Financial Performance - For the fiscal year ending December 31, 2022, the company reported a net profit of RMB 4.9 million, a significant decrease of approximately 94.0% compared to RMB 82.1 million in 2021[8]. - The company's total revenue decreased by approximately 25.6% from RMB 813.2 million in 2021 to RMB 605.2 million in 2022, primarily due to a decline in sales of personal tablets and wearable products impacted by COVID-19 restrictions[39]. - The pre-tax profit dropped significantly from RMB 72.0 million in 2021 to RMB 10.7 million in 2022[30]. - The income tax expense for 2022 was RMB 5.9 million, compared to a tax credit of RMB 10.1 million in 2021[32]. - The total profit for the year was RMB 4,856 million, a significant decrease from RMB 82,146 million in the previous year[56]. - Net profit attributable to the owners of the company for 2022 was RMB 5,209 thousand, significantly lower than RMB 82,146 thousand in 2021, representing a decrease of 93.7%[117]. - The company reported a deferred tax expense of RMB 5,873 thousand in 2022, compared to a deferred tax benefit of RMB 10,417 thousand in 2021[144]. Revenue Breakdown - The company's revenue from student personal tablets was RMB 522.2 million, accounting for 86.3% of total revenue, while revenue from smart campus solutions was RMB 15.3 million, representing 2.5%[3]. - Sales revenue for student personal tablets decreased by approximately 25.9% from RMB 705.0 million in 2021 to RMB 522.2 million in 2022, primarily due to the impact of COVID-19 and supply chain disruptions[45]. - Sales revenue for wearable products fell by 49.7% from RMB 53.7 million in 2021 to RMB 27.0 million in 2022, also attributed to COVID-19 related challenges[47]. - Revenue from smart campus solutions decreased by about 35.1% from RMB 23.6 million in 2021 to RMB 15.3 million in 2022, due to delays in promotional activities caused by the pandemic[67]. - Revenue from advertising and content licensing dropped from approximately RMB 13.0 million in 2021 to about RMB 11.7 million in 2022, mainly due to the "double reduction" policy affecting user purchases[71]. - Revenue from digital educational resources and services was RMB 130,734 thousand in 2022, slightly down from RMB 137,676 thousand in 2021, a decrease of about 5.3%[133]. Expenses and Costs - Research and development expenses decreased by 13.6% to RMB 37.9 million in 2022 from RMB 43.9 million in 2021, primarily due to reduced professional service fees and material costs[7]. - Sales and distribution expenses increased by approximately 32.0% to RMB 96.4 million in 2022 from RMB 73.1 million in 2021, driven by increased marketing efforts and new product launches[23]. - Administrative expenses rose by approximately 27.4% to RMB 56.1 million in 2022 from RMB 44.0 million in 2021, mainly due to increased professional service fees post-IPO[24]. - The cost of sales decreased by approximately 26.9% to RMB 471.0 million in 2022 from RMB 644.0 million in 2021, primarily due to reduced tablet sales[19]. - The cost of goods sold for equipment, wearable products, and other products was RMB 427,677 thousand in 2022, down from RMB 596,061 thousand in 2021, reflecting a reduction of approximately 28.3%[139]. Assets and Liabilities - The company's cash and cash equivalents as of December 31, 2022, were RMB 149.0 million, a decrease from RMB 333.3 million as of December 31, 2021[6]. - The asset-liability ratio decreased from 68.1% in 2021 to 27.3% in 2022, mainly due to a reduction in total liabilities[33]. - As of December 31, 2022, total assets minus current liabilities amounted to RMB 732,098 thousand, an increase from RMB 420,958 thousand in 2021[90]. - The company's total equity as of December 31, 2022, was RMB 699,579 thousand, up from RMB 258,938 thousand in 2021, indicating a growth of 170.5%[121]. - The company reported a significant reduction in trade receivables, which decreased to RMB 28,330 thousand from RMB 47,551 thousand in 2021, a decline of 40.5%[90]. Strategic Focus and Future Plans - The company focuses on developing and marketing digital educational resources for Chinese students, leveraging internal R&D capabilities[43]. - The company aims to enhance digital teaching methods and improve teaching quality and efficiency through its smart campus solutions targeting primary and secondary schools[45]. - The company plans to enhance its smart campus solutions and develop localized educational content to better meet user needs[112]. - The company aims to expand its distribution network and penetrate more lower-tier cities to accelerate network restructuring[112]. - The company will continue to explore suitable business and investment opportunities to drive growth[84]. Other Information - The company has no significant contingent liabilities, guarantees, or major lawsuits as of December 31, 2022[34]. - The company has no significant direct foreign exchange risk as its operations are primarily conducted in RMB[81]. - The company operates solely in China, with all revenue and long-term assets generated from this region[154]. - The company operates five reportable segments based on its product classifications[127]. - The company did not propose any dividend for the year, consistent with the previous year[166].
读书郎(02385) - 2022 - 年度业绩