The Beisen Holding (09669) announced that the group is expected to obtain revenue of approximately 0.433 billion yuan to about 0.443 billion yuan for the six months ended September 30, 2024, compared to approximately 0.401 billion yuan for the same period in 2023, an increase of about 8.0% to 10.5%; the gross profit for the six months ended September 30, 2024 is approximately 0.271 billion yuan to about 0.296 billion yuan, compared to approximately 0.237 billion yuan for the same period in 2023, an increase of about 14.1% to 24.8%; and the loss attributable to the company's shareholders for the six months ended September 30, 2024 is approximately 89.1 million yuan to about 0.109 billion yuan, compared to approximately 3.058 billion yuan for the same period in 2023, a decrease of about 96.4% to 97.1%. The decrease in loss attributable to the company's shareholders is mainly due to the decrease in the loss generated by the change in fair value of redeemable convertible preferred shares and the reduction in stock-based payments, reducing by about 2.901 billion yuan to about 2.914 billion yuan.

After excluding the fair value changes of redeemable convertible preferred shares and stock-based payments from the adjusted net loss, the group is expected to obtain an adjusted net loss (non-International Financial Reporting Standards measurement) of approximately 29 million yuan to about 40.3 million yuan for the six months ended September 30, 2024, a decrease of about 53.1% to 66.2%, compared to approximately 85.9 million yuan for the same period in 2023.

The decrease in adjusted net loss (non-International Financial Reporting Standards measurement) is mainly due to the following factors: the continuous growth in group revenue, especially the revenue generated by subscribing to the cloud-based Human Capital Management (HCM) solution. For the six months ended September 30, 2024, the revenue generated by subscribing to the cloud-based HCM solution is expected to increase to approximately 0.325 billion yuan to about 0.352 billion yuan, accounting for approximately 75.2% to 79.6% of total revenue; and enhanced cost control. In response to changes in the industry and market, the group has taken proactive cost control measures to improve the efficiency of the service team while maintaining the health and sustainable growth of the business. Therefore, for the six months ended September 30, 2024, the group's operating cash outflow is expected to be less than 0.1 billion yuan, a decrease of not less than 40.0% compared to the same period in 2023.