Revenue and Profit - Revenue for Q3 2021 reached ¥985,958,552.41, an increase of 19.75% year-over-year, while year-to-date revenue was ¥2,642,161,075.64, up 14.76% compared to the same period last year[4] - Net profit attributable to shareholders decreased by 26.26% in Q3 2021 to ¥50,781,546.46, and year-to-date net profit fell by 29.21% to ¥162,398,728.22[4] - The basic earnings per share for Q3 2021 was ¥0.06, down 25.00% year-over-year, and year-to-date earnings per share was ¥0.18, a decrease of 30.77%[4] - The net profit for the current period is 171,757,862.24, a decrease from 236,876,673.64 in the previous period, representing a decline of approximately 27.5%[22] - The total profit for the current period is 198,548,543.05, down from 298,509,804.59, indicating a decrease of about 33.5%[22] - Operating profit for the current period is 206,572,143.40, compared to 299,022,914.30 in the previous period, reflecting a decline of approximately 30.8%[22] - The total comprehensive income for the current period is 171,766,681.60, compared to 237,841,692.86 in the previous period, reflecting a decrease of about 27.8%[22] Assets and Liabilities - Total assets at the end of Q3 2021 were ¥11,563,751,374.71, reflecting a 10.93% increase from the end of the previous year[4] - The total assets of the company reached CNY 11,563,751,374.71, compared to CNY 10,424,153,481.19 at the end of the previous year, marking an increase of about 10.9%[18] - The company's total liabilities were reported at CNY 5,986,331,907.27, up from CNY 5,050,514,481.81, reflecting a growth of approximately 18.5%[18] Cash Flow - The company reported a significant decrease in cash flow from operating activities, which was down 59.08% year-to-date to ¥256,341,301.95[4] - Cash flow from operating activities for the current period is 256,341,301.95, significantly lower than 626,425,189.13 from the previous period, a decrease of about 59.1%[25] - Cash flow from investing activities shows a net outflow of -1,092,376,809.31, worsening from -740,250,540.82 in the previous period[25] - Cash flow from financing activities has a net inflow of 719,130,675.88, compared to a net outflow of -389,813,052.81 in the previous period, indicating a significant improvement[25] Research and Development - The company increased its research and development expenditure by 48.32% to ¥14,260,270.48, indicating a focus on innovation[8] - Research and development expenses increased to CNY 99,592,897.45, up from CNY 79,968,773.91, indicating a commitment to innovation[19] Inventory and Borrowings - Inventory levels rose by 37.36% to ¥366,893,343.89, driven by increased sales of resource products and rising metal prices[8] - Long-term borrowings increased by 94.12% to ¥1,284,287,199.49, primarily due to additional bank loans for project construction[8] Market Position and Acquisitions - The company completed the acquisition of a 70% stake in Chenzhou Xiongfeng Environmental Technology Co., Ltd. for CNY 42,900,000, enhancing its position in the precious metal recovery sector[12] - The company plans to further integrate operations and optimize its resource recovery business following the acquisition, aiming for a stronger market position[12] Shareholder Information - The top ten shareholders include HKSCC NOMINEES LIMITED with 22.76% and Guangdong Guangsheng Holdings Group Co., Ltd. with 18.89% of shares[10] Other Financial Metrics - The company's cash and cash equivalents stood at CNY 547,893,045.24 as of September 30, 2021, down from CNY 661,656,688.47 at the end of 2020[15] - Accounts receivable increased to CNY 1,023,842,433.92, up from CNY 888,802,439.18, indicating a growth of approximately 15.2%[16] - The company's cash and cash equivalents at the end of the period amount to 536,682,976.35, down from 591,936,911.45 in the previous period[25] - The company reported a foreign exchange gain of 8,819.36 in the current period, compared to a gain of 965,019.22 in the previous period[22]

Financial Performance - Revenue for the six months ended June 30, 2021, was RMB 1,656,202 thousand, representing an increase of 12.0% compared to RMB 1,479,030 thousand for the same period in 2020[4] - Gross profit for the same period was RMB 496,667 thousand, slightly up from RMB 488,744 thousand, indicating a stable gross margin[4] - Net profit for the six months ended June 30, 2021, was RMB 120,372 thousand, down 23.6% from RMB 157,696 thousand in the prior year[4] - Basic and diluted earnings per share decreased to RMB 12.69 from RMB 18.26, reflecting a decline of 30.5%[5] - The company reported a net profit of RMB 120,272,000 for the period[21] - The net profit attributable to shareholders was approximately RMB 112 million, a decrease of 30.47% compared to the previous year[58] - The company reported a pre-tax profit of RMB 111,617 thousand for the period, down from RMB 160,542 thousand in the previous year, indicating a decline of about 30.5%[29] - The total tax expense for the period was RMB 19,524 thousand, significantly lower than RMB 39,236 thousand in the previous year, indicating a decrease of approximately 50.2%[27] Assets and Liabilities - Total assets as of June 30, 2021, amounted to RMB 8,059,846 thousand, an increase from RMB 7,869,508 thousand at the end of 2020[6] - The total assets of the company amounted to RMB 10,892,803,000[21] - The company’s total liabilities as of June 30, 2021, were RMB 1,921,147 thousand, an increase from RMB 1,474,376 thousand at the end of 2020, indicating a growth of approximately 30.3%[8] - The company’s total liabilities decreased to RMB 2,516,793 thousand as of June 30, 2021, compared to RMB 2,880,047 thousand in the previous year, reflecting a reduction of approximately 12.6%[24] - As of June 30, 2021, the total liabilities of the group amounted to approximately RMB 5,390,765,000, an increase from RMB 5,050,514,000 as of December 31, 2020, resulting in a debt-to-asset ratio of 49.49% compared to 48.45% in the previous period[71] Cash Flow and Financing - Cash and cash equivalents increased to RMB 726,752 thousand from RMB 661,657 thousand, indicating improved liquidity[6] - The net cash generated from operating activities for the six months ended June 30, 2021, was RMB 135,688 thousand, a decrease from RMB 399,076 thousand for the same period in 2020, reflecting a decline of about 65.9%[11] - The company reported a net cash outflow from investing activities of RMB 485,163 thousand for the first half of 2021, compared to RMB 340,739 thousand in the same period of 2020, indicating an increase in investment expenditures[11] - Financing activities generated a net cash inflow of RMB 421,415 thousand in the first half of 2021, contrasting with a net cash outflow of RMB 373,756 thousand in the same period of 2020[11] - The company plans to issue up to RMB 1.5 billion in short-term financing bonds to meet long-term funding needs for project construction and technological upgrades[84] - The company received a registration notice for issuing up to RMB 1,500,000,000 in short-term financing bonds, primarily for refinancing and operational funding[16] Operational Highlights - The company plans to focus on market expansion and new technology development to enhance future growth prospects[4] - The total revenue from the industrial waste resource utilization segment was RMB 654,695,000[20] - The total revenue from the industrial waste treatment segment was RMB 759,679,000, with a cost of RMB 731,279,000[20] - The total revenue from municipal waste treatment was RMB 92,554,000, with a cost of RMB 12,733,000[20] - The company aims to enhance market share and business volume by optimizing market management and exploring new market opportunities in pharmaceuticals, chemicals, and automotive repair industries[59] - The group added a new hazardous waste treatment capacity of 139,500 tons per year during the reporting period, with a total approved capacity of 2,130,000 tons per year[60] Research and Development - Research and development expenses rose to RMB 65,555 thousand in the first half of 2021, up from RMB 51,787 thousand in the same period of 2020, representing an increase of approximately 26.5%[26] - The group invested RMB 68,843,600 in R&D, an increase of 11.18% compared to the same period last year, focusing on tackling industry challenges and enhancing technological capabilities[62] Shareholder Information - Major shareholder Guangdong Guangsheng holds 166,068,501 shares, representing 18.89% of the total A shares[90] - Jiangsu Huihong International Group holds 50,087,669 A shares, accounting for 5.70% of the total[91] - The board does not recommend any interim dividend for the six months ended June 30, 2021, consistent with the previous year[97] Corporate Governance - The company is committed to maintaining high standards of corporate governance and transparency[98] - The chairman and CEO roles are currently held by the same person as a transitional arrangement[99] - The company has complied with all applicable corporate governance code provisions during the reporting period[98]

Financial Performance - The company's operating revenue for the reporting period was ¥1,656,202,523.23, an increase of 11.98% compared to ¥1,479,030,093.03 in the same period last year[24]. - Net profit attributable to shareholders was ¥111,617,181.76, a decrease of 30.47% from ¥160,541,955.22 year-on-year[24]. - The net cash flow from operating activities was ¥135,689,069.51, down 66.00% from ¥399,075,201.87 in the previous year[24]. - The total assets at the end of the reporting period were ¥10,892,803,611.92, reflecting a 4.50% increase from ¥10,424,153,481.19 at the end of the previous year[24]. - The company reported a total revenue of 4,618.24 million RMB for the first half of 2021, with a gross margin of 6.89%[128]. - Net profit for the first half of 2021 was ¥120,371,917.10, a decrease of 23.6% from ¥157,695,636.25 in the first half of 2020[184]. - The company's total assets as of June 30, 2021, amounted to ¥7,784,903,166.24, compared to ¥7,683,300,626.02 at the end of 2020, indicating a growth of 1.3%[180]. - The company reported a total of 137,849.7 million in guarantees for subsidiaries during the reporting period[141]. Research and Development - The company has accumulated 473 patents, with 55 new patents granted during the reporting period, enhancing its technological capabilities[34]. - R&D investment was RMB 68.84 million, an increase of 11.18% year-on-year, with 55 new patents granted during the reporting period[43]. - The company reported R&D expenses of ¥65,555,458.40 for the first half of 2021, which is an increase of 26.5% compared to ¥51,787,340.10 in the same period last year[182]. Market Expansion and Business Development - The company is focused on expanding its market presence and enhancing its service capabilities in environmental management[18]. - The company has expanded its business into general industrial solid waste, municipal solid waste, and wastewater treatment, diversifying its service offerings[34]. - The company plans to invest approximately RMB 1.54 billion in three hazardous waste projects under construction, with a planned processing capacity of 381,000 tons/year[41]. - The company aims to expand its business model by investing in high-tech resource recovery and service sectors, enhancing its industry-leading position[47]. - The company plans to expand its market presence by investing in new technologies for waste management and treatment[90]. Environmental Compliance and Social Responsibility - The company emphasizes safety and environmental protection in its operations, continuously improving its safety responsibility system and management processes[75]. - The company is committed to ensuring production safety and environmental management through enhanced risk control and safety measures[49]. - The company has implemented pollution control facilities according to environmental impact assessment reports, effectively treating wastewater and harmful gases[99]. - The company invested approximately CNY 618,000 in social responsibility initiatives during the reporting period, including CNY 168,000 for poverty alleviation and CNY 50,000 for educational support[106]. - The company aims to balance social development and environmental protection as part of its mission to serve a beautiful China[106]. Financial Management and Shareholder Returns - The company plans to distribute cash dividends annually, with a minimum of 20% of the distributable profit allocated in cash, ensuring a cumulative distribution of at least 30% over any three consecutive years[115]. - The company has a commitment to prioritize cash dividends in profit distribution, with a focus on returning value to investors[117]. - The company has established a differentiated cash dividend policy based on its development stage and capital expenditure needs[117]. - The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period[120]. Governance and Management - The board of directors confirmed the accuracy and completeness of the financial report, assuming legal responsibility for any misstatements[4]. - The company has not faced any administrative penalties related to environmental issues during the reporting period[103]. - There were no changes in the board of directors, supervisors, or senior management during the reporting period[78]. - The company has not engaged in any violations regarding external guarantees during the reporting period[121]. Operational Challenges - The company is facing a talent shortage in the rapidly growing environmental protection industry and is implementing long-term talent development mechanisms[75]. - The cash flow from operating activities decreased significantly by 66.00% to ¥135,689,069.51, primarily due to increased payments for raw material purchases[50]. - The company's cash flow from operating activities showed a negative net amount, highlighting challenges in operational efficiency during the first half of 2021[194].

Financial Performance - Total revenue for 2020 was RMB 3,315,021,000, a decrease of 4.14% from RMB 3,458,591,000 in 2019[5] - Gross profit for 2020 was RMB 1,131,074,000, with a gross margin of 34.12%, down from 36.08% in 2019[5] - Net profit attributable to shareholders for 2020 was RMB 303,162,000, a decline of 28.5% compared to RMB 423,930,000 in 2019[5] - The company achieved total operating revenue of RMB 331,502.10 million, a decrease of 4.15% compared to the same period last year[14] - The net profit attributable to equity holders of the company was RMB 30,316.20 million, down 28.49% year-on-year[14] - The company's total operating revenue for the year ended December 31, 2020, decreased by 4.15% to approximately RMB 3,315,021,000 compared to RMB 3,458,591,000 in 2019[24] - The revenue from industrial waste treatment decreased by approximately 4.05% to about RMB 1,599,509,000, down from RMB 1,667,032,000 in the previous year[24] - The net profit attributable to equity holders of the parent company for the year ended December 31, 2020, was approximately RMB 303,162,000, a decrease of 28.49% compared to RMB 423,930,000 in 2019, largely due to the adverse impact of the COVID-19 pandemic and changes in the operating environment[25] Assets and Liabilities - Total assets increased to RMB 10,424,154,000 in 2020, up from RMB 10,395,432,000 in 2019[5] - As of December 31, 2020, total assets amounted to RMB 1,042,415.40 million, an increase of 0.28% from the beginning of the period[14] - The group's total liabilities as of December 31, 2020, were approximately RMB 5,050,514,000, a decrease from RMB 5,360,589,000 in 2019, with an asset-liability ratio of 48.45% compared to 51.57% in 2019[30] Operational Capacity and Projects - The company completed the construction of 6 projects and obtained hazardous waste operating permits totaling 192,300 tons/year during the reporting period[8] - The overall hazardous waste treatment capacity exceeded 2 million tons/year, with a utilization rate of approximately 40.53%[8] - The design capacity of ongoing construction projects exceeds 400,000 tons/year[8] - The company processed over 9,000 tons of medical waste during the pandemic, ensuring zero infection among its 4,900 employees[14] - The total hazardous waste treatment capacity exceeds 2 million tons per year, including 750,000 tons for comprehensive utilization and 360,000 tons for incineration[15] - The company has 8 ongoing projects with a combined hazardous waste treatment capacity exceeding 400,000 tons per year[16] Strategic Initiatives - The company is actively pursuing project acquisitions to enhance strategic layout and industry synergy[8] - The company aims to improve operational management standards through technical innovation and cost-saving measures[8] - The company plans to maintain a stable profit distribution plan, proposing a cash dividend of RMB 0.11 per share, subject to shareholder approval[14] - The company aims to enhance management standards and accelerate industrial layout to ensure steady business growth and improve profitability[44] - The company intends to actively explore international markets to increase market share and broaden sales channels[45] Innovation and Development - The company applied for 63 new patents and obtained 81 new authorized patents, with two achievements recognized as internationally leading standards[23] - The company is focusing on technological innovation to enhance its core competitiveness, establishing national and provincial key laboratories to improve innovation efficiency[47] - New product development initiatives are underway, with an investment of 100 million yuan allocated for R&D in sustainable technologies[58] Safety and Compliance - The accident rate decreased by 62.5% year-on-year, with no major safety incidents reported during the reporting period[21] - The company is committed to implementing safety and environmental responsibilities, enhancing risk control, and promoting a culture of safety management[46] - The company has maintained compliance with relevant laws and regulations in its operations, with no significant violations reported as of December 31, 2020[137] Corporate Governance - The board of directors will focus on enhancing corporate governance and maintaining good relationships with shareholders in 2021[140] - The company is committed to improving corporate governance practices and maintaining high levels of transparency in information disclosure[144] - The board consists of both executive and independent non-executive directors, ensuring a balance of power[152] - The company has established a comprehensive internal management system and approval processes applicable across the group[184] Financial Management - Financial costs were reduced by RMB 28.44 million year-on-year through measures such as issuing medium-term notes and replacing high-interest debt[20] - The company has maintained its profit distribution policy, ensuring that cash dividends in the last three years accounted for at least 30% of the average distributable profit[70] - The company’s distributable reserves for dividends were calculated at RMB 1,384,773,000 during the reporting period[94] Market Presence - Jiangsu Huaihong International Group reported a significant increase in revenue, achieving a total of 1.2 billion yuan, representing a 15% year-over-year growth[56] - The company plans to expand its market presence in Southeast Asia, targeting a 20% increase in market share by the end of 2024[57] Audit and Reporting - The independent auditor's report confirms that the consolidated financial statements reflect the group's financial position as of December 31, 2020, in accordance with international financial reporting standards[188] - The audit identified key audit matters based on communication with governance, which are crucial for the financial statements[200] - The audit was conducted by Zhongjian Zhonghuan (Hong Kong) CPA Limited[200] - The report was issued on March 29, 2021, for the fiscal year 2020[200] Employee Management - The total employee cost for the year was approximately RMB 594,598,000, a decrease from RMB 626,069,000 in the previous year[104] - The number of full-time employees increased to 4,978 from 4,807 in the previous year[104] - The company recognizes the risk of talent shortages in the environmental protection industry and is implementing long-term incentive mechanisms to attract and retain skilled professionals[51]

Financial Performance - The company's operating revenue for Q1 2021 was CNY 751.43 million, representing a year-on-year increase of 14.19%[8] - Net profit attributable to shareholders decreased by 42.80% to CNY 31.78 million compared to the same period last year[8] - The net cash flow from operating activities dropped by 78.23% to CNY 50.88 million, down from CNY 233.73 million in the previous year[8] - The company's net profit margin decreased due to increased operating costs, with operating costs rising by approximately 18.4% year-over-year[42] - The net profit for the first quarter of 2021 was CNY 29,972,638.72, down from CNY 46,779,584.14 year-over-year, representing a decline of approximately 36%[44] - The profit attributable to the parent company's shareholders was CNY 31,781,096.24, compared to CNY 55,561,985.79 in the same period last year, indicating a decrease of about 43%[44] - The total comprehensive income for the first quarter was CNY 29,963,872.83, compared to CNY 48,005,190.10 in the same period last year, reflecting a decline of approximately 37%[44] - The total profit for the first quarter was CNY 40,446,966.38, down from CNY 63,894,702.86 year-over-year, representing a decrease of about 37%[44] - The operating profit for the first quarter was CNY 39,634,004.76, compared to CNY 67,003,424.53 in the previous year, indicating a decline of approximately 41%[44] Revenue and Costs - Revenue from resource recycling products reached approximately CNY 299 million, up 50.11% year-on-year, driven by rising copper prices and increased sales volume[9] - Total operating costs for Q1 2021 were CNY 725,661,678.49, up from CNY 613,067,635.72 in the previous period[42] - Sales expenses rose by 35.83% to ¥25,807,700.26 as the company intensified market expansion efforts amid increased competition in the hazardous waste market[19] - The company reported a significant decline in gross profit due to a sharp drop in hazardous waste disposal prices amid intensified market competition[9] Cash Flow and Investments - The cash inflow from operating activities was CNY 840,101,872.46, an increase from CNY 821,172,989.73 in the previous period[49] - The cash and cash equivalents at the end of the period decreased to 531,582,547.85 CNY from 1,289,310,293.07 CNY in the previous period, reflecting a significant decline[52] - The company recorded a cash inflow of 1,049,000,000.00 CNY from borrowings, which is an increase from 1,008,389,500.00 CNY in the previous period[55] - The company reported a total cash outflow from investing activities of 274,358,827.36 CNY, compared to 158,033,167.73 CNY in the previous period, indicating increased investment expenditures[52] - The net cash flow from investing activities was -¥273,439,387.71, a 73.36% increase in cash outflows due to accelerated project construction payments[19] Assets and Liabilities - Total assets at the end of the reporting period were CNY 10.49 billion, a slight increase of 0.59% from the end of the previous year[8] - Total liabilities increased to CNY 4,847,978,429.78 from CNY 4,662,309,685.96, indicating a rise in financial obligations[39] - The total equity attributable to shareholders rose to CNY 4,571,970,731.78 from CNY 4,539,562,929.93, reflecting a slight increase in shareholder value[35] - The total non-current liabilities amounted to CNY 687,051,459.41, slightly up from CNY 669,568,826.25, indicating stable long-term financial commitments[39] Research and Development - R&D expenses increased by 44.69% to ¥31,944,281.61, reflecting the company's commitment to innovation in response to rapid industry growth and competition[19] - Research and development expenses for Q1 2021 were CNY 31,944,281.61, compared to CNY 22,077,328.15 in the previous period, indicating a focus on innovation[42] Strategic Initiatives - The company plans to enhance its core competitiveness by expanding domestic and international markets and improving service levels[9] - The company will continue to strengthen budget management and control costs and expenses to adapt to the competitive landscape[9]

Financial Performance - The company's operating revenue for 2020 was ¥3,315,021,211.14, a decrease of 4.15% compared to ¥3,458,591,061.22 in 2019[19]. - The net profit attributable to shareholders for 2020 was ¥303,160,989.32, down 28.49% from ¥423,929,691.12 in 2019[19]. - The net cash flow from operating activities decreased by 21.12% to ¥974,142,244.55 in 2020 from ¥1,234,997,113.16 in 2019[19]. - The basic earnings per share for 2020 was ¥0.34, a decline of 29.17% compared to ¥0.48 in 2019[19]. - The total assets at the end of 2020 were ¥10,424,153,481.19, reflecting a slight increase of 0.28% from ¥10,395,432,084.42 at the end of 2019[19]. - The weighted average return on net assets for 2020 was 6.85%, down from 10.11% in 2019, indicating a decrease in profitability[19]. - The company received government subsidies amounting to ¥50,709,765.82 in 2020, compared to ¥59,903,817.06 in 2019[24]. - The total operating revenue for 2020 was approximately ¥3.32 billion, a decrease of 4.15% compared to ¥3.46 billion in 2019[45]. - The net profit attributable to shareholders was RMB 303.16 million, down 28.49% year-on-year, with a net profit of RMB 270.39 million after deducting non-operating gains and losses, a decline of 25.19%[36]. Dividend Policy - The company reported a cash dividend of 1.10 RMB per 10 shares based on a total of 879,267,102 shares, amounting to a total distribution of approximately 96.7 million RMB[5]. - The cash dividend for 2020 represents 31.90% of the net profit attributable to ordinary shareholders, which is RMB 303,160,989.32[99]. - The cash dividend policy has been consistent, with 2019's dividend being RMB 1.50 per 10 shares, totaling RMB 131,890,065.30, representing 31.11% of the net profit[98]. - In 2018, the company distributed RMB 1.40 per 10 shares, totaling RMB 123,097,394.28, which accounted for 30.18% of the net profit[97]. - The company has maintained a cash dividend payout ratio above 80% in line with its mature development stage and absence of major capital expenditure plans[100]. Environmental Commitment - The company is committed to environmental protection and waste management, focusing on hazardous waste treatment and recycling services[14]. - The company processed over 9,000 tons of medical waste during the pandemic, contributing to local epidemic prevention efforts[36]. - The company has established a comprehensive wastewater treatment system, achieving stable reductions in chemical oxygen demand and heavy metals, ensuring compliance with discharge standards[158]. - The company has achieved certification for its quality, environment, and occupational health and safety management systems, covering major operational activities related to hazardous waste management[151]. - The company has implemented a reliable environmental monitoring plan and has passed environmental acceptance for seven units, including Xingye Dongjiang and Weifang Dongjiang[157]. - The company has actively engaged in environmental education and community involvement, organizing various activities for World Environment Day[155]. - The company has developed and introduced new environmental technologies to enhance waste treatment and resource recycling, including advanced wastewater treatment and waste gas collection systems[158]. - The company has committed to continuous improvement in environmental information transparency, with real-time monitoring systems linked to government departments[159]. Operational Efficiency - The company aims to expand its market presence and enhance its service offerings through strategic partnerships and technological advancements[14]. - The company is focused on developing new technologies and products to improve its service efficiency and environmental impact[14]. - The company achieved a reduction in financial expenses by ¥22.22 million year-on-year through measures such as issuing medium-term notes and replacing high-interest debt[40]. - The company launched a "hazardous waste operation management information platform" across 7 subsidiaries, enhancing compliance and operational efficiency[40]. - The company has established 7 provincial and municipal-level technology research and development platforms in the past five years, enhancing its innovation capabilities[31]. Market Expansion - The company plans to enhance pandemic prevention measures, focus on key project construction, and drive technological innovation to explore new profit growth points[20]. - The company is actively pursuing the acquisition of the Xiongfeng Environmental project to expand into the precious metal recovery market[38]. - The company is focusing on expanding its hazardous waste operation qualifications to achieve stable revenue growth[89]. - The company plans to complete relevant state-owned asset review procedures within 12 months and will reasonably influence controlled enterprises to avoid substantial competition with Dongjiang Environmental Protection[106]. - The company has completed a strategic acquisition of a competitor for 200 million, expected to enhance operational efficiency[165]. Shareholder Relations - The company has a dedicated investor relations email for inquiries, indicating its commitment to transparency and communication with stakeholders[15]. - The company has established a shareholder return plan for 2018-2020, which has been approved by the shareholders' meetings[96]. - The company guarantees that all related transactions with listed companies will be fair and conducted according to normal commercial practices[102]. - The company has committed to avoiding any actions that may harm the interests of East Jiang Environmental Protection and its minority shareholders during its control period[104]. - The company will ensure that any business opportunities that may compete with East Jiang Environmental Protection will be transferred to it[104]. Safety and Compliance - The company emphasizes the importance of safety and environmental protection in its operations, continuously improving its safety responsibility system[93]. - The company maintained a stable safety and environmental management situation, with a 62.5% year-on-year decrease in accident rates and no major safety incidents reported[41]. - The company has identified environmental risk points and developed emergency response plans, conducting training and drills as required[181]. - Environmental monitoring plans were established in compliance with national regulations, with monitoring results publicly disclosed[182]. - The company strictly implemented the environmental protection "three simultaneous" system and obtained hazardous waste operation permits from local ecological environment authorities[180]. Research and Development - The company’s R&D investment amounted to ¥145,260,572.84, representing 4.38% of operating revenue, a decrease of 10.16% compared to the previous year[56]. - The company applied for 63 new patents and received 81 new patent authorizations during the reporting period, with two achievements recognized as internationally leading[42]. - The company is investing 50 million in R&D for new technologies aimed at reducing emissions by 30% over the next three years[164]. - The company is committed to technological innovation, establishing national and provincial key laboratories to enhance its R&D capabilities[90]. - The company is actively developing high-margin resource utilization technologies to maintain its industry-leading position[90]. Legal and Regulatory Matters - The company has no significant accounting errors that require retrospective restatement during the reporting period[113]. - The company has no major litigation or arbitration matters during the reporting period, with ongoing cases involving amounts of 119.77 million RMB and 154.37 million RMB respectively[118]. - The company has no penalties or rectification situations during the reporting period[119]. - The company has no bankruptcy reorganization matters during the reporting period[117]. - The company has no changes in accounting policies or estimates compared to the previous year[112].

Financial Performance - Operating revenue for the reporting period was CNY 823,336,475.02, down 7.24% year-on-year, and CNY 2,302,366,568.05 for the year-to-date, down 10.67%[8] - Net profit attributable to shareholders was CNY 68,867,618.71, a decrease of 13.50% year-on-year, and CNY 229,409,573.93 for the year-to-date, down 30.91%[8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 36,877,821.96, down 42.47% year-on-year[8] - Basic earnings per share for the reporting period were CNY 0.08, down 11.11% year-on-year, and CNY 0.26 for the year-to-date, down 31.58%[8] - The net profit excluding non-recurring items decreased by 42.47% to 36,877,821.96 from 64,106,861.86, influenced by rising collection prices and declining disposal prices in resource recovery business[16] - The net profit for the third quarter was CNY 79,181,037.39, down from CNY 93,306,813.00 year-over-year, representing a decline of approximately 15.1%[40] - The profit before tax totaled CNY 101,577,672.86, compared to CNY 111,269,879.80 in the same quarter last year, indicating a decrease of about 8.3%[40] - The total comprehensive income for the third quarter was CNY 79,017,843.41, compared to CNY 93,066,372.81 in the prior year, reflecting a decline of approximately 15.1%[40] - The company reported a total operating cost of CNY 91,475,415.17 for the third quarter, down from CNY 131,916,592.74 in the previous period[42] Assets and Liabilities - Total assets at the end of the reporting period were CNY 10,271,069,793.09, a decrease of 1.20% compared to the end of the previous year[8] - The total number of shareholders at the end of the reporting period was 45,405[12] - Cash and cash equivalents decreased by 371.56% to -504,806,833.67 from 185,889,976.81 due to repayment of bank loans[16] - Other receivables decreased by 44.35% to 115,110,791.95 from 206,849,864.62, primarily due to the termination of a specific project funding[16] - Non-current assets increased by 46.89% to 168,569,523.41 from 114,756,634.20, mainly due to increased prepayments for equipment and project costs[16] - Short-term borrowings increased by 14.66% to 2,000,342,256.66 from 1,744,166,400.00, indicating a rise in financing needs[29] - The total assets decreased slightly by 1.2% to 10,271,069,793.09 from 10,395,432,084.42, reflecting overall financial adjustments[29] - The company’s accounts receivable increased by 6.77% to 901,008,355.39 from 843,722,663.17, indicating growth in sales or credit terms[28] - Total liabilities decreased to CNY 4,718,583,173.53 from CNY 4,707,057,018.49[35] Cash Flow - The net cash flow from operating activities was CNY 227,349,987.26, a decrease of 23.49% compared to the same period last year[8] - The net cash flow from financing activities decreased by 170.54% to -389,813,052.81 from -144,086,057.00, reflecting repayment of maturing bonds and bank loans[16] - The net cash flow from operating activities was 626,425,189.13 CNY, a decrease from 880,570,099.85 CNY in the previous quarter, indicating a decline of approximately 29%[55] - Total cash inflow from operating activities amounted to 2,684,305,080.23 CNY, while cash outflow was 2,057,879,891.10 CNY, resulting in a net inflow of 626,425,189.13 CNY[55] - Cash inflow from financing activities totaled 2,374,307,180.77 CNY, while cash outflow was 2,764,120,233.58 CNY, leading to a net cash outflow of 389,813,052.81 CNY[56] - The ending balance of cash and cash equivalents was 591,936,911.45 CNY, down from 1,214,881,269.28 CNY in the previous quarter, indicating a decrease of approximately 51%[56] Investment and Expenses - The company reported a significant increase in asset disposal gains by 4634.10% to 17,553,490.97 from 370,788.18 due to property sales[16] - The company reported a decrease in investment income to CNY 10,124,271.71 from CNY 12,686,603.12 year-over-year[47] - Research and development expenses increased to CNY 7,189,654.24, up from CNY 5,573,185.12 in the previous year, reflecting a focus on innovation[51] - The company experienced a significant reduction in credit impairment losses, reporting CNY -5,095,397.63 compared to CNY -82,175,186.79 in the previous year[47] Shareholder Information - The top shareholder, HKSCC NOMINEES LIMITED, held 22.76% of the shares, totaling 200,095,962 shares[12] - The total equity attributable to shareholders increased to CNY 4,441,947,862.00 from CNY 4,344,631,763.32[31] Market Outlook - The company aims to enhance market expansion and product development strategies moving forward, although specific figures were not disclosed in the report[47]

Financial Performance - Total revenue for the six months ended June 30, 2020, was RMB 1,479,030,093.03, a decrease of 12.5% compared to RMB 1,689,879,261.29 for the same period in 2019[30]. - Net profit for the six months ended June 30, 2020, was RMB 157,695,636.25, a decline of 45.7% compared to RMB 291,021,261.32 in 2019[31]. - Operating profit for the period was RMB 200,850,068.54, down 40.0% from RMB 335,214,928.87 in the previous year[31]. - Operating revenue for the first half of 2020 was RMB 226,054,891.08, a decrease of 22.9% compared to RMB 293,371,416.88 in the same period of 2019[33]. - Net profit for the first half of 2020 was RMB 41,415,623.03, down 74.7% from RMB 164,022,001.29 in the first half of 2019[34]. - Total comprehensive income for the first half of 2020 was RMB 158,823,849.45, down 45.2% from RMB 289,617,475.45 in the first half of 2019[32]. - The company reported a significant drop in profit attributable to minority interests, which was a loss of RMB 2,846,318.97 compared to a profit of RMB 38,586,119.09 in 2019[31]. - The company reported a net loss attributable to minority shareholders of RMB 2,846,318.97 in the first half of 2020, compared to a profit of RMB 38,586,119.09 in the same period of 2019[32]. - The company reported a net loss of RMB 121,241,824.27 for the period, indicating financial challenges[59]. Revenue Breakdown - The industrial waste resource recovery business generated revenue of RMB 481,624,599.08, down from RMB 565,662,430.25, reflecting a decrease of about 14.9% year-over-year[62]. - The industrial waste treatment and disposal services revenue was RMB 690,562,901.50, compared to RMB 796,882,986.93 in the previous year, indicating a decline of approximately 13.3%[62]. - The municipal waste treatment and disposal services revenue decreased to RMB 61,304,968.85 from RMB 106,423,903.40, a drop of around 42.4%[62]. - The environmental engineering and services segment saw an increase in revenue to RMB 124,257,574.36 from RMB 74,549,762.17, marking a growth of approximately 66.7%[62]. - The electronic waste dismantling segment generated revenue of RMB 66,153,140.34, down from RMB 88,576,844.85, reflecting a decline of approximately 25.3%[62]. Expenses and Costs - Total operating costs for the same period were RMB 1,340,142,470.69, down 6.4% from RMB 1,432,543,142.88 in 2019[30]. - Other income decreased to RMB 56,940,104.37 from RMB 74,200,780.20, reflecting a decline of 23.3%[31]. - Research and development expenses remained stable at RMB 51,787,340.10, slightly up from RMB 51,776,104.93 in 2019[30]. - Financial expenses decreased to approximately RMB 63,396,658, representing about 4.29% of total revenue, down from 4.12% in 2019, due to optimized financing structure[104]. - Management expenses increased slightly to approximately RMB 165,919,001, accounting for about 11.22% of total revenue, up 1.54 percentage points from 9.49% in 2019[103]. - Sales expenses for the period were approximately RMB 48,484,603, representing about 3.28% of total revenue, a slight decrease from 3.29% in 2019 due to reduced business activities impacted by the COVID-19 pandemic[102]. Assets and Liabilities - As of June 30, 2020, total current assets decreased to RMB 2,654,995,417.50 from RMB 3,025,673,151.15, representing a decline of approximately 12.24%[36]. - Total liabilities decreased to RMB 5,100,945,095.98 from RMB 5,360,588,714.91, reflecting a reduction of about 4.84%[39]. - Total equity attributable to the parent company increased to RMB 4,373,175,965.42 from RMB 4,344,631,763.32, marking a growth of approximately 0.66%[40]. - The total assets decreased to RMB 10,224,186,348.62 from RMB 10,395,432,084.42, reflecting a decrease of approximately 1.64%[38]. - The company's total owner's equity decreased to RMB 2,887,470,164.70 from RMB 2,977,944,606.97, reflecting a decline of approximately 3.0%[45]. Cash Flow - Cash inflows from operating activities totaled RMB 1,664,364,999.04, a decrease from RMB 2,028,660,810.19, indicating a decline of approximately 17.9%[46]. - Operating cash flow for the six months ended June 30, 2020, was RMB 399,075,201.87, a decrease of 31.5% compared to RMB 583,438,087.84 for the same period in 2019[47]. - The net cash flow from financing activities was negative at RMB -373,755,920.16, contrasting with a positive cash flow of RMB 38,320,439.13 in the same period of 2019[49]. - The ending cash and cash equivalents balance was RMB 780,088,534.98, down from RMB 1,303,447,097.46 at the end of June 2019, representing a decrease of 40.0%[49]. - Cash inflow from financing activities totaled RMB 2,024,090,572.00, a substantial increase of 79.9% compared to RMB 1,126,108,028.84 in the same period last year[48]. Strategic Focus and Future Plans - The company plans to focus on market expansion and new technology development in the upcoming quarters[30]. - The company is focusing on expanding its environmental engineering services as a strategic growth area, which has shown promising revenue growth[62]. - The company plans to enhance its market presence through strategic initiatives in waste management and resource recovery sectors[62]. - In the second half of 2020, the company will focus on stabilizing and expanding the hazardous waste market, accelerating project construction, enhancing R&D, and controlling costs and expenditures[115]. - The company intends to explore new business opportunities in hazardous waste collection and recycling, including the dismantling and recycling of old vehicles and power battery recovery[119]. Tax Incentives - The company benefits from a reduced corporate income tax rate of 15% due to its status as a high-tech enterprise, along with a 75% deduction for R&D expenses[70]. - The company benefited from various tax incentives, including a 100% VAT refund for biogas electricity generation from waste fermentation for the period from January 2020 to December 2020[81]. - The company has ongoing tax incentives for environmental protection projects, including a 50% reduction in corporate income tax from 2023 to 2025[80]. Corporate Governance and Management - The company has established an audit committee to oversee financial reporting, risk management, and internal audit functions, complying with listing rules[140]. - The company has revised its articles of association in accordance with new regulations and its operational situation[126]. - The company plans to appoint a new auditor, Zhongshen Zhonghuan, after the current auditor's term ends on June 29, 2020[129]. - The company has made amendments to its governance structure to align with updated regulatory requirements[126].

Financial Performance - Dongjiang Environmental reported no cash dividends or stock bonuses for the current period[6]. - The company's operating revenue for the reporting period was ¥1,479,030,093.03, a decrease of 12.48% compared to the same period last year[20]. - The net profit attributable to shareholders was ¥160,541,955.22, down 36.40% year-on-year[20]. - The net cash flow from operating activities was ¥399,075,201.87, reflecting a decline of 31.60% compared to the previous year[20]. - The company maintained a total asset value of ¥10,224,186,348.62, which is a decrease of 1.65% from the end of the previous year[20]. - The company achieved operating revenue of approximately RMB 1.479 billion in the first half of 2020, a year-on-year decrease of 12.48%[36]. - The net profit attributable to shareholders was approximately RMB 161 million, down 36.40% year-on-year, primarily due to the impact of COVID-19 on hazardous waste disposal demand[36]. - The company reported a significant decrease in municipal waste treatment revenue, which fell by 42.40% due to policy adjustments affecting landfill volumes[53]. - Revenue from environmental engineering and services increased by 66.68%, primarily due to the recognition of income from the Zhuhai Fushan First Water Purification Plant project[53]. - The company reported a total of 555.76 million yuan in settled litigation amounts during the reporting period, with an effective judgment amount of approximately 382.76 million yuan[86]. Operational Strategy - The company aims to expand hazardous waste treatment capacity and improve utilization rates, focusing on key regions such as the Guangdong-Hong Kong-Macao Greater Bay Area and Yangtze River Delta[28]. - The company is focusing on expanding its hazardous waste disposal business, particularly in high-risk and high-value waste categories, to cultivate new profit growth points[41]. - The company plans to complete the construction of three key projects, which will add 97,400 tons/year of landfill capacity and 30,000 tons/year of incineration capacity[42]. - The company aims to enhance management quality and operational efficiency through refined management practices and standardized operational procedures[42]. - The company is actively working on environmental technology development and project management, with a focus on pollution control and resource recovery[80]. - The company is committed to planning business directions to avoid substantial competition with its subsidiaries, ensuring compliance with relevant regulations[80]. Research and Development - The company has developed multiple core technologies for waste treatment and resource utilization, positioning itself as a leader in the industry[32]. - The company added 35 new patents during the reporting period, bringing the total to 375 patents, enhancing its technological capabilities[40]. - The company is committed to innovation-driven development and plans to strengthen its research and development capabilities through market-oriented reforms[44]. - Research and development investment decreased by 13.58% to ¥61,918,172.10 from ¥71,650,880.68 year-on-year[47]. Environmental Compliance - The company is classified as a key pollutant discharge unit by environmental protection authorities[112]. - The company has a total of 1 wastewater discharge point with a COD limit of 500 mg/L, and the actual discharge was 0.7756 tons/year[112]. - The company has a total of 2 organized gas discharge points for SO2 and NOx, with limits of 300 mg/m³ and 500 mg/m³ respectively, and actual discharges of 2.85 tons/year for SO2 and 15.25 tons/year for NOx[112]. - The company has implemented emergency response plans for environmental incidents, including training and drills for staff[126]. - The company has established self-monitoring plans for environmental compliance, submitting results to local authorities and making them publicly available[127]. - The company has successfully issued medium-term notes totaling RMB 600 million, with funds received on May 12, 2020[132]. Financial Management - The company received a financial support of RMB 110 million from its controlling shareholder to aid in resuming operations during the pandemic, with an interest rate of 3.3%[99]. - The company signed a financial services agreement with Guangsheng Financial Company, allowing a maximum daily deposit balance of RMB 240 million and a comprehensive credit limit of RMB 1 billion for one year[100]. - The total amount of external guarantees approved during the reporting period was RMB 54.4 million, with an actual guarantee amount of RMB 11.99 million at the end of the reporting period[106]. - The company has no instances of unauthorized external guarantees during the reporting period[108]. - The company reported no entrusted financial management activities during the reporting period[109]. Shareholder Information - The company has a registered capital of CNY 60 million for Baoan Dongjiang and CNY 110 million for Jiangsu Dongjiang[69]. - The largest shareholder, HKSCC NOMINEES LIMITED, holds 22.76% (200,095,912 shares) of the total shares, with no change during the reporting period[143]. - The total number of ordinary shareholders at the end of the reporting period was 40,451[143]. - The company did not conduct any repurchase transactions during the reporting period[145]. - The report indicates that there were no changes in the number of shares held by the top 10 unrestricted shareholders[145]. Market Risks and Challenges - Future plans and strategic developments are subject to market risks and do not constitute binding commitments to investors[5]. - The company is facing risks related to market competition, talent shortages, safety and environmental production, project progress, and environmental policy compliance[72]. - The company has faced challenges in project approval speeds due to stricter environmental policies, impacting project timelines[72]. - The company plans to strengthen project and market expansion, increase investment and financing, and actively explore market opportunities in response to intensified industry competition[71].

T三 DONGJIANG ENVIRONMENTAL COMPANY LIMITED* 東 江 環 保 股 份 有 限 公 司 (於中華人民共和國註冊成立之股份有限公司) (股份代號：00895) 01/20 U FE *僅供識別 目錄 公司資料 2 3 財務概要 4 董事長報告 6 管理層討論與分析 22 管理層簡介 26 董事會工作報告 40 監事會工作報告 41 企業管治報告 53 審計報告 60 合併資產負債表 63 母公司資產負債表 65 合併利潤表 68 母公司利潤表 70 合併現金流量表 73 母公司現金流量表 75 合併股東權益變動表 77 母公司股東權益變動表 79 財務報表附註 公司資料 公司資料 | --- | --- | --- | |--------------------------------------------------|-------------------------------------------------|-------| | 執行董事 | 戰略發展委員會 | | | 譚 侃 （董事長） | 譚 侃 （主席） | | | 姚 曙 （總 裁）（於 2019 年 ...