Financial Performance - The company's revenue for the year reached RMB 7.891 billion, representing a year-on-year growth of 2.0%[2] - Gross profit was approximately RMB 2.975 billion, with a gross margin of 37.7%, a slight decrease of 0.3 percentage points compared to the previous year[2] - Net profit was approximately RMB 512 million, while adjusted net profit reached RMB 851 million, maintaining an adjusted net profit margin of 10.8%[2] - The company's net profit attributable to equity holders for the year ended December 31, 2023, was RMB 533,008 thousand, a decrease of 35.9% from RMB 831,845 thousand in 2022[17] - Basic earnings per share for 2023 was RMB 0.58, down from RMB 0.92 in 2022, reflecting a decline of 37%[17] - The company reported a total comprehensive income of RMB 535,867 thousand for the year, compared to RMB 822,514 thousand in 2022, indicating a decline of 34.9%[20] - The company's total revenue for the year ended December 31, 2023, was approximately RMB 7.89 billion, representing a year-on-year increase of 2.0%[14] - Revenue from new businesses reached approximately RMB 2.90 billion, showing a robust year-on-year growth of 12.7%[14] - The adjusted net profit for the year was RMB 0.851 billion, maintaining a double-digit net profit margin of 10.8%[63] Business Segments - Revenue from the "Three New Businesses" amounted to RMB 2.899 billion, with a year-on-year increase of 12.7%, accounting for approximately 36.7% of total revenue[2] - The "Digital Intelligence Operations" business experienced a revenue decline of 4.2%, totaling RMB 1.102 billion, accounting for 14.0% of total revenue[5] - The company's vertical industry digital business revenue was RMB 965 million, up 27.5% year-on-year, accounting for 12.2% of total revenue[6] - OSS business revenue amounted to RMB 832 million, representing a year-on-year increase of 24.9% and accounting for 10.5% of total revenue[7] - BSS business revenue declined by 0.9% year-on-year to RMB 4.881 billion, facing challenges from clients' cost-cutting measures[7] Cash Flow and Assets - Operating cash flow improved to RMB 582 million, reflecting a year-on-year increase of 5.9%[4] - The company's cash and cash equivalents increased to RMB 2,612,771 thousand in 2023, up from RMB 1,933,250 thousand in 2022, representing a growth of 35.2%[18] - Trade receivables rose to RMB 1,513,032 thousand in 2023, compared to RMB 1,137,330 thousand in 2022, marking an increase of 32.9%[18] - Total assets as of December 31, 2023, amounted to RMB 8,398,630 thousand, an increase of 18.2% compared to RMB 7,103,835 thousand in 2022[18] - The company's total liabilities as of December 31, 2023, were approximately RMB 4.685 billion, a year-on-year increase of 29.1% from RMB 3.627 billion in 2022[89] Dividends and Shareholder Returns - The company proposed a final dividend of HKD 0.412 per share, with a payout ratio of 40% of adjusted net profit[4] - The proposed final dividend for the year ended December 31, 2023, is RMB 348,617,000, an increase from RMB 332,737,000 in 2022, representing a growth of approximately 4.8%[41] - The special dividend declared on December 4, 2023, amounted to RMB 510,014,000, which was not applicable in 2022[41] Strategic Focus and Future Outlook - The company is focusing on cash flow health and cost management to ensure long-term sustainable development amid economic uncertainties[3] - The company anticipates a recovery in the "Digital Intelligence Operations" business in 2024 as market demand remains strong[5] - The company aims to achieve carbon peak by 2025 and full carbon neutrality by 2028, actively exploring green operational models[10] - The company plans to expand into non-telecom industries such as energy, government, and transportation, focusing on standardized products and solutions[12] - The company is targeting international markets, particularly the Middle East and Southeast Asia, to promote its 5G private network and edge AI products[13] Research and Development - The company has established over 300 international and domestic standards, with 85 new standards added in 2023[9] - The company invested RMB 2,035,488 thousand in financial assets measured at fair value through profit or loss in 2023, compared to RMB 1,309,807 thousand in 2022, marking an increase of about 55.3%[24] - Research and development expenses were approximately RMB 1.10 billion, a slight decrease of 1.2% from RMB 1.11 billion in 2022, accounting for 13.9% of total revenue[84] Market Position and Innovations - The company has integrated over 100 wind farms into its 5G private network projects, collaborating with China Broadcasting and China General Nuclear Power Group[6] - The company launched the AN CoPilot product system to support operators in advancing to L4/L5 intelligent networks, with applications already in place at major telecom operators[8] - The company continues to innovate in AIGC/GPT, edge intelligence, and digital twin technologies to mitigate downward pressure on BSS business[69] - The company’s 5G core network and network slicing capabilities were ranked among the top 7 globally by ABI Research, and its 5G private network products won the GLOTEL "BSS/OSS Modernization Excellence Award"[71] Employee and Governance - The group had a total of 13,577 employees during the reporting period, a slight decrease from 13,581 employees as of December 31, 2022[102] - The company is committed to maintaining competitive employee compensation levels in line with market trends, with a comprehensive benefits plan and career development opportunities[102] - The company has adopted a corporate governance code to enhance shareholder rights and corporate accountability, ensuring compliance with applicable governance principles[104]
亚信科技(01675) - 2023 - 年度业绩