Revenue Up by 12.2%, Net Profit Rebounded in 2H 2022 with Net Profit Margin Stood at 10.7%

Results Highlights:

• Maintained a good momentum in overall business development with a growth of more than 10% in new orders year-on-year.
• Revenue amounted to RMB7,738 million, a year-on-year increase of 12.2%.
• Revenue from the Three New business* amounted to RMB2,573 million, a year-on-year increase of 64.2%, accounted for 33.3% of total revenue.
• Gross profit amounted to RMB2,939 million, a year-on-year increase of 11.1%.
• Profit for the Year amounted to RMB824 million, a year-on-year increase of 5.4%.
• Net profit margin reached 10.7%, a slight decrease of 0.6 percentage point year-on-year.
• Proposed a final dividend of HK$0.401 per Share with an annual dividend payout ratio of 40%.

Note*: Three New business represents digital intelligence-driven operation, vertical industries and enterprise cloudification, and Operation Support Systems ("OSS") HONG KONG SAR - Media OutReach - 7 March 2023 - AsiaInfo Technologies Limited ("AsiaInfo Technologies" or the "Company", which together with its subsidiaries, is referred to as the "Group"; HKEX stock code: 1675), is pleased to announce its annual results for the year ended 31 December 2022 (the "Year"). Overall results In 2022, AsiaInfo Technologies adhered to the strategy of "One consolidation, Three developments", and achieved a double-digit growth in revenue. Its revenue amounted to RMB7,738 million, increased by 12.2% year-on-year. Among which, revenue from the Three New business maintained a rapid growth and amounted to RMB2,572 million, increased by 64.2% year-on-year. The proportion of the Three New business to revenue reached 33.3%, increased by 10.6 percentage points year-on-year. As the Company strengthened its cost control and efficiency enhancement in the second half of the year, and improved its staff productivity, the gross profit for the year amounted to RMB2,939 million, representing a year-on-year increase of 11.1%, with gross profit margin reaching 38.0%. Net profit rebounded in the second half of the year, and amounted to RMB824 million, representing a year-on-year increase of 5.4%. Net profit margin remained a double-digit figure, reaching 10.7%. Commenting on the Group's results performance in 2022, Dr. TIAN Suning, Chairman and Executive Director of the Group, said, "China strives to facilitate the intensive integration of digital technology with the real economy, so as to realise the economic and social development from "volume growth" to "quality development". AsiaInfo has been propelling the digital-intelligence transformation with technologies like 5G, AI and big data in thousands of industries, creating digital-intelligence value for its customers. In 2022, facing the resurgence of COVID-19 and other complicated situations, the Company overcame tremendous difficulties. Through the measures of increasing online collaborative efforts, expanding the scope of remote delivery project and refining cost control, the Company sustained a good momentum in business development and continued to sustain a double-digit growth in revenue. Meanwhile, the Company's net profit rebounded significantly in the second half of the year, maintaining its decent profitability. After taking into full consideration of various factors including Shareholders' returns, the profitability, cash flow and capital requirement for future development of the Company, the Board has decided to propose the declaration of the final dividend of HK$0.401 per Share for the year at the Annual General Meeting with the annual dividend payout ratio of 40%. Digital intelligence-driven operation business restructuring initially completed with revenue surpassing RMB1 billion The publication of the "Twenty Provisions on Data" brings new driving force to accelerate the development of the big data and data operation industry. Leveraging the legal, compliant and rich data sources, the Company developed data-driven operation (DSaaS) products for different industries and business scenarios with its innovative and leading AI technology and increased marketing efforts. In telecommunications industry, DSaaS business benefited from the rapid development of 5G and the high growth in the digital transformation of the government-enterprise industry, the Company maintained its market leading position. Beyond telecommunications industry, the Company further focused on the digitalisation of government and enterprise, digital internet of vehicles ("IoV") and digital consumption and developed replicable, marketable and operable digital intelligence business and operation services, which are recognised by leading customers including Digital Chongqing and Changan Auto. In 2022, revenue from the digital intelligence-driven operation was RMB1,150 million, increased by 57.6% year-on-year, accounting for 14.9% of the revenue. Energy, government affairs and transportation and...