HONG
KONG, Feb. 6, 2023 /PRNewswire/ -- CLPS
Incorporation (Nasdaq: CLPS) ("CLPS" or "the Company"), today
released a letter to shareholders from the Chairman of the
Company's Board of Directors (the "Board"), the full text of which
is provided below. All CLPS shareholders are encouraged to read
it.
Dear Shareholders,
The Board of CLPS wishes you a prosperous Year of the
Rabbit!
Our business has remained resilient despite various
macroeconomic disruptions in 2022. We are proud of our
accomplishments primarily driven by our dedicated employees and
management team, along with the effectiveness of our strategy. We
achieved milestones in our topline growth, product development,
strategic partnership, operational optimization, and global
expansion.
Here is a recap of our accomplishments in 2022 and a discussion
of our plans going forward:
1. New products and businesses
CLPS made a series of achievements in product development and
business expansion.
- We launched a scenario-based digital currency application
solution to assist financial institutions to accelerate the
adoption and far-reaching use of digital currency.
- We launched CAKU 2.0, the upgraded new generation of credit
card system product of CLPS. It is based on an open platform
architecture that allows rapid deployment and flexible replacement
of the credit card system.
- MSCT, a majority-owned subsidiary of CLPS, completed the
localization process of its new generation of loan system. It is
currently in the process of optimizing functions, expanding
functionality, and enhancing product adaptability to meet the
overseas market-specific requirements.
Currently being marketed in Hong
Kong, the two latter products are also due to be rolled out
this 2023 to small and medium-sized banks in Macau and across Southeast Asian countries to
provide them with a full range of integrated services for their
credit card and credit loan businesses.
We are optimistic that the success of these products will
eventually contribute to our revenue growth.
We also pursued exploring overseas market and attended
international fintech conferences in Hong
Kong, Singapore and other
cities to showcase our products and competitive advantages to
global clients and partners.
Going forward, we are fully committed to our innovation
initiative through the development of more fintech products and
services, and build an exclusive financial ecosystem that will
enable our clients within the financial industry to take digital
transformation forward and achieve agile business management.
2. Strategic Partnerships
We entered into a strategic partnership with DaoCloud, a cloud
service provider in China, to
jointly develop a series of fintech solutions based on cloud-native
application modernization and to explore business opportunity
into the overseas market.
To advance our evolving global presence, we strengthened our
international partnerships:
- Partnership with NTT Data MCI, a Japan-based strategy and management consulting
firm to penetrate more business in the Japanese market.
- Partnership with Blue, a digital life insurer in Hong Kong SAR;
and Mshop to meet the insurance solutions needs of SMEs.
- Partnership with Fuson, a Hong
Kong-based travel agency in which CLPS owns minority stake.
It has officially opened for business to seize the opportunity of
tourism recovery, which will enable CLPS generate positive return
on investment.
To develop world-class and highly-skilled IT talents, we signed
school-enterprise collaboration agreements with:
- The Australian National University,
a renowned public research university located in Canberra, Australia;
- Educare Global Academy Pte. Ltd., a private education
institution in Singapore.
These partnerships further broaden the scope of our Talent
Creation Program and overseas business footprint.
3. Operations
CLPS has optimized and fine-tuned the Company's operational
structure.
Mr. Srustijeet Mishra, CEO of CLPS SEA, was appointed to
concurrently serve as the CEO of CLPS California, a wholly-owned
subsidiary of the Company, to further integrate the development and
management of our international business activity, particularly in
the U.S. and Southeast Asia
region.
Our upgraded content delivery network allowed us to achieve
improved operational performance across the globe, such as in
Vietnam, a recently opened office
that supports our business in Southeast
Asia and other regions due to the increased demand for IT
services.
Further, our delivery centers across Mainland China including
Shanghai, Xi'an, Chengdu, and Hangzhou, among other key cities have moved to
strategic locations to better serve our clients.
4. Financial Performance
As highlighted on our financial results for the fiscal year
2022:
- Our revenue increased steadily, reaching a record high of
$152 million, a year-over-year
increase of 20.6%.
- Non-GAAP operating income was $14.6
million, a year-over-year increase of 8.0%.
- Our net cash provided by operating activities turned positive,
building the foundation for our future development in order to
expand our market share in the IT services industry.
We kicked off 2023 on a high note with CLPS's first special cash
dividend payout. It was a decision made by the Board to thank you,
our shareholders, for your support and trust in us, and to reaffirm
our confidence in the Company's business strength and development
prospects. The Board intends to declare dividend in the future
depending on the Company's financial performance and results of
operation.
Looking ahead, it will always be our top priority to strive for
excellence to achieve our goals. We are committed to improving our
business performance and engagement by implementing our dual-engine
strategy, accelerating our expansion into global market, boosting
product competitiveness, attracting more clients, and enhancing
operational efficiency. I look forward to another progressive year
at CLPS as we strive to deliver long-term shareholder value.
Xiao Feng Yang
Chairman of the Board
CLPS Incorporation
About CLPS Incorporation
Headquartered in Hong Kong,
CLPS Incorporation (the "Company") (Nasdaq: CLPS) is a global
leading information technology ("IT") consulting and solutions
service provider focusing on the banking, insurance, and financial
service sectors. The Company serves as an IT solutions provider to
a growing network of clients in the global financial service
industry, including large financial institutions in the US,
Europe, Australia, Southeast
Asia and Hong Kong SAR, and their PRC-based IT centers. The
Company maintains 19 delivery and/or research & development
centers to serve different customers in various geographic
locations. Mainland China centers
are located in Shanghai,
Beijing, Dalian, Tianjin, Xi'an, Chengdu, Guangzhou, Shenzhen, Hangzhou, and Hainan. The remaining nine global centers are
located in Hong Kong SAR, USA,
Japan, Singapore, Australia, Malaysia, India, the
Philippines and Vietnam.
For further information regarding the Company, please
visit: https://ir.clpsglobal.com/, or follow CLPS
on Facebook, LinkedIn, Twitter, and
YouTube.
Forward-Looking Statements
Certain of the statements made in this press release are
"forward-looking statements" within the meaning and protections of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended.
Forward-looking statements include statements with respect to the
Company's beliefs, plans, objectives, goals, expectations,
anticipations, assumptions, estimates, intentions, and future
performance. Known and unknown risks, uncertainties and other
factors, which may be beyond the Company's control, may cause the
actual results and performance of the Company to be materially
different from such forward-looking statements. All such statements
attributable to us are expressly qualified in their entirety by
this cautionary notice, including, without limitation, those risks
and uncertainties related to the Company's expectations of the
Company's future growth, performance and results of operations, the
Company's ability to capitalize on various commercial, M&A,
technology and other related opportunities and initiatives, as well
as the risks and uncertainties described in the Company's most
recently filed SEC reports and filings. Such reports are available
upon request from the Company, or from the Securities and Exchange
Commission, including through the SEC's Internet website at
http://www.sec.gov. We have no obligation and do not
undertake to update, revise or correct any of the forward-looking
statements after the date hereof, or after the respective dates on
which any such statements otherwise are made.
Contact:
CLPS Incorporation
Rhon Galicha
Investor Relations Office
Phone: +86-182-2192-5378
Email: ir@clpsglobal.com
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SOURCE CLPS