Financial Performance - The company's operating revenue for the first half of 2022 was ¥183,857,408.28, representing a 10.29% increase compared to ¥166,698,677.36 in the same period last year[20]. - The net profit attributable to shareholders was ¥1,838,904.48, a significant recovery from a loss of ¥14,094,224.53 in the previous year[20]. - The total profit reached CNY 4.22 million, an increase of CNY 15.22 million compared to the same period last year[39]. - The company reported a net profit of CNY 1,838,904.48 for the first half of 2022, a significant improvement compared to a net loss of CNY 14,094,224.53 in the same period of 2021, marking a turnaround of approximately 113%[110]. - The total comprehensive income for the first half of 2022 was a loss of 4,475,286.77 RMB[126]. Cash Flow and Investments - The net cash flow from operating activities was -¥15,084,793.04, an improvement from -¥30,378,022.25 in the same period last year[20]. - Cash inflow from investment activities totaled CNY 132,623,847.45, with cash outflow for investment activities amounting to CNY 154,501,872.79, resulting in a net cash flow from investment activities of negative CNY 21,878,025.34[115]. - The net increase in cash and cash equivalents for the first half of 2022 was CNY 67,854,407.67, compared to a decrease of CNY 149,926,560.89 in the same period of 2021[115]. - The company reported a net cash flow from investment activities of CNY 49,804,291.10 for the first half of 2022, a notable improvement from negative CNY 124,760.00 in the previous year[118]. Assets and Liabilities - The total assets increased by 20.45% to ¥1,098,138,537.84 from ¥911,716,437.72 at the end of the previous year[20]. - The company's total liabilities as of June 30, 2022, were ¥614,393,418.43, compared to ¥429,810,222.79 at the beginning of the period, representing a 43% increase[103]. - The company's accounts payable increased by 67.77%, reaching ¥108,793,511.73, primarily due to increased project engineering payments[46]. - The company’s lease liabilities rose to ¥16,072,346.10, reflecting a 100% increase due to new leases for properties and equipment[46]. Projects and Industry Outlook - The biodegradable materials industry is expected to see significant growth due to government policies aimed at reducing plastic pollution, with a target to decrease single-use plastic consumption by 2025[28]. - The company plans to launch a 60,000 tons/year PBAT project, expected to be ready for trial production in Q3 2022[32]. - A new 20,000 tons/year biodegradable materials project has been established, also expected to be ready for trial production in Q3 2022[32]. - The precious metals recovery industry is projected to expand, with demand for precious metal catalysts expected to reach 20.56 billion by 2023[31]. Risk Factors - The company has outlined potential risks in its management discussion and analysis section, emphasizing the importance of investor awareness[6]. - The company faces risks from the COVID-19 pandemic, which may impact project construction, product demand, and overall operations[52]. - The biodegradable plastic market presents challenges, as consumers may take time to accept higher-priced biodegradable products[53]. Corporate Governance and Management - The company did not distribute profits or increase capital reserves during this reporting period[4]. - The company has appointed a new deputy general manager, Mr. Geng Zhiqiang, as of June 27, 2022[59]. - The company has established a sales subsidiary focused on expanding the market for biodegradable materials and related products[32]. Environmental and Social Responsibility - The company has committed to regular environmental impact assessments and compliance with national ecological standards[64]. - The biodegradable materials project is expected to create significant employment opportunities and enhance regional economic development, indirectly generating numerous jobs in related industries[69]. - The company has implemented measures to reduce carbon emissions, including a 60,000 tons/year PBAT project and a 20,000 tons/year biodegradable materials project, with all equipment designed to meet first-level energy efficiency standards[68]. Shareholder Information - The company approved a proposal to provide guarantees for bank loans to its wholly-owned subsidiary[57]. - The company has outlined a three-year shareholder return plan from 2021 to 2023[57]. - The largest shareholder, Taiyuan Chemical Industry Group Co., Ltd., holds 223,653,339 shares, representing 43.48% of the total shares[93]. Financial Management and Accounting - The financial statements are prepared based on the assumption of going concern, in accordance with the relevant accounting standards and regulations[137]. - The company recognizes goodwill when the acquisition cost exceeds the fair value of identifiable net assets acquired in a business combination[145]. - The company uses the straight-line method for depreciation of fixed assets, with depreciation rates ranging from 2.375% to 31.667% depending on the asset category[192].

证券代码：600281 股票简称：华阳新材 编号：临2022－037 山西华阳新材料股份有限公司 关于参加"山西辖区上市公司 2022 年投资者 网上集体接待日"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。 重要内容提示： ●活动时间：2022 年 6 月 23 日 15:00—16:30 ●活动方式：网络互动 ●投资者可在 2022 年 6 月 22 日 12:00 时前通过本公告后附的电话或电子邮 件方式联系公司，提出所关注的问题，公司将在活动期间对投资者普遍关注的问 题进行答复。 一、活动内容 山西华阳新材料股份有限公司（以下简称"公司"）将于 2022 年 6 月 23 日参加"山西辖区上市公司 2022 年投资者网上集体接待日暨年报业绩说明会" 活动。为便于广大投资者更全面地了解公司情况，本公司将围绕 2021 年年度报 告、公司治理、发展战略、经营状况、可持续发展等投资者所关心的问题，通过 互动平台与投资者进行沟通交流。 二、活动时间和方式 1、活动时间：2022 年 6 月 23 日（星期四） ...

Financial Performance - The company's operating revenue for 2021 was ¥280,051,721.71, a decrease of 27.95% compared to ¥388,671,630.79 in 2020[19] - The net profit attributable to shareholders of the listed company was -¥44,725,200.83, representing a decline of 207.51% from ¥41,600,502.49 in the previous year[19] - Basic earnings per share for 2021 were -¥0.0869, a decrease of 207.42% compared to ¥0.0809 in 2020[20] - The total profit for the year was CNY -49.26 million, representing a decline of 183.62% year-on-year[36] - The net profit attributable to shareholders was CNY -44.73 million, down 207.51% from the previous year[36] - The company reported a net loss of ¥665.27 million in 2021, worsening from a loss of ¥620.54 million in 2020[177] - The total equity attributable to shareholders decreased to ¥481.91 million in 2021 from ¥527.16 million in 2020, a decline of about 8.6%[177] - The company reported a comprehensive income total of CNY -44,725,200.83 for the year, indicating a loss compared to the previous year's figures[196] Assets and Liabilities - The total assets at the end of 2021 were ¥911,716,437.72, an increase of 6.63% from ¥855,049,857.61 at the end of 2020[19] - The company's net assets attributable to shareholders decreased by 8.58% to ¥481,906,214.93 from ¥527,162,604.07 in 2020[19] - Total liabilities rose to ¥429.81 billion in 2021, up from ¥327.89 billion in 2020, indicating an increase of approximately 31%[176] - Current liabilities increased to ¥420.70 billion in 2021 from ¥322.81 billion in 2020, a rise of about 30.4%[176] - As of December 31, 2021, the company's inventory value was CNY 190.89 million, with a provision for inventory impairment of CNY 42.95 million[162] Cash Flow - The net cash flow from operating activities was -¥85,284,462.27, a significant decline from ¥81,123,275.48 in the previous year[19] - The company’s cash flow from operating activities was CNY -85.28 million, a decline of 205.13% compared to the previous year[39] - The cash flow from financing activities resulted in a net inflow of ¥46,168,802.62 in 2021, a recovery from a net outflow of -¥137,035,456.79 in 2020[190] - The cash paid for investment activities was CNY 145,503,223.07, which is a significant portion of the total cash outflow in investment activities[193] Investments and Projects - The company invested approximately CNY 570 million to establish a PBAT production line with an annual capacity of 60,000 tons and a biodegradable modified material project with an annual capacity of 20,000 tons[27] - The projected annual output value of the new projects is expected to exceed CNY 2 billion once fully operational[27] - The company is investing in three major projects, including a 60,000 tons/year PBAT project and two 20,000 tons/year biodegradable materials projects, with an expected annual revenue scale exceeding CNY 2 billion[34] - The potential market demand for PBAT is expected to reach 1 million tons in 2022, 2 million tons in 2023, and 5 million tons by 2025, with a significant portion coming from single-use biodegradable plastic products[63] Market and Industry Trends - The biodegradable plastic market is experiencing explosive growth, with China becoming the largest consumer market for biodegradable plastics globally[30] - The company aims to align with national policies promoting biodegradable plastics and has initiated projects in response to the "dual carbon" strategy[27][30] - The market for precious metal recycling is expected to expand significantly as the importance of precious metal catalysts in downstream industries increases[32] Governance and Management - The company held 6 shareholder meetings during the reporting period, ensuring equal rights for all shareholders, especially minority shareholders[74] - The board of directors consists of 9 members, including 3 independent directors, complying with legal requirements[75] - The company has established four specialized committees under the board: technology and development strategy, financial audit, human resources nomination, and compensation and assessment[75] - The company has maintained independence from its controlling shareholder in terms of personnel, assets, finance, and operations[76] Risks and Challenges - The company has outlined potential risks in its future development plans, which investors should be aware of[7] - The company faces risks from potential market oversupply in the PBAT sector and rising raw material costs impacting profit margins[71] Regulatory and Compliance Issues - The company received regulatory warnings from the Shanghai Stock Exchange for incomplete and inaccurate information disclosures related to litigation and asset restructuring in 2020 and 2021[93] - The company faced penalties for incomplete disclosures regarding an investment in Lishan Fund dating back to 2016, which violated the Shanghai Stock Exchange's listing rules[94] Employee and Compensation - The total number of employees in the parent company and major subsidiaries is 220, with 39 in the parent company and 181 in subsidiaries[105] - The total remuneration for all directors, supervisors, and senior management during the reporting period amounted to 3.1057 million yuan[91] - The independent directors' remuneration was approved to increase from 40,000 RMB to 60,000 RMB per year per person[106]

山西华阳新材料股份有限公司 投资者关系活动记录表 股票名称：华阳新材 股票代码：600281 编号：2022-01 山西证券研究所冀泳洁、中德证券分析师任睿 参与单位名称 等 6 人 及人员姓名 | --- | --- | --- | |------------|---------------------|------------| | | ■ 特定对象调研 | 分析师会议 | | 投资者关系 | 媒体采访 | 业绩说明会 | | 活动类别 | 新闻发布会 现场参观 | | | | 其他 | | | --- | --- | |---------------------|------------------------------------------------------------------------| | 时间 | 2022 年 5 月 26 日 15 时 30 分至 16 时 30 分 | | | 地点 公司会议室 | | 公司接待 人员姓名 | 武跃华、景红升 | | | 问题一：公司布局可降解塑料的优势是什么？ | | 投资者关系 | 答：公司自锚定新材料转型以来，已布局建设 6 | | 活 ...

Financial Performance - The company's operating revenue for Q1 2022 was ¥98,474,481.19, representing a 21.18% increase compared to ¥81,260,368.55 in the same period last year[5] - The net profit attributable to shareholders decreased by 7.64% to ¥2,740,333.94 from ¥2,967,067.09 in the previous year[5] - The basic earnings per share for Q1 2022 was ¥0.0053, down 8.62% from ¥0.0058 in the same period last year[6] - Operating profit for Q1 2022 reached ¥7,602,286.30, a significant increase from ¥2,965,938.64 in Q1 2021[18] - Net profit for Q1 2022 was ¥2,740,333.94, a decrease of 7.6% compared to ¥2,966,998.03 in Q1 2021[19] - The company reported a total comprehensive income of ¥2,740,333.94 for Q1 2022, compared to ¥2,966,998.03 in Q1 2021[19] Assets and Liabilities - The total assets at the end of the reporting period increased by 11.17% to ¥1,013,560,374.49 from ¥911,716,437.72 at the end of the previous year[6] - Current assets as of March 31, 2022, amount to ¥614,218,147.53, an increase from ¥569,405,280.08 at the end of 2021[15] - Non-current assets total ¥399,342,226.96, up from ¥342,311,157.64 at the end of 2021[15] - Total liabilities amount to ¥528,913,825.62, an increase from ¥429,810,222.79 at the end of 2021[16] - The company has a total of ¥140,000,000.00 in long-term borrowings as of March 31, 2022[16] Cash Flow - The net cash flow from operating activities was negative at -¥14,269,494.58, compared to -¥10,230,010.52 in the same period last year[6] - Cash flow from operating activities in Q1 2022 was negative at -¥14,269,494.58, compared to -¥10,230,079.58 in Q1 2021[22] - Cash flow from investing activities was also negative at -¥54,631,043.15 in Q1 2022, compared to -¥160,207.08 in Q1 2021[22] - Cash flow from financing activities generated a net inflow of ¥83,999,999.99 in Q1 2022, compared to a net outflow of -¥118,926,915.04 in Q1 2021[23] - The ending cash and cash equivalents balance for Q1 2022 was ¥183,987,808.90, up from ¥65,785,257.30 in Q1 2021[23] Shareholder Information - Total number of ordinary shareholders at the end of the reporting period is 29,443[13] - The largest shareholder, Taiyuan Chemical Industry Group Co., Ltd., holds 223,653,339 shares, accounting for 43.48% of total shares[13] Other Key Developments - The company acquired 100% equity of a biodegradable materials company from its controlling shareholder, Taihua Group, to promote transformation and development[6] - The company recorded government subsidies of ¥60,555.56, which are closely related to its normal business operations[8] - Accounts receivable increased by 83.35%, primarily due to an increase in receivables from precious metal processing[10] - Prepayments decreased by 79.83%, mainly due to a reduction in advance payments for goods[10] - The company reported a 1,134.83% increase in advance receipts, indicating a significant rise in pre-received payments[10]

Financial Performance - The company's operating revenue for 2021 was CNY 280,051,721.71, a decrease of 27.95% compared to CNY 388,671,630.79 in 2020[19] - The net profit attributable to shareholders of the listed company was CNY -44,725,200.83, representing a decline of 207.51% from CNY 41,600,502.49 in the previous year[19] - Basic earnings per share for 2021 were CNY -0.0869, a decrease of 207.42% compared to CNY 0.0809 in 2020[20] - The company reported a total profit of -CNY 49.26 million, down 183.62% year-on-year[36] - The company reported a net loss of ¥665.27 million in 2021, worsening from a loss of ¥620.54 million in 2020[179] - The company incurred credit impairment losses of CNY -8,118,761.24 in 2021, compared to CNY -661,580.91 in 2020, indicating increased credit risk[186] - The company reported a significant credit impairment loss for the first half of 2021, indicating potential financial challenges[95] Assets and Liabilities - The total assets at the end of 2021 amounted to CNY 911,716,437.72, an increase of 6.63% from CNY 855,049,857.61 at the end of 2020[19] - The total equity attributable to shareholders decreased to ¥481.91 million in 2021 from ¥527.16 million in 2020, a decline of approximately 8.6%[179] - Total liabilities rose to ¥429.81 billion in 2021, compared to ¥327.89 billion in 2020, indicating an increase of approximately 31%[179] - Current liabilities totaled ¥420.70 billion in 2021, up from ¥322.81 billion in 2020, representing a growth of around 30.4%[178] - Accounts receivable increased significantly to ¥53.97 million in 2021 from ¥34.60 million in 2020, reflecting a growth of about 55.9%[177] Cash Flow - The net cash flow from operating activities was CNY -85,284,462.27, a significant decline compared to CNY 81,123,275.48 in 2020[19] - The company reported a decrease in sales revenue from CNY 271,624,937.97 in 2020 to CNY 99,064,870.90 in 2021, representing a decline of approximately 63.5%[191] - The net cash flow from financing activities was CNY 46,168,802.62 in 2021, compared to a negative cash flow of CNY -137,035,456.79 in 2020, showing a turnaround of over 133%[192] Investments and Projects - The company invested approximately RMB 570 million in the PBAT industry chain, aiming for an annual output value exceeding RMB 2 billion once the projects are completed[27] - The company is developing a 60,000 tons/year PBAT and 20,000 tons/year biodegradable modified materials project, with production expected to start in the second half of 2021[27] - The company is investing in three projects: a 60,000 tons/year PBAT project, a 20,000 tons/year biodegradable modified materials project, and a 20,000 tons/year biodegradable new materials project, with an expected annual revenue scale exceeding CNY 2 billion[34] Governance and Compliance - The company has conducted six shareholder meetings during the reporting period, ensuring compliance with governance standards and protecting investor rights[74] - The board of directors consists of 9 members, including 3 independent directors, complying with legal requirements[75] - The company has maintained independence from its controlling shareholder in terms of personnel, assets, finance, and operations[76] - The company received regulatory warnings from the Shanghai Stock Exchange for incomplete and inaccurate information disclosures related to litigation and asset restructuring[93] Environmental and Social Responsibility - The company is focusing on the development of biodegradable plastics in response to increasing environmental regulations and market demand[30] - The company has continued to engage in environmental protection efforts, including obtaining necessary permits for hazardous waste management[115] - The company has established a wastewater treatment facility with a processing capacity of 4 tons per hour and a wastewater concentration facility with a capacity of 2.5 cubic meters per hour to reduce operational costs[116] Market and Competitive Position - The PBAT industry is expected to see market demand reach 1 million tons in 2022, 2 million tons in 2023, and 5 million tons by 2025, with a significant portion of this demand coming from single-use biodegradable plastic products[63] - The company aims to develop PBAT production capacity to become one of the largest biodegradable plastic production bases in Shanxi Province, covering markets in the Beijing-Tianjin-Hebei region[67] - The company holds approximately 20% market share in the platinum catalyst market, with expectations for steady growth as nitric acid and hydrogen cyanide production capacity expands[64] Human Resources - The company employed a total of 220 staff, with 39 in the parent company and 181 in major subsidiaries[105] - The company has a total of 157 employees with a college degree or above, representing approximately 71.36% of the total workforce[105] - The total remuneration for the general manager during the reporting period was 22.8 million yuan[81] Related Party Transactions - The total amount of related party transactions for the year was CNY 171,997,400, with procurement totaling CNY 101,317,900 and sales amounting to CNY 67,916,100[135] - The company transferred 49.1158% equity in Yangmei Taihua Coking Investment Co., Ltd. to its controlling shareholder Taihua Group for a price of CNY 218,146,100, of which CNY 87,537,300 has been received[136]

Financial Performance - The company's operating revenue for Q3 2021 was CNY 77,589,988.44, representing a year-on-year increase of 31.94% compared to CNY 58,806,008.4 in the same period last year[5]. - The net profit attributable to shareholders for Q3 2021 was CNY 6,140,961.49, a significant increase of 559.33% from CNY 931,394 in the previous year[6]. - The basic earnings per share for Q3 2021 was CNY 0.0119, reflecting a 561.11% increase compared to CNY 0.0018 in the same period last year[6]. - The net profit for the third quarter of 2021 was a loss of CNY 11,480,092.00, compared to a profit of CNY 3,339,700.45 in the same quarter of 2020[21]. - The net profit attributable to shareholders of the parent company for the third quarter of 2021 was a loss of CNY 11,177,125.20, compared to a profit of CNY 3,338,938.10 in the same quarter of 2020[22]. - Basic and diluted earnings per share for the third quarter of 2021 were both CNY -0.0217, compared to CNY 0.0065 in the same quarter of 2020[23]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 728,928,275.39, a decrease of 14.75% from CNY 853,970,368.50 at the end of the previous year[6]. - Total liabilities amounted to CNY 213,473,984.84, while total equity was CNY 515,454,290.55 as of the end of the third quarter of 2021[21]. - The company's total equity attributable to shareholders decreased by 2.12% to CNY 515,454,290.55 from CNY 526,632,937.87 at the end of the previous year[6]. - Total operating revenue for the first three quarters of 2021 was CNY 244,288,665.80, a decrease of 26.4% compared to CNY 331,802,279.02 in the same period of 2020[20]. - Total operating costs for the first three quarters of 2021 were CNY 225,355,551.39, down 30.9% from CNY 326,449,897.03 in 2020[20]. Cash Flow - The net cash flow from operating activities showed a significant decline, with a net outflow of CNY 62,806,000, compared to a net inflow of CNY 16,637,385.91 in the previous year, indicating a decrease of 477.57%[6]. - Cash flow from operating activities for the first three quarters of 2021 was a net outflow of CNY -62,806,015.91, compared to a net inflow of CNY 16,634,310.46 in the same period of 2020[23]. - The net cash flow from investment activities was $51,057,100.24, a decrease of 5,314,251.49 compared to the previous period[24]. - Cash inflow from financing activities totaled $148,000,000.00, while cash outflow was $279,420,248.37, resulting in a net cash flow of -$131,420,248.37[24]. - The ending balance of cash and cash equivalents was $51,962,061.09, down from $195,131,225.13 at the beginning of the period[24]. Operational Changes - The company completed the acquisition of 100% equity in Shanxi Huayang Biodegradable New Materials Co., Ltd. from Taiyuan Chemical Industry Group, which is expected to enhance its market position[7]. - The company has adjusted its financial statements for the first quarter of 2021 and the first nine months of 2020 due to the acquisition, reflecting the impact of the consolidation[8]. - The company reported a significant increase in management expenses, which rose to CNY 26,751,779.46 in the third quarter of 2021, compared to CNY 18,630,615.31 in the same quarter of 2020[21]. - The company experienced a decrease in tax expenses, which were CNY 508,795.20 in the third quarter of 2021, down from CNY 881,051.92 in the same quarter of 2020[21]. Investment and Other Income - Investment income rose by 776.64% as a result of increased recognition of investment gains[11]. - Investment income for the third quarter of 2021 was CNY 6,867,228.47, a significant increase from CNY 783,354.80 in the same quarter of 2020[21]. - Non-recurring gains and losses for the reporting period amounted to a loss of CNY 267,720.91, contributing to the overall financial performance[10]. Changes in Assets - Cash and cash equivalents decreased by 73.37% due to repayment of bank loans[11]. - Accounts receivable increased by 184.39% primarily due to an increase in receivables from sales[11]. - Prepayments surged by 128,802.79% mainly due to increased advance payments for raw materials and project costs[11]. - Short-term borrowings decreased by 65.31% due to repayment of due bank loans[11]. - Inventory decreased by 40.17% mainly due to a reduction in platinum mesh products[11]. - The company received government subsidies, resulting in a 100% increase in deferred income[11].

Financial Performance - The company's operating revenue for the first half of 2021 was ¥166,698,677.36, a decrease of 38.94% compared to ¥272,996,270.55 in the same period last year[19] - The net profit attributable to shareholders for the first half of 2021 was a loss of ¥14,093,503.36, compared to a profit of ¥2,407,543.15 in the same period last year, representing a decline of 685.39%[19] - The net cash flow from operating activities was negative at ¥30,878,201.15, a significant decrease from ¥19,031,752.53 in the same period last year, marking a decline of 262.25%[19] - The company's sales revenue for the reporting period was CNY 166.70 million, a decrease of 38.94% compared to the previous year[30] - The net profit attributable to shareholders was CNY -14.09 million, down from CNY 0.24 million in the same period last year, representing a decrease of CNY 16.50 million[28] - The company reported a net profit of 102,134.55 yuan from its investment in Yangmei Taihua Coking, with a total revenue of 3,833,950.55 yuan[39] - The company reported a net loss of CNY 15,024,066.60 for the first half of 2021, compared to a profit of CNY 3,621,746.37 in the same period of 2020[92] - The comprehensive loss for the first half of 2021 totaled CNY -40,805,165.25, compared to a loss of CNY -4,903,847.05 in the same period of 2020, reflecting overall financial challenges[96] Assets and Liabilities - The total assets at the end of the reporting period were ¥764,792,865.44, down 10.44% from ¥853,970,368.50 at the end of the previous year[19] - The total assets as of June 30, 2021, amounted to CNY 642,994,192.56, a decrease from CNY 805,480,729.68 at the end of 2020[90] - Total liabilities as of June 30, 2021, were CNY 181,097,818.44, down from CNY 302,779,190.31 at the end of 2020[90] - The company's total assets at the end of the reporting period amount to CNY 514,402,025.00, indicating stability in asset management[115] - The total equity of the company at the end of the reporting period is CNY 487,440,472.25, a decrease of CNY 40,805,165.25 compared to the previous period[114] Cash Flow - The company's cash flow from operating activities was CNY 20,980,523.97, a drastic decrease from CNY 291,938,487.18 in the first half of 2020, reflecting reduced cash generation capabilities[98] - The total cash inflow from operating activities was 27,147,235.20 RMB, while total cash outflow was 58,025,436.35 RMB, leading to a net cash flow of -30,878,201.15 RMB[99] - The cash inflow from investment activities was -621,623.60 RMB, indicating a decrease in investment cash generation compared to -1,921,954.77 RMB in the previous period[99] - The company experienced a net decrease in cash and cash equivalents of 150,426,739.79 RMB, compared to a smaller decrease of 13,334,250.87 RMB in the previous period[100] Shareholder Information - The company has 24,124 ordinary shareholders as of the end of the reporting period[73] - The largest shareholder, Taiyuan Chemical Industry Group Co., Ltd., holds 43.48% of the shares, totaling 223,653,339 shares, with 91,000,000 shares pledged[75] - The company has not proposed any profit distribution or capital reserve transfer plans for the half-year period[47] Strategic Developments - The company has increased its research and development efforts in the first half of 2021, focusing on the recovery and utilization of precious metals, particularly platinum, palladium, and rhodium[27] - The company acquired 100% equity of Shanxi Huayang Biodegradable New Materials Co., Ltd., which will become a wholly-owned subsidiary, enhancing its strategic space in the biodegradable materials industry[29] - The company is actively expanding its market presence and improving its supply chain for raw materials[40] - The company plans to improve its product offerings and develop new products to meet market demands, ensuring sustainable growth[40] Risk Management - The management has highlighted potential risks in the business environment, urging investors to be cautious[6] - The company faces risks related to the volatility of precious metal prices, which are influenced by factors such as international politics and supply-demand dynamics in the market[40] - The company aims to control precious metal inventory to mitigate risks associated with price fluctuations[40] Environmental and Regulatory Compliance - The company has established a comprehensive environmental management system led by the general manager, ensuring the implementation of environmental protection measures[53] - The company received an administrative fine of 100,000 yuan from the Taiyuan Ecological Environment Bureau for not emptying the emergency accident pool, which has been rectified by the end of June 2021[50] - The company has built a wastewater treatment facility with a processing capacity of 4 tons per hour, utilizing an "oxidation + reverse osmosis + evaporation" process[51] Corporate Governance - The company has experienced changes in its board of directors, with several key personnel being elected or resigning in 2021[46] - The company has not reported any significant changes in accounting policies or prior period error corrections during this period[109] - The financial statements are prepared based on the going concern assumption and comply with the relevant accounting standards[125] Accounting and Financial Reporting - The company recognizes goodwill when the acquisition cost exceeds the fair value of identifiable net assets acquired[135] - The company applies the equity method for investments in joint ventures, recognizing its share of assets and liabilities, as well as income from joint operations[144] - The company assesses credit risk for financial instruments in three stages, with different loss provisions based on the increase in credit risk since initial recognition[154]

Financial Performance - The company's operating revenue for 2020 was CNY 388.67 million, a decrease of 28.33% compared to CNY 542.33 million in 2019[20]. - The net profit attributable to shareholders for 2020 was CNY 41.60 million, down 13.81% from CNY 48.27 million in 2019[20]. - The basic earnings per share for 2020 was CNY 0.0809, a decrease of 13.75% from CNY 0.0938 in 2019[21]. - The weighted average return on equity decreased to 8.22% in 2020, down 2.25 percentage points from 10.47% in 2019[21]. - The profit for the year was 5,890.46 million RMB, an increase of 11.30% from 5,292.25 million RMB in the previous year[34]. - The company reported a net profit loss of CNY -612,787,702.43 for 2020, compared to a loss of CNY -652,447,101.78 in 2019[131]. - The total comprehensive income for 2020 was approximately ¥41.60 million, compared to ¥48.27 million in 2019, showing a decline of about 13.8%[135]. Cash Flow and Liquidity - The net cash flow from operating activities improved to CNY 81.13 million, compared to a negative cash flow of CNY 193.99 million in 2019[20]. - The cash inflow from operating activities was approximately ¥366.03 million in 2020, down from ¥402.28 million in 2019, representing a decrease of about 9%[140]. - The cash and cash equivalents at the end of 2020 were ¥148,266,058.97, down from ¥193,328,509.82 at the beginning of the year, reflecting a decrease of ¥45,062,450.85[145]. - The company reported a significant increase in asset disposal gains of approximately ¥81.65 million in 2020, compared to no gains reported in 2019[137]. - The total cash inflow from financing activities was ¥198,000,000.00, while cash outflow amounted to ¥335,035,456.79, resulting in a net cash flow of -¥137,035,456.79 for financing activities[145]. Assets and Liabilities - The total assets decreased by 10.22% to CNY 853.97 million at the end of 2020, down from CNY 951.15 million at the end of 2019[20]. - The total liabilities decreased to CNY 327.34 million in 2020 from CNY 466.12 million in 2019, a decline of about 29.8%[127]. - The company's retained earnings improved to -¥620.07 million in 2020 from -¥662.41 million in 2019, indicating a reduction in accumulated losses[127]. - Total current assets decreased to ¥392.88 million in 2020 from ¥476.32 million in 2019, a decline of approximately 17.5%[125]. - Short-term borrowings increased significantly to ¥196.00 million in 2020 from ¥90.00 million in 2019, an increase of approximately 117.8%[126]. Market Position and Strategy - The company expanded its market share in the ammonia oxidation catalyst sector, capturing approximately 20% of the market with a production of 1,748 kg[33]. - The company plans to increase product R&D efforts and actively expand its market presence in 2021[34]. - The company aims to enhance its competitive edge by improving the comprehensive utilization of secondary resources from precious metals, aligning with national policies promoting circular economy[52][55]. - The company is focused on expanding its market presence and enhancing product development strategies[91]. Governance and Management - The company has established a sound internal control mechanism and disclosed an internal control self-evaluation report[107]. - The board of directors consists of 9 members, including 3 independent directors, complying with legal requirements[101]. - The total pre-tax remuneration for the board members and senior management during the reporting period amounted to 129.55 million yuan[88]. - The management team includes experienced professionals from various sectors, enhancing operational capabilities[91]. Risks and Challenges - The company has outlined potential risks in its future development discussions, which investors should be aware of[7]. - The company faces risks related to price volatility of precious metals, which are influenced by various factors including international politics and market demand[58]. - The company emphasizes the importance of continuous product improvement and innovation to meet market demands and avoid technological obsolescence[58]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 23,572, down from 26,010 at the end of the previous month[76]. - The top five customers accounted for 74.65% of total annual sales, highlighting a significant customer concentration risk[44]. - The company did not propose any cash profit distribution plan for ordinary shares during the reporting period, despite having positive profits available for distribution to ordinary shareholders[62]. Compliance and Reporting - The company's financial statements for 2020 were prepared in accordance with the new revenue standards issued by the Ministry of Finance, with no impact on net profit or equity[64]. - The company has engaged Zhongxing Cai Guanghua Accounting Firm for auditing services, with a remuneration of 600,000 RMB for the audit and 300,000 RMB for internal control audit[67]. - There were no major litigation or arbitration matters reported for the year 2020[68].

Financial Performance - Operating revenue fell by 61.38% to CNY 81,260,368.55 year-on-year[5] - Net profit attributable to shareholders was CNY 2,967,067.09, a significant recovery from a loss of CNY 1,284,821.04 in the same period last year[5] - The company reported a basic earnings per share of CNY 0.0058, a recovery from a loss of CNY 0.0025 per share in the previous year[5] - Operating profit for Q1 2021 was CNY 2,966,007.70, compared to a loss of CNY 1,299,701.54 in Q1 2020, showing a significant turnaround[24] - Net profit for Q1 2021 was CNY 2,967,067.09, while the company reported a net loss of CNY 1,284,821.04 in Q1 2020, marking a positive shift[25] - The company’s total comprehensive income for the period was -1,385,530.66 RMB, compared to -3,355,329.38 RMB in Q1 2020, showing an improvement[33] Assets and Liabilities - Total assets decreased by 13.91% to CNY 735,143,525.83 compared to the end of the previous year[5] - Total current assets decreased from CNY 392,883,439.01 to CNY 274,769,534.13, a decline of 30.06%[14] - The total assets decreased from CNY 853,970,368.50 to CNY 735,143,525.83, a reduction of 13.87%[16] - The total liabilities decreased from CNY 327,337,430.63 to CNY 205,543,520.87, a decline of 37.14%[16] - The company's total liabilities as of Q1 2021 amounted to CNY 180,447,006.08, down from CNY 302,779,190.31 in the previous year, a reduction of approximately 40.5%[20] Cash Flow - Cash flow from operating activities improved, with a net cash outflow of CNY 10,230,010.52, compared to CNY 18,571,920.18 in the previous year[5] - In Q1 2021, the company reported a net cash flow from operating activities of -10,230,010.52 RMB, an improvement from -18,571,920.18 RMB in Q1 2020, indicating a 45.5% reduction in losses[32] - Total cash inflow from operating activities was 9,449,311.03 RMB, down 92.5% from 126,101,746.47 RMB in the same period last year[31] - The company incurred total cash outflows from operating activities of 19,679,321.55 RMB, a decrease of 86.4% from 144,673,666.65 RMB in Q1 2020[32] - The net cash flow from financing activities was -118,926,915.04 RMB, compared to -7,377,756.68 RMB in the same quarter last year, indicating a substantial increase in cash outflows[35] Shareholder Information - The number of shareholders reached 26,010, with the largest shareholder holding 43.48% of the shares[8] Expenses - Management expenses rose by 48.16% year-on-year, from CNY 6,460,888.78 to CNY 9,572,284.76, mainly due to increases in employee compensation and repair costs[14] - Financial expenses decreased by 41.56%, from CNY 4,785,996.88 to CNY 2,797,063.10, primarily due to reduced bank loan interest[14] - Management expenses for Q1 2021 were CNY 9,572,284.76, an increase from CNY 6,460,888.78 in Q1 2020, reflecting a rise of about 48.5%[24] - The company paid 7,178,176.85 RMB to employees, an increase from 5,220,385.93 RMB in Q1 2020, reflecting a 37.5% rise in employee-related expenses[32] Other Financial Metrics - The weighted average return on equity increased to 0.56% from -0.27% year-on-year[5] - The company reported a total equity of CNY 529,600,004.96, slightly up from CNY 526,632,937.87, indicating a marginal increase of 0.35%[16] - Total operating costs for Q1 2021 were CNY 78,297,117.03, down from CNY 211,727,129.62 in Q1 2020, indicating a decrease of about 63.0%[24] - Basic and diluted earnings per share for Q1 2021 were CNY 0.0058, compared to a loss per share of CNY 0.0025 in Q1 2020[25] Borrowings and Commitments - The company had no short-term borrowings at the end of the reporting period, down from CNY 196,000,000.00 previously[10] - The company has no overdue commitments or significant changes in net profit expectations compared to the previous year[14] Cash and Cash Equivalents - Cash and cash equivalents decreased by 66.28% to CNY 65,785,326.36, primarily due to repayment of bank loans[10] - Cash and cash equivalents decreased from CNY 195,102,459.00 to CNY 65,785,326.36, a drop of 66.32%[14] - The ending balance of cash and cash equivalents was 65,785,326.36 RMB, down from 220,338,419.90 RMB in the previous year[33]