Kingsoft Office(SH:688111)2022-03-23 16:00Financial Performance - The company's operating revenue for 2021 was RMB 3,280,058,758.03, representing a 45.07% increase compared to RMB 2,260,968,393.13 in 2020[18]. - The net profit attributable to shareholders for 2021 was RMB 1,041,253,876.40, an increase of 18.57% from RMB 878,141,265.18 in 2020[18]. - The net cash flow from operating activities for 2021 was RMB 1,864,300,475.42, which is a 23.10% increase compared to RMB 1,514,423,730.42 in 2020[18]. - The total assets at the end of 2021 were RMB 10,425,669,410.85, reflecting a 22.49% increase from RMB 8,511,586,171.34 at the end of 2020[18]. - The company's net assets attributable to shareholders at the end of 2021 were RMB 7,719,515,499.63, a 12.61% increase from RMB 6,854,905,919.92 at the end of 2020[18]. - The basic earnings per share for 2021 were RMB 2.2587, an increase of 18.57% from RMB 1.9049 in 2020[19]. - The diluted earnings per share for 2021 were also RMB 2.2587, consistent with the basic earnings per share, reflecting the same growth rate of 18.57% from the previous year[19]. - The company achieved total revenue of RMB 3,470,129,757.03 in 2021, representing a year-on-year growth of 45.07%[27]. - The net profit after deducting non-recurring gains and losses for 2021 was RMB 840,423,962.07, a 37.32% increase from RMB 612,028,724.54 in 2020[18]. Research and Development - The R&D expenditure as a percentage of operating revenue was 32.98% in 2021, up from 31.44% in 2020, indicating a 1.54 percentage point increase[19]. - Research and development (R&D) expenses amounted to approximately ¥1.08 billion, representing a 52.15% increase compared to the previous year[84]. - The number of R&D personnel increased by 933 to a total of 2,811, contributing to the rise in R&D expenses[86]. - The company has developed a multi-platform operating system adaptation technology that significantly reduces the cost of maintaining multi-platform code and ensures efficient migration of all WPS functionalities to other operating systems[71]. - The company has established five major R&D centers and twelve service centers across the country, ensuring timely customer support[96]. Corporate Governance - The board of directors has confirmed that all members attended the board meeting, ensuring governance and oversight[4]. - The company has not disclosed any special arrangements for corporate governance[7]. - The company has implemented a robust internal control management system to identify and rectify issues within its internal control framework[138]. - The company has revised its articles of association and internal control regulations to align with its operational needs[138]. - The independent directors have played a significant role in protecting the interests of minority shareholders[138]. Market Expansion and Strategy - The company plans to expand its digital office platform to support digital transformation for various organizations, including government and enterprises[131]. - The company is committed to exploring key technology innovation opportunities and strengthening its R&D capabilities to support long-term business development[100]. - The company is considering strategic acquisitions to enhance its product offerings, with a budget of $500 million allocated for potential mergers and acquisitions[146]. - The company has been expanding its market presence, particularly in mobile and cloud-based solutions, to capture a larger share of the software market[148]. - The company aims to enhance user experience and service quality by focusing on a multi-screen, cloud, content, AI, and collaboration strategy in 2022[133]. Social Responsibility - The company donated a total of 10 million yuan and essential materials for disaster relief, demonstrating its commitment to corporate social responsibility[43]. - The company has actively engaged in social responsibility initiatives, including poverty alleviation projects with a financial contribution of 80,000 yuan[196]. - The company donated 3 million yuan and various materials for disaster relief following the Henan floods in 2021, and launched a template for information collection to aid rescue efforts[197]. - The company has committed to sustainable development by launching the Kingsoft Digital Office Platform, integrating existing products with cloud services to reduce paper waste[193]. User Engagement and Product Development - Monthly active devices for major products reached 544 million by December 31, 2021, a 14.05% increase year-on-year[28]. - The number of cumulative annual paying individual users reached 25.37 million, a growth of 29.31% compared to the previous year[29]. - The company has launched the Kingsoft Digital Office Platform, integrating WPS Office and Kingsoft Document capabilities, significantly enhancing its collaborative office product offerings[39]. - The company has developed a cloud-based office service platform, which integrates various core technologies for online collaboration and data management, operational from 2013 to 2015[79]. - The company is enhancing its office software to meet the needs of government applications, focusing on security and performance improvements from 2018 to 2020[79]. Financial Management - The company has implemented a cash dividend policy, distributing at least 10% of the annual distributable profits in cash, provided certain conditions are met[178]. - The company reported a significant increase in other income, with a rise of 73.12% to CNY 198.60 million due to VAT refunds and related activities[118]. - The company's cash flow from investing activities was negative at CNY -1,363.91 million, primarily due to increased investments in financial products and deposits[117]. - The company’s financial expenses showed a decrease, with a net income of CNY -17.17 million, improving from CNY -9.41 million in the previous year[115]. Employee Development - The company has implemented a talent cultivation plan to improve overall personnel quality and attract talent for sustainable development[136]. - The average salary of R&D personnel rose to RMB 31.91 million, up from RMB 30.16 million in the previous year[89]. - The company focuses on talent recruitment and training, adjusting salary standards based on market conditions[175]. - The company has a total of 4,199 employees, with 1,212 in the parent company and 2,987 in major subsidiaries[173]. Environmental Responsibility - The company achieved LEED V4 Platinum certification for its office building in Beijing, reflecting its commitment to energy efficiency and environmental sustainability[192]. - The company has a strong focus on environmental responsibility, promoting green low-carbon products and services in line with national carbon neutrality goals[193]. - The company has implemented various energy-saving measures, including optimizing air conditioning systems and using energy-efficient lighting[192].