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Annual Report 2020 年報

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Annual Report 2020 年報 年報 ANNUAL REPORT 2 0 2 0 2 0 2 0 Annual Report 2020 年報 號 Contents 1 Corporate Information 2 Chairman’s Letter 3 Business Overview 7 Management Discussion and Analysis 31 Corporate Governance Report 43 Report of Directors 61 Environmental, Social and Governance Report 74 Biographical Details of Directors and Senior Management 93 Independent Auditor’s Report 99 Consolidated Statement of Profit or Loss and Other Comprehensive Income 105 Consolidated Statement of Financial Position 107 Consolidated Statement of Changes in Equity 109 Consolidated Statement of Cash Flows 110 Notes to the Consolidated Financial Statements 112 Financial Summary 214 Annual Report 2020 Chinasoft International Limited 2 Corporate Information THE BOARD OF DIRECTORS STOCK CODE Executive Directors SEHK Code: 0354 Dr. Chen Yuhong (Chairman & Chief Executive Officer) Dr. Tang Zhenming REGISTERED OFFICE Cricket Square Non-executive Directors Hutchins Drive, P.O. Box 2681 Dr. Zhang Yaqin Grand Cayman, KY1-1111 Mr. Gao Liangyu Cayman Islands Mrs. Gavriella Schuster PRINCIPAL SHARE REGISTRAR AND TRANSFER Independent non-executive Directors OFFICE Mr. Zeng Zhijie Suntera (Cayman) Limited Dr. Lai Guanrong Suite 3204, Unit 2A, Block 3, Professor Mo Lai Lan Building D, P.O. Box 1586, Gardenia Court, Camana Bay, REMUNERATION COMMITTEE Grand Cayman, KY1-1100, Dr. Lai Guanrong (Chairman) Cayman Islands Dr. Chen Yuhong Mr. Zeng Zhijie HONG KONG SHARE REGISTRAR AND TRANSFER Professor Mo Lai Lan OFFICE Computershare Hong Kong Investor Services Limited AUDIT COMMITTEE 46th Floor, Hopewell Centre Professor Mo Lai Lan (Chairman) 183 Queen’s Road East Mr. Zeng Zhijie Wanchai Dr. Lai Guanrong Hong Kong NOMINATION COMMITTEE PRINCIPAL BANKERS Dr. Lai Guanrong (Chairman) Bank of China (Hong Kong) Limited Dr. Chen Yuhong HSBC Bank (China) Company Limited Mr. Zeng Zhijie Citibank (China) Co., Limited Professor Mo Lai Lan Industrial and Commercial Bank of China Limited China Construction Bank Corporation COMPANY SECRETARY China Merchants Bank Co., Ltd. Ms. Leong Leung Chai Florence HEAD OFFICE AND PRINCIPAL PLACE OF BUSINESS IN THE PRC AUTHORISED REPRESENTATIVES North Wing 12/F, Raycom Infotech Park Tower C Dr. Chen Yuhong No. 2 Kexuiyuan Nanlu, Haidian District Ms. Leong Leung Chai Florence Beijing, 100190, PRC AUDITOR PRINCIPAL PLACE OF BUSINESS IN HONG KONG Deloitte Touche Tohmatsu Units 4607-8, 46th Floor COSCO Tower WEBSITE No. 183 Queen’s Road Central www.chinasofti.com Hong Kong Chinasoft International Limited Annual Report 2020 Chairman’s Letter 3 Dear Investors: After a century of changes and the pandemic of the century, Chinasoft International has experienced multiple tests and demonstrated its tenacious vitality. Only after experiencing hardships, ups and downs, can one show a person’s brave and persevering character; only after experiencing difficult and dangerous polishing can it be polished into a tool like a piece of jade, showing extraordinary beauty. During the reporting period, the Group’s revenue and profit reached new highs, and it continued to rank top 100 in Gartner’s “Market Share: IT Services, Worldwide”. 2020 marks not only beginning of the third decade since the founding of the Group, but also the first year of the Group’s new strategy. With the strong support of investors, customers, partners, etc., we have taken the Group’s strategic plan (SP301) as the beginning of a new blueprint and set the goal of achieving sales revenue of 30 billion in 2023 as we strive to move forward. The national “14th Five-Year Plan” digital economy is full of color. Digital new infrastructure, “Xinchuang” layout, government and enterprise digital transformation and other fields continued to receive attention. New ecosystems are rising including Huawei Hongmeng and Kunpeng, and the wave of innovation is surging, yielding more digital economic development dividends. In 2020, the Company’s business echelon started to build business portfolio development formation with quality, value and significance. I. CLOUD INTELLIGENT BUSINESS FOCUSED ON “CLOUDIZATION, CLOUD MANAGEMENT, CLOUD NATIVE”, DRIVEN BY THE TWO WHEELS OF IP AND ECOSYSTEM, BECOMING CUSTOMER’S DIGITALIZATION PARTNERS During the reporting period, the Group built cloud service capabilities covering the entire project life cycle, achieved rapid growth in cloud intelligence business revenue, and reached a new height in building a non-linear growth business. During the reporting period, the Group’s cloud intelligence business followed the development path of “cloudization, cloud management, cloud native”, vertically increasing the conversion rate, expanding to industries horizontally, and broadening the development channel of “understanding the cloud, knowing the industry, cloud joint innovation”. As a “sailing on the same boat” partner of Huawei Cloud, the Group decisively won the first place in cloud ecological performance, achieving a leaping growth of 20 times revenue in four years. Furthermore, the Group launched 15 “Huawei Cloud Competence Centers” nationwide to support the Huawei Cloud business, while building smart cities, smart parks, digital offices, DevOps platforms, hybrid cloud management and other solutions to help the digital transformation of government and enterprise customers. During the reporting period, the Group became the official designated regional authorised service center of Tencent Cloud, and introduced the service capability of the Group as a standard product to Qianfan Middle Platform of Tencent Cloud. Lastly, the Group expand cooperation in the government and education industries with Tencent. During the reporting period, the Group successfully obtained all licenses related to cloud services, and its proprietary “one-stop” cloud brokerage platform “Huaxia Cloud” (Cloud Broker platform) continued to upgrade. The Group has been ranked TOP3 in IDC China’s cloud management service market for two consecutive years, and we continued to expand the market share. During the period, the Group released the SaaS version of the cloud management platform “CloudEasy”. The Group’s cloud service has gained the IIIA (highest grade possible in China) hospital customers, the top customers in the automotive industry, and has entered into communications, securities, government, retail, transportation, energy and other industries. Lastly, the Group’s cloud solutions have achieved rapid growth in various fields such as parks, office, finance, retail, transportation, education, and piloted 5G and AI technologies in multiple solution application scenarios. Annual Report 2020 Chinasoft International Limited 4 Chairman’s Letter During the reporting period, the Group also made breakthroughs in the overseas markets. The Group’s commercial ecological cloud platform realised the delivery and acceptance of the first overseas telecommunication customer. The digital office cloud solution has completed its initial launch in overseas markets including Southeast Asia, the Middle East, and North Africa. During the reporting period, the Group’s strategic cooperation with Huawei continued to strengthen, and we successfully obtained the status of Huawei GP (Global Partner). At the “Huawei Connect (HC) Conference 2020”, Huawei’s rotating chairman gave high praises and recognition to the “sailing on the same boat” strategy between Huawei and us. The Group actively participated in the ecological construction of Huawei HiLink, HiCar, Kunpeng, etc., and became the first partner to sign the “HUAWEI HiLink Ecological Solution Service Cooperation Agreement” with Huawei. The Group also won the “HUAWEI HiLink Excellent Partner in Ecological Enabling Service” award. Lastly, the Group has established a variety of product cooperation models with Huawei around Kunpeng, Gauss, WeLink and smart screens, successfully breaking through key industry customers in government, enterprise, finance, and manufacturing. II. CONSOLIDATE THE CORNERSTONE BUSINESS, PRODUCTISE SERVICES, AND BUILD LONG- TERM COMPETITIVE ADVANTAGES The key points for the development of the cornerstone business proposed in the first memo of the Group in 2020 included serving Huawei and major key accounts (KA) to “control risks” and be the main force in the KA’s flexible human resource allocation, continuing to build and improve capabilities around the “Supplier Development Plan” (SD), and significantly improving our own performances. During the reporting period, the Group’s Huawei business grew against the trend, ranking first in the performance evaluation of Huawei’s software and technical service providers, gaining absolute leadership in share, quality and efficiency, and we became one step closer to becoming a strategic supplier of Huawei. At the same time, the Group served other major customers leveraging experiences of what we’ve learned from the Huawei SD, accelerated the development of KA customers and the cultivation of potential KA customers, and continued to increase its share and position in major customers including BAT, Ping An and China Mobile. The Group has achieved breakthroughs in cooperation with potential industries such as finance, telecommunications, smart terminals, automobiles and state-owned enterprise customers. In terms of knowledge management, software engineering capabilities accumulation, and system support, the Group launched a software factory integrating consulting and diagnosis, process management, IT tools and delivery services, comprehensively upgrading traditional IT services, and opening up a market with higher quality and scale. We truly build
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