Beijing
China’s leading software companies have recorded stronger earnings and increased spending on research and development, data from the Ministry of Industry and Information Technology (MIIT) showed.
Upon releasing a 2019 list of China’s top 100 software company by sales revenue, the MIIT said the enterprises on the list reported 821.2 billion yuan (about 118.5 billion U.S. dollars) of revenue from software business in 2018, 6.5 percent up from that of the top 100 companies a year ago.
Among them, more than 30 companies saw revenue surging by more than 20 percent, and 14 companies earned revenue of over 10 billion yuan, the ministry said. The top 100 software companies made 196.3 billion yuan in profits in 2018 with profit margin from their main businesses standing at 11.3 percent.
In the same period, these companies invested 174.6 billion yuan in research and development (R&D), 12.6 percent higher than that of the top 100 companies in 2018.
Their average R&D intensity, the proportion of R&D expenditure to main business revenue, reached 10.1 percent, 2.2 percentage points higher than the average level of the software industry, MIIT data showed.
By leading in advanced technologies such as cloud computing, industrial Internet and artificial intelligence, the top 100 companies, while accounting for only 0.3 percent of companies, made 13.3 percent of the total revenue and created 15 percent of jobs of the industry.—Xinhua
