Foxit Software(SH:688095)2024-04-28 07:51Financial Performance - The net profit attributable to the shareholders of the listed company for 2023 is -90,940,983.27 RMB, while the net profit of the parent company is -39,387,343.81 RMB[6]. - The company's operating revenue for 2023 was CNY 610,757,157.35, representing a year-on-year increase of 5.33% compared to CNY 579,876,415.22 in 2022[23]. - The net profit attributable to shareholders of the listed company for 2023 was CNY -90,940,983.27, a significant decline from CNY -1,743,914.50 in 2022[23]. - The basic earnings per share for 2023 was CNY -1.0266, compared to CNY -0.0196 in 2022, indicating a substantial decrease[24]. - The company's total assets at the end of 2023 were CNY 3,013,043,106.88, down 1.03% from CNY 3,044,287,816.17 at the end of 2022[23]. - The company's net assets attributable to shareholders at the end of 2023 were CNY 2,562,395,247.10, a decrease of 3.61% from CNY 2,658,348,847.17 at the end of 2022[23]. - The company reported a net profit of -124.00 million yuan after excluding non-recurring gains and losses, a decline of 222.30% year-on-year[36]. - The company recorded a total of 160.55 million yuan in contract liabilities related to subscriptions, reflecting a year-on-year increase of 71.30%[37]. Dividend Distribution - The total distributable profit of the parent company as of December 31, 2023, is 75,295,180.31 RMB[6]. - The company plans to distribute a cash dividend of 4 RMB (including tax) for every 10 shares, amounting to a total of 35,520,180.80 RMB (including tax) based on the adjusted share capital[6]. - The company’s cash dividend policy stipulates that at least 10% of the distributable profits should be distributed as cash dividends when conditions are met[194]. - The company’s cash dividend distribution is subject to the approval of the shareholders' meeting after being reviewed by the board of directors[198]. - The company’s profit distribution plan for 2023 is pending approval from the shareholders' meeting[198]. Research and Development - Research and development expenses accounted for 38.71% of operating revenue in 2023, an increase of 6.45 percentage points from 32.26% in 2022[24]. - The company achieved a total R&D investment of ¥236,418,385.43, representing a 26.40% increase compared to the previous year[88]. - The proportion of R&D investment to operating income increased by 6.45 percentage points to 38.71%[88]. - The company obtained 3 new patents and 17 software copyrights during the reporting period, bringing the total number of patents to 46 and software copyrights to 138[87]. - The company has developed core technologies that are industry-leading, focusing on PDF-related technologies, with advantages in cross-platform compatibility, high performance, security, and compact size[85]. Market Expansion and Strategy - The company plans to expand into emerging markets such as Southeast Asia and South America while continuing marketing investments in North America, Europe, and Asia-Pacific[108]. - The company aims to enhance its core PDF business and explore new opportunities in vertical markets in 2024, focusing on increasing annual comprehensive business volume and market share[151]. - The company plans to implement a dual transformation strategy of "subscription first" and "channel first" to drive steady business growth in 2024[152]. - The company is actively pursuing market expansion and new strategies, including the integration of its PDF technology into home decoration electronic drawing platforms[86]. Risk Management - The company has outlined various risks and countermeasures in the report, which can be found in the management discussion and analysis section[4]. - The company faces risks related to overseas operations, including cultural misunderstandings and political/economic changes in foreign markets[108]. - The company is exposed to data security risks, which could impact its reputation and lead to potential legal issues[109]. Corporate Governance - The company’s independent directors have played a significant role in protecting the interests of minority shareholders and enhancing corporate governance[157]. - The company’s financial audit and internal control audit institutions for 2023 have been reappointed, ensuring compliance and oversight[159]. - The company has established a robust governance structure with independent directors overseeing strategic decisions and ensuring compliance[166]. Product Development and Innovation - The company has launched the upgraded subscription-based PDF Editor Suite, integrating multiple platforms and AI features, marking a significant milestone in its cloud strategy[43]. - The company has introduced AI-based technologies for sensitive information discovery and masking, ensuring compliance with privacy regulations such as GDPR and HIPAA[84]. - The company has developed an Office document processing engine that allows for high-quality page-level conversion from Office formats to PDF, enhancing document display and information extraction capabilities[85]. Employee Development - The company has implemented a comprehensive training program, including professional and skills training, to support employee development[190]. - The company has a talent cultivation mechanism that includes scholarships for employees pursuing advanced degrees in relevant fields[190]. - The company has established a competitive salary system based on market standards, considering various factors such as industry salary dynamics and individual performance[189].