Shanghai Yanhua Smartech Group (002178.SZ) announced its performance forecast for the first half of 2024, with a net loss of 9 million yuan to 13.5 million yuan attributable to shareholders of the listed company, compared to a profit of 4.4368 million yuan in the same period last year. After deducting the non-recurring gains and losses, the net loss was 17.85 million yuan to 22.35 million yuan, compared to a loss of 1.3762 million yuan in the same period last year. The basic earnings per share were a loss of 0.0126 yuan/share to 0.0190 yuan/share. Operating revenue was 260 million yuan to 360 million yuan, and deducted operating revenue was 250 million yuan to 350 million yuan.
The net profit attributable to shareholders of the listed company was negative from January to June 2024, mainly due to:
On the one hand, the implementation and settlement progress of projects of the company and some holding subsidiaries were not as expected. Among them, some new products developed and promoted by Chengdu Chengdian Yixing Digital Health Software Co., Ltd., an important holding subsidiary of the company, were accepted in this period. The new product promotion period used a price discount policy, and the sales expenses of new products led to a decrease in gross profit and a loss of about 6 million yuan in this period.
On the other hand, there were signs of impairment in Fujian Joint Chain Yanhua Technology Co., Ltd., in which the company has a stake. It is expected that the recoverable investment amount will be lower than the book value. Based on the principle of prudence, the company preliminarily determined that it plans to make a provision for impairment of long-term equity investment of about 5 million yuan to 8 million yuan, and the final impairment provision amount shall be based on the results of the first half of 2024.
Non-recurring gains and losses from January to June 2024 are expected to have a positive impact on the company's net profit in the first half of the year, with an amount of about 9 million yuan after deducting income tax and minority shareholders' gains and losses, mainly due to the one-time transfer of accounts receivable and contract assets, holding financial assets investment income, fair value changes of derivative financial instruments, and government subsidies.