财富趋势(688318) - 2023 Q4 - 年度财报

Definitions This section provides definitions for common terms used throughout the report | Common Terms | Definition | | :--- | :--- | | Fortune Trend, the Company | Shenzhen Fortune Trend Technology Co., Ltd | | Tongdaxin | The Company's product brand in securities market trading software | | B2B | Business-to-Business model for product, service, and information exchange and sales | | Level-2 Market Data | Enhanced market data provided by securities trading institutions | | Current Reporting Period | January 1, 2023 to December 31, 2023 | Company Profile and Key Financial Indicators Company Profile Fortune Trend is a company listed on the STAR Market of the Shanghai Stock Exchange, stock code 688318, primarily engaged in computer software and hardware technology development and services | Item | Content | | :--- | :--- | | Chinese Name | Shenzhen Fortune Trend Technology Co., Ltd | | Stock Abbreviation | Fortune Trend | | Stock Code | 688318 | | Listing Exchange | Shanghai Stock Exchange STAR Market | | Legal Representative | Huang Shan | Key Financial Indicators In 2023, the company achieved significant performance growth, with operating revenue increasing by 35.21% to CNY 435 million and net profit attributable to shareholders of the parent company surging by 102.35% to CNY 311 million Key Accounting Data | Key Accounting Data | 2023 (CNY) | 2022 (CNY) | Change YoY (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 434,670,761.74 | 321,467,652.75 | 35.21 | | Net Profit Attributable to Shareholders of Listed Company | 310,715,497.03 | 153,552,018.68 | 102.35 | | Net Profit Attributable to Shareholders of Listed Company After Non-Recurring Gains and Losses | 291,799,733.68 | 211,708,917.56 | 37.83 | | Net Cash Flow from Operating Activities | 238,061,234.49 | 200,534,039.58 | 18.71 | | Total Assets | 3,635,884,577.99 | 3,367,689,952.29 | 7.96 | | Net Assets Attributable to Shareholders of Listed Company | 3,432,269,127.55 | 3,167,727,147.63 | 8.35 | Key Financial Indicators | Key Financial Indicators | 2023 | 2022 | Change YoY | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (CNY/share) | 2.38 | 1.18 | 101.69% | | Diluted Earnings Per Share (CNY/share) | 2.38 | 1.18 | 101.69% | | Weighted Average Return on Net Assets (%) | 9.43 | 4.91 | Increased by 4.52 percentage points | | R&D Expenditure as a Percentage of Operating Revenue (%) | 17.36 | 22.02 | Decreased by 4.66 percentage points | - The company classified value-added tax refunds of CNY 18.35 million related to its main business as recurring profit and loss items[327][9] Management Discussion and Analysis Discussion and Analysis of Operations During the reporting period, the company capitalized on capital market reforms, focused on its core business, and achieved stable operational performance, with total operating revenue growing by 35.21% and net profit attributable to the parent company by 102.35% Key Operating Indicators | Indicator | 2023 Amount (CNY) | Growth YoY (%) | | :--- | :--- | :--- | | Total Operating Revenue | 434,670,761.74 | 35.21% | | Net Profit Attributable to Shareholders of Listed Company | 310,715,497.03 | 102.35% | | Net Profit Attributable to Owners of Parent Company After Non-Recurring Gains and Losses | 291,799,733.68 | 37.83% | | Total Assets | 3,635,884,577.99 | 7.96% | Business, Operating Model, Industry, and R&D Overview As a key supplier of securities market trading system software and information services in China, the company's main business covers software sales, maintenance services, and securities information services, adopting a direct sales model and continuously increasing R&D investment - The company's main businesses include three segments: - Software Products: providing market analysis, securities trading, and intelligent service systems for institutional clients - Maintenance Services: offering daily software maintenance, upgrades, and technical support - Securities Information Services: providing authorized market data and financial data services to institutional or individual clients[11] - The company employs a direct sales model, with software products and maintenance services operating on a B2B model, while securities information services utilize an online sales model[301] - Industry development benefits from the nation's emphasis on the digital economy, advancements in financial technology, and improved regulatory policies, providing broad market space and development opportunities for the securities software and information services industry[334][304][17] Core Technologies and R&D Progress The company possesses core technological advantages in various fields, with R&D investment reaching CNY 75.44 million, focusing on big data and AI to enhance product competitiveness R&D Investment | R&D Investment | 2023 | 2022 | Change | | :--- | :--- | :--- | :--- | | Expensed R&D Expenditure (CNY) | 75,443,229.58 | 70,791,509.90 | 6.57% | | Total R&D Expenditure as a Percentage of Revenue (%) | 17.36 | 22.02 | Decreased by 4.66 percentage points | - During the reporting period, the company obtained 1 new invention patent, 1 new design patent, and 6 new software copyrights, accumulating 111 intellectual property rights[312][344] - The company continues to advance several major R&D projects, including the "Tongdaxin Big Data-based Industry Security Monitoring System," "Tongdaxin Visual Financial Research Terminal," and "Tongdaxin Open Artificial Intelligence Platform," aiming to enhance product intelligence and user experience through big data and AI technologies[316][234] Analysis of Core Competencies The company's core competencies are primarily reflected in extensive client resources, strong R&D advantages, a rich product portfolio, the highly recognized "Tongdaxin" brand, and comprehensive financial database resources - Client Resources: Products and services cover over 90% of domestic securities firms, with high client stickiness[353] - R&D Advantage: Possesses a professional and stable R&D team, with R&D investment accounting for 17.36% of revenue, and products holding complete independent intellectual property rights[354] - Product Advantage: Offers a comprehensive system of securities market trading products and services, capable of meeting the needs of various client segments[323] - Brand Advantage: The "Tongdaxin" brand holds high recognition and influence in the institutional securities trading software sector[34] - Data Resources: Possesses a comprehensive and rich financial database covering domestic and international exchanges, index companies, and various financial news[61] Risk Factors The company faces primary risks including core competency risk, operational risk, financial risk, and policy, legal, and compliance risk, requiring continuous adaptation to market and regulatory changes - Core Competency Risk: Risks related to technological innovation and application; failure in new technology or product development could lead to missed market opportunities and impact competitiveness[36] - Operational Risks: - Capital market volatility: Market downturns may lead to reduced IT investment by brokerage clients, affecting company performance - Increased industry competition: More market participants mean failure to maintain core competitiveness could lead to market exit - Undiversified business and client structure: Over 75% of revenue derived from services to securities firms, limiting new client acquisition[37][357][326] - Financial Risk: Accounts receivable carry the risk of impairment; client operational issues could increase the company's business risk[38][39] - Policy, Legal, and Compliance Risk: The company's products and services must continuously meet regulatory requirements, and changes in laws and regulations could adversely affect operations[384] Analysis of Key Operating Performance During the reporting period, the company's main business revenue increased by 35.45%, with software sales surging by 76.07% due to domestic commercial cryptography and Xinchuang products, while maintaining low client concentration and high supplier concentration Key Financial Performance | Item | Current Period (CNY) | Prior Period (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 434,670,761.74 | 321,467,652.75 | 35.21 | | Operating Cost | 63,215,938.54 | 52,531,144.60 | 20.34 | | R&D Expenses | 75,443,229.58 | 70,791,509.90 | 6.57 | | Net Cash Flow from Operating Activities | 238,061,234.49 | 200,534,039.58 | 18.71 | Operating Revenue and Gross Margin by Product | By Product | Operating Revenue (CNY) | Revenue Change YoY (%) | Gross Margin (%) | Gross Margin Change YoY | | :--- | :--- | :--- | :--- | :--- | | Software Sales Revenue | 209,584,369.45 | 76.07 | 96.52 | Decreased by 2.73 percentage points | | Software Service Revenue | 154,386,594.30 | 15.41 | 89.89 | Decreased by 1.57 percentage points | | Securities Information Service Revenue | 69,593,333.74 | 3.41 | 42.92 | Increased by 1.66 percentage points | - Sales to the top five clients totaled CNY 53.86 million, accounting for 12.39% of total annual sales, indicating low client concentration[367][75] - Purchases from the top five suppliers totaled CNY 47.11 million, accounting for 73.18% of total annual purchases, indicating high supplier concentration[369][395] Corporate Governance Overview of Corporate Governance During the reporting period, the company strictly adhered to relevant laws and regulations, continuously improving its corporate governance structure, with effective operation of the Shareholders' Meeting, Board of Directors, and Supervisory Committee - The company's corporate governance structure is well-regulated, with the Shareholders' Meeting, Board of Directors, and Supervisory Committee operating effectively, holding 2, 7, and 7 meetings, respectively, during the reporting period[408][409] - The company emphasizes investor relations management, maintaining communication with investors through various channels such as investor hotlines, earnings briefings, and on-site visits[409] Directors, Supervisors, Senior Management, and Core Technical Personnel During the reporting period, the company's directors, supervisors, and senior management structure remained stable, with total annual compensation amounting to CNY 5.69 million, supported by a comprehensive compensation and training system - During the reporting period, Chief Financial Officer Liu Xinyan resigned for personal reasons[444] Compensation of Directors, Supervisors, and Senior Management | Name | Position | Total Pre-tax Compensation from the Company during the Reporting Period (CNY ten thousand) | | :--- | :--- | :--- | | Huang Shan | Chairman, General Manager | 66.10 | | Huang Qing | Director | 60.10 | | Tian Jin'en | Director, Deputy General Manager, Board Secretary | 74.76 | | Zhang Lijun | Director, Deputy General Manager | 69.57 | | Total | / | 568.84 | - The company has established a comprehensive employee compensation and benefits system and training system, encouraging employees to participate in professional qualification studies and assessments, and offering various online and offline training opportunities[140][166] Profit Distribution Plan The company's Board of Directors proposed a 2023 profit distribution plan, intending to distribute a cash dividend of CNY 8.00 per 10 shares and convert capital reserves into 4 bonus shares per 10 shares, totaling an estimated CNY 105 million in cash dividends Profit Distribution Plan | Distribution Plan | Content | | :--- | :--- | | Dividend per 10 Shares (CNY, tax inclusive) | 8 | | Bonus Shares per 10 Shares (shares) | 4 | | Cash Dividend Amount (CNY, tax inclusive) | 104,538,560.00 | | Percentage of Net Profit Attributable to Parent Company (%) | 33.64 | Internal Control During the reporting period, the company's internal control system operated effectively, with a comprehensive framework and a standard unqualified audit opinion from ZhongShen ZhongHuan Certified Public Accountants - The company's internal control system operated effectively, reasonably ensuring the legality and compliance of its operations, asset security, and the truthfulness and completeness of financial reports[189] - The accounting firm issued a standard unqualified audit report on the company's 2023 internal controls[191][175] Environmental, Social, and Governance (ESG) ESG Overview The company highly values ESG management, integrating sustainable development into its operations through green practices, active philanthropy, and robust governance to protect stakeholder rights and enhance transparency - The company is not classified as a key pollutant-discharging entity by environmental authorities and has adopted carbon reduction measures such as promoting paperless offices and energy-efficient travel[178][220] - The company actively participates in philanthropy, deciding to establish the "Zhongnan University of Economics and Law Fortune Trend Talent Fund," donating CNY 100,000 annually for a period of 10 years[224] - The company focuses on protecting the rights and interests of all stakeholders, including safeguarding shareholders' right to know, upholding employees' legitimate rights, building a fair and honest procurement system, and protecting client rights[115][116][117] - The company actively conducts investor relations management activities through various means, such as holding earnings briefings, setting up an investor relations section on its official website, and utilizing SSE E-Interaction[121][122] Significant Matters Fulfillment of Commitments During the reporting period, the company and its actual controller, shareholders, directors, supervisors, and senior management strictly fulfilled all commitments made during the initial public offering, including share lock-up, share price stability, and avoidance of horizontal competition - Actual controller Huang Shan and his concerted party Huang Qing strictly adhered to the 36-month share lock-up commitment from the company's listing date[91] - The company, controlling shareholders, and directors, supervisors, and senior management all committed to initiating share price stabilization plans under specific conditions (e.g., share price continuously below net asset value per share for 20 consecutive trading days), with all relevant commitments strictly fulfilled during the reporting period[94][97][100] - The controlling shareholder and actual controller committed to avoiding horizontal competition and unnecessary related-party transactions, ensuring the fairness of transactions when necessary[142][145] Significant Related-Party Transactions During the reporting period, the company had one related-party transaction: leasing office premises from its actual controller, Mr. Huang Shan, for CNY 434,700, which was approved by the Board and independent directors - The company leased office premises located in Wuhan Optics Valley Software Park from its actual controller, Mr. Huang Shan, with a 2023 annual lease expense of CNY 434,652 This related-party transaction was approved by the company's Board of Directors and endorsed by independent directors[1221] Use of Raised Funds The company's net proceeds from its initial public offering amounted to CNY 1.714 billion, with cumulative investment reaching CNY 221 million (28.40% of total committed investment), and a portion of idle funds used for cash management Progress of Raised Funds Investment Projects | Project Name | Total Committed Investment (CNY ten thousand) | Cumulative Investment Amount as of Period End (CNY ten thousand) | Cumulative Investment Progress (%) | Status (Completed/Ongoing) | | :--- | :--- | :--- | :--- | :--- | | Tongdaxin Big Data-based Industry Security Monitoring System | 9,143.85 | 2,059.37 | 22.52% | Completed | | Tongdaxin Visual Financial Research Terminal Project | 32,230.87 | 10,365.07 | 32.16% | Ongoing | | Tongdaxin Open Artificial Intelligence Platform | 20,183.62 | 4,785.29 | 23.71% | Ongoing | | Tongdaxin Professional Investment Trading Platform Project | 16,240.90 | 4,884.64 | 30.08% | Ongoing | - During the reporting period, the company used idle raised funds for cash management, with an effective board-approved limit of CNY 1.4 billion As of the end of the reporting period, the cash management balance was CNY 1.41 billion, exceeding the authorized limit, which the company's Board of Directors subsequently ratified on March 28, 2024[679][652] Share Changes and Shareholder Information Share Capital Changes During the reporting period, the company's total share capital increased from 93,338,000 shares to 130,673,200 shares due to a capital reserve capitalization, and 64,521,295 restricted shares were released from lock-up - Due to the capital reserve capitalization, the company's total share capital increased from 93,338,000 shares to 130,673,200 shares[699][701] - The 64,521,295 restricted shares held by actual controller Huang Shan and his concerted party Huang Qing from the initial public offering were released from lock-up on April 27, 2023[684][701] Shareholders and Actual Controller Information As of the end of the reporting period, the company had 14,298 common shareholders, with Mr. Huang Shan remaining the controlling shareholder and actual controller, directly holding 68.23% of the shares - As of the end of 2023, the company had a total of 14,298 shareholders[686] Top Shareholders | Shareholder Name | Shares Held at Period End (shares) | Percentage (%) | Shareholder Type | | :--- | :--- | :--- | :--- | | Huang Shan | 89,159,938 | 68.23 | Domestic Individual | | Huang Qing | 1,027,875 | 0.79 | Domestic Individual | | Zhang Lijun | 982,695 | 0.75 | Domestic Individual | | Tian Jin'en | 982,695 | 0.75 | Domestic Individual | | Hong Kong Securities Clearing Company Limited | 697,075 | 0.53 | Foreign Legal Entity | - The company's controlling shareholder and actual controller is Mr. Huang Shan, who, along with shareholder Huang Qing, is a sibling, forming a concerted party[708][716] Preferred Shares Information Preferred Shares Overview During the reporting period, the company had no preferred shares - The company has no preferred shares[740] Bonds Information Bonds Overview During the reporting period, the company had no corporate bonds, company bonds, or non-financial enterprise debt financing instruments - The company has no bonds[742] Financial Report Audit Report ZhongShen ZhongHuan Certified Public Accountants (Special General Partnership) issued a standard unqualified audit report on the company's 2023 financial statements, identifying revenue recognition and measurement as a key audit matter - The auditing firm is ZhongShen ZhongHuan Certified Public Accountants (Special General Partnership), which issued a standard unqualified audit report[225][743] - The key audit matter is "Revenue Recognition and Measurement" due to its significance as a key performance indicator for the company, diverse business types, and numerous clients, posing a higher risk of material misstatement[724] Financial Statements As of December 31, 2023, the company's total assets were CNY 3.636 billion, with equity attributable to owners of the parent company at CNY 3.432 billion, indicating a stable financial position with low debt Key Items from Consolidated Balance Sheet | Key Items from Consolidated Balance Sheet | December 31, 2023 (CNY) | December 31, 2022 (CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 717,432,324.03 | 608,834,540.90 | | Financial Assets Held for Trading | 1,616,249,825.67 | 167,159,458.53 | | Total Assets | 3,635,884,577.99 | 3,367,689,952.29 | | Total Liabilities | 202,900,735.06 | 199,033,690.67 | | Total Equity Attributable to Owners of the Parent Company | 3,432,269,127.55 | 3,167,727,147.63 | Key Items from Consolidated Income Statement | Key Items from Consolidated Income Statement | 2023 (CNY) | 2022 (CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 434,670,761.74 | 321,467,652.75 | | Operating Profit | 357,495,979.37 | 171,012,470.05 | | Net Profit | 310,501,098.42 | 153,481,132.67 | | Net Profit Attributable to Shareholders of the Parent Company | 310,715,497.03 | 153,552,018.68 |