西安海天天綫科技股份有限公司 XI’AN HAITIAN ANTENNA TECHNOLOGIES CO., LTD.* （於中華人民共和國註冊成立之股份有限公司） 8227 （股份代號： ） 2023 6 30 截至 年 月 日止六個月之 中期業績公告 GEM GEM 香港聯合交易所有限公司（「聯交所」） （「 」）的特色 GEM 之定位，乃為中小型公司提供一個上市之市場，此等公司相比起其他在聯交所上市之公 司帶有較高投資風險。有意投資之人士應了解投資於該等公司之潛在風險，並應經過審慎周 詳之考慮後方作出投資決定。 GEM GEM 由於 上市公司普遍為中小型公司，在 買賣之證券可能會較於聯交所主板買賣之證 GEM 券承受較大之市場波動風險，同時無法保證在 買賣之證券會有高流通量之市場。 香港交易及結算所有限公司及聯交所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，並明確表示概不就因本公告全部或任何部分內容而產生或因倚賴該等內容而引 致之任何損失承擔任何責任。 GEM GEM 本公告之資料乃遵照 證券上市規則（「 上市規則」）而刊載，旨在提供有關西安海天天 綫科技股份有限公司（「本公司」）之資 ...

Financial Performance - For the three months ended March 31, 2023, the company recorded an unaudited net loss of approximately RMB 5.23 million, compared to an unaudited net loss of approximately RMB 5.94 million for the same period in 2022[4]. - The unaudited total revenue for the three months ended March 31, 2023, was approximately RMB 4.17 million, representing about 59% of the unaudited total revenue for the same period in 2022[4]. - The company's operating revenue for the first quarter of 2023 was approximately RMB 4,174,496.67, a decrease of 41.5% compared to RMB 7,092,484.82 in the same period of 2022[33]. - The company recorded a net loss of RMB 5,226,367.17 for the first quarter of 2023, compared to a net loss of RMB 5,936,732.53 in the same period of 2022[33]. - The company reported a net profit attributable to the owners of the parent company of RMB 5,185,226.15 for the three months ended March 31, 2023, compared to RMB 5,878,713.84 for the same period in 2022, reflecting a decrease of approximately 11.8%[110]. - Total revenue for the three months ended March 31, 2023, was approximately RMB 4,050,553.04, a decrease of about 40.0% compared to RMB 6,748,325.11 in the same period of 2022[115]. Assets and Liabilities - Total current assets as of March 31, 2023, amounted to RMB 33,662,770.42, compared to RMB 30,236,087.30 as of December 31, 2022[9]. - The total liabilities as of March 31, 2023, were RMB 86,403,451.81, an increase from RMB 80,248,874.57 as of December 31, 2022[14]. - The total assets as of March 31, 2023, were RMB 93,172,376.01, compared to RMB 92,244,165.94 as of December 31, 2022[14]. - The company's total equity attributable to shareholders as of March 31, 2023, was RMB 4,354,845.36, down from RMB 9,540,071.51 as of December 31, 2022[14]. Cash Flow - The net cash flow from operating activities for the first quarter of 2023 was a negative RMB 2,462,571.33, compared to a negative RMB 1,399,282.24 in the first quarter of 2022[41]. - Cash inflow from operating activities totaled RMB 5,803,117.48, a decrease of 43.6% compared to RMB 10,211,159.80 in the previous year[51]. - Cash received from financing activities amounted to RMB 3,166,700.00, down from RMB 14,200,000.00, representing a decline of 77.7% year-over-year[54]. - The net cash flow from financing activities was RMB 2,684,293.83, compared to RMB 10,769,260.70 in the same period last year, indicating a decrease of 75.1%[56]. - Cash and cash equivalents at the end of the first quarter of 2023 were RMB 2,167,689.57, down from RMB 3,580,646.08 at the end of the first quarter of 2022[42]. Expenses - Sales expenses decreased from approximately RMB 1,794,982.43 in the first quarter of 2022 to RMB 718,132.13 in the first quarter of 2023, representing a reduction of about 60%[21]. - Research and development expenses increased slightly from RMB 1,645,277.06 in the first quarter of 2022 to RMB 1,687,551.15 in the first quarter of 2023, reflecting a growth of about 2.6%[33]. - The total tax and additional charges for Q1 2023 amounted to RMB 7,002.77, a significant drop from RMB 35,975.97 in Q1 2022, indicating a decline of approximately 80.5%[71]. - The company incurred a total of 93,008.66 million in financial expenses in Q1 2023, significantly lower than 195,987.79 million in Q1 2022, reflecting a decrease of about 52.66%[100]. Shareholder Information - As of March 31, 2023, Mr. Xiao Bing holds 550,832,335 shares, representing approximately 44.00% of the total issued domestic shares[161]. - Mr. Chen Ji holds 273,344,804 shares, accounting for approximately 21.84% of the total issued domestic shares[161]. - The company has a significant shareholder structure with major interests held by Mr. Xiao Bing and Mr. Chen Ji[177]. - The company is focused on maintaining transparency in its shareholder interests and potential conflicts of interest[172]. Corporate Governance - The company has complied with the corporate governance code as per GEM listing rules during the reporting period[173]. - The audit committee reviewed the unaudited consolidated results for the three months ending March 31, 2023, ensuring compliance with applicable accounting standards[194]. - The company has adopted a code of conduct for securities trading in accordance with GEM listing rules[193]. Future Plans and Strategies - The company is focused on expanding its market presence and enhancing its product offerings, particularly in mobile communication and data communication sectors[70]. - Future plans include exploring applications of metamaterial technology in various fields such as mobile communication, smart cities, remote sensing technology, automotive radar, drone data transmission, and the Internet of Things[147]. - The group aims to enhance its core competitiveness by continuously enriching and improving its series of metamaterial products[147]. - The group is actively participating in bidding procurement projects for lens communication products, with successful bids in Southwest, Northwest, South China, and North China regions[157].

Financial Performance - For the three months ended March 31, 2023, the company recorded an unaudited net loss of approximately RMB 5.23 million, compared to a net loss of approximately RMB 5.94 million for the same period in 2022, representing a decrease in loss of about 11.9%[3] - The unaudited total revenue for the three months ended March 31, 2023, was approximately RMB 4.17 million, which is about 59% of the unaudited total revenue of approximately RMB 7.09 million for the same period in 2022[3] - The company's total revenue for the period from January 1 to March 31, 2023, was RMB 4.17 million, down from RMB 7.09 million for the same period in 2022, representing a decline of approximately 41.0%[7] - The total operating costs for the same period were RMB 9.41 million, a decrease from RMB 13.06 million in 2022, reflecting a reduction of about 28.0%[7] - The company reported a comprehensive loss of RMB (5,185,226.15) for Q1 2023, compared to a loss of RMB (1,399,282.24) in Q1 2022[27] - The company recorded a net loss of RMB 5,185,226.15 for the first quarter of 2023, compared to a net loss of RMB 5,878,713.84 in Q1 2022[84] Assets and Liabilities - As of March 31, 2023, the company's current assets totaled approximately RMB 33.66 million, an increase from RMB 30.24 million as of December 31, 2022, reflecting a growth of about 11.5%[4] - The company's total liabilities as of March 31, 2023, amounted to approximately RMB 93.17 million, compared to RMB 92.24 million as of December 31, 2022, indicating a slight increase of about 1.0%[6] - The company reported a total equity of approximately RMB 6.77 million as of March 31, 2023, down from RMB 11.99 million as of December 31, 2022, representing a decrease of about 43.5%[6] - The total liabilities increased to RMB 86,403,451.81 in Q1 2023, compared to RMB 80,248,874.57 in Q1 2022, reflecting a growth of 7.4%[36] - The total equity attributable to shareholders decreased to RMB 6,768,924.20 as of March 31, 2023, from RMB 11,995,291.37 at the end of Q1 2022[27] Cash Flow - The total cash inflow from operating activities for the first quarter of 2023 was RMB 5,803,117.48, a decrease of 43.5% compared to RMB 10,211,159.80 in the same period of 2022[17] - The net cash flow from operating activities for Q1 2023 was negative at RMB (2,462,571.33), worsening from RMB (1,399,282.24) in Q1 2022[17] - Cash received from financing activities totaled RMB 3,166,700.00 in Q1 2023, down 77.7% from RMB 14,200,000.00 in Q1 2022[21] - The net cash flow from financing activities for Q1 2023 was RMB 2,684,293.83, a decrease of 75.1% compared to RMB 10,769,260.70 in Q1 2022[24] - The net increase in cash and cash equivalents for Q1 2023 was RMB 217,002.14, significantly lower than RMB 1,515,448.58 in Q1 2022[25] - The ending balance of cash and cash equivalents as of March 31, 2023, was RMB 2,167,689.57, down from RMB 3,580,646.08 at the end of Q1 2022[26] Expenses - Research and development expenses for the three months ended March 31, 2023, were RMB 1.69 million, slightly up from RMB 1.65 million in the same period of 2022, indicating an increase of about 1.7%[7] - The company incurred total selling expenses of RMB 718,132.13 in the first quarter of 2023, a decrease from RMB 1,794,982.43 in the same period of 2022[56] - Depreciation expenses for the first quarter of 2023 were RMB 46,790.72, down from RMB 69,152.04 in the previous year[57] - Employee compensation for the first quarter of 2023 was RMB 1,563,905.57, compared to RMB 1,697,804.15 in the same period of 2022[57] Shareholder Information - Major shareholders include Ms. Chen Jing and Professor Xiao Liangyong, each holding approximately 44.00% of the domestic shares, translating to 550,832,335 shares[137] - Tianan Enterprises holds 328,363,637 domestic shares, representing 26.23% of the total issued domestic shares[137] - The company has a significant concentration of ownership, with the top five shareholders controlling over 50% of the total issued shares[137] - The total number of H shares held by major shareholders is 85,100,000, representing approximately 13.18% of all issued H shares[150] Future Plans and Strategies - The company plans to focus on market expansion and new product development in the upcoming quarters[55] - The company plans to focus on the mobile communication products and related services segment for future development[128] - Future plans include exploring applications of metamaterial technology in various fields such as mobile communications and smart cities[98] - The company aims to leverage its super-material communication products to support smart city construction projects, enhancing network efficiency and reducing costs[124] - The company will consider further financing through bank loans, share issuance, and bond issuance to ensure smooth operations and development[128] Governance and Compliance - The audit committee has reviewed the unaudited consolidated results for the three months ending March 31, 2023, ensuring compliance with applicable accounting standards[168] - The company has adhered to the corporate governance code as per GEM Listing Rules during the three months ending March 31, 2023[165]

Financial Performance - The net profit for the year 2022 was -30,272,901.46 RMB, indicating a continued loss[29]. - The net cash flow from operating activities for 2022 was -9,688,684.86 RMB[29]. - Current liabilities exceeded current assets by 49,098,867.07 RMB at the end of 2022[29]. - The cash balance at the end of 2022 was 2,189,300.39 RMB, with overdue debts reported[29]. - The company's net loss for the year was approximately RMB 30.27 million, an increase of about 34% compared to a net loss of approximately RMB 22.67 million in 2021[127]. - The group's cash and cash equivalents decreased from approximately RMB 4.19 million to RMB 1.95 million as of December 31, 2022[86]. - The asset-liability ratio as of December 31, 2022, was approximately 139.66%, compared to 81.87% in 2021[132]. Asset Management - The company reported a loss of joint control or significant influence over certain equity investments due to disposals, with the remaining equity recognized at fair value on the date of loss[2]. - The company assesses impairment of assets when there is evidence of significant declines in market value or performance below expectations[14]. - Deferred tax assets are recognized based on the future taxable income that can offset deductible temporary differences and losses[28]. - The company’s fixed assets include buildings, machinery, transportation equipment, and office equipment, which are recognized when economic benefits are likely to flow[4]. - Construction in progress is transferred to fixed assets upon reaching the intended usable state, with depreciation starting the following month[5]. Revenue Recognition - The company recognizes revenue when control of goods or services is transferred to customers, following the completion of performance obligations[22]. - The company recognizes contract assets for rights to receive consideration for transferred goods or services[38]. Employee Benefits and Costs - The company’s short-term employee benefits include wages, bonuses, and social insurance contributions, recognized as liabilities during the accounting period[17]. - Total employee costs increased from approximately RMB 15 million last year to about RMB 16.21 million this year due to the need for additional R&D personnel for the medium lens Tianxian[126]. Research and Development - Research and development expenses for the medium lens Tianxian amounted to approximately RMB 6.58 million, primarily used for further improving and advancing existing Tianxian products based on market and customer feedback[125]. - The company has developed new high-gain multi-beam lens antennas and new medium lens antennas suitable for high-rise buildings, which are lightweight and cost-effective, addressing coverage issues in urban environments[74]. - The company is focusing on developing more types of new artificial medium lens antenna products to leverage the wide applicability of lens materials across various fields[76]. - The company has developed over 400 communication products related to its core technology, with more than 60 patents held[175]. Market Performance - Sales to the top five customers accounted for approximately 75.59% of the group's main business revenue in the year ended December 31, 2022, up from 54.52% in 2021[85]. - The sales of the Tianxian product segment decreased from approximately RMB 21.73 million in 2021 to about RMB 12.10 million in the current year, representing about 66% of the group's main business revenue[93]. - The group aims to actively fulfill orders signed in 2022 that have not yet been executed, with multiple provincial operators starting new tenders as market demand recovers post-pandemic[83]. - The group has successfully won multiple tender projects from provincial operators in 2023, indicating a positive market response[83]. Corporate Governance - The board is committed to maintaining high levels of transparency and will continue to review corporate governance practices regularly[153]. - The company has established effective risk management and internal control systems, which will be continuously reviewed[169]. - The company has complied with the revised GEM Listing Rules regarding board diversity, maintaining a board composition of one female director and eight male directors as of December 31, 2022[112]. - The remuneration committee held one meeting in 2022, with all members in attendance[114]. - The nomination committee also held one meeting in 2022, focusing on selecting candidates with relevant skills and experience for the company's business[145]. Sustainability and ESG Practices - The company is committed to sustainable development, focusing on resource efficiency and carbon reduction efforts[179]. - The company emphasizes the importance of ESG practices, with the board responsible for ensuring effective management of these issues[176]. - The company plans to invest more human and financial resources into sustainable development initiatives in the future[179]. - The company strictly adheres to national environmental laws and regulations, including the Air Pollution Control Regulations and the Environmental Protection Law of the People's Republic of China[191]. - The company has implemented measures to reduce electronic waste, including purchasing high-quality electronic products to extend their lifespan and ensuring proper disposal through certified recycling companies[193]. - The company recognizes the risks posed by climate change to its business and is actively analyzing potential impacts[198]. - The company aims to integrate environmental protection into employees' daily lives through training and outdoor activities[196]. - The company is aligned with national climate goals, including peak carbon emissions by 2030 and carbon neutrality by 2060[197]. Future Plans - The company plans to implement measures to improve its financial situation, although significant uncertainties regarding its ability to continue as a going concern remain[29]. - The company plans to continue developing agricultural products-related businesses in 2023 to enhance performance through industrial poverty alleviation[130]. - The group plans to leverage its recognized advantages in the lens technology for mobile communication to expand market development in 2023[98]. - The company is actively pursuing opportunities in the telecommunications network operator bidding process to secure more business collaborations[76].

Financial Performance - The net profit for the year 2022 was -30,272,901.46 CNY, indicating a continued loss [13] - The net cash flow from operating activities was -9,688,684.86 CNY for the year 2022 [13] Financial Position - Current liabilities exceeded total current assets by 49,098,867.07 CNY at the end of 2022 [13] - The cash balance at the end of 2022 was 2,189,300.39 CNY, with overdue debts reported [13] Future Outlook - The company disclosed plans to take measures to improve its financial situation, but significant uncertainties regarding its ability to continue as a going concern remain [13]

Financial Performance - Total operating revenue for 2022 was RMB 20,530,084.65, a decrease of 47.5% compared to RMB 39,067,769.85 in 2021[15]. - The company reported a net loss attributable to shareholders of (399,227,694.10) in 2022, compared to (369,103,101.74) in 2021, indicating a worsening of approximately 8.2%[14]. - Net loss for 2022 was RMB 30,272,901.46, compared to a net loss of RMB 22,673,358.63 in 2021, representing an increase in loss of 33.3%[15]. - The total profit for 2022 was RMB -30,282,117.92, compared to RMB -22,659,288.66 in 2021, indicating a significant increase in losses[15]. - The company's net profit for the year 2022 was -30,272,901.46 RMB, indicating a continued loss[38]. - Total revenue for the year was approximately RMB 18,292 million, a decrease from RMB 21,730 million in the previous year, primarily due to delays in project construction caused by the COVID-19 pandemic[109]. - The main business revenue was CNY 18,292,389.57, down from CNY 37,982,656.33 year-on-year, indicating a decrease of about 51.9%[61]. - The total loss from non-operating income was RMB 32,144,370, which includes a loss of RMB 8,464,640 from inventory write-downs and RMB 23,179,730 from other expenses[120]. Assets and Liabilities - Total current assets as of December 31, 2022, amounted to 12,189,300.39, a decrease from 18,391,443.64 in 2021, representing a decline of approximately 33.5%[3]. - Total non-current assets decreased from 77,234,991.88 in 2021 to 62,008,078.64 in 2022, reflecting a reduction of about 19.7%[4]. - The company’s total assets decreased from 117,517,885.18 in 2021 to 92,244,165.94 in 2022, a decline of approximately 21.5%[14]. - Total liabilities decreased from 95,249,692.35 in 2021 to 80,248,874.57 in 2022, indicating a decline of approximately 15.8%[5]. - Current liabilities exceeded current assets by 49,098,867.07 RMB, raising significant doubts about the company's ability to continue as a going concern[21]. - The asset-liability ratio as of December 31, 2022, was approximately 139.66%, compared to 81.87% in 2021[152]. Expenses - Total operating costs for 2022 were RMB 50,034,197.49, down 18.1% from RMB 61,069,531.80 in 2021[15]. - The company reported a significant increase in employee compensation liabilities, rising from 4,980,111.91 in 2021 to 8,798,198.78 in 2022, an increase of approximately 76.5%[5]. - Financial expenses for 2022 were RMB 841,645.12, significantly higher than RMB 161,083.20 in 2021, indicating a rise in interest expenses[15]. - The company's management expenses for 2022 were RMB 22,162,541.12, slightly down from RMB 22,840,545.65 in 2021[15]. - Selling expenses increased from approximately RMB 5.21 million to about RMB 5.73 million, attributed to procurement activities for new lens products[114]. - The group’s management expenses decreased by approximately 3%, from about RMB 22.84 million last year to approximately RMB 22.16 million this year[140]. Research and Development - Research and development expenses for 2022 were RMB 6,578,248.03, an increase of 7.1% from RMB 6,145,716.23 in 2021[15]. - Research and development expenses for the medium lens product line were approximately RMB 6.58 million, primarily aimed at improving existing products based on market and customer feedback[138]. - The company emphasized research and development expenses as a focus area, with the aim to develop more types of new artificial medium lens products[109]. Cash Flow and Financing - The net cash flow from operating activities was -9,688,684.86 RMB, highlighting cash flow challenges[38]. - The company has signed a repayment agreement for a loan of CNY 3,100,000.00, with structured repayments scheduled until December 15, 2023[47]. - The group plans to finance its future development through bank loans, asset optimization, and potential new stock issuance or bond issuance[180]. Shareholder Actions - Shareholders have waived debts totaling 20,000,000.00 RMB, with 10,000,000.00 RMB waived by each of two shareholders[24]. - Shareholders have committed to not recalling debts amounting to CNY 17,113,774.32 before December 31, 2023[46]. Business Strategy and Operations - The company plans to expand its product sales business as part of its growth strategy[44]. - The company is actively pursuing new business collaborations and maintaining follow-ups on bidding projects with telecommunications operators[109]. - The group plans to actively complete orders signed in 2022 that have not yet been executed, with multiple successful bids for provincial operators' projects in 2023[177]. - The group will continue to explore applications of lens technology in various fields, including remote sensing and drone data transmission, to expand its customer base and create new revenue growth points[179]. - The group anticipates that the recovery of market demand will support its efforts in expanding the mobile communication sector, leveraging the recognized advantages of its lens technology products[176]. Impairment and Quality Issues - The company reported a credit impairment loss of RMB -3,819,137.47 in 2022, compared to RMB -670,398.72 in 2021, reflecting a deterioration in asset quality[15]. - The company recognized an impairment loss of RMB 9,309,639.56 related to prepayments for land and buildings, with an additional impairment of RMB 3,805,864.72 for the current period[130]. - The company recorded a significant increase in intermediary fees from RMB 1.71 million to RMB 2.92 million, indicating higher costs associated with business operations[85]. - The company has a total of CNY 13,199,890.71 in accounts receivable, with a significant portion classified as bad debt[55].

Financial Performance - For the nine months ended September 30, 2022, the company recorded an unaudited net loss of approximately RMB 18.56 million, compared to an unaudited net loss of approximately RMB 14.13 million for the same period in 2021[6]. - The unaudited total revenue for the nine months ended September 30, 2022, was approximately RMB 16.65 million, representing 64% of the unaudited total revenue for the same period in 2021[6]. - Total revenue for the period from July 1 to September 30, 2022, was approximately RMB 4.77 million, a decrease of 50.2% compared to RMB 9.59 million in the same period of 2021[26]. - The company reported a net loss of approximately RMB 7.15 million for the period, compared to a net loss of RMB 5.71 million in the same period of 2021[26]. - The group recorded an unaudited gross profit of approximately RMB 5.32 million for the nine months ended September 30, 2022, with a gross profit margin of approximately 31.95%, down from 34.32% in the same period of 2021[94]. Assets and Liabilities - Total current assets as of September 30, 2022, amounted to RMB 31.79 million, a decrease from RMB 40.28 million as of December 31, 2021[9]. - Total non-current assets as of September 30, 2022, were RMB 69.30 million, down from RMB 77.23 million as of December 31, 2021[10]. - Total liabilities as of September 30, 2022, were RMB 97.39 million, compared to RMB 95.25 million as of December 31, 2021[19]. - The total equity attributable to shareholders of the parent company as of September 30, 2022, was RMB 1.28 million, a significant decrease from RMB 19.66 million as of December 31, 2021[22]. - The company reported a total asset of RMB 101.10 million as of September 30, 2022, down from RMB 117.52 million as of December 31, 2021[24]. Cash Flow - Net cash flow from operating activities was negative RMB 4.22 million, compared to negative RMB 20.17 million in the same period of 2021[30]. - Cash inflow from operating activities totaled RMB 25.33 million, while cash outflow was RMB 29.56 million, resulting in a net cash outflow of RMB 4.22 million[31]. - The net cash flow from financing activities was RMB 3,395,784.67 for the current period, compared to RMB 17,873,084.47 in the previous period, indicating a significant decrease[46]. - The company reported a total cash outflow from financing activities of RMB 5,078,674.11, down from RMB 8,445,334.81 in the previous period[45]. - The company's cash and cash equivalents decreased from RMB 4.37 million as of December 31, 2021, to RMB 2.42 million as of September 30, 2022[11]. Expenses - Total operating costs for the same period were approximately RMB 12.19 million, down 21.5% from RMB 15.45 million in the previous year[26]. - Research and development expenses for the period were approximately RMB 1.73 million, a decrease of 51.1% from RMB 3.53 million in the same period of 2021[26]. - Total sales expenses for the period from July 1, 2022, to September 30, 2022, amounted to 2,148,674.95, a significant increase from 1,333,250.74 in the same period of 2021, reflecting a year-over-year growth of approximately 61.3%[65]. - Management expenses for the period from July 1, 2022, to September 30, 2022, reached 4,685,063.66, up from 3,417,087.20 in the same period of 2021, representing an increase of approximately 37.1%[67]. - The total amount of management expenses for the year-to-date period from January 1, 2022, to September 30, 2022, was 14,008,357.36, compared to 10,466,709.52 in the same period of 2021, which is an increase of approximately 33.1%[67]. Shareholder Information - As of September 30, 2022, Mr. Xiao Bing holds 550,832,335 shares of domestic shares, representing approximately 44.00% of the total issued domestic shares[107]. - Mr. Chen Ji holds 273,344,804 shares of domestic shares, representing approximately 21.84% of the total issued domestic shares[107]. - Tianan Enterprise holds 328,363,637 domestic shares, accounting for approximately 26.23% of the total issued domestic shares[114]. - The company has a notable presence of family members in shareholding, with Mr. Xiao Bing and Mr. Chen Ji having substantial stakes through controlled companies[110]. - The total number of domestic shares issued is not specified, but the significant holdings indicate a concentrated ownership structure[114]. Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15 for the nine months ending September 30, 2022[132]. - The company has adopted a code of conduct for securities transactions by directors in accordance with GEM Listing Rules, with no known violations reported[133]. - The audit committee, established on April 4, 2003, reviewed the unaudited consolidated results for the nine months ending September 30, 2022, ensuring compliance with applicable accounting standards[135]. - The board of directors consists of both executive and non-executive members, ensuring a diverse governance structure[135]. - The unaudited consolidated results have been adequately disclosed and prepared according to relevant regulations[135].

Financial Performance - For the six months ended June 30, 2022, the company recorded an unaudited net loss of approximately RMB 11.41 million, compared to an unaudited net loss of approximately RMB 8.41 million for the same period in 2021[4]. - The unaudited total revenue for the six months ended June 30, 2022, was approximately RMB 11.87 million, representing 72% of the unaudited total revenue for the same period in 2021[4]. - Total revenue for the period from January 1 to June 30, 2022, was CNY 11,874,165.28, a decrease of 28.0% compared to CNY 16,453,870.94 in the same period of 2021[10]. - Operating profit for the first half of 2022 was CNY (11,838,074.73), compared to CNY (8,460,262.72) in the same period of 2021, indicating a worsening performance[10]. - Net profit for the first half of 2022 was CNY (11,410,578.68), compared to CNY (8,412,716.60) in the same period of 2021, reflecting a significant increase in losses[10]. - The gross profit for the six months ended June 30, 2022, was approximately RMB 3.93 million, with a gross margin of about 33.10%, compared to a gross margin of approximately 39.20% for the same period in 2021[113]. - The company reported a net loss attributable to shareholders of RMB (11,267,948.35) for the six months ended June 30, 2022, compared to a net loss of RMB (8,240,122.60) for the same period in 2021[102]. Assets and Liabilities - The company's total current assets as of June 30, 2022, amounted to RMB 36.76 million, a decrease from RMB 40.28 million as of December 31, 2021[6]. - The company's total liabilities as of June 30, 2022, were RMB 97.54 million, compared to RMB 95.25 million as of December 31, 2021[8]. - The company's total assets as of June 30, 2022, were RMB 108.40 million, down from RMB 117.52 million as of December 31, 2021[8]. - The company's retained earnings as of June 30, 2022, were negative at RMB (380.37) million, compared to RMB (369.10) million as of December 31, 2021[8]. - The total accounts receivable as of June 30, 2022, was RMB 27,236,167.89, an increase from RMB 26,972,562.33 as of December 31, 2021[50]. - The total accounts payable decreased to RMB 13,747,645.98 as of June 30, 2022, from RMB 16,339,298.78 as of December 31, 2021[59]. Cash Flow - Cash flow from operating activities for the first half of 2022 was CNY (2,827,536.35), an improvement from CNY (14,173,588.61) in the same period of 2021[12]. - Cash inflow from operating activities totaled CNY 14,439,822.13, up from CNY 9,865,017.20 in the first half of 2021, representing a growth of 46.0%[12]. - Cash outflow from operating activities decreased to CNY 17,267,358.48 from CNY 24,038,605.81 in the same period of 2021, a reduction of 28.1%[12]. - Cash flow from investing activities for the first half of 2022 was CNY (443,436.20), compared to CNY 2,435,242.59 in the same period of 2021, indicating a decline in investment returns[21]. - Cash inflow from financing activities was CNY 5,893,686.09, down from CNY 20,068,198.02 in the first half of 2021, showing a decrease of 70.7%[30]. - Cash and cash equivalents as of June 30, 2022, were RMB 3.83 million, down from RMB 4.37 million as of December 31, 2021[6]. - Cash and cash equivalents at the end of June 30, 2022, totaled RMB 3,657,598.70, an increase from RMB 2,191,388.05 at the end of 2021[105]. Expenses - Research and development expenses for the first half of 2022 were CNY 3,194,334.29, a decrease from CNY 6,459,864.08 in the same period of 2021, indicating a reduction in R&D investment[10]. - Management expenses totaled 4,803,746.44 in 2022, a significant increase from 3,295,112.11 in 2021, representing a year-over-year growth of approximately 45.7%[77]. - Sales expenses for the first half of 2022 totaled 2,761,606.93, an increase from 1,986,706.95 in the same period of 2021, marking an increase of about 39%[74]. - The company incurred approximately RMB 170,000 in capital expenditures for machinery and office equipment during the period, compared to RMB 110,000 in 2021[51]. - The company incurred total operating expenses of RMB 1,431.69 for the six months ended June 30, 2022, compared to RMB 5,052.15 for the same period in 2021[90]. Market and Strategic Outlook - The company’s market expansion strategy includes a focus on new product development and technology innovation, although specific details were not disclosed in the conference call[69]. - Future outlook indicates a cautious approach to market conditions, with a focus on cost management and operational efficiency to navigate the current economic landscape[69]. - The group will focus on expanding its mobile communication business and actively pursue procurement projects related to the lens technology from major operators[126]. - The group aims to enhance user experience in complex scenarios by improving network coverage and developing various communication derivative products[126]. Shareholder Information - As of June 30, 2022, major shareholders include Tianan Enterprises with 328,363,637 shares, representing 26.23% of total issued domestic shares[146]. - Chen Jing holds 550,832,335 shares, accounting for 44.00% of total issued domestic shares[146]. - The company has a total of 1,250,000,000 issued domestic shares, with significant ownership concentration among a few shareholders[146]. - The largest shareholder, Tianan Enterprises, is controlled by Xiao Bing and his spouse Chen Jing, who collectively own 60% and 40% respectively[150]. - The company has a total of 645,000,000 issued H shares, indicating a diverse shareholder base[149]. Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15[161]. - The Audit Committee has reviewed the unaudited consolidated results for the six months ended June 30, 2022, ensuring compliance with applicable accounting standards[164]. - The board of directors consists of both executive and independent non-executive members, ensuring a diverse governance structure[164]. - The company has adopted a code of conduct for securities transactions by directors, ensuring compliance with relevant standards[163].

Financial Performance - For the three months ended March 31, 2022, the company recorded an unaudited net loss of approximately RMB 5.94 million, compared to an unaudited net loss of approximately RMB 2.79 million for the same period in 2021[5]. - The unaudited total revenue for the three months ended March 31, 2022, was approximately RMB 7.09 million, representing a decrease of about 90% compared to the unaudited total revenue of the same period in 2021[5]. - Total operating revenue for Q1 2022 was RMB 7,092,484.82, a decrease of 9.5% compared to RMB 7,841,018.43 in Q1 2021[19]. - The total revenue for the first quarter of 2022 was approximately RMB 6,748,325.11, a decrease of about 12.5% compared to RMB 7,711,875.58 in the same period of 2021[68]. - The company reported a comprehensive income total of RMB (5,878,713.84) for Q1 2022, indicating a loss compared to the previous year's figures[38]. - The company recorded a net loss of approximately RMB 5,927,448.93 for the first quarter of 2022, compared to a net loss of RMB 2,789,813.47 in the same period of 2021[76]. Assets and Liabilities - As of March 31, 2022, total current assets amounted to RMB 35.10 million, down from RMB 40.28 million as of December 31, 2021[11]. - Total non-current assets as of March 31, 2022, were RMB 74.46 million, compared to RMB 77.23 million as of December 31, 2021[12]. - Total liabilities as of March 31, 2022, were RMB 93.23 million, a decrease from RMB 95.25 million as of December 31, 2021[17]. - The total equity attributable to shareholders of the parent company was RMB 13.79 million as of March 31, 2022, down from RMB 19.66 million as of December 31, 2021[17]. - The company reported a decrease in cash and cash equivalents to RMB 3.03 million as of March 31, 2022, from RMB 4.37 million as of December 31, 2021[11]. Expenses - Total operating costs increased to RMB 13,058,105.62 in Q1 2022, up 18.3% from RMB 11,045,044.03 in Q1 2021[19]. - Research and development expenses decreased to RMB 1,645,277.06 in Q1 2022, down 43.4% from RMB 2,909,547.85 in Q1 2021[19]. - The company reported a significant increase in sales expenses, which rose to RMB 1,794,982.43 in Q1 2022 from RMB 625,123.18 in Q1 2021, marking a 187.5% increase[19]. - Management expenses amounted to 4,519,547.26 in Q1 2022, up from 3,754,510.21 in Q1 2021, reflecting an increase of approximately 20.4%[50]. - Financial expenses for Q1 2022 totaled 195,987.79, an increase from 121,758.63 in Q1 2021, representing a growth of approximately 60.9%[53]. Shareholder Information - The company’s registered capital is RMB 189,762,900.00, with a paid-in capital also at RMB 189,762,900.00[40]. - The company’s shareholding structure shows that the largest shareholder holds 17.30% of the total shares, with the top three shareholders collectively owning 39.03%[45]. - As of March 31, 2022, Mr. Xiao holds 550,832,335 domestic shares, representing approximately 44.00% of all issued domestic shares[82]. - Mr. Chen holds 273,344,804 domestic shares, representing approximately 21.84% of all issued domestic shares[82]. - The company has a significant shareholder, Tianan Enterprise, which holds 328,363,637 domestic shares, accounting for approximately 26.23% of all issued domestic shares[90]. Corporate Governance - The company has complied with the corporate governance code as per GEM Listing Rules Appendix 15 as of March 31, 2022[108]. - The audit committee, consisting of independent non-executive directors, reviewed the unaudited consolidated results for the three months ended March 31, 2022[111]. - The company has adopted a code of conduct for securities trading by directors, with no known violations reported[109]. - There are no known interests or potential conflicts of interest among directors, supervisors, or management shareholders in competing businesses[107]. Operational Strategy - The company faced operational challenges due to temporary control measures related to COVID-19, impacting production and sales[68]. - The company anticipates a higher bidding share in upcoming procurement activities due to previous network tests and technical exchanges conducted in 2021[80]. - The production capacity for medium lens products has been enhanced to meet the increasing sales orders[80]. - The company will focus on the sales of lens products and related services, closely monitoring the operational funding needs arising from increasing sales orders[80]. - The company is considering further financing through bank loans, share issuance, and bond issuance to ensure smooth operations and development[80].

Revenue Growth - The total revenue for the year ended December 31, 2021, was approximately RMB 39.07 million, a significant increase of about 221% compared to RMB 12.18 million in 2020[11]. - The growth in revenue was primarily driven by the successful development and sales of artificial medium lens antenna products[11]. - The revenue from the medium lens product sales increased significantly from approximately RMB 2.8 million last year to about RMB 21.73 million this year, representing a growth of approximately 676%[12]. - The agricultural products sales segment reported an increase in revenue from approximately RMB 5.27 million to about RMB 16.19 million, marking a growth of approximately 207%[14]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion in the last fiscal year, representing a 20% year-over-year growth[181]. Product Development and Innovation - The company has introduced medium lens antennas into the mobile communication market since 2019, obtaining 6 invention patents and 17 utility model patents by the end of 2020[11]. - The company has increased support for research and development, optimizing antenna product performance and developing new models of lens antennas[7]. - The company is developing derivative products such as lens small base stations and lens WiFi to enhance its core competitiveness in the mobile communication business[8]. - The company has developed over 400 communication products related to its core technology, widely applied across various provinces in China[73]. - Research and development investments have increased by 10%, focusing on next-generation technologies and product enhancements[181]. Financial Performance - The gross profit for the year was approximately RMB 12.49 million, with a gross profit margin of about 31.96%, an increase of 8.58% from the previous year's margin of approximately 23.38%[15]. - The net loss for the year decreased from approximately RMB 34.54 million to about RMB 22.67 million, primarily due to increased operating revenue of approximately RMB 26.89 million and a rise in operating costs of about RMB 17.25 million[22]. - The group recorded a financial expense of approximately RMB 0.16 million, which is about 56% of last year's expenses, with short-term bank borrowings of approximately RMB 8.5 million raised to support working capital needs[20]. - The supervisory board confirmed that the financial statements accurately reflect the company's operational performance and asset status as of December 31, 2021[200]. - The company maintained strict adherence to accounting standards in its financial management, ensuring timely and appropriate preparation of financial statements[200]. Cost Management - The company has implemented effective cost control measures to mitigate the impact of the COVID-19 pandemic on business operations[11]. - Sales expenses surged from approximately RMB 0.88 million to about RMB 5.21 million, an increase of approximately 494% due to expanded after-sales personnel and increased procurement activity[18]. - Operational efficiency improvements are expected to reduce costs by 5%, contributing to overall profitability[181]. Employee Management - Employee costs for 2021 totaled approximately RMB 15 million, an increase from RMB 13.11 million in 2020, with a workforce of 125 full-time employees[37]. - The proportion of employees participating in training rose from 88.04% in 2020 to 95.20% in 2021, indicating a significant improvement in employee engagement in training programs[135]. - The company emphasizes a "safety first, prevention first" philosophy, implementing strict safety protocols and regular training to minimize workplace accidents[130]. - Employee turnover rates for males and females were 14.29% and 29.03% respectively in 2021, compared to 8.70% and 10.87% in 2020[119]. - The company actively promotes employee mental health and work-life balance through various activities, including team-building events and sports competitions[130]. Governance and Compliance - The board of directors consists of 11 members, including 2 executive directors and 9 non-executive directors, ensuring a balanced composition for effective governance[43]. - The board has adopted a diversity policy to ensure a balanced mix of skills, knowledge, and experience among its members, reflecting various backgrounds[42]. - The company has established an anonymous reporting mechanism to encourage employees to report any illegal or dishonest behavior[155]. - The company has implemented a robust anti-corruption management system, strictly adhering to various applicable laws and regulations[154]. - The supervisory board has actively monitored the management's performance and provided reasonable suggestions for the company's operational and development plans[199]. Environmental Sustainability - The company aims to invest more resources in sustainable development, focusing on resource efficiency and carbon reduction[78]. - The company adheres to strict environmental regulations and has implemented internal environmental policies[95]. - The company has established an effective environmental management system to minimize the impact of its operations on the environment and to comply with relevant environmental laws and regulations[104]. - The company actively seeks to reduce waste generation while finding ways to repurpose waste resources[98]. - The company recognizes the risks posed by climate change and has developed emergency plans to maintain normal operations in the event of extreme weather events[108]. Market Strategy - The company plans to maintain close communication with stakeholders, including customers, employees, and investors, to address social and environmental issues[78]. - The company is expanding its market presence in Southeast Asia, targeting a 30% market share within the next two years[181]. - A strategic acquisition of a smaller tech firm is anticipated to enhance the company's product offerings and increase market competitiveness[181]. - The company plans to implement new marketing strategies aimed at increasing brand awareness and customer retention, with a budget allocation of 50 million[181]. - The group plans to enhance market development and customer base expansion, focusing on the "lens" application development line[27].