Core Viewpoint - The company has established a public opinion management system to enhance its ability to respond to various public opinions, protect investor rights, and mitigate impacts on stock prices and business reputation [2][3]. Group 1: Public Opinion Definition and Classification - Public opinion includes negative media reports, rumors that may harm the company, information affecting investor decisions, and other events impacting stock prices [3]. - Public opinion is classified into major public opinion, which significantly affects the company's image or operations, and general public opinion, which is less impactful [3]. Group 2: Organizational Structure and Responsibilities - The company has formed a public opinion management working group led by the chairman, with the board secretary as the deputy leader, to coordinate responses to public opinion [4]. - Subsidiary heads are responsible for managing public opinion related to their areas and must report to the working group [4]. Group 3: Principles and Measures for Handling Public Opinion - The company emphasizes quick response, coordinated communication, proactive engagement, and fair treatment in managing public opinion [6][11]. - For major public opinion incidents, the working group will investigate, communicate with media, enhance investor communication, and issue clarifications as necessary [14][8]. Group 4: Confidentiality and Accountability - Employees and related personnel have confidentiality obligations regarding public opinion information and must not disclose it before legal disclosure [15]. - Violations of confidentiality may lead to internal penalties or legal actions against responsible parties [15][17]. Group 5: Implementation and Amendments - The public opinion management system will be effective upon approval by the board and will be revised as necessary [19][20].

浙江京华激光科技股份有限公司 董事和高级管理人员薪酬管理制度 第一章 总 则 第一条 为进一步完善浙江京华激光科技股份有限公司（以下简称"公司"） 治理结构，加强和规范公司董事和高级管理人员薪酬的管理，科学、客观、公正、 规范地评价公司董事、高级管理人员的经营业绩，建立和完善有效的激励与约束 机制，充分调动董事、高级管理人员的工作积极性和创造性，促进公司的持续健 康发展，根据《中华人民共和国公司法》（以下简称"《公司法》"）、《中华 人民共和国证券法》（以下简称"《证券法》"）等有关法律、法规、规章、规 范性文件及《浙江京华激光科技股份有限公司章程》（以下简称"《公司章程》"） 的有关规定，结合公司实际情况，制定《浙江京华激光科技股份有限公司董事、 高级管理人员薪酬管理制度》（以下简称"本制度"）。 第二条 本制度所称董事、高级管理人员是指由股东会或董事会批准任命的 全体董事、总经理、副总经理、董事会秘书、财务总监等高级管理人员。 第三条 公司董事、高级管理人员的薪酬以公司经营与综合管理情况为基础， 根据经营计划完成情况、分管工作职责及工作目标完成情况、个人履职及发展情 况相结合进行综合考核确定薪酬。 第二章 ...

浙江京华激光科技股份有限公司 市值管理制度 第一章 总则 第一条 为加强浙江京华激光科技股份有限公司（以下简称"公司"）市值管 理，切实推动公司投资价值提升，增强投资者回报，维护投资者利益，根据《中 华人民共和国公司法》《中华人民共和国证券法》《上市公司信息披露管理办法》 《上市公司监管指引第 10 号——市值管理》等法律法规、规范性文件和《浙江 京华激光科技股份有限公司章程》 （以下简称"《公司章程》"）等规定，制定本制 度。 第二条 本制度所称市值管理，是指公司以提高公司质量为基础，为提升公 司投资价值和股东回报能力而实施的战略管理行为。 （三）科学性原则：公司应当依据市值管理的规律进行科学管理，科学研判 影响公司投资价值的关键性因素，以提升公司质量为基础开展市值管理工作。 （四）常态性原则：公司应当及时关注资本市场及公司股价动态，常态化主 动跟进开展市值管理工作。 （五）诚实守信原则：公司在市值管理活动中应当注重诚信、坚守底线、担 当责任，营造健康良好的市场生态。 第二章 市值管理机构和人员 第四条 市值管理工作由董事会领导负责、经营管理层参与，董事会秘书是 市值管理工作的具体负责人。公司董秘办是市值管 ...

Company Overview - Zhejiang Jinghua Laser Technology Co., Ltd. is listed on the Shanghai Stock Exchange with the stock code 603607 [2] - The company is located at No. 89, Zhongshan Road, Yuecheng District, Shaoxing City, Zhejiang Province [2] Financial Performance - Total assets decreased by 18.02% from the previous year, amounting to approximately 1.39 billion RMB [2] - Net assets attributable to shareholders decreased by 4.07%, totaling approximately 984.71 million RMB [2] - Operating revenue increased by 19.61% year-on-year, reaching approximately 453.93 million RMB [2] - Total profit rose by 31.92% compared to the previous year, amounting to approximately 54.71 million RMB [2] - Net profit attributable to shareholders increased by 15.43%, totaling approximately 47.58 million RMB [2] - Net cash flow from operating activities decreased significantly by 63.00%, amounting to approximately 14.48 million RMB [2] - The weighted average return on net assets increased by 0.6 percentage points to 4.60% [2] - Basic and diluted earnings per share increased by 17.39%, reaching 0.27 RMB per share [2] Shareholder Information - The total number of shareholders as of the report date is 29,680 [2] - The largest shareholder, Xing Sheng Investment, holds 31.63% of the shares [3] - Notable individual shareholders include Sun Jiancheng with 12.52% and Feng Yiping with 2.33% [3]

浙江京华激光科技股份有限公司 第四届董事会第二次会议决议公告 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。 一、董事会会议召开情况 证券代码：603607 证券简称：京华激光 公告编号：2025-022 浙江京华激光科技股份有限公司（以下简称"公司"）第四届董事会第二次 会议于 2025 年 8 月 27 日在公司会议室以现场结合通讯的方式召开，会议通知已 于 2025 年 8 月 15 日以书面形式发出，本次会议应出席董事 9 人，实际出席董事 法规和《公司章程》的规定，会议的召开合法有效。公司监事及高级管理人员列 席了本次会议。 二、董事会会议审议情况 具体内容详见同日在上海证券交易所网站（www.sse.com.cn）披露的《浙江 京华激光科技股份有限公司 2025 年半年度报告》 《浙江京华激光科技股份有限公 司 2025 年半年度报告摘要》。 本议案已经公司董事会审计委员会事前审核认可同意。审计委员会认为公司 《2025 年半年度报告》全文及摘要的编制和审议程序符合法律法规、 《公司章程》 年修订）、 《上海 ...

证券代码：603607 证券简称：京华激光 公告编号：2025-022 浙江京华激光科技股份有限公司 第四届董事会第二次会议决议公告 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。 一、董事会会议召开情况 浙江京华激光科技股份有限公司（以下简称"公司"）第四届董事会第二次 会议于 2025 年 8 月 27 日在公司会议室以现场结合通讯的方式召开，会议通知已 于 2025 年 8 月 15 日以书面形式发出，本次会议应出席董事 9 人，实际出席董事 9 人，会议由董事长孙建成先生主持，本次会议召开符合《公司法》等有关法律 法规和《公司章程》的规定，会议的召开合法有效。公司监事及高级管理人员列 席了本次会议。 二、董事会会议审议情况 1、 审议通过《<2025 年半年度报告>全文及摘要》 具体内容详见同日在上海证券交易所网站（www.sse.com.cn）披露的《浙江 京华激光科技股份有限公司 2025 年半年度报告》《浙江京华激光科技股份有限公 司 2025 年半年度报告摘要》。 本议案已经公司董事会审计委员会事前审核认 ...

证券代码：603607 证券简称：京华激光 公告编号：2025-026 浙江京华激光科技股份有限公司 关于董事、高级管理人员辞职暨补选非独立董事的公告 根据《公司法》《公司章程》等相关规定，马卫军先生、冯一红女士的辞职 报告自送达董事会之日起生效。马卫军先生、冯一红女士在任职期间勤勉尽责， 为公司的持续健康发展和规范运作做出了重要贡献，公司及公司董事会对马卫军 先生、冯一红女士在任职期间为公司所作出的贡献表示衷心的感谢！ 二、补选非独立董事情况 为完善公司治理结构、保证公司董事会工作的正常开展，公司于 2025 年 8 月 27 日召开第四届董事会第二次会议，审议通过《关于补选第四届董事会非独 立董事的议案》，董事会同意提名孙佳水先生（简历详见附件）为公司第四届董 事会非独立董事候选人，上述议案尚需提交公司股东大会审议，任期自股东大会 选举通过之日起至本届董事会届满之日止。 上述议案已经公司董事会提名委员会事前审核通过。董事会提名委员会审议 意见：我们审阅了非独立董事候选人孙佳水先生的个人履历等相关资料，其不存 在《公司法》《上海证券交易所上市公司自律监管指引第 1 号--规范运作》《公 司章程》等有关规定不 ...

浙江京华激光科技股份有限公司 内部控制总则 （一）公司董事会是公司内部控制制度的制定和有效执行的最高负责机构。 （二）公司总经理负责公司内部控制制度的具体建设和实施工作。 第一章 总则 第一条 目的： 为加强对浙江京华激光科技股份有限公司（以下简称"公司"）内部控制管 理，促进公司规范运作和健康发展，保护投资者合法权益，根据财政部《企业内 部控制基本规范》等相关法律法规及本公司有关规定，特制定本制度。 第二条 适用范围： 浙江京华激光科技股份有限公司所属相关部门、分公司、控股子公司、参股 公司参照执行。 第三条 定义： 内部控制，是由企业董事会、审计委员会、经理层和全体员工实施的、旨在 实现控制目标的过程。内部控制的目标是合理保证企业经营管理合法合规、资产 安全、财务报告及相关信息真实完整，提高经营效率和效果、促进企业实现发展 战略。 第四条 职责： （三）公司全体员工是公司内部控制制度的具体执行人。 第二章 制度规定 第一节 基本要求 1 第五条 公司内部控制涵盖公司经营管理的各个层级、各个方面和各项业 务环节。建立有效的内部控制，须达到以下基本要求： （1）目标设定：公司管理层根据风险偏好设定公司战略目标 ...

证券代码：603607 证券简称：京华激光 公告编号：2025-025 浙江京华激光科技股份有限公司 关于取消监事会并修订《公司章程》 及制定、修订公司部分治理制度的公告 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。 （二）《公司章程》的修订情况 根据上述情况及相关规定，结合公司实际情况，拟对《公司章程》部分条款进行 修订，具体修订如下： | 序号 | 原章程条款 | 修订后条款 | | --- | --- | --- | | 1 | 第一条 | 第一条 | | | 为维护公司、股东和债权人的合法权益，规范公司 | 为维护公司、股东、职工和债权人的合法权益，规 | | | 的组织和行为，根据《中华人民共和国公司法》（以下 | 范公司的组织和行为，根据《中华人民共和国公司法》 | | --- | --- | --- | | | 简称《公司法》）、《中华人民共和国证券法》（以下 | （以下简称《公司法》）、《中华人民共和国证券法》 | | | 简称《证券法》）和其他有关规定，制订本章程。 | （以下简称《证券法》）和其他有 ...

Section I Definitions [Definitions of Common Terms](index=4&type=section&id=%E7%AC%AC%E4%B8%80%E8%8A%82%20%E9%87%8A%E4%B9%89) This chapter defines common terms, company entities, and regulatory bodies, ensuring clarity for report readers - The reporting period refers to January 1, 2025, to June 30, 2025[14](index=14&type=chunk) Main Entity Definitions | Common Term | Meaning | | :--- | :--- | | Company, The Company, Jinghua Laser | Zhejiang Jinghua Laser Technology Co., Ltd. | | Jinghua Technology | Shaoxing Jinghua Laser Material Technology Co., Ltd. | | Ruiming Technology | Zhuhai Ruiming Technology Co., Ltd. | | FRESTAMP INC, Fresnel USA | Fresnel Plate Making Technology Co., Ltd. USA | | Jinghua New Material | Zhejiang Jinghua New Material Technology Co., Ltd. | | Shanghai Design | Jinghua (Shanghai) Design Consulting Co., Ltd. | | Zhejiang Jingrui | Zhejiang Jingrui Micro-Nano New Material Co., Ltd. | | Xingsheng Investment, Controlling Shareholder | Zhejiang Xingsheng Investment Management Co., Ltd. | | CSRC, China Securities Regulatory Commission | China Securities Regulatory Commission | | Exchange, SSE | Shanghai Stock Exchange | Section II Company Profile and Key Financial Indicators [Company Information and Contact Details](index=4&type=section&id=%E7%AC%AC%E4%BA%8C%E8%8A%82%20%E5%85%AC%E5%8F%B8%E7%AE%80%E4%BB%8B%E5%92%8C%E4%B8%BB%E8%A6%81%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) This section provides the company's basic registration information, Chinese and English abbreviations, and detailed contact information for key personnel, facilitating communication - The company's Chinese name is Zhejiang Jinghua Laser Technology Co., Ltd., and its Chinese abbreviation is Jinghua Laser[16](index=16&type=chunk) - The company's Board Secretary is Sun Xiaodong, and the Securities Affairs Representative is Kong Danjing, both located at No. 89 Zhongshan Road, Yuecheng District, Shaoxing City, Zhejiang Province[18](index=18&type=chunk) [Changes in Basic Information and Information Disclosure](index=5&type=section&id=2.2%20%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5%E5%8F%98%E6%9B%B4%E4%B8%8E%E4%BF%A1%E6%81%AF%E6%8A%AB%E9%9C%B2) This section outlines changes in company addresses and specifies official information disclosure channels, ensuring transparency - The company's registered address is Shaoxing City Economic and Technological Development Zone, and its office address is No. 89 Zhongshan Road, Yuecheng District, Shaoxing City, Zhejiang Province[19](index=19&type=chunk) - The company's designated information disclosure newspaper is "Shanghai Securities News," and the website for semi-annual reports is the Shanghai Stock Exchange website (http://www.sse.com.cn)[20](index=20&type=chunk) - The company's stock type is A-shares, listed on the Shanghai Stock Exchange, with stock abbreviation Jinghua Laser and stock code 603607[21](index=21&type=chunk) [Company's Key Accounting Data and Financial Indicators](index=5&type=section&id=2.3%20%E5%85%AC%E5%8F%B8%E4%B8%BB%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%95%B0%E6%8D%AE%E5%92%8C%E8%B4%A2%E5%8A%A1%E6%8C%87%E6%A0%87) Operating revenue and total profit grew significantly, but net cash flow from operations decreased, while total assets and net assets also declined Key Accounting Data (Jan-Jun 2025 vs. Prior Year Period) | Key Accounting Data | Current Period (Jan-Jun) (Yuan) | Prior Year Period (Yuan) | % Change from Prior Year Period | | :--- | :--- | :--- | :--- | | Operating Revenue | 453,932,025.48 | 379,495,492.53 | 19.61 | | Total Profit | 54,712,117.69 | 41,474,043.94 | 31.92 | | Net Profit Attributable to Shareholders of Listed Company | 47,579,185.62 | 41,217,429.26 | 15.43 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-Recurring Items) | 42,982,751.26 | 37,238,566.83 | 15.43 | | Net Cash Flow from Operating Activities | 14,476,771.17 | 39,126,350.96 | -63.00 | | **Period-End Data** | **Current Period End (Yuan)** | **Prior Year End (Yuan)** | **% Change from Prior Year End** | | Net Assets Attributable to Shareholders of Listed Company | 984,712,626.60 | 1,026,511,725.41 | -4.07 | | Total Assets | 1,386,855,659.80 | 1,691,656,626.37 | -18.02 | Key Financial Indicators (Jan-Jun 2025 vs. Prior Year Period) | Key Financial Indicators | Current Period (Jan-Jun) | Prior Year Period | % Change from Prior Year Period | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (Yuan/share) | 0.27 | 0.23 | 17.39 | | Diluted Earnings Per Share (Yuan/share) | 0.27 | 0.23 | 17.39 | | Basic EPS (Excluding Non-Recurring Items) (Yuan/share) | 0.24 | 0.21 | 14.29 | | Weighted Average Return on Net Assets (%) | 4.60 | 4.00 | Increase of 0.6 percentage points | | Weighted Average Return on Net Assets (Excluding Non-Recurring Items) (%) | 4.15 | 3.61 | Increase of 0.54 percentage points | - Total profit increased by **31.92%** year-on-year, primarily due to increased profit from business growth during the reporting period[24](index=24&type=chunk) - Net cash flow from operating activities decreased by **63.00%** year-on-year, primarily due to increased cash payments for goods purchased due to business growth during the reporting period[24](index=24&type=chunk) [Non-Recurring Gains and Losses Items and Amounts](index=6&type=section&id=2.4%20%E9%9D%9E%E7%BB%8F%E5%B8%B8%E6%80%A7%E6%8D%9F%E7%9B%8A%E9%A1%B9%E7%9B%AE%E5%92%8C%E9%87%91%E9%A2%9D) This section details non-recurring gains and losses, totaling **4.60 million yuan**, primarily from financial asset fair value changes and government subsidies Non-Recurring Gains and Losses Items and Amounts (Unit: Yuan) | Non-Recurring Gains and Losses Item | Amount | | :--- | :--- | | Disposal gains and losses of non-current assets | -505,324.37 | | Government subsidies recognized in current profit/loss | 1,691,374.60 | | Fair value changes and disposal gains/losses from financial assets and liabilities held by non-financial enterprises | 4,905,721.68 | | Other non-operating income and expenses apart from the above | 5,579.78 | | Less: Income tax impact | 1,419,585.12 | | Minority interest impact (after tax) | 81,332.21 | | **Total** | **4,596,434.36** | Section III Management Discussion and Analysis [Description of the Company's Industry and Main Business During the Reporting Period](index=8&type=section&id=%E7%AC%AC%E4%B8%89%E8%8A%82%20%E7%AE%A1%E7%90%86%E5%B1%82%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) The company operates in laser holographic products, serving tobacco, liquor, and cultural markets, positioned within the paper and packaging industries, with detailed industry trend analysis [Company's Main Business Operations](index=8&type=section&id=3.1.1%20%E5%85%AC%E5%8F%B8%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E6%83%85%E5%86%B5) The company primarily manufactures laser holographic embossed products, with anti-counterfeiting paper accounting for over **80%** of revenue, serving various packaging and cultural product sectors - The company's main business is based on laser holographic anti-counterfeiting and platinum relief technology, with products primarily in the form of laser holographic anti-counterfeiting film and laser holographic anti-counterfeiting paper[29](index=29&type=chunk) - During the reporting period, laser holographic anti-counterfeiting paper accounted for **over 80%** of operating revenue[29](index=29&type=chunk) - The company's products are applied in packaging materials for tobacco, liquor, daily consumer goods, electronic products, and cultural and creative products[32](index=32&type=chunk) [Company's Industry Overview](index=9&type=section&id=3.1.2%20%E5%85%AC%E5%8F%B8%E6%89%80%E5%B1%9E%E8%A1%8C%E4%B8%9A%E6%83%85%E5%86%B5) The company operates in the paper and packaging industries, facing challenges in paper and liquor, but benefiting from stable tobacco and growing cultural and creative sectors - In H1 2025, China's paper and paper products industry achieved operating revenue of **681.21 billion yuan**, a year-on-year decrease of **2.3%**; total profit reached **17.57 billion yuan**, a year-on-year decrease of **21.4%**[34](index=34&type=chunk) - In H1 2025, the domestic white cardboard market showed an oversupply, with prices fluctuating downwards, which is favorable for the company's cost side[37](index=37&type=chunk)[38](index=38&type=chunk) - In 2024, the number of large-scale enterprises in China's packaging industry reached **19,000**, a year-on-year increase of **2.70%**; total profit reached **97.5 billion yuan**, a year-on-year decrease of **6.43%**[39](index=39&type=chunk) - In H1 2025, China's cumulative cigarette production was approximately **1,375.65 billion sticks**, a year-on-year increase of **0.8%**; the average retail price of cigarettes was **13.7 yuan/pack**, an increase of **8.9%** compared to H1 2024[42](index=42&type=chunk) - In H1 2025, China's cumulative liquor production was approximately **1.916 million kiloliters**, a year-on-year decrease of **5.8%**; the liquor market showed slight fluctuations, high inventory, and an increasing share of online channels[45](index=45&type=chunk)[46](index=46&type=chunk) - In H1 2025, national large-scale cultural enterprises achieved operating revenue of **7.13 trillion yuan**, a year-on-year increase of **7.4%**; total profit reached **629.8 billion yuan**, a year-on-year increase of **19.3%**[49](index=49&type=chunk)[50](index=50&type=chunk) [Discussion and Analysis of Operations](index=13&type=section&id=3.2%20%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5%E7%9A%84%E8%AE%A8%E8%AE%BA%E4%B8%8E%E5%88%86%E6%9E%90) The company optimized strategies, achieving revenue and net profit growth, with cultural products becoming a core segment, despite a decrease in total and net assets - During the reporting period, the company focused on its main business to lead category upgrades, optimized product structure, and prioritized the expansion of cultural and creative products, which rapidly became one of its core business segments[53](index=53&type=chunk) - The company achieved operating revenue of **453.932 million yuan**, a year-on-year increase of **19.61%**; net profit attributable to shareholders of the listed company was **47.5792 million yuan**, a year-on-year increase of **15.43%**[53](index=53&type=chunk) - As of June 30, 2025, the company's total assets were **1.387 billion yuan**, a decrease of **18.02%** from the end of the previous year; owners' equity attributable to shareholders of the listed company was **984.7126 million yuan**, a decrease of **4.07%** from the end of the previous year[53](index=53&type=chunk) [Main Products](index=14&type=section&id=3.2.1%20%E4%B8%BB%E8%A6%81%E4%BA%A7%E5%93%81%E6%96%B9%E9%9D%A2) Laser holographic anti-counterfeiting paper revenue grew by **16.62%**, while platinum relief products showed strong growth of **41.61%** and an increasing revenue share - Operating revenue from laser holographic anti-counterfeiting paper increased by **16.62%** year-on-year[54](index=54&type=chunk) - Operating revenue from platinum relief products increased by **41.61%** year-on-year, and its proportion of total operating revenue showed an increasing trend[54](index=54&type=chunk) [Main Businesses](index=14&type=section&id=3.2.2%20%E4%B8%BB%E8%A6%81%E4%B8%9A%E5%8A%A1%E6%96%B9%E9%9D%A2) Tobacco label revenue grew by **20.18%**, cultural business by **61.98%** due to popular IP cards, while liquor label revenue decreased by **22.00%** - Tobacco label business operating revenue increased by **20.18%** year-on-year, mainly due to the company's continuous technological innovation and service upgrades, leading to increased order volume[55](index=55&type=chunk) - Liquor label business operating revenue decreased by **22.00%** year-on-year, mainly due to the company's focus on mid-to-high-end liquor brands, affected by consumption differentiation and insufficient momentum[56](index=56&type=chunk) - Cultural and creative business operating revenue increased by **61.98%** year-on-year, primarily because related card products became rapidly popular and saw increased sales after the release of the domestic film "Nezha: The Devil's Child"[58](index=58&type=chunk) [Enterprise Management](index=15&type=section&id=3.2.3%20%E4%BC%81%E4%B8%9A%E7%AE%A1%E7%90%86%E6%96%B9%E9%9D%A2) The company implemented cost reduction, R&D innovation, and maintained good safety production, focusing on efficiency and technological advancement - The company adopted various effective measures to continuously promote cost reduction and efficiency improvement, including innovative assessment methods and strengthened cost accounting[59](index=59&type=chunk) - The company consistently upholds the spirit of technological innovation, emphasizes R&D investment, and continuously launches new products and technologies through a combination of independent and collaborative R&D[60](index=60&type=chunk) - During the reporting period, the company's safety production situation was generally good, with no major safety accidents[61](index=61&type=chunk) [Analysis of Core Competencies During the Reporting Period](index=15&type=section&id=3.3%20%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E6%A0%B8%E5%BF%83%E7%AB%9E%E4%BA%89%E5%8A%9B%E5%88%86%E6%9E%90) The company boasts a complete laser holographic anti-counterfeiting industry chain, strong customer base in key sectors, proactive design services, and proprietary core technologies - The company is one of the very few in the industry with a complete laser holographic anti-counterfeiting industry chain, covering lithography machine manufacturing, product solution design, plate-making, production, and inspection[62](index=62&type=chunk)[63](index=63&type=chunk)[64](index=64&type=chunk) - The company has **30 years** of experience in the tobacco label sector, collaborating with renowned brands like "Zhonghua" and "Liqun"; entered the liquor label sector through the acquisition of Ruiming Technology, partnering with brands such as "Xijiu" and "Langjiu"; and deeply cooperates with Kayou in cultural and creative business, providing cards for popular IPs like "Ultraman" and "Nezha"[65](index=65&type=chunk)[66](index=66&type=chunk) - The company has established Shanghai Design Center and Shenzhen Design Center to provide proactive design services, assisting clients with product development[67](index=67&type=chunk) - The company is a group member and vice-chairman unit of the China Anti-Counterfeiting Industry Association, a National High-Tech Enterprise, a National "Little Giant" enterprise specializing in niche sectors, and possesses multiple core technologies with independent intellectual property rights[68](index=68&type=chunk) [Main Operating Performance During the Reporting Period](index=18&type=section&id=3.4%20%E6%8A%A5%E5%91%8A%E6%9C%9F%E5%86%85%E4%B8%BB%E8%A6%81%E7%BB%8F%E8%90%A5%E6%83%85%E5%86%B5) This section analyzes financial statement changes, asset/liability status, and subsidiary performance, reflecting shifts in cash management and business settlement [Analysis of Main Business](index=18&type=section&id=3.4.1%20%E4%B8%BB%E8%90%A5%E4%B8%9A%E5%8A%A1%E5%88%86%E6%9E%90) Operating revenue and costs increased, selling and administrative expenses rose, while financial expenses decreased, and operating cash flow significantly declined Changes in Financial Statement Items (Jan-Jun 2025 vs. Prior Year Period) | Item | Current Period Amount (Yuan) | Prior Year Period Amount (Yuan) | % Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 453,932,025.48 | 379,495,492.53 | 19.61 | | Operating Cost | 323,162,724.26 | 274,709,218.48 | 17.64 | | Selling Expenses | 16,277,404.94 | 12,986,152.89 | 25.34 | | Administrative Expenses | 23,500,184.64 | 19,269,252.89 | 21.96 | | Financial Expenses | -818,309.65 | -2,411,534.65 | N/A | | R&D Expenses | 41,486,492.39 | 39,001,489.90 | 6.37 | | Net Cash Flow from Operating Activities | 14,476,771.17 | 39,126,350.96 | -63.00 | | Net Cash Flow from Investing Activities | 259,831,028.21 | 215,126,874.21 | 20.78 | | Net Cash Flow from Financing Activities | -278,773,399.70 | -224,009,618.84 | N/A | - The change in financial expenses was mainly due to a decrease in deposit interest during the reporting period[71](index=71&type=chunk) - The change in net cash flow from operating activities was mainly due to increased cash payments for goods purchased due to business growth during the reporting period[71](index=71&type=chunk) [Analysis of Assets and Liabilities](index=18&type=section&id=3.4.2%20%E8%B5%84%E4%BA%A7%E3%80%81%E8%B4%9F%E5%80%BA%E6%83%85%E5%86%B5%E5%88%86%E6%9E%90) Financial assets held for trading decreased due to redemptions, notes receivable financing increased, and short-term borrowings significantly reduced, with a small portion of overseas assets Major Changes in Assets and Liabilities (Unit: Yuan) | Item Name | Current Period End Amount | % of Total Assets at Current Period End | Prior Year End Amount | % of Total Assets at Prior Year End | % Change from Prior Year End | Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Financial assets held for trading | 292,893,139.06 | 21.12 | 554,680,823.74 | 32.79 | -47.20% | Mainly due to redemption of wealth management products matured in the current period | | Notes receivable financing | 125,825,515.76 | 9.07 | 65,074,194.78 | 3.85 | 93.36% | Mainly due to increased bill settlements in the current period | | Short-term borrowings | 132,003,013.70 | 9.52 | 345,500,000.00 | 20.42 | -61.79% | Mainly due to maturity of discounted bills from the beginning of the year | - Overseas assets amounted to **3,867,277.78 yuan**, accounting for **0.28%** of total assets[76](index=76&type=chunk) Major Asset Restrictions (Period-End, Unit: Yuan) | Item | Book Balance | Book Value | Type of Restriction | Restriction Details | | :--- | :--- | :--- | :--- | :--- | | Monetary funds | 81,409,326.37 | 81,409,326.37 | Pledge | Used for issuing bank acceptance bills | | Monetary funds | 11,000.00 | 11,000.00 | Frozen | ETC deposit | [Analysis of Major Controlled and Investee Companies](index=21&type=section&id=3.4.3%20%E4%B8%BB%E8%A6%81%E6%8E%A7%E8%82%A1%E5%8F%82%E8%82%A1%E5%85%AC%E5%8F%B8%E5%88%86%E6%9E%90) Major subsidiaries, Jinghua Technology and Ruiming Technology, both reported profitability with substantial assets and net profits Financial Data of Major Subsidiaries (Unit: Yuan) | Company Name | Company Type | Main Business | Registered Capital (RMB) | Total Assets | Net Assets | Operating Revenue | Operating Profit | Net Profit | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jinghua Technology | Subsidiary | R&D of new materials; manufacturing and sales of paper products, etc. | 20,000,000 | 358,618,629.17 | 137,475,035.42 | 71,391,263.11 | 22,929,284.54 | 19,799,343.77 | | Ruiming Technology | Subsidiary | R&D, production, processing, and sales of packaging materials | 11,600,000 | 312,109,516.72 | 154,252,146.69 | 116,072,707.51 | 4,463,823.82 | 4,358,560.36 | [Other Disclosure Matters](index=21&type=section&id=3.5%20%E5%85%B6%E4%BB%96%E6%8A%AB%E9%9C%B2%E4%BA%8B%E9%A1%B9) The company faces risks from raw material prices, declining tobacco label prices, weak consumption, and management/bidding challenges, with countermeasures in place - The company faces risks from raw material price fluctuations and declining tobacco label prices, mainly due to white cardboard price volatility and downward pressure from public tenders in the tobacco label industry[83](index=83&type=chunk) - The company faces risks of insufficient consumption momentum, with sales of mid-to-high-end tobacco and liquor affected by consumption differentiation and weakening purchasing power[85](index=85&type=chunk) - The company faces management risks due to rapid expansion of assets and business scale, which places higher demands on operational management and market development[86](index=86&type=chunk) - The company faces bidding risks; failure to win new bids or a decrease in winning volumes would adversely affect profitability[87](index=87&type=chunk) - The company's countermeasures include strengthening cooperation with suppliers, optimizing product structure, enhancing product added value, intensifying market research, expanding new channels, strengthening internal management, and establishing a bidding risk early warning mechanism[84](index=84&type=chunk)[85](index=85&type=chunk)[86](index=86&type=chunk)[88](index=88&type=chunk) Section IV Corporate Governance, Environment, and Society [Changes in Directors, Supervisors, and Senior Management](index=23&type=section&id=%E7%AC%AC%E5%9B%9B%E8%8A%82%20%E5%85%AC%E5%8F%B8%E6%B2%BB%E7%90%86%E3%80%81%E7%8E%AF%E5%A2%83%E5%92%8C%E7%A4%BE%E4%BC%9A) Senior management saw multiple departures due to retirement and term expiration, with new appointments for employee representative director and vice general manager Changes in Directors, Supervisors, and Senior Management | Name | Position Held | Change | | :--- | :--- | :--- | | Jiang Jiangen | Vice General Manager | Resigned | | Pei Jianqiang | Vice General Manager | Resigned | | Shao Bo | Director, Vice General Manager | Resigned | | Yu Chao | Employee Director | Elected | | Ma Weijun | Vice General Manager | Appointed | - Mr. Jiang Jiangen resigned as Vice General Manager due to reaching statutory retirement age; Mr. Pei Jianqiang resigned as Vice General Manager due to personal health reasons; Mr. Shao Bo resigned due to the expiration of the third Board of Directors' term[90](index=90&type=chunk) - The company elected Mr. Yu Chao as an employee representative director for the fourth Board of Directors and appointed Mr. Ma Weijun as the company's Vice General Manager[90](index=90&type=chunk) [Profit Distribution or Capital Reserve Conversion Plan](index=23&type=section&id=4.2%20%E5%88%A9%E6%B6%A6%E5%88%86%E9%85%8D%E6%88%96%E8%B5%84%E6%9C%AC%E5%85%AC%E7%A7%AF%E9%87%91%E8%BD%AC%E5%A2%9E%E9%A2%84%E6%A1%88) The company has no profit distribution or capital reserve conversion plan for this semi-annual period - The company's proposed profit distribution or capital reserve conversion plan for this semi-annual period is not applicable[91](index=91&type=chunk)[92](index=92&type=chunk) [Environmental Information Disclosure in Accordance with Law](index=24&type=section&id=4.3%20%E7%8E%AF%E5%A2%83%E4%BF%A1%E6%81%AF%E4%BE%9D%E6%B3%95%E6%8A%AB%E9%9C%B2) The company and its main subsidiary are listed for environmental information disclosure, with reports accessible via the provincial ecological environment department system - Shaoxing Jinghua Laser Material Technology Co., Ltd. has been included in the list of enterprises required to disclose environmental information in accordance with the law[93](index=93&type=chunk) - Environmental information disclosure reports can be accessed through the Zhejiang Provincial Department of Ecology and Environment - Enterprise Environmental Information Disclosure System[93](index=93&type=chunk) Section V Significant Matters [Fulfillment of Commitments](index=25&type=section&id=%E7%AC%AC%E4%BA%94%E8%8A%82%20%E9%87%8D%E8%A6%81%E4%BA%8B%E9%A1%B9) The actual controller, controlling shareholder, and management strictly fulfilled all commitments, including share lock-up, competition resolution, and related-party transaction standardization - Actual controller Sun Jiancheng committed that during his tenure after the lock-up period, he would not transfer more than **25%** of his directly or indirectly held shares annually; he would not transfer company shares within **6 months** after leaving office, and this commitment has been strictly fulfilled[95](index=95&type=chunk) - Controlling shareholder Xingsheng Investment and actual controller Sun Jiancheng both committed to resolving horizontal competition, not directly or indirectly engaging in businesses that constitute horizontal competition with the company, and these commitments have been strictly fulfilled[95](index=95&type=chunk)[96](index=96&type=chunk) - Controlling shareholder Xingsheng Investment and actual controller Sun Jiancheng both committed to reducing and standardizing related-party transactions, following market rules and company procedures for approval, and these commitments have been strictly fulfilled[96](index=96&type=chunk)[97](index=97&type=chunk) - Actual controller Sun Jiancheng committed that if the company or its subsidiaries need to make up social security or housing provident fund payments, or are penalized for it, he would gratuitously make up the payments and bear related expenses, and this commitment has been strictly fulfilled[97](index=97&type=chunk) [Statement on Integrity Status](index=28&type=section&id=5.2%20%E8%AF%9A%E4%BF%A1%E7%8A%B6%E5%86%B5%E8%AF%B4%E6%98%8E) The company, its controlling shareholder, and actual controller maintained good integrity, with no unfulfilled court judgments or large overdue debts - During the reporting period, the company, its controlling shareholder, and actual controller had no unfulfilled court judgments or large overdue debts[98](index=98&type=chunk) Section VI Share Changes and Shareholder Information [Changes in Share Capital](index=30&type=section&id=%E7%AC%AC%E5%85%AD%E8%8A%82%20%E8%82%A1%E4%BB%BD%E5%8F%98%E5%8A%A8%E5%8F%8A%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) During the reporting period, the company's total share capital and share structure remained unchanged - During the reporting period, there were no changes in the company's total share capital or share structure[103](index=103&type=chunk) [Shareholder Information](index=30&type=section&id=6.2%20%E8%82%A1%E4%B8%9C%E6%83%85%E5%86%B5) The company had **29,680** common shareholders, with the controlling shareholder holding **31.63%** and the actual controller having direct and indirect control - As of the end of the reporting period, the total number of common shareholders was **29,680**[104](index=104&type=chunk) Top Ten Shareholders' Shareholding (As of the end of the reporting period) | Shareholder Name | Shares Held at Period End | Proportion (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Zhejiang Xingsheng Investment Management Co., Ltd. | 56,456,585 | 31.63 | Domestic Non-State-Owned Legal Person | | Sun Jiancheng | 22,358,974 | 12.52 | Domestic Natural Person | | Feng Yiping | 4,161,511 | 2.33 | Domestic Natural Person | | Qi Qifan | 3,133,484 | 1.76 | Domestic Natural Person | | Jiang Jiangen | 2,661,064 | 1.49 | Domestic Natural Person | | Feng Yihong | 2,423,942 | 1.36 | Domestic Natural Person | | Xie Gaoxiang | 1,737,151 | 0.97 | Domestic Natural Person | | Yuan Jianfeng | 1,617,972 | 0.91 | Domestic Natural Person | | CITIC Securities - China CITIC Financial Asset Management Co., Ltd. - CITIC Securities - Pioneer Single Asset Management Plan | 1,527,272 | 0.86 | Other | | Shao Bo | 1,464,355 | 0.82 | Domestic Natural Person | - Xingsheng Investment is the controlling shareholder of the company. Sun Jiancheng holds **67.81%** of Xingsheng Investment's equity, Yuan Jianfeng holds **11.62%**, Feng Yiping holds **10.30%**, Xie Gaoxiang holds **5.70%**, and Shao Bo holds **4.57%**[107](index=107&type=chunk) Section VII Bond-Related Information [Corporate Bonds and Non-Financial Enterprise Debt Financing Instruments](index=33&type=section&id=%E7%AC%AC%E4%B8%83%E8%8A%82%20%E5%80%BA%E5%88%B8%E7%9B%B8%E5%85%B3%E6%83%85%E5%86%B5) The company had no corporate bonds or non-financial enterprise debt financing instruments during the reporting period - The company had no corporate bonds (including enterprise bonds) or non-financial enterprise debt financing instruments[110](index=110&type=chunk) [Convertible Corporate Bonds](index=33&type=section&id=7.2%20%E5%8F%AF%E8%BD%AC%E6%8D%A2%E5%85%AC%E5%8F%B8%E5%80%BA%E5%88%B8%E6%83%85%E5%86%B5) The company had no convertible corporate bonds during the reporting period - The company had no convertible corporate bonds[110](index=110&type=chunk) Section VIII Financial Report [Audit Report](index=33&type=section&id=%E7%AC%AC%E5%85%AB%E8%8A%82%20%E8%B4%A2%E5%8A%A1%E6%8A%A5%E5%91%8A) This semi-annual report is unaudited - This semi-annual report is unaudited[7](index=7&type=chunk) [Financial Statements](index=33&type=section&id=8.2%20%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8) This section provides the company's consolidated and parent company financial statements for H1 2025, reflecting financial position, operating results, and cash flows [Consolidated Balance Sheet](index=33&type=section&id=8.2.1%20%E5%90%88%E5%B9%B6%E8%B5%84%E4%BA%A7%E8%B4%9F%E5%80%BA%E8%A1%A8) As of June 30, 2025, consolidated total assets were **1.39 billion yuan**, with total liabilities of **401.55 million yuan** and total owners' equity of **985.31 million yuan** - As of June 30, 2025, consolidated total assets were **1,386,855,659.80 yuan**, a decrease of **18.02%** compared to the end of 2024[23](index=23&type=chunk)[112](index=112&type=chunk) - Total current liabilities were **391,953,017.10 yuan**, and total non-current liabilities were **9,596,998.77 yuan**[112](index=112&type=chunk)[113](index=113&type=chunk) - Total owners' equity attributable to the parent company was **984,712,626.60 yuan**[113](index=113&type=chunk) [Consolidated Income Statement](index=37&type=section&id=8.2.2%20%E5%90%88%E5%B9%B6%E5%88%A9%E6%B6%A6%E8%A1%A8) For H1 2025, consolidated total operating revenue was **453.93 million yuan**, with net profit attributable to parent company shareholders of **47.58 million yuan** - Consolidated total operating revenue for H1 2025 was **453,932,025.48 yuan**, a year-on-year increase of **19.61%**[23](index=23&type=chunk)[118](index=118&type=chunk) - Consolidated net profit for H1 2025 was **47,667,494.11 yuan**, with net profit attributable to parent company shareholders of **47,579,185.62 yuan**, a year-on-year increase of **15.43%**[23](index=23&type=chunk)[118](index=118&type=chunk)[120](index=120&type=chunk) - Basic earnings per share was **0.27 yuan/share**, and diluted earnings per share was **0.27 yuan/share**[24](index=24&type=chunk)[120](index=120&type=chunk) [Consolidated Cash Flow Statement](index=40&type=section&id=8.2.3%20%E5%90%88%E5%B9%B6%E7%8E%B0%E9%87%91%E6%B5%81%E9%87%8F%E8%A1%A8) Net cash flow from operating activities was **14.48 million yuan**, a **63.00%** decrease, while investing activities generated **259.83 million yuan**, and financing activities used **278.77 million yuan** - Net cash flow from operating activities was **14,476,771.17 yuan**, a year-on-year decrease of **63.00%**[23](index=23&type=chunk)[126](index=126&type=chunk) - Net cash flow from investing activities was **259,831,028.21 yuan**, a year-on-year increase of **20.78%**[74](index=74&type=chunk)[126](index=126&type=chunk) - Net cash flow from financing activities was **-278,773,399.70 yuan**[74](index=74&type=chunk)[126](index=126&type=chunk) - Cash and cash equivalents balance at period-end was **60,143,703.59 yuan**[127](index=127&type=chunk) [Company's Basic Information](index=50&type=section&id=8.3%20%E5%85%AC%E5%8F%B8%E5%9F%BA%E6%9C%AC%E6%83%85%E5%86%B5) Registered in 2016 and listed in 2017, the company has **178.52 million yuan** in total share capital, six subsidiaries, and specializes in laser holographic embossed products - The company was registered with the Shaoxing Market Supervision Administration on March 28, 2016, and listed on the Shanghai Stock Exchange on October 25, 2017[140](index=140&type=chunk) - As of June 30, 2025, the company's total share capital is **RMB 178,516,800.00**[142](index=142&type=chunk) - The company owns six subsidiaries, including Shaoxing Jinghua Laser Material Technology Co., Ltd[143](index=143&type=chunk)[144](index=144&type=chunk) - The company belongs to the paper and paper products industry, with main business activities in the manufacturing, sales, and technology development of laser holographic embossed products, primarily laser holographic anti-counterfeiting film and laser holographic anti-counterfeiting paper[144](index=144&type=chunk) [Basis of Financial Statement Preparation](index=51&type=section&id=8.4%20%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E7%9A%84%E7%BC%96%E5%88%B6%E5%9F%BA%E7%A1%80) Financial statements are prepared on a going concern basis, adhering to accounting standards and disclosure rules, with no significant doubts about continued operations - The company's financial statements are prepared on a going concern basis, adhering to "Enterprise Accounting Standards" and "Rules for the Preparation of Information Disclosure by Companies Issuing Public Securities No. 15 - General Provisions for Financial Reports (Revised 2023)" by the China Securities Regulatory Commission[145](index=145&type=chunk) - There are no matters or circumstances that would cause significant doubt about the going concern assumption within **12 months** from the end of the reporting period[146](index=146&type=chunk) [Significant Accounting Policies and Estimates](index=51&type=section&id=8.5%20%E9%87%8D%E8%A6%81%E4%BC%9A%E8%AE%A1%E6%94%BF%E7%AD%96%E5%8F%8A%E4%BC%9A%E8%AE%A1%E4%BC%B0%E8%AE%A1) This section details the company's key accounting policies and estimates for financial instruments, revenue, fixed assets, and R&D, ensuring accurate financial reporting - The company classifies financial assets as measured at amortized cost, at fair value through other comprehensive income, or at fair value through profit or loss, based on the business model for managing financial assets and the contractual cash flow characteristics[169](index=169&type=chunk) - The company uses the transfer of control as the criterion for revenue recognition, recognizing revenue when the customer obtains control of the related goods[236](index=236&type=chunk) - The company depreciates fixed assets using the straight-line method, with buildings and structures depreciated over **10-20 years**, and machinery and equipment over **5-10 years**[215](index=215&type=chunk) - Expenditures for internal research and development projects are distinguished between research and development phases; research phase expenditures are expensed in the current period, while development phase expenditures are recognized as intangible assets when specific conditions are met[223](index=223&type=chunk)[224](index=224&type=chunk) [Taxation](index=83&type=section&id=8.6%20%E7%A8%8E%E9%A1%B9) The company's main taxes include VAT and corporate income tax, with preferential rates for high-tech and small/micro enterprises, and tax incentives for advanced manufacturing and employment Main Tax Categories and Rates | Tax Category | Tax Base | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax | Value added from sales of goods or provision of taxable services | 5%, 6%, 13% | | Corporate Income Tax | Taxable income | 15%, 25% | | Urban Maintenance and Construction Tax | Actual amount of turnover tax paid | 7% | | Education Surcharge | Actual amount of turnover tax paid | 3% | | Local Education Surcharge | Actual amount of turnover tax paid | 2% | - The company and its subsidiaries Shaoxing Jinghua Technology Co., Ruiming Technology Co., and Jinghua New Material Co. are recognized as high-tech enterprises, enjoying a **15%** preferential corporate income tax rate[261](index=261&type=chunk)[262](index=262&type=chunk) - Jinghua New Material Co. qualifies as a small and micro-profit enterprise, enjoying reduced urban maintenance and construction tax, stamp duty, education surcharge, and local education surcharge[262](index=262&type=chunk) - The company and Shaoxing Jinghua Technology Co. are advanced manufacturing enterprises, enjoying VAT super deduction policy[263](index=263&type=chunk) - The company and Shaoxing Jinghua Technology Co. employ key groups, enjoying VAT, urban maintenance and construction tax, education surcharge, local education surcharge, and corporate income tax incentives[264](index=264&type=chunk) [Notes to Consolidated Financial Statement Items](index=85&type=section&id=8.7%20%E5%90%88%E5%B9%B6%E8%B4%A2%E5%8A%A1%E6%8A%A5%E8%A1%A8%E9%A1%B9%E7%9B%AE%E6%B3%A8%E9%87%8A) This section details period-end balances and changes for major financial statement items, including monetary funds, financial assets, receivables, and operating results, with explanations - Period-end monetary funds were **141,564,029.96 yuan**, of which **2,953,525.68 yuan** was deposited overseas[267](index=267&type=chunk) - Period-end financial assets held for trading were **292,893,139.06 yuan**, mainly comprising purchased wealth management products and trust plans[269](index=269&type=chunk) - Period-end book value of accounts receivable was **171,657,375.94 yuan**, with a bad debt provision rate of **5.25%**[281](index=281&type=chunk)[283](index=283&type=chunk) - Period-end book value of inventories was **131,657,441.46 yuan**, with **3,531,762.63 yuan** of inventory impairment provision written off in the current period[317](index=317&type=chunk)[320](index=320&type=chunk) - Period-end book value of fixed assets was **361,550,761.36 yuan**, with an increase in original cost of fixed assets of **14,160,058.87 yuan** in the current period[329](index=329&type=chunk) - Period-end original book value of goodwill was **110,606,927.58 yuan**, primarily from Ruiming Technology Co. and Fresnel USA[344](index=344&type=chunk) - Period-end short-term borrowings were **132,003,013.70 yuan**, a significant decrease of **61.79%** from the beginning of the period[75](index=75&type=chunk)[355](index=355&type=chunk) - Current period operating revenue was **453,932,025.48 yuan**, operating cost was **323,162,724.26 yuan**, with main business revenue accounting for **99.20%**[394](index=394&type=chunk) - Current period financial expenses were **-818,309.65 yuan**, mainly due to decreased interest income[402](index=402&type=chunk) - Current period credit impairment losses were **2,186,435.07 yuan**, mainly from bad debt losses on accounts receivable[406](index=406&type=chunk) [Research and Development Expenses](index=137&type=section&id=8.8%20%E7%A0%94%E5%8F%91%E6%94%AF%E5%87%BA) Total R&D expenditure for the period was **41.49 million yuan**, fully expensed, covering employee compensation, direct inputs, depreciation, and fuel costs R&D Expenses by Nature of Expense (Unit: Yuan) | Item | Current Period Amount | Prior Period Amount | | :--- | :--- | :--- | | Employee Compensation | 11,203,612.69 | 10,244,857.50 | | Direct Inputs | 25,359,053.92 | 22,923,645.73 | | Depreciation and Amortization | 2,778,726.57 | 2,856,920.53 | | Fuel and Power Costs | 1,502,253.29 | 2,326,951.65 | | Other | 642,845.92 | 649,114.49 | | **Total** | **41,486,492.39** | **39,001,489.90** | | Of which: Expensed R&D expenditure | 41,486,492.39 | 39,001,489.90 | [Risks Related to Financial Instruments](index=141&type=section&id=8.9%20%E4%B8%8E%E9%87%91%E8%9E%8D%E5%B7%A5%E5%85%B7%E7%9B%B8%E5%85%B3%E7%9A%84%E9%A3%8E%E9%99%A9) The company faces credit, market (foreign exchange, interest rate), and liquidity risks, managed through diversified investments, credit monitoring, and cash flow forecasts - The company faces credit risk, market risk (foreign exchange risk, interest rate risk), and liquidity risk[446](index=446&type=chunk) - The company's foreign exchange risk primarily arises from financial assets and liabilities denominated in USD, EUR, JPY, and GBP[448](index=448&type=chunk) - During the reporting period, the company only had borrowings with fixed interest rates, thus not affected by cash flow changes due to interest rate fluctuations[449](index=449&type=chunk) - The company manages credit risk by assessing debtor creditworthiness, setting credit limits and terms, and regularly monitoring credit records[450](index=450&type=chunk) - The company manages liquidity risk by monitoring cash balances, readily marketable securities, and rolling forecasts of cash flows for the next **12 months**[455](index=455&type=chunk) - As of June 30, 2025, the company's asset-liability ratio was **28.95%** (December 31, 2024: **39.29%**)[456](index=456&type=chunk) [Disclosure of Fair Value](index=145&type=section&id=8.10%20%E5%85%AC%E5%85%81%E4%BB%B7%E5%80%BC%E7%9A%84%E6%8A%AB%E9%9C%B2) This section discloses period-end assets and liabilities measured at Level 2 fair value, primarily financial assets held for trading and notes receivable financing, with minimal difference for non-fair value items Period-End Fair Value Measurement Items (Unit: Yuan) | Item | Level 2 Fair Value Measurement | Total | | :--- | :--- | :--- | | Financial assets held for trading | 292,893,139.06 | 292,893,139.06 | | Notes receivable financing | 125,825,515.76 | 125,825,515.76 | | **Total assets continuously measured at fair value** | **418,718,654.82** | **418,718,654.82** | - The company's wealth management products and notes receivable financing are valued using market quotes or dealer quotes for similar instruments to determine their fair value[460](index=460&type=chunk) - The book value of financial assets and liabilities not measured at fair value is very close to their fair value[462](index=462&type=chunk) [Related Parties and Related Party Transactions](index=148&type=section&id=8.11%20%E5%85%B3%E8%81%94%E6%96%B9%E5%8F%8A%E5%85%B3%E8%81%94%E4%BA%A4%E6%98%93) The company's ultimate controlling party is Sun Jiancheng; key management compensation increased to **4.82 million yuan**, with no other daily related-party transactions disclosed - The company's controlling shareholder is Zhejiang Xingsheng Investment Management Co., Ltd., and the ultimate controlling party is Sun Jiancheng[464](index=464&type=chunk) Key Management Personnel Compensation (Unit: Ten Thousand Yuan) | Item | Current Period Amount | Prior Period Amount | | :--- | :--- | :--- | | Key Management Personnel Compensation | 481.74 | 439.01 | - The number of key management personnel in the current period was **17**, and as of June 30, 2025, it was **14**, mainly due to the departure of former Director and Vice General Manager Shao Bo, and former Vice General Managers Jiang Jiangen and Pei Jianqiang[468](index=468&type=chunk) [Commitments and Contingencies](index=151&type=section&id=8.12%20%E6%89%BF%E8%AF%BA%E5%8F%8A%E6%88%96%E6%9C%89%E4%BA%8B%E9%A1%B9) The company has significant external commitments, mainly property pledge guarantees for its own borrowings totaling **236.99 million yuan**, with no other major contingencies Property Pledge Guarantees by Consolidated Entities for Their Own External Borrowings (Unit: Ten Thousand Yuan) | Guarantor | Pledged Item | Book Value of Pledged Item | Guarantee Balance | | :--- | :--- | :--- | :--- | | The Company | Bill deposit | 792.79 | 7,910.00 | | The Company | Bill deposit | 585.80 | 2,929.00 | | The Company | Bill deposit | 300.00 | 3,000.00 | | Shaoxing Jinghua Technology Co. | Time deposit | 5,449.85 | 5,000.00 | | Shaoxing Jinghua Technology Co. | Bill deposit | 10.00 | 10.00 | | Shaoxing Jinghua Technology Co. | Bill deposit | 750.00 | 3,750.00 | | Shaoxing Jinghua Technology Co. | Bill deposit | 237.50 | 950.00 | | Jinghua New Material Co. | Bill deposit | 15.00 | 150.00 | | **Subtotal** | | **8,140.94** | **23,699.00** | - The company had no significant contingencies requiring disclosure[475](index=475&type=chunk) [Supplementary Information](index=164&type=section&id=8.13%20%E8%A1%A5%E5%85%85%E8%B5%84%E6%96%99) This section provides non-recurring gains and losses details (**4.60 million yuan** total), weighted average return on net assets (**4.60%**), and basic earnings per share (**0.27 yuan/share**) Detailed Statement of Non-Recurring Gains and Losses (Unit: Yuan) | Item | Amount | | :--- | :--- | | Disposal gains and losses of non-current assets | -505,324.37 | | Government subsidies recognized in current profit/loss | 1,691,374.60 | | Fair value changes and disposal gains/losses from financial assets and liabilities | 4,905,721.68 | | Other non-operating income and expenses | 5,579.78 | | Less: Income tax impact | 1,419,585.12 | | Minority interest impact (after tax) | 81,332.21 | | **Total** | **4,596,434.36** | Net Asset Return and Earnings Per Share | Profit for the Reporting Period | Weighted Average Return on Net Assets (%) | Basic Earnings Per Share | | :--- | :--- | :--- | | Net profit attributable to common shareholders of the company | 4.60 | 0.27 | | Net profit attributable to common shareholders of the company after deducting non-recurring gains and losses | 4.15 | 0.24 |