GIT(SZ:300465)2021-03-25 16:00Financial Performance - The company recorded a net profit attributable to the parent company of -671.25 million RMB for the year 2020, with a net profit of 116.58 million RMB after excluding goodwill impairment[5]. - The company's operating revenue for 2020 was ¥1,893,658,496.29, representing a 7.70% increase from ¥1,758,318,368.99 in 2019[27]. - The net profit attributable to shareholders was -¥671,247,584.07 in 2020, a decrease of 601.90% compared to ¥133,741,533.27 in 2019[27]. - The net cash flow from operating activities increased by 36.07% to ¥232,360,648.49 in 2020 from ¥170,769,531.27 in 2019[27]. - The total assets at the end of 2020 were ¥1,939,276,129.09, down 19.49% from ¥2,408,869,603.59 at the end of 2019[27]. - The company's net assets attributable to shareholders decreased by 56.62% to ¥569,823,847.74 in 2020 from ¥1,313,620,497.62 in 2019[27]. - The basic earnings per share for 2020 was -¥1.50, a decline of 600.00% from ¥0.30 in 2019[27]. - The total profit for the year was -662 million yuan, a decline of 557.74% compared to the previous year[60]. - The company reported a net cash flow from operating activities of ¥396.55 million in Q4 2020, a significant recovery from previous quarters[79]. Goodwill and Impairment - Goodwill impairment provision totaled 777.83 million RMB, reducing the goodwill balance to 141.19 million RMB[5]. - The company's goodwill impairment risk remains if the acquired assets do not meet future performance expectations[15]. - In 2020, the company reported a net profit attributable to shareholders of -67,124.76 million, a decrease of 601.90% compared to the previous year, primarily due to a goodwill impairment provision of 77,782.84 million[47]. - The company recognized a goodwill impairment provision of 777.83 million yuan, reducing the goodwill balance to 141.19 million yuan[65]. - The company recognized goodwill impairment of 388.73 million yuan based on the performance shortfall and future development forecasts[137]. Business Segments and Growth - The company has identified financial information services and mobile marketing services as its main business segments[38]. - The company achieved revenue growth despite the adverse effects of the pandemic, driven by a recovery in demand for financial information services and an increase in system integration and service revenue[47]. - The company expects the financial technology sector to maintain a growth trend in 2021, benefiting from a new round of technology investment cycles in banks, particularly medium and large banks[48]. - The banking financial sector contributed ¥1.40 billion, accounting for 74.16% of total revenue, with a year-on-year growth of 16.81%[76]. - The non-banking financial sector saw a decline of 41.42%, generating ¥91.52 million, down from ¥156.23 million in 2019[76]. - The internet segment generated ¥323.42 million, maintaining a stable growth of 0.16% compared to the previous year[76]. - The company plans to continue focusing on its core business in financial technology and expand its services in the banking technology sector[37]. - The company plans to continue investing in new technologies such as blockchain and AI to adapt to the evolving banking technology landscape[62]. Customer and Market Dynamics - The company has accumulated a diverse and high-quality customer base in the financial sector, including various types of banks and financial institutions, ensuring stable revenue streams[52]. - The company has established a nationwide marketing and service network, with branches in major cities, enhancing customer response speed and service quality[57]. - The direct client retention rate for direct clients was 65.22%, while the retention rate for agency clients was 25.00%[71]. - The customer retention rate for direct clients was 62.50%, while for agency clients it was 33.33%[17]. Operational Challenges and Risks - The company faces risks from rising media procurement costs due to increased competition for quality internet marketing resources[9]. - The company’s financial technology and mobile internet business segments were impacted by the COVID-19 pandemic, which may continue to affect operations[15]. - The company has not encountered significant risks to its ongoing operations, despite external challenges[7]. - The company’s expansion through mergers and acquisitions may test its management and resource integration capabilities[13]. Research and Development - The total R&D investment for 2020 was ¥63.13 million, accounting for 3.33% of the company's operating revenue, which is an increase from 2.99% in 2019[102]. - Research and development expenses increased to CNY 78,497,779.09, a rise of 8.83% compared to CNY 72,131,542.86 in 2019, driven by increased investment in technological innovation[93]. - The company’s R&D personnel increased to 299 in 2020, representing 8.23% of the total workforce, indicating a focus on innovation[102]. - The company has developed a modular configuration technology and a baseline research and development management model to improve project implementation efficiency[56]. Shareholder and Governance - The company has not distributed any cash dividends for the fiscal year 2020 due to a net loss of approximately 671.25 million yuan[127]. - The company has a policy of maintaining a cash dividend of at least 15% of the distributable profit when profitable, but did not meet this criterion in 2020[124]. - The company has committed to not transferring more than 25% of its shares held during the lock-up period after the expiration of the lock-up[131]. - The chairman has pledged to maintain the share price above the issuance price during the two years following the lock-up period[131]. - The company has established a priority purchase right for any assets or businesses related to its operations that the chairman intends to sell[131]. - The company has adhered strictly to commitments regarding the avoidance of illegal occupation of funds and assets[131]. - The company has ensured that all related party transactions follow market principles to protect the interests of minority shareholders[131]. - The company has not reported any major environmental protection issues, confirming it is not listed as a key pollutant unit[164]. Employee and Management Structure - The total number of employees in the company is 3,633, with 1,536 in the parent company and 2,097 in major subsidiaries[200]. - The company has 3,286 technical personnel, representing approximately 90.5% of the total workforce[200]. - The educational background of employees shows that 2,762 hold a bachelor's degree or higher, accounting for about 76.2% of the workforce[200]. - The company has a diverse management team with various roles, including a chairman, general manager, and multiple vice presidents[199]. - The company’s management team includes experienced professionals with backgrounds in finance, software development, and consulting[192].