Bonree(SH:688229)2021-04-21 16:00Dividend Policy - The company plans to distribute a cash dividend of RMB 2 per 10 shares, totaling RMB 8,880,000, which represents 40.82% of the cumulative distributable profits[6]. - The company approved a cash dividend of RMB 10 per 10 shares for the third quarter, amounting to a total of RMB 4,440,000, which was distributed on November 30, 2020[6]. - The company does not plan to issue bonus shares or increase capital reserves through stock conversion[6]. - The board of directors must consider the company's profitability, funding needs, and shareholder opinions when proposing dividend plans[142]. - The company must disclose the reasons for not proposing cash dividends if it is profitable and has distributable profits[147]. - The cash dividend policy requires independent directors to provide clear opinions and ensure minority shareholders' rights are protected[144]. - The company will not issue new shares or convertible bonds if it has not distributed cash dividends in the last three years[144]. - The cash dividend distribution plan must be approved by at least two-thirds of the voting rights at the shareholders' meeting if adjustments are made[143]. - The company will continue to execute a cash dividend policy, prioritizing cash distributions to shareholders while ensuring sustainable development[140]. - The company plans to distribute cash dividends annually, with a minimum of 10% of the distributable profit allocated for cash dividends in profitable years[141]. Financial Performance - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB for the fiscal year, representing a 15% year-over-year growth[23]. - The company's operating revenue for 2020 was CNY 138.84 million, a decrease of 15.62% compared to 2019[24]. - The net profit attributable to shareholders was CNY 31.14 million, down 48.98% year-over-year[24]. - The net profit after deducting non-recurring gains and losses was CNY 22.14 million, a decline of 60.81% from the previous year[24]. - The net cash flow from operating activities was CNY 27.15 million, a decrease of 46.98% compared to 2019[24]. - The company's total assets increased to CNY 874.72 million, up 270.27% from the previous year[24]. - The net assets attributable to shareholders rose to CNY 840.89 million, reflecting a growth of 312.41% year-over-year[24]. - Basic earnings per share were CNY 0.84, a decline of 54.10% from 2019[26]. Research and Development - Research and development expenses increased by 30%, totaling 150 million RMB, focusing on AI and machine learning technologies[23]. - R&D expenses accounted for 28.47% of operating revenue, an increase of 9.59 percentage points compared to the previous year[26]. - The increase in R&D expenses was primarily due to the hiring and training of 66 additional technical staff, resulting in a salary increase of ¥8,316,100 compared to the previous year[68]. - Total R&D expenses for 2020 amounted to ¥39,523,251.14, a 27.23% increase from ¥31,064,777.34 in the previous year[67]. - The company has developed 27 core technologies and holds 7 authorized invention patents, with 60 patents pending and 63 software copyrights, showcasing its strong technological advancement in application performance management (APM)[52]. Market Strategy and Growth - The company is expanding its market presence in Southeast Asia, targeting a 25% market share within the next two years[23]. - A strategic acquisition of a local tech firm was announced, valued at 300 million RMB, aimed at enhancing technological capabilities[23]. - The company provided guidance for the next fiscal year, projecting a revenue growth of 10% to 12%[23]. - The company aims to reduce operational costs by 8% through efficiency improvements in the supply chain[23]. - The company is focusing on integrating AI technologies into its operations to improve IT efficiency and automate decision-making processes[55]. Risks and Challenges - The company faced challenges in customer engagement and contract fulfillment due to the COVID-19 pandemic, impacting revenue generation[27]. - The company faces risks related to core talent retention and rising human resource costs due to high competition in the IT sector[92]. - The company is exposed to market competition risks as new entrants and overseas players emerge in the APM industry[93]. Corporate Governance - The company has not reported any non-operating fund occupation by controlling shareholders or related parties[8]. - There are no special arrangements for corporate governance reported[8]. - The company has outlined various risks and countermeasures in its operational analysis section[4]. Technological Advancements - The company focuses on IT operations management (ITOM) and application performance management (APM), providing services that enhance software application performance for enterprise clients[39]. - The company has developed a comprehensive data analysis platform to support digital transformation for its clients[40]. - The company aims to leverage machine learning technologies to improve application performance monitoring and anomaly detection[39]. - The company has developed a hybrid application data collection technology that ensures comprehensive network performance data collection across various native network frameworks and H5 frameworks on both Android and iOS platforms[61]. Shareholder Commitments - The company has commitments from major shareholders regarding their shareholding intentions and reduction plans, effective from November 25, 2019[149]. - The company has a commitment to repurchase shares to address any fraudulent issuance, effective from November 25, 2019, with long-term validity[149]. - The company has established a long-term effective strategy to ensure compliance with relevant regulations and commitments by major shareholders[151]. Financial Reporting and Compliance - The company has confirmed that all commitments made by major shareholders are independently enforceable and will not affect the validity of other commitments[192]. - The company will take corrective actions if it fails to fulfill commitments due to uncontrollable factors, including timely disclosure of reasons[186]. - The company’s financial report indicates that it has not reached the original profit forecast for any assets or projects during the reporting period[195].