Genimous Technology(SZ:000676)2023-04-26 16:00Blockchain Technology - The company has developed 19 core blockchain products, achieving breakthroughs in consensus algorithms, dynamic scheduling systems, and data privacy protection, supporting 10,000 nodes and enhancing blockchain performance[6]. - The company has completed blockchain applications in over ten industries, including supply chain finance and digital art, and is committed to continuous exploration and investment in core technologies[19]. - The blockchain technology developed by the company has gained industry-wide recognition, with the company being one of the first to be registered for blockchain information services[35]. - The blockchain technology platform has been built for applications in supply chain finance, smart governance, traceability, and the metaverse[125]. - The company has established a strategic partnership with banks such as China Construction Bank and CITIC Bank to enhance its blockchain-based supply chain financial services[147]. - The company is actively investing in blockchain technology, successfully facilitating over 70 million yuan in financing for small and medium-sized enterprises through its supply chain financial services platform[53]. Digital Marketing and Advertising - The company has become the exclusive advertising agent for Mango OTT from 2020 to 2022, leveraging its extensive digital marketing experience[34]. - The company is focusing on digital marketing services, including live e-commerce, and has strengthened its media team to enhance content creation capabilities[119]. - The company has partnered with major OTT manufacturers and is leveraging AI technology to improve digital marketing effectiveness and client engagement[121]. - The company aims to leverage blockchain technology and its digital marketing experience to drive growth in the metaverse sector[70]. - The digital marketing business reported revenue of 1,568.29 million yuan, a decrease of 308.33 million yuan year-on-year, but the gross margin increased to 9.06%, up 3.44 percentage points from the previous year[51]. - The company has initiated the incubation of its own acoustic brand business, expanding its presence in Europe and North America through direct-to-consumer channels and optimizing offline channels[52]. Financial Performance - The company achieved total revenue of 2,728.52 million yuan, a decrease of 53.31% compared to the same period last year, with a net profit attributable to shareholders of -404.79 million yuan[47]. - The overall gross margin improved to 23.12%, up 10.58 percentage points from 12.54% in the same period last year, with a net cash flow from operating activities of 786 million yuan, an increase of 333% compared to 2021[47]. - The company's operating revenue for 2022 was ¥2,658,319,572.79, a decrease of 53.22% compared to ¥5,682,085,939.37 in 2021[77]. - The net profit attributable to shareholders for 2022 was -¥404,792,889.63, representing a decline of 403.24% from a profit of ¥133,491,478.84 in the previous year[77]. - The company's total revenue for the reporting period was approximately ¥2.66 billion, a decrease of 53.22% compared to ¥5.68 billion in the previous year[156]. - The company has not declared any cash dividends or stock bonuses for the year[28]. User Engagement and Growth - The company has launched the "Meta Beyond" metaverse art community, hosting multiple interactive events and issuing hundreds of digital collectibles based on blockchain technology[20]. - The company reported over 2 million monthly active users and a daily search volume exceeding 1 million across its PC and mobile platforms[71]. - The company has made significant strides in its internet media business, with a daily search volume exceeding 1 million and monthly active users surpassing 2 million, leading to a revenue increase of 132.28% in the PC segment[49]. - The mobile segment achieved revenue of 275.26 million yuan, with a gross profit of 99.73 million yuan, reflecting a growth of 42.69% year-on-year[50]. - The company is actively exploring new digital marketing models and has launched the "Meta 彼岸" metaverse art community to enhance its market presence[70]. Strategic Partnerships and Collaborations - The company has established strong partnerships with leading brands and Fortune 500 companies across various industries, enhancing customer stickiness and attracting diverse collaborators[24]. - The company has signed significant sales contracts and procurement contracts, with ongoing performance evaluations[131]. - The company has established partnerships with hundreds of institutions, covering leading internet finance companies like Jiayin Technology and Weixin Technology[130]. - The company is exploring strategic collaborations between its overseas advertising business and internet media operations to maximize support for domestic products going abroad[141]. - The company has established a global presence with offices in China, the USA, Cayman Islands, Cyprus, and Romania, leveraging overseas experience and user base for business expansion[8]. Research and Development - R&D investment amounted to ¥113,853,354.13 in 2022, a decrease of 2.96% from ¥117,323,147.45 in 2021, with R&D expenses accounting for 4.28% of operating revenue, up 2.22% year-on-year[179]. - The number of R&D personnel decreased by 12.16% to 130, with a significant drop in master's degree holders by 42.17%[181]. - The company has developed proprietary risk prediction products, including Tuhuo, Tuzhi, and Tuling, which are now included in the procurement lists of major banks such as China Construction Bank and Hebei Bank[130]. - The company is actively investing in data technology, self-owned brands, blockchain, and the metaverse, while strategically reducing its new retail business[121]. - The company is focused on developing high-quality internet products and services, maintaining strong collaboration among its business segments and strategic partners[94]. Employee and Talent Management - Approximately 70% of the company's employees hold a bachelor's degree or higher, with a significant number of overseas internet industry talents, contributing to a robust core technology team[24]. - The company emphasizes a continuous improvement system for talent cultivation, enhancing employee professional capabilities and loyalty[24]. - The company has adjusted its new retail strategy in response to macroeconomic fluctuations and platform policy changes, leading to a contraction in its new retail business[149]. Market Trends and Economic Context - The digital advertising market saw a 78% increase in global spending from 2019 to 2022, highlighting the industry's growth potential[85]. - In 2022, China's internet advertising revenue was ¥508.8 billion, a decrease of 6.38% year-on-year, marking the first decline after years of growth[88]. - The North American digital advertising expenditure reached $249 billion in 2022, growing by 16.5% from 2021, with expectations to reach $364.8 billion by 2026[105]. - The Chinese internet advertising industry experienced a compound annual growth rate of 16.26% from 2017 to 2021, but faced structural adjustments in 2022 due to economic fluctuations[108]. - The "14th Five-Year" digital economy development plan emphasizes accelerating digital transformation in the financial sector, promoting the application of big data, AI, and blockchain technologies[199].