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 或完整性亦不發表任何聲明，並明確表示，概不對因本公告全部或任何部分內容而產生或因倚 賴該等內容引致之任何損失承擔任何責任。 Tianjin Tianbao Energy Co., Ltd.* 天 津 天 保 能 源 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） （股份代號：1671） 截至2022年12月31日止年度之年度業績公告 財務摘要 • 2022年全年，本公司及其附屬公司取得綜合營業收入為人民幣71,359.4萬 元，與去年同期人民幣61,736.8萬元相比增加15.6%。 • 除稅前溢利由2021年的人民幣902.3萬元增加155.8%至2022年的人民幣 2,308.3萬元。 • 2022年，每股基本和攤薄盈利人民幣4.93分。 • 董事會已議決宣派2022年末期股息每股人民幣0.024元（含稅）（2021：無）。 業務摘要 ...

Financial Performance - For the six months ended June 30, 2022, Tianjin Tianbao Energy Co., Ltd. reported a consolidated revenue of approximately RMB 323.94 million, an increase of about 15.0% compared to RMB 281.75 million for the same period last year[5][10]. - The company recorded a loss attributable to equity shareholders of approximately RMB 9.15 million for the six months ended June 30, 2022, compared to a profit of RMB 1.09 million for the same period last year[5][10]. - Basic and diluted loss per share for the six months ended June 30, 2022, was RMB 5.72, a decline from earnings of RMB 0.68 per share in the same period last year[8][10]. - The company reported a pre-tax loss of RMB 8.42 million for the six months ended June 30, 2022, compared to a pre-tax profit of RMB 4.73 million for the same period last year[10]. - The total comprehensive income for the six months ended June 30, 2022, was RMB (9,152) thousand, reflecting a significant decline from the previous year's RMB 1,094 thousand[134]. Assets and Liabilities - Total assets as of June 30, 2022, amounted to RMB 829.48 million, down from RMB 873.55 million as of December 31, 2021[10]. - Total liabilities decreased to RMB 423.58 million as of June 30, 2022, from RMB 461.33 million as of December 31, 2021[10]. - The net asset value of the company was RMB 405.91 million as of June 30, 2022, compared to RMB 412.22 million as of December 31, 2021[10]. - Cash and cash equivalents decreased by approximately 41.0% to RMB 109.841 million by June 30, 2022, from RMB 186.141 million at the end of 2021[50]. - The debt-to-equity ratio improved to 1.04 by June 30, 2022, down from 1.12 at the end of 2021, due to repayment of short-term loans and supplier debts[51]. Revenue Segments - The company’s electricity sales were approximately 121.36 million kWh, down about 6.7% from approximately 130.02 million kWh in the previous year, mainly due to reduced electricity demand from users affected by the pandemic[24]. - The company’s revenue from the electricity distribution segment increased by approximately 6.8% to about RMB 90.53 million, driven by a 20% fluctuation in coal-fired electricity prices due to high coal prices[28]. - The revenue from the energy production and supply segment rose by approximately 16.3% to about RMB 220.65 million, attributed to the establishment of a coal-steam price linkage mechanism[29]. Operational Efficiency and Future Plans - The company is focusing on improving operational efficiency and exploring new market opportunities to enhance future performance[15]. - Management is committed to ongoing research and development of new technologies to support market expansion and improve product offerings[15]. - The company is actively exploring potential investment projects in solar, wind, geothermal heating, and comprehensive energy management to broaden its development path[21]. - The company is focused on expanding its light asset business and enhancing its energy management capabilities through contract energy management projects[76]. Costs and Expenses - The company’s costs in the energy production and supply segment increased by approximately 24.0% to about RMB 220.27 million, primarily due to significant increases in coal procurement costs[33]. - The gross profit of the energy production and supply segment plummeted by approximately 96.8% to about RMB 0.38 million, mainly due to soaring coal prices impacting steam production costs[37]. - Financial costs increased by approximately 13.9% to RMB 6.941 million in the first half of 2022 from RMB 6.095 million in the same period last year, primarily due to increased interest expenses[40]. - Fuel costs rose by approximately 29.9% to RMB 148.052 million in the first half of 2022 from RMB 113.981 million in the same period last year, driven by significant increases in domestic coal prices[41]. Capital Expenditures and Investments - Capital expenditures in the first half of 2022 amounted to approximately RMB 30.58 million, primarily for the Lingang thermal power gas distributed energy station project[58]. - The company is advancing the Lingang Thermal Power Gas Distributed Energy Station project, procuring five gas boilers with a capacity of 40 tons/hour and two 15MW gas turbines, among other equipment[62]. - The company has initiated the construction of a distributed photovoltaic power generation project in the Tianjin Port Free Trade Zone, with the first phase of 3.9MWp already connected to the grid[77]. Shareholder Information and Governance - Major shareholders include Tianbao Holdings with 68.54% and Tianjin Free Trade Zone Investment Holdings with 72.29% of the shares[92]. - The company did not propose any interim dividend for the six months ended June 30, 2022[99]. - The audit committee consists of three non-executive directors, with a majority being independent[86]. - The independent non-executive directors confirmed that the controlling shareholders complied with the non-competition agreement during the reporting period[95]. Compliance and Risks - The company has not faced significant foreign exchange risks, as its operations are primarily in China, and it does not have any hedging arrangements for currency fluctuations[71]. - The company has not violated any loan covenants as of June 30, 2022, ensuring compliance with financial performance indicators[185]. - The company has not identified any significant uncertainties that could severely impact its ongoing viability[114].

Financial Performance - The company reported a consolidated revenue of RMB 617.368 million for the year ended December 31, 2021, representing an increase of 28.1% compared to RMB 482.072 million in the previous year[5]. - Profit attributable to equity shareholders decreased to RMB 0.431 million, a decline of 97.5% from RMB 17.510 million in the prior year[5]. - Earnings per share (EPS) fell to RMB 0.27, down 97.5% from RMB 10.95 in the previous year[10]. - The company's comprehensive operating revenue for 2021 was RMB 617.368 million, an increase from RMB 482.072 million in the previous year, primarily due to increased revenue from electricity distribution and energy production[40]. - The group's profit before tax dropped by 76.8% from RMB 38.817 million in 2020 to RMB 9.023 million in 2021, primarily due to the significant rise in fuel costs outpacing revenue growth[57]. - The group’s other net income for 2021 was RMB 43.179 million, a significant increase of 1,976.9% compared to RMB 2.079 million in the previous year, primarily due to steam price subsidies received[46]. Assets and Liabilities - Total assets increased to RMB 873.552 million as of December 31, 2021, compared to RMB 810.313 million in 2020[12]. - Total liabilities rose to RMB 461.329 million, up from RMB 391.682 million in the previous year[12]. - The company's net asset value stood at RMB 412.223 million, slightly down from RMB 418.631 million in 2020[12]. - Cash and cash equivalents at the end of 2021 amounted to RMB 186.141 million, a 46.7% increase from RMB 126.916 million at the end of 2020, due to a shortened steam sales settlement period[63]. - The debt-to-equity ratio increased to 1.12 at the end of 2021 from 0.94 at the end of 2020, primarily due to increased borrowings[65]. - As of December 31, 2021, the group had total borrowings of RMB 298.134 million, including short-term borrowings of RMB 188.196 million and long-term borrowings of RMB 109.938 million[68]. Revenue Segments - Revenue from the electricity distribution segment rose 14.2% to RMB 185.267 million in 2021, compared to RMB 162.288 million in 2020, reflecting improved electricity demand[41]. - Revenue from the energy production and supply segment increased by 35.7% to RMB 414.173 million in 2021, up from RMB 305.215 million in 2020, attributed to the inclusion of Lingang Thermal Power in the consolidated financial statements[44]. - The company's total electricity sales reached 27,708.7 million kWh, up 17.6% from 23,560.8 million kWh in the previous year, driven by increased demand as the pandemic situation improved[40]. - In 2021, the company achieved a total sales volume of steam at 1.795 million tons, an increase of 27.8% compared to 1.404 million tons in the previous year[40]. Strategic Initiatives - The company aims to enhance its core competitiveness and value creation through operational management innovation and increased R&D capabilities[14]. - The company plans to leverage the advantages of the Hong Kong capital platform to improve shareholder returns and operational performance[14]. - The company is focused on integrating various clean and renewable energy sources to provide comprehensive energy solutions to meet user needs[13]. - The company has developed into a comprehensive energy service provider in the Tianjin Port Free Trade Zone, supporting national carbon neutrality goals[13]. - The company plans to optimize the equity structure of Lingang Thermal Power by introducing strategic investors to enhance market competitiveness and support the gas distributed energy station project[32]. - The company aims to enhance its profitability and operational efficiency through strengthened incentive mechanisms and management reforms[20]. Operational Developments - The company successfully completed the construction and operation of gas boilers for the Lingang Thermal Power gas distributed energy station[20]. - The company initiated the gas distributed energy station project in 2021 to replace coal with natural gas for steam production, aligning with national carbon reduction policies[31]. - The company launched a smart streetlight energy management project in Tianjin Port Free Trade Zone, expected to save approximately 12 million kWh annually and reduce CO2 emissions by about 11,000 tons[33]. - The company constructed two 160 kW DC charging piles for electric vehicles, laying the groundwork for future expansion in the EV charging market[22]. - The company has implemented comprehensive ultra-low emissions and energy-saving transformations for its coal-fired units, significantly reducing coal consumption and pollution emissions[27]. Market Expansion and Future Outlook - The company has set a future outlook with a revenue target of 30 billion RMB for 2022, representing a projected growth of 30%[115]. - The company is expanding its market presence, with plans to enter two new provinces in China by the end of 2022, aiming for a 20% market share in those regions[115]. - The company is actively developing new energy service markets and conducting research on market-oriented pricing mechanisms in various regions[93]. - The company is exploring potential mergers and acquisitions to enhance its market position and operational capabilities[199]. Governance and Management - The board of directors includes several independent non-executive directors, ensuring corporate governance and oversight[198]. - The management team emphasized a commitment to sustainability, targeting a 25% reduction in carbon emissions by 2025[115]. - The company has appointed new independent directors to strengthen governance and oversight, enhancing the board's expertise in energy sector regulations[130]. - The company has established risk prevention mechanisms to address policy risks, procurement management risks, safety risks, and performance evaluation management risks[80]. Employee and Safety Management - The company has a total of 63 employees as of December 31, 2021, with 82.5% holding a bachelor's degree or higher[100]. - Employee costs, including salaries, benefits, and allowances, amounted to RMB 29.822 million during the reporting period[107]. - The company organized 4 safety training sessions and 28 professional skills training sessions for employees in 2021 to enhance their capabilities[108]. - The company has not experienced any safety responsibility accidents in 2021, maintaining a stable overall safety situation[37]. Environmental Commitment - The company is committed to high-quality, sustainable, and low-carbon development, aligning with national carbon neutrality goals[23]. - The ongoing energy system transformation in China is expected to create significant opportunities for the company, particularly in the smart energy sector[27]. - The company is actively expanding its energy supply and value-added services, focusing on green production and ultra-low emissions[160].

Financial Performance - For the six months ended June 30, 2021, Tianjin Tianbao Energy Co., Ltd. reported a consolidated revenue of approximately RMB 281.75 million, an increase of about 39.7% compared to the same period last year[4]. - The profit attributable to equity shareholders for the same period was approximately RMB 1.09 million, a decrease of about 86.5% year-on-year[4]. - Earnings per share for the six months ended June 30, 2021, was approximately RMB 0.68, down approximately 86.6% from RMB 5.06 in the previous year[7]. - The company's total operating revenue rose approximately 39.7% from about RMB 201.69 million in the first half of 2020 to about RMB 281.75 million in the first half of 2021[21]. - The company's profit before tax decreased by approximately 69.0% to about RMB 47.25 million, primarily due to the significant increase in fuel costs[36]. - The net profit attributable to the parent company fell by approximately 86.5% to about RMB 10.94 million in the first half of 2021[38]. - Gross profit decreased to RMB 20,629 thousand, down 36.4% from RMB 32,344 thousand year-over-year[111]. - Operating profit for the period was RMB 10,546 thousand, a decline of 46.6% from RMB 19,706 thousand in the previous year[111]. - Consolidated profit before tax decreased to RMB 4,725,000 for the six months ended June 30, 2021, down 69.0% from RMB 15,233,000 in the prior year[149]. Assets and Liabilities - The company's total assets as of June 30, 2021, amounted to RMB 797.50 million, a slight decrease from RMB 810.31 million as of December 31, 2020[9]. - The total liabilities of the company were RMB 383.32 million, compared to RMB 391.68 million in the previous year[9]. - As of June 30, 2021, current assets amounted to approximately RMB 185.54 million, an increase of about 3.4% compared to RMB 179.46 million at the end of 2020[41]. - Cash and cash equivalents were approximately RMB 129.67 million, up about 2.2% from RMB 126.92 million at the end of last year[42]. - The debt-to-equity ratio was 0.93 as of June 30, 2021, slightly down from 0.94 at the end of 2020, due to a decrease in liabilities[44]. - Total liabilities amounted to RMB 287,016 thousand, an increase from RMB 276,446 thousand at the end of the previous year[118]. - The total equity attributable to equity shareholders was RMB 307,780 thousand, down from RMB 314,682 thousand as of December 31, 2020[118]. - The total amount of non-current liabilities due within one year was RMB 126,476,000 as of June 30, 2021, compared to RMB 120,707,000 as of December 31, 2020[173]. Revenue Segments - The revenue from the energy production and supply segment increased by approximately 60.7% to about RMB 189.67 million, attributed to the acquisition of the 51% stake in Lingang Thermal Power and the addition of several key customers[23]. - Revenue for the six months ended June 30, 2021, was RMB 281,749 thousand, an increase of 39.6% compared to RMB 201,691 thousand for the same period in 2020[111]. - Revenue from the electricity distribution segment was RMB 84.778 million, up from RMB 75.300 million in 2020, representing an increase of 6.6%[140]. - Revenue from energy production and supply increased to RMB 189.669 million from RMB 118.028 million, marking a significant growth of 60.5%[140]. Cost and Profitability Challenges - The increase in coal procurement costs due to tight supply and rising prices has negatively impacted the company's profitability[15]. - The fuel costs surged approximately 133.3% to about RMB 113.98 million, mainly due to the tight supply and demand situation in the domestic coal market and increased steam sales following the acquisition[35]. - The company's profit before tax decreased by approximately 69.0% to about RMB 47.25 million, primarily due to the significant increase in fuel costs[36]. - Interest expenses rose to RMB 6,095,000 for the six months ended June 30, 2021, compared to RMB 4,705,000 in the same period of 2020, reflecting increased borrowing costs[149]. Strategic Initiatives - The company has initiated measures to mitigate the impact of rising coal prices on profitability, including improving the quality of coal suppliers and enhancing market trend analysis[15]. - The company completed the formulation of its "14th Five-Year" development plan, outlining future development directions[15]. - The company is actively exploring new business models to broaden its development pathways[15]. - The company is actively expanding its business in the renewable energy sector, including distributed energy stations and energy management contracts, to mitigate the impact of high coal prices on profitability[16]. - The company aims to enhance operational efficiency and shareholder returns by deepening state-owned enterprise reforms and actively exploring market-oriented businesses[67]. - The company aims to implement the "14th Five-Year" development plan by actively pursuing market-oriented business in clean energy production and management, targeting project implementation in distributed energy stations and contract energy management in the second half of 2021[68]. Shareholder Information - As of June 30, 2021, the total number of shares was 159,920,907, with a par value of RMB 1.00 per H share, and no new shares were issued for cash after listing on the main board[81]. - Tianbao Holdings holds 109,606,538 H shares, representing 68.54% of the total share capital, while Tianjin Free Trade Zone Investment Holdings holds 115,600,907 H shares, representing 72.29%[84]. - The board did not propose any interim dividend for the six months ended June 30, 2021[91]. - The company approved a dividend of RMB 0.05 per share for the last fiscal year, totaling RMB 7,996,000, compared to RMB 4,798,000 for the previous year[177]. Cash Flow and Investments - Cash generated from operating activities for the six months ended June 30, 2021, was RMB 27,147 thousand, an increase from RMB 24,587 thousand in 2020, representing a rise of approximately 10.4%[126]. - The company reported a net cash outflow from investing activities of RMB 2,501 thousand for the six months ended June 30, 2021, compared to RMB 67,265 thousand in the same period of 2020, showing a significant reduction in cash outflow[126]. - Bank loans received during the financing activities amounted to RMB 76,000 thousand, compared to RMB 40,000 thousand in the previous year, indicating a 90% increase[126]. - Approximately HKD 25.62 million from the IPO proceeds is expected to be used for technology and equipment upgrades, with HKD 21.52 million already utilized[98]. Compliance and Governance - The independent non-executive directors confirmed that the controlling shareholders have fully complied with the non-competition agreement without any breaches during the reporting period[87]. - The company did not engage in any significant legal proceedings or arbitration during the reporting period[89]. - No important contracts were entered into with the controlling shareholder or its subsidiaries during the reporting period[90]. - The management has provided necessary explanations and information to the board for the preparation of the financial statements[103]. - The review of the interim financial report was conducted in accordance with the relevant standards, and no issues were noted that would affect its compliance with international accounting standards[109].

Financial Performance - The company reported a consolidated revenue of RMB 482.072 million for the year ended December 31, 2020, representing a 29.0% increase from RMB 373.634 million in the previous year[4]. - Profit attributable to equity shareholders increased by 69.5% to RMB 17.510 million, compared to RMB 10.329 million in the prior year[4]. - Earnings per share rose by 83.3% to RMB 0.11, up from RMB 0.06 in the previous year[4]. - The company's total operating revenue for 2020 was RMB 482.072 million, up from RMB 373.634 million in 2019, driven by increased energy production and supply revenue[52]. - The energy production and supply segment's revenue rose by 82.0% to RMB 305.215 million in 2020, compared to RMB 167.715 million in 2019, attributed to increased steam sales following the acquisition[54]. - The company's net income before interest, tax, depreciation, and amortization (EBITDA) increased by 90.2% to RMB 112.256 million in 2020, compared to RMB 59.014 million in 2019, reflecting the rise in operating revenue[64]. - Profit before tax rose by 175.8% from RMB 14.08 million in 2019 to RMB 38.82 million in 2020[69]. - Income tax expenses for 2020 were RMB 9.34 million, a 149.3% increase from RMB 3.75 million in the previous year, attributed to higher profits in 2020[70]. - Net profit attributable to the parent company increased by 69.5% from RMB 10.33 million in 2019 to RMB 17.51 million in 2020[71]. Assets and Liabilities - Total assets increased to RMB 810.313 million, up from RMB 540.250 million in 2019, reflecting a growth of 49.9%[12]. - The company's net asset value reached RMB 418.631 million, compared to RMB 301.970 million in the previous year, marking a 38.7% increase[12]. - Total liabilities rose by 64.4% from RMB 238.28 million at the end of 2019 to RMB 391.68 million at the end of 2020, primarily due to increased borrowings from the acquisition[72]. - The debt-to-equity ratio increased to 0.94 at the end of 2020 from 0.79 at the end of 2019, primarily due to the increase in liabilities[76]. - As of December 31, 2020, the group held cash and cash equivalents of RMB 126.92 million, a decrease of 5.1% from RMB 133.68 million at the end of the previous year[73]. Operational Highlights - The company sold 23,560.8 million kWh of electricity and 140.4 million tons of steam in 2020[25]. - The company achieved ultra-low emission standards three months ahead of schedule during the environmental renovation of Lingang Thermal Power[25]. - The company maintained a strong focus on safety management, with no safety responsibility accidents reported in 2020[41]. - The company actively supported local pandemic prevention efforts, ensuring energy supply for enterprises and residents during the crisis[41]. - The heating area supplied by the company increased by 27.3% compared to 2019, despite the pandemic's impact on heating customers[44]. Strategic Initiatives - The company aims to enhance its core competitiveness and value creation through management innovation and operational efficiency improvements[15]. - The company plans to expand its renewable energy projects, focusing on solar, air-source heat pumps, and energy management contracts[26]. - The company has established a diversified industrial structure, focusing on energy supply and value-added services such as distributed photovoltaic power station development[14]. - The company is focused on green production and ultra-low emissions, utilizing advanced coal-fired combined heat and power technology[14]. - The company plans to leverage its advantages on the Hong Kong capital platform to increase shareholder returns and improve operational performance[15]. Employee and Training Initiatives - The company conducted 13 professional skills and safety training sessions during the reporting period to enhance operational efficiency and safety awareness among employees[97]. - A total of 32 emergency drills were carried out under various hypothetical scenarios to ensure employees can effectively protect themselves and the company's assets during unexpected events[97]. - The company emphasizes employee training and development, providing continuous education and training programs to enhance skills and knowledge, ensuring competitiveness in the market[112]. - Employee costs, including salaries, benefits, and allowances, amounted to RMB 24.382 million as of December 31, 2020[111]. Market and Growth Projections - The company provided guidance for 2021, projecting a revenue growth of 25% to 1.875 billion[132]. - New product launches are expected to contribute an additional 200 million in revenue in 2021[132]. - The company is expanding its market presence in Southeast Asia, targeting a 10% market share by 2023[132]. - Research and development expenses increased by 30% to 150 million, focusing on innovative technologies[132]. - The company is exploring potential acquisitions to enhance its product portfolio, with a budget of 500 million allocated for this purpose[132]. Compliance and Governance - The board of directors emphasized the importance of maintaining strong corporate governance and compliance standards[127]. - The company has maintained compliance with all significant regulations and has not faced any major events affecting its operations since the end of the fiscal year[159]. - The company has not issued any convertible securities, options, warrants, or similar rights during the fiscal year ending December 31, 2020[162].

Financial Performance - For the six months ended June 30, 2020, Tianjin Tianbao Energy Co., Ltd. reported a consolidated revenue of RMB 201.69 million, an increase of 7.6% compared to RMB 187.40 million for the same period in 2019[4]. - The profit attributable to shareholders for the same period was RMB 8.09 million, reflecting a growth of 13.4% from RMB 7.14 million year-on-year[4]. - Earnings per share increased to RMB 0.05, up 25% from RMB 0.04 in the previous year[4]. - The company's comprehensive operating revenue rose by 7.6% from RMB 187.4 million in the first half of 2019 to RMB 201.7 million in the first half of 2020[29]. - The net profit for the period was RMB 11,787 thousand, a 65.5% increase compared to RMB 7,137 thousand in 2019[128]. - The reported segment profit (EBITDA) for the six months ended June 30, 2020, was RMB 47,474 thousand, up from RMB 32,758 thousand in 2019, indicating a 44.9% increase[164]. Assets and Liabilities - The company's total assets as of June 30, 2020, amounted to RMB 809.96 million, compared to RMB 540.25 million at the end of 2019[9]. - Total liabilities increased to RMB 404.11 million from RMB 238.28 million year-on-year[9]. - The debt-to-equity ratio increased to 1.3 by June 30, 2020, compared to 0.8 at the end of 2019, due to the rise in liabilities[53]. - Non-current assets as of June 30, 2020, totaled RMB 634,070 thousand, up from RMB 361,818 thousand at the end of 2019, reflecting a growth of 75.0%[131]. - Current liabilities amounted to RMB 243,517 thousand, compared to RMB 138,000 thousand at the end of 2019, indicating a significant increase[131]. Equity and Share Capital - The company reported a total equity of RMB 405.84 million, an increase from RMB 301.97 million year-on-year[9]. - As of June 30, 2020, the total equity attributable to equity shareholders was RMB 305,262,000, an increase from RMB 301,970,000 at the beginning of the year[139]. - The total share capital as of June 30, 2020, was 159,920,907 shares, consisting of 115,600,907 domestic shares and 44,320,000 H shares[90]. - Tianbao Holdings held 94.81% of the domestic shares, equating to 68.54% of the total share capital[93]. Acquisition and Investments - The company completed the acquisition of a 51% stake in Lingang Thermal Power, enhancing its profitability and asset quality[15]. - The company acquired a subsidiary, which had a cash outflow of RMB 58,531,000 during the investment activities[142]. - The total cash consideration for the acquisition was RMB 100.88 million, with a net cash outflow of RMB 58,531,000 after accounting for cash and cash equivalents acquired[18][193]. - The identifiable net assets acquired amounted to RMB 196,750,000, leading to goodwill of RMB 537,000 attributed to synergies with existing operations[19][194]. Revenue Segmentation - The revenue from the electricity distribution segment decreased by 14.2% from RMB 87.75 million in the first half of 2019 to RMB 75.30 million in the first half of 2020, primarily due to government policies aimed at reducing electricity costs for businesses during the pandemic[30]. - The revenue from the energy production and supply segment increased by 36.0% from RMB 86.78 million in the first half of 2019 to RMB 118.03 million in the first half of 2020, attributed to the acquisition of Lingang Thermal Power and increased sales of steam[33]. - The revenue from other segments decreased by 35.1% from RMB 12.88 million in the first half of 2019 to RMB 8.36 million in the first half of 2020, due to reduced sales activities by Tianjin Tianbao New Energy[34]. Operational Efficiency and Strategy - The company adjusted its organizational structure, consolidating from 12 functional departments to 10, to improve operational efficiency and governance[24]. - The company continues to explore market expansion opportunities and new product development strategies to enhance future growth[4]. - The company is formulating its "14th Five-Year" development strategy and will seek acquisition opportunities based on industry analysis and market conditions[79]. Financial Costs and Income - The company incurred financial costs of RMB 4.71 million in the first half of 2020, a 34.8% increase from RMB 3.49 million in the same period last year, mainly due to new long-term and short-term borrowings following the acquisition of Lingang Thermal Power[44]. - The income tax expense for the six months ended June 30, 2020, was RMB 3,446 thousand, up from RMB 2,382 thousand in 2019, reflecting a 44.7% increase[170]. - The company reported a financial cost of RMB 4,705 thousand for the six months ended June 30, 2020, compared to RMB 3,491 thousand in 2019, representing a 34.7% increase[167]. Cash Flow and Expenditures - The net cash generated from operating activities for the six months ended June 30, 2020, was RMB 24,587,000, compared to RMB 8,955,000 for the same period in 2019, representing a significant increase of 174%[142]. - For the first half of 2020, the group's capital expenditure was RMB 9.142 million, primarily for denitrification quality improvement (RMB 6.78 million) and transformer procurement (RMB 1.236 million)[62]. - The remaining IPO proceeds of HKD 6.0 million have not been used and are held in a bank account as short-term deposits[113]. Compliance and Governance - The audit committee reviewed the group's financial reporting process and confirmed compliance with the non-competition agreement by the controlling shareholders[97]. - The interim financial report has been reviewed and found to comply with the International Accounting Standard No. 34 requirements[124]. - The company revised its articles of association on June 15, 2020, to improve decision-making efficiency in light of recent changes in the Company Law of the People's Republic of China[115]. Market Conditions and Challenges - The company implemented a unified electricity pricing policy at 95% of the original tariff level from February 1 to December 31, 2020, to support businesses during the pandemic[18]. - The company is actively pursuing its electricity sales business in Tianjin, which commenced in May 2020, but the conditions for establishing an independent electricity sales company are not yet mature due to increased costs and reduced profit margins[112]. - The company has not reported any COVID-19 cases, maintaining a focus on production safety and pandemic prevention measures[23].

Financial Performance - The company reported a consolidated revenue of RMB 373.634 million for the year ended December 31, 2019, a decrease of 13.3% compared to RMB 431.113 million in the previous year[4]. - Profit attributable to equity shareholders was RMB 10.329 million, down 60.8% from RMB 26.347 million in the prior year[4]. - Earnings per share decreased to RMB 0.06, a decline of 66.7% from RMB 0.18 in the previous year[4]. - In 2019, the company achieved a total operating revenue of RMB 373.634 million and a total profit of RMB 14.076 million[21]. - The company's net profit for the year was RMB 10.329 million, a decrease of 60.8% from RMB 26.347 million in 2018[55]. - The company's comprehensive operating revenue for 2019 was RMB 373.634 million, down from RMB 431.113 million in 2018, primarily due to a decline in electricity distribution and other segment revenues[36]. - The revenue from the electricity distribution segment decreased by 12.8% to RMB 176.857 million in 2019 from RMB 202.817 million in 2018, attributed to a drop in user business volume and three price reductions during the year[39]. - The revenue from the energy production and supply segment fell by 9.8% to RMB 167.715 million in 2019 from RMB 185.946 million in 2018, due to decreased steam demand[40]. Assets and Liabilities - The total assets of the company amounted to RMB 540.250 million, a slight decrease from RMB 551.191 million in 2018[10]. - Total liabilities were RMB 238.280 million, down from RMB 246.756 million in the previous year[10]. - The company's net asset value stood at RMB 301.970 million, compared to RMB 304.435 million in 2018[10]. - Total assets decreased by 2.0% from RMB 551.19 million at the end of 2018 to RMB 540.25 million at the end of 2019, primarily due to accumulated depreciation of property, plant, and equipment[58]. - Total liabilities decreased by 3.4% from RMB 246.76 million at the end of 2018 to RMB 238.28 million at the end of 2019, mainly due to a reduction in trade and other payables[58]. - Cash and cash equivalents decreased by 4.8% from RMB 140.40 million at the end of 2018 to RMB 133.68 million at the end of 2019, attributed to a decrease in revenue[59]. - The debt-to-equity ratio improved from 0.81 at the end of 2018 to 0.79 at the end of 2019, due to a decrease in trade and other payables[60]. Operational Efficiency and Strategy - The company aims to enhance its core competitiveness and value creation through innovation in management and operational efficiency[14]. - The company plans to enhance its operational efficiency and risk control capabilities through improved systems and processes[21]. - The company is actively seeking external growth opportunities through industry mergers and acquisitions to enhance competitive potential[30]. - The company has established a production management information system to standardize and digitize production management processes[34]. - The company aims to optimize its organizational structure to enhance responsibilities and improve collaboration, adapting to future development needs[85]. - The company will enhance internal controls and risk management mechanisms to improve operational efficiency and risk prevention capabilities[92]. Environmental and Social Responsibility - The company is focused on green production and ultra-low emissions, utilizing combined heat and power technology to achieve high thermal efficiency[14]. - The company has a commitment to environmental protection and compliance in its operations, as indicated by the responsibilities of its management team[127]. - The company strictly adheres to labor laws and contributes to social insurance and housing provident funds for employees, enhancing their sense of belonging and happiness[101]. Training and Development - The company organized 15 safety production training sessions and completed 18 professional skills training sessions covering various topics in 2019[100]. - The group has conducted 17 professional skills and safety training sessions during the reporting period to enhance operational efficiency and safety awareness among staff[79]. Shareholder Returns and Dividends - The board has approved a dividend policy to distribute 30% to 50% of annual profits to shareholders, subject to financial conditions and legal regulations[164]. - The proposed final dividend for the year ended December 31, 2019, is RMB 0.03 per share, totaling approximately RMB 4.8 million[165]. - The company will not withhold any amount for personal income tax on dividends distributed to H-share individual shareholders[168]. - The final dividend is subject to approval at the annual general meeting scheduled for June 15, 2020[165]. Market and Growth Prospects - The company has provided a positive outlook for the next fiscal year, projecting a revenue growth of 10% to 12%[115]. - New product launches are expected to contribute an additional 3 billion RMB in revenue, with a focus on innovative energy solutions[115]. - The company is expanding its market presence, targeting new regions in Southeast Asia, aiming for a 25% market share in these areas by 2025[115]. - Ongoing research and development efforts are focused on enhancing energy efficiency technologies, with an investment of 500 million RMB allocated for the next two years[115]. - The company is considering strategic acquisitions to bolster its market position, with potential targets identified in the renewable energy sector[115]. Governance and Compliance - The company has received annual confirmations of independence from all independent non-executive directors as per listing rules[187]. - The board of directors includes a mix of executive, non-executive, and independent non-executive members, ensuring diverse governance[188]. - The company has maintained compliance with all relevant regulations and has not faced any major compliance issues during the reporting period[145]. Capital and Investments - Capital expenditures for 2019 totaled RMB 22.63 million, including RMB 2.39 million for machinery and equipment, RMB 6.98 million for dust removal system upgrades, and RMB 9.75 million for a distributed photovoltaic power generation project[61]. - As of December 31, 2019, the company had utilized HKD 19.4 million of the IPO proceeds for technology and equipment upgrades, including HKD 5.3 million for substation upgrades and HKD 14.1 million for dust removal system upgrades[151].

Financial Performance - The company reported a consolidated revenue of RMB 187.4 million for the six months ended June 30, 2019, a decrease of 13.13% compared to RMB 215.7 million for the same period in 2018[4]. - The profit attributable to shareholders for the same period was RMB 7.1 million, down 54.65% from RMB 15.7 million in the previous year[4]. - Earnings per share decreased to RMB 0.04, a decline of 66.67% from RMB 0.12 in the prior year[4]. - The comprehensive operating revenue for the first half of 2019 was RMB 187,399,000, a decrease of 13.13% from RMB 215,715,000 in the same period of 2018[26]. - Gross profit for the same period was RMB 20,071,000, down 32.5% from RMB 29,735,000 year-on-year[112]. - Operating profit decreased to RMB 12,713,000, a decline of 50.5% compared to RMB 25,704,000 in the previous year[112]. - The company's pre-tax profit fell by 54.66% to RMB 9,519,000 from RMB 20,996,000 in the first half of 2018[42]. - The net profit for the period decreased by 54.65% to RMB 7,137,000 from RMB 15,737,000 year-on-year[44]. - The total segment profit (adjusted EBITDA) for the six months ended June 30, 2019, was RMB 32,758 thousand, down from RMB 41,588 thousand in 2018, reflecting a decline of around 21%[162]. - Profit before tax was RMB 9,519,000, down 54.5% from RMB 20,996,000 in the prior year[112]. Revenue Breakdown - The revenue from the electricity distribution segment fell to RMB 87,748,000, down 12.70% from RMB 100,518,000 in the previous year, attributed to a reduction in sales prices and business volume[27]. - The revenue from the energy production and supply segment decreased to RMB 86,775,000, a decline of 9.68% from RMB 96,072,000, due to reduced steam demand[28]. - The company reported electricity sales of 117,005,000 kWh, down 9.10% from 128,722,000 kWh year-on-year, primarily due to a decline in business volume from local users[25]. - The total revenue from electricity sales was RMB 87,748 thousand for 2019, down from RMB 100,518 thousand in 2018, indicating a decline of approximately 13%[177]. - The revenue from energy production and supply was RMB 86,775 thousand for 2019, down from RMB 96,072 thousand in 2018, marking a decrease of approximately 10%[177]. Assets and Liabilities - The total assets of the company as of June 30, 2019, were RMB 532.0 million, down from RMB 551.2 million at the end of 2018[10]. - The total liabilities decreased to RMB 233.2 million from RMB 246.8 million at the end of 2018[10]. - Non-current assets totaled RMB 358.5 million, a slight decrease from RMB 369.8 million at the end of 2018[10]. - Total assets decreased by 3.48% from RMB 55,119.1 million at the end of 2018 to RMB 53,200.1 million by June 30, 2019[45]. - Total liabilities decreased by 5.48% from RMB 24,675.6 million at the end of 2018 to RMB 23,322.3 million by June 30, 2019[45]. - The total equity as of June 30, 2019, was RMB 298,778 thousand, down from RMB 304,435 thousand at the end of 2018, representing a decrease of 1.9%[123]. Cash Flow and Financial Stability - The net cash generated from operating activities was RMB 8,955 thousand, a significant decline of 78.6% compared to RMB 41,969 thousand in the same period of 2018[131]. - The company's cash and cash equivalents were RMB 140,957 thousand, slightly up from RMB 140,400 thousand at the end of 2018[121]. - The cash outflow from financing activities was RMB (349) thousand for the six months ended June 30, 2019, compared to RMB 52,519 thousand in the previous year, indicating a significant change in cash flow classification[171]. - The company’s total revenue from operations was significantly impacted, with cash received from operating activities dropping to RMB 14,951 thousand from RMB 49,253 thousand in the previous year[131]. Strategic Initiatives - The company is actively promoting photovoltaic power generation projects and preparing for the main construction of these projects[18]. - The company is engaging in discussions with potential acquisition targets in the industry to enhance project opportunities[18]. - The company is actively seeking external growth opportunities through mergers and acquisitions within the energy and power sectors[24]. - The company plans to officially commence construction of its photovoltaic power generation project in Q3 2019, with operations expected to start on January 1, 2020[72]. - The company aims to optimize its equity structure and enhance governance in the second half of 2019[70]. Compliance and Reporting - The interim financial report is prepared in accordance with the applicable disclosure provisions of the Hong Kong Stock Exchange and complies with International Accounting Standards (IAS) 34 for interim financial reporting[134]. - The report includes unaudited consolidated financial statements and selected explanatory notes, which are significant for understanding the financial position and performance of Tianjin Tianbao Energy Co., Ltd. since the last annual report[135]. - The audit committee reviewed the interim results announcement and confirmed compliance with financial reporting standards[81]. - The report indicates that the independent review by KPMG did not express any reservations regarding the financial statements[135]. Accounting Standards - The company has adopted the new International Financial Reporting Standard (IFRS) 16 "Leases" effective from January 1, 2019, which introduces a single accounting model for lessees[138]. - The initial application of IFRS 16 has resulted in the capitalization of leases previously classified as operating leases under IAS 17, excluding short-term leases and low-value asset leases[141]. - The company has chosen to apply a modified retrospective approach for the first-time application of IFRS 16, adjusting the opening balance of equity without restating comparative figures[139]. - The changes in accounting policies have not had a significant impact on the company's financial performance or position for the current or prior periods, except for IFRS 16[137]. - The company has confirmed that the initial measurement of lease liabilities is based on the present value of lease payments due over the lease term[142].

Financial Performance - The company reported a consolidated revenue of RMB 431.11 million for the year ended December 31, 2018, a decrease of 4.72% compared to RMB 452.47 million in the previous year[4]. - Profit attributable to equity shareholders was RMB 26.35 million, down 12.97% from RMB 30.27 million in the prior year[4]. - Earnings per share decreased by 30.77% to RMB 0.18 from RMB 0.26 in the previous year[4]. - The company's comprehensive operating revenue for 2018 was RMB 431,113,100, a slight decrease from RMB 452,467,400 in 2017, mainly due to a decline in revenue from electricity distribution and other segments[39]. - The company's pre-tax profit decreased by 12.92% to RMB 35,151,900 in 2018, down from RMB 40,368,300 in 2017[56]. - Revenue from the electricity distribution segment decreased by 2.4% to RMB 202,816,600 in 2018, down from RMB 207,812,400 in 2017, due to the cessation of basic electricity charges for certain users starting July 1, 2018[40]. - The energy production and supply segment's revenue increased by 0.26% to RMB 185,947,100 in 2018, up from RMB 185,460,900 in 2017, attributed to an increase in heating and cooling area[41]. - Other segment revenue decreased by 28.46% to RMB 42,349,500 in 2018, down from RMB 59,194,100 in 2017, due to reduced sales volume of electrical switches[42]. Assets and Liabilities - Total assets amounted to RMB 551.19 million, slightly down from RMB 555.20 million in 2017[13]. - The company’s total liabilities decreased significantly to RMB 246.76 million from RMB 310.40 million in the previous year[13]. - Total assets decreased by 0.72% to RMB 551,190,200 at the end of 2018, down from RMB 555,203,000 at the end of 2017[59]. - Total liabilities decreased by 20.50% to RMB 246,754,800 at the end of 2018, down from RMB 310,398,400 at the end of 2017, primarily due to repayment of shareholder capital reduction[59]. - As of the end of 2018, current assets amounted to RMB 181.44 million, a decrease of 2.73% from RMB 186.53 million at the end of 2017[60]. - Cash and cash equivalents increased by 20.96% to RMB 140.40 million from RMB 116.07 million at the end of 2017, primarily due to operating activities and new share issuance[61]. - The debt-to-equity ratio decreased to 0.81 at the end of 2018 from 1.27 at the end of 2017, attributed to debt repayment and increased equity from new share issuance[63]. Business Strategy and Development - The company aims to enhance its core competitiveness and value creation through innovation in management and operational efficiency[16]. - The company plans to leverage its listing on the Hong Kong Stock Exchange to improve shareholder returns and operational performance[16]. - The company plans to expand its business by integrating regional energy operations, engaging in electricity market transactions, and developing photovoltaic projects[25]. - The company aims to enhance its core competitiveness and explore new profit growth points by focusing on new business development in 2019[22]. - The company is exploring new business models and advancing photovoltaic power generation projects in response to national green economy initiatives[33]. - The company is committed to maintaining emissions standards and improving its environmental performance through ongoing projects[25]. - The company is actively seeking partnerships with other energy companies through investments and acquisitions to enhance its market presence[86]. - The company plans to accelerate the expansion of new businesses, focusing on cooperation with major electricity customers in Tianjin and entering the electricity sales market[86]. Market and Economic Context - In 2018, the national GDP reached RMB 90,030.9 billion, with a year-on-year growth of 6.6%[28]. - The total electricity consumption in China reached 6,844.9 billion kWh in 2018, marking a year-on-year increase of 8.5%[29]. - The company has become a key player in the national pilot projects for incremental distribution business reform[16]. Employee and Management - As of December 31, 2018, the company had a total of 70 employees, with 75.71% holding a bachelor's degree or higher[96]. - The employee age distribution shows that 45.71% are aged between 36-45 years, while 25.71% are under 35 years[96]. - The company has implemented a comprehensive employee training program to enhance overall employee quality and professional skills[100]. - The company is committed to providing social insurance and housing provident fund contributions, along with corporate annuities to improve employee satisfaction[101]. - The company emphasizes performance evaluation, conducting quarterly assessments based on established performance indicators[98]. Capital and Investments - The company completed its IPO on April 27, 2018, raising a net amount of approximately HKD 41.18 million after deducting underwriting commissions and other estimated expenses[64]. - The net proceeds from the IPO amounted to approximately HKD 41.18 million, with HKD 25.62 million allocated for technology and equipment upgrades[147]. - The company plans to use the remaining HKD 15.23 million for further upgrades in 2019, in line with its business development plan[147]. - The company plans to invest 300 million RMB in new product development and technology research in the upcoming fiscal year[115]. Sustainability and Environmental Initiatives - The company is focused on green production and ultra-low emissions, utilizing advanced coal-fired cogeneration technology[16]. - The company has set a target to achieve a 25% reduction in carbon emissions by 2025 as part of its sustainability strategy[115]. - The company continues to expand its diversified energy supply and value-added services, promoting a "green + environmental protection" concept[139]. Shareholder and Governance - The board has approved a dividend policy to distribute 30% to 50% of annual profits to shareholders, contingent on financial performance and other factors[161]. - A proposed final dividend of RMB 0.08 per share for the year ending December 31, 2018, totaling approximately RMB 12.79 million, is to be presented for approval at the 2019 annual general meeting[162]. - The company has maintained compliance with all significant regulations affecting its operations during the reporting period[142]. - The company’s board of directors includes independent non-executive directors who have confirmed their independence according to listing rules[178].