Bonree(SH:688229)2023-04-26 16:00Profit Distribution and Financial Performance - The company plans not to distribute profits for the year 2022 and will not increase capital reserves through stock conversion [5]. - A total of 591,462 shares were repurchased from June 30, 2022, to December 30, 2022, at a total cost of RMB 22,000,200.60, which is considered as cash dividends for investors [5]. - The cumulative cash distribution over the last three years accounted for 111.42% of the average distributable profit during that period [5]. - The company has not achieved profitability since its listing [4]. - The net profit attributable to shareholders was a loss of CNY 81.23 million, a decline of CNY 8.28 million from the previous year [25]. - The basic earnings per share were CNY -1.83, down from CNY -1.64 in 2021 [23]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion CNY for the fiscal year 2022, representing a growth of 15% year-over-year [16]. - The company reported a net profit margin of 12% for 2022, reflecting improved operational efficiency [16]. - The company reported a significant reduction in software and hardware costs, with software costs down by 32.35% and hardware costs down by 56.69% year-over-year [106]. - The total cash dividend amount for the reporting period was 22,000,200.60 RMB, which accounted for -27.08% of the net profit attributable to ordinary shareholders [198]. Operational Efficiency and R&D Investment - The company plans to invest in R&D for new product features, aiming for a 20% increase in product capabilities by the next fiscal year [12]. - Investment in R&D increased by 30% in 2022, totaling 150 million CNY, focusing on developing new technologies and enhancing existing products [16]. - The company's R&D expenses increased by 14.37% to CNY 79.52 million, representing 68.32% of operating revenue, an increase of 16.09 percentage points year-on-year [25][27]. - The company has developed 28 core technologies and holds 14 authorized invention patents and 103 software copyrights, establishing a strong technical leadership in the APM sector [59]. - The company has established a technical expert team focused on application performance monitoring services, leveraging advancements in mobile internet, cloud computing, big data, and artificial intelligence [82]. Market Expansion and Product Development - Future outlook includes expanding market presence in cloud computing and enhancing product offerings in response to user demand [12]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2025 [16]. - The company is focusing on developing new technologies such as containerization and microservices to enhance application deployment and management [12]. - The company is enhancing its APM product line to create an integrated intelligent observability platform, Bonree ONE, transitioning from monitoring tools to a comprehensive observability platform [142]. - The company completed an acquisition of a smaller tech firm for $100 million to enhance its product offerings [160]. User Engagement and Customer Satisfaction - User data showed a 25% increase in active users, reaching 5 million by the end of 2022, indicating strong market engagement [16]. - The introduction of SaaS models has allowed customers to access software services on-demand, increasing customer engagement by 40% [12]. - Customer satisfaction scores improved by 15% due to enhanced user experience initiatives implemented throughout the year [16]. - The company aims to enhance user experience by capturing key performance metrics related to web page loading and user interactions [69]. Governance and Compliance - The board of directors has confirmed the authenticity, accuracy, and completeness of the annual report [4]. - The company has established a sound governance structure, including a shareholder meeting, board of directors, and supervisory board, to ensure compliance and effective management [146]. - The company held two shareholder meetings in 2022, ensuring compliance with legal regulations and protecting minority shareholder rights [147]. - The company is committed to transparent information disclosure, ensuring timely and accurate reporting of significant information to protect investor interests [148]. Risks and Challenges - The company faces high technical barriers in developing comprehensive, high-performance APM products that require advanced data collection and analysis capabilities [56]. - The company has experienced an increase in accounts receivable, which poses a risk of bad debts if not effectively managed [88]. - The company is subject to macroeconomic risks that may affect demand for its products due to changes in national economic development and industrial policies [93]. - The company faces risks related to potential declines in performance or losses due to high reliance on specialized technical personnel and increasing human resource costs [85]. Technology and Innovation - The company launched the Bonree ONE integrated intelligent observability platform, enhancing its product capabilities in IT monitoring [38]. - The new integrated observability platform, Bonree ONE, provides comprehensive monitoring capabilities from code to user, enhancing the product system's competitiveness in the industry [59]. - The company is actively investing in R&D, particularly in smart probe technology, big data processing, and AI, to strengthen its competitive edge [59]. - The company has developed a machine learning-based technology for intelligent anomaly detection, which automatically identifies and alerts users to unexpected trends in KPI indicators [71].