Performance Forecast - The company expects a net loss in the range of 83 million to 95 million yuan, compared to a loss of 162.58 million yuan in the same period last year [1] - The expected net loss after deducting non-recurring gains and losses is projected to be between 87 million and 99 million yuan, compared to a loss of 159.72 million yuan last year [1] - The anticipated operating revenue is between 620 million and 680 million yuan, compared to 665.91 million yuan in the previous year [1] Reasons for Performance Changes - The company has seen improvements in profitability due to ongoing management optimization, with the net loss narrowing by approximately 38% to 46% compared to the previous year [1] - The company plans to enhance project acceptance work in the second half of the year, supported by a solid order backlog and business expansion [1] - The company focuses on core business and advantages, emphasizing AI-enabled key scenarios and innovation in application and services [1] Contract and Technology Developments - The company expects to achieve new contract amounts of 680 million yuan, remaining flat year-on-year, with a 16% increase in the second quarter [2] - The total contracts on hand at the end of the period are projected to be 1.67 billion yuan, a year-on-year increase of approximately 9% [1] - The company has upgraded its technical capabilities, integrating the "Wanyu Wanxiang Model" with the DeepSeek-R1 model and launching the stable version of the "Wanshang+" intelligent agent development platform [1][2] Application Innovations - The company has released various models such as the trial large model and business intelligent agents, enhancing case assistance efficiency [2] - The internet legal knowledge service platform "Yuan Dian Wen Da" has improved user demand understanding efficiency and accuracy, introducing AI-generated element-style lawsuits to enhance the accessibility and convenience of legal services [2]

Group 1: Business Progress and Innovations - The "Hua Yu Wan Xiang" model has been iterated to version 3.0, enhancing reasoning capabilities and compliance, with new multimodal and coding abilities [2][6] - The company launched a series of intelligent applications, including "Yuan Dian Wen Da" for legal consultation and "Wan Xiang" series for data governance and judicial assistance [3][7] - In 2024, the company achieved significant progress in market expansion for its data products and services, with new contracts in legal technology showing year-on-year growth [3][9] Group 2: Financial Performance - The company's total revenue for 2024 was 1.629 billion yuan, a decrease of 7.99% year-on-year, attributed to insufficient initial order scale [8] - The gross profit margin increased by 10 percentage points due to improved operational efficiency [8] - In Q1 2025, revenue reached 271 million yuan, a year-on-year increase of 11.59%, with net loss narrowing by 47.79% compared to the previous year [8] Group 3: Market Strategy and Future Outlook - The company emphasizes value creation through core business focus, innovation, and enhanced investor relations to manage market value [4][5] - The legal technology, education informatization, and government-enterprise digitalization sectors align with national strategic directions, presenting significant growth opportunities [9][11] - The industry is moving towards data-driven, intelligent, and service-oriented development, with AI technologies like "large models" driving ongoing growth [11][12] Group 4: Customer Value and Product Development - The "Wan Xiang" model enhances legal work efficiency by automating data processing and document generation, benefiting legal professionals [13] - The "Yuan Dian Wen Da" application provides precise legal knowledge services, with ongoing user growth and commercial success [14] - The company aims to expand its applications to serve 10 million legal professionals effectively [14] Group 5: Risk Management - The company warns investors that predictions regarding industry trends and future performance do not guarantee outcomes, highlighting the uncertainty of new technology impacts [15]