Financial Performance - For the year ended December 31, 2022, the company's revenue was approximately RMB 1,443,455,000, an increase of about 29.85% compared to RMB 1,111,618,000 in 2021[15]. - The net loss attributable to the parent company for the year was approximately RMB 78,176,000, compared to a net loss of RMB 66,836,000 in 2021[15]. - The basic and diluted loss per share for the year was approximately RMB 0.15, compared to a loss of RMB 0.13 in 2021[15]. - The total loss for the year ended December 31, 2022, was approximately RMB 80,420,000, compared to a loss of approximately RMB 62,845,000 the previous year, representing about 5.57% of total revenue[31]. - Net loss attributable to the owners of the parent company increased from approximately RMB 66,836,000 to approximately RMB 78,176,000, with net loss rates of approximately 5.42% and 6.01% for the respective years[32]. - Gross profit decreased from approximately RMB 69,253,000 (gross margin of 6.23%) to approximately RMB 20,755,000 (gross margin of 1.44%) due to lower gross margins from trade revenue[24]. - Operating costs increased by approximately 36.49% to about RMB 1,422,700,000 from RMB 1,042,365,000, with direct material costs accounting for approximately 39.59% of total operating costs[25]. - Trade revenue increased by 55.53% from approximately RMB 500,369,000 to approximately RMB 778,227,000, while engineering revenue rose by 69.24% from approximately RMB 224,452,000 to approximately RMB 379,856,000[22]. Strategic Focus and Development - The company is focusing on the national rural revitalization and food security strategy, implementing a "go global" development strategy[16]. - The company aims to achieve a "100 billion water-saving" target in 2023, emphasizing high-quality agricultural industry development[17]. - The company plans to enhance its comprehensive strength by providing full technical support and after-sales service to customers[17]. - The company is committed to promoting the construction of modern agricultural industry clusters and advancing the "Kang'er well" and "plain water cellar" projects[16]. - The company is adjusting its development direction in response to the severe pandemic situation and intense market competition in the water-saving irrigation industry[14]. - The company emphasizes innovation in finance, research, and models to achieve professional, intensive, and large-scale development[16]. - The company is implementing a comprehensive layout of "water, fertilizer, and salt" products and modern agricultural industry clusters[16]. - The company plans to transform from a "pure manufacturer" to a "comprehensive service provider" in the agricultural sector, focusing on a strategic development model that integrates products, engineering, and trade[37]. Corporate Governance - The board consists of seven directors, including three executive directors and four independent non-executive directors, ensuring a balanced governance structure[63]. - The board held a total of six meetings during the fiscal year ending December 31, 2022, with all directors present at each meeting[70]. - The company has established three committees: the remuneration committee, audit committee, and nomination committee, to oversee various aspects of corporate governance[68]. - The board has reviewed its corporate governance practices and found them to be effective as of December 31, 2022[68]. - Independent non-executive directors have confirmed their independence annually, with no director serving more than nine years in their role[63]. - The company emphasizes strict corporate governance practices to enhance credibility and transparency, thereby boosting shareholder confidence[61]. - The board is responsible for comprehensive strategic planning and development decisions, delegating daily operations to management[67]. - The company secretary maintains detailed records of board meetings, ensuring compliance with applicable laws and regulations[73]. - The board has mechanisms in place to obtain independent views and opinions, which are reviewed annually for effectiveness[65]. - The company held three shareholder meetings during the fiscal year to maintain ongoing dialogue with shareholders[70]. - The company has established a balanced distribution of power between the Chairman and the General Manager to ensure effective governance[75]. - All independent non-executive directors serve a term of three years, with re-election occurring at the annual general meeting[79]. - The company provided over 15 hours of relevant professional training to its company secretary during the fiscal year ending December 31, 2022[83]. - The Remuneration Committee held three meetings during the fiscal year, with all members achieving a 100% attendance rate[86]. - The Nomination Committee reviewed the nomination and appointment policies for new directors, ensuring alignment with the company's business strategy[92]. - The company has adopted a standard code of conduct for securities trading, confirming compliance by all directors and supervisors for the fiscal year[84]. - The company emphasizes the importance of diversity in the board composition, considering various factors such as education, experience, and gender[89]. - The Chairman encourages full participation from all directors in board meetings and committees[76]. - The company has implemented ongoing professional development programs for directors to enhance their knowledge and skills[80]. - The Remuneration Committee reviewed the remuneration policies and discussed the performance of executive directors during the fiscal year[88]. - The audit committee held four meetings during the year ended December 31, 2022, with all members attending 100% of the meetings[93]. - The external auditor, Tianjian, provided audit services amounting to RMB 750,000 for both 2021 and 2022, with no non-audit services rendered[97]. - The board of directors confirmed the effectiveness of the internal control system, with no significant deficiencies reported in risk management or compliance[100]. - The company has adopted a whistleblowing policy to encourage stakeholders to report any misconduct, ensuring confidentiality and fair handling of concerns[101]. - The company maintains a commitment to transparency, providing timely disclosures to shareholders and encouraging ongoing dialogue through various channels[105]. - Shareholders holding 10% or more of the issued shares can request a special general meeting, which the board must convene within two months of the request[106]. - The audit committee reviewed the financial reports and internal audit plans for the upcoming year, ensuring compliance and independence of the external auditor[95]. - The company’s internal audit manager prioritizes high-risk areas for audits, ensuring regular checks on financial and operational aspects[100]. - The audit committee's recommendations for the reappointment of the external auditor were accepted by the board[95]. - The company has established procedures for handling and disclosing insider information in compliance with relevant regulations[100]. Shareholder Relations and Dividends - The company will not distribute any final dividends for the year ended December 31, 2022, consistent with the previous year[56]. - The company aims to provide stable and sustainable returns to shareholders through its dividend policy, which is subject to approval by shareholders and must comply with Chinese company law[108]. - The board will review the dividend policy periodically, and there is no guarantee of recommending or declaring dividends in any given period[110]. - The financial status of the group includes considerations of liquidity and expected working capital needs, as well as any restrictions on dividend distribution imposed by lenders[110]. - The company did not recommend any dividend distribution for the year ending December 31, 2022, consistent with the previous year[134]. - The company has no distributable reserves for shareholders as of December 31, 2022, the same as the previous year[139]. Operational Insights - The company employed a total of 384 employees as of December 31, 2022, down from 527 in 2021[51]. - The company has no contingent liabilities as of December 31, 2022, consistent with the previous year[46]. - The company has been focusing on digital agriculture and agricultural service business layouts[133]. - The company is engaged in the design, manufacturing, and sales of drip irrigation systems and related components, as well as installation services[133]. - The company faced a decrease in the percentage of revenue from its largest customer compared to the previous year, which was 11.45%[140]. - The largest customer accounted for about 10.24% of the total revenue, while the top five customers represented approximately 23.05%[140]. - The company has not reported any changes in the board of directors as of December 31, 2022[130]. - The company has not disclosed any significant related party transactions during the year[140]. Financial Management and Compliance - The company has implemented strict financial management practices to ensure compliance with relevant accounting standards[184]. - The supervisory board actively participated in management decision-making and regularly reviewed financial statements to strengthen oversight[184]. - The company implemented key internal controls related to revenue recognition, evaluating their design and operational effectiveness[194]. - Monthly analysis of operating revenue and gross margin was conducted to identify significant fluctuations and their causes[194]. - The company assessed the reasonableness of inventory impairment provisions and management's past forecasts against actual results[196]. - Management's estimates of the net realizable value of inventory were reviewed, including the accuracy of calculations[196]. - The company ensured that information related to revenue and inventory impairment provisions was appropriately reported in the financial statements[196][198]. - Management is responsible for preparing financial statements in accordance with accounting standards, ensuring fair representation[198]. - The governance layer oversees the financial reporting process of the company[199]. - The audit opinion does not cover other information outside the financial statements[197]. - The company evaluated its ability to continue as a going concern, disclosing relevant matters as necessary[198]. - The audit aimed to provide reasonable assurance that the financial statements are free from material misstatement due to fraud or error[200]. Future Outlook - The future market outlook is promising, with plans to complete 1.1 million acres of new efficient water-saving irrigation construction tasks during the planning period[35]. - The company is optimistic about the future development of the agricultural water-saving industry, which is a national requirement with a broad market outlook[185]. - The company plans to continue its focus on high-standard farmland construction, which is expected to drive future growth[185].

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告之內容概不負責，對其 準確性或完整性不發表任何聲明，並明確表示概不會就本公告全部或任何部份內容而產 生或因依賴該等內容而引致之任何損失承擔任何責任。 新 疆 天 業 節 水 灌 溉 股 份 有 限 公 司 XINJIANG TIANYE WATER SAVING IRRIGATION SYSTEM COMPANY LIMITED* （於中華人民共和國註冊成立的股份有限公司） （股份代號：840） 公告 — 截至二零二三年三月三十一日止 三個月的自願業績公告 摘要 本公司根據上市規則第13章自願作出本公告。董事會宣佈本集團截至二零二三年三月 三十一日止三個月的未經審核綜合業績。 截至二零二三年三月三十一日止三個月，歸屬於本公司所有者的未經審核綜合收益總 額約為人民幣488,000元。 ...

香港交易及結算所有限公司和香港聯合交易所有限公司對本公告之內容概不負責，對其 準確性或完整性亦不發表任何聲明，並明確表示概不會就本公告全部或任何部份內容而 產生或因依賴該等內容而引致之任何損失承擔任何責任。 新 疆 天 業 節 水 灌 溉 股 份 有 限 公 司 XINJIANG TIANYE WATER SAVING IRRIGATION SYSTEM COMPANY LIMITED* （於中華人民共和國註冊成立的股份有限公司） （股份代號：840） 截至二零二二年十二月三十一日止年度經審計全年業績 業績回顧 • 截至二零二二年十二月三十一日止年度的營業額約為人民幣1,443,455,000元，較 二零二一年人民幣1,111,618,000元上升約29.85%。 • 截至二零二二年十二月三十一日止年度，歸屬於母公司淨虧損約為人民幣78,176,000 元（二零二一年：歸屬於母公司淨虧損約為人民幣66,836,000元）。 • 年內每股基本及攤薄虧損約為人民幣0.15元（二零二一年：虧損約人民幣0.13元）。 ...

香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示，概不就因本公告全部或任何 部分內容而產生或因倚賴該等內容而引致的任何損失承擔任何責任。 新疆天業節水灌溉股份有限公司 （於中華人民共和國註冊成立的股份有限公司） XINJIANG TIANYE WATER SAVING IRRIGATION SYSTEM COMPANY LIMITED* （股份代號：840） 有關截至二零二一年十二月三十一日止年度之年報之 補充公告 茲提述新疆天業節水灌溉股份有限公司（「本公司」，連同其子公司統稱為「本集團」） 截至二零二一年十二月三十一日止年度之年報（「二零二一年年報」）及本公司日期為 二零二一年六月二十一日有關增資協議之通函（「該通函」）。除另有註明外，本公告 所用詞彙與二零二一年年報及該通函所界定者具有相同涵義。 除二零二一年年報第185頁「合併財務報表附註 — 六、合併範圍的變更 —（一）非同 一控制下企業合併 — 1.本期發生的非同一控制下企業合併 — (2)其他說明」一節所 披露之資料外，董事會根據上市規則第14.36B條謹此提供有關目標公司提 ...

Financial Performance - Total revenue for the six months ended June 30, 2022, was approximately RMB 673,151,000, an increase of about 75.26% compared to RMB 384,095,000 for the same period last year[1] - The unaudited net loss for the six months ended June 30, 2022, was approximately RMB 23,812,000, compared to a net profit of RMB 751,000 for the same period last year[1] - Basic loss per share for the six months ended June 30, 2022, was approximately RMB 0.04719, compared to RMB 0.00025 for the same period last year[1] - The total operating costs for the six months ended June 30, 2022, were RMB 698,478,000, compared to RMB 387,286,000 for the same period last year[4] - The company reported a total profit of RMB (24,514) thousand for the six months ended June 30, 2022, compared to a loss of RMB (127) thousand in the same period of 2021[29] Revenue Breakdown - Revenue from drip irrigation pipes and accessories decreased to RMB 27,211 thousand from RMB 35,918 thousand, while PVC/PE pipe revenue fell to RMB 105,772 thousand from RMB 135,945 thousand[21] - Trade revenue surged from approximately RMB 51,182,000 to approximately RMB 427,746,000, accounting for 63.54% of total revenue, up from 13.33%[45] Expenses - Research and development expenses for the six months ended June 30, 2022, were RMB 3,729,000, an increase from RMB 2,509,000 for the same period last year[4] - The unaudited selling expenses for the six months ended June 30, 2022, were approximately RMB 16,863,500, a decrease of about 5.98% from RMB 17,936,000 in the previous year[46] - The unaudited administrative expenses decreased by approximately 8.44% to about RMB 19,046,000 from RMB 20,803,000 year-on-year[46] - The unaudited financial expenses increased by approximately 36.08% to about RMB 958,000, compared to a financial income of approximately RMB 704,080 in the previous year[46] Assets and Liabilities - Total assets as of June 30, 2022, were RMB 953,513,000, compared to RMB 964,976,000 as of December 31, 2021[10] - Total liabilities as of June 30, 2022, were RMB 448,233,000, compared to RMB 435,884,000 as of December 31, 2021[10] - The total amount of accounts payable as of June 30, 2022, was RMB 216,830,000, down from RMB 232,012,000 as of December 31, 2021[36] Cash Flow - Cash and cash equivalents as of June 30, 2022, were RMB 126,643,000, down from RMB 148,328,000 as of December 31, 2021[8] - The net cash flow from operating activities for the six months ended June 30, 2022, was RMB (36,171) thousand, an improvement from RMB (46,986) thousand in the same period of 2021[14] Shareholder Information - The company has a registered capital of RMB 519,521,560 and a total of 519,521,560 shares issued[16] - Xinjiang Tianye Company holds 202,164,995 shares, representing approximately 63.75% of the total issued domestic shares[66] - Xinjiang Tianye Holdings owns about 35.23% of the total issued domestic shares with 111,721,926 shares[66] - Changmao Holdings owns 14,407,000 H shares, accounting for approximately 7.12% of the total issued H shares[70] - The total number of issued shares for the company is 519,521,560, including both domestic and H shares[69] Corporate Governance - The company has complied with the Corporate Governance Code during the six months ending June 30, 2022[74] - The audit committee reviewed the accounting principles and internal controls during the reporting period[73] - The company has adopted a standard code for securities trading for its directors and supervisors[75] - There are no provisions in the company's articles of association regarding preemptive rights for existing shareholders[76] Future Plans and Strategy - The company plans to acquire a 51% stake in Shihezi Silk Road Tianyang Precast Concrete Co., Ltd., making it a subsidiary[61] - A new wholly-owned subsidiary, Xinjiang Tianye Modern Agricultural Technology Co., Ltd., was established to engage in the production and sales of water-saving equipment and engineering services, expanding the company's market reach[62] - The company aims to focus on cost reduction and efficiency improvement while aligning with national agricultural development strategies, including the construction of high-standard farmland and water-saving irrigation facilities[51][52] Employee Information - Employee benefits expenses related to retirement plans amounted to approximately RMB 6,124,000 for the six months ended June 30, 2022, reflecting the company's commitment to employee welfare[58] - The company has approximately 540 full-time employees, emphasizing the importance of employee quality for business growth and profitability[57] Financial Stability - The company has not encountered any liquidity issues during the reporting period, relying primarily on cash generated from operations for funding[53] - There are no significant contingent liabilities reported as of June 30, 2022, indicating a stable financial position[54] - The company does not face significant foreign exchange risks as its operations are primarily conducted in RMB, mitigating currency mismatch concerns[56] Other Information - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2022, consistent with the previous year[1] - The company recorded no asset impairment losses for the six months ended June 30, 2022, compared to RMB 3,305,000 in the same period last year[48] - The company reversed credit impairment losses of RMB 15,000 for the six months ended June 30, 2022, compared to no reversals in the previous year[49] - The company has committed capital expenditures of RMB 1,011,000 for property, plant, and equipment acquisitions as of June 30, 2022, compared to RMB 926,000 at the end of the previous year[37] - The company's capital debt ratio as of June 30, 2022, was 11.68%, an increase from 8.21% as of December 31, 2021, indicating a higher reliance on debt financing[53] - No purchases, sales, or redemptions of the company's listed securities occurred during the six months ending June 30, 2022[79] - The company has not reported any significant events after the six months ending June 30, 2022[77]

Xinjiang Tianye Water Saving Irrigation 新疆天業節水灌溉股份有限公司 Annual Report 2021 二零二一年年報 Xinjiang Tianye Water Saving Irrigation System Company Limited 新疆天業節水灌溉股份有限公司 System Company Limited * Stock Code: 840 2021 ANNUAL REPORT Xinjiang Tianye Water Saving Irrigation 新疆天業節水灌溉股份有限公司 System Company Limited * 股份代號: 840 2021 年報 | --- | --- | |--------|------------------------------------| | | | | | 目錄 | | | | | | | | 2 | 公司資料 | | 4 | 主席報告書 | | 7 17 | 管理層討論及分析 企業管治報告 | | 29 | 董事、監事及高級管理層 | | 35 | 董事會報告 | | 46 | 監事會報告 | ...

Financial Performance - The company reported an unaudited consolidated loss attributable to owners of approximately RMB 11,529,000 for the three months ended March 31, 2022[2]. - Total operating revenue for the same period was RMB 256,291,000, a significant increase from RMB 141,017,000 in the previous year, representing an 82% year-over-year growth[4]. - Total operating costs increased to RMB 268,313,000 from RMB 143,525,000, indicating a rise of 87% year-over-year[4]. - The company recorded a net loss of RMB 11,382,000 for the three months ended March 31, 2022, compared to a net loss of RMB 2,312,000 in the same period last year[6]. - Basic and diluted earnings per share were both reported at -0.0222, compared to -0.0053 in the previous year[6]. - The revenue from drip irrigation belts and accessories decreased to RMB 10,721,000 from RMB 13,462,000 year-over-year[11]. Strategic Initiatives - The company aims to enhance its overall strength and competitive advantage by focusing on "products + agricultural services + engineering + trade" in 2022[13]. - The government is expected to play a major role in funding high-standard farmland construction, which presents a significant market opportunity for the company[13]. - The company plans to expand its engineering business in southern Xinjiang and mainland China, as well as actively promote trade growth[13]. Corporate Governance - The company has a registered capital of RMB 519,521,560 and a total of 519,521,560 shares outstanding[8]. - The board of directors consists of three executive directors and four independent non-executive directors[15]. - The chairman of the board is Mr. Li He[15]. - The board includes Mr. Huang Dong and Mr. Tan Xinmin as executive directors[15]. - Independent non-executive directors include Mr. Li Lianjun, Mr. Yin Feihu, Ms. Gu Li, and Mr. Hong Weide[15]. - The company is based in Xinjiang, China[15]. Announcement Details - The announcement is dated April 20, 2022[15]. - The announcement does not provide specific financial data or performance metrics[15]. - No future outlook or strategic initiatives are mentioned in the provided content[15]. - The document primarily focuses on the composition of the board of directors[15].

新疆天業節水灌溉股份有限公司 （於中華人民共和國註冊成立的股份有限公司） XINJIANG TIANYE WATER SAVING IRRIGATION SYSTEM COMPANY LIMITED* （股份代號：840） 截至二零二一年六月三十日止六個月之中期業績報告 | --- | --- | |-------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | | | | 摘要 | | • | 截至二零二一年六月三十日止六個月的營業總收入約為人民幣 384,095,000 元，較 去年同期約人民幣 352,711,000 元上升約 8.90% 。 | | • | 截至二零二一年六月三十日止六 ...

Financial Performance - For the year ended December 31, 2020, the company's revenue was approximately RMB 706,558,000, an increase of about 13.18% compared to 2019[16]. - The net profit for the year was approximately RMB 2,057,000, a significant recovery from a net loss of approximately RMB 48,213,000 in 2019[16]. - Basic and diluted earnings per share for the year were approximately RMB 0.0013, compared to a loss of approximately RMB 0.0923 per share in 2019[17]. - The company's revenue for the year ended December 31, 2020, was approximately RMB 706,558,000, an increase of about 13.18% compared to RMB 624,288,000 for the year ended December 31, 2019[27]. - Gross profit rose from approximately RMB 84,058,000 (gross margin of 13.46%) for the year ended December 31, 2019, to approximately RMB 99,499,000 (gross margin of 14.08%) for the year ended December 31, 2020[28]. - The company reported a total profit of approximately RMB 1,163,000 for the year ended December 31, 2020, compared to a loss of approximately RMB 47,670,000 in the previous year[37]. - The net loss attributable to the parent company decreased from approximately RMB 47,948,000 in 2019 to a net profit of approximately RMB 650,000 in 2020, resulting in a profit margin of 0.30% for 2020 compared to -7.68% in 2019[38]. - The increase in revenue was primarily due to higher sales prices and a significant rise in engineering income during the year[27]. Operational Strategy - The company plans to focus on the development strategy centered around "products + engineering + agricultural services + trade" in 2021[20]. - The company aims to enhance its overall operational capacity and competitive advantage through structural adjustments and concentrated efficiency[20]. - The company will actively expand its engineering business in southern Xinjiang and inland areas while developing agricultural service business nationwide[20]. - The company aims to strengthen its competitive advantage by focusing on four main business areas: products, engineering, agricultural services, and trade[44]. - The company has been focusing on digital agriculture and agricultural service business layouts[143]. Market and Industry Outlook - The company sees significant market opportunities due to the large market capacity and broad market prospects in the agricultural sector[19]. - The national plan includes the construction of 10 million mu of high-standard farmland and the development of 15 million mu of efficient water-saving irrigation in 2021[18]. - The company plans to construct 10 million mu of high-standard farmland and develop 15 million mu of efficient water-saving irrigation in 2021, aiming to enhance food security[42]. Financial Position and Ratios - As of December 31, 2020, the group's outstanding bank loans amounted to RMB 53,059,000, an increase from RMB 30,000,000 in 2019[45]. - The current ratio and quick ratio as of December 31, 2020, were approximately 2.09 and 0.93, respectively, showing a slight decrease from the previous year[47]. - The capital debt ratio as of December 31, 2020, was 9.31%, up from 5.28% in 2019, primarily due to increased bank loans[52]. - The company has not encountered any liquidity issues during the year ended December 31, 2020, and plans to utilize cash generated from operations for funding[52]. Corporate Governance - The board of directors recommended no final dividend for the year ending December 31, 2020, consistent with the previous year[65]. - The company has complied with corporate governance codes, although it previously did not meet the requirement for independent non-executive directors[69]. - The company has established three committees (Remuneration, Nomination, and Audit) to oversee various aspects of its operations[75]. - The board believes that having four independent non-executive directors provides a reasonable balance and safeguards the interests of the group and its shareholders[70]. - The company has adopted a standard code of conduct for securities trading, confirming compliance by all directors for the year ending December 31, 2020[94]. - The company has confirmed compliance with the relevant regulations under Chapter 14A of the Listing Rules regarding related party transactions[184]. Related Party Transactions - The company has entered into a total procurement agreement with its major shareholder Tianye Holdings, effective from January 1, 2021, to December 31, 2023, for the procurement of PVC resin, with prices determined based on market rates[179]. - The total sales agreement with Tianye Holdings, effective from January 1, 2021, to December 31, 2023, stipulates that Tianye Holdings will purchase products manufactured by the company, including drip irrigation belts and PVC/PE pipes, with prices based on market rates[179]. - The annual rent for the lease agreement with Tianye Holdings for factory premises is set at RMB 1,327,000, effective from July 1, 2020, to June 30, 2023[180]. - The company’s related party transactions have been reviewed and confirmed to be conducted on normal commercial terms[184]. Employee and Management Information - The company employed a total of 528 employees as of December 31, 2020, a slight decrease from 530 in 2019[57]. - The company incurred approximately RMB 8,381,000 in expenses related to employee retirement benefit plans for the year ended December 31, 2020[58]. - The company has a management team with extensive experience in finance and engineering, contributing to its operational capabilities[139]. - The company’s senior management compensation is determined based on operational performance and individual performance, with all senior management salaries remaining below RMB 1,000,000[188]. Shareholder Information - The company has a total of 519,521,560 shares issued, including domestic shares and H shares[161]. - Tianye Company holds 202,164,995 domestic shares, accounting for approximately 63.75% of the total issued domestic shares and 38.91% of the total issued share capital[165]. - Xinjiang Tianye (Group) Co., Ltd. holds 111,721,926 domestic shares, representing about 35.23% of the total issued domestic shares and 21.51% of the total issued share capital[165]. - Changmao Holdings Limited holds 14,407,000 H shares, which is approximately 7.12% of the total issued H shares and 2.77% of the total issued share capital[171]. - The company confirms that all directors and supervisors have signed service contracts with a fixed term of three years, which can be renewed upon shareholder approval[155]. Compliance and Risk Management - The board confirmed the effectiveness of the internal control system, with no significant deficiencies reported in risk management or compliance during the year[105]. - The group complied with all relevant laws and regulations with no significant violations or non-compliance reported for the year ended December 31, 2020[199]. - The company has faced various risks and uncertainties, which are discussed in detail in the management discussion and analysis section of the annual report[143].

Financial Performance - Total revenue for the six months ended June 30, 2020, was approximately RMB 352,711,000, an increase of about 21.19% compared to RMB 291,028,000 for the same period last year[1] - The unaudited net profit for the six months ended June 30, 2020, reached approximately RMB 262,000, compared to a net loss of RMB 487,000 for the same period last year[1] - The basic earnings per share for the six months ended June 30, 2020, was approximately RMB 0.0005, compared to a loss per share of RMB 0.0003 for the same period last year[1] - The company recorded an unaudited total revenue of approximately RMB 352,711,000 for the six months ended June 30, 2020, representing an increase of about 21.19% compared to RMB 291,028,000 for the same period last year[43] - Net profit for the six months ended June 30, 2020, was approximately RMB 338,000, compared to a net loss of RMB 185,000 in the same period of 2019[25] - Basic earnings per share for the six months ended June 30, 2020, was RMB 0.00065, compared to a loss per share in the same period of 2019[25] Revenue Breakdown - Revenue from drip irrigation belts and accessories decreased to RMB 84.97 million, down 19.7% from RMB 106.11 million in 2019[16] - Revenue from PVC/PE pipes decreased to RMB 154.38 million, down 7.2% from RMB 166.48 million in 2019[16] - Revenue from installation services significantly increased to RMB 85.46 million, up 426.5% from RMB 16.21 million in 2019[16] Assets and Liabilities - Total assets as of June 30, 2020, amounted to RMB 1,010,175,000, an increase from RMB 869,233,000 as of December 31, 2019[5] - Total liabilities as of June 30, 2020, were RMB 441,548,000, compared to RMB 300,868,000 as of December 31, 2019[5] - The total equity attributable to the owners of the parent company as of June 30, 2020, was RMB 559,628,000, compared to RMB 559,289,000 as of December 31, 2019[5] - Total accounts receivable as of June 30, 2020, amounted to RMB 270.70 million, an increase from RMB 236.86 million as of December 31, 2019[27] - The company’s total accounts payable as of June 30, 2020, was RMB 259,452,000, an increase from RMB 196,117,000 as of December 31, 2019[34] Cash Flow - Cash and cash equivalents as of June 30, 2020, were RMB 120,711,000, up from RMB 63,242,000 at the beginning of the year[9] - Net cash generated from operating activities for the six months ended June 30, 2020, was RMB 9,007,000, compared to a net outflow of RMB 15,488,000 for the same period last year[9] - The company reported a net cash inflow from financing activities of RMB 48,985,000 for the six months ended June 30, 2020, compared to an outflow of RMB 713,000 for the same period last year[9] Expenses - The corporate income tax expense for the six months ended June 30, 2020, was RMB 438,000, down from RMB 653,000 in 2019[21] - Unaudited selling expenses decreased by approximately RMB 9,692,000 or about 32.2%, totaling approximately RMB 20,417,000 for the six months ended June 30, 2020, compared to RMB 30,109,000 for the same period last year[45] - The company’s financial expenses for the six months ended June 30, 2020, were approximately RMB 854,000, an increase of about 35.2% compared to financial income of approximately RMB 582,000 for the same period last year[45] - The company’s impairment losses for the six months ended June 30, 2020, were RMB 1,320,000, slightly down from RMB 1,375,000 for the same period last year[46] Corporate Governance - The company has adopted strict corporate governance practices to enhance accountability and transparency, complying with the Corporate Governance Code during the six months ended June 30, 2020[76] - The audit committee has reviewed the accounting principles and practices adopted by the group and discussed internal controls and financial reporting matters[75] - The company has confirmed that all directors and supervisors have complied with the standards set out in the Securities Trading Code during the six months ended June 30, 2020[77] - There are no known interests or potential conflicts of interest involving directors, supervisors, or management in competing businesses as of June 30, 2020[73] Shareholder Information - Major shareholders include Xinjiang Tianye Co., Ltd., holding 202,164,995 shares, representing 63.75% of the total issued domestic shares[64] - Tianye Holdings controls 202,164,995 shares of the company, equivalent to 63.75% of the total issued domestic shares[66] - The company is owned 7.12% by Changmao Holdings, which directly holds 14,407,000 H shares[3] - Mr. Ding, who fully owns Changmao Holdings, is deemed to have an interest in the 14,407,000 H shares held by Changmao Holdings[4] - Ms. Wang, Mr. Ding's spouse, is also deemed to have an interest in the same shares held by Changmao Holdings[5] Operational Insights - The company has 13 subsidiaries included in the consolidated financial statements for this period[12] - The company’s business operations are primarily conducted in China, with all transactions denominated in RMB, resulting in no significant foreign exchange risk[54] - The company aims to enhance its core competitiveness and sustainable development through a digital agricultural operation management system[50] - The company incurred expenses of approximately RMB 3,879,000 for employee retirement benefit plans in the six months ending June 30, 2020[56] - The company had approximately 531 full-time employees as of June 30, 2020[55] Other Information - The company did not recommend any interim dividend for the six months ended June 30, 2020, consistent with the previous year[1] - The company did not recommend the distribution of an interim dividend for the six months ended June 30, 2020[26] - The company reported no significant contingent liabilities as of June 30, 2020[53] - The company has no major investment plans as of June 30, 2020[59] - The company did not engage in any significant acquisitions or disposals of subsidiaries during the six months ending June 30, 2020[60] - There were no purchases, sales, or redemptions of the company's listed securities by the company or any of its subsidiaries during the six months ended June 30, 2020[80] - The company has not disclosed any matters after the six months ended June 30, 2020[79]