Core Viewpoint - Shenzhen Mingjiahui Technology Co., Ltd. reported a revenue of 117 million yuan in 2024, representing a year-on-year growth of 44.09%, while the net profit attributable to shareholders after deducting non-recurring gains and losses was a loss of 153 million yuan, a reduction in loss of 24.7 million yuan compared to the previous year [1] Revenue and Profit Analysis - The company's main business is landscape lighting engineering, which includes design, construction, and related product sales. The revenue from engineering construction accounted for 81.10% of total revenue in 2024, with a gross margin of 24.31%, an increase of 18.8 percentage points year-on-year [1] - The revenue from product sales accounted for 16.86% of total revenue in 2024, with a gross margin of 16.67% [1] - The overall gross margin trend aligns with market demand changes, with the comprehensive gross margin for engineering construction and product sales being 23.06% in 2024 [1][4] Market Growth and Industry Comparison - The landscape lighting industry in China has seen significant growth, with the market size increasing from 442.6 billion yuan in 2016 to 651.5 billion yuan in 2023 [1] - The company's gross margin and revenue are lower than industry peers, but the trend of changes is consistent with the industry [4][3] Major Clients and Revenue Sources - The top five clients contributed significantly to the company's revenue, with the largest client being the government of Guangxin District, accounting for 98.53% of total revenue [1] - The company primarily undertakes projects led by government agencies, which tend to have larger scales and shorter implementation cycles compared to commercial real estate projects [4] Accounts Receivable and Bad Debt Provisions - The company reported accounts receivable of 906 million yuan, with a bad debt provision of 599 million yuan, representing a provision rate of 66.14% [12] - Specific details on accounts receivable and the basis for bad debt provisions were provided, indicating a focus on timely and accurate recognition of potential losses [12][13] Tax Compliance and Revenue Recognition - The company follows tax regulations for VAT and corporate income tax, ensuring compliance and avoiding tax-related risks [10] - Revenue recognition is based on project progress, with no instances of cross-period revenue recognition reported [9][10] Project Details and Execution - The company confirmed significant project revenues for 2024, with major projects including urban lighting enhancements and cultural tourism infrastructure [7][9] - The project acquisition process is conducted through public bidding or competitive negotiation, adhering to legal and industry standards [11][9]