Financial Performance - The company reported a total revenue of RMB 500 million for the first half of 2022, representing a year-on-year increase of 15%[13]. - The net profit attributable to shareholders reached RMB 80 million, up 10% compared to the same period last year[13]. - The company's total revenue for the first half of the year was CNY 669,709,816.08, a decrease of 9.50% compared to the same period last year[20]. - Net profit attributable to shareholders was CNY 41,022,188.76, down 65.13% year-on-year[20]. - The net profit after deducting non-recurring gains and losses was CNY 25,804,030.51, a decline of 74.36% compared to the previous year[20]. - The company's net cash flow from operating activities was negative at CNY -212,971,774.58, compared to CNY -146,285,640.98 in the same period last year[20]. - The basic earnings per share for the reporting period were CNY 0.2, down 65.52% from CNY 0.58 in the same period last year[21]. - The weighted average return on net assets was 2.67%, a decrease of 5.21 percentage points compared to the previous year[21]. - The company reported a significant decline in real estate development investment, amounting to 683.14 billion yuan, a year-on-year decrease of 5.4%, impacting industry demand[38]. - The company reported a net loss of 81,296,800 for the period, highlighting challenges in profitability[186]. Market Expansion and Strategy - The company plans to expand its market presence in Southeast Asia, targeting a 25% increase in sales from this region by the end of 2023[13]. - The company is focusing on the construction of a data resource pool and smart enabling platforms to support collaborative innovation in intelligent applications[46]. - The company is set to expand its market presence by actively engaging in major water resource projects and rural water supply initiatives, which are key areas for industry development[47]. - The company plans to enhance its market presence by expanding both domestic and international markets, leveraging its brand and technology advantages[101]. - The company is focusing on strategic investments and potential mergers to strengthen its competitive position in the market[186]. Research and Development - The company has allocated RMB 50 million for research and development in new technologies for water management systems[13]. - New product development includes the launch of a next-generation smart water meter, expected to enhance data accuracy by 30%[13]. - The company invested CNY 33.17 million in R&D during the first half of 2022, representing a 5.07% increase compared to the same period last year[73]. - The company applied for 55 patents and 6 software copyrights during the reporting period, and published 10 scientific papers, indicating a strong focus on innovation and standardization[75]. - The company is committed to continuous innovation, with ongoing research and development efforts aimed at launching new products in the next fiscal year[140]. Operational Challenges - The company has faced delays in project execution and sales activities due to the ongoing pandemic, impacting revenue recognition[39]. - The company is experiencing a shift in its business model, with an increasing proportion of centralized procurement and longer average account periods due to the rising share of smart water meters[57]. - The company is facing challenges in revenue recognition cycles and order progress due to the recurring impact of the pandemic[84]. - The company is addressing supply chain risks by optimizing production processes and diversifying procurement channels to manage raw material costs[103]. Financial Management and Integrity - The company emphasizes the importance of maintaining financial integrity and has confirmed that there are no non-operational fund occupations by controlling shareholders[6]. - There are no significant risks identified that could materially impact the company's operations during the reporting period[6]. - The company has no plans for major acquisitions in the near term, focusing instead on organic growth strategies[6]. - The company has maintained a good integrity status, with no significant debts or court judgments pending[140]. - The company has not engaged in any significant related party transactions during the reporting period, maintaining financial integrity[141]. Environmental and Social Responsibility - The company has not faced any environmental penalties during the reporting period and has adhered to environmental laws and regulations[118]. - The company has implemented measures for waste gas, wastewater, noise, and solid waste treatment, ensuring compliance with environmental protection standards[119][120]. - The company has been recognized as a green low-carbon factory and a water-saving benchmark enterprise in Zhejiang Province, contributing to the "dual carbon" goals[122]. - The company has engaged in social responsibility initiatives, including support for frontline pandemic workers and contributions to rural water safety projects[124]. Shareholder and Management Commitments - The company did not propose any profit distribution or capital reserve transfer for the first half of 2022[113]. - The company appointed Chen Wei as the new Deputy General Manager and Wang Zhebin as the new Chief Financial Officer during the board meeting on April 27, 2022[112]. - The company implemented an employee stock ownership plan, with a total of 1,080,036 shares transferred at a price of 13.83 yuan per share, accounting for 0.53% of the total share capital[116]. - The company has established a clear plan for compliance with share transfer restrictions to ensure shareholder confidence[129]. - The company will ensure that any profits from violations of share transfer commitments will be returned to the company[129].

Financial Performance - The company's operating revenue for Q1 2022 was ¥244,440,880.76, representing a decrease of 13.48% compared to the same period last year[5]. - The net profit attributable to shareholders was ¥5,966,081.81, down 85.87% year-on-year[5]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥4,316,088.61, a decline of 114.79%[5]. - The basic earnings per share for the period was ¥0.03, reflecting a decrease of 85.71%[6]. - Total operating revenue for Q1 2022 was CNY 244,440,880.76, a decrease of 13.5% compared to CNY 282,532,300.59 in Q1 2021[22]. - Net profit for Q1 2022 was CNY 5,802,254.77, a significant decline of 86.2% from CNY 42,023,166.93 in Q1 2021[24]. - Operating profit for Q1 2022 was CNY 1,722,316.31, down from CNY 36,982,799.90 in Q1 2021[23]. - Basic earnings per share for Q1 2022 were CNY 0.03, compared to CNY 0.21 in Q1 2021[24]. Cash Flow and Assets - The net cash flow from operating activities was -¥197,306,913.05, which is not applicable for comparison[5]. - Cash flow from operating activities in Q1 2022 was a net outflow of CNY 197,306,913.05, compared to a net outflow of CNY 178,715,549.57 in Q1 2021[26]. - Cash inflow from operating activities totaled CNY 295,040,311.44, while cash outflow was CNY 492,347,224.49 in Q1 2022[26]. - The total assets at the end of the reporting period were ¥2,116,054,061.44, down 4.72% from the end of the previous year[6]. - The company's total current assets decreased from 1,813,260,040.57 RMB at the end of 2021 to 1,667,346,722.20 RMB as of March 31, 2022, a decline of approximately 8%[18]. - Cash and cash equivalents decreased from 541,653,970.89 RMB to 413,149,577.87 RMB, a reduction of about 24%[18]. - The total cash inflow from financing activities was $19,590,000.00, an increase from $14,000,000.00 in the prior period[27]. - The net cash flow from financing activities was $7,727,142.90, improving from a negative cash flow of $6,368,608.06 in the previous period[27]. - The cash and cash equivalents at the end of the period totaled $389,132,368.12, down from $526,902,387.88 at the beginning of the period[27]. Liabilities and Equity - The total liabilities as of Q1 2022 were CNY 511,600,942.51, down from CNY 624,651,476.97 in the previous year[23]. - Total current liabilities decreased from 614,705,561.51 RMB to 501,351,820.68 RMB, a reduction of approximately 18.4%[19]. - Total equity attributable to shareholders was CNY 1,604,576,080.07, slightly up from CNY 1,596,294,758.44 in Q1 2021[23]. Operational Challenges - The company faced challenges in business operations due to the recurring pandemic, affecting revenue recognition and order fulfillment[10]. - The company reported a decrease in government subsidies compared to the previous year, impacting overall profitability[11]. Shareholder Information - Total number of common shareholders at the end of the reporting period is 15,302[14]. - The largest shareholder, Zhang Shihua, holds 40,233,657 shares, representing 19.8% of total shares[15]. - The company has signed a concerted action agreement among several major shareholders, indicating potential strategic alignment[15]. Research and Development - Research and development expenses for Q1 2022 were CNY 16,952,733.22, an increase from CNY 13,966,069.70 in Q1 2021[23]. Asset Management - The company has a total of 448,707,339.24 RMB in non-current assets as of March 31, 2022, compared to 407,727,060.74 RMB at the end of 2021, reflecting an increase of about 10%[19]. - The company reported a significant decrease in employee compensation payable from 42,026,516.17 RMB to 10,906,833.19 RMB, a drop of approximately 74%[19]. Accounting Standards - The company did not apply the new accounting standards for the current year[28].

Financial Performance - The company's operating revenue for 2021 was CNY 1,717,290,642.31, representing an 8.00% increase compared to CNY 1,590,152,353.41 in 2020[25]. - The net profit attributable to shareholders for 2021 was CNY 235,370,594.62, a decrease of 13.81% from CNY 273,091,001.84 in 2020[25]. - The net cash flow from operating activities increased by 27.02% to CNY 161,012,833.00 in 2021, compared to CNY 126,758,759.57 in 2020[25]. - The total assets at the end of 2021 were CNY 2,220,987,101.31, up 7.82% from CNY 2,059,923,483.00 at the end of 2020[25]. - The basic earnings per share for 2021 was CNY 1.16, down 13.43% from CNY 1.34 in 2020[26]. - The weighted average return on equity decreased by 4.68 percentage points to 15.48% in 2021 from 20.16% in 2020[26]. - The company reported a net profit of CNY 42,211,074.62 in Q1 2021, with total operating revenue of CNY 282,532,300.59 for the same quarter[28]. - The company received government subsidies amounting to CNY 16,269,979.20 in 2021, compared to CNY 19,070,858.24 in 2020[29]. Dividend and Share Repurchase - The company plans to distribute a cash dividend of 8 RMB per 10 shares, totaling approximately 161.64 million RMB, which represents 68.68% of the net profit attributable to shareholders for 2021[5]. - The total amount spent on share repurchases during the reporting period was approximately 26.60 million RMB, leading to a combined total of 188.25 million RMB for dividends and repurchases, accounting for 79.98% of the net profit attributable to shareholders[5]. - The company plans to distribute a cash dividend of 4 RMB per 10 shares, totaling approximately 81.3 million RMB for the year 2020[191]. - The cash dividend distribution policy states that at least 20% of the annual distributable profit must be distributed in cash if there are no major capital expenditure plans[188]. - The company has established a profit distribution policy that emphasizes reasonable returns to public shareholders and aims for consistency and stability in cash dividends[187]. Risks and Compliance - The company has not identified any significant risks that could materially affect its operations during the reporting period[7]. - The company has confirmed that there are no non-operational fund occupations by controlling shareholders or related parties[7]. - The company has not faced any violations of decision-making procedures in providing guarantees to external parties[7]. - The company emphasizes the importance of investment risk awareness regarding forward-looking statements in the report[6]. - The company is committed to enhancing corporate governance, ensuring compliance with relevant laws and regulations, and protecting shareholder rights[158]. Audit and Internal Control - The company has received a standard unqualified audit report from the accounting firm, ensuring the accuracy and completeness of the financial report[4]. - Internal control evaluations have been conducted, confirming the effectiveness of the company's internal control systems without significant deficiencies[160]. - The internal control audit report issued by Lixin Accounting Firm provided a standard unqualified opinion, indicating effective internal control measures[199]. Research and Development - The company invested 62.68 million yuan in R&D, a year-on-year increase of 10.19%, and applied for 94 patents during the reporting period[39]. - Research and development expenses increased by 25% in 2021, totaling 150 million, reflecting the company's commitment to innovation[165]. - The company has established a comprehensive R&D and production management system, enhancing automation and efficiency in production[89]. Market and Industry Trends - The overall industry development in 2021 faced significant challenges, with a decline in revenue growth rates for the instrument manufacturing sector, showing a quarterly decreasing trend[46]. - The implementation of new pricing management measures for urban water supply in October 2021 is expected to take time to yield substantial benefits[49]. - The company anticipates a domestic demand for water meters to reach 1.3 billion units by 2023, with projected sales revenue of 151 million RMB[132]. - The smart water service market is projected to grow, addressing challenges such as water resource shortages and the need for enhanced supply system monitoring[133]. Strategic Initiatives - The company has formed strategic partnerships with leading technology firms to develop cutting-edge smart water technologies, laying a solid foundation for future growth in the smart water sector[88]. - The company is committed to high-quality development, emphasizing product quality and operational efficiency to foster sustainable growth[141]. - The company plans to enhance its market share by implementing differentiated marketing strategies and expanding into new markets, including residential water meter markets[143]. Employee and Management - The company has implemented a performance-based salary system for management and technical staff, with salaries based on local industry standards and performance evaluations[182]. - The total number of employees in the parent company is 994, while the total number of employees in major subsidiaries is 228, resulting in a combined total of 1,222 employees[181]. - The company has established a transparent performance evaluation and incentive mechanism for senior management to enhance governance[159].

证券代码：603700 证券简称：宁水集团 公告编号：2021-057 宁波水表（集团）股份有限公司 关于参加宁波辖区 2021 年度上市公司投资者网上集体接待 日活动的公告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述 或者重大遗漏，并对其内容的真实性、准确性和完整性承担个别及连带责任。 为进一步加强宁波辖区上市公司与投资者的沟通交流，增强上市公司的透 明度，提升公司治理水平，促进公司规范运作，在宁波证监局指导下，宁波上 市公司协会联合深圳市全景网络有限公司共同举办"心系投资者、携手共行动 —宁波辖区 2021 年度上市公司投资者网上集体接待日活动"。活动将于 2021 年 11 月 18 日 15:00-17:00 举行，平台登陆地址为：https://rs.p5w.net/。 届时，公司高管人员将参加本次活动，通过网络在线交流形式，就公司治 理、发展战略、经营状况、可持续发展等投资者所关心的问题，与投资者进行 "一对多"形式的沟通与交流。欢迎广大投资者踊跃参与。特此公告。 宁波水表（集团）股份有限公司董事会 2021 年 11 月 11 日 ...

2021 年第三季度报告 证券代码：603700 证券简称：宁水集团 宁波水表（集团）股份有限公司 2021 年第三季度报告 本公司董事会及全体董事保证本公告内容不存在任何虚假记载、误导性陈述或者 重大遗漏，并对其内容的真实性、准确性和完整性承担个别及连带责任。 重要内容提示： 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真实、准确、完整， 不存在虚假记载、误导性陈述或重大遗漏，并承担个别和连带的法律责任。 公司负责人、主管会计工作负责人及会计机构负责人（会计主管人员）保证季度报告中财务 报表信息的真实、准确、完整。 第三季度财务报表是否经审计 □是 √否 一、 主要财务数据 (一)主要会计数据和财务指标 单位：元 币种：人民币 | | | 本报告期 | | 年初至报告 | | --- | --- | --- | --- | --- | | 项目 | 本报告期 | 比上年同 | 年初至报告期末 | 期末比上年 | | | | 期增减变 | | 同期增减变 | | | | 动幅度(%) | | 动幅度(%) | | 营业收入 | 435,945,819.29 | 7.30 | 1,175,99 ...

Financial Performance - The company reported a total revenue of RMB 500 million for the first half of 2021, representing a year-on-year increase of 15%[11]. - The net profit attributable to shareholders was RMB 80 million, up 20% compared to the same period last year[11]. - The company achieved total operating revenue of CNY 740,050,733.58, representing a year-on-year increase of 12.79%[21]. - Net profit attributable to shareholders was CNY 117,637,398.52, a slight increase of 0.29% compared to the same period last year[21]. - The net profit attributable to shareholders after deducting non-recurring gains and losses decreased by 0.48% to CNY 100,657,950.07[21]. - The company reported a significant increase in user data, with a notable rise in active users contributing to revenue growth[131]. - The net profit for the first half of 2021 was CNY 117,260,539.06, a slight increase from CNY 116,207,747.60 in the same period of 2020, representing a growth of approximately 0.9%[144]. Market Expansion and Product Development - The company plans to launch a new smart water meter product line by Q4 2021, aiming to capture a larger market share in the smart water management sector[11]. - The company is exploring potential acquisitions in the smart water technology sector to enhance its product offerings and market presence[11]. - The company is actively expanding its product offerings, including smart water meters and comprehensive data service platforms[34]. - The company plans to complete the construction of 40 new service points by the end of 2021 to enhance customer service and maintain market stability[36]. - The company plans to expand its market presence and is focusing on new product development to enhance competitiveness[131]. - The company aims to enhance its capital structure through strategic investments and potential mergers and acquisitions[164]. Research and Development - The company has invested RMB 30 million in R&D for new technologies related to IoT and smart water solutions[11]. - The company invested CNY 31.56 million in R&D during the first half of 2021, representing a 24.14% increase year-on-year[61]. - The company is focusing on the development of water quality sensors and non-invasive pipeline repair technologies, which are expected to benefit from environmental regulations[45]. - The company is focusing on technological innovation, having developed a project for networked monitoring and cloud platform systems for water supply networks, which was recognized by the Ministry of Industry and Information Technology[52]. Financial Position and Cash Flow - The company has maintained a strong cash position with cash and cash equivalents amounting to RMB 150 million as of June 30, 2021[11]. - Cash and cash equivalents decreased by 30.20% to CNY 348.98 million from CNY 500.00 million due to seasonal factors and net cash outflow from operations[72]. - The company reported a net cash outflow from operating activities of CNY -146.29 million, compared to CNY -124.95 million in the previous year[69]. - The total current assets as of June 30, 2021, amounted to CNY 1,780,010,075.69, a decrease from CNY 1,818,261,596.65 as of December 31, 2020, reflecting a decline of approximately 2.3%[131]. - The company reported cash and cash equivalents at the end of the period amounting to CNY 338,635,717.53, compared to CNY 287,675,487.03 at the end of the first half of 2020, an increase of approximately 17.7%[147]. Strategic Initiatives and Risk Management - The company has implemented a new marketing strategy focusing on digital channels, which is expected to increase customer engagement by 25%[11]. - The company has established a comprehensive R&D, procurement, production, sales, and after-sales service system, optimizing inventory management through an "order + stocking" model[35]. - The company has implemented measures to stabilize stock prices if the closing price falls below the audited net asset value per share for 20 consecutive trading days[106]. - The company has a lock-up period of 36 months for shares held by certain individuals, with specific conditions for potential extensions[104]. - The company is facing intensified market competition in the smart water meter sector, which may lead to price volatility due to the influx of cross-industry competitors[81]. Corporate Social Responsibility - The company has established a charity fund in Ningbo Jiangbei District to support various charitable activities, including assistance for the needy, education, healthcare, and disability services[98]. - The company has been actively involved in poverty alleviation efforts, partnering with impoverished counties in Gansu, Guizhou, and Yunnan to support the development of industries for registered impoverished households[98]. Compliance and Governance - The company committed to ensuring the authenticity, accuracy, and completeness of the prospectus, taking legal responsibility for any false statements or omissions[107]. - The controlling shareholders and actual controllers promised not to interfere with the company's management activities and not to infringe on the company's interests[109]. - The company will ensure that any future stock incentive plans are linked to the execution of compensation measures[109].

Financial Performance - Operating revenue increased by 19.52% to CNY 282,532,300.59 year-on-year[5] - Net profit attributable to shareholders increased by 27.47% to CNY 42,211,074.62 compared to the same period last year[5] - Basic and diluted earnings per share rose by 31.25% to CNY 0.21[5] - Total operating revenue for Q1 2021 was CNY 282,532,300.59, an increase of 19.5% compared to CNY 236,391,190.90 in Q1 2020[28] - Net profit for Q1 2021 reached CNY 42,023,166.93, representing a 27.5% increase from CNY 32,949,389.29 in Q1 2020[29] - Earnings per share for Q1 2021 were CNY 0.21, compared to CNY 0.16 in Q1 2020[29] Assets and Liabilities - Total assets decreased by 6.18% to CNY 1,932,593,359.72 compared to the end of the previous year[5] - The company's current assets totaled CNY 1,671,193,618.80, down from CNY 1,818,261,596.65 at the end of 2020, indicating a decrease of about 8.08%[20] - The company's total liabilities decreased to CNY 445,605,271.16 from CNY 605,864,475.30, a reduction of approximately 26.43%[22] - Total liabilities decreased to CNY 412,767,887.71 in Q1 2021 from CNY 581,577,152.06 in Q1 2020[25] - The company’s total assets as of Q1 2021 amounted to 2,059,923,483.00 RMB, slightly down from 2,060,942,871.12 RMB at the beginning of the year[40] Cash Flow - The net cash flow from operating activities was CNY -178,715,549.57, showing a slight improvement from CNY -178,861,028.17 in the previous year[5] - The net cash flow from investing activities was RMB -7,421,273.38, a significant improvement compared to RMB -106,160,353.05 in the same period last year[14] - Cash flow from operating activities showed a net outflow of ¥178,715,549.57, slightly improved from a net outflow of ¥178,861,028.17 in Q1 2020[35] - The company reported a cash flow from financing activities of -20,367,208.06 RMB in Q1 2021, indicating no new financing was secured during the period[38] Shareholder Information - The total number of shareholders reached 13,230 by the end of the reporting period[9] - The largest shareholder, Zhang Shihua, holds 19.80% of the shares, totaling 40,233,657 shares[9] - The company repurchased a total of 1,080,036 shares, accounting for 0.53% of the total share capital, at an average price of RMB 27.65 per share, totaling RMB 29,861,141.78[15] Research and Development - Research and development expenses increased by 61.70% to RMB 13,966,069.70, reflecting the company's ongoing investment in smart water management hardware and software platforms[13] - Research and development expenses for Q1 2021 amounted to CNY 13,966,069.70, a significant increase of 61.5% from CNY 8,637,097.54 in Q1 2020[28] Government Subsidies - Non-recurring gains and losses totaled CNY 13,032,878.88, primarily from government subsidies[8] - The company received CNY 11,948,059.99 in government subsidies related to industrial support during the reporting period[8] - Other income rose by 99.67% to RMB 4,540,614.97, mainly due to an increase in government subsidies received[14] - The company reported a 243.29% increase in non-operating income to RMB 10,872,090.29, attributed to higher government subsidies[14] Inventory and Accounts Receivable - Accounts receivable financing decreased by 34.56% to RMB 21,154,650.50, primarily due to the transfer and maturity of receivable notes[13] - Accounts receivable increased to CNY 580,758,428.37 from CNY 525,073,362.38, marking an increase of about 10.59%[20] - The inventory balance as of March 31, 2021, was CNY 337,285,628.99, up from CNY 317,125,543.34, indicating an increase of about 6.67%[20] Employee Stock Ownership Plan - The company plans to implement an employee stock ownership plan for 2021 to 2023, which was approved by the board[16] - The company has established an employee stock ownership plan for 2021-2023, which was approved in the shareholder meeting held on March 23, 2021[17] - The first meeting of the employee stock ownership plan management committee was held on March 29, 2021, to oversee the implementation of the plan[18]

Financial Performance - Operating revenue increased by 19.52% to CNY 282,532,300.59 year-on-year[5] - Net profit attributable to shareholders increased by 27.47% to CNY 42,211,074.62 compared to the same period last year[5] - Basic and diluted earnings per share rose by 31.25% to CNY 0.21[5] - Total operating revenue for Q1 2021 was CNY 282,532,300.59, an increase of 19.5% compared to CNY 236,391,190.90 in Q1 2020[28] - Net profit for Q1 2021 reached CNY 42,023,166.93, representing a 27.5% increase from CNY 32,949,389.29 in Q1 2020[29] - Total comprehensive income for Q1 2021 was ¥42,715,597.82, compared to ¥32,522,419.69 in Q1 2020, reflecting a growth of 31.3%[32] Assets and Liabilities - Total assets decreased by 6.18% to CNY 1,932,593,359.72 compared to the end of the previous year[5] - The company's total assets decreased to CNY 1,898,900,358.08 from CNY 2,034,088,110.68 in the previous year[25] - The company's total liabilities decreased to CNY 445,605,271.16 from CNY 605,864,475.30, a reduction of approximately 26.43%[22] - Total liabilities decreased to CNY 412,767,887.71 from CNY 581,577,152.06 year-over-year[25] - The company's current assets totaled CNY 1,671,193,618.80, down from CNY 1,818,261,596.65 at the end of 2020, indicating a decrease of about 8.08%[20] Cash Flow - Cash flow from operating activities showed a slight improvement, with a net cash flow of -178,715,549.57, compared to -178,861,028.17 in the previous year[5] - Cash inflow from operating activities totaled ¥299,458,879.42, compared to ¥178,875,930.95 in Q1 2020, marking a significant increase of 67.4%[34] - The net cash flow from operating activities for Q1 2021 was -CNY 175,071,315.38, slightly improved from -CNY 181,037,593.64 in Q1 2020[36] - The net cash flow from investing activities was RMB -7,421,273.38, a significant improvement from RMB -106,160,353.05 in the previous year[14] Shareholder Information - The total number of shareholders reached 13,230 at the end of the reporting period[9] - The largest shareholder, Zhang Shihau, holds 19.80% of the shares, totaling 40,233,657 shares[9] - The company repurchased a total of 1,080,036 shares, accounting for 0.53% of the total share capital, at an average price of RMB 27.65 per share, totaling RMB 29,861,141.78[15] Research and Development - Research and development expenses increased by 61.70% to RMB 13,966,069.70 from RMB 8,637,097.54, reflecting the company's ongoing investment in smart water management hardware and software platforms[13] - The company reported a significant increase in research and development expenses, which rose to CNY 13,966,069.70 from CNY 8,637,097.54 in Q1 2020, marking a 61.5% increase[28] Government Support - Government subsidies recognized during the period amounted to CNY 11,948,059.99, primarily from the 2025 Industrial Enterprise Support Fund[8] - Other income increased by 99.67% to RMB 4,540,614.97 from RMB 2,274,068.41, primarily due to increased government subsidies received[14] Inventory and Receivables - Accounts receivable increased to CNY 580,758,428.37 from CNY 525,073,362.38, marking an increase of about 10.59%[20] - Inventory levels rose to CNY 319,855,835.98 from CNY 301,063,996.07, reflecting a 6.2% increase[24] - Other receivables decreased by 42.89% to RMB 10,571,799.47 from RMB 18,510,662.50, mainly due to the receipt of VAT refunds for embedded software products[13] Borrowings and Financial Position - Short-term borrowings increased by 39.88% to RMB 14,000,000.00 from RMB 10,008,797.58, reflecting new bank loans taken during the period[13] - The company reported a significant reduction in short-term borrowings, which increased to CNY 14,000,000.00 from CNY 10,008,797.58, an increase of approximately 39.87%[21]

Financial Performance - The company achieved total operating revenue of ¥1,590,152,353.41 in 2020, representing a year-on-year growth of 15.97%[27]. - Net profit attributable to shareholders of the listed company was ¥273,091,001.84, an increase of 28.64% compared to the previous year[27]. - The net profit after deducting non-recurring gains and losses was ¥245,100,630.87, up 30.32% year-on-year, primarily due to the rapid development of the smart water meter business[27]. - Basic earnings per share for 2020 were ¥1.34, reflecting a growth of 26.42% from ¥1.06 in 2019[26]. - Total assets at the end of 2020 reached ¥2,059,923,483.00, a 21.14% increase from ¥1,700,511,780.22 in 2019[25]. - The weighted average return on net assets increased to 20.16%, up 1.2 percentage points from 18.96% in 2019[26]. - The company reported a net cash flow from operating activities of ¥126,758,759.57, a decrease of 9.28% compared to the previous year[25]. - The company’s net assets attributable to shareholders were ¥1,452,633,108.50 at the end of 2020, an increase of 16.76% from ¥1,244,167,921.79 in 2019[25]. Dividend Policy - The company plans to distribute a cash dividend of 4 RMB per 10 shares, totaling approximately 80.86 million RMB, which accounts for 29.61% of the net profit attributable to shareholders in 2020[5]. - The cash dividend payout ratio for 2020 was 7.32%, amounting to 19,988,015.16 RMB[144]. - The company has established a cash dividend policy, ensuring a minimum of 20% of distributable profits are allocated to cash dividends annually, provided certain conditions are met[136]. - The company plans to distribute cash dividends with a minimum ratio of 80% if it is in a mature stage without significant capital expenditure arrangements[137]. - The company has committed to a differentiated cash dividend proposal based on its development stage and capital expenditure plans[137]. - The company’s net profit attributable to ordinary shareholders for 2020 was 273,091,001.84 RMB, with a dividend payout ratio of 29.61%[142]. Share Repurchase and Capital Structure - The total amount spent on share repurchases during the reporting period was approximately 19.99 million RMB, combined with the proposed cash dividend, totaling around 100.85 million RMB, representing 36.93% of the net profit attributable to shareholders[5]. - The company’s capital stock increased by 30.00% to ¥203,242,000.00 due to the capitalization of reserves[96]. - The company has a total of 203,242,000 shares after the recent capital increase, with 99,918,690 shares subject to limited sale conditions, representing 49.16% of total shares[200]. - The company has a total of 103,323,300 shares in circulation, with 39,090,000 shares under unlimited sale conditions, representing 50.84% of total shares[200]. Risk Management - There are no significant risks that could materially affect the company's operations during the reporting period[8]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties[7]. - The company has not violated decision-making procedures for providing guarantees[8]. - The company has not faced any issues with a majority of directors being unable to ensure the authenticity of the annual report[8]. - The company emphasizes the importance of investment risk awareness regarding forward-looking statements in the report[6]. - The company is exposed to macroeconomic risks, as its products are closely tied to urban water supply, which may be adversely affected by economic slowdowns[126]. - The company faces risks of declining gross margins due to increased competition in the smart water meter market and potential raw material price fluctuations[129]. Innovation and Product Development - The company focuses on smart water supply, manufacturing over 1,000 types of water metering products, serving over 2,300 domestic water companies, and exporting to over 80 countries[38]. - The company is developing Smart 3.0 products based on 5G technology, which will provide integrated data sensing for water supply companies, measuring parameters like water volume, pressure, and quality[39]. - The smart water service application cloud platform integrates various systems for seamless data exchange, enhancing decision-making for water companies[40]. - The company is committed to innovation and product development, expanding its offerings beyond traditional water metering products to include network flushing equipment and pressure analyzers[44]. - The company has developed a new generation of NB-IoT water meters, significantly reducing costs and improving gross margins[60]. - The company is actively pursuing a strategy of expanding its service capabilities and optimizing product structures to adapt to market demands[60]. Market Position and Strategy - The company has established long-term partnerships with over 2,300 water supply companies, maintaining a stable market position with sales revenue distribution across eight regions[58]. - The company aims to achieve a revenue target of 2 billion yuan for 2021, focusing on expanding both domestic and international markets[119]. - The company is transitioning towards a "manufacturing + service" model, integrating hardware and software solutions for comprehensive water management[117]. - The company anticipates significant growth in the smart water management sector, with the industry scale projected to exceed 100 billion yuan in the future[115]. - The company plans to enhance its production capacity to 5 million smart meters and establish a fully automated production line in a new factory utilizing advanced technologies like 5G and IoT[122]. Social Responsibility and Community Engagement - The company contributed RMB 25,000 in funds and RMB 2,000 in material donations for poverty alleviation efforts[188]. - The company received the "Outstanding Contribution Award" from the China Metrology Association for its efforts in social responsibility and poverty alleviation[188]. - The company actively participates in social welfare activities, including a donation of 1 million yuan for pandemic relief efforts and establishing a charity fund for local assistance programs[194]. - The company emphasizes employee rights protection, providing benefits such as free accommodation, regular health check-ups, and high-temperature subsidies[193]. Compliance and Governance - The company has received a standard unqualified audit report from the accounting firm, ensuring the accuracy and completeness of the financial report[4]. - The company has confirmed that there are no significant accounting errors or changes in accounting estimates during the reporting period[159]. - The company has committed to not engaging in any activities that would harm the interests of shareholders and will compensate for any losses caused by breaches of this commitment[154]. - The company will publicly disclose any failure to fulfill commitments made in the prospectus and will compensate investors for any resulting losses[154]. - The company has ensured that its controlling shareholders and executives will not interfere with management activities or misappropriate company interests[154].

Financial Performance - Net profit attributable to shareholders rose by 35.92% to CNY 182,771,888.44 for the first nine months of the year[5] - Operating revenue for the first nine months increased by 16.31% to CNY 1,062,399,434.50 compared to the same period last year[5] - Basic earnings per share increased by 32.35% to CNY 0.90[6] - The weighted average return on equity improved by 1.38 percentage points to 13.89%[6] - The company's net profit increased, leading to a 31.27% rise in retained earnings to CNY 570,324,122.70[14] - The company reported a total profit of ¥75,127,847.83 for Q3 2020, compared to ¥62,585,112.42 in Q3 2019, marking a growth of 19.66%[28] - The company's total profit for the first three quarters of 2020 was ¥209,221,717.74, up 35.47% from ¥154,411,084.74 in the same period of 2019[32] Assets and Liabilities - Total assets increased by 9.67% to CNY 1,864,988,490.22 compared to the end of the previous year[5] - The total number of shareholders reached 10,114 by the end of the reporting period[10] - Total liabilities increased significantly, with short-term borrowings recorded at CNY 10,009,043.39 due to new bank loans[13] - Total liabilities stood at CNY 482,170,080.33, compared to CNY 454,522,451.83, showing an increase of about 6.06%[21] - The company's equity increased to CNY 1,382,818,409.89 from CNY 1,245,989,328.39, representing a growth of approximately 10.96%[21] - The total liabilities as of Q3 2020 were ¥456,943,992.87, an increase from ¥431,409,378.27 in the previous year[24] - Total equity increased to ¥1,381,630,099.05 in Q3 2020, up from ¥1,245,563,537.00 in Q3 2019[24] Cash Flow - The net cash flow from operating activities for the first nine months was CNY -161,516,876.15, showing a slight improvement from CNY -165,909,905.01 in the previous year[5] - Cash inflow from operating activities for the first three quarters of 2020 was CNY 946,780,912.46, an increase from CNY 767,563,068.38 in the same period of 2019, representing a growth of approximately 23.4%[34] - Cash outflow from operating activities in Q3 2020 totaled CNY 1,108,297,788.61, compared to CNY 933,472,973.39 in Q3 2019, indicating an increase of about 18.7%[35] - The total cash inflow from operating activities for the first three quarters of 2020 was CNY 895,741,800.40, up from CNY 717,063,899.14 in the same period of 2019, reflecting a growth of approximately 25%[38] Investments and Expenses - Research and development expenses increased by 45.55% to CNY 42,162,629.38, reflecting enhanced R&D efforts and project expansions[15] - Investment income rose by 68.11% to CNY 10,579,890.64, primarily from increased financial investment returns[15] - Research and development expenses for Q3 2020 amounted to ¥16,736,720.73, a significant increase of 34.00% compared to ¥12,427,149.68 in Q3 2019[26] - Other income grew by 73.95% to CNY 19,538,340.52, mainly due to increased government subsidies such as software tax rebates[15] - Other income for Q3 2020 was ¥9,209,835.74, significantly higher than ¥1,835,294.45 in Q3 2019, indicating a growth of 400.00%[31] Shareholder Information - The top shareholder, Zhang Shihau, holds 19.80% of the shares, totaling 40,233,657 shares[10] - The company received government subsidies amounting to CNY 15,807,110.08 during the reporting period[7] Future Outlook - The company plans to continue expanding its market presence and investing in new technologies to drive future growth[12] - Future strategies may include leveraging retained earnings for market expansion and new product development[47]