Hong Kong, January 4, 2021 / PR Newswire /-CLPS IncThe Group Corporation (Nasdaq: CLPS, hereinafter referred to as "CLPS Inc" or "the Group") today announced a letter from the Chairman of the Board to shareholders, the full text of which is published below, which is recommended to all shareholders to read.
Dear shareholders,
On behalf of the board of directors, I would like to wish you all a safe and happy New year!
The year 2020, which has just passed, is the 15th year since CLPS Inc was founded, and it is also a year in which the epidemic has brought too many changes to the world. In this challenging year, we continue to maintain our growth strategy, expand our global business, continuously strengthen the supply of talent, promote the implementation of mergers and acquisitions, and promote innovation-driven development and improve operational efficiency. Here, I would like to report to all shareholders what CLPS Inc has achieved in the past year:
1. Customer and performance growth
In the severe external environment, CLPS Inc still maintained double-digit annual revenue growth, net profit also turned into profit. As we previously reported for fiscal year 2020, revenue rose 37.7% year-on-year to $89.4 million, and revenue in various regions also increased to varying degrees, including 191.8% in Singapore, 56.6% in Hong Kong, 56.6% in Hong Kong, 30.5% in Chinese mainland and 31.0% in gross profit to $31.1 million. The net profit attributable to CLPS Inc shareholders increased from-$3.3 million to $2.9 million.Basic earnings per shareAnd diluted earnings per share were both 20 cents, compared with basic earnings per share and diluted earnings of-24 cents in the same period last year. Non-GAAP 's net profit, which belongs to CLPS Inc shareholders, rose 85.3 percent to $6.9 million from a year earlier.
In 2020, CLPS Inc successfully expanded a number of customer resources at home and abroad. In terms of IT services, new customers in the fields of global finance and technology, such as banking, credit card, trust, futures, payment, Internet, e-commerce, smart logistics, smart transportation, and semiconductors, such as technical support providers of well-known bank card account service institutions in China, have won the bid. As for the IT project, it will actively develop new business with existing customers, such as deepening cooperation with a large state-owned automobile group in China to apply big data technology to automotive intelligent R & D and manufacturing.
two。 Talent supply
In the upstream talent supply side of the IT service market, CLPS Inc has been committed to expanding the supply of financial science and technology talents to meet customers' all-round demand for talents, which has become one of the key advantages that distinguish us from our competitors.
In 2020, CLPS Inc partnered with the Hong Kong Institute of Science and Technology of higher Education ("THEi") in information technology projects. In addition, we have partnered with the Hong Kong non-profit organization Hong Kong Multimedia Design Association (HKMMDA) to train financial IT talents, and the first batch of more than 20% of the students have passed the evaluation to work in Hong Kong banks. All these indicate that our talent creation plan and talent development plan will continue to play a role in breaking the bottleneck of IT service delivery and solving the talent shortage in the upper reaches of the supply chain, and will become an important engine for driving business growth and supporting global business expansion.
3. Continuous research and development
In 2020, CLPS Inc renamed his research center "Huachin Institute of Innovation" (CLPS Research) to "Huachin Innovation Research Institute" (CLPS Innovation Lab), focusing more on new technology research and new product research and development represented by distributed application systems, cloud computing, micro services, open API, RPA scene applications and big data's business practice. To provide customers with more comprehensive and efficient services.
In the past year, we have applied RPA scenario and big data technology to internal personnel, finance, business operation and other affairs management, improving the efficiency of internal operations. The new recruitment center launched in China in January 2020 makes use of our research achievements in the areas of cloud platform, big data and RPA to integrate recruitment resources, ensure talent supply support and reduce talent acquisition costs.
In addition, CLPS Inc also used RPA technology achievements to provide support for customers' digital transformation, and successfully implemented RPA application scenarios in the accounting, credit information, procurement, logistics and other links of some large state-owned enterprises and large pharmaceutical enterprises, which have been recognized by customers.
4. Perfect organizational structure
CLPS Inc's organizational structure of corporate governance has been further improved, and the implementation of the internationalization strategy has become clearer.
In 2020, CLPS Inc moved the group's global headquarters to Hong Kong, set up Chinese mainland regional headquarters and Southeast Asian regional headquarters in Shanghai and Singapore respectively, and set up a subsidiary in California, USA, proceeding from the global layout, expand financial technology services business development opportunities in the Asia-Pacific and US markets to achieve more efficient global services.
Based on more than ten years of experience in the credit card business, CLPS Inc established Chenqin Credit Card Services Co., Ltd. ("QCC"), a wholly owned subsidiary of credit card services in 2020. After a year of development, QCC has improved its popularity in the credit card field and expanded more business opportunities. At present, customers have covered domestic and foreign well-known large banks, card organizations and international well-known companies in the field of financial IT.
5. Receive the progress of mergers and acquisitions
In 2020, CLPS Inc continued to promote M & An investment at home and abroad, acquiring Singapore IT service company Ridik Pte. Ltd. (referred to as "Ridik") the remaining 20% stake makes Ridik a wholly owned subsidiary of CLPS Inc to fully integrate business in Southeast Asia and provide efficient support for business development in the global market.
In China, we have invested in Huachin Zhichuang and Shenzhen Huachin Robot to further enhance the diversification and overall competitiveness of the service sector, which will help to expand related business overseas and better serve our customers in the future.
In the past 2020, the sudden epidemic not only had a great impact on the global economy, but also accelerated the process of digitization and informationization of traditional industries. It can be predicted that in the recovery measures and planning after the epidemic, enterprises will rely more on technology platforms and strive to promote digital transformation. We believe that in 2021, the global demand for financial IT services and solutions will remain strong, and the demand for IT talents corresponding to cutting-edge technologies such as artificial intelligence, blockchain, big data and cloud applications will become more urgent.
Looking forward to the new year, based on an in-depth understanding of the needs of financial IT services and solutions in China and the world, we will continue to invest resources to enhance our strength, open up the global market, let more customers experience our efficient IT services, and use technological innovation and management innovation to drive the company to achieve higher quality development and return to the majority of shareholders. On behalf of CLPS Inc, I would like to thank the shareholders for their unwavering support and confidence. Finally, I wish you all good health, happiness and peace in the new year!
Yang Xiaofeng
Chairman CLPS Inc
Brief introduction of CLPS Inc Group
CLPS Inc Group Corporation (NASDAQ: CLPS), headquartered in Hong Kong, China, is a leading information technology ("IT") consulting and solution service provider specializing in banking, insurance and finance. The Group has been acting as a provider of IT solutions to the growing customers of the global financial industry, including large financial institutions in the United States, Europe, Australia, Hong Kong, China and Southeast Asia, as well as their IT R & D centers in China. The Group currently has 18 delivery and R & D centers to serve customers in different regions. The delivery and R & D centers of Chinese mainland are located in Shanghai, Beijing, Dalian, Tianjin, Baoding, Chengdu, Guangzhou, Shenzhen, Hangzhou and Suzhou. The remaining eight international delivery and R & D centers of the Group are located in Hong Kong, China, the United States, the United Kingdom, Japan, Singapore, Malaysia, Australia and India. For more information about the group, please visit:Http://ir.clpsglobal.com/Or follow CLPS Inc's official accountFacebook Inc(https://t.prnasia.com/t/6g3jZe5M)LinkedIn(https://t.prnasia.com/t/wjaPFbTB)Twitter(https://t.prnasia.com/t/aW3OMAI1).
Forward-looking statement
Certain statements in this press release are "forward-looking statements" within the meaning and protection of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. Forward-looking statements include statements about the Group's beliefs, plans, objectives, expectations, assumptions, estimates, intentions and future performance, and involve known and unknown risks, uncertainties and other factors. This may exceed the control of the Group and may cause the Company's actual performance, performance, capital, ownership or achievements to differ materially from future performance, performance or achievements expressed or implied in such forward-looking statements. All such forward-looking statements apply to this cautionary notice, including, but not limited to, expectations of the Group's future growth, performance, results, the Group's ability to take advantage of a variety of business, M & A, technology-related opportunities and initiatives, and the risks and uncertainties described in the Group's recent SEC reports and filings. Such reports may be provided by the group upon request or through the website of the Securities and Exchange CommissionHttp://www.sec.govInquiry. The Group has no obligation nor undertakes to update, modify or correct any forward-looking statements after this date or after the corresponding date of any other such statement.
For more information, please contact:
CLPS Inc Group Company
Rhon Galicha
Investor Relations Office
Tel: + 86-182-2192-5378
Mailbox:Ir@clpsglobal.com