Market Position and Risks - Shanxi Changcheng Microlight Equipment Co. Ltd. is positioned on the GEM market, catering to small and mid-sized companies, which may carry higher investment risks compared to those listed on the Main Board[1]. - Securities traded on GEM are generally more susceptible to high market volatility, and there is no assurance of a liquid market for these securities[2]. Corporate Governance - The directors of Shanxi Changcheng confirm that the information in the report is accurate and complete in all material respects, with no misleading or deceptive elements[4]. - The report complies with the Rules Governing the Listing of Securities on GEM, aimed at providing information about Shanxi Changcheng Microlight Equipment Co. Ltd.[4]. - The company has established various committees, including an Audit Committee and a Remuneration Committee, to enhance corporate governance[12][13]. - The report outlines the corporate governance practices and compliance measures undertaken by the company[7]. - The Company’s board of directors includes both executive and non-executive members, with changes in leadership noted during the reporting period[175][176]. - The Company’s governance structure includes independent non-executive directors, ensuring compliance with regulatory standards[176]. Financial Performance - The report includes a comprehensive financial summary over five years, providing insights into the company's financial performance[7]. - The Group's turnover for the year ended 31 December 2019 was approximately RMB39,609,000, representing an increase of approximately 50.11% compared to RMB26,386,000 in 2018[47]. - Sales of fiber optic inverters and microchannel plates increased by approximately RMB9,100,000 and RMB6,521,000 respectively during the same period[47]. - The cost of sales for the year ended 31 December 2019 was approximately RMB21,533,000, an increase of approximately 14.48% from RMB18,810,000 in 2018[48]. - The gross profit margin for the year ended 31 December 2019 was 45.64%, up from 28.71% in 2018, attributed to increased production volume and improved product passing rates[49]. - Other income, gains, and losses amounted to approximately RMB8,188,000 for the year ended 31 December 2019, an increase of approximately RMB6,882,000 compared to RMB1,306,000 in 2018[54]. - Administrative and other operating expenses decreased to approximately RMB24,324,000 in 2019 from RMB31,754,000 in 2018, a reduction of approximately RMB7,430,000[55]. - Finance costs increased to approximately RMB9,189,000 for the year ended 31 December 2019, up from RMB5,272,000 in 2018, representing an increase of approximately RMB3,917,000[56]. - The loss after tax for the year ended 31 December 2019 was approximately RMB8,134,000, a significant improvement from a loss of RMB29,241,000 in 2018[57]. Operational Changes and Initiatives - The Group has implemented operational measures since Q4 2018 to improve production processes, enhance product passing rates, and strengthen internal management, resulting in increased production volume and gross profit margin[33]. - The management team has undergone changes since Q4 2018, focusing on improving operational and production capabilities[29]. - The Company aims to enhance corporate value and financial performance through comprehensive improvements in operations, production, and market development[21]. - The company is focused on expanding its market presence and enhancing its product offerings[109]. - The company is committed to innovation and technology development in the optoelectronics sector[110]. - The company is actively pursuing strategic initiatives to enhance shareholder value[99]. Financial Assistance and Liabilities - The Group received a subsidy of RMB20,000,000 from the Taiyuan City government to support its industrial transformation and technology upgrade project[34]. - As of December 31, 2019, the Group reported net current liabilities of approximately RMB65,421,000 and net liabilities of RMB46,050,000, indicating significant uncertainty about its ability to continue as a going concern[35]. - The Company has negotiated a revised loan agreement with a substantial shareholder, extending the loan term of RMB18,185,000 to three years and delaying interest payments for 2019 and 2020 to 2021[39]. - In Q2 2019, the Company secured interest waivers for loans amounting to RMB11,200,000 and RMB5,824,000 from its substantial shareholder and another borrower, respectively[40]. - The Group obtained financial assistance from Taiyuan Changcheng, with an amount due of approximately RMB18,608,000 as of 31 December 2019[58]. - Shareholders' Loan A and Loan B were granted in the amounts of RMB60,000,000 and RMB20,000,000 respectively, aimed at funding technological transformation and replenishing working capital[45][50]. Assets and Liabilities Overview - As of December 31, 2019, the Group's total assets increased by approximately RMB 13,717,000 to approximately RMB 162,034,000, representing an increase of approximately 9.25% compared to the previous financial period[73]. - As of December 31, 2019, the Group's total liabilities increased by approximately RMB 20,874,000 to approximately RMB 208,084,000, representing an increase of approximately 11.15% compared to the previous financial period[74]. - As of December 31, 2019, the Group's total equity decreased by approximately RMB 7,157,000 to approximately negative RMB 46,050,000 compared to approximately negative RMB 38,893,000 at the end of the previous financial period[75]. - As of December 31, 2019, the Group had outstanding bank borrowings of RMB 13,000,000, which had been renewed in December 2019 for a term of three years[64]. - As of December 31, 2019, the Group had outstanding other borrowings of approximately RMB 65,177,000, including a non-current portion of approximately RMB 53,049,000[65]. - As of December 31, 2019, the gearing ratio of the Group was approximately 135%, down from 143% in 2018[76]. - As of December 31, 2019, certain assets with a carrying amount of approximately RMB 134,000 and RMB 47,137,000 were pledged to secure bank borrowings[85]. Shareholder Information - Mr. GL Yuan holds 3,645,000 H shares and his spouse holds 250,000 H shares of the Company[115]. - Mr. Wu Bo was appointed as the chairman of the board of directors on February 16, 2020[116]. - Mr. Xu Yongfeng is the chairman and a member of the audit committee, appointed on March 26, 2019[121]. - Ms. Han Xiaoou has been a supervisor since May 27, 2011 and is currently the chairman of the labor union[129]. - Mr. Dong Yonghong has been the project manager of the research and development centre since February 2006[130]. - Mr. Fan Jiming has been the deputy general manager since 1999 and currently serves as the director of infrastructure and safety[136]. - The Group's largest customer accounted for approximately 24% of total turnover in 2019, down from 36% in 2018[161]. - The five largest customers accounted for approximately 78% of total turnover in 2019, down from 89% in 2018[161]. - The Group's largest supplier accounted for approximately 40% of total purchases in 2019, down from 48% in 2018[161]. - The five largest suppliers accounted for approximately 62% of total purchases in 2019, down from 69% in 2018[161]. Dividend and Reserves - The Company does not recommend the payment of a final dividend for the year ended December 31, 2019[143]. - The Company had reserves available for dividend distribution to shareholders amounting to RMBNil as of December 31, 2019[146]. Audit and Compliance - The auditors issued a disclaimer of opinion regarding the consolidated financial statements for the year ended December 31, 2019, and the Board plans to discuss shareholder loans totaling RMB 80,000,000 to address this issue[90]. - The Company maintains a register of substantial shareholders as required under the Securities and Futures Ordinance[195].

Financial Performance - For the first quarter of 2020, the company reported total revenue of RMB 10,272,000, a decrease from RMB 10,272,000 in the same period of 2019[6] - The cost of sales for the first quarter of 2020 was RMB 5,878,000, resulting in a gross loss of RMB 4,394,000[6] - The company incurred a total loss of RMB 3,654,000 for the first quarter of 2020, compared to a loss of RMB 1,525,000 in the same period of 2019, representing an increase of 140%[6] - Basic and diluted loss per share for the first quarter of 2020 was RMB 0.012, compared to RMB 0.005 in the same period of 2019[15] - The group recorded a net loss of approximately RMB 3,654,000 for the three months ended March 31, 2020, compared to a loss of RMB 1,525,000 for the same period in 2019[27] Expenses and Costs - Administrative and other operating expenses decreased to RMB 3,467,000 in the first quarter of 2020 from RMB 3,873,000 in the same period of 2019[6] - Financial expenses for the first quarter of 2020 were RMB 925,000, down from RMB 1,966,000 in the same period of 2019, a reduction of approximately 53%[12] - Administrative and other operating expenses for the three months ended March 31, 2020, were approximately RMB 3,467,000, a decrease of about RMB 406,000 compared to the previous year[27] Equity and Liabilities - The total equity attributable to the owners of the company decreased to RMB 42,748,000 as of March 31, 2020, from RMB 40,389,000 as of March 31, 2019[17] - As of March 31, 2020, the group's current liabilities and total liabilities were approximately RMB 52,727,000 and RMB 42,773,000, respectively, indicating significant uncertainty regarding the group's ability to continue as a going concern[20] - The group has a bank loan outstanding of RMB 13,000,000, secured by properties located in Shanxi, with a loan term starting from December 30, 2019, for three years[30] - The group has other borrowings outstanding of approximately RMB 71,943,000 as of March 31, 2020[31] Shareholder Information - Major shareholder Zhang Shaohui holds 82,200,000 shares, representing 41.34% of the company's domestic shares and 26.61% of the total equity[39] - The company has a significant concentration of ownership, with the top three shareholders holding over 80% of the domestic shares[39] Dividends and Share Transactions - The company did not declare any dividends for the first quarter of 2020, consistent with the previous year[16] - The company has no share buyback, purchase, or sale of its listed securities during the three months ending March 31, 2020[45] - The company does not have any share option schemes in place as of March 31, 2020[46] Operational Impact - The group's production facilities have been severely impacted by the COVID-19 pandemic, leading to a temporary halt in production since early 2020[23] - The group has experienced a significant decline in sales returns, with the sales return amount for fiber optic image converters exceeding the sales amount, resulting in negative sales figures for the period[25] Financial Support - The group has received financial support from major shareholders, with amounts payable to Taiyuan Changcheng and Beijing Zhongze totaling approximately RMB 18,828,000 and RMB 669,000, respectively, as of March 31, 2020[28] Taxation - The company reported no income tax expenses for the first quarter of 2020, as it did not generate taxable profits in Hong Kong[13] Governance and Compliance - The audit committee has been established to review and supervise the financial reporting system, risk management, and internal control systems of the group[52] - The company has no significant contracts that involve the board of directors or supervisors with substantial interests as of March 31, 2020[49] - There are no competitive interests held by the board of directors, supervisors, or management shareholders in businesses that may compete with the company as of March 31, 2020[50] Future Outlook - The company’s future outlook and performance guidance are not specified in the available information[37] - The company’s financial performance for the first quarter of 2020 is not detailed in the provided documents[34] - There is no mention of market expansion or mergers and acquisitions in the current financial report[37] - The company has not disclosed any new product or technology developments in the provided documents[37]

Financial Performance - For the three months ended September 30, 2019, the company reported revenue of RMB 11,113,000, a 63.5% increase compared to RMB 6,801,000 for the same period in 2018[3]. - The gross profit for the nine months ended September 30, 2019, was RMB 15,113,000, representing a 213.5% increase from RMB 4,821,000 in the same period of 2018[3]. - The net profit for the nine months ended September 30, 2019, was RMB 652,000, compared to a net loss of RMB 11,192,000 for the same period in 2018[3]. - Basic and diluted earnings per share for the nine months ended September 30, 2019, were RMB 0.002, compared to a loss per share of RMB 0.036 for the same period in 2018[14]. - The company reported a revenue of approximately RMB 35,865,000 for the nine months ended September 30, 2019, representing a 93% increase compared to RMB 18,587,000 for the same period in 2018[32]. - The gross profit margin improved to 42.14% for the nine months ended September 30, 2019, up from 25.94% in the same period of 2018, attributed to increased production and improved product quality[34]. - The company achieved a profit after tax of approximately RMB 652,000 for the nine months ended September 30, 2019, compared to a loss of RMB 11,192,000 in the same period of 2018[35]. Expenses and Costs - The company incurred finance costs of RMB 5,749,000 for the nine months ended September 30, 2019, an increase from RMB 3,470,000 in the same period of 2018[12]. - The total sales and distribution expenses for the nine months ended September 30, 2019, were RMB 729,000, compared to RMB 614,000 for the same period in 2018[3]. - The sales cost for the nine months ended September 30, 2019, was approximately RMB 20,752,000, an increase of about 51% from RMB 13,766,000 in the previous year[32]. - Administrative and other operating expenses were approximately RMB 13,133,000 for the nine months ended September 30, 2019, a slight increase from RMB 12,636,000 in the same period of 2018[35]. - Financial costs increased to approximately RMB 5,749,000 for the nine months ended September 30, 2019, from RMB 3,470,000 in the previous year, primarily due to interest from loan modifications[35]. Sales and Revenue Breakdown - For the nine months ended September 30, 2019, total sales to external customers amounted to RMB 35,865,000, a 93.1% increase from RMB 18,587,000 in the same period of 2018[19]. - The sales breakdown by product for 2019 shows that fiber optic image converters accounted for 42% of total revenue, while microchannel plates accounted for 38%, indicating a shift in product demand[19]. Financial Position and Liabilities - As of September 30, 2019, the company had net current liabilities of approximately RMB 58,209,000 and total liabilities of RMB 37,264,000, highlighting liquidity concerns[24]. - The company’s total liabilities increased, reflecting the financial costs and operational expenses incurred during the reporting period[12]. - As of September 30, 2019, the group had outstanding bank borrowings of approximately RMB 13,238,000, which were due in November 2016 and remain unpaid[38]. - The group had other borrowings of approximately RMB 64,590,000, including a non-current portion of approximately RMB 53,208,000 and a current portion of approximately RMB 11,382,000 as of September 30, 2019[38]. - The group pledged land use rights and property with a carrying value of approximately RMB 10,314,000 and RMB 31,000 to secure bank borrowings as of September 30, 2019[41]. Government Support and Financial Restructuring - The company received a government subsidy of RMB 20,000,000 on December 26, 2018, to support its industrial transformation and technology upgrade projects[22]. - The company has restructured loan agreements with major shareholders, extending repayment terms and deferring interest payments to improve financial stability[24]. - The company has engaged in debt restructuring discussions with shareholders and lenders to alleviate financial pressures and seek additional support[26]. Management and Governance - The management team has undergone changes since Q4 2018, with a focus on improving operational, production, management, R&D, and market development capabilities[21]. - The company has established an audit committee responsible for reviewing and supervising the financial reporting system, risk management, and internal control systems[58]. - The board of directors consists of nine members, including four executive directors and three independent non-executive directors[60]. - The company’s chairman is Zhao Zhi, who leads the board[59]. - The audit committee is chaired by Mr. Xu Yongfeng, an independent non-executive director[58]. Shareholding and Equity - Major shareholder Zhang Shaohui held 82,200,000 shares, representing 41.34% of the company's total equity as of September 30, 2019[46]. - The group had a total of 80,160,000 shares held by Taiyuan Changcheng, representing 40.31% of the total equity as of September 30, 2019[46]. - The company reported that 34,000,000 shares, or 17.10% of the total equity, were held by Liaoning Shuguang Industrial Group as of September 30, 2019[46]. - The company had a total of 24,900,000 shares, representing 12.52% of the total equity, held by Taiyuan Tanghai Automatic Control Co., Ltd. as of September 30, 2019[46]. Other Information - The company has not applied new accounting standards that have been issued but are not yet effective, which are not expected to have a significant impact on the financial statements[9]. - The company has not disclosed any other significant interests or shareholdings by individuals related to the company[55]. - There were no share buyback activities conducted by the company or its subsidiaries during the nine months ending September 30, 2019[52]. - The company does not have any stock option plans in place[53]. - No dividends were recommended for the nine months ended September 30, 2019, reflecting the company's focus on financial recovery[16].

(股份代號：8286) （於中華人民共和國註冊成立之股份有限公司） 2019 中期報告 僅供識別 山西長城微光器材股份有限公司 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上巿的市場，此等公司相比起其他在聯交所上巿 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券 承受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 香港交易及結算所有限公司及聯交所對本報告的內容概不負責，對其準確性或完整性亦 不發表任何聲明，並明確表示，概不就因本報告全部或任何部份內容而產生或因倚賴該 等內容而引致的任何損失承擔任何責任。 本報告乃遵照聯交所GEM證券上市規則之規定而提供有關山西長城微光器材股份有限公 司（「本公司」）之資料，本公司各董事願共同及個別對此承擔全部責任。本公司董事經作 出一切合理查詢後確認，就彼等深知及確信，本報告所載資料於各重大方面均屬準確及 完整，且無誤導或欺詐成份，以及並無遺漏任何其他事實致使本報告所 ...

山西長城微光器材股份有限公司 香港聯合交易所有限公司（「聯交所」）GEM的特色 GEM的定位，乃為中小型公司提供一個上巿的市場，此等公司相比起其他在聯交所上巿 的公司帶有較高投資風險。有意投資的人士應了解投資於該等公司的潛在風險，並應經 過審慎周詳的考慮後方作出投資決定。 由於GEM上市公司普遍為中小型公司，在GEM買賣的證券可能會較於主板買賣之證券 承受較大的市場波動風險，同時無法保證在GEM買賣的證券會有高流通量的市場。 香港交易及結算所有限公司及聯交所對本報告的內容概不負責，對其準確性或完整性亦 不發表任何聲明，並明確表示，概不就因本報告全部或任何部份內容而產生或因倚賴該 等內容而引致的任何損失承擔任何責任。 本報告乃遵照聯交所GEM證券上市規則之規定而提供有關山西長城微光器材股份有限公 司（「本公司」）之資料，本公司各董事願共同及個別對此承擔全部責任。本公司董事經作 出一切合理查詢後確認，就彼等深知及確信，本報告所載資料於各重大方面均屬準確及 完整，且無誤導或欺詐成份，以及並無遺漏任何其他事實致使本報告所載任何聲明或本 報告有所誤導。 二零一九年第一季度業績報告 1 山西長城微光器材股份有限公司 財務 ...

Financial Performance - The company reported a significant increase in revenue, achieving a total of 100 million RMB, representing a 20% growth compared to the previous year[11]. - The Group's revenue for the year ended 31 December 2018 was approximately RMB26,386,000, representing an increase of approximately 37.9% compared to the previous year[32]. - The loss after tax for the year ended 31 December 2018 was approximately RMB29,241,000, slightly higher than the loss of RMB28,576,000 in 2017[48]. - The Group incurred a loss attributable to owners of approximately RMB29,237,000 for the year ended 31 December 2018, with net current liabilities of approximately RMB110,133,000 and net liabilities of approximately RMB38,893,000[49]. - The Group's financial results for the year ended December 31, 2018, are detailed in the accompanying consolidated financial statements[135]. Operational Efficiency - The management emphasized a focus on improving operational efficiency, aiming for a 10% reduction in costs[11]. - The Group plans to implement production technology upgrades and measures to enhance production efficiency and product quality[36]. - The gross profit margin for the year ended 31 December 2018 was 28.7%, up from 19.2% in 2017, primarily due to improved production processes[40]. Market Expansion - The company is expanding its market presence in Southeast Asia, targeting a 10% market share within the next two years[11]. - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 25%[11]. - New product development includes the launch of a cutting-edge microlight equipment line, expected to contribute an additional 30 million RMB in revenue[11]. Research and Development - The company plans to invest 5 million RMB in research and development for new technologies in the upcoming year[11]. - The company is committed to innovation, as evidenced by the independent development of a miniature ECG recorder[101]. Financial Assistance and Liabilities - The Group received a subsidy of RMB20,000,000 from the Taiyuan City government to support its industrial transformation and technological upgrade project[37]. - The Group received financial assistance from Taiyuan Changcheng amounting to approximately RMB18,871,000, including interest[59]. - The total liabilities of the Group increased by approximately RMB 62,490,000 to approximately RMB 187,210,000, representing an increase of approximately 50% compared to the previous financial year[75]. Sustainability Initiatives - A commitment to sustainability initiatives was highlighted, with plans to reduce carbon emissions by 20% over the next five years[11]. Shareholder Information - The Company has not reported any reserves available for dividend distribution in the past two years[138]. - The Company did not recommend the payment of a final dividend for the year ended December 31, 2018, consistent with 2017[135]. - The interests of substantial shareholders as of December 31, 2018, are recorded in the register required under Section 336 of the SFO[189]. Management and Governance - The company has a strong management team with diverse backgrounds in finance and engineering, enhancing its operational capabilities[104]. - The board includes independent non-executive directors who contribute to governance and strategic oversight[111]. - The Company’s annual report includes biographical details of directors, supervisors, and senior management[180]. Employee Information - The Group had approximately 510 full-time employees as of December 31, 2018, with staff costs reported at approximately RMB 21,160,000[89]. - Employer's pension scheme contributions for the year were approximately RMB5,852,000, compared to RMB5,722,000 in 2017[159].