Financial Performance - Operating revenue decreased by 20.25% to CNY 356,225,066.72 compared to the same period last year[10] - Net profit attributable to shareholders was a loss of CNY 26,986,554.27, compared to a loss of CNY 1,694,744.95 in the previous year[10] - The company anticipates significant losses for the year due to poor market conditions for its main products and heavy financial burdens[16] - Operating profit turned negative at -¥30,884,601.99 compared to -¥6,811,165.67 in the previous period, indicating a significant decline in profitability[27] - Net profit attributable to shareholders was -¥26,986,554.27, compared to -¥1,694,744.95 in the prior period, reflecting a worsening financial position[28] - Basic and diluted earnings per share both decreased to -¥0.09 from -¥0.01, indicating a substantial drop in earnings performance[28] Cash Flow - Cash flow from operating activities showed a negative net amount of CNY 24,548,724.02, compared to a positive CNY 104,661,676.21 in the same period last year[10] - Cash inflow from sales of goods and services was ¥447,999,664.89, down from ¥635,567,928.30, marking a decrease of approximately 29.5%[32] - Cash outflow for purchasing goods and services was ¥432,747,315.60, down from ¥489,569,807.41, a reduction of about 11.6%[33] - Operating cash flow for the current period was ¥440,055,162.96, a decrease of 26.2% from ¥596,082,973.47 in the previous period[36] - Net cash flow from operating activities was ¥5,796,964.61, down 96.1% from ¥147,771,339.71 in the previous period[36] - Cash inflow from financing activities was ¥566,338,638.09, compared to ¥434,041,429.86 in the previous period, indicating an increase of approximately 30.5%[34] - Cash inflow from financing activities was ¥215,707,558.76, a decrease of 29.6% from ¥306,264,992.46 in the previous period[38] - Net cash flow from financing activities was ¥17,758,197.54, compared to a net outflow of ¥170,637,758.51 in the previous period[38] Assets and Liabilities - Total assets increased by 3.35% to CNY 2,215,097,333.51 compared to the end of the previous year[10] - Total current assets increased to ¥791,206,946.90 from ¥713,307,494.49, representing a growth of approximately 10.5%[19] - Total liabilities increased to ¥1,811,109,299.77 from ¥1,709,247,089.86, which is an increase of about 6.0%[21] - Short-term borrowings rose to ¥1,074,614,832.34 from ¥922,204,890.90, indicating an increase of approximately 16.5%[20] - The company's total equity decreased to ¥403,988,033.74 from ¥434,102,227.44, a decline of about 6.9%[21] Shareholder Information - The number of shareholders totaled 22,250 as of the report date[12] Inventory and Receivables - Accounts receivable increased by 47.29% to CNY 80,055,800.00 compared to the beginning of the year[15] - Inventory increased to ¥205,058,656.10 from ¥188,511,555.04, reflecting a growth of approximately 8.8%[19]

Financial Performance - The company's operating revenue for 2013 was CNY 1,628,244,005.36, a decrease of 4.97% compared to CNY 1,713,399,203.11 in 2012[28]. - The net profit attributable to shareholders of the listed company was CNY 8,793,023.44, a significant recovery from a loss of CNY 477,168,523.99 in 2012[28]. - The net cash flow from operating activities was negative at CNY -15,978,890.28, a decline of 134.85% compared to CNY 45,853,926.05 in 2012[28]. - Total assets decreased by 18.29% to CNY 2,143,349,317.30 from CNY 2,623,013,616.61 in 2012[28]. - The net assets attributable to shareholders increased by 2.39% to CNY 376,527,062.90 from CNY 367,748,076.09 in 2012[28]. - Basic earnings per share improved to CNY 0.03 from a loss of CNY -1.51 in 2012[29]. - The weighted average return on net assets was 0.02%, recovering from -77.69% in 2012[29]. - The company reported a net loss of CNY 22,750,900, with tax payments amounting to CNY 4,997,560[35]. - The company reported a significant reduction in non-recurring losses, with a net profit of CNY -185,021,772.10 compared to CNY -318,370,032.03 in 2012[28]. - The company achieved a net profit loss of 12,343.80 million RMB for its subsidiary, Yaxing Hushi, with total assets of 65,621.52 million RMB and operating income of 74,521.51 million RMB[74]. Cash Flow and Financing - The company’s operating cash flow was negative at CNY -15,978,890.28, a decline of 134.85% compared to the previous year[38]. - Cash received from government subsidies totaled ¥95,500,000.00, marking a 495.54% increase compared to the previous year[51]. - The total amount of guarantees provided by the company to subsidiaries during the reporting period is RMB 150 million, which accounts for 30.93% of the company's net assets[96]. - The company reported a negative operating capital of ¥995,549,595.37 and a cumulative loss of ¥707,625,056.97 as of December 31, 2013, which may impact its ability to continue operations[82]. - The company received 1,209,976,415.49 RMB from borrowings, an increase from 1,091,877,212.31 RMB in the previous year[198]. Operational Efficiency and Cost Management - The company reduced its operating costs by 3.83%, with total operating costs amounting to CNY 1,557,126,206.21[38]. - The company implemented energy-saving measures, achieving savings of CNY 6,820,000 through various efficiency initiatives[35]. - The company reported a significant reduction in asset impairment losses, down to CNY 53,202,839.78 from CNY 156,847,348.58 in the previous year[189]. - The company has implemented a closed-loop system for resource utilization, achieving over 95% water resource reuse and ensuring all wastewater and emissions meet standards[66]. Research and Development - The company’s R&D expenditure was CNY 50,169,271.60, a decrease of 16.60% from the previous year[38]. - Total R&D expenses amounted to ¥50,169,271.60, representing 11.56% of net assets and 3.08% of operating revenue[50]. - The company has developed over 30 new products and grades, with 8 new materials recognized as national key new products, filling domestic gaps in the market[67]. - The company has established a national-level enterprise technology center, enhancing its research capabilities in chlorine-containing polymer materials[67]. Market Position and Strategy - The company holds the world's largest CPE production facility with an annual capacity of 170,000 tons, maintaining its leading position in the market[61]. - The company aims to achieve approximately 1.5 billion RMB in main business revenue for the year 2014, with a focus on reducing losses[79]. - The company is focusing on expanding its market presence and exploring new product development opportunities[140]. - The company is actively pursuing mergers and acquisitions to bolster its market position[140]. Governance and Compliance - The company has not faced any major litigation or arbitration issues during the reporting period[91]. - The board of directors has emphasized the need for effective measures to mitigate risks associated with the company's financial situation[84]. - The company has implemented strict measures to regulate related party transactions, ensuring fairness and transparency in pricing and disclosure[157]. - The company has maintained a commitment to information disclosure, ensuring that all shareholders have equal access to timely and accurate information[157]. Shareholder and Management Information - The total number of shares is 315,594,000, with 100% being tradable shares[117]. - The total number of shareholders at the end of the reporting period was 22,883, an increase from 22,552 in the previous trading day[126]. - The management team includes experienced professionals from various sectors, enhancing the company's strategic direction[138]. - The company has a training plan that addresses diverse employee needs through flexible and varied training programs[149]. Challenges and Future Outlook - The company faces challenges in 2014 due to a sluggish global economy and rising costs, impacting profitability and operational development[76]. - The global economic environment remains complex, with slow growth and rising costs for raw materials and labor, which are pressuring the company's profitability[83]. - The company acknowledges the severe overcapacity in the CPE production industry, necessitating higher demands for technology development and cost control[83].