1. Industry Overview With the rapid development of the network security industry, the country's emphasis on the network security industry has also reached a new level.

1. Industry Overview

With the rapid development of the network security industry, the country's emphasis on the network security industry has also reached a new level. In 2021, the National "14th Five-Year Plan" and the Outline of the 2035 Vision Goals were officially released, and a series of specific arrangements were made for digital economy , pointing out that it is necessary to optimize and upgrade digital infrastructure, vigorously promote industrial digital transformation, and accelerate digital industrialization. At the same time, network security is positioned as an important part of basic guarantee capabilities and national security strategy, and is the basic foundation and important guarantee for realizing the application of data assets security, accelerating digital development, and building a digital China. In the future, the policy guarantee system of the network security industry will be gradually improved, and the security requirements of important industries will develop in a refinement direction.

In 2020, the scale of China's digital economy has reached 39.2 trillion yuan, accounting for 38.6% of my country's GDP. During the 14th Five-Year Plan period, my country's digital economy will continue to grow and is expected to maintain an average annual growth rate of about 9%. It is expected that the scale will exceed 60 trillion in 2025.

2. Enterprise analysis

Jida Zhengyuan is located in the network security industry. Jida Zhengyuan's main businesses include network security products and services, and network security ecosystem. The business areas involve password security, identity and trust, data security, government applications, Internet of Things, etc., and their customers mainly include large, medium and small enterprises and institutions in multiple industries such as the government, the military, finance, energy, , telecommunications, and manufacturing.

The network security industry is an industry with high technical barriers. In the 20 years since Jida Zhengyuan was established, technological accumulation and technological innovation have been the key factors for Jida Zhengyuan to have industry competitiveness. Jida Zhengyuan also has a number of business service qualifications and honors recognized in the field of security services. Jida Zhengyuan technology covers cryptography, data applications, Internet communications, etc., and can provide comprehensive security solutions combining new technologies, new scenarios and new ecology according to customer needs. During the reporting period, Jida Zhengyuan continued to increase R&D investment, grasped the key core technology advantages of network security, accelerated the integration and innovation of emerging technologies and network security, and enhanced Jida Zhengyuan's product and service innovation capabilities.

Jida Zhengyuan focuses on network security products, network security services and network security ecological services. It is a leading network security enterprise in China, providing network security products and services to customers of government, large enterprises, military and small and medium-sized enterprises. In 2021, Jida Zhengyuan's main businesses are divided into network security products, network security services, and network security ecosystem.

(I) Network security product

Jida Zhengyuan takes password security, identity and trust, and data security products as the core to build a security base for the digital world and the digital economy. It is aimed at wired Internet, wireless Internet, 5G, cloud computing , edge computing , industrial Internet, Internet of Things, virtual reality and other scenarios, providing multi-level security protection for government and enterprise customers, providing security for entities, applications and data in the network space for the entire life cycle, and providing users with personal privacy protection.

(II) Network security service

Jida Zhengyuan provides users with security consultation, evaluation, offense and defense, planning and construction services based on relevant national laws, regulations and users' security needs.

Jida Zhengyuan provides third-party electronic authentication services, providing users with security services such as digital identity, digital authentication , digital sign-up verification and encryption.

Jida Zhengyuan provides users with passwords, identity and trust, data security and other network security services through the cloud service model.

(III) Network Security Ecology

Network Security Ecology business takes Jida Zhengyuan technology as the core, combines users' actual security needs and business situations, and based on Jida Zhengyuan's core products and other third-party ecological partners' products, it provides customers with security guarantees through customized overall security solutions.

In 2021, Jida Zhengyuan achieved operating income of 816.1758 million yuan, a year-on-year increase of 33.72%; operating profit of 162.5791 million yuan, a year-on-year increase of 19.39%; net profit of 157.3599 million yuan, a year-on-year increase of 36.33%; net profit attributable to the parent company owners was 146.0779 million yuan, a year-on-year increase of 36.12%.

In 2021, Jida Zhengyuan's network security product business achieved revenue of 470.0985 million yuan, a year-on-year increase of 34.55%. The business continues to advance steadily, and network security products have achieved significant growth.

In 2021, Jida Zhengyuan's network security service business achieved revenue of 177.9876 million yuan, a year-on-year increase of 27.10%. Jida Zhengyuan has continuously strengthened cooperation with government departments, fully utilized the comprehensive advantages of digital certificate in identity authentication, electronic signature, information encryption, etc., to provide high-quality network security guarantees for Internet + government affairs ; continue to increase the market share of electronic bidding, electronic invoices, provident fund and other industries, continue to expand in health, medical care, large enterprises and other industries, and strive to expand the national market, and further expand the application scope of network security service .

In 2021, Jida Zhengyuan's network security ecological business achieved revenue of 168.0701 million yuan, a year-on-year increase of 38.94%, and both business operations and growth were relatively stable. Jida Zhengyuan keeps up with the development trends of digital economy, national security, and information innovation, and combines users' actual security needs and business situations. Based on Jida Zhengyuan's core products and other third-party ecological partners' products, it provides customers with security guarantees through customized overall security solutions.

3. Enterprise development strategy

Jida Zhengyuan focuses on password, identity and trust, and data security technology, focusing on the security issues of digital industries such as 5G, AI, cloud computing, Internet of Things, industrial Internet, blockchain, big data, virtual reality, etc., and provides complete network security overall solutions, products and services to key industries and customers such as the government, the army, enterprises, and individuals, providing security support and guarantees for national defense and security and the digital economy.

In 2022, Jida Zhengyuan will closely focus on the national strategic development plan, seize the security needs of industrial digital transformation and intelligent construction, continue to focus on Jida Zhengyuan's main business direction, encourage innovation in marketing, technology, products, solutions and management, and focus on the cultivation of its own core competitiveness, so as to more proactively meet market opportunities and challenges.

1, business development

direct sales, and channels are carried out simultaneously to realize the transformation of Jida Zhengyuan from "product + solution" to "product + platform + ecosystem + solution + service". Build three major market systems in industry, region and service, promote the "industry main business, regional main sales" marketing strategy, consolidate the advantageous position of existing key industries such as the government, military industry, finance, energy, and state-owned enterprises, and accelerate the cultivation of emerging industries such as government cloud , Internet of Things, and security services. Increase regional construction and establish a marketing service system with headquarters as the core, seven major regions as the secondary centers, and provincial offices as the third-level centers, to achieve national coverage. Promote customer-oriented marketing, solutions and delivery of the iron triangle operation system to improve overall operational efficiency and customer satisfaction.

2, technology research and development and innovation

continues to improve the functions, performance and applicability of password security, identity and trust security, and data security products, continues to promote the platformization, ecologicalization and service of products, and continues to integrate core technologies including AI, big data, cloud computing, boundary computing, 5G, IPV6, blockchain, the Internet of Things and the industrial Internet digital economy, accelerate the meeting of regulatory and network security offensive and defense needs, and pay attention to emerging fields such as digital currency , data intelligent operation, and intelligent transportation.

3, Business Management

According to Jida Zhengyuan's development strategy, it optimizes and adjusts resource allocation around the market and business, opens up production, academia, research and application, accelerates the iteration of products, technologies and services, and quickly meets customer needs. Strengthen market publicity and brand building, take practical action at the same time, and continuously increase the influence of Jida Zhengyuan in technology, market, customers and major national regulatory departments. Strengthen the construction of human resources system and build a complete talent system and learning organization. Strengthen the construction of quality management system to provide customers and partners with more stable, safer and higher quality products and services.