China's digital first quarter total revenue fell 9.92% to HK $16.013 billion year-on-year

Digital China said in its earnings report that the company's first-quarter revenue was down 9.92% from a year earlier, affected by the macroeconomic downturn. To HK $16.013 billion, a year earlier, HK $17.777 billion; Gross profit fell to HK $1.091 billion over a year earlier, as a result of increased market competition, and a net profit of HK $361 million and a net profit of HK $401 million a year earlier.

In the first quarter of this year, China's digital basic revenue per share was HK $3.377, down 9.99% from the 3.752 Hong Kong dollar a year earlier.

According to the source of revenue, digital China's revenue from the distribution business in the first quarter of this year was HK $7.804 billion, down 11.37% from a year earlier to HK $8.805 billion, gross margin of 2.42%, gross profit of HK $189 million, much lower than that of HK $379 million a year earlier. The main reason for the decline in distribution business revenue is the slowdown in macroeconomic growth, which has seen a downward trend in demand for it consumer markets since last year.

In the first quarter, the number of digital services business in China fell to HK $1.801 billion, down 15.15% from a year earlier, to HK $2.122 billion in the same period, with a gross profit margin of 17.46%, which grew 59% from a year earlier. Gross profit of HK $314 million, and gross profit of HK $358 million a year earlier.

Due to the sharp downward trend of it investment in the enterprise market, the performance of major suppliers in China has declined in different degrees. In the first quarter of this year, the China Data system business revenue of HK $6.091 billion was cut by 7.67% over a year earlier, with a gross profit of HK $529 million, which was less than HK $550 million in the same period a year earlier, with a gross margin of 8.68% per cent over a year earlier.

In the first quarter, the digital supply chain services business revenue of Shenzhou was HK $318 million, an increase of 25.9% over a year earlier to HK $252 million, with a gross profit of HK $58.591 million and a gross profit of HK $53.361 million a year earlier.

As at June 30, 2013, the total assets owned by Digital China were HK $28.624 billion, with a total of 10,200 employees (12,800 in the same period in 2012) and an employee cost of HK $542 million, down 661 million from a year earlier. (Risen)