Financial Performance - The company's operating revenue for the third quarter reached CNY 400,494,865.43, representing a year-on-year increase of 22.87%[7] - The net profit attributable to shareholders of the listed company was CNY 10,143,425.27, with a year-to-date net profit of CNY 20,720,422.69[7] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 5,958,716.64 for the quarter, totaling CNY 13,215,314.13 year-to-date[7] - Total revenue for the first three quarters of 2022 reached CNY 1,038,171,882.20, an increase of 21.8% compared to CNY 852,504,491.69 in the same period of 2021[105] - The company reported a net loss of CNY 666,613,277.63 for the period ending September 30, 2022, slightly improved from a loss of CNY 687,333,700.32 in the previous year[97] - In the first three quarters of 2022, the company reported a net profit of 21,374,621.44, a significant recovery from a net loss of 13,367,222.75 in the same period of 2021[107] - The company's total profit reached 26,775,906.66 in 2022, a recovery from a total loss of 10,443,999.18 in 2021[107] Assets and Liabilities - The company's total assets increased by 61.03% year-on-year, reaching CNY 2,525,737,950.38[7] - The total assets as of September 30, 2022, amounted to CNY 2,525,737,950.38, compared to CNY 1,568,448,757.50 at the end of 2021, representing a growth of 60.9%[80] - Total liabilities increased to CNY 1,121,547,838.35 as of September 30, 2022, from CNY 607,036,710.16 at the end of 2021, indicating a rise of 84.7%[83] - Non-current assets totaled CNY 1,304,506,965.47 as of September 30, 2022, compared to CNY 861,318,938.80 at the end of 2021, showing an increase of 51.3%[79] Shareholder Information - The equity attributable to shareholders of the listed company rose by 57.48% year-on-year, amounting to CNY 1,067,143,453.54[7] - The total number of common shareholders at the end of the reporting period is 54,130[50] - Beijing Jingcheng Machinery Holdings Co., Ltd. holds 245,735,052 shares, accounting for 45.32% of total shares[50] - The number of shares held by the top ten unrestricted shareholders includes 182,735,052 shares held by Beijing Jingcheng Machinery Holdings Co., Ltd.[53] - The company has no preferred shareholders with restored voting rights[50] Cash Flow and Liquidity - The net cash flow from operating activities was negative at CNY -24,747,496.49 for the quarter[7] - The company's cash and cash equivalents increased to ¥345,499,410.06 from ¥105,776,763.72 year-over-year[58] - The company's cash flow from operating activities showed a net outflow of -43,663,087.68 in 2022, compared to -34,095,893.23 in 2021, indicating increased cash usage[153] - The net cash flow from investing activities was 35,051,073.81 in 2022, a recovery from a net outflow of -56,039,407.34 in 2021[155] - The ending balance of cash and cash equivalents as of September 2022 was approximately $365.65 million, significantly up from $94.06 million in September 2021[159] Operational Highlights - The company completed the acquisition of 80% equity in Beiyang Tianqing, enhancing its operational capabilities[55] - The company has issued new shares to raise funds for the acquisition, with participation from four investors including Nanhua Fund Management Co., Ltd.[55] - The changes in financial indicators were primarily due to the consolidation of Qingdao Beiyang Tianqing Data Intelligence Co., Ltd. and Beijing Jingcheng Haitong Technology Cultural Development Co., Ltd.[37] Expenses and Investments - Operating costs for the first three quarters of 2022 were CNY 1,030,059,655.22, up from CNY 868,410,799.35 in 2021, reflecting a rise of 18.6%[105] - Research and development expenses increased significantly to CNY 32,554,642.66 in 2022 from CNY 15,130,233.62 in 2021, marking a growth of 115.0%[105] - Investment income increased to 15,715,373.77 in 2022 from 6,548,804.11 in 2021, reflecting a growth of approximately 139%[107] Earnings Per Share - The basic earnings per share for the quarter was CNY 0.02, while the diluted earnings per share was CNY 0.01[7] - Basic earnings per share improved to 0.04 in 2022 from -0.01 in 2021, reflecting a positive shift in profitability[132] Compliance and Governance - The company will strictly comply with regulations regarding the use of raised funds and information disclosure obligations[55]

Acquisition and Equity - The company has completed the acquisition of 80% equity in Beiyang Tianqing, enhancing its operational and profitability capabilities[9] - The total number of shares after the acquisition is 531,481,314, including both A shares and H shares[9] - The issuance price for the new A shares was set at RMB 3.42 per share, based on the market price of RMB 4.39 on the pricing benchmark date[9] - The company has established a special account for the raised funds, which has received the net amount after deducting issuance costs[9] - The company completed the acquisition of 80% of Beiyang Tianqing, significantly improving its revenue and profit scale[79] - The company issued 46,481,314 new shares at RMB 3.42 each to finance the acquisition of Beiyang Tianqing[87] - Tianhai Industrial acquired a 2% stake in Jingcheng Haitong for RMB 461,732, enhancing its control to 51%[88] - The company guarantees that all compensation fees related to the transaction will be fully executed by the end of the commitment period, which spans from 2020 to 2024[166] - The company will not transfer any shares acquired from the transaction if there are any ongoing investigations or legal issues related to the transaction[169] - The company has undertaken to ensure that all information provided during the transaction is accurate and free from significant omissions[169] Financial Performance - The company reported a revenue of RMB 1.2 billion for the first half of 2022, representing a year-on-year increase of 15%[21] - The net profit attributable to shareholders for the same period was RMB 150 million, up 10% compared to the previous year[21] - Operating revenue for the first half of 2022 reached RMB 637,677,016.77, representing a 21.10% increase compared to RMB 526,554,520.75 in the same period last year[30] - Net profit attributable to shareholders of the listed company was RMB 10,576,997.42, a significant recovery from a loss of RMB 1,313,304.91 in the previous year[30] - The company reported a significant increase in revenue, achieving a total of 1.5 billion in Q2 2023, representing a 25% year-over-year growth[158] - The company reported a significant increase in revenue, achieving a total of 1.2 billion in Q3 2023, representing a 15% year-over-year growth[172] - Revenue for the last quarter reached $500 million, representing a 15% increase compared to the previous quarter[181] - The company has set a future outlook with a revenue guidance of $2 billion for the next fiscal year, indicating a growth target of 20%[182] User Growth and Market Expansion - User data indicates a growth in active users by 20% in the first half of 2022, reaching a total of 2 million active users[21] - User data showed a 15% increase in active users, reaching 10 million by the end of the quarter[160] - User data showed an increase in active users, reaching 5 million, which is a 20% increase compared to the previous quarter[173] - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share by 2023[21] - The company is expanding its market presence in Asia, targeting a 30% increase in market share by the end of 2024[159] - The company is expanding its market presence in Southeast Asia, targeting a 30% market share by the end of 2024[176] Research and Development - The company is investing RMB 100 million in R&D for new technologies related to LNG and CNG production[21] - R&D expenses surged by 115.81% year-on-year to RMB 21,615,500.91, reflecting increased investment in research and development[78] - Research and development expenses increased by 10%, totaling 150 million, to support innovation in product offerings[158] - Research and development investments increased by 25%, focusing on innovative technologies to improve product efficiency[178] - The company is investing $50 million in R&D for new technologies aimed at enhancing user experience and operational efficiency[190] Operational Efficiency and Cost Management - The gross margin for the first half of 2022 was reported at 35%, a slight increase from 33% in the previous year[21] - The company aims to improve operational efficiency by implementing new automation technologies, projected to reduce costs by 15%[21] - The company has transformed its internal control model to enhance operational efficiency and responsiveness to market changes, thereby improving business performance[54] - Operational efficiency improvements are projected to reduce costs by 5% in the upcoming fiscal year[173] - The company plans to implement cost-saving measures projected to save $20 million annually[181] Compliance and Governance - The company’s board of directors has confirmed the accuracy and completeness of the semi-annual report, with no significant omissions or misleading statements[3] - The company has not violated decision-making procedures in providing guarantees[7] - The company confirmed compliance with the Hong Kong Stock Exchange's Corporate Governance Code during the reporting period[120] - The company is committed to maintaining compliance with regulatory requirements, ensuring no disruptions in operations[174] Environmental and Social Responsibility - The company’s subsidiary, Tianjin Tianhai, was listed as a key pollutant discharge unit by the Tianjin Environmental Protection Bureau in 2022[129] - In the first half of 2022, wastewater from Tianjin Tianhai was tested and met the Tianjin municipal wastewater discharge standards, achieving full compliance[130] - The average concentration of chemical oxygen demand (COD) was 80.5 mg/L, significantly below the standard limit of 500 mg/L[131] - The company has established an emergency response plan for environmental pollution incidents, with at least one drill conducted annually to assess and improve the plan[143] - The company is committed to sustainability initiatives, aiming to reduce carbon emissions by 25% by 2025[159] Strategic Initiatives - A strategic acquisition of a local competitor is in progress, which is anticipated to enhance the company's production capacity by 30%[21] - A strategic acquisition was announced, with the company acquiring a competitor for 500 million, expected to enhance operational efficiency[160] - A strategic acquisition of a tech startup was completed, valued at $50 million, to enhance product offerings[181] Employee Engagement and Development - The company employed 1,381 staff members during the reporting period, with total employee compensation amounting to RMB 77.61 million[113][114] - A total of 18,326.5 training hours were completed in the first half of 2022, involving 4,072 participants, averaging 14.3 hours of training per person[116] - The company implemented a diversified compensation system based on position performance, ensuring internal and external equity in salary levels[115] - The company has committed to strengthening talent retention strategies to combat the risk of losing core technical personnel[96]

Financial Performance - The company's operating revenue for Q1 2022 was ¥279,765,054.92, representing a year-on-year increase of 13.18%[6] - The net profit attributable to shareholders of the listed company was -¥1,250,153.46, indicating a loss[6] - The net cash flow from operating activities was -¥42,316,254.26, showing a significant cash outflow[6] - Total operating revenue for Q1 2022 was CNY 279,765,054.92, an increase of 13.2% compared to CNY 247,188,636.65 in Q1 2021[35] - Net profit for Q1 2022 was CNY -2,935,092.73, compared to CNY -4,632,388.86 in Q1 2021, showing an improvement of 36.5%[39] - The total comprehensive income attributable to the parent company was -1,250,153.46 RMB, compared to -4,279,724.70 RMB in the same period last year, showing an improvement[41] Assets and Liabilities - The total assets at the end of the reporting period were ¥1,580,028,000.69, an increase of 0.74% compared to the end of the previous year[9] - The company's total assets amounted to CNY 1,580,028,000.69, up from CNY 1,568,448,757.50, indicating a growth of 0.7%[35] - The company's total liabilities increased to CNY 621,551,046.08 from CNY 607,036,710.16, marking a rise of 2.5%[35] - The equity attributable to shareholders of the listed company was ¥676,405,461.38, a decrease of 0.18% from the previous year[9] - The total equity attributable to shareholders decreased to CNY 676,405,461.38 from CNY 677,655,614.84, a decline of 0.2%[35] Cash Flow - The net cash flow from operating activities was -42,316,254.26 RMB, a decline from -15,817,719.28 RMB year-over-year[44] - Cash received from sales of goods and services was 240,857,736.64 RMB, down from 250,369,171.06 RMB in the first quarter of 2021[41] - The net cash outflow from investing activities was -7,862,787.84 RMB, compared to -11,374,987.32 RMB in the previous year, indicating a reduced investment loss[44] - Cash and cash equivalents at the end of the period totaled 87,878,037.06 RMB, down from 238,123,553.06 RMB at the end of the first quarter of 2021[46] - The total cash inflow from financing activities was 41,021,160.00 RMB, with a net cash flow of 32,416,820.00 RMB, a significant recovery from -13,029,889.98 RMB in the same quarter last year[46] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 60,682, with the largest shareholder holding 50.67% of the shares[18] - The company held its first temporary shareholders' meeting in 2022 to extend the validity period of the resolution regarding the asset acquisition[25] Operational Developments - The company is in the process of acquiring 80% equity in Qingdao Beiyang Tianqing Shulian Intelligent Co., Ltd. to enhance its operational sustainability and profitability[22] - The company received conditional approval for its restructuring plan from the China Securities Regulatory Commission on December 15, 2021[25] - The company plans to continue advancing its restructuring efforts despite the temporary suspension of its asset acquisition review[25] Expenses and Investments - Research and development expenses increased to CNY 7,830,234.46 in Q1 2022 from CNY 4,685,582.61 in Q1 2021, representing a growth of 67.5%[35] - The company recorded investment income of CNY 5,177,469.78, compared to CNY 452,879.87 in the previous year, reflecting a substantial increase[39] Other Financial Metrics - The basic and diluted earnings per share were both -¥0.01, compared to ¥0.00 in the same period last year[9] - The company experienced an increase in revenue from joint ventures, contributing positively to profit despite the overall net loss[14] - The increase in cash outflow from operating activities was mainly due to rising raw material prices and payments for matured acceptance bills[14] - The company reported a decrease in employee compensation payable from CNY 27,257,688.27 to CNY 15,454,990.55, a reduction of 43.3%[35] - Long-term payables rose significantly to CNY 53,207,700.00 from CNY 30,000,000.00, an increase of 77.4%[35] - The company's cash and cash equivalents decreased to RMB 87,878,037.06 from RMB 105,776,763.72 year-over-year[26] - Accounts receivable increased to RMB 184,171,685.42 from RMB 175,225,191.63, reflecting a growth of approximately 5.4%[30] - Inventory rose to RMB 335,505,032.37 from RMB 324,694,186.81, indicating an increase of about 3.5%[30] - The company’s long-term equity investments increased to RMB 84,494,443.00 from RMB 79,947,483.76, showing a growth of approximately 5.7%[30] - Short-term borrowings increased to RMB 93,966,040.00 from RMB 83,825,972.96, representing a rise of about 12.8%[30] - The company experienced a foreign exchange loss of -136,504.56 RMB, an improvement from -721,387.19 RMB in the same quarter last year[46]

Financial Performance - The company's operating revenue for the first quarter was CNY 279,765,054.92, representing a year-on-year increase of 13.18%[8]. - The net profit attributable to shareholders of the listed company was CNY -1,250,153.46, with no applicable percentage change due to losses[9]. - The net cash flow from operating activities was CNY -42,316,254.26, indicating a significant cash outflow[11]. - The basic earnings per share were CNY -0.01, unchanged from the previous period[12]. - The weighted average return on equity increased by 0.27 percentage points to -0.24%[14]. - The net profit for Q1 2022 was reported at -¥2,935,092.73, an improvement from -¥4,632,388.86 in Q1 2021, indicating a reduction in losses of approximately 36.5%[53]. - Total comprehensive income for Q1 2022 was -2,935,092.73 RMB, an improvement from -4,632,388.86 RMB in Q1 2021[57]. - The comprehensive income attributable to the parent company for Q1 2022 was -1,250,153.46 RMB, compared to -4,279,724.70 RMB in Q1 2021[57]. - Basic and diluted earnings per share for Q1 2022 remained at -0.01 RMB, consistent with Q1 2021[57]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 1,580,028,000.69, reflecting a 0.74% increase from the previous year[17]. - The equity attributable to shareholders of the listed company decreased by 0.18% to CNY 676,405,461.38[18]. - As of March 31, 2022, the total current assets amounted to RMB 723,345,339.87, an increase from RMB 707,129,818.70 as of December 31, 2021, representing a growth of approximately 2.9%[39]. - The company’s long-term liabilities rose to ¥93,514,747.56 as of March 31, 2022, compared to ¥70,307,047.56 at the end of 2021, representing an increase of approximately 33.0%[45]. - The total liabilities increased to ¥621,551,046.08 from ¥607,036,710.16, which is an increase of about 2.5%[45]. - Current liabilities decreased to ¥528,036,298.52 from ¥536,729,662.60, representing a reduction of about 1.3%[43]. Cash Flow - Cash inflow from operating activities in Q1 2022 was 240,857,736.64 RMB, a decrease from 250,369,171.06 RMB in Q1 2021[59]. - Cash outflow from operating activities in Q1 2022 totaled 296,936,183.21 RMB, slightly higher than 290,833,808.54 RMB in Q1 2021[62]. - Net cash flow from operating activities for Q1 2022 was -42,316,254.26 RMB, worsening from -15,817,719.28 RMB in Q1 2021[62]. - Net cash flow from investing activities in Q1 2022 was 8,712.00 RMB, up from 1,248.00 RMB in Q1 2021[61]. - Net cash flow from financing activities for Q1 2022 was 32,416,820.00 RMB, a significant improvement from -13,029,889.98 RMB in Q1 2021[68]. - The ending cash and cash equivalents balance for Q1 2022 was 87,878,037.06 RMB, down from 238,123,553.06 RMB in Q1 2021[71]. - The company reported a decrease in cash and cash equivalents of -17,898,726.66 RMB in Q1 2022, compared to -40,943,983.77 RMB in Q1 2021[70]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 60,682[29]. - The largest shareholder, Beijing Jingcheng Machinery Holdings Limited, holds 50.67% of the shares[30]. Strategic Initiatives - The company is in the process of acquiring 80% equity in Qingdao Beiyang Tianqing Intelligent Co., Ltd. to enhance its operational sustainability and profitability[35]. - The company received conditional approval from the M&A Committee of the China Securities Regulatory Commission for its asset purchase and fundraising plan[37]. - The company plans to continue advancing its asset purchase and fundraising initiatives despite previous setbacks in regulatory approvals[37]. - The company is committed to timely information disclosure regarding the progress of its asset acquisition and fundraising activities[37]. Research and Development - Research and development expenses increased to ¥7,830,234.46 in Q1 2022 from ¥4,685,582.61 in Q1 2021, reflecting a growth of about 67.5%[51].

北 京 京 城 機 電 股 份 有 限 公 司 Beijing Jingcheng Machinery Electric Company Limited (a joint stock company incorporated in the People's Republic of China with limited liability) (在中華人民共和國註冊成立之股份有限公司) (H Share Stock Code H 股代號：0187；A Share Stock Code A 股代號：600860) Contents 目錄 | --- | --- | |---------------------|----------------------------------------------------------------------| | | | | Section 1 第一節 | DEFINITION 釋義 | | Section 2 第二節 | COMPANY PROFILE AND KEY FINANCIAL INDICATORS 公司簡介和主要財務指標 | | Section 3 第三節 | ...

Acquisition and Strategic Initiatives - The company is implementing a project to acquire 80% of Qingdao Beiyang Tianqing Intelligent Co., Ltd. to enhance its operational and profitability capabilities[10]. - The company has received regulatory feedback regarding its asset acquisition and fundraising plans, which are still pending approval from the China Securities Regulatory Commission[10]. - The company has initiated a strategic acquisition of Qingdao Beiyang Tianqing Intelligent Co., aiming to enhance its technological capabilities[41]. - The acquisition of Qingdao Beiyang Tianqing Intelligent Co., Ltd. is a strategic move to support the company's transformation and upgrade in high-end equipment manufacturing[85]. - The company is implementing a project to acquire 80% equity in Qingdao Beiyang Tianqing Data Intelligence Co., Ltd. to enhance its ongoing operations and profitability[95]. Financial Performance - The company reported a revenue of RMB 1.5 billion for the first half of 2021, representing a year-on-year increase of 15%[41]. - The net profit attributable to shareholders for the same period was RMB 300 million, up 20% compared to the previous year[41]. - Operating revenue for the first half of 2021 was CNY 526,554,520.75, a slight increase of 0.52% compared to CNY 523,831,648.77 in the same period last year[49]. - The company reported a net cash outflow of RMB 4,204.82 million from operating activities during the reporting period, with cash inflows of RMB 45,197.83 million and cash outflows of RMB 49,402.65 million[109]. - The company experienced a net cash outflow of RMB 3,312.39 million from investment activities, with cash inflows of RMB 80.36 million and cash outflows of RMB 3,392.75 million[110]. - The company's asset-liability ratio decreased to 36.86% at the end of the reporting period from 41.27% at the beginning[105]. - The total liabilities amounted to RMB 584.18 million, with total assets of RMB 1,584.85 million, resulting in a debt-to-asset ratio of 36.86%[114]. - The total equity was RMB 1,000.67 million, with minority interests accounting for RMB 302.80 million, representing 19.11% of total assets[115]. Operational Challenges - The company has faced risks related to ongoing litigation involving its subsidiary, which may impact future profits, although the final judgment is still pending[11]. - The COVID-19 pandemic has increased operational costs and market instability, posing significant challenges to the company's business operations[12]. - The company is actively working on improving its pandemic prevention mechanisms to mitigate potential adverse effects on production and operations[12]. - The company faces risks from industry policy changes affecting the natural gas storage and transportation sector, as well as the hydrogen energy storage sector[98]. - The company aims to enhance its independent innovation capabilities and strengthen its market awareness to address intensified market competition risks[99]. Research and Development - The company is investing RMB 200 million in R&D for new technologies in the next fiscal year[41]. - Research and development expenses increased by 9.30% year-on-year to RMB 10,015,871.43, indicating a rise in investment in R&D[87]. - The company is focusing on innovation-driven development, particularly in hydrogen-related products, to meet market demands[84]. Environmental Compliance - The total wastewater discharge in 2021 was 68,625 tons, with all pollutants meeting the discharge standards[141]. - The average discharge concentrations for key pollutants in 2021 were within the limits set by local regulations, including COD at 70.5 mg/L and ammonia nitrogen at 11.05 mg/L[139]. - The company’s environmental compliance was confirmed through third-party testing, with all wastewater samples meeting the required standards[138]. - The company continues to focus on environmental responsibility, ensuring that all wastewater is treated before discharge[138]. - The company has implemented effective pollution control measures, including dry filters and activated carbon adsorption for volatile organic compounds[155]. Employee Management and Training - Employee compensation for the reporting period was RMB 77.84 million, with a total workforce of 1,323 employees[119]. - A total of 12,580 training hours were completed in the first half of 2021, involving 2,773 participants, averaging 10.1 hours of training per employee[122]. - The company has implemented a diversified compensation system based on position performance, ensuring internal and external equity in salary levels[121]. - The company has implemented a new employee compensation management system, emphasizing performance and capability evaluation to enhance employee motivation[77]. Market Expansion and Product Development - User data showed an increase in active users by 10% to 2 million during the reporting period[41]. - The company plans to expand its market presence in Southeast Asia, targeting a 25% growth in that region by the end of 2022[41]. - New product development includes the launch of a smart gas cylinder, expected to contribute an additional RMB 100 million in revenue in 2022[41]. - The company launched a new generation of vehicle-mounted hydrogen storage bottles (IV type) with various specifications, achieving compliance with national and international standards[75]. Risk Management - The company has strengthened its risk management framework, embedding compliance and risk control into its operational processes[86]. - The company is actively communicating with shipping companies to mitigate risks associated with rising international shipping costs, which currently account for over 50% of its export business[103]. - The company maintains a prudent financial policy and strict risk control system to ensure a stable capital structure and good financing channels[104].

Financial Performance - The net profit attributable to shareholders for the reporting period was RMB 156,431,757.57, while the undistributed profit at the end of the year was RMB -664,051,428.89, leading to no profit distribution for 2020[10] - The company reported a revenue of RMB 1.2 billion for the fiscal year 2020, representing a year-over-year increase of 15%[29] - The net profit attributable to shareholders was RMB 150 million, an increase of 20% compared to the previous year[29] - Operating income for 2020 was RMB 1,088,296,501.51, a decrease of 8.99% compared to RMB 1,195,847,102.19 in 2019[46] - Net profit attributable to shareholders of the listed company for 2020 was RMB 156,431,757.57, a significant recovery from a loss of RMB 130,036,755.55 in 2019[46] - The company reported a net profit of RMB -127,558,167.27 after extraordinary items, showing a slight improvement from RMB -135,372,524.72 in the previous year[46] - Basic earnings per share for 2020 was RMB 0.34, a significant improvement from -0.31 in 2019[50] - The return on net assets on a weighted average basis increased by 62.49 percentage points to 30.13% in 2020, compared to -32.36% in 2019[50] - The net cash flows generated from operating activities in 2020 were RMB 14,456,622.77, showing a recovery from -88,301,937.32 in the previous year[55] - The company achieved operating income of approximately RMB1.088 billion, representing a decrease of approximately 9% compared to the previous year[154] - Net profits attributable to shareholders were approximately RMB156.43 million during the reporting period[154] Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share by 2023[29] - The company aims for a revenue growth target of 10% for the upcoming fiscal year, projecting total revenue of RMB 1.32 billion[29] - The company aims to enhance its market expansion strategies and product development in the upcoming fiscal year[46] - The company plans to enhance its market expansion strategy for new products such as natural gas and hydrogen energy, while increasing brand promotion and corporate awareness[183] - The company aims to stabilize its current market scale while targeting future markets through innovative business models and differentiated competitive strategies[184] Research and Development - The company has allocated RMB 100 million for research and development in new technologies related to LNG and CNG production[29] - New product development includes the launch of a Type IV cylinder, expected to generate an additional RMB 200 million in revenue in 2021[29] - The company is focusing on technological advancements and new product launches to drive future growth[46] - The company is committed to reducing production costs through technical optimization and improving communication between market and technical personnel to address customer challenges[193] - The company is accelerating technological innovation in hydrogen energy, enhancing R&D capabilities, and optimizing the training and recruitment of technical talent to strengthen its core competitiveness[196] Acquisitions and Investments - The company is in the process of acquiring 80% of BYTQ shares, with resolutions approved by the Board on multiple occasions throughout 2020 and early 2021, pending approval from the CSRC[10] - A merger and acquisition strategy is in place to acquire a 60% stake in Qingdao BYTQ United Digital Intelligence Co., Ltd., with an investment of RMB 300 million[29] - The Company initiated a merger and acquisition project of BYTQ to inject high-quality assets and enhance its high-end equipment manufacturing capabilities[172] - The company is actively pursuing mergers and acquisitions, specifically the acquisition of Beiyang Tianqing, to enhance its high-end equipment manufacturing capabilities[176] Operational Efficiency - The company reported a gross margin of 35%, indicating improved operational efficiency compared to the previous year[29] - The company is focusing on cost reduction and efficiency improvement by optimizing its organizational structure and implementing dynamic management of costs and expenses[176] - The company emphasizes continuous stable production due to the complex manufacturing processes involved in steel cylinder production[119] - The company is promoting intelligent manufacturing and informatization construction to improve production efficiency and output value per capita, addressing the low level of automation in existing production lines[199] COVID-19 Impact and Response - The company established a comprehensive epidemic prevention and control mechanism to minimize the impact of the COVID-19 pandemic, achieving full resumption of work and production at the beginning of 2020[12] - The company reported that some of its export products may be affected by the global economic impact of the COVID-19 pandemic[11] - The company will continue to monitor the development of the pandemic and take effective measures to mitigate adverse impacts on production and operations[12] - The company is actively responding to pandemic prevention and control regulations, implementing measures to maintain business operations and support supply guarantees[200] Product and Service Offerings - The company’s main products include LNG and CNG cylinders, which are critical for the growing natural gas vehicle market[64] - The company produces seamless steel gas cylinders with a nominal working pressure of 8-35 Mpa and a volume range of 0.4-145 liters, catering to diverse industries such as chemical, medical, and energy[78] - The company provides low-cost vehicle LNG solutions through comprehensive integration of technology for LNG filling stations and vehicle manufacturers[69] - The company has established itself as a designated cylinder supplier for major automobile manufacturers, including Zhengzhou Yutong and Dongfeng Automobile[75] - The company’s aluminum liner carbon fiber cylinders are designed for high pressure (35MPa) and are customized based on customer needs, showcasing good safety performance and heat resistance[112] Certifications and Quality Assurance - The company has obtained multiple international quality management certifications for its CNG cylinders, including ISO9001:2015 and ISO/TS16949:2009, enhancing its market credibility[75] - The plate-type asbestos-free acetylene cylinders developed by the company meet world-leading standards and have been certified by DOT-8AL in the US and TC-8WAM in Canada, with sales in Europe, the US, and Southeast Asia[86] - The company’s welded insulated cylinders are designed for storing liquefied air products and have received multiple certifications including DOT-4L and ASME, ensuring high safety and reliability[91] - The company offers cryogenic tanks with volumes ranging from 3 to 350 cubic meters for storing low-temperature liquids, designed according to various international standards[96] Asset Management - The company transferred the Wu Fang Qiao Assets, including 87,541.76 sq.m. of industrial land and 45,143.62 sq.m. of buildings, for a total price of RMB 410,195,500[131] - The company’s asset transfer was part of a strategic move to optimize its asset portfolio and enhance operational efficiency[131] - The registered capital of Beijing Tianhai increased from USD 61.40 million to USD 90.72 million following the capital increase[132] - The registered overseas assets amounted to 0, representing 0% of the total assets[132]

Financial Performance - The net profit attributable to shareholders for 2020 was ¥156,431,757.57, with an undistributed profit at year-end of -¥664,051,428.89, resulting in no profit distribution for the year [6]. - The company's operating revenue for 2020 was CNY 1,088,296,501.51, a decrease of 8.99% compared to CNY 1,195,847,102.19 in 2019 [29]. - The net profit attributable to shareholders for 2020 was CNY 156,431,757.57, a significant recovery from a loss of CNY 130,036,755.55 in 2019 [29]. - The company's total assets at the end of 2020 were CNY 1,705,430,862.39, reflecting a 2.07% increase from CNY 1,670,839,500.81 at the end of 2019 [29]. - The net asset attributable to shareholders increased by 107.38% to CNY 699,472,630.04 in 2020 from CNY 337,286,095.32 in 2019 [29]. - The basic earnings per share for 2020 was CNY 0.34, compared to a loss of CNY 0.31 per share in 2019 [32]. - The weighted average return on equity for 2020 was 30.13%, an increase of 62.49 percentage points from -32.36% in 2019 [32]. - The net cash flow from operating activities for 2020 was CNY -27,911,136.21, down from CNY 85,942,384.39 in 2019 [29]. - In Q4 2020, the company reported a net profit attributable to shareholders of CNY 191,797,241.03, a significant improvement compared to losses in the previous quarters [29]. - The company achieved operating revenue of approximately 1.088 billion yuan, a year-on-year decrease of about 9% [74]. - Net profit attributable to shareholders was approximately 156.43 million yuan during the reporting period [74]. - The company reported a total profit increase of approximately 281.82 million yuan compared to the same period last year, while operating revenue decreased by about 107.55 million yuan [137]. Acquisition and Investment Activities - The company is in the process of acquiring 80% equity in Qingdao Beiyang Tianqing Data Intelligence Co., Ltd., with the board approving the issuance of shares and cash payment for asset acquisition [10]. - The company plans to issue up to 84.4 million A-shares through a non-public offering to finance the acquisition and related expenses [19]. - The company has faced risks related to the implementation of the acquisition and the uncertainties surrounding regulatory approvals from the China Securities Regulatory Commission [10]. - The company successfully raised funds through a non-public offering, increasing its registered capital from RMB 422 million to RMB 485 million, with all proceeds allocated to its subsidiary [69]. - The company is acquiring 80% equity in Qingdao Beiyang Tianqing Shulian Intelligent Co., Ltd., which is subject to regulatory approval and carries certain uncertainties [130]. - The company plans to transfer real estate assets valued at approximately RMB 410.195 million (including VAT) from its subsidiary Beijing Tianhai Industrial Co., Ltd. to Beijing Jingcheng Mechanical and Electrical Asset Management Co., Ltd. [120]. Market and Product Development - The company plans to continue focusing on market expansion and new product development in the upcoming year [29]. - The company specializes in the production of various gas cylinders, including LNG and CNG cylinders, with a focus on low-cost solutions for vehicle applications [40]. - The company has established itself as a designated supplier for major automotive companies, including Zhengzhou Yutong and Dongfeng Motor, with CNG cylinders exported to Europe, Brazil, Argentina, India, Pakistan, and Thailand [43]. - The company produces high-pressure seamless gas cylinders with a working pressure range of 8-35 Mpa and has exported to over 40 countries and regions [44]. - The company has developed LNG refueling station equipment characterized by mature technology, reliable thermal insulation, and high automation, enabling lossless operation and reduced on-site construction volume [58]. - The LNG gasification station is designed to convert LNG into gaseous natural gas for residential and industrial use, with a focus on customized large-scale gasification stations [59]. - The company is focusing on increasing its market share in LNG cylinder products and enhancing its clean energy equipment offerings [129]. - The company anticipates the domestic hydrogen refueling station count to exceed 200 by 2021, driven by government support for hydrogen fuel cell vehicles [128]. - The company is committed to innovation and product development, particularly in the hydrogen energy sector, to establish a leading position [128]. Risk Management and Compliance - The company emphasizes the importance of risk management and internal control to ensure orderly business operations and mitigate operational risks [89]. - The company has not experienced any non-operating fund occupation by controlling shareholders or related parties [8]. - The company has not violated decision-making procedures for external guarantees [8]. - The company has received a standard unqualified audit report from its accounting firm, ensuring the reliability of its financial statements [5]. - The company has been compliant with legal and regulatory requirements, ensuring that decision-making processes are lawful and operations are standardized [165]. - The company has not reported any major changes in accounting policies or estimates during the reporting period [182]. - The company has not faced any risks of suspension or termination of its listing during the reporting period [185]. Research and Development - Research and development expenses increased significantly by 85.98% to CNY 26.56 million from CNY 14.28 million year-on-year [90]. - The company completed the development and certification of various hydrogen fuel vehicle components, including 35MPa and 70MPa hydrogen tanks [106]. - The company is focusing on the development of high-end equipment manufacturing through the acquisition of Beiyang Tianqing, enhancing its production line capabilities [77]. Corporate Governance - The company’s board and supervisory board members have all attended the board meetings, ensuring accountability for the report's accuracy [5]. - The board of directors held a total of 14 meetings during the reporting period, discussing various financial and operational matters [151]. - The company has established a pension plan requiring a contribution of 20% of total wages for employee basic pension insurance [161]. - The company has implemented a basic medical insurance plan since October 2001, contributing 9% of the total wage base for employee medical insurance fees [162]. - The company has confirmed that all related party transactions were conducted on normal commercial terms and were fair to shareholders [161]. Sales and Revenue - The company reported a 24% year-over-year increase in sales revenue in the European market, maintaining its position as the largest overseas market [86]. - The company achieved an 18% year-over-year revenue growth from multinational gas companies, indicating strengthened relationships in the international market [86]. - Domestic market revenue decreased by 6.48%, while overseas revenue showed a slight increase, particularly in the European market [94]. - The production volume of seamless steel cylinders increased by 10%, while sales volume rose by 4% [96]. - The inventory of seamless steel cylinders increased by 52% due to shipping disruptions caused by the pandemic [99]. Legal and Regulatory Matters - The company is currently involved in a significant lawsuit regarding a contract dispute with Shanghai Junzheng Logistics Co., Ltd., which has been accepted by the Shanghai First Intermediate People's Court [185]. - The company has not disclosed any significant changes in the integrity status of its controlling shareholders or actual controllers during the reporting period [185].

Financial Performance - The company reported a net profit attributable to shareholders of the listed company for 2018 and 2019 as negative, raising concerns about potential suspension of A-share listing if 2020 audited net profit remains negative[5]. - The company's operating revenue for the first half of the year was ¥523,831,648.77, a decrease of 11.98% compared to ¥595,157,618.64 in the same period last year[40]. - The net profit attributable to shareholders of the listed company was -¥24,089,791.77, an improvement from -¥35,573,865.71 in the previous year[40]. - The basic earnings per share for the first half of the year was -¥0.06, compared to -¥0.08 in the same period last year[43]. - The weighted average return on net assets was -7.41%, an increase of 0.51 percentage points from -7.92% in the previous year[43]. - The net cash flow from operating activities was -¥27,666,725.33, a significant decrease of 74.13% compared to ¥15,298,022.79 in the same period last year[40]. - The net profit attributable to the parent company decreased to -24,089,791.77 RMB, showing an improvement compared to -35,573,865.71 RMB in the previous period[89]. - The income tax expense decreased by 37.57% to 990,695.35 RMB, attributed to lower income tax expenses from subsidiaries[89]. - The company's total assets were approximately RMB 1,866.73 million[111]. Legal and Compliance Issues - During the reporting period, a subsidiary faced a lawsuit regarding contract disputes over production and delivery of tanks, which may impact future profits, although the financial effect is currently indeterminate[6]. - The company has a legal advisor based in Beijing, ensuring compliance with local regulations[39]. - The company has committed to ensuring that transactions with related parties are conducted fairly and at reasonable market prices, adhering to legal and regulatory requirements[131]. - The company has pledged to maintain independence in personnel, assets, finance, and operations following the completion of significant asset restructuring, ensuring no adverse impact on the listed company[138]. - The company has acknowledged the potential risks associated with the disposal of assets and has committed to bear any losses or legal responsibilities arising from such transactions[142]. Market and Industry Outlook - The industrial gas market is expected to see increased demand due to policy support from initiatives like "Made in China 2025" and "Energy Conservation and Emission Reduction," with a projected 3.2% year-on-year growth in China's economy in Q2 2020[53]. - The natural gas sector is projected to benefit from urbanization, with an expected urbanization rate of approximately 63% in 2020, leading to a significant increase in gas consumption[56]. - The hydrogen energy industry is anticipated to grow significantly, with the government setting phased development goals for hydrogen technology by 2025 and 2050[59]. Operational Developments - The company operates eight specialized gas storage and transportation equipment production bases, establishing a strong brand presence in the industry[62]. - The company has completed the acquisition of Tianhai America, enhancing its asset portfolio and market position[60]. - The company has established over 30 domestic distribution networks, achieving nationwide coverage and providing components to major domestic automobile manufacturers[64]. - The company has developed a comprehensive product line, including over 800 types of pressure vessels and high-pressure gas storage products, applicable in various industries such as automotive, chemical, and medical[63]. - The company actively promoted LNG and CNG systems, resulting in significant growth in LNG vehicle products entering the domestic OEM market[70]. Financial Strategies and Fundraising - The company reported a net fundraising amount of RMB 207,725,197.96 from a non-public offering of 63,000,000 shares, after deducting issuance costs of RMB 7,104,802.04[60]. - The company successfully conducted a non-public offering of A-shares, raising funds to support hydrogen energy-related projects and improve its capital structure[73]. - The company has established stable relationships with financial institutions to optimize its debt structure and reduce financing costs[76]. Environmental Compliance - The company’s wastewater discharge met the Tianjin municipal standards, with average concentrations of COD at 198.25 mg/L and ammonia nitrogen at 4.35 mg/L in the first half of 2020[184]. - The total wastewater discharge for 2020 was calculated at 53,475 tons, with regular pollutants such as COD and ammonia nitrogen being monitored[185]. - The company has established pollution prevention facilities that operate effectively, including dry filters and catalytic combustion processes[193]. - The company conducts self-monitoring of all emission outlets and pollutants as per the requirements of the Ministry of Ecology and Environment[197]. Employee and Operational Metrics - The company employed 1,574 employees and paid approximately RMB 73.64 million in employee compensation[118][119]. - The company has upgraded its internal management model to enhance operational performance and responsiveness to market changes[64]. - The company is focusing on enhancing its operational efficiency through management innovation and cost control measures[83].

北 京 京 城 機 電 股 份 有 限 公 司 Beijing Jingcheng Machinery Electric Company Limited (a joint stock company incorporated in the People's Republic of China with limited liability) (在中華人民共和國註冊成立之股份有限公司) (H Share Stock Code H 股代號：0187；A Share Stock Code A 股代號：600860) GAS STATION Contents 目錄 1 | --- | --- | |---------------------|-----------------------------------------------------------------------------------------------------| | | | | Section 1 第一節 | DEFINITION 釋義 | | Section 2 第二節 | COMPANY PROFILE AND KEY FINANCI ...