GMTech Released its Semi-Annual Report of 2018, Net Profit Continued to grow

On August 25, GMTech released its semi-annual report of 2018, with revenue of 641 million yuan in the first half of the year and net profit increased by 32% to 103 million yuan. Focusing on 5G and IoT, its business optimization has achieved initial goals, yields have reached a three-year high, and operating conditions have remained stable.

Gross margin continues to improve, and business optimization begins to pay off

GMTech has been actively adjusting its business structure. Income from enterprises with low gross margin has decreased by 13.38%. Education, telecommunications and government businesses with high gross margin have increased by 21.88%, 13.99% and 30.13% respectively. The gross margin of the IoT related industries has increased to 34.10% and the consolidated gross margin has increased by 39.13%, up by 1.89% compared with the same period of last year.

The operation is sound and steady, and yields have reached a new high of three years

In the first half of 2018, the three major expenditures have dropped significantly, including 31.64% in sales expenses, 9.82% in management expenses and 4% in financial expenses. Net profit margin has increased to 15.5% currently compared with the same period from 7.55% in the half year of 2016. The return on equity has reached a new high of nearly three years, and its profitability has continued to rise. The quick ratio has increased by 0.19 compared with the same period last year, and the asset liability ratio has dropped to 34.51%.

Education sector speeds up again

Income from the education business in the half year has increased by 21.88%, and gross margin has reached 84.7%, up by 1.7% compared with the same period last year. In the academic year of 2018-2019, the enrollment of FIT has been successfully completed. A total of 2 827 freshmen were enrolled, including 1 800 undergraduates with an enrollment rate of 100%, including 20 undergraduate majors. Compared with previous years, the quality of students has been greatly improved, which proves the high recognition of examinees and parents, highlights the strength and influence of the school, expands the scale of school running, and increases the income and profit of education year by year.

The Digital Fujian Telematics Laboratory at FIT has become one of the first provincial key laboratories in the IoT field and the Industrial IoT Application Manufacturing Public Service Platform established by FIT has been selected into the list of Fujian Provincial Service-Oriented Manufacturing Public Service Platform in 2018. In the mode of the integration of research, development and manufacturing, it brings good synergy effect for the business and technological development of the IoT in GMTech.

"The Last Mile Big Data Strategy" has been accelerated

The Guomai Medical Laboratory established by Guomai Biology, a joint-stock company with GMTech, has obtained the "Medical Institution License" issued by the National Health Commission, and Guomai Biology has formally engaged in clinical cell and molecular genetic medical testing services. Together with the Quanzhou Municipal Government, the National Demonstration Center for Gene Technology Application in the National 13th Five-Year Plan for the Development of Biological Industry has been established, and the Database of Genetic Analysis for Complex Disease in Quanzhou Area has been constructed by computational biotechnology, which is supportive in building the ecological operation platform of "IoT + Big Data + Artificial Intelligence" industry in GMTech, and striving to become the last mile of data (people, cars, cities) solution provider.