Financial Performance - Net profit attributable to shareholders was CNY -8,690,773.41, a significant improvement from CNY -31,514,585.42 in the same period last year[8] - Operating revenue decreased by 47.00% to CNY 126,883,743.81 compared to CNY 239,402,545.64 in the previous year[8] - The weighted average return on equity was -0.971%, an improvement from -3.527% in the previous year[8] - Basic and diluted earnings per share were both CNY -0.013, compared to CNY -0.046 in the same period last year[8] - The company reported a debt restructuring gain of CNY 2,359,149.13, contributing to the overall financial performance[11] - The total net profit from non-recurring items was CNY 2,729,411.12 for the current period[11] - Total revenue for Q3 2020 was CNY 69,556,352.51, a decrease of 47.4% compared to CNY 132,346,457.03 in Q3 2019[40] - Net loss for Q3 2020 was CNY 4,194,780.27, compared to a net loss of CNY 10,439,882.49 in Q3 2019, representing a 59.9% improvement[41] - Total comprehensive income for Q3 2020 was CNY 2,854,493.90, compared to CNY 4,030,474.92 in Q3 2019[46] Assets and Liabilities - Total assets increased by 16.31% to CNY 2,614,305,293.33 compared to the end of the previous year[8] - The company’s net assets attributable to shareholders decreased by 0.98% to CNY 890,695,614.17 compared to the end of the previous year[8] - Total current assets as of September 30, 2020, amounted to ¥533,857,563.94, a decrease of 30.5% from ¥768,397,727.15 on December 31, 2019[29] - Total non-current assets reached ¥2,080,447,729.39, up 40.6% from ¥1,479,321,101.76 at the end of 2019[30] - Total liabilities increased to ¥1,698,862,143.80, a rise of 28.5% compared to ¥1,322,613,065.01 in the previous year[31] - The company's total assets as of September 30, 2020, were ¥2,614,305,293.33, reflecting a growth of 16.3% from ¥2,247,718,828.91[31] - The total liabilities to total assets ratio stood at approximately 64.9%, indicating a relatively high leverage position[31] Cash Flow - The net cash flow from operating activities was CNY -54,507,110.78, an improvement from CNY -80,740,219.21 in the same period last year[8] - The net cash flow from investment activities is -RMB 444.81 million, a decrease of 583.26% compared to the previous year[21] - The company achieved cash inflow from operating activities of CNY 100,070,994.81 in the first three quarters of 2020, slightly lower than CNY 105,086,346.05 in the same period of 2019[50] - The total cash inflow from investment activities was 103,420,747.01 RMB, while cash outflow was 36,300.00 RMB, resulting in a net cash flow from investment activities of 103,384,447.01 RMB[54] - The cash inflow from financing activities was 104,062,609.89 RMB, with cash outflow totaling 200,114,993.48 RMB, leading to a net cash flow from financing activities of -96,052,383.59 RMB[54] Shareholder Information - The total number of shareholders is 52,426[13] - The largest shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 200,000,000 shares, representing 29.20% of total shares[13] - Shanghai Zhongneng holds 20 million shares of the company, accounting for 29.20% of the total share capital, and has completed the procedures for share pledge[24] Operational Challenges - The company experienced a significant decrease in sales and trade business due to the pandemic and falling prices of desulfurization and denitrification carbon products[19] - The company has not fulfilled the performance commitment for 2017 and 2018, with ongoing litigation for compensation totaling RMB 314 million[25] - The company is adapting to new revenue and leasing standards, which may affect future financial reporting and cash flow assessments[57] Investment and Projects - The total fixed asset investment for the 50,000 tons/year lauric acid project is RMB 1.68 billion, with 90.19% of the construction progress completed and actual investment of RMB 1.1589828 billion as of the reporting period[20] - The acquisition of 80% equity in Boya Stem Cell Technology Co., Ltd. by Shanghai Zhongneng is valued at approximately RMB 1.05 billion, with RMB 800 million already received by the company[22]

Financial Performance - The company's operating revenue for the first half of 2020 was ¥57,327,391.30, a decrease of 46.45% compared to ¥107,056,088.61 in the same period last year[19]. - The net profit attributable to shareholders for the first half of 2020 was -¥5,475,988.78, compared to -¥23,183,730.78 in the same period last year[19]. - The net cash flow from operating activities was -¥46,889,813.19, slightly improved from -¥50,963,019.71 in the previous year[20]. - The basic earnings per share for the first half of 2020 was -¥0.008, an improvement from -¥0.034 in the same period last year[21]. - The weighted average return on net assets was -0.611%, an improvement from -2.635% in the same period last year[21]. - Operating revenue for the reporting period is 57.33 million RMB, a decrease of 46.45% compared to the previous year[37]. - Operating costs decreased by 42.16% to 54.47 million RMB, primarily due to a significant drop in sales volume at the subsidiary Ningxia Huahui[38]. - The company reported a net profit of 0.9172 million[34]. - The company reported a net loss of ¥239,380,348.04, compared to a loss of ¥233,904,359.26 in the previous period, indicating a worsening of approximately 2%[90]. - The company reported a comprehensive loss of 9,420,635.08 CNY during the period, indicating a decrease in profitability compared to previous periods[117]. Assets and Liabilities - Total assets increased by 11.32% to ¥2,502,258,220.53 from ¥2,247,718,828.91 at the end of the previous year[20]. - The net assets attributable to shareholders decreased by 0.62% to ¥893,999,518.73 from ¥899,553,326.37 at the end of the previous year[20]. - The total liabilities as of June 30, 2020, are not explicitly stated but are essential for assessing the company's financial health[88]. - Total liabilities rose to ¥1,582,531,170.80, compared to ¥1,322,613,065.01, indicating an increase of about 19.7%[90]. - Current liabilities decreased to ¥628,886,271.06 from ¥686,402,499.18, a reduction of approximately 8.4%[89]. - Non-current liabilities increased significantly to ¥953,644,899.74 from ¥636,210,565.83, reflecting a growth of around 49.8%[90]. - The company has a total of CNY 610,508,405.97 in other payables, which includes interest payable of CNY 13,242,490.08[194]. Cash Flow - The net cash flow from investment activities is -315.32 million RMB, a decline of 356.74% compared to the previous year[37]. - The net cash flow from financing activities was CNY 369,055,361.04, a substantial improvement from negative CNY 79,586,213.68 in the first half of 2019[105]. - The total cash and cash equivalents at the end of the period increased to CNY 137,550,665.79 from CNY 14,427,971.31 at the end of the first half of 2019[105]. - The cash inflow from sales of goods and services was CNY 43,041,322.73, down from CNY 52,208,654.44 in the first half of 2019, reflecting a decrease of approximately 17.5%[104]. - The company experienced a decrease in cash outflows for employee payments, totaling CNY 12,696,729.18, compared to CNY 13,989,371.01 in the previous year[104]. Investments and Projects - The construction of the 50,000 tons/year dodecanedioic acid project is ongoing, with a total investment of 321.6573 million[29]. - The total fixed asset investment for the 50,000 tons/year lauric acid project is 1.68 billion RMB, with all construction funds secured[35]. - As of the reporting period, the project construction progress is 72.53%, with actual investment completed at 982.79 million RMB[35]. - The company holds 19 patents, including 15 utility model patents and 4 invention patents related to activated carbon production[26]. - The company’s active carbon production capacity is expected to expand due to increasing downstream demand and environmental regulations[27]. Government Subsidies and Financial Support - Government subsidies received increased by 5.0811 million compared to the previous year[34]. - Debt restructuring income increased by 2.6851 million compared to the previous year[34]. - The company received 800 million RMB of the total 1.05 billion RMB from the sale of 80% equity in Boya Stem Cells to Shanghai Zhongneng[44]. - The company benefits from a 15% preferential tax rate for its subsidiary Ningxia Huahui under the Western Development policy until December 31, 2020[199]. Risk Management - The company has detailed the risks it faces in the report, advising investors to review the relevant sections for more information[6]. - Ningxia Huahui's main products are affected by fluctuations in international and domestic economic conditions, with a significant decline in orders due to the pandemic and trade tensions, impacting export business[47]. - The company faces risks from potential changes in government subsidy policies, which could impact operational performance[47]. - Ningxia Huahui is committed to improving its main business profitability through product structure adjustments, increased labor productivity, and enhanced R&D efforts[48]. Corporate Governance and Compliance - The company has not proposed any profit distribution or capital reserve transfer plans for the half-year period, indicating a focus on reinvestment[51]. - The company emphasizes the importance of not harming the interests of minority shareholders in its operations and activities[53]. - The company has not engaged in any competitive business activities that conflict with its main operations, ensuring compliance with commitments made by shareholders[52]. - The company has disclosed its commitment to uphold transparency and fulfill information disclosure obligations as per legal requirements[53]. Legal Matters - The company has faced a lawsuit from Ningxia High Court regarding a significant asset acquisition proposal, which is currently under review[53]. - The company is committed to fulfilling its obligations under the equity acquisition agreement, ensuring timely payments and compliance with all terms[54]. - The company has initiated legal proceedings to increase claims related to performance compensation from the 2017 fiscal year, which is currently under review[54]. - The company has ongoing significant litigation matters, including a lawsuit seeking compensation of 157 million yuan for unfulfilled performance commitments[59]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 29,224[76]. - The largest shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 200,000,000 shares, accounting for 29.20% of the total shares[77]. - The company has not reported any changes in major shareholders or strategic investors during the reporting period[79]. Accounting and Financial Reporting - The financial statements comply with the requirements of the Enterprise Accounting Standards, accurately reflecting the company's financial position, operating results, changes in shareholders' equity, and cash flows[129]. - The company recognizes revenue when control of goods or services is transferred to the customer, with specific criteria for domestic and international sales[180]. - The company has established a comprehensive management structure, including departments such as planning, securities, finance, and legal affairs[124].

Financial Performance - In 2019, the company's operating revenue was CNY 265,756,858.64, a decrease of 51.86% compared to CNY 552,087,908.80 in 2018[20] - The net profit attributable to shareholders was CNY -44,952,125.08, a decline of 578.18% from CNY 9,400,612.25 in the previous year[21] - Basic earnings per share decreased by 571.43% to -0.066 CNY from 0.014 CNY in the previous year[22] - Diluted earnings per share also decreased by 571.43% to -0.066 CNY from 0.014 CNY in the previous year[22] - The weighted average return on equity dropped by 6.103 percentage points to -5.019% from 1.084% in the previous year[22] - The company achieved operating revenue of CNY 141.85 million, with a net profit of -CNY 39.89 million during the reporting period[39] - The company reported a total revenue for the reporting period of 14,795 million CNY, with no change compared to the previous year[159] - The company reported a pre-tax income of 332.04 million CNY, indicating a significant increase in profitability[159] Assets and Liabilities - Total assets rose by 3.07% to CNY 2,247,718,828.91 at the end of 2019, up from CNY 2,180,704,990.26 at the end of 2018[21] - The company's current assets totaled RMB 768,397,727.15, down from RMB 1,234,975,529.65 in the previous year, indicating a decrease of about 37.7%[199] - The total liabilities of the company were RMB 1,322,613,065.01, compared to RMB 1,187,502,624.12 in 2018, representing an increase of approximately 11.4%[200] - The company's long-term equity investments increased to RMB 593,509,448.88 from RMB 569,073,011.93, reflecting a growth of approximately 4.3%[200] Cash Flow - The cash flow from operating activities was CNY -47,799,953.98, showing an improvement from CNY -180,306,340.50 in 2018[21] - The net cash flow from operating activities was -CNY 47.80 million, an improvement of CNY 132.51 million compared to the previous year[58] - Investment activities resulted in a net cash outflow of -CNY 274.49 million, a decrease of 233.89% compared to the previous year[58] - Cash and cash equivalents increased by 125.18% to 168,139,487.04, primarily due to the registered capital received by the subsidiary Hengli New Materials[60] Shareholder Information - The total number of ordinary shareholders decreased from 31,956 to 30,643 during the reporting period[144] - The largest shareholder, Shanghai Zhongneng, holds 200 million shares, representing 29.20% of the total shares, with all shares pledged[146] - The company has a cash dividend policy that prioritizes cash distribution to protect investors' rights, with no dividends declared for 2019, 2018, and 2017[104] - The company has not proposed any cash profit distribution plans despite positive profits available for distribution to ordinary shareholders[105] Risks and Compliance - The company has detailed potential risks in its report, advising investors to be cautious and rational in their investments[5] - The company has not engaged in non-operational fund occupation by controlling shareholders or related parties[6] - The company received a standard unqualified audit report from its accounting firm, Xin Yong Zhong He[7] - The company is committed to fulfilling its information disclosure obligations as per relevant laws and regulations[107] Research and Development - Research and development expenses increased by 129.81% to CNY 1.64 million, representing 0.62% of total operating revenue[56] - The company has 19 patents related to its activated carbon production, including 15 utility model patents and 4 invention patents[30] - Ningxia Huahui has applied for 4 invention patents and 15 utility model patents, emphasizing its commitment to R&D innovation[68] Market and Sales - The sales model combines direct sales and distribution, with both domestic and international sales channels[30] - The company's domestic revenue decreased by 77.64%, while international revenue decreased by 39.12%[48] - The activated carbon industry in China is expected to grow due to increasing demand in water treatment, air purification, and pollution control[31] - The company plans to achieve a sales volume of 30,000 tons and sales revenue of 200 million RMB for activated carbon products in 2020[98] Corporate Governance - The company has established a robust corporate governance structure, ensuring compliance with relevant laws and regulations, and promoting transparency in operations[174] - The board of directors includes experienced professionals with backgrounds in finance and management, enhancing corporate governance[158] - The company has maintained a stable shareholder structure with no significant changes in shareholding during the reporting period[157] Legal Matters - The company is involved in ongoing litigation concerning the performance compensation from the 2017 annual audit[107] - The company filed a lawsuit against Xu Xiaochun for compensation obligations related to the 2017 performance commitment, claiming a loss of RMB 157 million[116] - The company is contesting the arbitration ruling and has filed for its annulment in the Shanghai First Intermediate Court[120] Future Outlook - The company plans to expand its market presence in Asia, targeting a 25% growth in that region for 2020[121] - Future guidance estimates a revenue growth of 10% for 2020, projecting total revenue of 5,500 million[121] - The company is exploring potential acquisitions to enhance its product portfolio, with a budget of 300 million set aside for this purpose[121]

Financial Performance - Operating revenue decreased by 57.76% to CNY 20,857,657.03 year-on-year[6] - Net profit attributable to shareholders was CNY 1,528,035.07, a significant recovery from a loss of CNY 5,362,273.69 in the same period last year[6] - The weighted average return on equity was 0.1697%, up from -0.6177% year-on-year[6] - Basic earnings per share increased to CNY 0.0022 from a loss of CNY 0.0078 in the same period last year[6] - Total revenue for Q1 2020 was ¥20,857,657.03, a decrease of 57.8% compared to ¥49,374,483.80 in Q1 2019[37] - Net profit for Q1 2020 was ¥1,214,241.21, a significant recovery from a net loss of ¥5,604,414.16 in Q1 2019[38] - The net profit for Q1 2020 was 6,012,921.32 million RMB, a significant improvement from a net loss of 667,326.77 million RMB in Q1 2019[43] - The total profit for Q1 2020 was 6,012,921.32 million RMB, compared to a loss of 667,326.77 million RMB in the same period last year[42] Cash Flow and Liquidity - The net cash flow from operating activities improved to -CNY 9,204,499.83, compared to -CNY 33,461,726.04 in the previous year[6] - The company's cash and cash equivalents increased by 121.08%, reaching ¥371,729,416.34 from ¥168,139,487.04 at the beginning of the year[14] - Cash flow from operating activities in Q1 2020 was -9,204,499.83 million RMB, an improvement from -33,461,726.04 million RMB in Q1 2019[46] - The net increase in cash and cash equivalents for Q1 2020 was 214,715,723.38 million RMB, compared to 3,016,571.72 million RMB in Q1 2019[47] - The ending balance of cash and cash equivalents for Q1 2020 was 345,435,465.30 million RMB, significantly higher than 25,142,586.27 million RMB at the end of Q1 2019[47] Assets and Liabilities - Total assets increased by 14.05% to CNY 2,563,451,777.96 compared to the end of the previous year[6] - The company's total assets amounted to CNY 2,563,451,777.96, an increase from CNY 2,247,718,828.91 at the end of 2019, reflecting a growth of approximately 14%[26] - Total liabilities increased to CNY 1,637,131,772.85 as of March 31, 2020, from CNY 1,322,613,065.01 at the end of 2019, marking an increase of around 24%[28] - The company's long-term borrowings increased significantly by 733.33%, from ¥30,000,000.00 to ¥250,000,000.00[14] - The company's short-term borrowings rose to CNY 510,800,000.00, compared to CNY 404,100,000.00 at the end of 2019, reflecting an increase of approximately 26%[27] Shareholder Information - The total number of shareholders reached 31,956 by the end of the reporting period[10] - The largest shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 200,000,000 shares, accounting for 29.20% of total shares[10] Government Support - The company received government subsidies totaling CNY 3,222,152.58, which contributed positively to the financial results[7] - The company received government subsidies, contributing to an increase in other income and investment income[13] Litigation - The company is involved in ongoing litigation regarding performance commitments and compensation, with claims amounting to ¥1.57 billion for the years 2017 and 2018[17] - The company has ongoing litigation regarding unfulfilled performance commitments from 2017 and 2018, with claims amounting to CNY 1.57 billion for each year, which are still pending resolution[22] Operating Costs and Expenses - Operating costs fell to ¥20,987,040.90, a decrease of 51.77% compared to ¥43,512,941.96 in the previous year[15] - The company's financial expenses decreased by 31.90%, from ¥8,503,458.92 to ¥5,790,537.23[15] - Research and development expenses for Q1 2020 were ¥220,952.96, an increase from ¥116,762.24 in Q1 2019[37] - The company reported a decrease in sales expenses and management expenses, contributing to improved profitability[42]

Financial Performance - The company's net profit for 2019 was -44,952,125.08 yuan, a decrease of 578.18% compared to the previous year's profit of 9,400,612.25 yuan[21]. - Operating revenue for 2019 was 265,756,858.64 yuan, representing a decline of 51.86% from 552,087,908.80 yuan in 2018[20]. - Basic earnings per share for 2019 was -0.066 yuan, a decrease of 571.43% compared to 0.014 yuan in 2018[22]. - Diluted earnings per share for 2019 was -0.066 yuan, reflecting the same percentage decrease of 571.43% from 2018[22]. - The weighted average return on equity for 2019 was -5.019%, a decline of 6.103 percentage points from 1.084% in 2018[22]. - Net profit attributable to shareholders for Q4 2019 was -13,437,539.66 yuan, with a total annual net profit of -44,951,144.08 yuan[24]. - The company reported a net profit of -39.89 million yuan, a decrease of 666.95% year-on-year, primarily due to reduced sales margins and impairment provisions[91]. Assets and Liabilities - Total assets as of the end of 2019 amounted to 2,247,718,828.91 yuan, reflecting a 3.07% increase from 2,180,704,990.26 yuan in 2018[21]. - The net assets attributable to shareholders at the end of 2019 were 899,553,326.37 yuan, an increase of 3.31% from 870,732,498.54 yuan at the end of 2018[21]. - Total liabilities increased to CNY 1,322,613,065.01 in 2019 from CNY 1,187,502,624.12 in 2018, reflecting a growth of about 11.4%[197]. - Current liabilities decreased to CNY 686,402,499.18 in 2019 from CNY 1,186,807,553.56 in 2018, a reduction of approximately 42.2%[196]. - Long-term liabilities decreased to CNY 636,210,565.83 in 2019 from CNY 695,070.56 in 2018, a decline of about 8.5%[196]. Cash Flow - The cash flow from operating activities for 2019 was -47,799,953.98 yuan, compared to -180,306,340.50 yuan in 2018[21]. - The net cash flow from operating activities in Q4 2019 was 32,940,265.23 yuan, contrasting with negative cash flows in the first three quarters[24]. - The company's operating cash flow was CNY -47.80 million, an improvement from CNY -180.31 million in the previous year[44]. - The company's cash and cash equivalents increased by 125.18% to CNY 168,139,487.04, primarily due to the registered capital received by the subsidiary Hengli New Materials[59]. Revenue and Sales - Total revenue for Q3 2019 was 132,346,457.03 yuan, while Q4 revenue dropped to 26,354,313.00 yuan[24]. - The total revenue from domestic sales was CNY 113,267,373.31, down 77.64% year-on-year, while foreign sales revenue was CNY 27,161,023.57, down 39.12%[51]. - Revenue from the chemical raw materials and chemical products manufacturing business decreased by 36.28% year-on-year, with a gross profit margin decline of 14.64 percentage points[48]. - The sales revenue from direct sales was ¥10,357.36 million, a decrease of 10.96% year-on-year, while revenue from distribution fell by 64.70%[79]. Research and Development - The company has 19 patents related to its activated carbon production, including 15 utility model patents and 4 invention patents[30]. - Research and development expenses increased by 129.81% to CNY 1.64 million, reflecting a focus on innovation[44]. - The total R&D expenditure was CNY 1,635,132.56, accounting for 0.62% of total revenue, with 98 R&D personnel representing 27.22% of the total workforce[56]. Environmental and Regulatory Compliance - The company is responding to the increasing environmental regulations in the activated carbon industry by upgrading production facilities and closing non-compliant plants[82]. - Ningxia Huahui is upgrading its facilities to meet new environmental standards in the activated carbon industry[135]. - The company has implemented a salary policy that includes base salary, position salary, and seniority salary for on-duty personnel[166]. Legal Matters - The company is involved in a significant lawsuit against Xu Xiaochun, claiming a loss of 157 million RMB due to unfulfilled performance commitments from 2017[113]. - The company has initiated legal proceedings to increase its claims related to the performance compensation agreement[106]. - The company has received a court ruling to freeze and seize bank deposits amounting to RMB 91,800,000[117]. Governance and Management - The company has established a governance structure to enhance management and ensure stable development, with clear responsibilities among shareholders, board members, and management[133]. - The company has a strong management team with extensive experience in finance and operations, including positions in various subsidiaries and related companies[156]. - The audit report confirms that the financial statements of Ningxia New Day Hengli Steel Wire Rope Co., Ltd. fairly reflect its financial position as of December 31, 2019, in accordance with accounting standards[182]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 30,643, a decrease from 31,956 at the end of the previous month[141]. - The largest shareholder, Shanghai Zhongneng, holds 200 million shares, representing 29.20% of the total shares, with these shares being pledged[143]. - The company has approved a three-year cash dividend plan (2018-2020) to enhance transparency and protect the rights of minority shareholders[103].

Financial Performance - Operating revenue for the first nine months was CNY 239,402,545.64, a decline of 50.22% year-on-year[6] - Net profit attributable to shareholders was a loss of CNY 31,514,585.42, compared to a profit of CNY 329,264.52 in the same period last year, representing a decrease of 9,671.21%[6] - Basic earnings per share were -CNY 0.046, a decrease of 9,300% compared to the previous year[6] - The weighted average return on net assets decreased by 3.57 percentage points to -3.527%[6] - Total operating revenue for Q3 2019 was ¥132,346,457.03, a decrease of 9.8% compared to ¥145,489,688.33 in Q3 2018[38] - Net profit for Q3 2019 was a loss of ¥10,439,882.49, compared to a profit of ¥6,096,628.79 in Q3 2018[39] - Total investment income for Q3 2019 was ¥10,664,842.32, down from ¥14,356,286.03 in Q3 2018[39] - Total comprehensive income attributable to the parent company for Q3 2019 was CNY -8,330,854.64, compared to CNY 4,554,533.73 in Q3 2018[43] Assets and Liabilities - Total assets decreased by 16.90% to CNY 1,812,103,094.70 compared to the end of the previous year[6] - The total current assets decreased to RMB 799,961,830.46 from RMB 1,234,975,529.65 at the end of 2018, representing a decline of approximately 35.2%[27] - The total liabilities as of September 30, 2019, were RMB 867,839,925.20, down from RMB 1,187,502,624.12 at the end of 2018, indicating a reduction of about 26.9%[29] - The company's total equity decreased from RMB 993,202,366.14 at the end of 2018 to RMB 944,263,169.50 as of September 30, 2019, a decline of approximately 4.9%[29] - The company's cash and cash equivalents were reported at RMB 56,704,759.28, down from RMB 74,667,756.95 at the end of 2018, a decrease of about 24%[27] - Total liabilities amounted to ¥869,686,816.45 in Q3 2019, a decrease from ¥1,549,581,520.21 in Q3 2018[34] - The company reported a total asset value of ¥1,819,483,385.53 as of Q3 2019, down from ¥2,424,066,536.60 in the previous year[34] Cash Flow - The net cash flow from operating activities was -CNY 80,740,219.21, an improvement from -CNY 166,021,592.18 in the same period last year[6] - Cash flow from operating activities for the first nine months of 2019 was CNY -80,740,219.21, an improvement from CNY -166,021,592.18 in the same period of 2018[45] - The company raised 368,322,072.69 RMB from financing activities, with cash outflows totaling 597,901,597.86 RMB, leading to a net cash flow from financing activities of -229,579,525.17 RMB[49] - The ending cash and cash equivalents balance decreased to 10,930.13 RMB from 19,643,787.48 RMB at the beginning of the period, reflecting a net decrease of 19,632,857.35 RMB[49] - The cash flow from operating activities was impacted by a total cash outflow of 22,202,598.95 RMB, compared to 220,438,986.21 RMB in the same period last year[48] Shareholder Information - The total number of shareholders at the end of the reporting period was 34,075[9] - The largest shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., held 200,000,000 shares, accounting for 29.20% of total shares[9] Government and Legal Matters - The company received government subsidies amounting to CNY 202,677.42 during the reporting period[7] - The company is involved in ongoing litigation regarding performance commitments and compensation, with a court ruling exempting it from paying RMB 577 million in equity transfer fees[16] - The company filed a lawsuit against Xu Xiaochun for a compensation of RMB 157 million due to unfulfilled performance commitments for the year 2017[17] - The company has ongoing civil litigation regarding unfulfilled performance commitments from Xu Xiaochun for the years 2017 and 2018, which remains unresolved as of the report date[25] - The company has a pending lawsuit for defamation with a claim of RMB 10 million against it, which has not yet been resolved[22] Research and Development - R&D expenses increased significantly by 246.91% to RMB 1.28 million, compared to RMB 370,079.28 in the previous year[14] - Research and development expenses for Q3 2019 were ¥927,113.13, significantly higher than ¥115,603.16 in Q3 2018, indicating a focus on innovation[38]

Financial Performance - The company's operating revenue for the first half of 2019 was ¥107,056,088.61, a decrease of 68.08% compared to ¥335,387,246.84 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was -¥23,183,730.78, compared to -¥4,225,269.21 in the previous year, indicating a significant loss[18]. - Basic earnings per share for the reporting period (1-6 months) was -0.034 yuan/share, compared to -0.006 yuan/share in the same period last year, indicating a significant decline[20]. - The weighted average return on equity for the reporting period was -2.635%, down from -0.491% in the same period last year[20]. - The company reported a significant increase in short-term borrowings, rising by 33.84% to CNY 496 million[40]. - The company reported a net profit of -3.0431 million yuan for Ningxia Huahui, a decrease of 168.83% year-on-year, primarily due to reduced sales gross margin and increased financial expenses[49]. - The company reported a net profit of -4.4039 million yuan for Hengli International Trade, a decrease of 358.00% year-on-year, mainly due to a reduction in trade business[49]. - The company reported a net loss of 11,266,324.70 CNY during the current period, impacting the retained earnings which now stand at -197,090,690.99 CNY[138]. Cash Flow and Investments - The net cash flow from operating activities was -¥50,963,019.71, an improvement from -¥123,332,803.06 in the previous year[19]. - Cash inflow from operating activities was 58,974,606.29 RMB, down 87.5% from 473,171,252.73 RMB in the first half of 2018[119]. - Net cash outflow from operating activities was -50,963,019.71 RMB, an improvement from -123,332,803.06 RMB in the same period of 2018[119]. - The company has received 600 million yuan from the sale of equity interests in a subsidiary, with the first payment of 60 million yuan already received[26]. - The company plans to increase its investment in Ningxia Hengli Biological New Materials Co., Ltd. by 210 million yuan as part of a 700 million yuan capital increase[27]. - The company has received a total of 600 million yuan from Shanghai Zhongneng for the equity transfer agreement, with the first payment already completed[48]. Assets and Liabilities - The total assets decreased by 17.90%, from ¥2,180,704,990.26 at the end of the previous year to ¥1,790,317,729.95 at the end of the reporting period[19]. - The total current assets amount to ¥799,006,653.94, a decrease from ¥1,234,975,529.65[101]. - Total liabilities decreased from CNY 1,187,502,624.12 to CNY 835,614,677.96, reflecting a decline of around 29.6%[103]. - The company has a total of 421,648,233.12 yuan in long-term equity investments, primarily due to pledged loans[44]. - The company has a total of 66,090,059.77 yuan in restricted cash due to bank acceptance bill guarantees, performance bonds, and litigation freezes[44]. Research and Development - R&D expenses increased by 40.17% to CNY 356,711.67, driven by higher investment in Ningxia Huahui[38]. - The company has 19 patents related to activated carbon production, including 15 utility model patents and 4 invention patents[23]. Legal and Regulatory Matters - The company is currently involved in significant litigation, including a lawsuit against Xu Xiaochun for damages due to breach of performance commitments, with the Ningxia High Court formally accepting the case[66]. - The company has received a civil lawsuit from Xu Xiaochun, requesting performance compensation and related interest, along with the payment of litigation fees[68]. - The company was publicly reprimanded by the Shanghai Stock Exchange for disciplinary actions against several board members and executives[69]. - The company has engaged Xinyong Zhonghe Accounting Firm for the 2019 annual audit, which issued a qualified opinion on the 2018 financial statements due to issues with the valuation of held-for-sale assets[62]. Shareholder and Equity Information - The largest shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 200,000,000 shares, accounting for 29.20% of total shares[90]. - The total equity attributable to the parent company at the end of the previous year was 993,202,366.14, with a decrease of 35,537,419.38 during the current period[127]. - The total owner's equity at the end of the reporting period is 828,233,064.37 CNY, a decrease of 11,266,324.70 CNY compared to the previous period[132]. Business Operations - The company operates primarily in the metal products industry, focusing on the production and sales of steel wires, steel ropes, and related products[138]. - The company employs a direct sales and distribution model for its products, focusing on both domestic and international markets[23]. - The company has three subsidiaries: Ningxia Huahui Activated Carbon Co., Ltd., Ningxia Xinday International Trade Co., Ltd., and Ningxia Hengli Biological New Materials Co., Ltd.[140]. Accounting Policies and Financial Reporting - The financial statements are prepared based on the assumption of going concern, with no significant doubts regarding the company's ability to continue operations in the next 12 months[142]. - The company adheres to the accounting standards for enterprises, ensuring that the financial statements reflect a true and complete picture of its financial status and operating results[144]. - The company has not disclosed any changes in accounting policies or estimates during the reporting period[84]. - The company recognizes expected credit losses for financial instruments in three stages, with the first stage reflecting no significant increase in credit risk and measuring losses over the next 12 months[163].

Financial Performance - The company's operating revenue for the first half of 2019 was ¥107,056,088.61, a decrease of 68.08% compared to ¥335,387,246.84 in the same period last year[17]. - The net profit attributable to shareholders of the listed company was -¥22,740,249.52, compared to -¥4,225,269.21 in the previous year, indicating a significant loss[17]. - The net cash flow from operating activities was -¥50,963,019.71, an improvement from -¥123,332,803.06 in the previous year[18]. - The basic earnings per share for the first half of 2019 was -¥0.033, compared to -¥0.006 in the same period last year[19]. - The weighted average return on net assets was -2.584%, a decline from -0.491% in the previous year[19]. - The company reported a net profit of -9.42 million yuan for the reporting period, a year-on-year improvement of 184.57 million yuan, primarily due to a reduction in financial expenses[34]. - The company reported a total comprehensive loss of RMB 23,259,446.00 for the first half of 2019, compared to a loss of RMB 1,463,524.74 in the same period of 2018[99]. - The total comprehensive income for the first half of 2019 was -9,420,635.08 RMB, compared to -11,266,324.70 RMB in the same period of 2018, showing an improvement[104]. Assets and Liabilities - The total assets decreased by 17.90% to ¥1,790,317,729.95 from ¥2,180,704,990.26 at the end of the previous year[18]. - The company's total liabilities decreased from CNY 1,187,502,624.12 to CNY 835,614,677.96, a decline of about 29.63%[91]. - The total equity attributable to the parent company at the end of the reporting period was 684,883,775.00, with a decrease of 22,740,249.52 during the period[115]. - The company reported a negative retained earnings of CNY -210,299,074.83, worsening from CNY -181,421,529.50 in the previous period[91]. - The total liabilities and equity at the end of the reporting period were 990,240,471.37, showing the company's financial position[115]. Investments and Projects - The investment in the 50,000-ton sebacic acid project reached CNY 334.53 million, with a construction progress of 25.11% as of the reporting period[30]. - The company received a total of CNY 6 billion from Shanghai Zhongneng for the equity transfer agreement, marking a significant asset change[25]. - The company completed a capital increase of 700 million yuan for Hengli New Materials, with the company contributing 210 million yuan[39]. Research and Development - Research and development expenses increased by 40.17%, reaching CNY 356,711.67, indicating a focus on innovation[32]. - The company has 19 patents related to activated carbon production, including 15 utility model patents and 4 invention patents, enhancing its competitive edge[22]. Market and Economic Conditions - Ningxia Huahui's main products are affected by fluctuations in international and domestic economic conditions, with exports primarily to North America, Europe, and Asia-Pacific, accounting for approximately 20% of total sales[45]. - The company faces risks from price volatility of key raw materials, such as washed coal and coal tar, which significantly impact the gross margin of activated carbon products[45]. - Ningxia Huahui plans to enhance product quality and expand domestic market efforts to mitigate risks associated with international market uncertainties[45]. Legal and Regulatory Matters - The company is involved in significant litigation matters, including a lawsuit filed by Xu Xiaochun for defamation, which was disclosed on July 4, 2018[59]. - The company has incurred litigation costs amounting to RMB 25,872,000 related to the ongoing legal disputes[61]. - The company has been actively involved in arbitration proceedings, with multiple announcements regarding the status of these cases made throughout 2019[61]. Corporate Governance - The company has outlined commitments to avoid engaging in competitive businesses that may harm the interests of its main operations and shareholders[50]. - The company emphasizes compliance with legal and regulatory frameworks to avoid conflicts of interest and ensure fair transactions with related parties[50]. Financial Reporting and Accounting Policies - The financial statements are prepared based on the assumption of going concern, with no significant doubts regarding the company's ability to continue operations in the next 12 months[132]. - The company follows specific accounting policies tailored to its operational characteristics, including revenue recognition and inventory measurement[133]. - The company adopts the book value measurement for assets and liabilities acquired in business combinations under common control, adjusting the capital reserve for the difference between the net asset book value and the payment for the combination[139].

Financial Performance - Operating revenue decreased by 69.65% to CNY 49,374,483.80 compared to the same period last year[13] - Net profit attributable to shareholders decreased by 1,204.29% to a loss of CNY 5,362,273.69 compared to the same period last year[6] - Basic earnings per share decreased by 1,214.29% to a loss of CNY 0.0078 per share compared to the same period last year[6] - The company reported a net loss of CNY -186,783,803.19 as of March 31, 2019, compared to a loss of CNY -181,421,529.50 at the end of 2018[29] - Net loss for Q1 2019 was ¥5,604,414.16, compared to a net profit of ¥1,213,333.77 in Q1 2018[39] - The company's operating revenue for Q1 2019 was CNY 96,008.53, a significant increase from CNY 28,921,634.87 in Q1 2018[42] - The net profit for Q1 2019 was a loss of CNY 667,326.77, compared to a loss of CNY 2,042,416.45 in Q1 2018, indicating an improvement in performance[42] Cash Flow - Cash flow from operating activities showed a net outflow of CNY 33,461,726.04, compared to a net outflow of CNY 7,240,430.46 in the previous year[6] - The total cash flow from operating activities for Q1 2019 was a net outflow of CNY 33,461,726.04, compared to a net outflow of CNY 7,240,430.46 in Q1 2018[44] - The cash flow from investing activities in Q1 2019 resulted in a net outflow of CNY 66,740,030.65, compared to a net outflow of CNY 19,985,410.43 in Q1 2018[45] - The financing activities generated a net cash inflow of CNY 103,322,401.03 in Q1 2019, contrasting with a net outflow of CNY 120,415,119.37 in Q1 2018[45] - The net cash flow from financing activities was -$18,630,552.61, compared to -$159,255,771.87 in the previous period, indicating a significant improvement[48] Assets and Liabilities - Total assets increased by 4.04% to CNY 2,268,747,870.81 compared to the end of the previous year[6] - The total liabilities as of March 31, 2019, were CNY 1,281,290,636.40, up from CNY 1,187,502,624.12, marking an increase of approximately 7.9%[29] - The company's short-term borrowings rose to CNY 481,000,000.00 from CNY 370,600,000.00, reflecting an increase of about 29.9%[28] - The company's total equity attributable to shareholders decreased to CNY 865,256,370.26 from CNY 870,732,498.54, indicating a decline of approximately 0.6%[29] - The company's total assets as of March 31, 2019, were ¥2,411,898,928.66, a slight decrease from ¥2,424,066,536.60 at the end of 2018[34] Investments and Income - Investment income increased by 35.18% to CNY 7,881,900.09, attributed to the net profit increase from the company's equity investments[14] - The company reported a significant decrease in government subsidies received, impacting other income[14] Shareholder Information - The number of shareholders reached 40,081, with the largest shareholder holding 29.20% of the shares[10] Legal and Compliance - The company is currently involved in legal proceedings regarding performance commitments and compensation agreements with a former executive, which may impact future financial results[24] - The performance commitment agreement with Xu Xiaochun stipulates that the net profit attributable to the parent company for the years 2015 to 2018 should not be less than 30 million CNY, 50 million CNY, 80 million CNY, and 140 million CNY respectively[23] Other Financial Metrics - Management expenses increased by 43.50% to CNY 5,716,832.07 due to higher labor and legal fees[14] - Other receivables increased due to payments made for labor guarantees and increased standby funds[12] - Prepayments increased by 134.13% to 49,801,817.35 CNY compared to the beginning of the year[15] - Other receivables increased by 35.31% to 3,310,818.83 CNY compared to the beginning of the year[15] - Other current assets increased by 44.28% to 22,203,503.61 CNY compared to the beginning of the year[15] - Construction in progress increased by 35.03% to 188,419,642.23 CNY compared to the beginning of the year[15] - The company has received a total of 600 million CNY from Shanghai Zhongneng as the first installment of the equity transfer payment[22] - The company has signed agreements for the acquisition of equity and has completed the necessary decision-making procedures[22]

Financial Performance - In 2018, the company's operating revenue was CNY 552,087,908.80, a decrease of 55.76% compared to CNY 1,247,939,683.41 in 2017[20] - The net profit attributable to shareholders of the listed company for 2018 was CNY 9,400,612.25, down 75.41% from CNY 38,230,180.78 in 2017[20] - The net cash flow from operating activities was CNY -180,306,340.50, a decline of 255.84% compared to CNY 115,700,007.34 in 2017[20] - Basic earnings per share decreased by 75.00% to CNY 0.014 from CNY 0.056 in the previous year[21] - The weighted average return on equity fell by 3.514 percentage points to 1.084% from 4.598% in the previous year[21] - The company achieved operating revenue of CNY 220.76 million in 2018, an increase of 16.52% compared to the previous year, and a net profit of CNY 7.04 million, up 82.28% year-on-year[35] - The trade subsidiary, Hengli Guomao, generated operating revenue of CNY 403.61 million and a net profit of CNY 4.86 million during the reporting period[35] - The company’s investment income from affiliated financial institutions was CNY 42.13 million, a year-on-year increase of 3.88%[35] Assets and Liabilities - As of the end of 2018, the total assets amounted to CNY 2,180,704,990.26, a decrease of 5.15% from CNY 2,299,043,963.84 at the end of 2017[20] - The net assets attributable to shareholders of the listed company were CNY 870,732,498.54 at the end of 2018, an increase of 0.92% from CNY 862,821,337.40 at the end of 2017[20] - Total liabilities increased to CNY 1,549,581,520.21 in 2018 from CNY 1,370,565,548.43 in the previous year, representing a growth of 13.1%[174] - Total equity rose to CNY 874,485,016.39 in 2018, compared to CNY 839,499,389.07 in the previous year, marking an increase of 4.2%[174] - The company’s total assets reached CNY 2,424,066,536.60 in 2018, up from CNY 2,210,064,937.50 in the previous year, indicating a growth of 9.7%[174] Cash Flow - The net cash flow from operating activities turned negative at -CNY 180,306,340.50 compared to a positive CNY 115,700,007.34 in the previous period[184] - Cash outflow for operating activities was CNY 802,837,358.93, compared to CNY 1,186,642,136.71 in the previous period, indicating a reduction of about 32.3%[184] - Cash outflow for financing activities totaled CNY 575,997,125.13, down from CNY 2,442,600,880.66, a decrease of approximately 76.4%[185] Research and Development - Total R&D investment was ¥711,509.39, accounting for 0.13% of operating revenue[48] - Research and development expenses for 2018 were ¥711,509.39, a decrease of 34.1% from ¥1,080,953.41 in the previous year[177] Legal and Compliance Issues - The audit report issued by the accounting firm included a reserved opinion, which the board has explained in detail[4] - The company is involved in significant litigation regarding the breach of performance commitments, with claims for damages against Xu Xiaochun[88] - The company has incurred legal fees of CNY 1,335,421 related to the lawsuit, which it is required to bear[91] - The company has filed for the revocation of an arbitration ruling and has received a suspension of execution from the Wuxi Intermediate Court[92] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 42,516, an increase from 40,081 at the end of the previous month[112] - The major shareholder, Shanghai Zhongneng Enterprise Development (Group) Co., Ltd., holds 200 million shares, accounting for 29.20% of the total share capital[115] - The company has no convertible bonds issued or any changes in convertible bond holders during the reporting period[108] Environmental and Social Responsibility - The company and its subsidiary, Ningxia Huahui, are not listed as key pollutant discharge units by the Ningxia Environmental Protection Department for 2018[106] - Ningxia Huahui has made continuous investments in environmental protection, ensuring compliance with the emission standards for air pollutants in the coal-based activated carbon industry[106] - The company has provided financial support to 118 employees in need, distributing a total of 87,000[105] Management and Governance - The management team consists of experienced professionals with backgrounds in various industries, enhancing the company's strategic capabilities[128] - The company has maintained a consistent board of directors with no changes in key positions during the reporting period[127] - The company has established a system for managing insider information to prevent insider trading and ensure fair information disclosure[141]