Financial Performance - The net profit attributable to shareholders for 2019 was -5,662,465.28 RMB, resulting in a total distributable profit of -554,387,445.59 RMB, leading the company to propose no profit distribution for the year [4]. - The company has reported a significant decrease in profits, with a starting undistributed profit of -548,724,980.31 RMB [4]. - The company's operating revenue for 2019 was approximately ¥433.31 million, a decrease of 18.01% compared to ¥528.48 million in 2018 [21]. - The net profit attributable to shareholders was a loss of approximately ¥5.66 million, representing a decline of 170.66% from a profit of ¥8.01 million in 2018 [21]. - The basic earnings per share for 2019 was -¥0.02, down 166.67% from ¥0.03 in 2018 [22]. - The weighted average return on equity decreased to -9.73%, a drop of 23.83 percentage points from 14.10% in 2018 [22]. - The net cash flow from operating activities was approximately ¥16.73 million, down 60.80% from ¥42.68 million in 2018 [21]. - The company's total assets decreased by 12.07% to approximately ¥252.37 million from ¥287.01 million in 2018 [21]. - The company achieved operating revenue of 433.31 million yuan, a decrease of 18.01% compared to the previous year [56]. - The company's total cost was CNY 311,667,115.39, down 18.31% from CNY 381,504,943.27 in the previous year, primarily due to a decrease in direct material costs [73]. Audit and Compliance - The company has received a standard unqualified audit report from Zhongxing Cai Guanghua Accounting Firm [6]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties [6]. - The company has not engaged in any violations of decision-making procedures for external guarantees [6]. - The company has engaged Zhongxing Caiguanghua Accounting Firm for auditing services, with a fee of 470,000 RMB for the year [142]. - There were no major lawsuits or arbitration matters reported for the year [143]. - The company has not reported any overdue amounts in its cash management activities [155]. Market and Industry Insights - The company primarily engages in the research, production, and sales of fine chemical products, specifically focusing on acrylamide [31]. - The price of upstream raw material acrylonitrile significantly impacts the sales price of acrylamide, as it is a major cost factor [33]. - The demand fluctuations in the downstream market also affect the sales of acrylamide, with the company adopting a sales-driven production strategy [33]. - The domestic market for acrylamide is expected to maintain stable supply and demand, supporting profit margins for the company [38]. - The overall chemical industry faced a slight decline in demand and price in 2019, impacting the company's product pricing [37]. - The trend of increasing investment from international chemical giants in China's acrylamide market indicates confidence in future demand growth [40]. Research and Development - The company has established 14 patents in the field of acrylamide, including 5 invention patents and 9 utility model patents [51]. - The company is one of the first in China to develop acrylamide using a biological method, holding independent intellectual property rights [36]. - Research and development expenses totaled CNY 14,416,910.11, accounting for 3.33% of operating revenue, with no capitalized R&D expenditures [81]. - The company is actively engaged in research and development within the acrylamide industry, contributing to the establishment of industry standards [161]. - The company is exploring overseas markets to expand its product reach and enhance customer acquisition capabilities [53]. Environmental and Safety Measures - The company has invested in environmental protection measures, including the installation of online monitoring systems and waste gas collection devices [58]. - The company has implemented measures to reduce environmental impact, including the installation of wastewater treatment and VOCs monitoring systems, maintaining a stable environmental credit rating [95]. - The company reported that its wastewater discharge met the standards, with chemical oxygen demand (COD) at 64 mg/L, below the limit of 500 mg/L [165]. - The company has committed to enhancing its environmental protection standards and management levels through increased investment in monitoring systems [165]. - The company has successfully maintained a year without major safety or environmental incidents, enhancing operational capabilities [58]. Shareholder and Governance - The board proposed no profit distribution for 2019 and no capital reserve transfer to increase share capital, with independent directors agreeing to submit this proposal for shareholder approval [135]. - The company did not distribute dividends or issue bonus shares in 2019, 2018, or 2017, maintaining a dividend payout ratio of 0% [136]. - The company reported that its total number of ordinary shareholders increased from 13,970 to 14,285 during the reporting period, representing a growth of approximately 2.25% [175]. - Jiangxi Changjiu Group Co., Ltd. remains the largest shareholder, holding 61,733,394 shares, which accounts for 25.58% of the total shares [178]. - The actual controller of the company has changed to Beijing State-owned Cultural Assets Management Center as of November 27, 2019 [184]. Strategic Initiatives - The company plans to enhance production efficiency and reduce costs through ongoing R&D projects, with expected improvements of 20% in production efficiency and 10% in production costs for certain projects [82]. - The company is focused on promoting cultural and technological innovation within its regulated cultural enterprises [182]. - The company plans to adjust its overall production capacity to 60,000 tons/year based on market demand for acrylamide, with a current trial production capacity of 10,000 tons/year [105][104]. - The company has adopted a comprehensive sales strategy combining self-production and distribution, maintaining a competitive market share in the acrylamide sector [109]. - The company plans to implement a new digital marketing strategy aimed at increasing customer engagement by 40% [194].

Financial Performance - Operating revenue for the period was CNY 329,552,496.65, representing an 18.00% decline year-on-year [5]. - Net profit attributable to shareholders was a loss of CNY 3,694,338.35, a decrease of 145.20% compared to the same period last year [5]. - The weighted average return on equity was -6.20%, a decrease of 20.66 percentage points from the previous year [5]. - Basic and diluted earnings per share were both -CNY 0.02, a decline of 166.67% year-on-year [5]. - The company anticipates a potential net loss for the year due to challenges in the acrylamide business and uncertainties in the private equity fund management sector [13]. - Total operating revenue for Q3 2019 was CNY 114,698,597.70, a decrease of 14.2% compared to CNY 133,729,539.10 in Q3 2018 [23]. - Net profit for Q3 2019 was CNY 5,274,314.12, a decrease of 15.6% compared to CNY 6,251,605.18 in Q3 2018 [24]. - The company reported a total profit of CNY 6,803,639.14 for Q3 2019, compared to CNY 7,500,770.35 in Q3 2018, reflecting a decline of 9.3% [24]. - The company’s total comprehensive income for Q3 2019 was CNY 5,274,314.12, down from CNY 6,251,605.18 in Q3 2018 [25]. - The net profit for Q3 2019 was -3,335,510.26 RMB, compared to a net profit of 3,364,363.62 RMB in Q3 2018, indicating a significant loss [27]. - The total profit for the first three quarters of 2019 was -5,758,371.09 RMB, compared to a profit of 3,364,363.62 RMB in the same period of 2018 [27]. Cash Flow and Liquidity - The net cash flow from operating activities was CNY 3,456,289.32, compared to a negative cash flow of CNY 4,643,372.98 in the same period last year [5]. - Cash and cash equivalents decreased by 32.56% from CNY 61,834,457.32 to CNY 41,699,404.30, primarily due to reduced borrowing and decreased revenue [10]. - The ending cash and cash equivalents balance was CNY 41,699,404.30, down from CNY 61,834,457.32 at the beginning of the period [30]. - The company incurred cash payments of CNY 6,451,400.91 to employees, which is an increase from CNY 3,590,904.42 in the same period last year [33]. - The total cash outflow for operating activities was CNY 18,244,020.95, which is a significant increase compared to CNY 9,753,686.21 in the previous year [33]. - The cash flow from investment activities showed a significant improvement with a net cash flow of CNY 9,643,429.62 compared to a negative cash flow of CNY -16,454,803.03 in the previous year [33]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 266,901,463.80, a decrease of 7.01% compared to the end of the previous year [5]. - Total liabilities decreased from ¥152,404,209.67 to ¥137,292,393.25, a decline of around 9.9% [18]. - Owner's equity decreased from ¥134,608,945.13 to ¥129,609,070.55, a reduction of about 3.7% [18]. - Current liabilities decreased from ¥117,970,354.47 to ¥102,929,462.38, a reduction of about 12.7% [17]. - Non-current liabilities remained relatively stable, with a slight decrease from ¥34,433,855.20 to ¥34,362,930.87, a change of approximately 0.2% [18]. - The total liabilities to equity ratio improved from 1.13 to 1.06, indicating a decrease in financial leverage [18]. - The company reported a negative retained earnings of ¥-552,419,318.66, slightly worsening from ¥-548,724,980.31 [18]. - The company reported a negative retained earnings of CNY -548,724,980.31 [38]. Shareholder Information - The total number of shareholders at the end of the reporting period was 14,340 [8]. - The largest shareholder, Jiangxi Changjiu Group Co., Ltd., held 61,733,394 shares, accounting for 25.58% of the total shares, with all shares pledged [9]. Operational Insights - The company has not disclosed any new product developments or market expansion strategies in this report [5]. - The company is actively following up on the production line merger project for safety compliance and has not yet received formal approval for the project [11]. - Research and development expenses for the first three quarters of 2019 totaled CNY 11,235,855.27, slightly down from CNY 11,692,179.86 in the same period of 2018 [23]. - The company reported a significant increase in credit impairment losses, with 640,055.96 RMB in the first three quarters of 2019 compared to a recovery of -1,313,453.02 RMB in the same period of 2018 [26].

Financial Performance - The company's operating revenue for the first half of 2019 was approximately ¥214.85 million, a decrease of 19.88% compared to ¥268.17 million in the same period last year[20]. - The net profit attributable to shareholders was a loss of approximately ¥5.06 million, a decline of 236.18% compared to a profit of ¥3.71 million in the same period last year[20]. - The net cash flow from operating activities was negative at approximately ¥906,698.33, down 115.58% from ¥5.82 million in the previous year[20]. - The total assets decreased by 14.42% to approximately ¥245.61 million from ¥287.01 million at the end of the previous year[20]. - The net assets attributable to shareholders decreased by 7.65% to approximately ¥56.52 million from ¥61.21 million at the end of the previous year[20]. - Basic earnings per share were negative at ¥-0.02, a decrease of 200% compared to ¥0.02 in the same period last year[21]. - The weighted average return on net assets was -8.59%, a decrease of 15.41 percentage points from 6.82% in the previous year[21]. - The production of acrylamide decreased by 16.46% compared to the same period last year, and sales volume decreased by 17.31%[21]. - The company reported a total non-operating income of 175,744.89 million, with government subsidies contributing 170,924.33 million[25]. - The decline in net profit was primarily due to decreased sales volume and average selling prices of acrylamide, alongside the absence of revenue from Hangda Fund Management Company[40]. - The company reported a total comprehensive income of -2,801,890.40 RMB for the first half of 2019, compared to 8,414,416.23 RMB in the previous year, reflecting a downturn in overall financial performance[94]. Operational Challenges - The company did not realize any revenue from the business development of Hangda Fund Management Company during the reporting period[21]. - The private equity management business did not generate revenue during the reporting period, significantly affecting the overall net profit[29]. - Sales volume decreased due to lower operating rates among downstream customers and increased maintenance frequency of production lines[29]. - The company anticipates potential net losses for the year due to challenges in the chemical industry and competition in the acrylamide market[46]. - The company is facing potential challenges in upgrading and expanding its business, particularly in the production management and talent development related to acrylamide, which may lead to a "bottleneck" period[49]. Market and Industry Trends - The price of upstream raw material acrylonitrile showed a downward trend compared to the same period last year, impacting the company's performance[29]. - The domestic market for acrylamide is experiencing a phase of fluctuating growth due to environmental protection demands and cost sensitivity among customers[31]. - The company aims to enhance product development and extend downstream applications in response to growing demand in the water treatment market[31]. - The company plans to capitalize on opportunities in the water treatment sector to support its transformation and upgrade efforts[31]. Financial Position - Cash and cash equivalents decreased by 34.65% to ¥40,408,390.51, down from ¥61,834,457.32 due to profit distribution and loan repayment[42]. - Accounts receivable decreased by 53.10% to ¥8,295,019.77, down from ¥17,686,642.85, attributed to a decline in sales[42]. - Inventory increased by 39.53% to ¥16,584,575.85, up from ¥11,886,022.41, due to temporary production stoppages for maintenance[42]. - Short-term borrowings decreased by 33.33% to ¥20,000,000.00, down from ¥30,000,000.00, as part of loan repayments[42]. - The company has significant assets pledged for bank loans, including bank acceptance bills of ¥6,144,454.07 and real estate valued at ¥36,514,382.43[43]. Environmental Compliance - The company has established an automatic online monitoring system for wastewater discharge, ensuring effective monitoring of key environmental indicators[65]. - The wastewater discharge from Jiangsu Changjiu Agricultural Science and Technology met the relevant discharge standards, with chemical oxygen demand (COD) at 12 mg/L, well below the limit of 500 mg/L[66]. - The company reported zero pollution incidents during the reporting period at its Nanchang base, with pollutant emissions being negligible[64]. - The company has actively engaged third-party testing agencies for continuous monitoring of its production environment, ensuring compliance with environmental standards[65]. - The company has implemented measures to reduce noise pollution, achieving compliance with emission standards[64]. Corporate Governance - The company has not proposed any profit distribution or capital reserve transfer plans for the first half of the year[52]. - The company has renewed the appointment of Zhongxing Cai Guanghua Accounting Firm for the 2019 financial report audit and internal control audit[54]. - There are no significant litigation or arbitration matters reported during the reporting period[54]. - The company has committed to maintaining the independence of Changjiu's operations and avoiding competition with listed companies[53]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 15,019[75]. - The largest shareholder, Jiangxi Changjiu Group Co., Ltd., holds 25.58% of the shares, amounting to 61,733,394 shares, with 43,980,000 shares pledged[77]. - The company has not experienced any changes in share capital structure during the reporting period[73]. - The company has confirmed that some shares of the largest shareholder are in a pledged state, but other top shareholders hold less than 5% and their status is not fully verified[78]. Accounting and Financial Reporting - The company adheres to the new financial instrument accounting standards and has made retrospective adjustments to its financial statement formats[130]. - The financial statements are prepared based on the going concern assumption, with no identified issues affecting the company's ability to continue operations[129]. - The company uses the effective interest method for measuring held-to-maturity investments at amortized cost, recognizing gains or losses in the current period upon derecognition, impairment, or amortization[172]. - The company recognizes expected credit losses based on the weighted average of credit losses for financial instruments, considering the risk of default[157]. - The company employs valuation techniques that are appropriate and supported by sufficient data, including market, income, and cost approaches[168].

| --- | --- | --- | --- | |------------|----------------------------------------------------------------------|--------------------------------------------------------------------|---------------------| | | | | | | 证券代码： | 证券简称： ST 昌九 | | 公告编号： 2019-022 | | 关于参加 | 2019 | 江西昌九生物化工股份有限公司 年投资者集体接待日活动的公告 | | | | | 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述 | | | | 或者重大遗漏，并对其内容的真实性、准确性和完整性承担个别及连带责任。 | | | 为便于广大投资者更深入全面地了解公司情况、发展战略、经营状况、可持续 发展等问题，江西昌九生物化工股份有限公司（ 以下简称"公司"）拟定于 2019 年 6 月 26 日（星期三）下午 14:00—17:00 参加由江西省上市公司协会 ...

Financial Performance - The net profit attributable to shareholders for the year 2018 was RMB 8,014,097.93, resulting in a distributable profit of -RMB 548,724,980.31 after accounting for the beginning retained earnings[4]. - The company plans not to distribute profits or increase capital reserves for the fiscal year 2018 due to the negative distributable profit[4]. - The company's operating revenue for 2018 was ¥528.48 million, a decrease of 4.47% compared to ¥553.23 million in 2017[20]. - The net profit attributable to shareholders was ¥8.01 million, down 69.33% from ¥26.13 million in the previous year[20]. - The basic earnings per share for 2018 was ¥0.03, a decline of 72.73% from ¥0.11 in 2017[21]. - The weighted average return on equity decreased to 14.10%, down 53.39 percentage points from 67.49% in 2017[21]. - The net assets attributable to shareholders increased by 16.73% to ¥61.21 million at the end of 2018, compared to ¥52.44 million at the end of 2017[20]. - The total assets decreased by 9.57% to ¥287.01 million at the end of 2018, down from ¥317.40 million at the end of 2017[20]. - The company reported a net cash flow from operating activities of ¥42.68 million, a significant improvement from a negative cash flow of ¥5.82 million in 2017[20]. - Non-recurring gains and losses for 2018 amounted to ¥1.68 million, indicating a relatively small impact on overall profitability[21]. Operational Efficiency - The company relocated its acrylamide production line to Jiangsu, consolidating operations to enhance production efficiency[30]. - The company successfully merged production lines from Nanchang to Rudong, achieving nearly 100% operating rate at the Rudong base, which is crucial for capacity optimization[54]. - The company increased the production of crystal formulations to enhance market reach and support long-distance transportation[54]. - The company achieved a 15% reduction in fermentation liquid consumption and a 22.6% reduction in water resource consumption, reflecting its commitment to energy efficiency[54]. - The company has established long-term partnerships with upstream suppliers to stabilize raw material supply and ensure production continuity[49]. - The company has implemented a unified sales strategy to stabilize pricing and enhance market competitiveness, despite a slight decline in sales volume[55]. Market and Product Development - The company’s main business involves the research, production, and sales of fine chemical products, specifically acrylamide, with a focus on improving operational efficiency[30]. - The demand for polyacrylamide is projected to grow significantly, particularly in water treatment, which currently accounts for nearly 25% of the market demand[37]. - The company is actively exploring new applications for acrylamide, aiming to expand its market presence and product offerings[46]. - The company plans to increase its acrylamide production capacity by 20,000 tons per year, aiming for a total capacity of 60,000 tons per year based on market demand[112]. - The company aims to enhance its product matrix and expand downstream applications to seek new profit margins[140]. Environmental and Safety Compliance - The company is committed to optimizing its production processes to minimize environmental impact, particularly in water and air pollution, while closely monitoring the historical environmental effects of its production lines[98]. - The company has complied with new safety production regulations and actively engaged in safety inspections and rectifications in line with updated national standards[95]. - The company has noted that the restructuring of environmental protection regulatory bodies will facilitate a unified and efficient regulatory framework, benefiting its operations[97]. - The company has actively engaged in social responsibility initiatives, including technology support for poverty alleviation in underdeveloped areas[171]. - The company has implemented measures to comply with environmental protection regulations and reduce pollutant emissions[172]. Research and Development - The company invested a total of ¥15,760,326.59 in R&D projects during the reporting period, focusing on the development of new microbial methods for producing acrylamide[107]. - The company maintains R&D expenses at a level comparable to 2017, emphasizing the importance of product-related technology development[67]. - The company has four ongoing R&D projects, with a total investment of 15,760,326.59 RMB, aimed at improving production efficiency and reducing costs[83]. Corporate Governance and Compliance - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties[6]. - The company has not violated decision-making procedures in providing guarantees[6]. - The company has not experienced any significant production halts due to regional policies, although there were brief temporary production limits due to environmental warnings[102]. - The company has no major related party transactions that were not disclosed in temporary announcements[157]. - The company has no significant contracts or leasing matters to report for the year[162]. Financial Management - The company reduced its financial expenses by 73.98%, improving overall financial efficiency[63]. - The asset-liability ratio decreased by 9.19%, indicating improved financial stability and reduced financial costs[58]. - The company settled all historical borrowings with its controlling shareholder and its subsidiaries, effectively reducing debt scale and financial costs[160]. - The company has restricted assets totaling 48,836,599.22, including accounts receivable of 7,351,109.01, fixed assets of 31,140,929.19, and intangible assets of 10,344,561.02, primarily due to collateral for loans from financial institutions[90]. Shareholder Information - The company reported a total of 16,029 ordinary shareholders at the end of the reporting period, an increase from 15,725 at the end of the previous month[194]. - Jiangxi Changjiu Group Co., Ltd. holds 61,733,394 shares, representing 25.58% of the total shares, with 43,980,000 shares pledged[196]. - The company has been rated as a "green enterprise" by the local environmental authority, indicating the highest environmental credit rating[188]. Strategic Initiatives - The company is focused on reducing leverage and inventory, with significant improvements in financial indicators as part of its overall development strategy[134]. - The company has initiated the cancellation of two subsidiaries to streamline its equity investment structure[127]. - The company is committed to establishing a comprehensive state-owned cultural investment and financing system[200].

Financial Performance - Operating revenue for the current period was CNY 111,295,448, down 12.93% year-on-year[6]. - Net profit attributable to shareholders was CNY -2,811,872.78, representing a decrease of 868.00% compared to the previous year[6]. - Basic and diluted earnings per share were both CNY -0.0117, a decline of 880.00% year-on-year[6]. - The net profit for Q1 2019 was a loss of ¥1,774,162.69, compared to a profit of ¥2,499,557.92 in Q1 2018[25]. - The net profit for Q1 2019 was a loss of CNY 4,422,454.87, compared to a loss of CNY 2,195,406.66 in Q1 2018, indicating a worsening performance[28]. - The gross profit margin for Q1 2019 was approximately -1.25%, compared to a positive margin in Q1 2018[24]. Cash Flow - The net cash flow from operating activities was CNY -1,317,582.59, compared to CNY -4,240,126.96 in the same period last year[6]. - Net cash flow from operating activities improved by 68.93% to -¥1,317,582.59, mainly due to a substantial decrease in personnel placement costs compared to the same period last year[11]. - The cash flow from operating activities for Q1 2019 was a net outflow of CNY 1,317,582.59, an improvement from a net outflow of CNY 4,240,126.96 in Q1 2018[32]. - The cash inflow from operating activities in Q1 2019 totaled CNY 113,843,894.23, down from CNY 127,929,319.56 in Q1 2018[31]. - The cash outflow for operating activities in Q1 2019 was CNY 115,161,476.82, compared to CNY 132,169,446.52 in Q1 2018[32]. - The company reported a cash outflow of CNY 4,247,050.14 for investment activities in Q1 2019, compared to CNY 193,935.79 in Q1 2018[32]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 283,486,075, a decrease of 1.23% compared to the end of the previous year[6]. - Total liabilities decreased from ¥152,404,209.67 to ¥150,219,607.26, reflecting a reduction in short-term borrowings[17]. - The company's total equity as of March 31, 2019, was ¥133,266,467.74, down from ¥134,608,945.13 at the end of 2018[17]. - Total current assets amounted to 162,392,398.17, with cash and cash equivalents being a significant component[38]. - Total liabilities were reported at 152,404,209.67, with current liabilities comprising 117,970,354.47[39]. - The total assets of the company stood at 287,013,154.80, indicating a stable asset base[40]. Shareholder Information - The total number of shareholders at the end of the reporting period was 15,725[10]. - The largest shareholder, Jiangxi Changjiu Group Co., Ltd., held 25.58% of the shares, with 61,733,394 shares pledged[10]. - The top ten shareholders collectively held a significant portion of the company's equity, with the largest shareholder being a non-state-owned legal entity[10]. Expenses - Management expenses rose by 90.34% to ¥7,657,263.18, attributed to the one-time transfer of renovation costs after the adjustment of the Beijing office location[11]. - Research and development expenses for Q1 2019 were ¥4,603,413.19, a decrease of 16% from ¥5,474,192.18 in Q1 2018[24]. - The company incurred management expenses of CNY 4,517,609.71 in Q1 2019, significantly higher than CNY 2,036,032.43 in Q1 2018[27]. Financial Reporting - The report indicates that the financial statements have not been audited, ensuring the accuracy and completeness of the information provided[4]. - The company executed new financial instrument standards, adjusting the classification of certain financial assets, which may impact future financial reporting[40]. - The company implemented new financial instrument standards affecting the classification of financial assets, impacting reported figures[44].

Financial Performance - The net profit attributable to shareholders for 2018 was CNY 8,014,097.93, with an actual distributable profit of CNY -548,724,980.31 after accounting for the beginning retained earnings of CNY -556,739,078.24, leading to no profit distribution for the year [4]. - The company's operating revenue for 2018 was ¥528.48 million, a decrease of 4.47% compared to ¥553.23 million in 2017 [20]. - The net profit attributable to shareholders was ¥8.01 million, down 69.33% from ¥26.13 million in the previous year [20]. - The basic earnings per share for 2018 was ¥0.03, a decline of 72.73% from ¥0.11 in 2017 [21]. - The weighted average return on equity decreased to 14.10%, down 53.39 percentage points from 67.49% in 2017 [21]. - The total assets decreased by 9.57% to ¥287.01 million at the end of 2018, down from ¥317.40 million at the end of 2017 [20]. - The company reported a net cash flow from operating activities of ¥42.68 million, a significant improvement from a negative cash flow of ¥5.82 million in 2017 [20]. - The operating cost decreased by 12.28% to CNY 441.06 million, indicating improved cost management [62]. - The company's revenue for the chemical segment was approximately ¥454.23 million, with a gross margin of 16.01%, reflecting a decrease of 10.44% in revenue compared to the previous year [67]. - The company's total operating costs decreased by 13.31% to ¥381.50 million, with direct material costs accounting for 85.62% of total costs [73]. Production and Operations - The company’s main business involves the research, production, and sales of fine chemical products, specifically acrylamide, with a focus on improving operational efficiency [30]. - The company relocated its acrylamide production line to Jiangsu, consolidating operations to enhance production efficiency [30]. - The company’s production capacity was slightly reduced due to production line relocation, impacting overall market supply and leading to price increases [38]. - The production of acrylamide decreased to 32,254.78 tons, a decline of 29.47% year-over-year, primarily due to market demand fluctuations and production line relocation [71]. - The company successfully merged production lines from Nanchang to Rudong, achieving nearly 100% operating rate at the Rudong base, which is crucial for capacity optimization [54]. - The company increased the production of crystal formulations to enhance market reach and support long-distance transportation [54]. - The company has initiated the cancellation of two subsidiaries to streamline its equity investment structure and focus on core business operations [127]. Market and Industry Trends - The demand for acrylamide products is influenced by downstream market fluctuations, with a focus on customized and differentiated strategies for high-end products [32]. - The domestic chemical industry is recovering, with fixed asset investment in the chemical sector turning positive in 2018, leading to increased demand for acrylamide products [35]. - The water treatment market accounts for nearly 25% of the demand for polyacrylamide, with strong growth expected due to national energy-saving and environmental protection strategies [37]. - The competitive landscape is shifting towards comprehensive management capabilities as international chemical giants increase investments in China's acrylamide production [38]. - The domestic acrylamide industry is in a mature development phase, with significant improvements in industry standards, production capacity, and competitiveness due to advancements in domestic technology since the 1960s [40]. Research and Development - The company has developed high-purity acrylamide crystals, achieving a purity level of 98.9%, which is higher than the standards for premium and qualified products [48]. - The company has four ongoing R&D projects aimed at improving production efficiency and reducing costs, with total funding of 15,760,326.59 yuan [82]. - The company invested a total of ¥15,760,326.59 in R&D projects during the reporting period, focusing on the development of new microbial methods for producing acrylamide [107]. - Research and development expenses remained stable compared to 2017, indicating the company's commitment to product-related technology development [67]. Environmental and Safety Compliance - The company has implemented a biological method for producing acrylamide, resulting in minimal pollution to air and water, and plans to continue optimizing processes to further reduce environmental impact [98]. - The company has actively supported the relocation and consolidation of production lines from densely populated areas in Nanchang to the Jiangsu Rudong base, effectively reducing safety production risks [95]. - The company has been proactive in safety production compliance, aligning with updated safety production standards and regulations issued by the government [94][95]. - The company has noted that the restructuring of environmental protection regulatory bodies will facilitate a unified and effective environmental supervision system, benefiting overall compliance [96][97]. - The company has increased its environmental protection and energy-saving expenditures by 4,197.31% year-on-year, with a total investment of 264.6 million RMB for wastewater treatment improvements [125]. Financial Management - The company reduced its financial expenses by 73.98%, improving overall financial efficiency [63]. - The asset-liability ratio decreased by 9.19%, indicating improved financial stability and reduced financial costs [58]. - The company has settled all historical borrowings with its controlling shareholder and its subsidiaries, effectively reducing its debt scale and financial costs [160]. - The company reduced its short-term borrowings by 48.28%, from 58,000,000.00 yuan in the previous year to 30,000,000.00 yuan [88]. - The company has restricted assets totaling 48,836,599.22, including accounts receivable of 7,351,109.01, fixed assets of 31,140,929.19, and intangible assets of 10,344,561.02, primarily due to collateralized loans from financial institutions [90]. Strategic Initiatives - The company plans to increase its acrylamide production capacity by 20,000 tons per year, aiming for a total capacity of 60,000 tons per year based on market demand [112]. - The company aims to strengthen strategic and operational research to mitigate trial and error risks during its upgrade and expansion phases [142]. - The company plans to optimize production processes and expand downstream applications of acrylamide to enhance product value and create a collaborative industrial chain [135]. - The company is focused on reducing leverage and inventory, with significant improvements in financial indicators as a result of these strategies [134]. Corporate Governance - The company has appointed Zhongxing Caiguanghua Accounting Firm as the financial and internal control audit institution for the fiscal year 2018, with a remuneration of RMB 470,000 [154]. - The company has no major related party transactions that were not disclosed in temporary announcements [158]. - The company has no significant contracts or leasing matters that were not disclosed [162]. - The company has no ongoing or planned employee stock ownership plans or other incentive measures [155]. - The actual controller of the company is the Beijing State-owned Cultural Assets Supervision and Administration Office, represented by Zhao Lei [199].

Financial Performance - Operating revenue for the period was CNY 401,901,836.56, representing a 1.98% increase year-on-year[6] - Net profit attributable to shareholders was CNY 8,173,538.33, a significant recovery from a loss of CNY 20,358,812.74 in the same period last year[6] - The weighted average return on equity improved to 14.46% from -132.28% in the previous year[6] - Basic earnings per share were CNY 0.03, compared to a loss of CNY 0.08 per share in the same period last year[6] - The company's net profit for the year is expected to show a significant change compared to the previous year, with a warning of potential losses[12] - Net profit for the third quarter was CNY 6,251,605.18, compared to a net loss of CNY 7,236,986.45 in the same period last year[24] - The company's net profit attributable to shareholders for Q3 2018 was CNY 4,459,435.46, a decrease from CNY 8,173,538.33 in the same period last year[25] - The total profit for the first nine months of 2018 was a loss of CNY 5,758,371.09, compared to a loss of CNY 27,718,978.12 in the same period last year[28] Assets and Liabilities - Total assets decreased by 6.45% to CNY 296,916,064.63 compared to the end of the previous year[6] - Total liabilities decreased by 18.3% to ¥161,495,695.04 from ¥197,701,521.95, primarily due to a reduction in short-term borrowings[17] - Short-term borrowings decreased by 31.03% to ¥40,000,000 from ¥58,000,000, reflecting a reduction in borrowing scale[10] - Total assets increased to CNY 97,921,395.95 from CNY 89,029,058.33 at the beginning of the year, reflecting a growth of 9.5%[21] - Total liabilities rose to CNY 104,335,135.08, up from CNY 89,684,426.37 at the start of the year, indicating a 16.4% increase[21] - The company's total equity showed a significant decline, with total shareholders' equity at CNY -6,413,739.13 compared to CNY -655,368.04 at the beginning of the year[21] Cash Flow - Cash flow from operating activities showed improvement, with a net outflow of CNY 4,643,372.98 compared to a net outflow of CNY 9,298,909.38 in the previous year[6] - Net cash flow from operating activities improved to -¥4,643,372.98 from -¥9,298,909.38, indicating reduced cash outflow related to the shutdown of the Nanchang base[10] - Cash inflows from operating activities for the first nine months of 2018 totaled CNY 399,716,680.41, slightly down from CNY 410,626,380.20 in the previous year[30] - The net cash flow from operating activities for the first nine months was 13,853,439.86 RMB, a turnaround from -376,039.26 RMB year-over-year[34] Shareholder Information - The total number of shareholders at the end of the reporting period was 16,465[9] - The largest shareholder, Jiangxi Changjiu Group Co., Ltd., held 23.30% of the shares, with 43,980,000 shares pledged[9] Expenses - Research and development expenses rose by 50.99% to ¥11,692,179.86 from ¥7,743,560.38, reflecting increased R&D spending during the period[10] - Operating expenses increased by 39.75% to ¥15,409,295.06 from ¥11,026,707.29, mainly due to new office space and employee costs[10] - Research and development expenses for the third quarter were CNY 3,461,356.38, down 43.7% from CNY 6,140,031.88 in the same period last year[24] - The company's management expenses for Q3 2018 were CNY 2,030,145.03, significantly higher than CNY 842,917.03 in Q3 2017[27] Other Financial Metrics - The company reported non-recurring gains of CNY 102,594.37 for the period, compared to CNY 468,296.38 in the same period last year[8] - Cash and cash equivalents decreased by 48.66% to ¥33,719,690 from ¥65,682,642.60 due to reduced borrowing and employee settlement payments[10] - Total cash outflow from operating activities was 404,360,053.39 RMB, compared to 419,925,289.58 RMB in Q3 2017[31] - The net cash flow from investing activities was -7,623,346.11 RMB, worsening from -984,552.54 RMB year-over-year[31] - Cash inflow from financing activities was 73,600,000.00 RMB, up from 50,000,000.00 RMB in the previous year[31]

Financial Performance - The company's operating revenue for the first half of 2018 was RMB 268,172,297.46, representing a 9.91% increase compared to RMB 243,993,911.00 in the same period last year[18]. - The net profit attributable to shareholders of the listed company was RMB 3,714,102.87, a significant recovery from a loss of RMB 14,167,056.31 in the previous year[18]. - The net cash flow from operating activities was RMB 5,818,411.36, improving from a negative cash flow of RMB 11,973,389.11 in the same period last year[18]. - Basic earnings per share improved to RMB 0.02 from a loss of RMB 0.06 in the same period last year[18]. - The weighted average return on net assets was 6.82%, recovering from -77.18% in the previous year[18]. - The company achieved operating revenue of RMB 268.17 million, an increase of 9.91% compared to the same period last year[28]. - The net profit attributable to the parent company was RMB 3.71 million, marking a turnaround from a loss in the previous year[28]. - The company reported a gross profit margin of approximately 3.0% for the first half of 2018, compared to a negative margin in the previous year[92]. - Net profit for the first half of 2018 was CNY 8,414,416.23, a significant recovery from a net loss of CNY 16,922,304.66 in the same period last year[92]. - The total comprehensive income for the current period is -5,671,144.98, an improvement from -23,319,872.87 in the previous period, indicating a recovery of approximately 76%[95]. Assets and Liabilities - The total assets decreased by 8.47% to RMB 290,512,371.53 from RMB 317,397,415.59 at the end of the previous year[18]. - The total assets increased to CNY 100,225,923.76 from CNY 89,029,058.33, reflecting a growth of 12.5% year-over-year[89]. - Total liabilities rose to CNY 106,552,436.78, up from CNY 89,684,426.37, indicating an 18.8% increase[89]. - The company's total equity increased from ¥119,695,893.64 to ¥128,811,049.66, an increase of about 7.5%[85]. - The company's total liabilities decreased from ¥197,701,521.95 to ¥161,701,321.87, reflecting a decline of about 18.2%[85]. - Cash and cash equivalents decreased by 22.46% to CNY 50,929,862.60, accounting for 17.53% of total assets[34]. - Accounts receivable increased by 49.13% to CNY 32,125,732.67, representing 11.06% of total assets[34]. - Short-term borrowings decreased by 25.86% to CNY 43,000,000.00, which is 14.80% of total assets[34]. - The company reported a decrease in unallocated profits to CNY -553,024,975.37, indicating challenges in profit retention[103]. Production and Sales - The total production of acrylamide was 17,751.06 tons, a decrease of 21.91% year-on-year, while total sales were 17,704.13 tons, down 18.02%[29]. - The revenue from Changjiu Agricultural Science reached RMB 263.77 million, an increase of 8.12% year-on-year[29]. - The company expects a total production decline of 15-25% for the year due to the merger of production lines in Nanchang and Rudong[30]. - The company signed a lease agreement with the related party Wenxin Huace for office space in Beijing, with a total lease amount of RMB 8.974 million for a duration of 10 years[62]. Research and Development - The company invested RMB 8.23 million in R&D, a significant increase of 411.95% compared to the previous year[31]. Environmental Compliance - The company’s environmental discharge data includes COD at 26.7 tons/year, ammonia nitrogen at 1.76 tons/year, and total wastewater at 63,021 tons/year, with pollution discharge effectively at zero during the reporting period due to the closure of production facilities[62]. - The company has implemented strict environmental monitoring and management practices, ensuring all pollutants are discharged within regulatory limits[69]. - Jiangsu Changjiu Agricultural Science's production facility received environmental impact approval in April 2011 and passed inspection in 2015[67]. - The company has established a complete emergency response plan for environmental incidents, which was re-registered in 2017[68]. Corporate Governance - The company appointed Lu Qi as the new General Manager and Li Ji as the Executive Vice General Manager and Secretary of the Board during the reporting period[78]. - The company has not proposed any profit distribution plan or capital reserve transfer to increase share capital for the reporting period[5]. - The company reported no significant litigation or arbitration matters during the reporting period[52]. - The company has not disclosed any new employee stock ownership plans or other incentive measures during the reporting period[52]. - The company has not reported any significant changes in its integrity status for the reporting period[52]. Financial Management - The company’s financial expenses decreased by 71.05% due to a reduction in overall debt scale and interest expenses[31]. - The company incurred sales expenses of CNY 10,929,720.33, which increased from CNY 8,210,809.31 in the previous year[91]. - The company reported a significant reduction in financial expenses, down to CNY 1,290,356.38 from CNY 4,457,866.62 in the previous year[91]. - The company raised 68,600,000.00 in cash from borrowings, compared to 30,000,000.00 in the previous period, an increase of about 128%[97]. Related Party Transactions - The company’s total amount of related party transactions in utility expenses was RMB 238.49393 million, with significant transactions involving Jiangxi Jiang'an Chemical and Changjiu Group[56]. - The company’s related party debt to Jiangxi Changjiu Chemical was RMB 2,068,028.18, with a historical borrowing reason cited[59]. - The company’s total expected management service fee for related party transactions in 2018 was projected to be no more than RMB 16 million[53]. Accounting Policies - The financial statements are prepared based on the accrual basis of accounting, in accordance with the relevant accounting standards[116]. - The company’s accounting period runs from January 1 to December 31 each year[119]. - The company’s accounting currency is Renminbi (RMB)[121]. - The company recognizes deferred tax assets related to deductible temporary differences if new information indicates that the economic benefits can be realized within 12 months post-acquisition, reducing goodwill accordingly[125]. Shareholder Information - As of the end of the reporting period, the total number of ordinary shareholders was 16,890[73]. - Jiangxi Changjiu Group Co., Ltd. holds 55,240,838 shares, representing 22.89% of the total shares, with 43,980,000 shares pledged[74]. - The top ten shareholders include individuals with varying shareholdings, with the largest individual shareholder holding 9,262,739 shares, accounting for 3.84%[74].

Financial Performance - Operating revenue increased by 10.72% to CNY 127,817,671.11 year-on-year[8] - Net profit attributable to shareholders was CNY 366,129.35, a significant recovery from a loss of CNY 6,747,084.19 in the same period last year[8] - Basic and diluted earnings per share were CNY 0.0015, recovering from a loss of CNY -0.028 per share last year[8] - Net profit for Q1 2018 was CNY 2,499,557.92, a significant recovery from a net loss of CNY 7,682,564.74 in the previous year[26] - The company reported an operating profit of CNY 1,091,363.32, compared to an operating loss of CNY 4,249,853.66 in the same quarter last year[26] - The net profit from continuing operations for Q1 2018 was -2,195,406.66 RMB, an improvement from -5,138,307.42 RMB in the same period last year[30] - The total comprehensive income for the period was -2,195,406.66 RMB, reflecting a decrease in losses compared to the previous year[30] Assets and Liabilities - Total assets decreased by 3.80% to CNY 305,335,646.55 compared to the end of the previous year[8] - Total current assets decreased from ¥187,472,018.65 at the beginning of the year to ¥177,475,147.16[17] - Total liabilities decreased from ¥197,701,521.95 to ¥182,802,535.38[19] - The company's total assets decreased from ¥317,397,415.59 to ¥305,335,646.55[19] - Inventory decreased from ¥26,445,853.96 to ¥20,707,237.86, reflecting a reduction in stock levels[17] - The company's cash and cash equivalents decreased from ¥65,682,642.60 to ¥55,037,991.25[17] - The company's total equity was reported at CNY -2,850,774.70, down from CNY -655,368.04, indicating a worsening equity position[23] Cash Flow - Net cash flow from operating activities was negative at CNY -4,240,126.96, a decline of 464.14% compared to the previous year[8] - Net cash flow from operating activities was -¥4,240,126.96, mainly due to employee relocation costs and office rental expenses in Beijing[14] - Cash inflow from operating activities totaled 127,929,319.56 RMB, slightly down from 130,917,575.54 RMB year-over-year[33] - The net cash flow from operating activities was -4,240,126.96 RMB, compared to a positive 1,164,427.48 RMB in Q1 2017[33] - Cash outflow from investing activities was -1,821,711.38 RMB, worsening from -343,540.44 RMB in the previous year[33] - Cash inflow from financing activities was 31,000,000.00 RMB, an increase from 30,000,000.00 RMB in the same quarter last year[34] - The net cash flow from financing activities was -4,582,813.01 RMB, compared to a positive 9,178,426.34 RMB in Q1 2017[34] Expenses - Sales expenses surged by 128.90% to CNY 7,252,521.65, primarily due to increased transportation costs[13] - Management expenses increased by 149.93% year-on-year to ¥9,497,080.49, primarily due to higher R&D investments[14] - Financial expenses decreased by 72.00% to ¥537,271.17, attributed to a reduction in debt scale[14] - The company reported a significant increase in cash paid to employees, totaling 20,133,736.50 RMB, compared to 7,304,152.10 RMB in the previous year[33] Shareholder Information - The total number of shareholders reached 17,980, with the largest shareholder holding 21.53% of the shares[11] Future Outlook - The company plans to focus on market expansion and new product development to drive future growth[24]