the previous year[70]. - R&D investment accounted for 25.19% of total revenue, up from 21.09% in the previous year, indicating a 4.09% increase in the proportion[70]. - The number of R&D personnel increased by 61% year-on-year, enhancing the company's R&D capabilities and core competitiveness[71]. - The company has developed core technologies, including a "BIM Algorithm Engine," which enhances performance metrics and application effects through continuous vertical application development[79]. - The company is actively developing new products and technologies, with a focus on improving construction safety and efficiency through digital construction technologies[67]. - The company is leveraging AI technology to develop automated cost estimation algorithms, significantly reducing manual workload for cost personnel[66]. - The company has established a big data management platform to support distributed computing and real-time data analysis for construction safety[66]. - The company has invested 50 million RMB in R&D for new technologies, focusing on smart construction solutions[145]. Market Expansion and Strategy - The company is focused on expanding its market presence and enhancing its technological capabilities through new product development[4]. - The company plans to continue enhancing its marketing channels and deepen cooperation with existing clients while actively exploring new clients[24]. - The company is focused on expanding its market presence outside Zhejiang, although this is a long-term process[90]. - Market expansion plans include entering three new international markets by the end of 2024[143]. - The company is exploring potential acquisitions to enhance its product portfolio, with a budget of 100 million allocated for this purpose[143]. - A new strategic partnership was announced, expected to drive a 5% increase in market share over the next year[143]. - The company aims to enhance its product innovation and expand its national marketing network to drive rapid growth in performance over the next three to five years[131]. Corporate Governance - The company has established a governance structure that includes a board of directors and various committees to ensure effective decision-making and oversight[136]. - The company has established specialized committees, including the audit committee, nomination committee, compensation and assessment committee, and strategic committee[156]. - The company emphasizes internal control and has implemented a management system for subsidiaries to enhance risk prevention and internal control effectiveness[180]. - The internal control audit report for the year received a standard unqualified opinion, indicating no significant deficiencies[181]. - The company has a comprehensive compensation policy for directors and senior management, which is approved by the board[151]. - The company has implemented a performance evaluation system for senior management based on annual operational plans and management objectives[151]. Shareholder Returns - The company plans to distribute a cash dividend of 6.00 RMB per 10 shares, totaling approximately 32,624,400 RMB (including tax), which represents 52.05% of the net profit attributable to shareholders for the year 2021[5]. - The company distributed a cash dividend of RMB 8.00 per 10 shares in 2020, amounting to RMB 43,499,200[168]. - The company has a cash dividend policy that mandates a minimum of 10% of the distributable profit to be distributed as cash dividends annually, provided certain conditions are met[166]. - The total number of shares held by directors, supervisors, and senior management increased from 27,990,092 at the beginning of the year to 28,378,452 at the end of the year, representing an increase of 388,360 shares[140]. - The increase in shareholding among senior management indicates a positive outlook and confidence in the company's future performance[140]. Operational Risks - The company has faced various operational risks, which are detailed in the report's management discussion and analysis section[4]. - The company faces risks related to technology development and market trends, which could impact its competitive edge if not managed properly[86]. - The reliance on Autodesk's software for certain products poses a risk if international trade policies change, potentially affecting product development[89]. - The company faces risks related to concentrated sales regions, particularly in Zhejiang, which could adversely affect performance if market conditions change[90]. - There is a risk of declining gross margins due to increased competition and rising raw material costs[93]. Environmental and Social Responsibility - The company is committed to environmental protection and aims to promote green and low-carbon construction practices through digital construction technologies[183]. - The company has implemented a series of environmental protection measures, including a real-time monitoring system for dust and noise, which helps maintain a clean construction environment[191]. - The intelligent water and electricity monitoring system records real-time consumption and sets up alerts for abnormal usage, aiding in energy management on construction sites[189]. - The company has established partnerships with over 40 universities to foster talent development in the industry, with 68 projects approved in 2021[185]. - The company organized the "National College BIM Application Graduation Design Competition," attracting nearly 8,000 participants from 420 institutions[185].