According to the announcement of Yuncong Technology (688327) on the evening of October 30, the company's revenue in the first three quarters of 2024 will be about 227 million yuan, a year-on-year decrease of 34.51%; The net profit attributable to shareholders of the listed company was about -509 million yuan, and the basic earnings per share was -0.49 yuan.

Yuncong Technology said that the decline in revenue was mainly due to the year-on-year decline in the scale of new orders signed by the company. Regarding the performance loss, Yuncong Technology explained that due to changes in the market environment and the company's strategic adjustment of the core business, the company's operating income decreased year-on-year. At the same time, in order to further motivate and retain core talents, the company's share-based payment expenses increased year-on-year.

According to the official website of Cloudwalk Technology, the company was founded in 2015 and is the first artificial intelligence platform company to be successfully listed on the Science and Technology Innovation Board. The company provides informatization, digitalization and intelligent artificial intelligence services and industry solutions for smart finance, smart city, smart governance, smart business, AIGC and other fields.

Wind data shows that Cloudwalk has been in a state of loss for a long time. From 2017 to 2023, the net profit attributable to shareholders of listed companies will be -106.3 million yuan, -180.7 million yuan, -639.6 million yuan, -812.9 million yuan, -632.1 million yuan, -868.9 million yuan, and -643.5 million yuan respectively, with a cumulative loss of more than 3.8 billion yuan.

It is worth mentioning that Yuncong Technology once stated in the prospectus that the company expects to achieve profitability in 2025 with the continuous expansion of business scale and the improvement of gross profit margin. At present, it seems that Cloudwalk Technology still has a long way to go.

In its 2023 annual report, the company revealed that one of the main reasons why it has not yet achieved profitability is the need for continuous and substantial R&D investment. However, the financial report shows that under the continuous losses, Yuncong Technology has "cut" the cost reduction knife to R&D. In 2023, Cloudwalk's R&D expenses will decrease by 12.46% year-on-year, and the number of R&D personnel will decrease by 85 compared with the previous year.

In the first three quarters of 2024, Cloudwalk Technology R&D investment continued to shrink, decreasing by 8.07% year-on-year to 289 million yuan. Among them, in the third quarter, the company's R&D investment was 72.5787 million yuan, a year-on-year decrease of 37.70%. In this regard, the company said that it has made structural adjustments to the R&D team and reduced the total compensation expenses.

In the secondary market, Yuncong Technology fell 35.35% during the year, and closed down 7.71% at 10.90 yuan per share as of the 1st, with a total market value of 11.3 billion yuan.