Financial Performance - The company's operating revenue for the first half of 2022 was CNY 4,271,202,500.99, a decrease of 9.46% compared to CNY 4,717,550,453.48 in the same period last year[13]. - The net profit attributable to shareholders of the listed company was CNY 18,906,736.89, compared to a loss of CNY 95,042,597.22 in the same period last year[13]. - The net cash flow from operating activities was CNY 1,279,468,624.31, a significant improvement from a negative cash flow of CNY -1,037,725,605.50 in the previous year[13]. - The total assets at the end of the reporting period were CNY 48,635,299,841.48, an increase of 9.87% from CNY 44,265,408,872.54 at the end of the previous year[13]. - The net assets attributable to shareholders of the listed company decreased to CNY 14,393,754,669.17, down 7.29% from CNY 15,524,746,801.15 at the end of the previous year[13]. - The company achieved a net profit attributable to shareholders of RMB 0.19 billion, turning from a loss to a profit compared to the same period last year[15]. - The basic earnings per share (EPS) for the reporting period was RMB 0.0134, compared to a loss of RMB 0.0672 in the same period last year[14]. - The weighted average return on net assets was 0.13%, an increase of 0.82 percentage points from the previous year[14]. - The company reported a total operating revenue of RMB 4.271 billion, a decrease of 9.46% year-on-year due to product structure adjustments[22]. - The company recorded a net gain from foreign exchange fluctuations, contributing positively to financial performance[15]. - The company achieved operating revenue of RMB 4.27 billion, a decrease of 9.46% year-on-year[26]. - The net profit attributable to shareholders was RMB 18.91 million, with earnings per share of RMB 0.0134[26]. - The company received new orders worth RMB 3.145 billion, down 45.1% year-on-year[26]. - The company reported a total of RMB 13,819.61 million in transactions for ship products and equipment, accounting for 3.30% of similar transaction amounts[70]. - The company provided RMB 200,543.20 million in transactions for ship equipment and materials, which accounted for 56.43% of similar transaction amounts[70]. Cash Flow and Liquidity - The company's cash and cash equivalents at the end of the reporting period amounted to RMB 14,215,936,971.26, representing 29.23% of total assets, an increase of 48.70% compared to the previous year[32]. - The operating cash flow net amount was RMB 1.28 billion, a significant improvement compared to the previous year[27]. - The net cash flow from financing activities for the first half of 2022 was RMB 1,015,586,196.88, compared to a net outflow of RMB 1,307,153,516.09 in the same period of 2021, indicating a significant improvement[107]. - The total cash inflow from operating activities in the first half of 2022 was RMB 17,123,947.63, while the cash outflow was RMB 16,173,217.19, resulting in a net cash flow of RMB 950,730.44, a recovery from a negative cash flow of RMB -903,712.33 in the previous year[109]. - The company reported a total cash and cash equivalents balance of RMB 6,573,112,458.26 at the end of the first half of 2022, up from RMB 3,460,816,725.17 at the end of the first half of 2021[107]. - The net increase in cash and cash equivalents for the first half of 2022 was RMB 231,828,875.95, contrasting with a decrease of RMB -55,436,529.96 in the first half of 2021[109]. Investments and R&D - Research and development expenses amounted to RMB 221.09 million, a decrease of 10.02% compared to the previous year[27]. - The company holds 11 provincial and national-level technology innovation platforms, enhancing its R&D capabilities[27]. - The company plans to focus on continuous R&D and technological innovation to enhance core competitiveness and profitability[27]. - The company reported a significant increase in interest income to RMB 230,567,348.75, up from RMB 109,625,930.22 in the first half of 2021[103]. - Investment income improved to a loss of RMB -24,331,129.96, an improvement from a loss of RMB -37,145,812.01 in the first half of 2021[103]. Risk Management - The company has detailed potential risks in the report, which investors are advised to review[4]. - The company faces financial risks including exchange rate risks primarily from USD-denominated export ship orders, and interest rate risks from bank loans, with a focus on fixed-rate borrowing to maintain competitiveness[44]. - Customer risks are heightened due to potential financing difficulties faced by shipowners, which may lead to payment defaults and contract modifications, prompting the company to enhance contract performance management[45]. - Cost risks arise from rigid increases in labor costs and fluctuations in raw material prices, with the company aiming to reduce the proportion of costs to revenue through management improvements and cost control measures[46]. Governance and Compliance - The board of directors consists of ten members, ensuring governance and oversight of the company's operations[4]. - The company emphasizes that forward-looking statements regarding future plans and strategies do not constitute a substantive commitment to investors[4]. - The financial data in the report has not been audited but has been reviewed and confirmed by the audit committee[2]. - The company has committed to ensuring the independence of its financial personnel and management, with a guarantee that financial staff will not hold concurrent positions in subsidiaries[62]. - The company has pledged to maintain independent operations and governance structures, ensuring that its subsidiaries operate autonomously without dependency on the parent company[62]. - The company's governance structure complies with the relevant laws and regulations, ensuring accurate and timely information disclosure[82]. - The board of directors held a total of 4 meetings during the reporting period, with all directors in attendance[84]. Environmental Responsibility - Huangpu Wenchong has 7 sets of organic waste gas purification devices and 7 sets of dust treatment facilities, ensuring effective pollution control[52]. - Wenchong Shipyard operates 9 sets of organic waste gas purification devices and 7 sets of dust treatment facilities, with real-time VOC monitoring in place[53]. - Huangchuan Offshore has established 12 sets of active carbon adsorption and catalytic combustion purification devices for organic waste gas[54]. - The group adheres to environmental protection regulations, holding necessary permits and conducting regular environmental impact assessments[55]. - The company promotes green shipbuilding and has invested in energy-saving technologies to reduce environmental impact[59]. - The group has initiated projects for solar power generation and charging stations to promote clean energy use[60]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period was 89,458[89]. - HKSCC NOMINEES LIMITED holds 589,210,618 shares, representing 41.68% of total shares[90]. - 中國船舶工業集團有限公司 holds 481,337,700 shares, accounting for 34.05% of total shares[90]. - The largest shareholder, 中船船舶工業集團有限公司, has a significant stake in both A shares (58.60%) and H shares (58.43%)[93]. - The company has not experienced any changes in its board of directors, supervisors, or senior management during the reporting period[94]. Asset Management - The company's total liabilities increased, with other payables rising by 111.53% to RMB 391,850,153.33, including declared but unpaid cash dividends of RMB 195 million[32]. - The company's contract assets at the end of the reporting period were RMB 3,175,019,880.50, reflecting a 24.88% increase compared to the previous period[32]. - The company's total comprehensive income decreased by 51.23% due to the decline in the fair value of China Shipbuilding stocks[32]. - The company's total equity attributable to shareholders decreased from RMB 15.52 billion to RMB 14.39 billion, a decline of approximately 7.3%[99]. - The company confirmed fixed assets are tangible assets used for production, service provision, leasing, or management, with a useful life exceeding one year[173]. Strategic Initiatives - The company will address industry competition issues by integrating relevant assets and businesses within five years, in compliance with regulatory requirements[63]. - The company has agreed to assist in the relocation and transformation of its facilities as per the Guangzhou government's urban planning, ensuring continued production during the transition[64]. - The company will coordinate with the Guangzhou government to expedite the establishment of new factory sites and resolve any compensation issues related to the relocation[64]. - The company has established a timeline for the fulfillment of its commitments, with specific deadlines set for various obligations[63].

Financial Performance - The company's operating revenue for the first half of 2022 was approximately ¥4.27 billion, representing a decrease of 9.46% compared to the same period last year[16]. - The net profit attributable to shareholders of the listed company was approximately ¥18.91 million, a significant decline from a loss of ¥95.04 million in the previous year[16]. - The net cash flow from operating activities was approximately ¥1.28 billion, compared to a negative cash flow of ¥1.04 billion in the same period last year[16]. - The total assets at the end of the reporting period were approximately ¥48.64 billion, an increase of 9.87% from the previous year[16]. - The net assets attributable to shareholders of the listed company were approximately ¥14.39 billion, a decrease of 7.29% compared to the end of the previous year[16]. - The basic earnings per share for the first half of 2022 were ¥0.0134, compared to a loss of ¥0.0672 per share in the same period last year[17]. - The weighted average return on net assets was 0.13%, an increase of 0.82 percentage points compared to the previous year[17]. - The company achieved operating orders of RMB 3.145 billion, a decrease of 45.1% year-on-year[29]. - The company's revenue was RMB 4.271 billion, down 9.46% compared to the same period last year[31]. - The new ship order volume decreased significantly to 701 vessels, a year-on-year decline of 52%[29]. - The company's research and development expenses were RMB 221.09 million, a decrease of 10.02% year-on-year[31]. - The tax and additional charges increased by 73.49% year-on-year, amounting to RMB 10.59 million[32]. - The fair value change income decreased by 65.23% year-on-year, totaling RMB 17.34 million[32]. - The company reported a total revenue of RMB 4.271 billion, a decrease of 9.46% compared to the previous year, mainly due to adjustments in product structure and a reduction in completed products meeting revenue recognition criteria[26]. Cash Flow and Financial Position - The net cash flow from operating activities increased significantly by RMB 23.17 billion year-on-year, totaling RMB 12.79 billion, driven by an increase in progress payments for ship products[18]. - The company's cash and cash equivalents at the end of the period amounted to ¥14,215,936,971.26, representing 29.23% of total assets, an increase of 48.70% compared to the previous year[35]. - The company's short-term borrowings increased by 80.60% to ¥3,458,312,218.75, compared to ¥1,914,936,125.56 at the end of the previous year[36]. - The company's contract liabilities increased by 42.59% to ¥13,330,735,361.47, compared to ¥9,348,839,525.55 at the end of the previous year[36]. - The company's inventory decreased by 35.18% to ¥6,654,550,490.17, compared to ¥4,922,901,059.95 at the end of the previous year[35]. - The company's total liabilities rose to RMB 31.09 billion, compared to RMB 25.59 billion, marking an increase of around 21.0%[96]. - The company's total equity decreased to RMB 17.54 billion from RMB 18.67 billion, a decline of about 6.1%[96]. - The total liabilities to equity ratio increased, reflecting a higher leverage position for the company[96]. Market Position and Competitive Edge - The company has established itself as a leading manufacturer in the domestic and international markets for various marine defense and engineering products, including military vessels and specialized engineering ships[23]. - The company maintains a strong competitive edge with its ability to construct multiple ship types simultaneously and has achieved domestic leadership in several product categories[27]. - The company has a significant market presence in the domestic and international sectors, particularly in the market for feeder container ships and dredging engineering vessels[28]. - The company aims to enhance its core competencies in R&D and construction technology to explore new growth opportunities and improve profitability[28]. Environmental Compliance and Sustainability - The company has been included in the list of key pollutant discharge units by the Guangzhou Ecological Environment Bureau, indicating a focus on environmental compliance[52]. - The company reported average emissions of 0.04 mg/m³ for toluene with a total discharge of 6 kg, and no exceedances of discharge standards[53]. - The company has implemented measures to monitor and control emissions, with specific focus on VOCs and particulate matter, ensuring compliance with environmental regulations[54]. - The company is actively promoting clean energy use through projects like photovoltaic power generation and charging stations[64]. - The company has committed to reducing carbon emissions through energy-saving measures and enhancing energy efficiency[64]. Risk Management - The company has detailed potential risks in the management discussion and analysis section of the report[6]. - The company faces financial risks including exchange rate fluctuations primarily related to USD-denominated export ship orders, and plans to implement hedging strategies to mitigate these risks[47]. - Interest rate risk arises from bank borrowings, with a focus on securing competitive fixed-rate loans to manage cash flow and fair value risks[47]. - The company is experiencing cost pressures due to rising labor costs and fluctuating prices of raw materials, and aims to reduce the proportion of costs to revenue through management improvements and cost control measures[47]. - The company has identified customer risks related to potential financing difficulties faced by shipowners, which could lead to contract defaults, and is enhancing contract management to ensure order fulfillment[47]. Corporate Governance - The company reported no significant litigation or arbitration matters during the reporting period[72]. - The company has maintained strict compliance with securities trading regulations for its directors[90]. - The company has complied with all corporate governance codes and regulations as of June 30, 2022[90]. - The audit committee held 2 meetings to review the annual report and internal control evaluation report for 2021[90]. - The remuneration and assessment committee also held 2 meetings to discuss the remuneration of directors and senior management for 2021[90]. Accounting Policies and Financial Reporting - The financial statements are prepared based on the going concern assumption, indicating sufficient funds for operations[113]. - The accounting basis is accrual, with historical cost as the measurement basis for assets and liabilities[114]. - The company evaluates control over subsidiaries based on the ability to influence returns through relevant activities[121]. - The group recognizes the equity of subsidiaries not attributable to the parent company, including current net losses and other comprehensive income, which are presented in the consolidated financial statements[122]. - The group applies the equity method for investments in joint ventures and associates, confirming assets and liabilities held separately or proportionately[123]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 89,458[90]. - The largest shareholder, HKSCC NOMINEES LIMITED, holds 589,210,618 shares, representing 41.68% of the total shares[91]. - The second largest shareholder, China Shipbuilding Industry Group Co., Ltd., holds 481,337,700 shares, accounting for 34.05%[91]. - The company reported a total of RMB 8,436,016,340.59 in capital reserves at the end of the reporting period[107].

Financial Performance - The company's operating revenue for Q1 2022 was ¥1,128,449,754.40, representing a decrease of 38.12% compared to the same period last year[4] - The net profit attributable to shareholders was a loss of ¥12,318,793.85, and the net profit after deducting non-recurring gains and losses was a loss of ¥32,605,115.28[4] - Gross profit for Q1 2022 was 103,073,282.81, reflecting a decrease of 39.34% in operating costs[12] - Total operating revenue for Q1 2022 was $1,128,449,754.40, a decrease of 38.1% compared to $1,823,615,807.05 in Q1 2021[19] - Total operating costs for Q1 2022 were $1,212,346,783.58, down 34.1% from $1,841,439,577.35 in Q1 2021[19] - Net profit for Q1 2022 was -$32,073,817.66, an improvement from -$38,264,237.74 in Q1 2021[20] - Total comprehensive income for Q1 2022 was -$1,274,108,215.88, compared to -$429,440,641.78 in Q1 2021[20] Cash Flow - The net cash flow from operating activities was ¥3,038,823,824.90, showing a significant increase of 2,074.04% year-on-year[4] - Cash flow from operating activities for Q1 2022 was $3,038,823,824.90, significantly up from $139,777,625.94 in Q1 2021[22] - Net cash flow from investing activities was -3,234,324,229.37 CNY, a decrease of 48,174,149.16 CNY compared to the previous period[23] - Cash inflow from financing activities totaled 1,700,000,000.00 CNY, an increase of 373,200,000.00 CNY compared to the previous period[23] - Cash outflow from financing activities amounted to 1,313,772,959.24 CNY, an increase of 62,601,489.65 CNY compared to the previous period[23] - Net cash flow from financing activities was 386,227,040.76 CNY, a significant improvement compared to -877,971,469.59 CNY in the previous period[23] - The net increase in cash and cash equivalents was 186,720,575.37 CNY, recovering from a decrease of 774,580,607.75 CNY in the previous period[23] - The ending balance of cash and cash equivalents was 5,603,782,132.34 CNY, up from 4,944,786,500.56 CNY in the previous period[23] Assets and Liabilities - Total assets at the end of the reporting period were ¥47,990,875,566.16, an increase of 8.42% from the end of the previous year[5] - The company's total assets amounted to CNY 47.99 billion, an increase from CNY 44.27 billion as of December 31, 2021, representing a growth of approximately 6.14%[16] - The company's total liabilities stood at CNY 30.59 billion, up from CNY 25.59 billion, which is an increase of approximately 19.6%[18] - The equity attributable to shareholders decreased by 8.03% to ¥14,278,052,977.57 compared to the previous year[5] - The company's equity attributable to shareholders decreased to CNY 14.28 billion from CNY 15.52 billion, a decline of approximately 8%[18] - Contract liabilities rose to 13,886,772,526.78, marking an increase of 48.54% due to increased advance payments for products[12] - The company's contract liabilities surged to CNY 13.89 billion from CNY 9.35 billion, reflecting an increase of approximately 48.5%[17] Investments and Income - The company reported non-recurring gains of ¥35,045,118.15, primarily from government subsidies and other non-operating income[6] - The company reported an investment income of 6,558,255.26, a significant recovery from a loss of 8,090,310.36 in the previous year[12] - The company recorded a financial income of $100,446,735.58 in Q1 2022, compared to $51,912,483.85 in Q1 2021, indicating a growth of 93.5%[19] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 90,609, with HKSCC NOMINEES LIMITED holding 41.69% of shares[13] Other Information - The company did not conduct an audit for the Q1 financial statements[3] - The company did not apply the new accounting standards for the first time in 2022[23] - The report was published by the Board of Directors of China Shipbuilding Industry Corporation on April 29, 2022[23]

Financial Performance - The company's operating revenue for Q1 2022 was CNY 1,128,449,754.40, representing a decrease of 38.12% compared to the same period last year[2] - The net profit attributable to shareholders was CNY -12,318,793.85, and the net profit after deducting non-recurring gains and losses was CNY -32,605,115.28[2] - The total operating profit for Q1 2022 was -39,815,704.50 CNY, slightly improved from -40,546,065.99 CNY in Q1 2021, representing a decrease of 1.8%[23] - The net profit for Q1 2022 was -32,073,817.66 CNY, compared to -38,264,237.74 CNY in Q1 2021, indicating an improvement of approximately 16.5%[23] - The total comprehensive income for Q1 2022 was -1,274,108,215.88 CNY, significantly worse than -429,440,641.78 CNY in Q1 2021, reflecting a decline of 196.5%[24] - Basic and diluted earnings per share for Q1 2022 were both -0.0087 CNY, an improvement from -0.0148 CNY in Q1 2021[24] Cash Flow - The net cash flow from operating activities increased significantly to CNY 3,038,823,824.90, a rise of 2,074.04% year-on-year[2] - Cash flow from operating activities for Q1 2022 was 139,777,625.94 CNY, compared to 311,632,331.11 CNY in Q1 2021, showing a decrease of 55.2%[27] - Cash flow from investing activities for Q1 2022 was -3,234,324,229.37 CNY, worsening from -48,174,149.16 CNY in Q1 2021, indicating a significant decline[29] - Cash flow from financing activities for Q1 2022 was 386,227,040.76 CNY, compared to -877,971,469.59 CNY in Q1 2021, marking a turnaround[29] - The company received 1,700,000,000.00 CNY in cash from borrowings in Q1 2022, up from 290,000,000.00 CNY in Q1 2021[29] Assets and Liabilities - Total assets at the end of the reporting period were CNY 47,990,875,566.16, an increase of 8.42% from the end of the previous year[3] - Total liabilities as of March 31, 2022, were CNY 30,594,165,303.76, up from CNY 25,594,590,394.26 at the end of 2021, indicating a rise of 19.2%[20] - The equity attributable to shareholders decreased to CNY 14,278,052,977.57, down by 8.03% compared to the previous year[3] - The company's total current assets reached CNY 29,359,039,956.60 as of March 31, 2022, an increase of 22.0% from CNY 24,081,724,836.35 at the end of 2021[17] Inventory and Current Assets - Inventory increased by 32.24% to CNY 6,509,824,057.64, reflecting the fulfillment of performance obligations not yet recognized as revenue[10] - Other current assets rose by 43.23% to CNY 254,692,675.13, primarily due to an increase in VAT receivables[10] - Cash and cash equivalents increased by 49.01% to CNY 14,246,156,416.77, attributed to higher net receipts from products[10] Shareholder Information - The total number of common stock shareholders at the end of the reporting period was 90,609[13] - The largest shareholder, HKSCC Nominees Limited, holds 41.69% of the shares, totaling 589,336,488 shares[14] Investment and Other Income - The investment income turned positive with a reported CNY 6,558,255.26, compared to a loss of CNY 8,090,310.36 in the previous year[11] - The fair value change income from financial assets increased to CNY 31,101,590.89, compared to a loss of CNY 19,930,918.96 last year[11] - The company's other comprehensive income decreased by 66.23% to CNY 629,377,482.83, primarily due to changes in the fair value of stocks[11] Borrowings and Contract Liabilities - Short-term borrowings rose by 38.37% to CNY 2,649,635,572.47, indicating an increase in borrowing balance[11] - Contract liabilities increased by 48.54% to CNY 13,886,772,526.78, reflecting a rise in advance payments for products[11] Research and Development - Research and development expenses in Q1 2022 amounted to CNY 94,030,060.04, an increase of 10.1% from CNY 85,307,012.11 in Q1 2021[22]

Financial Performance - The company reported a significant increase in revenue, with total revenue reaching RMB 8.5 billion, marking a year-on-year growth of 15%[7]. - The company’s net profit for the year was reported at RMB 79.5 million, showing a decrease of 5% from the previous year[7]. - The company achieved operating revenue of RMB 11.67 billion in 2021, a year-on-year increase of 0.54%[13]. - The net profit attributable to shareholders was RMB 0.79 billion, a significant decrease of 97.83% compared to the previous year[15]. - The total profit amounted to RMB 115 million, a significant decrease of 96.85% year-on-year[29]. - The company reported a significant increase in revenue, achieving a total of 38 billion RMB for the fiscal year 2021, representing a growth of 15% compared to the previous year[95]. - The company reported a significant increase in revenue, achieving a total of 40 billion RMB for the fiscal year 2021[97]. Cash Flow and Dividends - The company plans to distribute a cash dividend of RMB 1.38 per 10 shares, totaling approximately RMB 195.06 million, which represents 245.71% of the net profit attributable to shareholders for the year[5]. - The company has maintained a strong cash position, with cash and cash equivalents amounting to RMB 1.2 billion at the end of the reporting period[7]. - The net cash flow from operating activities improved significantly to RMB 4.365 billion, an increase of RMB 5.39 billion year-on-year[15]. - The net cash flow from operating activities was RMB 4.37 billion, an increase of RMB 5.39 billion year-on-year, mainly due to higher ship progress payments received[49]. Assets and Liabilities - The company’s total assets increased to RMB 12 billion, reflecting a growth of 10% compared to the previous year[7]. - The total assets at the end of the reporting period amounted to 9,348,839,525.55 RMB, with a significant increase in trading financial assets by 210.94% to 3,281,028,607.57 RMB[51]. - The company’s long-term equity investment balance increased by 0.29% to 4,953,000,000 RMB compared to the beginning of the year[56]. - The company’s contract liabilities increased by 80.75% to 9,348,839,525.55 RMB, indicating a rise in pre-received payments[51]. - The company’s debt-to-asset ratio was 57.82%[168]. Research and Development - Research and development expenses increased by 4.59% to RMB 617 million, reflecting the company's commitment to innovation[30]. - The company applied for 493 patents during the reporting period, including 390 invention patents, and received authorization for 381 patents, of which 166 were invention patents[48]. - New product development initiatives are underway, with an investment of 500 million RMB allocated for R&D in advanced defense technologies[95]. - New product development initiatives are underway, with an investment of 500 million RMB allocated for R&D in advanced shipbuilding technologies[97]. Market Strategy and Expansion - The company is focusing on expanding its market presence and enhancing its product offerings through new technology development and strategic partnerships[5]. - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in market share within the next two years[95]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2025[98]. - The company is focusing on enhancing shipbuilding capabilities and transitioning towards green and intelligent manufacturing[67]. Environmental Responsibility - The company has committed to environmental and social responsibilities, integrating sustainability into its operational strategies[5]. - The company emphasizes its commitment to "green shipbuilding and harmonious development," integrating ecological protection into its decision-making processes[136]. - The company purchased poverty alleviation agricultural products totaling CNY 2,190,127 to enhance the self-development capabilities of targeted assistance recipients[139]. - The company has developed an emergency response plan for environmental incidents and conducted multiple drills[133]. Corporate Governance - The board of directors consists of 11 members, including 3 executive directors and 4 independent non-executive directors, ensuring compliance with the requirement of at least three independent non-executive directors as per the listing rules[76]. - The company has adopted the corporate governance code and strictly adheres to the principles and provisions outlined in the code during the reporting period[76]. - The company encourages directors and senior management to participate in professional development training related to corporate governance and listing rules, ensuring compliance with regulatory requirements[77]. - The company has maintained effective communication with shareholders and has ensured that all board resolutions are legally valid and comply with applicable laws and regulations[76]. Risk Management - The company emphasizes the importance of risk management and has detailed potential risks in its board report[5]. - The company faces financial risks related to exchange rate fluctuations, particularly for export ship orders priced in USD, and will implement risk management strategies[70]. - The company anticipates challenges from rising domestic steel prices and labor costs, which may impact product construction costs in 2022[72]. Related Party Transactions - The company confirmed that all related transactions are conducted under normal commercial terms and are in the overall interest of shareholders[151]. - The company has a policy of monthly monitoring of ongoing related party transactions and reports to the board[89]. - The company has no significant litigation or arbitration matters for the year[149]. Employee Management - The company reported a total of 7,465 employees, with 5,065 retirees requiring financial support, indicating a significant workforce management challenge[111]. - The company has a total of 3,944 production staff and 2,401 technical personnel, highlighting a strong emphasis on production and technical capabilities[112]. - The total pre-tax compensation for senior management during the reporting period amounted to CNY 6.30 million[93]. Financial Management - The company has a total of 6 entrusted loans with various start and end dates, the latest being on 2024/3/23[165]. - The company has a projected expected return of RMB 30,660,000.00 from its entrusted loans[165]. - The company has confirmed that the entrusted loans will be repaid at maturity with quarterly interest payments[165].

Dividend Distribution - The company plans to distribute a cash dividend of RMB 1.38 per 10 shares, totaling RMB 195,063,880.16, which represents 245.71% of the net profit attributable to the parent company's shareholders for the year[3] - Proposed cash dividend per 10 shares: 1.38 RMB (tax included)[126] - Total cash dividend proposed: 195.06 million RMB (tax included)[126] - Dividend payout ratio: 245.71% of net profit attributable to parent company shareholders[126] Share Capital and Structure - The total share capital of the company as of December 31, 2021, is 1,413,506,378 shares[3] - Total shares outstanding as of December 31, 2021: 1,413,506,378 shares[126] - The company's share capital structure remained unchanged during the reporting period[179] - The company did not issue any new securities during the reporting period[179] Company Address and Listing Information - The company's registered and office address is located at 15th Floor, Ship Building, 137 Ge Xin Road, Haizhu District, Guangzhou, China[11] - The company's A-share is listed on the Shanghai Stock Exchange with the stock code 600685, and its H-share is listed on the Hong Kong Stock Exchange with the stock code 00317[13] Annual Report Disclosure - The company's annual report is disclosed on media platforms including "China Securities Journal" (www.cs.com.cn) and "Securities Daily" (www.zqrb.cn)[12] - The company's annual report is also available on the Shanghai Stock Exchange website (www.sse.com.cn) and the Hong Kong Stock Exchange website (www.hkexnews.hk)[12] Auditors and Financial Advisors - The company's auditor is Ernst & Young Hua Ming LLP, with signing accountants Liang Qianhai and Lu Li[14] - The company's financial advisor during the reporting period is Shenwan Hongyuan Securities, with financial advisors Qin Mingzheng and Wang Peng[14] Controlling Shareholder and Subsidiaries - The company's controlling shareholder is China State Shipbuilding Corporation Limited (CSSC)[8] - The company's subsidiary, Huangpu Wenchong Shipbuilding Co., Ltd., holds a 54.5371% stake in the company[8] Financial Performance - Revenue for 2021 was RMB 116.72 billion, a slight increase of 0.54% compared to the previous year[16] - Net profit attributable to shareholders in 2021 was RMB 79.39 million, a significant decrease of 97.83% year-on-year, primarily due to the one-time gain from the disposal of equity in Guangzhou Shipyard International and Chengxi Yangzhou in the previous year[16] - Operating cash flow for 2021 was RMB 4.37 billion, a substantial improvement of RMB 5.39 billion compared to the previous year, driven by increased shipbuilding progress payments[16] - Total assets at the end of 2021 were RMB 44.27 billion, an increase of 13.68% compared to the end of 2020[15] - Net assets attributable to shareholders at the end of 2021 were RMB 15.52 billion, an increase of 7.57% compared to the end of 2020, mainly due to the appreciation of China Shipbuilding stocks and dividends[16] - Basic earnings per share for 2021 were RMB 0.0562, a decrease of 97.83% compared to the previous year[16] - Weighted average return on equity (ROE) for 2021 was 0.53%, a decrease of 30.21 percentage points compared to the previous year, largely due to the one-time gain from equity disposals in the previous year[16] - Revenue for Q4 2021 was RMB 4.83 billion, the highest among all quarters, contributing significantly to the annual revenue[19] - Government subsidies received in 2021 amounted to RMB 77.01 million, a decrease from RMB 138.13 million in 2020[20] - The company's state-owned exclusive capital reserve balance at the end of 2021 was RMB 521 million, primarily from state-allocated funds for infrastructure projects[16] - The company achieved operating revenue of 11.672 billion yuan, a year-on-year increase of 0.54%, driven by the recovery of the global shipping market[30] - The company received orders worth 32.524 billion yuan, a year-on-year increase of 248.3%, including 85 new ship orders across 17 types[26] - The company delivered 35 ships and 2 offshore platforms, totaling 944,300 deadweight tons, and completed the annual delivery task ahead of schedule[27] - The company's net profit attributable to shareholders was 79 million yuan, with a non-recurring profit increase of 232 million yuan[27] - The company's trading financial assets increased by 2.225 billion yuan, reaching 3.281 billion yuan at the end of the period[24] - The company's other equity instrument investments increased by 1.556 billion yuan, reaching 5.480 billion yuan at the end of the period[24] - The company's total non-recurring profit and loss amounted to 3.945 billion yuan, with a minority shareholder impact of 621.687 million yuan[22] - The company's government subsidies, including first-set insurance subsidies and financial interest subsidies, totaled 38.256 million yuan[23] - The company's shipbuilding industry benefited from the recovery of the global new shipbuilding market, with significant increases in order intake and delivery[25] - The company's main products include military ships, offshore engineering platforms, and wind power installation platforms, with no major changes in core business during the reporting period[29] - The company delivered 35 ships and 2 offshore platforms, totaling 944,300 deadweight tons, with operating revenue of 11.672 billion yuan, a year-on-year increase of 0.54%[32] - Net profit attributable to shareholders of the listed company was 79 million yuan, a year-on-year decrease of 3.583 billion yuan[32] - R&D expenses increased by 4.59% to 617.47 million yuan, reflecting increased investment in R&D efforts[33] - Operating cash flow increased significantly to 4.365 billion yuan, primarily due to higher progress payments received for ships[34] - The company's gross profit margin for shipbuilding products increased by 5.59 percentage points to 9.22%[36] - Bulk carrier business revenue decreased by 81.43% to 182.49 million yuan, but gross margin improved by 20.15 percentage points[36] - The company has 11 provincial and ministerial-level technological innovation platforms, including a national enterprise technology center and a postdoctoral research workstation[31] - The company maintains leading positions in domestic markets for military vessels, official ships, and new-generation large ocean rescue ships[31] - Sales expenses surged by 837.23% to 131.97 million yuan, mainly due to increased warranty provisions for completed ships[33] - Financial expenses decreased by 270.99% to -40.74 million yuan, primarily due to reduced net exchange losses from currency fluctuations[34] - Shipbuilding business revenue decreased by 2.83% to RMB 9.192 billion, with a gross margin increase of 5.59 percentage points to 9.22%[38] - Offshore business revenue turned positive, increasing by RMB 648 million compared to the previous year, reaching RMB 356 million[38] - Steel structure engineering business revenue increased by 0.89% to RMB 1.637 billion, with a gross margin of 10.68%, up by 0.86 percentage points[38] - Ship repair and modification business revenue decreased by 72.45% to RMB 124 million, with a gross margin decline of 10.59 percentage points to 7.87%[38] - Revenue from the Chinese market (including Hong Kong, Macau, and Taiwan) increased by 32.75%, while revenue from overseas markets decreased by 88.14%[38] - Shipbuilding production and sales volume decreased by 7.69% to 944,300 deadweight tons, with no inventory[39] - Steel structure production and sales volume increased by 6.70% to 137,000 tons, with no inventory[39] - Direct material costs for shipbuilding products decreased by 4.83% to RMB 643.393 million, accounting for 62.07% of total costs[42] - Processing costs for shipbuilding products decreased by 23.62% to RMB 191.967 million, accounting for 18.52% of total costs[42] - Impairment losses for shipbuilding products decreased significantly, with a change of 60.98% compared to the previous year[42] - Direct material costs for steel structure engineering decreased by 16.98% to RMB 732.56 million, while processing costs increased by 25.59% to RMB 729.92 million[43][44] - Ship repair and modification business saw a 75.69% decrease in direct material costs to RMB 18.48 million and a 67.09% decrease in processing costs to RMB 95.54 million[43][44] - Top five customers accounted for 65.97% of total annual sales, with no sales to related parties[45] - Top five suppliers accounted for 55.75% of total annual procurement, with 51.60% from related parties[47] - Sales expenses increased by 837.23% to RMB 131.97 million due to higher warranty fees for completed ships[48][49] - R&D expenses increased by 4.59% to RMB 617.47 million, accounting for 5.29% of total revenue[49][50] - The company has 1,264 R&D personnel, representing 16.4% of total employees, with 1,067 holding bachelor's degrees[51] - The company applied for 493 patents, including 390 invention patents, and was granted 381 patents, including 166 invention patents[52] - Operating cash flow increased by RMB 5.39 billion to RMB 4.37 billion, mainly due to higher ship progress payments received[53][54] - Investment cash flow was RMB -3.38 billion, an increase of RMB 88.76 million compared to the previous year[53][54] - Net cash flow from financing activities was -1,265,815,567.34 yuan, a decrease of 456,510,546.73 yuan compared to the previous year[55] - Trading financial assets increased by 210.94% to 3,281,028,607.57 yuan, accounting for 7.41% of total assets[56] - Contract liabilities increased by 80.75% to 9,348,839,525.55 yuan, accounting for 21.12% of total assets[57] - Global new ship orders reached 1671 ships and 11984 million deadweight tons, a year-on-year increase of 77.1%[58] - The Clarkson New Ship Price Index rose to 154 points, an increase of 28 points year-on-year[58] - Container ship orders surged by 326.9% to 548 ships and 4499 million deadweight tons[58] - Long-term equity investment balance increased by 0.29% to 4.953 billion yuan[60] - Restricted monetary funds amounted to 4,143,341,806.60 yuan, to be released upon contract fulfillment[58] - Overseas assets totaled 722,229,545.46 yuan, accounting for 1.63% of total assets[57] - Other comprehensive income increased by 166.62% to 1,863,752,512.56 yuan, driven by a significant rise in China Shipbuilding's stock price[57] - The fair value of trading financial assets increased by RMB 2,225,837,362.86, reaching RMB 3,281,028,607.57 at the end of the period, with an impact on current profit of RMB 119,714,954.46[62] - The company has 122 outstanding USD forward exchange contracts totaling USD 1,291.77 million, with the longest settlement period extending to October 25, 2026[63] - The fair value of financial assets measured at fair value at the end of the reporting period was RMB 8,953,885,977.70, with an impact on current profit of RMB 129,123,019.19[64] - The fair value of other equity instrument investments increased by RMB 1,556,221,035.45, reaching RMB 5,480,001,529.79 at the end of the period, with dividend income of RMB 9,408,064.73[64] - The company sold 41% of its equity in Guangzhou Xinhang Human Resources Service Co., Ltd., resulting in an investment income of RMB 465,400[67] - Zhongship Huangpu Wenchong Shipbuilding Co., Ltd. reported a net loss of RMB 70.85 million, primarily due to product structure adjustments and lower gross margins on some products[68] - Guangzhou Wenchong Shipyard Co., Ltd. achieved a net profit of RMB 53.54 million, turning around from a loss in the previous year due to cost control and efficiency improvements[68] - Guangzhou Huangchuan Marine Engineering Co., Ltd. reported a net profit of RMB 61.91 million, also turning around from a loss in the previous year[68] - The company's total financial assets measured at fair value amounted to RMB 8,953,885,977.70, with a total impact on current profit of RMB 129,123,019.19[64] - The company's trading financial assets had a fair value of RMB 3,102,524,300 at the end of the reporting period, with a total fair value change and investment income of RMB 28,811,800[64] - Global new shipbuilding market demand is expected to slightly adjust to around 90 million deadweight tons in 2022, with a total value of $85 billion[70] - Global offshore equipment new construction demand is expected to rise to $12 billion in 2022, a 20% increase compared to 2021[71] - The company achieved revenue of RMB 11.672 billion in 2021, completing 104.21% of the annual plan, with contract承接金额 of RMB 32.524 billion, completing 248.27% of the annual plan[73] - The company plans to achieve revenue of RMB 11.7 billion and contract承接金额 of RMB 11.46 billion in 2022[73] - The company faces financial risks including exchange rate and interest rate risks, with potential impacts from fluctuations in the USD exchange rate and market interest rates[75] - Customer risks include potential delays in payments, contract modifications, or even order cancellations due to economic and pandemic-related factors[75] - Cost risks are expected due to high domestic steel prices and rising labor costs, which may increase production costs and impact profitability[75] - The company aims to optimize product structure and increase the proportion of high-value-added products to mitigate cost fluctuations[75] - The company is focusing on green and intelligent transformation in shipbuilding, aiming to enhance competitiveness in high-tech and high-value-added sectors[71] - The company is committed to becoming a world-class marine equipment manufacturer, integrating R&D, manufacturing, and services, and aligning with national strategies such as the Belt and Road Initiative[72] - The company held a total of 8 board meetings in 2021, including 2 on-site meetings and 6 teleconference meetings, and issued 4 periodic reports and 33 interim announcements[79] - The company's board of directors conducted an annual internal control review to ensure the effectiveness of the internal control system[80] - All directors confirmed compliance with the standard code for securities transactions and no violations occurred during sensitive periods in 2021[81] - The company's board of directors established four specialized committees: Audit, Nomination, Remuneration and Assessment, and Strategy[83] - The Audit Committee held 6 meetings in 2021 to review financial reports, internal controls, and related party transactions[84] - The Nomination Committee held 1 meeting in 2021 to review and approve the nomination of non-executive director candidates[85] - The Remuneration and Assessment Committee held 2 meetings in 2021 to review and approve senior management compensation and performance evaluations[86] - The Strategy Committee held 1 meeting in 2021 to discuss the company's next phase of strategic planning[87] - The company maintains continuous communication with shareholders and holds annual general meetings as the primary opportunity for shareholder engagement[89] - The company has established multiple channels for continuous communication with shareholders, including printed materials, disclosures on the HKEX website, and the company's own website[90][91] - Shareholders holding 10% or more of the company's shares can request a temporary shareholders' meeting, with the board required to respond within 10 days[92] - The company will cover the necessary expenses for shareholders who independently convene a shareholders' meeting[93] - Shareholders can access various company information, including shareholder registers, director profiles, and financial reports, after paying a reasonable fee[94] - Shareholders holding 3% or more of the company's shares can propose temporary agenda items for the shareholders' meeting 10 days in advance[95] - The company maintained independence from its controlling shareholder, China State Shipbuilding Corporation (CSSC), in 2021, with no instances of interference in decision-making[96] - CSSC proposed to exempt the third step of its commitment to avoid competition with the company, which was approved at the 2021 first temporary shareholders' meeting[96][97] - The 2020 annual shareholders' meeting approved the 2020 annual report, financial statements, and profit distribution plan[98] - The 2021 first temporary shareholders' meeting approved the exemption of CSSC's commitment to avoid competition and the appointment of the 2021 financial report auditor[98] - The 2021 second temporary shareholders' meeting approved revisions to the company's articles of association and election of directors[98] - The company held its 2020 Annual General Meeting, approving the 2020 Board of Directors Report, 2020 Supervisory Committee Report, 2020 Annual Report (including financial statements), 2020 Profit Distribution Plan, and the framework proposal for the company and its subsidiaries to provide guarantees and their amounts in 2021[99] - The 2021 First Extraordinary General Meeting approved the proposal for the controlling shareholder to be exempted from fulfilling Step 3 of the "Further Avoidance of Industry Competition Commitment" and the proposal to appoint the company's 2021 financial report audit institution[99] - The 2021 Second Extraordinary General Meeting approved amendments to the "Articles of Association," "Rules of Procedure for Shareholders' Meetings," and "Rules of Procedure for the Board of Directors," as well as the election of company directors[99] - The 2021

Financial Performance - The company's operating revenue for Q3 2021 was ¥2,126,077,814.68, a decrease of 8.91% compared to the same period last year[4]. - The net profit attributable to shareholders for Q3 2021 was ¥101,142,187.09, down 53.07% year-on-year[4]. - The basic earnings per share for Q3 2021 was ¥0.0715, reflecting a decline of 53.11% compared to the same period last year[5]. - Net profit for the first three quarters of 2021 was a loss of ¥19,864,529.54, compared to a profit of ¥3,142,326,965.67 in the same period of 2020[21]. - The company achieved a total comprehensive income of ¥1,194,223,371.63, down from ¥4,006,997,402.61 in the previous year[21]. - Basic earnings per share decreased to ¥0.0043 from ¥2.3476, reflecting a significant decline[21]. Assets and Liabilities - The total assets at the end of Q3 2021 amounted to ¥39,399,438,726.30, representing a 1.19% increase from the end of the previous year[5]. - The equity attributable to shareholders increased by 7.39% year-on-year, reaching ¥15,499,275,290.97[5]. - As of September 30, 2021, total current assets decreased to ¥19.62 billion from ¥21.80 billion as of December 31, 2020, representing a decline of approximately 10.00%[16]. - Total non-current assets increased to ¥19.78 billion from ¥17.14 billion, reflecting an increase of approximately 15.00%[17]. - Total current liabilities decreased to ¥17.18 billion from ¥18.50 billion, a decline of approximately 7.10%[18]. - Total liabilities amounted to ¥20.81 billion, down from ¥21.39 billion, showing a decrease of about 2.70%[18]. - Shareholders' equity attributable to the parent company increased to ¥15.50 billion from ¥14.43 billion, an increase of approximately 7.39%[18]. Cash Flow - Cash flow from operating activities showed a net outflow of ¥1,179,912,551.66, an improvement compared to the previous year's outflow of ¥2,820,280,788.72[11]. - The company reported a net cash outflow from operating activities of ¥1,179,912,551.66, an improvement from a net outflow of ¥2,820,280,788.72 in the previous year[22]. - Cash received from sales of goods and services increased to ¥8,971,729,350.43 from ¥7,004,157,324.94, representing a growth of 28.14%[22]. - Cash inflow from financing activities totaled $2.59 billion, down from $3.98 billion year-over-year[23]. - The net increase in cash and cash equivalents was a decrease of $2.52 billion, compared to a decrease of $8.15 billion in the previous period[23]. - The ending balance of cash and cash equivalents was $3.20 billion, down from $2.53 billion in the previous period[23]. Investments and Other Income - Non-recurring gains and losses for Q3 2021 totaled ¥10,009,071.50, with significant contributions from government subsidies and asset disposals[7]. - The fair value of other equity investments rose by 41.22% to ¥5,540,974,980.30, driven by the appreciation of shares in China Shipbuilding Industry Corporation[9]. - The company received government subsidies totaling ¥38,256,106.20, which are closely related to its operations[8]. - Investment income plummeted by 99.41% to ¥21,443,356.48, due to the previous year's recognition of equity investment income from the disposal of subsidiaries[11]. - Other income increased to ¥59,525,716.12 from ¥26,327,688.48, showing a growth of 126.00%[20]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 104,523, with the top ten shareholders holding significant stakes[12]. - HKSCC NOMINEES LIMITED held 41.69% of shares, totaling 589,282,888 shares[12].

Financial Performance - The company's operating revenue for the first half of 2021 was approximately RMB 4.72 billion, representing a year-on-year increase of 9.88% compared to RMB 4.29 billion in the same period last year[17]. - The net profit attributable to shareholders of the listed company for the first half of 2021 was a loss of approximately RMB 95.04 million, a significant decrease of 103.06% compared to a profit of RMB 3.10 billion in the same period last year[17]. - The basic earnings per share for the first half of 2021 was -0.0672 RMB per share, a decrease of 103.06% from 2.1951 RMB per share in the same period last year[18]. - The company reported a net profit attributable to shareholders of RMB -0.95 billion, a decrease of RMB 31.98 billion year-on-year[19]. - The basic earnings per share, excluding non-recurring gains and losses, was RMB -0.0958, an increase of RMB 0.1157 year-on-year[19]. - The company achieved a total operating revenue of RMB 4.718 billion, an increase of 9.88% year-on-year, driven by improved production efficiency and output[24]. - The company reported a significant increase in sales expenses by 50.62% due to various factors, including previous year's data impacts[31]. - The company reported a total profit of RMB -157,470,493.25 for the first half of 2021, a significant decline from RMB 2,960,004,574.96 in the first half of 2020[99]. - The comprehensive income total for the first half of 2021 was a loss of RMB 351,616,935.00, significantly down from RMB 3,643,931,550.64 in the same period of 2020[100]. Cash Flow and Assets - The net cash flow from operating activities for the first half of 2021 was a negative RMB 1.04 billion, compared to a negative RMB 2.74 billion in the same period last year[17]. - The cash flow from operating activities showed a net outflow of RMB 1,037,725,605.50 in the first half of 2021, improving from a net outflow of RMB 2,737,517,979.55 in the first half of 2020[103]. - The total cash inflow from operating activities was RMB 6,777,017,800.22, while cash outflow was RMB 7,814,743,405.72 in the first half of 2021[103]. - The company’s cash flow from operating activities was significantly impacted, with total cash outflow reaching 22,345,270.12 RMB compared to 89,786,173.03 RMB in the previous year, indicating a reduction of about 75%[106]. - The total assets at the end of the reporting period were approximately RMB 36.64 billion, down 5.90% from RMB 38.94 billion at the end of the previous year[17]. - The company reported a total equity of 17,048,025,015.00 RMB at the end of the reporting period, a decrease from 17,551,142,237.73 RMB at the end of the previous year, reflecting a decline of approximately 2.9%[107]. Investment and R&D - The company has 11 provincial and national-level technology innovation platforms, enhancing its R&D capabilities[26]. - The company focuses on developing high-tech, high-value-added products, particularly in green and energy-efficient ship types[26]. - R&D expenses increased due to higher investment from Huangpu Wenchong and the impact of data from Guangzhou Shipyard International in the same period last year[32]. - The company reported a significant decrease in research and development expenses, with no specific amount listed for the first half of 2021 compared to RMB 9,480,805.67 in the first half of 2020[102]. Risks and Challenges - The company has outlined potential risks in its report, which investors should be aware of[3]. - The company is facing financial risks including exchange rate and interest rate risks, which may affect cash flow and asset values[44]. - The company is implementing cost control measures to mitigate risks associated with rising labor and raw material costs[46]. - The company continues to focus on refining management and improving production efficiency to counteract the impacts of the pandemic[43]. Corporate Governance and Compliance - The company has committed to maintaining independent financial operations and governance structures, ensuring no interference from controlling entities in financial decision-making[62]. - The company has no changes in directors, supervisors, or senior management during the reporting period[49]. - The company’s governance structure is in compliance with relevant laws and regulations, ensuring accurate and timely information disclosure[79]. - The board of directors held a total of 3 meetings during the reporting period, with full attendance[81]. Environmental Responsibility - The company is listed as a key pollutant discharge unit by the Guangzhou Ecological Environment Bureau, with three subsidiaries included in the 2021 list[50]. - The company adheres to environmental protection laws and has obtained environmental impact assessment approvals for its projects[55]. - The company is actively implementing measures to reduce carbon emissions, including the construction of photovoltaic power generation and shore power transformation projects, promoting the use of clean energy[59]. Strategic Restructuring - The company is planning a strategic restructuring with China Shipbuilding Group and other partners[66]. - The restructuring involves the acquisition of 100% equity of Jiangnan Shipyard and other significant assets[66]. - The company aims to establish a new power group through the restructuring, enhancing its market position[66]. - The company will maintain its independence in assets, personnel, and operations following the restructuring[65]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period was 110,251[85]. - HKSCC NOMINEES LIMITED holds 589,301,088 shares, accounting for 41.69% of total shares[86]. - 中國船舶工業集團有限公司 has decreased its holdings by 4,350,000 shares, now holding 481,337,700 shares, representing 34.05%[86]. - The total number of shares held by the top ten unrestricted shareholders is 1,089,000,000 shares[87].

Financial Performance - The company's operating revenue for the first half of 2021 was ¥4,717,550,453.48, representing a 9.88% increase compared to ¥4,293,181,183.56 in the same period last year[15]. - The net profit attributable to shareholders of the listed company was -¥95,042,597.22, a decrease of 103.06% from ¥3,102,837,570.74 in the previous year[15]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥135,379,996.15, with no comparable data available from the previous year[15]. - The net cash flow from operating activities was -¥1,037,725,605.50, compared to -¥2,737,517,979.55 in the same period last year[15]. - The net profit for the first half of 2021 was a loss of RMB 151,253,576.28, compared to a net profit of RMB 2,943,761,578.57 in the first half of 2020[98]. - The company's gross profit margin decreased significantly, with operating profit recorded at -RMB 159,717,394.46 compared to RMB 2,957,453,725.58 in the previous year[98]. - The company reported a significant decline in investment income, with a loss of RMB 44,619,140.14 in the first half of 2021, compared to a profit of RMB 1,248,495,717.54 in the same period of 2020[99]. Assets and Liabilities - The net assets attributable to shareholders of the listed company decreased by 3.07% to ¥13,989,242,518.56 from ¥14,432,091,546.69 at the end of the previous year[15]. - Total assets decreased by 5.90% to ¥36,641,336,170.07 from ¥38,937,517,272.52 at the end of the previous year[15]. - Cash and cash equivalents at the end of the period amounted to ¥6,451,840,803.25, representing 17.61% of total assets, a decrease of 26.41% compared to the previous year[31]. - The company's total liabilities included contract liabilities of ¥6,423,632,630.53, which is 17.53% of total assets, an increase of 24.19% year-over-year[31]. - The total liabilities as of June 30, 2021, were RMB 1,071,950,776.21, an increase from RMB 1,022,321,760.34 at the end of 2020[97]. - The total equity decreased to RMB 17,048,025,015.00 from RMB 17,551,142,237.73, a decline of about 2.9%[95]. Cash Flow - The cash flow from operating activities showed a net outflow of RMB 1,037,725,605.50, an improvement from the previous year's outflow of RMB 2,738 billion[28]. - Cash inflow from operating activities totaled RMB 6,777,017,800.22, up from RMB 5,571,850,151.31 in the same period of 2020[100]. - Cash outflow from operating activities was RMB 7,814,743,405.72, a decrease from RMB 8,309,368,130.86 in the first half of 2020[100]. - Cash flow from investing activities generated a net inflow of RMB 92,966,986.81, compared to a net outflow of RMB 4,999,087,021.99 in the first half of 2020[100]. - Cash flow from financing activities resulted in a net outflow of RMB 1,307,153,516.09, contrasting with a net inflow of RMB 291,627,450.31 in the same period of 2020[100]. Research and Development - The company has established 11 provincial and national-level technology innovation platforms, enhancing its research and development capabilities in marine engineering and shipbuilding[24]. - Research and development expenses were RMB 245.72 million, a decrease of 2.40% year-on-year[28]. - Research and development expenses for the first half of 2021 were RMB 245,716,359.22, slightly down from RMB 251,764,193.06 in the same period of 2020[98]. Market Position and Strategy - The company maintains a leading market position in the domestic and international markets for its main products, particularly in the segment of feeder container ships and dredging engineering vessels[24]. - The company plans to continue product improvement and optimization, focusing on high-tech and high-value-added products to better meet customer needs[24]. - The company aims to enhance its core competitiveness in research and development and construction technology to explore new growth points and improve profitability[24]. Environmental Responsibility - The company emphasizes environmental responsibility by integrating eco-friendly practices into decision-making and investing in high-tech marine engineering equipment to minimize environmental impact[59]. - The company has implemented an emergency response plan for environmental incidents and conducted multiple drills[56]. - The company conducts quarterly monitoring of air, water, and noise emissions to ensure compliance with environmental standards[57]. Corporate Governance - The company has appointed Lixin as the auditor for the 2021 financial report, with an audit fee of RMB 1.05 million[69]. - The company’s governance structure complies with the relevant laws and regulations, with no significant discrepancies noted[83]. - The board of directors held three meetings during the reporting period, with full attendance[83]. Shareholder Information - The company has 110,251 ordinary shareholders as of the end of the reporting period[86]. - The top ten shareholders hold a total of 589,301,088 shares, representing 41.69% of the total shares[87]. - China Shipbuilding Industry Group Co., Ltd. decreased its holdings by 4,350,000 shares, holding 481,337,700 shares, or 34.05%[87]. Risk Management - The company has detailed the potential risks in the management discussion and analysis section of the report[5]. - The company is actively managing foreign exchange and interest rate risks to safeguard its financial stability[44]. - The company plans to enhance cost control measures to mitigate risks associated with rising material costs and labor expenses[44].