HAND(SZ:300170)2023-04-24 16:00Financial Performance - The company's revenue for Q1 2023 was CNY 720,481,173.53, representing a 1.14% increase compared to CNY 712,350,365.66 in the same period last year[5] - Net profit attributable to shareholders decreased by 90.91% to CNY 31,620,906.58 from CNY 347,840,302.77 year-on-year[5] - The net profit attributable to shareholders was 31.62 million yuan, a decrease of 90.91% year-on-year, primarily due to significant non-recurring gains in the same period last year[18] - The net profit after deducting non-recurring items was 22.26 million yuan, representing an 8.91% year-on-year increase[18] - Net profit for the current period was ¥31,788,174.29, a decrease of 6.4% from ¥340,000,316.78 in the previous period[38] - Basic earnings per share decreased to ¥0.0363 from ¥0.3966 in the previous period, reflecting a decline of 90.84%[39] - The company reported a total comprehensive income of ¥31,889,060.64, down from ¥337,465,277.44 in the previous period[39] Cash Flow and Assets - The net cash flow from operating activities improved by 87.56%, reaching CNY -36,734,736.56 compared to CNY -295,373,319.36 in the previous year[5] - Cash flow from operating activities showed a net outflow of ¥36,734,736.56, an improvement from a net outflow of ¥295,373,319.36 in the previous period[40] - Cash and cash equivalents rose to ¥1,712,411,132.09, up from ¥1,588,706,144.76, indicating an increase of about 7.8%[32] - Cash and cash equivalents at the end of the period increased to ¥1,707,359,375.61 from ¥1,288,347,772.01 in the previous period, marking a significant increase[42] - The total current assets increased to ¥3,672,626,977.58 from ¥3,541,891,159.76, reflecting a growth of approximately 3.7%[32] - The total liabilities increased to ¥1,932,149,327.57 from ¥1,857,606,095.46, representing an increase of approximately 4%[35] - The company's total assets reached ¥5,982,416,192.73, up from ¥5,816,352,364.94, marking a growth of about 2.8%[35] - The company's non-current assets totaled ¥2,309,789,215.15, up from ¥2,274,461,205.18, indicating an increase of approximately 1.6%[34] Revenue Segmentation - The revenue from the digital industry segment grew by 14.87% to CNY 200,269,263.58, accounting for 27.80% of total revenue[15] - The financial digitalization segment's revenue increased by 4.70% to CNY 159,911,992.16, representing 22.20% of total revenue[15] - The IT outsourcing segment experienced a decline in revenue by 24.50% to CNY 89,676,727.92, accounting for 12.45% of total revenue[15] - The company's self-developed software products accounted for 50% of total revenue, up from 45.92% year-on-year, indicating a strategic focus on proprietary software[15] Strategic Initiatives - The company aims to stabilize operations and increase order acquisition in response to the recovering market demand[14] - The company plans to accelerate growth in smart manufacturing, digital marketing, and financial integration sectors in Q2, leveraging opportunities from Q1[19] - The company aims to expand its ERP business by focusing on overseas markets, particularly in Japan and Southeast Asia, while also supporting Chinese enterprises going global[22] - The company is implementing a centralized delivery model to enhance efficiency and reduce costs, which is expected to improve gross profit margins[19] - The company is exploring new technologies such as AIGC and large models to enhance operational efficiency and drive self-transformation[19] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 62,888[24] - The top two shareholders, Chen Diqing and Fan Jianzheng, each hold 6.05% of the shares, totaling approximately 52.92 million shares each[24] Inventory and Costs - The company reported a decrease in inventory from ¥249,779,342.39 to ¥226,154,611.15, a reduction of about 9.5%[32] - Total operating costs increased to ¥690,591,701.47, up 2.24% from ¥675,536,051.61 in the previous period[37] - Research and development expenses rose significantly to ¥65,830,750.81, an increase of 17.8% compared to ¥55,882,941.61 in the previous period[37] Risks and Challenges - The company faces risks related to the uncertain pace of economic recovery, which may impact its annual operational plans[21] - Rising travel costs are a concern, but the centralized delivery model is expected to mitigate some of these pressures[23] Other Information - The company plans to redeem the "Han'd Convertible Bonds" early due to meeting the redemption conditions based on stock price performance[31] - A total of 262,201.7 thousand stock options were canceled as part of the stock option incentive plan, which will not affect the company's share capital[30] - The first quarter report of Shanghai Han'de Information Technology Co., Ltd. is unaudited[43]