Chinasoft International Ltd (CFTLF)

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Chinasoft International's revenue to grow by over 30% in 2021, the cornerstone business continues to improve, the cloud business grows rapidly.

source
https://www.chinasofti.com/news/2342.htm

March 30, 2022

Chinasoft International Co., Ltd. (SEHK: 00354) today released its 2021 annual results.
In 2021, the company's business will grow rapidly, with revenue reaching 18.398 billion, a year-on-year increase of 31%, cloud intelligence business revenue of 5.306 billion, a year-on-year increase of 62%, and annual profit reaching 1.137 billion, a year-on-year increase of 20%. In 2021, in the face of complex domestic and foreign environmental challenges, the company will firmly "draw a blueprint to the end", actively participate in the long march of scientific and technological innovation of "pierce the sky upwards and take root downwards", and further promote FFW (From, For , With) strategic decomposition and implementation, continue to maintain the strong growth of cloud business, and realize the transformation from a service company to an innovative enterprise with "root technology". The company has been ranked in the TOP100 of Gartner's "Global IT Services Market Share Ranking" for three consecutive years, and its ranking has continued to rise. Its performance in 2021 will hit a new high since its listing, fully demonstrating the value and tenacity of China's leading IT service companies!

Cultivating major customers based on the FFW development strategy - Committed to becoming a strategic partner of customers
During the period, the company managed the business of key key customers such as Huawei, Tencent, China Mobile, and Ping An with the help of the "Supplier Development Plan", and formulated FFW's key customer development strategy. Through consulting and traction, combined with software engineering capabilities and management capabilities, the company deepens and expands existing customers with the model of software factories, and continues to expand new customer groups, and vertically penetrate into the fields of finance, telecommunications, Internet, high-tech and automobiles. During the reporting period, the company fulfilled the commitment of "one heart with customers" and actively promoted the work related to "becoming a strategic supplier". On the basis of active performance management and self-improvement, we have achieved leadership in share, quality, and efficiency, and we will be a step closer to becoming a strategic supplier to Huawei. The company closely follows Huawei Energy and related teams, participates in industry reengineering, and becomes a partner for joint market expansion and joint innovation. During the reporting period, the Company’s financial business steadily improved, adding 29 new customers including domestic and foreign banks, private banks, non-bank financial institutions, and overseas financial institutions, and continued to promote technological innovation to provide customers with technological empowerment, model innovation and business upgrades.

The company continues to conduct research and development in cloud computing, big data, artificial intelligence and other fields, innovate business models, and realize application product upgrades and technology platform building. During the reporting period, [b[color=green]]the company actively participated in the digital currency construction of many large state-owned banks, national joint-stock banks, city commercial banks, rural credit cooperatives, and foreign-funded banks by virtue of its product and capability advantages in the financial card base, helping customers in the core of digital RMB, Construction of channel system, bank front-end, acquiring and various digital currency scenarios.[/color] The company continued to deepen the Internet industry and accelerated the penetration of Tencent, Alibaba, Baidu and other major customers. Tencent's business continued to grow steadily during the period, and continued to expand its leading position, adding new partnerships with WeChat Marketing Department, Policy Management Center, Tencent Maps, Tencent Medical Code, etc. Business cooperation; Alibaba’s business has maintained steady development and now covers Alibaba’s main business areas; the company’s Baidu business has developed rapidly, and its business scale has achieved over 100% growth. New progress has been made in the areas of , intelligent AI services, and intelligent cloud city brain; while BAT customers maintain a leading position, the company continues to expand well-known Internet enterprise customers such as ByteDance, Meituan, and JD.com, and deeply explore customer business scenarios. , to accumulate the best practices of digital operation services.

The company follows the market layout of super integrators such as China Mobile, and pilots the establishment of a company-level sales and pre-sales system that supports the sales goals of the government and enterprise markets. Centering on the "management, construction, and warfare" combat system of China Mobile's government and enterprise business, it establishes a customer-focused collaboration. The sales organization structure of combat, with the two growth drivers of government and enterprise business and new business, the company's China Mobile business scale grew rapidly during the period. For the first time, the company broke through important customers such as Migu Video, Migu Digital Media, China Telecom Tianyi Telecom Terminal, and CEC Hongxin, and cooperated with operators to promote 5G To B digital factory solutions, covering aluminum, steel, machinery and electronics, transportation and other industries.

In the field of smart terminals, the company continued to cultivate major customers such as Honor, Xiaomi, Wingtech, Transsion, and Lenovo, and achieved further breakthroughs in the business; in the automotive business, the company actively promoted cooperation with major domestic auto companies and signed contracts with Geely, Changan, Great Wall, SAIC Zero beam, SAIC confidant, SAIC-GM, BYD and other customers, and established cooperation with Hezhong New Energy Vehicle. During the reporting period, the company's artificial intelligence basic data services continued to improve quality and efficiency, and through professional digital factories, it provided sufficient guarantee for data services in major categories such as computer vision, intelligent speech, and natural language processing. At the same time, it has deeply cultivated in subdivided business directions such as autonomous driving and industry knowledge maps. The company has further cooperated with customers such as Huawei, Ping An, Baidu, and Daotong Technology, and the autonomous driving data service business has grown rapidly. The overseas BPO business also made good progress.

Cloud intelligent business takes advantage of auspicious clouds to climb to the digital peak
During the period, the cloud intelligence business, as the vanguard of Chinasoft International’s second-curve innovative business, continued to maintain rapid growth. The company seized the opportunity of cloud and intelligent transformation, and achieved a leading position in the field of cloud management services and professional services, officially entering the cloud service leader. Camp, ranked second in the IDC third-party cloud management service market, and ranked first in cloud migration and cloud development professional services. Adhering to the concept of "jointly building a cloud ecosystem and achieving a win-win future on the cloud", the company has formed an ecosystem covering consulting, services, technology, and channels, and is a trusted full-stack cloud management service partner and digital transformation co-creation partner for customers.

During the reporting period, the company joined hands with HUAWEI CLOUD to continue to deepen the ecological cooperation relationship. In Jiangsu, Fujian, Zhejiang, Guangdong, and Inner Mongolia, 5 joint operation innovation centers were added. The number of innovation centers jointly operated with Huawei has reached 9. No. 1 among third-party operating models. At the same time, the company is committed to "building a full-stack leading cloud service and connecting a number of leading cloud vendors". Currently, it has cooperated with five cloud vendors, including Huawei Cloud, Tianyi Cloud, Mobile Cloud, Tencent Cloud and Volcano Engine, as business and channel partners.
The number has reached 3000+, and the number of solutions and ISV partners has reached 300+, covering 5 major categories including consulting planning, integrated delivery, development, cloud market and resellers. During the reporting period, the company also held the first cloud service conference, announcing the comprehensive upgrade of the cloud service brand CloudEasy and the official commercial use of the online cloud service "Huaxia Cloud Network". Among them, CloudEasy CMP has opened up in many business scenarios such as government affairs, and many customer projects such as MCC Baosteel, Yunshang Guizhou, and Shenzhen Government Affairs Cloud are being delivered smoothly. The company's cloud intelligence solution has developed more than 400 smart park ecological partners, 208 hospital park ecological partners, and integrated equipment and subsystems from more than 50 manufacturers.

Building full-stack capabilities with open source HarmonyOS - Support multi-level business development pattern
During the reporting period, the company, together with Shenzhen Capital Group and Hubble Investments, jointly established Shenzhen Kaihong, and obtained valuable admission tickets for Kaiyuan Hongmeng. The company transforms the first-mover advantage of Open Source Hongmeng into a competitive advantage, and takes the open source Hongmeng distribution as the traction to form the full-stack technology capabilities of OS (OPERATION SYSTEM) product business, ecological enabling business, and cornerstone business, and support the multi-level business development pattern. The company cut into the industry, quickly established a market leading advantage, actively explored a new business model of open source Hongmeng application and service joint operation, expanded more hardware terminal products to join the open source Hongmeng ecology, and promoted the development of the open source Hongmeng ecology.

Build an ecological model of "platform + service" - Establish a new identity as "Digital Transformation Services Expert"
During the period, the company joined hands with leading commercial software platforms and integrated cloud platform manufacturers to jointly develop an ecological model of "platform + service", and digital transformation achieved considerable development. Based on the "four haves" of "brand, willingness, strength, and trust", the company is cooperating with platform companies such as UFIDA, Kingdee, Tencent, and Mingyuan Cloud to accelerate product service and service productization, and jointly develop Broad market for application services. Relying on the super integrator channels such as major customers, operators, local governments and state-owned platforms, the company builds, cultivates, and accumulates digital consulting and solution service capabilities around its main channel business, reaches the digital transformation market of central and state-owned enterprises, and establishes "digital transformation services". The new identity of the expert".

Jiefang continues to upgrade its digital intelligence capabilities - Build a "platform + product + service" system
During the period, the Jiefanghao Industrial Internet Platform continued to upgrade government digital full-cycle management services such as project management, data management, document management, code management and supplier management, forming a core product and service matrix for the government's main channel. Jiefanghao deeply cultivated in key cities, with "demand sourcing and software procurement" as the main entrance, and integrated the whole process of software services such as demand management, precise matching of supply and demand, and delivery management; during the period, Jiefanghao wholly acquired Beijing Zhongbiao Intelligent Technology Co., Ltd., continue to improve digital intelligence capabilities, promote the formation of the "platform + product + service" system and verify the closed loop.

Rooted down, broken through and blossomed
Facing the new year, the company will advance in the direction of active attack, accurately grasp, advance the layout, promote the "FFW" strategy with greater strength and depth, and promote the business form to be based on platforms, tools, and code reuse. The company will attack the fortifications, take root downwards, focus on the company's ability to achieve single-point breakthroughs, focus on attacking fixed targets, and quickly establish a market. Looking forward to the future, on the basis of high-quality resource providers, stable and high-quality deliverers, those with the best overall cost, co-builders and guardians of products, and strict executors of internal control management, the company will implement active supplier performance management through active supplier performance management. And joint innovation, become the strategic supplier of customers, further expand the customer's ecology, continue to achieve higher-quality growth, and continue to move towards the goal of "one of the best in the world" technology-based IT service leader enterprise, and become a great motherland. A very valuable brand in the territory!