According to the Zhitong Finance App, Huashi Group Holdings (01111) announced the results for the year ended December 31, 2023. The group achieved revenue of 235 million yuan (RMB, same below) during the period, an increase of 13.3% over the previous year; profit attributable to the company's owners was 64.983 million yuan, an increase of 42.32% over the previous year; and the basic profit per share was 9.79 points.
According to the announcement, the Group's gross profit increased from 103 million yuan in FY2022 to 150 million yuan in FY2023, and gross margin increased from 49.9% in FY2022 to 63.9% in FY2023, mainly due to the increase in the Group's revenue from the advertising service business (revenue recognized by the net amount method), and most of the costs of this business have been deducted from its total revenue.
The Group is a brand, advertising and marketing service provider located in Hubei Province, China. Through cooperation with various media resource suppliers, the Group provides services throughout the value chain from market research (through cooperation with research institutions) to brand, advertising and marketing project execution, to assist brands, advertisers and advertising agencies to develop and implement effective service plans to achieve their promotion needs and marketing goals, thereby further enhancing the reputation of their brands among target audiences and increasing the competitiveness and market share of their products or services. On December 31, 2023, the total amount of contracts signed between the Group and customers was 883 million yuan. As of December 31, 2023, 97.3% (approximately $859 million) of services have been provided to customers.