Financial Performance - For the three months ended September 30, 2021, the company's revenue was RMB 20,255 thousand, a decrease of 36.6% compared to RMB 31,930 thousand for the same period in 2020[4] - The gross profit for the three months ended September 30, 2021, was RMB 5,928 thousand, down 44.5% from RMB 10,619 thousand in the same period of 2020[4] - The operating profit for the nine months ended September 30, 2021, was RMB 2,075 thousand, a decline of 79.5% compared to RMB 10,082 thousand for the same period in 2020[4] - The net profit for the three months ended September 30, 2021, was a loss of RMB 54 thousand, compared to a profit of RMB 3,112 thousand in the same period of 2020[4] - The total comprehensive income attributable to owners of the company for the nine months ended September 30, 2021, was RMB 525 thousand, down 91.3% from RMB 6,035 thousand for the same period in 2020[4] - The company reported a pre-tax profit of RMB 525,000 for the nine months ended September 30, 2021, compared to RMB 6,035,000 for the same period in 2020, representing a decrease of approximately 91.3%[26] - Total sales revenue for the nine months ended September 30, 2021, was approximately RMB 55.1 million, a decrease of about 20.1% from RMB 68.9 million for the same period in 2020[49] - The pre-tax profit decreased by approximately 80.8% to about RMB 1.9 million from RMB 9.9 million in the previous year[49] Sales Performance - The sales of fiberglass products for the three months ended September 30, 2021, were RMB 20,255 thousand, a decrease of 36.6% compared to RMB 31,930 thousand in the same period of 2020[15] - The company reported a decrease in sales of phenolic grating products from RMB 18,056 thousand in the three months ended September 30, 2020, to RMB 11,172 thousand in the same period of 2021[15] - Domestic market sales decreased by approximately 18.8% to about RMB 346 million, accounting for approximately 62.8% of total sales, an increase of 1 percentage point from 61.8% in the same period of 2020[33] - The revenue from fiberglass grating products, the largest revenue source, was approximately RMB 288 million, a decrease of 9.7% from approximately RMB 311 million in the same period of 2020[37] - The revenue from epoxy wedge products decreased by approximately RMB 108 million or 29.2% to about RMB 261 million, mainly due to cautious ordering from downstream customers facing rising raw material costs[38] - Sales to the Chinese market decreased by approximately 18.8% to about RMB 34.6 million from RMB 42.6 million in the previous year[43] - Sales to the US market decreased by approximately 15.8% to about RMB 9.7 million from RMB 11.5 million in the previous year[44] - Sales to the UK market decreased by approximately 36.9% to about RMB 6.1 million from RMB 9.7 million in the previous year[44] - Sales to other regions decreased by approximately 9.1% to about RMB 4.7 million from RMB 5.1 million in the previous year[44] Cost and Expenses - The gross margin for fiberglass grating products decreased by 7.6 percentage points to 25.4%, primarily due to increased raw material costs caused by global supply chain disruptions[37] - The average selling price of fiberglass grating products decreased by approximately 9.3% to RMB 255.8 per square meter, while sales volume slightly decreased by about 0.5%[40] - The gross margin for epoxy wedge products decreased by 8.8 percentage points to 27.3%, attributed to increased raw material costs and reduced production volume[38] - Administrative expenses decreased by approximately RMB 1.6 million or 14.8% to about RMB 9.1 million from RMB 10.6 million in the previous year[47] - Sales and distribution costs increased by approximately RMB 150,000 or 4.7% to about RMB 3.4 million from RMB 3.2 million in the previous year[46] - The company reported a total tax expense of RMB 1,380,000 for the nine months ended September 30, 2021, compared to RMB 3,876,000 for the same period in 2020, a decrease of approximately 64.5%[22] - The company’s total depreciation and amortization expenses for the nine months ended September 30, 2021, were RMB 42,023,000, down from RMB 46,018,000 in the same period of 2020, indicating a decrease of approximately 8.7%[19] Research and Development - Research and development costs for the nine months ended September 30, 2021, amounted to RMB 3,908,000, a decrease of 8% from RMB 4,249,000 in the same period of 2020[19][20] - The company continues to focus on the research, development, production, and sales of fiberglass products in China[14] - The company plans to enhance production technology and recruit talent to maintain competitiveness amid global economic uncertainties[32] - The overall fiberglass market in China is expected to steadily rise as the market matures and understanding of the material improves[29] - The company aims to expand its applications in aerospace, energy, and transportation sectors, leveraging the potential of fiberglass composite materials[29] Corporate Governance - The company changed its name from "MEIGU Technology Holding Group Limited" to "Yunhong Guixin Group Holdings Limited" effective August 30, 2021[59] - As of September 30, 2021, Mr. Li holds 163,600,000 shares, representing 40.9% of the company's equity[62] - Major shareholders include LFS and LFB, each holding 123,600,000 shares, accounting for 30.9% of the equity[76] - The company did not engage in any related party transactions or continuous related party transactions during the nine months ending September 30, 2021[80] - There were no purchases, sales, or redemptions of the company's listed securities by the company or its subsidiaries during the nine months ending September 30, 2021[81] - The company confirmed that there are no competing interests from its major shareholders or directors as of September 30, 2021[82] - The company has adopted the GEM Listing Rules regarding the code of conduct for directors' securities transactions, confirming compliance for the nine months ended September 30, 2021[83] - The company has adhered to the corporate governance code as per GEM Listing Rules Appendix 15 for the nine months ended September 30, 2021[85] - The Audit Committee, established on December 16, 2016, consists of three independent non-executive directors and is responsible for reviewing financial reporting procedures and risk management systems[86] - The unaudited performance of the group for the nine months ended September 30, 2021, has been reviewed by the Audit Committee[86]

Financial Performance - Revenue for the three months ended June 30, 2021, was RMB 21,196 thousand, a decrease of 11.8% compared to RMB 23,977 thousand for the same period in 2020[4] - Gross profit for the six months ended June 30, 2021, was RMB 8,559 thousand, down 35.5% from RMB 13,305 thousand in the same period of 2020[4] - The net loss for the six months ended June 30, 2021, was RMB 1,484 thousand, compared to a profit of RMB 4,945 thousand for the same period in 2020[4] - Total revenue for the six months ended June 30, 2021, was RMB 34,819,000, a decrease of 6.4% compared to RMB 37,008,000 for the same period in 2020[19] - The company reported a basic and diluted earnings per share of RMB 0.14 for the six months ended June 30, 2021, compared to RMB 0.73 for the same period in 2020[4] - Basic earnings per share for the six months ended June 30, 2021, was RMB 0.14, a decrease of 81.9% compared to RMB 0.73 for the same period in 2020[31] - The company reported a pre-tax profit of RMB 25,921,000 for the six months ended June 30, 2021, compared to RMB 24,792,000 for the same period in 2020, reflecting a year-on-year increase of 4.6%[23] Assets and Liabilities - Total assets as of June 30, 2021, were RMB 75,515 thousand, a decrease from RMB 81,316 thousand as of December 31, 2020[6] - Current liabilities decreased to RMB 26,839 thousand as of June 30, 2021, from RMB 33,708 thousand as of December 31, 2020[6] - Non-current assets as of June 30, 2021, totaled RMB 16,113 thousand, slightly down from RMB 16,326 thousand as of December 31, 2020[6] - The company’s net asset value increased to RMB 59,736 thousand as of June 30, 2021, from RMB 59,090 thousand as of December 31, 2020[6] - Total assets as of June 30, 2021, were approximately RMB 91.6 million, down from RMB 97.6 million as of December 31, 2020[68] - Total liabilities as of June 30, 2021, were approximately RMB 31.9 million, a decrease from RMB 38.6 million as of December 31, 2020[68] Cash Flow - Cash and cash equivalents at the end of the period were RMB 8,744 thousand, down from RMB 16,545 thousand at the beginning of the period[12] - The company incurred a net cash outflow from operating activities of RMB 6,972 thousand for the six months ended June 30, 2021, compared to RMB 11,026 thousand for the same period in 2020[12] - Net cash used in operating activities for the six months ended June 30, 2021, was approximately RMB 7.0 million, down from RMB 11.0 million for the same period in 2020[70] - Cash used in investing activities increased to approximately RMB 703,000 for the six months ended June 30, 2021, compared to RMB 131,000 for the same period in 2020, due to increased acquisitions of property, plant, and equipment[70] Sales and Market Performance - Sales of fiberglass products for the six months ended June 30, 2021, included RMB 19,730,000 from fiberglass grating products, RMB 160,000 from phenolic grating products, and RMB 14,929,000 from epoxy wedge products[19] - Domestic market sales increased by approximately 4.1% to about RMB 226 million, accounting for approximately 65.0% of total sales for the six months ended June 30, 2021, up from 58.8% in the same period of 2020[50] - Sales of fiberglass grating products became the largest revenue source, contributing approximately 56.7% to total revenue, with sales increasing by about RMB 17 million or 9.4% to RMB 197 million[53] - Sales of phenolic grating products slightly decreased by about 1.8% to approximately RMB 160,000, with a gross profit margin decline of 3.4 percentage points to 36.4%[54] - Sales of epoxy wedge products decreased by approximately RMB 39 million or 20.6% to RMB 149 million, with a gross profit margin dropping by 19 percentage points to 20.4%[54] - Sales to the Chinese market increased to approximately RMB 226 million, while sales to the US and UK markets decreased by approximately 12.0% and 29.2%, respectively[60][61] Costs and Expenses - Other income for the six months ended June 30, 2021, totaled RMB 75,000, a decrease of 70.7% compared to RMB 256,000 for the same period in 2020[21] - Research and development costs for the six months ended June 30, 2021, amounted to RMB 1,472,000, a decrease of 47.5% compared to RMB 2,804,000 for the same period in 2020[24] - The company’s total employee costs for the six months ended June 30, 2021, were RMB 6,111,000, an increase of 2.7% compared to RMB 5,952,000 for the same period in 2020[23] - The company’s sales and distribution costs increased by approximately RMB 202,000 or 10.4% to about RMB 2.1 million, mainly due to rising employee costs and marketing expenses[64] - Administrative expenses decreased by approximately RMB 2.4 million or 34.8% to about RMB 4.5 million for the six months ended June 30, 2021, primarily due to reductions in R&D and printing expenses[65] Shareholder Information - The company has a total of 400,000 thousand shares issued and fully paid as of June 30, 2021, unchanged from the previous year[41] - Major shareholders include LFS and LFB, each holding 123,600,000 shares (30.9%), and Yunhong holding 40,000,000 shares (10.0%) as of June 30, 2021[93] - As of June 30, 2021, Mr. Li holds 163,600,000 shares, representing 40.9% of the company's equity, through controlled corporations LFB and Yunhong[87] Corporate Governance - The company confirmed that there are no controlling shareholders or related parties involved in any competing business as of June 30, 2021[99] - The board proposed to change the company's English name from "MEIGU Technology Holding Group Limited" to "Yunhong Guixin Group Holdings Limited" and the Chinese name accordingly[100] - The name change proposal requires approval from shareholders at a special meeting and registration with the Cayman Islands Registrar[101] - The company has adopted the GEM Listing Rules regarding securities trading by directors, confirming compliance during the six months ended June 30, 2021[103] - The company believes it has complied with all applicable corporate governance codes as per the GEM Listing Rules during the reporting period[104] - An audit committee was established on December 16, 2016, to oversee financial reporting, internal controls, and risk management[105]

Financial Performance - Revenue for the three months ended March 31, 2021, was RMB 13,623,000, an increase of 4.5% compared to RMB 13,031,000 for the same period in 2020[4] - Gross profit for the same period was RMB 3,155,000, down 35.8% from RMB 4,920,000 in 2020[4] - The company reported a net loss of RMB 468,000 for the three months ended March 31, 2021, compared to a profit of RMB 234,000 in the same period of 2020[4] - Basic and diluted loss per share was RMB (0.12) for the first quarter of 2021, compared to earnings of RMB 0.06 per share in 2020[4] - The company reported a loss attributable to owners of the company of RMB (468,000) for the three months ended March 31, 2021, compared to a profit of RMB 234,000 in the same period of 2020[26] - Basic loss per share for the three months ended March 31, 2021, was RMB (0.12), compared to RMB 0.06 for the same period in 2020[26] - The company's net loss for the three months ended March 31, 2021, was approximately RMB 468,000, compared to a net profit of about RMB 234,000 in the same period of 2020, mainly due to a decline in gross margin[51] Sales Performance - Sales of fiberglass grating products were RMB 6,710,000, slightly down from RMB 6,736,000 in the previous year[15] - Sales of epoxy wedge products increased to RMB 6,913,000, up from RMB 6,295,000 in the same period last year[15] - For the three months ended March 31, 2021, the revenue from fiberglass grating products was approximately RMB 6.71 million, with a gross margin of 21.8%, down from 28.3% in the same period of 2020[40] - The revenue from epoxy wedge products increased by approximately RMB 0.6 million or 9.8% to about RMB 6.91 million for the three months ended March 31, 2021, accounting for approximately 50.8% of total revenue[41] - Sales to the Chinese market increased by approximately 16.3% to about RMB 8.94 million, driven by a significant increase in demand due to economic recovery[46] - Sales to the U.S. market decreased by approximately 7.8% to about RMB 1.88 million, primarily due to rising tariffs and the adverse impact of the COVID-19 pandemic[47] - The company experienced a significant increase in sales from other regions, which rose by approximately 24.5% to about RMB 1.16 million, attributed to acquiring new customers in Denmark, Taiwan, and South Korea[47] Cost Management - Administrative expenses were reduced to RMB 2,375,000 from RMB 3,480,000 in the previous year, indicating cost control efforts[4] - Administrative expenses decreased by approximately RMB 1.1 million or 31.8% to about RMB 2.4 million, primarily due to reduced R&D expenditures[49] - The company incurred financial costs of RMB 318,000, compared to RMB 817,000 in the same period last year[4] - The company incurred financial costs of RMB 63,000 for bank loan interest for both the three months ended March 31, 2021, and 2020[5] Research and Development - Research and development costs for the three months ended March 31, 2021, amounted to RMB 900,000, a decrease from RMB 1,317,000 in the same period of 2020[5] - The company continues to focus on the research, development, production, and sales of fiberglass products in China[14] - The company plans to enhance product recognition through improved product technology and will hire additional talent to achieve development and expansion goals[36] - The company expects steady growth in the overall fiberglass market in China, driven by the material's superior performance and potential applications in various industries[33] Shareholder Information - LF and its concert parties own 163,600,000 shares, representing 40.9% of the total issued share capital of the company as of the report date[54] - LF is required to make a mandatory conditional cash offer for the remaining 236,400,000 shares, which accounts for 59.1% of the total issued share capital[54] - As of March 31, 2021, Mr. Jiang holds 123,600,000 shares, representing 30.9% of the company's equity[57] - The total consideration for the acquisition of 123,600,000 shares from Longxiang by LF was HKD 24,720,000, at a price of HKD 0.20 per share[60] - Mr. Shen, Mr. Jiang, Wanxing, and Longxiang collectively hold 30.9% of the total issued shares as of March 31, 2021[58] - Mr. Shen and Mr. Jiang have been concert parties since January 1, 2014, under the concert party agreement[58] - As of March 31, 2021, the company’s major shareholders include Mr. Shen and Wanxing, each holding 123,600,000 shares, or 30.9%[65] - As of the report date, Mr. Li is considered the ultimate controlling shareholder of Yunhong, holding a total of 163,600,000 shares[68] Corporate Governance - The company has no arrangements that allow directors and key executives to benefit from purchasing shares or debt securities during the reporting period[63] - No related party transactions were disclosed for the three months ended March 31, 2021, under GEM Listing Rules[71] - The company did not purchase, sell, or redeem any of its listed securities during the three months ended March 31, 2021[72] - There were no competing interests reported by major shareholders or directors for the three months ended March 31, 2021[73] - The company has adopted the GEM Listing Rules for directors' securities transactions and compliance was confirmed for the three months ended March 31, 2021[74] - The company believes it has complied with all applicable corporate governance codes as per GEM Listing Rules for the three months ended March 31, 2021[75] - The Audit Committee, established on December 16, 2016, reviewed the unaudited results for the three months ended March 31, 2021[77] Dividend Information - The company did not recommend any interim dividend for the three months ended March 31, 2021, consistent with the same period in 2020[25] Market and Product Development - The company has not disclosed any new product developments or market expansion strategies in the provided documents[66] - The report does not mention any mergers or acquisitions beyond the transaction involving LF and Longxiang[66]

Financial Performance - For the fiscal year ending December 31, 2020, MEIGU Technology reported sales revenue of approximately RMB 976 million, an increase of about 21.6% compared to 2019, and a net profit of approximately RMB 55 million, up 59.7% year-on-year[9]. - The company recorded a consolidated revenue of approximately RMB 976 million for the year ended December 31, 2020, an increase of approximately RMB 173 million or 21.6% compared to the same period in 2019[22]. - Domestic market sales increased by approximately 55.4% from RMB 415 million in 2019 to approximately RMB 644 million for the year ended December 31, 2020, accounting for about 66.0% of total sales[22]. - The group's profit for the year increased by approximately 59.7% from RMB 3.5 million in 2019 to RMB 5.5 million in 2020, primarily due to increased sales of epoxy wedge products and effective cost control measures[35]. - The company reported that sales to its top five customers accounted for 59.4% of total revenue for the year ended December 31, 2020, up from 49.8% in 2019, with the largest customer contributing approximately 31.1% of total revenue[184]. Product Performance - The epoxy wedge products became the company's best-selling items, accounting for approximately 53.1% of total revenue, compared to 31.4% in 2019[9]. - Sales revenue from phenolic grating products significantly decreased by approximately 88.1% to about RMB 250,000 for the year ended December 31, 2020, due to a downturn in the shipbuilding industry[25]. - The revenue from fiberglass grating products decreased by approximately RMB 74 million or 14.0% to approximately RMB 456 million for the year ended December 31, 2020, primarily due to reduced sales in the US and UK markets[23]. - The gross profit margin for fiberglass grating products increased by 2.4 percentage points from 31.4% in 2019 to 33.8% in 2020, mainly due to a decrease in raw material costs[23]. - Sales of epoxy wedge products became the largest revenue source for the group, accounting for approximately 53.1% of total revenue, with revenue increasing from approximately RMB 25.2 million in 2019 to approximately RMB 51.8 million in 2020, a growth of 105.6%[26]. Market Strategy - The company plans to enhance product recognition through improved technology and maintain effective cost control to strengthen competitiveness[12]. - MEIGU Technology aims to actively participate in bidding for potential projects in both domestic and overseas markets to address economic uncertainties[12]. - The company aims to expand its market presence by promoting its products in countries along the "Belt and Road" initiative[17]. - The company has a strong customer base and believes it has a competitive advantage over local enterprises in the industry, enabling further market and product expansion[20]. Economic Context - The Chinese economy recorded a GDP growth of 2.3% in 2020, indicating resilience and potential for stable growth in the long term[13]. - MEIGU Technology remains cautiously optimistic about its long-term business prospects while closely monitoring the impact of the COVID-19 pandemic on the industry[13]. - The company will adjust its strategies as necessary based on the latest developments related to the pandemic[13]. Corporate Governance - The company has adhered to the corporate governance code as stipulated in the GEM Listing Rules Appendix 15 for the fiscal year ending December 31, 2020[72]. - The board is responsible for formulating the overall strategy of the group and supervising management performance, receiving monthly financial and operational data to assess performance[73]. - The company has established a strong commitment to corporate governance, believing it is crucial for development and enhancing shareholder value[72]. - The board consists of six directors, with three executive directors and three independent non-executive directors, ensuring a balance of skills and experience[76]. - The company has adopted a board diversity policy, considering factors such as gender, age, cultural background, and professional experience in board member selection[77]. Environmental Responsibility - The company is committed to minimizing any negative environmental impacts during production and has not faced any significant violations of environmental laws during the reporting period[19]. - The environmental, social, and governance report outlines the company's commitment to sustainable development and compliance with relevant regulations[118]. - The board has confirmed its responsibility for overseeing the company's sustainable development and reviewing the accuracy of the environmental, social, and governance report[119]. - The company implemented policies to reduce CO2 emissions, including increasing natural lighting in manufacturing facilities and optimizing energy consumption[126]. - The company has complied with applicable environmental laws and regulations, including the Environmental Protection Law of the People's Republic of China[131]. Employee Management - The overall employee turnover rate for the group was approximately 16% for the year ended December 31, 2020, compared to 14% in 2019[142]. - The group employed about 133 employees as of December 31, 2020, down from 143 in 2019[142]. - The group provided at least 4 hours of safety training and 4 hours of occupational hazard and safety compliance training for each production department employee during the year[145]. - There were no reported industrial accidents or injuries for the year ended December 31, 2020[143]. - The group has a policy against child labor and forced labor, with no reported labor disputes for the year ended December 31, 2020[147]. Financial Position - Total assets as of December 31, 2020, were approximately RMB 97.6 million, up from RMB 81.6 million in 2019, while total liabilities increased to approximately RMB 38.6 million from RMB 28.4 million[36]. - The total equity attributable to the company's equity holders was approximately RMB 59,090,000, an increase of 11.5% from RMB 53,141,000 in 2019[42]. - The leverage ratio increased to approximately 16.4% as of December 31, 2020, compared to 9.4% in 2019, due to a loan obtained from a shareholder[36]. - The company has not reported any new product developments or technological advancements in the current financial year[168]. - There are no significant changes in the company's financial position or performance compared to previous years as detailed in the annual report[165].

weign MEIGU Technology Holding Group Limited 美 固 科 技 控 股 集 團 有 限 公 司 (於開曼群島註冊成立的有限公司) 股份代整 : 8349 第三季度業績報告 2020 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市的市場，此等公司相比起其他在聯交所上 市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聯交所主板買 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。 本報告（美固科技控股集團有限公司（「本公司」）董事（「董事」）會（「董事會」）就此共同 及個別地承擔全部責任）載有遵照聯交所GEM證券上市規則（「GEM上市規則」）而提供 的資料，旨在提供有關本公司的資料。董事在作出一切合理查詢後確認，就其所知及 所信，本報告所載資料在各重大方面均屬準確完整，並無誤導或欺詐成分，以及並無 遺漏任何其他事項致使本報告或當中所載任何陳述產生誤導。 美固科技控股 ...

Financial Performance - Revenue for the three months ended June 30, 2020, was RMB 23,977 thousand, an increase from RMB 22,068 thousand in the same period of 2019, representing an increase of 8.66%[4] - Gross profit for the six months ended June 30, 2020, was RMB 13,305 thousand, down from RMB 15,015 thousand in the same period of 2019, a decrease of 11.36%[4] - Operating profit for the three months ended June 30, 2020, was RMB 4,254 thousand, compared to RMB 3,517 thousand in the same period of 2019, an increase of 20.94%[4] - Net profit attributable to owners of the company for the six months ended June 30, 2020, was RMB 2,923 thousand, up from RMB 2,196 thousand in the same period of 2019, an increase of 33.14%[4] - Basic earnings per share for the six months ended June 30, 2020, was RMB 0.73, compared to RMB 0.55 for the same period in 2019, an increase of 32.73%[4] - The group's revenue for the six months ended June 30, 2020, was RMB 37,008,000, a decrease from RMB 38,280,000 for the same period in 2019, representing a decline of approximately 3.3%[18] - Other income for the six months ended June 30, 2020, was RMB 256,000, compared to RMB 113,000 for the same period in 2019, indicating a significant increase of approximately 126.5%[21] - The pre-tax profit for the six months ended June 30, 2020, was RMB 2,923,000, an increase from RMB 2,196,000 for the same period in 2019, reflecting a growth of approximately 33.1%[31] - Basic earnings per share for the six months ended June 30, 2020, was RMB 0.73, compared to RMB 0.55 for the same period in 2019, marking an increase of approximately 32.7%[31] Cash Flow and Assets - Cash and cash equivalents decreased to RMB 8,228 thousand as of June 30, 2020, down from RMB 19,512 thousand at the beginning of the period[11] - The company reported a net cash outflow from operating activities of RMB (11,026) thousand for the six months ended June 30, 2020, compared to a net inflow of RMB 5,605 thousand in the same period of 2019[11] - Total assets less current liabilities as of June 30, 2020, amounted to RMB 60,739 thousand, an increase from RMB 57,149 thousand as of December 31, 2019[8] - As of June 30, 2020, trade receivables and notes receivable (net of bad debt provision) amounted to RMB 36,603,000, an increase from RMB 31,917,000 as of December 31, 2019, representing a growth of approximately 14.0%[34] - The total trade and other payables as of June 30, 2020, were RMB 5,054,000, significantly reduced from RMB 16,540,000 as of December 31, 2019, reflecting a decrease of approximately 69.5%[37] - Total assets as of June 30, 2020, were approximately RMB 74.1 million, down from RMB 81.6 million as of December 31, 2019[67] - Total liabilities decreased to approximately RMB 17.8 million as of June 30, 2020, from RMB 28.4 million as of December 31, 2019[67] Market and Sales Performance - Sales revenue from glass fiber grating products and USCG certified phenolic grating products decreased by approximately 31.4% and 87.0%, respectively, compared to the same period in 2019[44] - Domestic market sales increased by approximately 27.6% to about RMB 21.7 million, accounting for approximately 58.8% of total sales for the six months ended June 30, 2020, up from 44.5% in the same period of 2019[47] - Revenue from fiberglass grating products decreased by approximately RMB 8.3 million or 31.4% to about RMB 18.0 million, with a gross margin decline of 2.8 percentage points to 32.3% due to rising raw material costs[49] - Revenue from USCG certified phenolic grating products plummeted by approximately 87.0% to about RMB 163,000, with a gross margin decrease of 7.4 percentage points to 39.8%[51] - Sales of epoxy wedge products became the largest revenue source, contributing approximately 50.8% of total revenue, with an increase of about RMB 8.1 million or 75.5% to approximately RMB 18.8 million[52] - The average selling price of fiberglass grating products increased by about 10.8% to RMB 296.7 per square meter, despite a sales volume decrease of approximately 38.1%[54] - Sales to the US market decreased by approximately 33.0% to about RMB 6.4 million, primarily due to reduced sales orders from major customers caused by the COVID-19 outbreak[59] - Sales to the UK market also fell by approximately 31.3% to about RMB 5.7 million, attributed to decreased sales orders from major customers due to COVID-19[61] Research and Development - The company continues to focus on research and development of fiberglass products through its subsidiary in Jiangsu Province, China[12] - Research and development costs for the six months ended June 30, 2020, amounted to RMB 2,804,000, a decrease from RMB 4,186,000 for the same period in 2019, indicating a reduction of approximately 33.0%[23] - The company aims to enhance production technology and increase competitiveness by hiring experienced talent for product R&D and market expansion[46] Corporate Governance and Compliance - The company confirmed compliance with the corporate governance code as outlined in the GEM Listing Rules during the reporting period[97] - The company did not engage in any related party transactions that require disclosure under GEM Listing Rules during the six months ending June 30, 2020[93] - The company has adopted the rules set forth in GEM Listing Rules regarding the conduct of directors' securities transactions and confirmed compliance during the reporting period[96] - The Audit Committee was established on December 16, 2016, consisting of three independent non-executive directors, with Mr. Wu Shiliang as the chairman[99] - The main responsibilities of the Audit Committee include reviewing and supervising financial reporting procedures, internal controls, and risk management systems[99]

Financial Performance - Revenue for the first quarter of 2020 was RMB 13,031,000, a decrease of 19.5% compared to RMB 16,212,000 in the same period of 2019[4] - Gross profit for the first quarter of 2020 was RMB 4,920,000, down 18.1% from RMB 6,010,000 in the first quarter of 2019[4] - Operating profit decreased to RMB 817,000, a decline of 23.5% from RMB 1,067,000 in the same quarter of the previous year[4] - Profit before tax for the first quarter was RMB 754,000, down 10.6% from RMB 844,000 in the same period of 2019[4] - Net profit for the first quarter was RMB 234,000, a decrease of 37.9% compared to RMB 377,000 in the first quarter of 2019[4] - Basic and diluted earnings per share for the first quarter were RMB 0.06, down from RMB 0.09 in the same period of 2019[4] - The group recorded a consolidated revenue of approximately RMB 13.0 million for the three months ended March 31, 2020, a decrease of approximately RMB 3.2 million or 19.6% compared to the same period in 2019[33] - The group reported a decrease in pre-tax profit of 10.6% to approximately RMB 754,000, primarily due to a 19.7% decrease in sales revenue compared to the same period in 2019[46] Revenue Breakdown - Revenue from the sale of fiberglass grating was RMB 6,736,000, a decrease of 38.5% from RMB 10,977,000 in the first quarter of 2019[14] - Revenue from epoxy wedge strips increased to RMB 6,295,000, up 25.6% from RMB 5,008,000 in the same period of 2019[14] - Sales of fiberglass grating products generated revenue of approximately RMB 6.7 million, a decrease of 38.6% from approximately RMB 11.0 million in the same period of 2019, contributing to 51.7% of total revenue[36] - The revenue from epoxy wedge products increased by approximately RMB 1.3 million or 25.7% to approximately RMB 6.3 million, with a gross margin of 47.8%, up 4.4 percentage points from the previous year[37] Market Performance - Sales to the Chinese market increased by approximately 4.4% to RMB 7.7 million, primarily due to a significant increase in sales of epoxy wedge products[42] - Sales to the US market decreased by approximately 44.8% to RMB 2.0 million, mainly due to reduced sales orders from major customers as a result of COVID-19[43] Research and Development - The company continues to focus on research and development, production, and sales of fiberglass products in China[12] - Research and development costs for the three months ended March 31, 2020, were RMB 1,317,000, a decrease from RMB 1,611,000 for the same period in 2019[27] - The group plans to enhance product recognition through improved technology and will hire senior talent to achieve goals in product development and market expansion[32] Future Outlook - The group expects the overall fiberglass market in China to grow at a revised compound annual growth rate of 5.0% in the coming year[27] - The group anticipates that the performance of its fiberglass products will improve by the end of the year due to ongoing marketing efforts[29] - The group aims to participate more actively in bidding for potential projects in both China and overseas markets[32] Shareholder Information - As of March 31, 2020, Mr. Jiang holds 163,600,000 shares, representing 40.9% of the company's total issued shares[48] - Mr. Shen, Mr. Jiang, Wanxing Development Limited, and Longxiang collectively hold 40.9% of the total issued shares as of March 31, 2020[49] - Longxiang has entered into a share transfer agreement to sell 40,000,000 shares (10% of total issued shares) at a price of HKD 0.16 per share, totaling HKD 6,400,000[58] - A potential transaction involving the sale of 123,600,000 shares (30.9% of total issued shares) to Yunhong Group is under consideration, which may lead to a change in control of the company[59] Corporate Governance - The company confirmed that there are no controlling shareholders or related parties with interests in any competing businesses as of March 31, 2020[64] - The company has adopted the GEM Listing Rules regarding the code of conduct for directors' securities transactions and confirmed compliance during the three months ending March 31, 2020[66] - The company believes it has complied with all applicable corporate governance codes as per the GEM Listing Rules during the three months ending March 31, 2020[67] - An audit committee was established on December 16, 2016, consisting of three independent non-executive directors, responsible for reviewing financial reporting procedures and internal controls[68] Other Financial Information - Other income for the first quarter was RMB 239,000, significantly higher than RMB 37,000 in the same period of 2019[15] - The group incurred a tax expense of RMB 520,000 for the three months ended March 31, 2020, compared to RMB 467,000 for the same period in 2019[19] - The company does not recommend any interim dividend for the three months ended March 31, 2020, consistent with the same period in 2019[21] - The company’s key management personnel compensation decreased to RMB 415,000 for the three months ended March 31, 2020, from RMB 489,000 for the same period in 2019[25] - Distribution costs decreased by approximately 14.2% to RMB 0.9 million, mainly due to reduced export customs and exhibition expenses[45] - The company did not purchase, sell, or redeem any of its listed securities during the three months ended March 31, 2020[63] - No related party transactions were disclosed for the three months ended March 31, 2020, as per GEM Listing Rules[62]

Financial Performance - For the fiscal year ending December 31, 2019, the revenue from fiberglass grating products accounted for approximately 66.0% of the total sales of the group [9]. - The group recorded a consolidated revenue of approximately RMB 802.9 million for the year ended December 31, 2019, representing an increase of approximately RMB 57 million or 7.6% compared to the same period in 2018 [21]. - The sales revenue from fiberglass grating products was RMB 529.82 million, accounting for approximately 66.0% of total revenue, a decrease of 4.6% from RMB 555.41 million in 2018 [22]. - The revenue from USCG certified phenolic grating products decreased by 28.3% to approximately RMB 20.94 million, primarily due to a downturn in the shipbuilding industry in China and neighboring countries [24]. - The sales of epoxy wedge products generated revenue of RMB 251.93 million, with a gross profit margin of 53.5%, significantly up from RMB 127.49 million and 29.9% in 2018 [22]. - Revenue from epoxy wedge products increased by approximately RMB 12.4 million or 97.6% to about RMB 25.2 million for the year ended December 31, 2019, compared to approximately RMB 12.7 million for the year ended December 31, 2018 [25]. - The overall employee turnover rate was approximately 14% in 2019, with variations across different age groups [154]. - The company's available reserves for distribution to shareholders as of December 31, 2019, amounted to RMB 42,681,000, an increase from RMB 40,041,000 in 2018 [178]. Market and Economic Conditions - Overseas sales, including the United States and the United Kingdom, generated revenue of approximately RMB 388 million, representing about 48.3% of total sales, a decrease of approximately 6.13% compared to 2018 [9]. - The GDP growth rate in China slowed to 6.1% in 2019, below the market expectation of 6.6% [9]. - The manufacturing purchasing managers' index rose from 48.3% in January 2019 to 51.5% in December 2019, indicating a return to expansion [9]. - The management expects the overall fiberglass market in China to grow at a revised compound annual growth rate of 5.0% over the next two years [15]. COVID-19 Impact and Response - The group maintains a cautiously optimistic outlook for long-term business prospects despite the impact of COVID-19 [12]. - The group acknowledges the potential short-term negative impact of COVID-19 on economic activities and is monitoring developments closely [12]. - The group will adjust strategies as necessary in response to the ongoing developments related to COVID-19 [12]. Research and Development - Research and development expenses for new products and technology solutions amounted to approximately RMB 7.8 million for the year ended December 31, 2019, up from RMB 3.4 million in 2018 [16]. - The group plans to enhance product recognition through improved technology and will recruit additional talent to support its development and expansion efforts [16]. - The group will hire senior talent to achieve its goals in product research and development and market expansion [11]. Corporate Governance - The company has a strong compliance and risk management framework led by the compliance officer with over 20 years of accounting experience [61]. - The board consists of six directors, with three executive directors and three independent non-executive directors, ensuring a balance of skills and experience [81]. - The company has adhered to the corporate governance code as stipulated in the GEM listing rules for the fiscal year ending December 31, 2019 [77]. - The company has implemented a board diversity policy, considering various factors such as gender, age, cultural background, and professional experience in director appointments [82]. - The company encourages continuous professional development for directors to enhance corporate governance and internal control systems [90]. Environmental Responsibility - The group has maintained a commitment to minimizing any negative environmental impacts during production, with no significant violations of environmental laws reported for the year [18]. - The company is committed to complying with local environmental laws and regulations, including the Environmental Protection Law of the People's Republic of China [136]. - The company reported a total electricity consumption of 1,816,855 kWh in 2019, an increase from 1,404,695 kWh in 2018, with a consumption density of 390.4 kWh per ton of production [139]. - The company achieved a scrap rate of less than 0.3% for defective products, indicating high manufacturing efficiency [134]. - The company is exploring more environmentally friendly raw materials to further reduce resource consumption [139]. Employee and Community Engagement - The total employee cost for the year was approximately RMB 14.4 million, up from RMB 13.2 million in 2018, with 143 employees as of December 31, 2019 [42]. - Employee training programs were implemented, with 80% of male employees and 64% of female employees participating [159]. - The company is committed to community engagement and aims to provide employment opportunities to promote local economic development [166]. Risk Management - The group faced various risks including business, financial, operational, and other risks, with the board ultimately responsible for risk management [115]. - The board is responsible for maintaining an effective risk management and internal control system to achieve business objectives and ensure compliance with relevant laws [113]. Shareholder Information - The company did not recommend any dividends for the year ended December 31, 2019, consistent with 2018 [43]. - The board adopted a dividend policy on December 31, 2018, which stipulates that dividends will be paid to shareholders only when the group records profits and the operating environment is stable [85]. - The company has not established any arrangements allowing directors or senior management to benefit from purchasing shares or debt securities of the company during the year [191].

Financial Performance - For the nine months ended September 30, 2019, the total revenue was RMB 55,429,000, an increase of 9.4% compared to RMB 50,821,000 for the same period in 2018[4]. - Gross profit for the nine months ended September 30, 2019, was RMB 21,333,000, representing a significant increase of 48.2% from RMB 14,398,000 in the previous year[4]. - The operating profit for the nine months ended September 30, 2019, was RMB 7,322,000, compared to RMB 2,118,000 for the same period in 2018, marking a substantial increase of 246.5%[4]. - The net profit attributable to owners of the company for the nine months ended September 30, 2019, was RMB 3,713,000, a significant increase from RMB 231,000 in the same period of 2018[4]. - Basic and diluted earnings per share for the nine months ended September 30, 2019, were RMB 0.93, compared to RMB 0.05 for the same period in 2018[4]. - The company reported a gross margin of 38.5% for the nine months ended September 30, 2019, compared to 28.4% in the previous year[4]. - Total comprehensive income for the three months ended September 30, 2019, was RMB 1,517,000, compared to RMB 1,057,000 for the same period in 2018[4]. - The company reported a pre-tax profit of RMB 10,831,000 for the nine months ended September 30, 2019, compared to RMB 12,935,000 for the same period in 2018, reflecting a decrease of 16.2%[19]. - The total other income for the nine months ended September 30, 2019, was RMB 120,000, down from RMB 420,000 in the same period of 2018[17]. Revenue Breakdown - For the three months ended September 30, 2019, the sales of fiberglass products amounted to RMB 17,149,000, a decrease of 6.4% compared to RMB 18,326,000 for the same period in 2018[15]. - The revenue from certified phenolic grating was RMB 509,000, down 34.7% from RMB 781,000 in the same quarter of 2018[15]. - Sales of fiberglass grating products accounted for approximately 68.4% of total revenue, a decrease from 73.8% in the same period last year, with revenue increasing slightly from RMB 375 million to RMB 379 million[36]. - Revenue from epoxy wedge products surged by approximately 101.9% to about RMB 158 million, driven by new customer acquisition and increased orders from existing clients[39]. - Sales revenue in China increased by approximately 11.0% from RMB 242.02 million to RMB 268.65 million, primarily due to a significant increase in sales of epoxy wedge products[46]. - Sales to the US market decreased by approximately 5.2% from RMB 140.22 million to RMB 132.92 million, mainly due to reduced demand for fiberglass grating products[47]. - Sales to the UK market increased by approximately 5.4% from RMB 94.29 million to RMB 99.35 million, driven by increased orders from major customers and the acquisition of new clients[49]. - Sales to other regions increased by approximately 68.5% from RMB 31.68 million to RMB 53.37 million, mainly due to new customers acquired in Belgium, France, and Canada[49]. Cost and Expenses - Research and development costs for the nine months ended September 30, 2019, were RMB 5,676,000, an increase of 111.4% from RMB 2,678,000 in the same period of 2018[19][20]. - Selling and distribution costs decreased by approximately 17.7% from RMB 42 million to RMB 34 million, mainly due to reductions in wages and advertising expenses[50]. - Administrative expenses increased by approximately 23.9% from RMB 91 million to RMB 113 million, primarily due to increased R&D expenditures[50]. - Financial costs decreased by approximately 22.9% from RMB 846,000 to RMB 652,000, mainly due to the repayment of part of the bank loans[50]. Assets and Shareholder Information - The company’s total assets as of September 30, 2019, amounted to RMB 53,280,000, an increase from RMB 49,267,000 at the beginning of the year[6]. - As of September 30, 2019, major shareholders hold significant stakes, with Mr. Shen and related entities owning 163,600,000 shares, representing 40.9% of the company[69]. - Mr. Huang holds 118,400,000 shares, accounting for 29.6% of the company's equity[69]. Corporate Governance and Compliance - The company did not recommend any interim dividend for the nine months ended September 30, 2019, consistent with the previous year[24]. - The company confirmed compliance with corporate governance codes as outlined in the GEM Listing Rules during the reporting period[78]. - The Audit Committee, established on December 16, 2016, reviewed the unaudited results for the nine months ending September 30, 2019[80]. - No related party transactions were disclosed for the nine months ending September 30, 2019, as per GEM Listing Rules[72]. - The company did not purchase, sell, or redeem any of its listed securities during the nine months ending September 30, 2019[74]. - The company has not adopted any new accounting standards that would significantly impact its financial reporting for the current period[10]. Future Plans and Market Strategy - The company plans to continue expanding its market presence in China, focusing on the research and development of fiberglass products[13]. - The company plans to actively participate in more trade exhibitions to expand overseas markets for its composite materials subway evacuation platform and fiberglass sleeper products[33]. - The company aims to enhance product recognition through improved production technology and will recruit more talent to support its development and expansion[32]. - The company is focusing on promoting its products along the "Belt and Road Initiative" regions, particularly the fiberglass sleeper products[33]. - The company anticipates a compound annual growth rate of 5.0% for the overall fiberglass market in China over the next two years[30]. Product Performance - The gross profit margin for fiberglass grating products improved from 27.8% to 33.5%, primarily due to a decrease in raw material costs[36]. - The average selling price of USCG certified phenolic grating products increased by approximately 1.6% from RMB 626.1 per square meter to RMB 636.2 per square meter, while sales volume decreased by about 27.9%[43]. - The average selling price of epoxy wedge products rose by approximately 42.8% from RMB 45.1 per meter to RMB 64.4 per meter, with sales volume increasing by about 41.3%[45]. - There were no recorded sales for composite materials subway evacuation platform products and fiberglass sleeper products for the nine months ended September 30, 2019, due to a halt in orders from railway construction clients[41].

Financial Performance - Revenue for the three months ended June 30, 2019, was RMB 22,068,000, an increase of 18.0% compared to RMB 18,726,000 for the same period in 2018[4] - Gross profit for the six months ended June 30, 2019, was RMB 15,015,000, representing a 66.7% increase from RMB 9,007,000 in the same period of 2018[4] - Operating profit for the three months ended June 30, 2019, was RMB 3,517,000, up 153.5% from RMB 1,387,000 in the same period of 2018[4] - Net profit attributable to owners for the six months ended June 30, 2019, was RMB 2,196,000, compared to a loss of RMB 826,000 in the same period of 2018[4] - For the six months ended June 30, 2019, the total revenue was RMB 38,280,000, an increase of 17.3% compared to RMB 32,495,000 for the same period in 2018[20] - The pre-tax profit for the six months ended June 30, 2019, was RMB 1,940,000, compared to RMB 490,000 for the same period in 2018, indicating a substantial growth[27] - Basic earnings per share for the six months ended June 30, 2019, was RMB 0.55, compared to a loss per share of RMB 0.21 in the same period of 2018[4] - Basic earnings per share attributable to the company's owners for the six months ended June 30, 2019, was RMB 2,196,000, compared to a loss of RMB 826,000 for the same period in 2018[31] Cash Flow and Assets - Cash and cash equivalents increased to RMB 15,417,000 as of June 30, 2019, from RMB 6,170,000 at the beginning of the period[12] - The company reported a net cash inflow from operating activities of RMB 5,605,000 for the six months ended June 30, 2019, compared to RMB 1,488,000 in the same period of 2018[12] - Total assets as of June 30, 2019, were RMB 67,804,000, a decrease from RMB 73,439,000 as of December 31, 2018[6] - The company’s net assets increased to RMB 51,663,000 as of June 30, 2019, from RMB 49,267,000 as of December 31, 2018[6] - Trade receivables and notes receivable net amount as of June 30, 2019, was RMB 40,456,000, down from RMB 46,361,000 as of December 31, 2018, representing a decrease of approximately 12.9%[34] - Total trade and other payables as of June 30, 2019, was RMB 13,026,000, a decrease of 40.5% from RMB 21,773,000 as of December 31, 2018[37] - The group’s total liabilities decreased to approximately RMB 34.7 million as of June 30, 2019, from RMB 43.0 million as of December 31, 2018[68] Sales and Market Performance - The sales of fiberglass products accounted for the majority of revenue, with fiberglass grating sales reaching RMB 26,312,000, up 10.9% from RMB 23,713,000 in the previous year[20] - Sales from the overseas market increased by approximately 21.2% to about RMB 212 million, accounting for 55.5% of total sales for the six months ended June 30, 2019, up from 53.9% in the same period of 2018[47] - The sales revenue from fiberglass grating products was RMB 263.1 million, contributing approximately 68.7% to total revenue, although this was a decrease of 4.3 percentage points compared to the same period in 2018[49] - Revenue from USCG certified phenolic grating products decreased by approximately 22.9% to about RMB 12.5 million, attributed to a downturn in the shipbuilding industry in China[51] - Sales of epoxy wedge products increased by approximately 164.6% to about RMB 107.2 million, driven by new customer acquisition and renewed confidence in the wind turbine blade manufacturing sector[52] - Sales in the Chinese market increased by approximately 13.9% to about RMB 17.0 million, primarily due to a significant rise in sales of epoxy wedge products[60] - Sales to the US market increased by approximately 3.6% to about RMB 9.5 million, driven by increased orders from major customers[62] - Sales to the UK market rose by approximately 26.9% to about RMB 8.3 million, attributed to increased orders and new customer acquisition[62] Research and Development - The company incurred research and development costs of RMB 4,186,000 for the six months ended June 30, 2019, compared to RMB 1,092,000 in the same period of 2018, representing a significant increase in R&D investment[24] - The company aims to enhance its R&D capabilities by procuring testing equipment and raw materials, with a budget of HKD 350,000 fully utilized[88] Future Plans and Strategies - The company plans to continue expanding its market presence and investing in new product development to drive future growth[4] - The company plans to actively participate in more trade exhibitions to expand overseas markets and enhance marketing efforts for its composite material subway evacuation platform and fiberglass sleeper products[44] - The company aims to promote its products, especially fiberglass sleeper products, in countries along the "Belt and Road" initiative[44] - The group plans to actively participate in bidding for potential projects in both China and overseas markets to navigate the uncertain trade environment[46] - The company expects to receive large-scale production orders for new fiberglass railway sleeper products in the second half of 2019, leading to further investments in production equipment[89] - The company plans to recruit additional qualified personnel in the second half of 2019[90] Corporate Governance and Compliance - The board confirmed compliance with corporate governance codes during the six months ending June 30, 2019[119] - The audit committee was established on December 16, 2016, to oversee financial reporting and risk management[121] - The company has appointed KGI Asia Limited as a compliance advisor to ensure adherence to applicable laws and GEM Listing Rules[117] - No related party transactions were disclosed for the six months ending June 30, 2019, as per GEM Listing Rules[113] - The company did not purchase, sell, or redeem any of its listed securities during the six months ending June 30, 2019[115] Employee and Management Information - Key management personnel compensation for the six months ended June 30, 2019, totaled RMB 926,000, an increase from RMB 862,000 for the same period in 2018[40] - As of June 30, 2019, the group had 142 employees, an increase from 135 employees as of December 31, 2018[84] - Total employee costs for the six months ended June 30, 2019, amounted to approximately RMB 6.0 million, compared to RMB 6.8 million for the same period in 2018[84] Shareholder Information - The company has a significant shareholder, Mr. Jiang, who holds 163,600,000 shares, representing 40.9% of the company's equity[102] - Major shareholders include Mr. Shen, Wanxing, and Longxiang, each holding 163,600,000 shares, representing 40.9% of the company's equity[110] - Mr. Huang holds 118,400,000 shares, accounting for 29.6% of the company's equity[110] - No major shareholders or directors have interests in any competing businesses as of June 30, 2019[116]