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EQS-News: Goldpac Announces 2019 Interim Results

EQS-News / 16/08/2019 / 20:57 UTC+8 
 
*Goldpac Announces 2019 Interim Results* 
********* 
*Revenues from platform and service segment increased **by 37.7%* *YoY* 
*O**verseas market achieved steady growth**,* *revenues* *surged by 36.8% 
YoY* 
*I**nterim dividend of HK**4* *cents declared**, **dividend **payout **ratio 
**reaches 34.3**%* 
********* 
 
(16 August 2019, Hong Kong) Goldpac Group Limited ("Goldpac" or the "Group", 
03315.HK), a global leading Fintech company, today announced the interim 
results for the six months ended 30 June 2019. 
 
*Key Highlights* 
During the first half of 2019, the Group has proactively taken steps to 
firmly implement company strategies. Following market trends, the Group 
continuously enriched and optimized its business structure and achieved 
steady progress. 
 
During the period, both total revenues and net profit realized stable 
growth. Total revenues increased by 3.2% year-on-year to RMB653 million, net 
profit increased slightly to RMB87 million. Based on the Group's steady 
profitability and healthy financial condition, the Board has declared an 
interim dividend of HK4 cents, a dividend payout ratio of 34.3 %. 
 
Attributed to the product portfolio upgrade and revenue structural 
optimization, the gross profit margin remained stable as compared with the 
first half of 2018 and improved as compared with the second half of 2018. 
The R&D expenses was RMB51.4 million, mainly used to secure chips, 
solutions, software and hardware development of artificial intelligence 
("A.I.") self-service kiosks, and overseas markets. Furthermore, sales and 
distribution costs were effectively controlled and decreased by 2.3% 
year-on-year. 
 
Benefiting from the high-end product strategy, the Group's product portfolio 
was further improved and the revenue contribution from high-end products 
continued to increase. As a result, the market share and profitability 
indicators continue to see the Group ranked among the leading levels of the 
industry. In May 2019, the National Development and Reform Commission and 
the Ministry of Transport of China issued a national ETC (Electronic Toll 
Collection) implementation plan, with the aim to increase the utilization 
rate of the highway non-stop quick tolls to more than 90% by the end of 
2019. The ETC market is growing at an accelerated rate and is estimated to 
be a new business growth driver for the second half of 2019. 
 
The shift of growth drivers is gathering momentum. Driven by the growth from 
A.I. self-service kiosks and innovative payment products, revenues from 
platform and service segment increased by 37.7% year-on-year to RMB182 
million and its proportion to the total revenues increased up to 28% from 
20% in 2018. The segment gross margin kept a high level of more than 40%. 
 
The Group's overseas markets also achieved a rapid growth. Overseas revenues 
increased 36.8% year-on-year to RMB46.2 million, driven by the expansion and 
structural optimization of overseas teams, as well as the implementation of 
overseas strategy. 
 
*Outlook* 
 
*Actively Responding to the National Strategy and Participating in the 
Construction of the Guangdong - Hong Kong - Macao Greater Bay Area* 
 
Relying on the rich experience and technologies accumulated in the field of 
secure payment in the past 26 years, the Group will harness the potential 
presented by the cooperation in the Guangdong - Hong Kong - Macao Greater 
Bay Area ("GBA"). With a variety of mature total solutions, the Group will 
promote the integration of the GBA and pursue seamless connectivity in 
transportation, social security and other sectors with adaption of Internet 
of Things ("IoT"), cloud computing and other cutting-edge technologies. As a 
future Fintech innovation highland within the GBA, the construction of 
"Zhuhai Fintech Center" is on schedule and it is expected to be completed by 
2020. 
 
*Tapping into the Market Potential of A.I. Self-service Kiosks* 
In response to the Chinese government's "Internet+" initiative to further 
deepen reforms in government service, the A.I. self-service kiosks developed 
by the Group met the needs for a "One Stop Shop" government service in 
finance and social security scenarios. Its turnover keeps growing and is now 
unleashing great potential. In the future, the Group will continue to 
increase its investment in A.I. self-service kiosks and to further tap into 
the potential of the business through a variety of flexible ways. 
 
*Accelerating the Development of Overseas Markets* 
The Group will continue to increase investment in personnel and R&D for the 
overseas market to maintain its sound growth momentum and to make the 
overseas market an important growth pillar of the Group. 
 
*Proactive Involvement in the Digital Transformation of Banks* 
The Group is developing a platform for the GBA's next generation credit 
payment system. Through the integration of big data analysis, cloud 
computing and other emerging technologies with online and offline payment, 
cross-border payment and international exchange, consumer credit and other 
business links, the Group is combining innovative financial elements such as 
virtual banking and digital asset protection, to diversify the financial 
business sector's use-case scenarios. 
 
Document: http://n.eqs.com/c/fncls.ssp?u=PNKBLOYJIS [1] 
Document title: Goldpac Announces 2019 Interim Results 
 
16/08/2019 Dissemination of a Financial Press Release, transmitted by EQS 
Group. 
The issuer is solely responsible for the content of this announcement. 
 
Media archive at www.todayir.com 
 
1: https://link.cockpit.eqs.com/cgi-bin/fncls.ssp?fn=redirect&url=fca4f2d52a2bd398fb77dd2c8a5907c7&application_id=858879&site_id=vwd&application_name=news 
 

(END) Dow Jones Newswires

August 16, 2019 08:57 ET (12:57 GMT)

© 2019 Dow Jones News
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