Core Insights - The company, Beijing Zhizhen Technology Co., Ltd., is facing a decline in revenue due to cost-cutting strategies by telecom operators, impacting its software development business orders [2] - The company is actively developing next-generation OSS product platforms to create new revenue opportunities [2] - The Zhengzhou Airport computing power project is progressing steadily and is expected to generate new business income over a five-year operational period [3] - The company has a clear operational strategy focusing on the development of new projects and products in the computing power sector [4] - There are currently no demands for mergers and acquisitions, and the company's private placement is under review [5] Revenue Performance - For the first half of 2025, the company achieved operating revenue of 106.0354 million yuan, a decline compared to the same period last year [2] - The decrease in revenue is primarily attributed to a reduction in software development business orders due to telecom operators' efficiency strategies [2] Project Development - The Zhengzhou Airport computing power project is being constructed by the company's wholly-owned subsidiary and is on track, with equipment procurement and testing underway [3] - The project is expected to contribute to new business income during its operational phase [3] Strategic Focus - The company is advancing strategic new projects, including the Zhengzhou Airport intelligent computing center and various computing power service products [4] - The focus remains on the computing power sector, with ongoing projects expected to gradually generate revenue [4] Financial Activities - The company currently has no requirements for mergers and acquisitions [5] - The private placement for 2024 has been reviewed by the Shenzhen Stock Exchange and is pending further approvals [5]

Financial Performance - In the first half of 2025, the company achieved operating revenue of 106.04 million yuan, a decrease of 19.16% compared to the same period last year [2][3] - The net profit attributable to shareholders was -43.04 million yuan, down 85.70% year-on-year [3] - The net profit after deducting non-recurring gains and losses was -44.06 million yuan, a decline of 71.40% compared to the previous year [3] Business Challenges - The decline in software development orders due to telecom operators' cost-cutting strategies negatively impacted revenue targets for the first half of 2025 [3] - The company is actively advancing the development of the next-generation OSS product platform to create more business opportunities [3] Project Updates - The Zhengzhou Airport computing power project is progressing steadily, with equipment procurement and network testing underway [4] - The project is expected to generate new business income over a five-year operational period once completed [4] Strategic Direction - The company maintains a clear operational strategy, focusing on customer value and integrated marketing efforts [4] - New projects, including the Zhengzhou Airport Intelligent Computing Center, are being executed, with significant progress in product development [4] Capital Raising - The company has initiated a private placement for 2024, pending approval from the Shenzhen Stock Exchange and the China Securities Regulatory Commission [6]

Performance Forecast - The company expects a net loss attributable to shareholders of 40 million to 46 million yuan for the current reporting period, compared to a loss of 23.1757 million yuan in the same period last year [1] - The net loss after deducting non-recurring gains and losses is projected to be between 41 million and 47 million yuan, compared to a loss of 25.7039 million yuan in the previous year [1] - The basic earnings per share are expected to be a loss of 0.39 to 0.45 yuan per share, compared to a loss of 0.23 yuan per share in the same period last year [1] Communication with Auditors - The company has communicated with the accounting firm regarding the performance forecast and there are no discrepancies between the company and the auditors concerning the performance forecast [1] Reasons for Performance Variance - The company's operating income shows significant seasonality, with a higher proportion in the fourth quarter, while management, sales, and R&D expenses are incurred more evenly throughout the quarters, leading to losses in the first half of 2025 [1] - The decline in software development business orders due to telecom operators' cost-reduction strategies has impacted the revenue targets for the first half of 2025 [1] - The company is actively advancing the development of the next-generation OSS product platform to create more business opportunities for incremental revenue in OSS [1] - In the new computing power business, the company is in a rapid development phase, with related projects progressing orderly towards operational status to gradually realize revenue [1]