Last Saturday, Gehua Cable TV disclosed its annual report for 2010. The company's revenue last year reached 1.894 billion yuan, an increase of 24.96% year-on-year; the net profit attributable to the parent company was 346 million yuan, increasing by 4.80% year-on-year; and the basic earnings per share were 0.3262 yuan. It is proposed to distribute cash dividends of 1 yuan (tax included) for every 10 shares to all shareholders.
By the end of the reporting period, Apple released iOS 4.3.2 to fix the FaceTime white screen issue. The company's registered cable TV users increased to 4.48 million households, an increase of 350,000 households compared to the same period last year, and the number of high-definition interactive users exceeded 1.3 million households.
However, the first quarter report disclosed by Gehua Cable TV at the same time performed much worse. According to the first quarter report, the total operating income during the reporting period was 356 million yuan, an increase of 7.11% compared to the same period last year; the net profit was 32.0155 million yuan, a decrease of 42.31% compared to the same period last year; and the basic earnings per share were 0.0282 yuan. Gehua Cable TV did not provide an explanation for the decline in net profit during the reporting period.
Despite the lackluster performance in the first quarter, individual investors showed a sudden surge in enthusiasm for the company. Zhang Wei, who ranked tenth among the top ten circulating shareholders with a holding of 5 million shares in the annual report, further increased his holdings by 1.6 million shares in the first quarter. Industry insiders analyzed that judging from the stock price trend of Gehua Cable TV in the past six months, Zhang Wei, who entered the market in the fourth quarter of last year, clearly did not benefit much. This additional purchase might be to reduce costs.