Financial Performance - In 2024, the company achieved a revenue of RMB 3,119.62 million, a year-on-year increase of 0.63%[13] - Gross profit for 2024 was RMB 596.16 million, representing a significant year-on-year increase of 40.00%[6] - The company reported a pre-tax profit of RMB 140.51 million, up from RMB 137.09 million in 2023, indicating a stable performance[6] - The sales revenue from machinery equipment decreased by RMB 407.61 million, a decline of 28.32%, primarily due to unfulfilled orders[14] - Revenue from parts sales increased by RMB 69.16 million, a growth of 8.35%, reflecting improved market penetration[14] - Maintenance revenue for railway machinery surged by RMB 322.45 million, marking a 57.17% increase, achieving a historical high[16] - Revenue from railway line maintenance services rose by RMB 19.06 million, a growth of 12.52%, expanding service coverage[16] - The group's total gross profit for the year ended December 31, 2024, was RMB 596.16 million, an increase of RMB 170.34 million or 40.00% compared to RMB 425.82 million in the same period last year[18] - The gross profit margin for the year ended December 31, 2024, was 19.11%, up 5.37 percentage points from 13.74% in the previous year[18] - Other income for the year ended December 31, 2024, was RMB 43.89 million, a significant increase of RMB 36.00 million or 456.27% from RMB 7.89 million in the previous year[19] - The group's pre-tax profit for the year ended December 31, 2024, was RMB 140.51 million, an increase of RMB 3.42 million or 2.49% compared to RMB 137.09 million in the same period last year[27] - The profit attributable to the owners of the company for the year ended December 31, 2024, was RMB 128.21 million, a decrease of RMB 16.83 million or 11.60% from RMB 145.04 million in the previous year[31] Assets and Liabilities - The total assets of the company reached RMB 9,150.88 million, an increase from RMB 9,058.90 million in 2023[7] - The total liabilities decreased to RMB 3,076.60 million from RMB 3,182.55 million, indicating improved financial stability[7] - The group had no interest-bearing debt as of December 31, 2024[41] - The group's leverage ratio as of December 31, 2023, was 18.30%, projected to increase to 19.07% by December 31, 2024[43] - As of December 31, 2024, the group reported no significant contingent liabilities[44] Research and Development - The company launched 16 new products and has 6 products under development, enhancing its technological innovation capabilities[11] - The group's research and development expenses for the year ended December 31, 2024, were RMB 237.95 million, a decrease of RMB 121.00 million or 33.71% from RMB 358.95 million in the previous year[22] - The company is investing $200 million in R&D for new technologies aimed at enhancing operational efficiency and product offerings[56] Market and Growth Outlook - Future outlook indicates a projected revenue growth of 15% for the next fiscal year, driven by new product launches and market expansion strategies[56] - Market expansion efforts include entering three new international markets, expected to contribute an additional $50 million in revenue by the end of 2024[56] - The company has completed a strategic acquisition of a competitor for $150 million, enhancing its market position and product portfolio[56] - A new product line is set to launch in Q2 2024, anticipated to generate $100 million in sales within the first year[56] Corporate Governance - The company has established a management system with clear responsibilities among the shareholders' meeting, board of directors, supervisory board, and management, ensuring effective checks and balances[64] - The company has adhered to the corporate governance code and continuously improved its governance policies to protect and enhance shareholder interests[63] - The board of directors consists of nine members, including one chairman and three independent directors[73] - The board has established mechanisms to ensure the independence of directors, with one-third of the board being independent non-executive directors[78] - The company has confirmed that all new directors understand their responsibilities as directors of a listed issuer[76] - The board will conduct an annual review of its independence assessment mechanism, with satisfactory results reported for the year ending December 31, 2024[78] - The company emphasizes the importance of board independence for effective corporate governance and decision-making[78] Risk Management - The Audit and Risk Management Committee is responsible for overseeing internal controls, risk management, and financial data disclosure[96] - The Audit and Risk Management Committee conducted a review of the risk management and internal control systems, finding them effective and sufficient[98] - The company has established a comprehensive risk management and internal control system, ensuring effective prevention of significant risk events[137] - The board of directors conducts an annual review of the effectiveness of the risk management and internal control systems[138] - The company has implemented a mechanism for identifying and managing insider information to protect investors' rights[139] Employee and Director Information - The company has provided liability insurance for its directors during the reporting period[191] - The company emphasizes employee training and development, with annual training plans based on employee needs[193] - As of December 31, 2024, the company's total employee count is 1,912, with an annual total compensation (including salaries and benefits) of approximately RMB 450.14 million[193] - The board currently consists of nine members, including one female director, aligning with the company's diversity policy[127] - As of December 31, 2024, the percentage of female employees, including senior management, is approximately 20.18%[127] Shareholder Information - The company expects to distribute approximately 20% to 40% of its distributable profits as cash dividends annually[148] - The net profit attributable to the parent company's shareholders for the year ending December 31, 2024, is projected to be RMB 128,205,804.33[148] - After allocating 10% of the net profit for statutory surplus reserves, the distributable profit for shareholders is RMB 787,189,578.06[150] - A cash dividend of RMB 0.028 per share (tax included) will be distributed, totaling RMB 42,556,752.00[150] Supplier and Customer Information - Sales to China Railway Group Limited and its subsidiaries accounted for approximately 64.12% of the total operating revenue for the year, while revenue from the top five customers represented about 26.83% of total revenue[176] - The company's largest supplier accounts for approximately 11.86% of total purchases, with the top five suppliers accounting for about 27.55% of costs[162] Compliance and Legal Matters - The company has made several amendments to its articles of association in response to regulatory requirements and operational changes over the years[136] - The company has not established any long-term incentive plans for directors as of December 31, 2024[194] - There are no significant transactions or contracts involving directors or supervisors that could affect the company's business during the reporting period[188]

Financial Performance - For the fiscal year ending December 31, 2024, the company reported a revenue of RMB 3,119.62 million, representing a year-on-year increase of 0.63%[12]. - Gross profit for the same period was RMB 596.16 million, showing a significant year-on-year increase of 40.00%[10]. - The company achieved a pre-tax profit of RMB 140.51 million, compared to RMB 137.09 million in the previous year[5]. - The group's gross profit for the year ended December 31, 2024, was RMB 596.16 million, an increase of RMB 170.34 million or 40.00% from RMB 425.82 million year-on-year, with a gross profit margin of 19.11%, up 5.37 percentage points from 13.74%[17]. - The group's net cash flow from operating activities for the year ended December 31, 2024, was RMB 283.18 million, attributed to enhanced collection of receivables[34]. - The group reported a profit attributable to owners of the company of RMB 128.21 million for the year ended December 31, 2024, a decrease of RMB 16.83 million or 11.60% from RMB 145.04 million in the previous year[30]. - The company's net profit attributable to shareholders for the year ending December 31, 2024, is RMB 128,205,804.33[147]. - The company plans to distribute cash dividends of RMB 0.028 per share, totaling RMB 42,556,752.00, based on a total share capital of 1,519,884,000 shares[149]. - After allocating 10% of the net profit for statutory surplus reserves, the distributable profit for shareholders is RMB 787,189,578.06[149]. - The company expects to distribute approximately 20% to 40% of its distributable profits as cash dividends annually[147]. Market and Product Development - The company launched 16 new products and has 6 products currently under development, marking a significant enhancement in technological innovation capabilities[10]. - Revenue from parts sales increased by RMB 69.16 million, a growth of 8.35%, reflecting improved market penetration[13]. - Revenue from railway maintenance machinery repair surged by RMB 322.45 million, a remarkable increase of 57.17%[15]. - The company successfully entered new international markets, including Uzbekistan and Algeria, enhancing its global footprint[10]. - The company is focused on expanding its market presence and enhancing its product offerings through strategic investments and leadership appointments[57]. - The company aims to build an innovative and service-oriented business model, focusing on specialization, digitization, and globalization to enhance market development and rapid response capabilities[165]. Cost Management and Efficiency - For the year ended December 31, 2024, the group's sales cost was RMB 2,523.46 million, a decrease of RMB 150.69 million or 5.64% compared to RMB 2,674.15 million in the same period last year[16]. - Research and development expenses decreased to RMB 237.95 million, down RMB 121.00 million or 33.71% from RMB 358.95 million in the previous year, due to reduced material costs and completion of certain projects[21]. - The company's financial income increased to RMB 31.09 million, up RMB 16.85 million or 118.33% from RMB 14.24 million in the previous year, due to foreign exchange gains and cash discounts[22]. Governance and Management - The company has established a strong governance framework with experienced independent directors to ensure accountability and strategic direction[55]. - The company has a robust pipeline of new products and technologies under development, aimed at improving operational efficiency and market competitiveness[58]. - The company has established a management system with clear responsibilities among the shareholders' meeting, board of directors, supervisory committee, and management, ensuring effective checks and balances[63]. - The board of directors consists of nine members, including one chairman and three independent directors[72]. - The company appointed Mr. Zhao Hui as the chairman of the board on July 6, 2023, following the resignation of Mr. Liu Feixiang due to age reasons[73]. - The company has a mission to weave a railway network across the land, emphasizing its commitment to safety and quality in machinery production[65]. - The company has adhered to the corporate governance code and continuously improved its governance policies to protect and enhance shareholder interests[62]. Risk Management - The company has established a comprehensive risk management and internal control system, ensuring effective prevention of significant risk events[136]. - The board of directors conducts an annual review of the effectiveness of the risk management and internal control systems[137]. - The company is closely monitoring legislative developments that may impact its operations and compliance with relevant laws and regulations[157]. - The company is exposed to various market risks, including foreign exchange risk and inflation risk in daily operations[44]. - The company aims to mitigate policy risks by enhancing macroeconomic analysis and actively expanding its market presence[46]. Employee and Compensation - As of December 31, 2024, the company's total employee count is 1,912, with an annual total compensation (including salaries and benefits) of approximately RMB 450.14 million[192]. - The total compensation for senior management in 2024 includes one individual earning over RMB 1 million, four earning between RMB 500,000 and RMB 1 million, and two earning below RMB 500,000, totaling seven individuals[129]. - The company has provided appropriate training for directors, including updates on the latest changes in domestic laws and regulations[82]. Shareholder Information - The company has confirmed that all directors and supervisors have complied with the standards for securities trading during the reporting period[69]. - Shareholders holding more than 10% of the company's shares can request the board to convene an extraordinary general meeting[139]. - Shareholders holding over 3% of the shares can propose temporary motions at the general meeting[141]. - The proposed dividend is subject to approval at the 2025 annual general meeting of shareholders, with an expected payment date around August 22, 2025[166].

Financial Performance - In the first half of 2024, the company's total revenue reached RMB 1,722.45 million, an increase of 7.43% compared to the same period last year[6]. - The profit attributable to the owners of the company was RMB 61.35 million, representing a growth of 37.59% year-on-year[5]. - Sales revenue from machinery equipment was RMB 744.26 million, a decrease of 19.90% year-on-year due to some products being in the production phase and not yet delivered[7]. - Parts sales increased by RMB 158.06 million, up 43.06% year-on-year, indicating strong growth in the domestic railway market[7]. - The maintenance business for road machinery saw a significant increase in revenue, rising by RMB 142.46 million, or 72.08% year-on-year[7]. - Gross profit for the first half of 2024 was RMB 322.59 million, up 13.81% from RMB 283.44 million in the previous year, with a gross margin of 18.73%[12]. - Other income surged to RMB 25.09 million, a remarkable increase of 546.69% compared to RMB 3.88 million last year, primarily due to tax incentives[13]. - For the six months ended June 30, 2024, the group's profit before tax was RMB 61.18 million, an increase of RMB 12.34 million or 25.27% compared to RMB 48.84 million in the same period last year[20]. - Basic earnings per share increased from RMB 0.03 to RMB 0.04 for the six months ended June 30, 2024[25]. - Net profit for the first half of 2024 was RMB 61,372,454.16, an increase of 36.14% from RMB 45,065,994.40 in the first half of 2023[75]. Cash Flow and Liquidity - As of June 30, 2024, the group's cash and cash equivalents amounted to RMB 1,047.73 million, with a net decrease of RMB 409.86 million primarily due to increased cash payments for goods and services[26]. - The net cash outflow from operating activities for the six months ended June 30, 2024, was RMB -246.32 million, mainly due to increased cash payments for goods and services[27]. - The net cash outflow from investing activities was RMB -183.87 million, primarily for time deposits of RMB 256 million[28]. - The net increase in cash and cash equivalents for H1 2024 was -RMB 409.86 million, compared to -RMB 12.76 million in H1 2023, indicating a worsening liquidity position[83]. - The ending balance of cash and cash equivalents as of June 30, 2024, was RMB 1.05 billion, down from RMB 1.15 billion at the end of June 2023, reflecting a decrease of approximately 8.9%[83]. Assets and Liabilities - As of June 30, 2024, the total assets of China Railway Construction High-tech Equipment Co., Ltd. amounted to RMB 9,117,499,708.58, an increase from RMB 9,058,899,329.31 as of December 31, 2023, reflecting a growth of approximately 0.65%[62]. - The company's total current assets as of June 30, 2024, were RMB 6,789,229,862.63, slightly down from RMB 6,807,889,093.90 at the end of 2023, indicating a decrease of about 0.27%[61]. - The company's total liabilities as of June 30, 2024, were RMB 3,068,288,842.22, a decrease from RMB 3,166,850,019.15 at the end of 2023, showing a reduction of about 3.11%[64]. - Total equity increased to RMB 6,018,708,633.79, up 2.4% from RMB 5,876,345,242.48 as of December 31, 2023[66]. Research and Development - Research and development expenses rose to RMB 133.08 million, an increase of 9.60% year-on-year, reflecting the company's commitment to enhancing its R&D capabilities[16]. - Research and development expenses for the first half of 2024 amounted to RMB 133,077,479.13, compared to RMB 121,425,833.80 in the first half of 2023, reflecting an increase of 9.63%[74]. Corporate Governance - The board of directors consists of nine members, including four executive directors and five non-executive directors[45]. - The audit and risk management committee is composed of three independent non-executive directors, responsible for overseeing internal controls and financial disclosures[47]. - On May 31, 2024, the company received resignation reports from Zhao Hui and Bai Yunfei due to work changes, leading to a restructuring of the board[48]. - Tong Pujiang was appointed as the chairman of the board after the resignation of Zhao Hui[48]. - The company appointed Xiang Daqiang as the new general manager following the resignation of Zhou Huipeng on May 31, 2024[50]. Market Strategy - The company plans to deepen reforms and focus on technological innovation, market expansion, and refined management in the second half of 2024[5]. - The company aims to strengthen quality control and enhance production efficiency to achieve high-quality development[5]. - The company plans to continue focusing on market expansion and new product development to drive future growth[78]. - The company is actively pursuing new technology developments to improve operational efficiency and product quality[88]. Risk Management - The group is subject to various market risks, including foreign exchange risk and inflation risk in daily operations[35][36]. - The company has strengthened its internal audit services and focused on closing the loop on internal control deficiencies during the reporting period[51]. - The company has implemented special audits on high-risk events to enhance risk management and operational efficiency[51]. Shareholder Information - The company distributed a cash dividend of RMB 0.03 per share for the fiscal year 2023, totaling RMB 456 million[57]. - The board of directors has proposed not to distribute an interim dividend for the six months ending June 30, 2024[58]. - Major shareholder China Railway Construction Corporation holds 968,224,320 shares, representing 63.70% of the total issued share capital[55]. Accounting and Financial Reporting - The financial statements for the first half of 2024 were approved by the board of directors on August 23, 2024, ensuring compliance with regulatory standards[95]. - The financial statements accurately reflect the consolidated and parent company financial position as of June 30, 2024, and the operating results and cash flows for the six months ended on that date[100]. - The company recognizes revenue when the company fulfills its performance obligations, meaning the customer gains control of the related goods or services[181].

Financial Performance - For the first half of 2024, the company's operating revenue reached RMB 1,722.45 million, an increase of 7.43% compared to the same period last year[4]. - The profit attributable to shareholders for the first half of 2024 was RMB 61.35 million, representing a growth of 37.59% year-on-year[3]. - The sales revenue from machinery equipment was RMB 744.26 million, a decrease of 19.90% year-on-year due to some products being in the production phase and not yet delivered[5]. - The sales revenue from spare parts increased by RMB 158.06 million, a growth of 43.06% compared to the previous year, indicating strong performance in the domestic railway market[5]. - The revenue from maintenance services for railway machinery increased by RMB 142.46 million, a growth of 72.08% year-on-year, reflecting enhanced service capabilities[5]. - The gross profit for the first half of 2024 was RMB 322.59 million, an increase of 13.81% from RMB 283.44 million in the same period last year, with a gross margin of 18.73%[10]. - Other income rose significantly to RMB 25.09 million, a 546.69% increase from RMB 3.88 million in the previous year, primarily due to tax incentives in the advanced manufacturing sector[11]. - For the six months ended June 30, 2024, the group's profit before tax was RMB 61.18 million, an increase of RMB 12.34 million or 25.27% compared to RMB 48.84 million in the same period last year[18]. - Basic earnings per share increased from RMB 0.03 to RMB 0.04 for the six months ended June 30, 2024[23]. - The company reported a total of RMB 399,002,647.61 in other comprehensive income for the first half of 2024[91]. Cash Flow and Liquidity - As of June 30, 2024, the group's cash and cash equivalents amounted to RMB 1,047.73 million, with a net decrease of RMB 409.86 million primarily due to increased cash payments for goods and services[24]. - The net cash outflow from operating activities for the six months ended June 30, 2024, was RMB -246.32 million, mainly due to increased cash payments for goods and services[25]. - The net cash outflow from investing activities was RMB -183.87 million, primarily for time deposits of RMB 256 million[26]. - The company's cash and cash equivalents decreased to RMB 1,303,734,430.05 from RMB 1,457,596,638.25, reflecting a decline of about 10.57%[59]. - Cash and cash equivalents at the end of June 2024 were 1,047,734,430.05 RMB, down from 1,150,393,896.50 RMB at the end of June 2023, reflecting a decrease of approximately 8.9%[81]. - The net cash flow from financing activities for the first half of 2024 is negative RMB 444,620,332.21, a significant decline from a positive cash flow of RMB 17,073,873.12 in the first half of 2023[84]. Assets and Liabilities - As of June 30, 2024, the total assets of China Railway Construction High-tech Equipment Co., Ltd. amounted to RMB 9,117,499,708.58, an increase from RMB 9,058,899,329.31 as of December 31, 2023, reflecting a growth of approximately 0.65%[59]. - The total liabilities as of June 30, 2024, were RMB 3,068,288,842.22, a decrease from RMB 3,166,850,019.15, showing a reduction of about 3.10%[62]. - The company's total current liabilities decreased to RMB 3,003,513,305.48, down 4.0% from RMB 3,129,251,177.10[69]. - Total equity increased to RMB 6,018,708,633.79, up 2.4% from RMB 5,876,345,242.48 as of December 31, 2023[64]. - The total equity attributable to the parent company for the first half of 2024 is RMB 5,743,603,184.30, compared to RMB 5,779,991,658.11 in the same period of 2023, reflecting a decrease of approximately 0.63%[90]. Shareholder Information - As of June 30, 2024, the total issued share capital of the company is 1,519,884,000 shares, with 63.70% held by China Railway Construction Corporation[51]. - Major shareholder China Railway Construction Corporation holds 968,224,320 shares, representing 63.70% of the total issued share capital[53]. - The public float consists of 531,900,000 H shares, accounting for 35.00% of the total issued share capital[51]. - The company distributed a cash dividend of RMB 0.03 per share for the fiscal year 2023, totaling RMB 456 million[55]. - The board of directors has proposed not to distribute an interim dividend for the six months ending June 30, 2024[56]. Governance and Management - The board of directors consists of nine members, including four executive directors and five non-executive directors[43]. - The audit and risk management committee is composed of three independent non-executive directors, responsible for internal control and financial data disclosure[45]. - The company has undergone several board changes, with Zhao Hui resigning as executive director and chairman, and Tong Pujiang being appointed as the new chairman[46]. - The company’s governance structure includes a supervisory board with three members, ensuring oversight of the board's activities[44]. - The company has a robust internal control system, with the audit department focusing on financial, operational, compliance monitoring, and risk management, ensuring timely rectification of internal control deficiencies[49]. Research and Development - Research and development expenses increased by RMB 11.65 million to RMB 133.08 million, a growth of 9.60%, reflecting the company's commitment to enhancing its R&D capabilities[14]. - Research and development expenses for the first half of 2024 were RMB 133,077,479.13, an increase from RMB 121,425,833.80 in the same period of 2023[72]. - Research and development expenditures are categorized into research phase and development phase, with research phase costs expensed as incurred[162]. Risk Management - The company has continuously deepened its risk management efforts, focusing on high-risk events and enhancing internal control processes[49]. - The group did not have any interest-bearing debt or significant contingent liabilities as of June 30, 2024[30][32]. - The company has not entered into any hedging transactions to mitigate foreign exchange risks as of June 30, 2024[34]. Accounting Policies - The financial statements for the first half of 2024 were approved by the board of directors on August 23, 2024[93]. - The financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance, reflecting the company's financial position as of June 30, 2024, and the operating results for the six months ending June 30, 2024[98]. - Deferred tax assets and liabilities are calculated based on the temporary differences between the tax bases of assets and liabilities and their carrying amounts[195]. - The company recognizes right-of-use assets for leases, excluding short-term leases and low-value asset leases, measured at cost[200].

Financial Performance - Revenue for 2023 reached RMB 3,099,977 thousand, a 9.8% increase from RMB 2,821,918 thousand in 2022[3] - Gross profit decreased to RMB 486,875 thousand, down 26.7% from RMB 663,248 thousand in the previous year[3] - Profit before tax increased to RMB 137,088 thousand, a 10.3% rise compared to RMB 123,666 thousand in 2022[3] - The company reported a basic earnings per share of RMB 0.10, up from RMB 0.08 in 2022[3] - The company’s net profit attributable to owners was RMB 145.04 million, an increase of 25.42% from RMB 115.64 million in the previous year[46] - The company achieved a revenue growth of 9.85% year-on-year and a net profit growth of 25.48% in 2023[153] Assets and Liabilities - Total assets grew to RMB 9,058,899 thousand, up 5.6% from RMB 8,577,712 thousand in 2022[4] - Total liabilities increased to RMB 3,182,554 thousand, a 19.6% rise from RMB 2,658,752 thousand in the previous year[4] - The net assets decreased slightly to RMB 5,876,345 thousand from RMB 5,918,961 thousand in 2022[4] - The group's leverage ratio increased from 16.54% as of December 31, 2022, to 22.34% as of December 31, 2023[63] Revenue Sources - The sales revenue from machinery equipment increased by RMB 236.4 million, a growth of 19.65% compared to the previous year[29] - The sales revenue from spare parts rose by RMB 129 million, marking an 18.46% increase year-on-year[23] - The railway maintenance service revenue decreased by RMB 86.51 million, a drop of 36.24% compared to the previous year, attributed to adjustments in business direction[38] Costs and Expenses - The cost of sales for the year was RMB 2,613.1 million, up 21.05% from RMB 2,158.67 million in the previous year, primarily due to international supply chain disruptions and rising procurement costs[26] - Research and development expenses increased by RMB 97.9 million to RMB 358.95 million, reflecting a growth of 37.5% as the company continued to enhance its R&D capabilities[42] - The company’s other income decreased by RMB 20.6 million to RMB 7.89 million, a decline of 72.31% compared to RMB 28.49 million in the previous year[31] - The company’s administrative expenses decreased by RMB 14.26 million to RMB 172.26 million, a decline of 7.65% from RMB 186.52 million in the previous year[41] Cash Flow - As of December 31, 2023, the group's cash and cash equivalents amounted to RMB 1,457.6 million, with a net increase of RMB 294.45 million primarily due to increased cash receipts from sales and government compensation for asset relocation[49] - The net cash flow from operating activities for the year ended December 31, 2023, was RMB 86.57 million, mainly attributed to enhanced collection of receivables[50] - The net cash flow from investing activities for the year ended December 31, 2023, was RMB 244.81 million, with cash inflows primarily from the disposal of fixed assets and other long-term assets totaling RMB 267.64 million[51] Corporate Governance - The company has a strong emphasis on corporate governance with independent directors bringing diverse expertise from finance and engineering sectors[92][94] - The board consists of nine members, including one female director, ensuring a balanced and diverse composition[183] - The audit committee and remuneration committee are chaired by independent non-executive directors, enhancing governance[136] - The company has established a formal and transparent remuneration system to oversee the implementation of its compensation policies[163] - The company confirmed compliance with corporate governance codes and disclosed the corporate governance report for the fiscal year 2022[166] Management and Strategy - The company aims to enhance core competitiveness and brand influence while exploring diversified revenue paths[19] - The management team includes experienced professionals with extensive backgrounds in engineering and finance, enhancing the company's operational capabilities[81][84][91] - The company is focused on high-end equipment research and manufacturing, leveraging 27 years of industry experience from its chairman[81] - The company is actively involved in the development of new technologies and products to strengthen its competitive position in the market[81][88] - The company aims to enhance management efficiency and corporate governance standards through continuous improvement of its governance system and risk management practices[112] Product Development - The company launched 7 new products and upgraded 11 existing products in 2023[16] - The company has a focus on technological innovation and product development to maintain its competitive edge in the railway maintenance machinery sector[107] - The company focuses on original innovation, integrated innovation, and technology absorption to strengthen its leading position in the domestic railway maintenance machinery industry[116] Auditor and Compliance - The company has changed its auditor from Deloitte to Lixin CPA, which will audit the financial statements according to Chinese accounting standards for the year ending December 31, 2022[79] - The company has engaged Lixin CPA as its auditor for the fiscal year 2023[193] - The board will conduct an annual review of its independence assessment mechanism[136] Training and Development - The company has implemented a training program for directors, focusing on the latest changes in domestic laws and regulations[140] - The company confirmed that all directors received no less than 15 hours of relevant professional training during the reporting period[198]

Financial Performance - The company achieved a total revenue of RMB 3,099.98 million for the year 2023, representing a year-on-year growth of 9.85%[3] - The net profit attributable to the parent company's shareholders for the year 2023 is RMB 145,035,124.92[137] - The company reported a net profit of RMB 714,911,976.09 after allocating RMB 15,352,666.81 to statutory surplus reserves, which is 10% of the net profit for the fiscal year 2023[161] - The company's available reserves for distribution to shareholders as of December 31, 2023, amounted to RMB 714.91 million, with a proposed cash dividend of RMB 0.03 per share, totaling RMB 45.60 million[191] - A cash dividend of RMB 0.03 per share (including tax) will be distributed, totaling RMB 45,596,520.00[138] - The remaining undistributed profits amount to RMB 669,315,456.09, which will be carried forward to the next year[138] Corporate Governance - The company has conducted eight board meetings and two shareholder meetings during the reporting period, ensuring compliance with legal and regulatory requirements[14] - The board has reviewed and monitored the implementation of corporate governance documents throughout the reporting period[94] - The company continues to enhance its corporate governance system and improve management efficiency[77] - The board has ensured compliance with the corporate governance code during the reporting period[78] - The independent non-executive directors have confirmed their independence in accordance with listing rules[112] - The company has implemented a management system that ensures clear responsibilities among the shareholders' meeting, board of directors, and management[109] - The company is committed to enhancing corporate governance to protect and improve shareholder interests[109] - The company has made amendments to its articles of association in response to regulatory requirements and changes in its operational scope over the years[148] Risk Management - The company has implemented a risk management strategy to effectively prevent significant risk events[127] - The internal control system aims to ensure legal compliance, asset security, and the authenticity of financial reports[128] - The company has established a comprehensive risk management and internal control system, ensuring effective implementation and annual reviews of its risk management practices[151] - The board of directors is responsible for the establishment and effective implementation of the risk management and internal control system, with regular assessments conducted[152] - The company has continuously improved its risk management capabilities, integrating risk management with business management to enhance operational efficiency[152] - The company has actively engaged in risk assessment and analysis to strengthen its risk governance and prevention measures[152] - The company has maintained a commitment to safeguarding asset security and shareholder interests through effective risk management practices[152] - The company has experienced various market risks, including foreign exchange and inflation risks[81] Market Position and Strategy - The company is the largest manufacturer and repair base of railway maintenance machinery in China, emphasizing its significant role in ensuring the safe operation of high-speed heavy-load railways[7] - The company aims to become a world-leading provider of comprehensive solutions for large-scale railway maintenance machinery, focusing on original innovation and technology integration[48] - The company is actively expanding its market presence to mitigate potential negative impacts from policy changes in key markets such as national rail and urban rail[52] - The company is focusing on expanding its market presence and enhancing its product offerings in the railway maintenance machinery sector[68] - The company aims to enhance its core value chain through domestic and overseas acquisitions, reinforcing its market position[178] - The company maintains a market-oriented development principle, focusing on sustainable value creation for shareholders through its core business in railway machinery manufacturing and services[190] Management and Leadership - The company has a new executive team, including Zhao Hui as the chairman and executive director since September 2023, bringing 27 years of experience in high-end equipment R&D and manufacturing[60] - Chen Yongxiang has served as an executive director since June 2017, with 34 years of experience in railway maintenance machinery[60] - The management team has extensive experience in the railway machinery sector, with members holding various leadership positions over the years[60][61][62] - The company aims to leverage its experienced leadership to drive strategic initiatives and operational improvements[68] - The new management structure is expected to enhance decision-making and operational efficiency within the company[68] Compliance and Reporting - The company is committed to adhering to regulatory requirements and maintaining high standards in financial reporting[56] - The company adheres to strict information disclosure regulations to ensure timely and accurate communication with investors[135] - The board of directors presented the audited financial statements prepared under Chinese accounting standards for the year ending December 31, 2023[139] - The company has engaged Lixin CPA as its auditing firm for the fiscal year ending December 31, 2023[105] - The total audit fees for the 2023 financial statements amounted to RMB 720,000, while the interim review fees were RMB 480,000, resulting in a combined total of RMB 1,200,000[142] Employee and Diversity Initiatives - The company aims to achieve a female employee ratio of 25% by 2025, currently at approximately 17.27%[115] - The board has established quantitative targets to ensure diversity and will regularly review these targets[101] - As of December 31, 2023, the company had 14 senior management personnel, with 1 earning over RMB 1 million, 9 earning between RMB 500,000 and RMB 1 million, and 4 earning below RMB 500,000[104] - The company has appointed a new chief accountant in June 2023, enhancing its financial management team[73] Innovation and Development - The company is committed to ongoing risk management and internal control improvements[77] - The company continues to prioritize innovation and development in its product lines to meet market demands[68] - The company is committed to innovation and service-oriented business models, focusing on digitalization and global development strategies[172] - The company emphasizes compliance with environmental protection laws and aims to enhance the efficiency of its environmental facilities[189] Shareholder Relations - The company has established a dedicated investor relations section on its website to ensure timely communication with shareholders[158] - The company is committed to enhancing investor relations management to improve communication quality[136] - The company will provide monthly updates to the board regarding its performance, financial status, and outlook[107]

Financial Performance - For the first half of 2023, the company achieved total revenue of RMB 1,603.35 million, representing a year-on-year increase of 30.09% from RMB 1,232.53 million in the same period last year[17]. - The sales revenue from machinery equipment reached RMB 929.11 million, an increase of RMB 324.55 million or 53.68% compared to the previous year[20]. - The company reported a net profit of RMB 44.59 million, up 6.93% from RMB 41.70 million in the same period last year[17]. - The revenue from parts sales was RMB 367.07 million, which is an increase of RMB 29.85 million or 8.85% year-on-year[13]. - The railway line maintenance service revenue increased to RMB 55.27 million, reflecting a growth of RMB 3.31 million or 6.37% compared to the previous year[22]. - Gross profit for the first half of 2023 was RMB 283.44 million, down 7.60% from RMB 306.76 million in the same period last year, with a gross margin of 17.68%[23]. - The company reported a total revenue of RMB 5,779,991,658.11 for the current period, reflecting a year-on-year increase[58]. - The net profit attributable to owners of the company is RMB 135,899,327.25, which is a decrease compared to the previous period[58]. Operating Costs and Expenses - The company's sales costs rose to RMB 1,319.91 million, an increase of 42.57% from RMB 925.77 million in the same period last year, driven by significant revenue growth[28]. - Selling expenses increased to RMB 78.62 million, up 32.58% from RMB 59.30 million in the previous year, attributed to higher overseas service costs and increased sales resource investments[29]. - Total operating costs increased to RMB 1,596,884,084.66, up from RMB 1,202,277,646.33, reflecting a 33% rise year-over-year[31]. - Research and development expenses decreased to RMB 121,425,833.80 from RMB 143,475,840.79, a reduction of approximately 15%[31]. - The company experienced a credit impairment loss of RMB 32,782,160.26, a stark contrast to a gain of RMB -5,287,462.85 in the previous year[31]. - The company reported a significant increase in tax payments, with RMB 70,556,889.02 paid in the first half of 2023, compared to RMB 20,067,470.53 in the same period of 2022[39]. Cash Flow and Investments - Net cash flow from operating activities was RMB 5,426,247.79, significantly down from RMB 226,728,983.35 in the first half of 2022[35]. - Cash inflow from operating activities totaled RMB 1,569,510,929.42, compared to RMB 1,624,417,633.99 in the previous year, indicating a decline of about 3.4%[35]. - Cash outflow for operating activities increased to RMB 1,564,084,681.63 from RMB 1,397,688,650.64, marking a rise of approximately 11.9%[35]. - Investment activities generated a net cash outflow of RMB 19,530,010.18, compared to a net outflow of RMB 4,871,698.48 in the same period last year[37]. - The cash inflow from investment activities was RMB 4,523,048.33, a slight increase from RMB 4,097,201.08 in the same period last year[39]. - Cash outflow for investment activities rose to RMB 8,099,084.31, compared to RMB 5,034,853.26 in the first half of 2022, reflecting increased capital expenditures[39]. Market and Strategic Focus - The company is focusing on enhancing operational efficiency and management standards, aiming to align with world-class enterprises and improve core performance indicators[18]. - The company is focusing on expanding its market presence and enhancing its product offerings, although specific new products or technologies were not detailed in the provided data[39]. - Future outlook remains cautious due to the decline in cash flow and increased operational costs, necessitating strategic adjustments[39]. Shareholder and Equity Information - The total equity at the end of the reporting period is RMB 1,519,884,000.00, with total liabilities amounting to RMB 3,271,445,482.07[58]. - The company has a total of 531,900,000 H-shares listed on the Hong Kong Stock Exchange, with a par value of RMB 1.00 per share[60]. - The company has reported a total of RMB 292,777,905.65 in retained earnings at the end of the reporting period[58]. - The major shareholder, China Railway Construction Corporation, holds 968,224,320 shares, representing 63.70% of the total issued share capital[178]. - The company's total issued share capital is 1,519,884,000 shares, with 63.70% held by China Railway Construction Corporation[167]. Internal Control and Governance - The company has established a robust internal control system, with the board responsible for its establishment and effective implementation[155]. - The audit and risk management committee supervises the company's internal control, risk management, financial data disclosure, and internal audit matters[163]. - The company confirms that all directors and supervisors complied with the standards set forth in the "Code of Conduct" during the reporting period[147]. - The internal control system is robust and reliable, with a focus on enhancing management and risk management during the reporting period[166]. Employee and Compensation - The total employee compensation for the six months ending June 30, 2023, is approximately RMB 204.82 million, covering 1,980 employees[174]. - The company declared a final dividend of RMB 0.025 per share for the year 2022, totaling RMB 37,997,100 distributed on August 22, 2023[181].

B_table indent_4.5 mm N_table indent_4 mm 香港交易及結算所有限公司及香港聯合交易所有限公司對本公告的內容概不負責， 對其準確性或完整性亦不發表任何聲明，並明確表示概不因本公告全部或任何部 份內容而產生或因依賴該等內容而引致的任何損失承擔任何責任。 （於中華人民共和國註冊成立的股份有限公司） （股份代號：1786） 截至二零二三年六月三十日止六個月中期業績公告 本公司董事會宣佈本公司及其附屬公司截至二零二三年六月三十日止六個月的未 經審計中期業績。本公告符合香港聯合交易所有限公司證券上市規則中有關中期 業績初步公告附載的資料的要求。本公司二零二三年中期報告的印刷版本將於二 零二三年九月三十日或之前寄發予本公司的股東，並可於其時在香港聯合交易所 有限公司的網站www.hkex.com.hk及本公司的網站www.crcce.com.cn上閱覽。 業務回顧與展望 ...

Corporate Governance - The board of directors consists of nine members, including one chairman and three independent directors[7]. - The company held nine board meetings and two shareholder meetings during the reporting period[12]. - The company has appointed Liu Feixiang as the chairman of the third board of directors[7]. - Zhao Hui has been a non-executive director since July 2019, bringing 26 years of experience in high-end equipment research and manufacturing[14]. - The company’s governance report emphasizes the board's responsibility for overseeing business management and overall performance[6]. - The board is tasked with approving major financial decisions, including significant capital expenditures[6]. - The company has a commitment to corporate governance, ensuring compliance with legal and regulatory requirements[8]. - The board members have signed service contracts for a term of three years, with the possibility of re-election[8]. - The company’s management team is responsible for executing the business plans and strategies adopted by the board[6]. - The independent directors are expected to provide oversight and balance to the board's decision-making process[11]. - The company continues to enhance its corporate governance system, ensuring compliance with relevant regulations and improving management efficiency[27]. - The board of directors has reviewed and confirmed adherence to corporate governance codes, ensuring shareholder interests are protected[28]. - The company has established a management system with clear responsibilities among the shareholders' meeting, board of directors, supervisory board, and management[29]. - All directors and supervisors have complied with the trading standards set forth in the "Standard Code" during the reporting period[30]. - The company’s board of directors has undergone changes, with new independent directors appointed to strengthen governance[41]. Financial Performance - The company reported a significant increase in user data, with a year-over-year growth of 25% in active users[32]. - The company achieved a revenue growth of 15% in the last fiscal year, reaching a total revenue of $1.2 billion[32]. - The company has set a performance guidance for the next fiscal year, targeting a revenue increase of 20%[32]. - The company reported a 10% increase in gross margin, improving from 30% to 33%[32]. - In 2022, the company achieved a revenue of RMB 2,821.92 million, representing a year-on-year growth of 29.09%[58]. - The net profit for 2022 was RMB 116.72 million, a significant increase of 129.62% compared to the previous year[58]. - Total assets reached RMB 8,577.71 million, up from RMB 8,273.34 million in 2021, indicating a growth of 3.68%[55]. - Total liabilities increased to RMB 2,658.75 million from RMB 2,391.82 million, reflecting a rise of 11.14%[55]. - The company's gross profit for 2022 was RMB 663.25 million, compared to RMB 545.00 million in 2021, marking a growth of 21.66%[55]. - Basic earnings per share rose to RMB 0.08 from RMB 0.03 in the previous year, an increase of 166.67%[55]. - The company reported a net cash decrease of RMB 15.38 million, with cash and cash equivalents at RMB 1,163.15 million as of December 31, 2022[120]. - The company's leverage ratio increased from 13.91% in 2021 to 16.54% in 2022[125]. - The total income tax expense for the year was RMB 7.99 million, an increase of RMB 13.82 million compared to the previous year due to higher profit levels[87]. - The profit attributable to owners of the company was RMB 115.64 million, up 129.54% from RMB 50.38 million in the previous year[117]. - The company's pre-tax profit for 2022 was RMB 123.67 million, a significant increase of 177.66% from RMB 44.54 million in 2021[114]. Market Expansion and Strategy - The company plans to expand its market presence by entering three new international markets by the end of 2023[34]. - The company is investing in new product development, with a budget allocation of $50 million for R&D in 2023[36]. - The company is focusing on mergers and acquisitions, with plans to acquire two smaller firms in the next quarter[34]. - The company plans to continue focusing on strengthening its core business and expanding into new markets in 2023[60]. - The strategy includes enhancing technological innovation and improving production capabilities to support high-quality development[62]. - The company aims to become a leading provider of intelligent road construction equipment solutions globally[62]. - The company aims to strengthen its core business in large-scale railway machinery while expanding into urban rail and overseas markets[72]. Research and Development - Research and development expenses rose to RMB 261.05 million, an increase of 44.91% from RMB 180.15 million in the previous year[110]. - Other income increased by RMB 5.66 million to RMB 28.49 million, reflecting a growth of 24.79% due to government funding for R&D projects[107]. - The company successfully launched new products including bridge and tunnel screening machines, and railway suction vehicles, focusing on overcoming key technical challenges[71]. Employee and Social Responsibility - The company had a total of 2,009 employees as of December 31, 2022, a decrease of 1.5% compared to the same period in 2021[171]. - The employee turnover rate was 3.23% for male employees and 2.44% for female employees in 2022[173]. - The company adheres to a strict recruitment system, ensuring compliance with labor laws and prohibiting discrimination based on various factors[175]. - The company guarantees all employees enjoy national regulations regarding working hours, paid leave, and comprehensive social insurance coverage[179]. - The company has established a comprehensive management system, including ISO 9001 quality management and GB/T24001-2016 environmental management systems[168]. - The company is committed to enhancing corporate social responsibility governance and sustainable development[169]. - The company has implemented a performance evaluation system to provide competitive compensation for employees[177]. - The company has a 100% coverage rate for health check-ups for all employees annually[179]. - The company invested CNY 7,260,000 in safety production costs in 2022, including CNY 3,570,675 specifically for occupational health[184]. - The company achieved a zero fatality rate in 2020, with one employee fatality in both 2021 and 2022, representing 0.05% of the total workforce at the end of 2022[186]. - All key safety indicators, including new employee safety education implementation rate and special operations personnel certification rate, reached 100%[186]. - The company established 17 procedural documents and 32 safety management regulations to ensure compliance with safety production laws and standards[183]. - In 2022, the company provided necessary protective equipment and medical guarantees to employees in all operations that could cause harm[184]. - The company has continuously improved its occupational health and safety management system, achieving GB/T45001-2020 certification in 2020[182]. - The company has implemented a safety production responsibility system, clearly defining safety responsibilities at all levels[183]. - The company conducted regular safety reviews and training to ensure all employees are aware of hazards and preventive measures[184]. - No incidents of violations of safety work environment laws or regulations were reported during the period[186]. Risk Management - The group is focused on diversifying or mitigating potential negative impacts from policy changes in key markets such as national rail, urban rail, and national energy[130]. - The group has not entered into any hedging transactions to mitigate foreign exchange risks[129]. - The group operates primarily in China, with most transactions settled in RMB, exposing it to foreign exchange risks due to fluctuations in exchange rates against currencies like the Euro and Swiss Franc[129].

Financial Performance - Total assets as of December 31, 2022, reached RMB 8,577,712 thousand, an increase of 3.7% from RMB 8,273,340 thousand in 2021[3] - The company's net profit from railway machinery maintenance services increased by RMB 170.27 million, representing a growth of 42.4% compared to the previous year[11] - Other income for the year ended December 31, 2022, was RMB 28.49 million, up 24.79% from RMB 22.83 million in the prior year, primarily due to government subsidies for R&D projects[13] - Financial income increased to RMB 35.78 million, a rise of 38.68% from RMB 25.8 million in the previous year, attributed to foreign exchange gains[15] - The company achieved operating revenue of RMB 2,821.92 million for the year ended December 31, 2022, representing a year-on-year growth of 29.09%[40] - The profit attributable to owners of the company increased to RMB 115.64 million, a significant rise of 129.54% compared to RMB 50.38 million in the previous year[48] - Basic earnings per share rose from RMB 0.03 to RMB 0.08 for the year ended December 31, 2022[49] - The total gross profit for the company was RMB 663.25 million, an increase of RMB 118.24 million or 21.7% year-on-year[153] - The gross profit margin for 2022 was 23.5%, a decrease of 1.43 percentage points from the previous year due to rising raw material costs and increased operational expenses[153] - The net profit for 2022 was RMB 115.67 million, a significant increase of 129.62% compared to RMB 50.38 million in 2021[162] - The pre-tax profit for the year was RMB 123.67 million, up 177.66% from RMB 44.54 million in the previous year[174] - The sales cost for 2022 was RMB 2,158.67 million, an increase of RMB 517.73 million or 31.55% from RMB 1,640.94 million in 2021[170] Market Expansion and Product Development - The company successfully launched new products including bridge and tunnel screening machines, and railway suction vehicles, focusing on overcoming key technical challenges[5] - The company aims to expand its market presence in both domestic and overseas markets, particularly in the urban rail market, while enhancing its core railway machinery business[6] - The company focused on market expansion and innovation, enhancing its operational quality and promoting new product development[40] - The sales revenue from new products reached RMB 290.83 million, contributing to the overall sales growth[151] - Revenue from railway maintenance services increased by RMB 166.68 million, a growth of 231.34% compared to the previous year[152] - The company plans to continue focusing on strengthening its core business and expanding into new markets in 2023[164] Corporate Governance and Management - The company has fully complied with the corporate governance code during the year ended December 31, 2022[67] - The board of directors consists of nine members, with Liu Feixiang appointed as the chairman of the third board[71] - The company held nine board meetings and two shareholder meetings during the reporting period[75] - All directors have signed service contracts with a term of three years, allowing for re-election upon expiration[72] - The company has established a management system with clear responsibilities among the shareholders' meeting, board of directors, supervisory committee, and management[67] - Directors regularly receive briefings on business operations, risk management, and corporate governance matters[76] - The company has implemented a standard code for securities trading by directors and supervisors[68] - The board has a reasonable ratio of executive to non-executive directors to ensure mutual supervision and balance of power[74] - The company has a structured approach to training and development for all directors[77] - The board strictly adheres to legal regulations and the company's articles of association in exercising its powers[78] - The company has a board of directors consisting of nine members, including one chairman and three independent directors[93] - The board is responsible for overseeing the company's business management and overall performance, ensuring necessary financial and human resources are available to achieve its goals[92] - The company has two non-executive directors and three independent non-executive directors[94] - The board members strictly adhere to their commitments and perform their duties faithfully, honestly, and diligently[95] - The company has a commitment to continuously monitor and revise its governance policies to meet shareholder requirements[89] - All directors and supervisors have complied with the relevant securities trading standards during the reporting period[90] - The company has a strong emphasis on corporate governance to protect and enhance shareholder interests[89] - The management team is dedicated to executing the business plans, strategies, and policies adopted by the board[92] - The company has a history of experienced professionals in key management positions, contributing to its operational effectiveness[86] - The board's functions include approving significant financial matters and reviewing the company's financial performance[92] - The board of directors attended 9 out of 9 meetings, demonstrating full engagement in governance activities[97] - The company provided suitable continuous training and professional development courses for all directors, ensuring they are well-informed and capable of contributing effectively[100] Risk Management and Internal Controls - The company is committed to maintaining a robust internal control system and regularly reviews its risk management strategies[117] - The company has established a comprehensive risk management framework, which includes annual reports on risk management strategies and major risk management solutions[117] - The audit and risk management committee is responsible for overseeing audit work and ensuring effective communication between internal and external auditors[115] - The strategic and investment committee reviewed significant capital operations and investment proposals for the year 2022, indicating a focus on long-term growth strategies[112] - The strategic and investment committee held two meetings in 2022 to review major issues affecting the company's development[128] - The audit and risk management committee conducted five meetings in 2022 to oversee internal controls and financial disclosures[135] - The company has established a dedicated internal audit and risk management department to ensure effective oversight and reporting[136] - The board's decisions align with the recommendations made by the audit and risk management committee regarding the appointment of external auditors[118] - The company has a structured approach to training directors on compliance and corporate governance, enhancing their skills and knowledge[99] - The board of directors is accountable to the shareholders' meeting, ensuring transparency and adherence to shareholder resolutions[121] Operational Efficiency and Cost Management - The company is committed to enhancing its operational quality and efficiency through management reforms and cost reduction initiatives[9] - The company emphasized internal management improvements and cost reduction initiatives to drive profitability growth[48] - The company has a cash flow from operating activities of RMB 22.44 million, primarily due to increased efforts in receivables collection[179] - The administrative expenses for 2022 were RMB 186.52 million, a slight increase of 4.26% from RMB 178.90 million in 2021, mainly due to enhanced compensation incentives[172] - The company's research and development expenses for the year ended December 31, 2022, amounted to RMB 261.05 million, an increase of RMB 80.9 million or 44.91% compared to RMB 180.15 million in the same period last year[155] - The company focused on enhancing the efficiency of its management and deepening institutional reforms to drive high-quality development[144]