Financial Performance - The company achieved a net profit of RMB 289,181,830.60 for the year 2021, with a legal surplus reserve of RMB 28,918,183.06 deducted [3]. - The total undistributed profits at the end of 2021 amounted to RMB 1,181,227,077.21 after distributing cash dividends of RMB 121,742,399.28 for the year 2020 [3]. - A cash dividend of RMB 2.20 per 10 shares (including tax) will be distributed, totaling RMB 111,597,199.34, resulting in a cash dividend payout ratio of 34.37% [4]. - The company plans to carry forward the remaining undistributed profits of RMB 1,069,629,877.87 to the next fiscal year [4]. - The company achieved operating revenue of RMB 1.788 billion in 2021, a year-on-year increase of 3.34% [21]. - Net profit attributable to shareholders was RMB 324.84 million, a decrease of 1.95% compared to the previous year [21]. - The net cash flow from operating activities was RMB 279.26 million, down 17.17% year-on-year [21]. - The company's total assets increased by 6.83% to RMB 3.773 billion at the end of 2021 [21]. - The weighted average return on equity decreased by 1.21 percentage points to 11.32% in 2021 [22]. - The gross profit margin for the main business improved to 64.00%, an increase of 1.11 percentage points year-on-year [63]. - The company reported a net profit margin of 12%, up from 10% in the previous year [158]. Product and Market Development - High-end product revenue reached RMB 1.095 billion, growing 26.24% year-on-year, accounting for 62.11% of total revenue [29]. - The production of premium liquor increased by 18.26% in 2021, showcasing the company's production capacity advantages [31]. - The company established sales offices in Shanghai and Jiangsu to enhance its presence in the East China market [29]. - The company categorized its products into three tiers: low-end (below 30 RMB/500ml), mid-range (30 to 100 RMB/500ml), and high-end (above 100 RMB/500ml) [67]. - High-end product production increased by 7.48% to 5,027.69 thousand liters, while sales surged by 23.74% to 5,329.60 thousand liters [69]. - The company is expanding its sales network to enhance brand recognition and competitiveness in both Northwest and Eastern China markets [50]. - The company plans to continue optimizing its product structure with a focus on high-end products like Jin Hui 28 in 2022 [99]. - The sales revenue from the southeastern region of Gansu was 499,088,379.36 RMB, accounting for 28.31% of total sales [105]. Research and Development - The company has a dedicated R&D team led by national-level liquor judges, focusing on consumer-driven product development [40]. - Research and development expenses increased by 17.07% year-on-year, reflecting a focus on innovation and product quality [61]. - The company introduced a unique "solid-state brewing IoT monitoring system," which has been patented and won a national commercial technology progress award [53]. - The company is investing 50 million in R&D for new technologies aimed at enhancing product efficiency [158]. Risk Management - The company has outlined potential risks in its future development discussions [4]. - The company faces risks from changes in the industry operating environment, with potential significant declines in operating performance if product structure optimization and marketing network expansion are not timely addressed [122]. - There is a risk of talent loss, as the company relies on a stable technical team for sustainable development, despite having established attractive compensation and incentive policies [123]. - Market competition risk is heightened due to increasing consumer demands for brand and quality, which could lead to a loss of market share and declining revenues if effective measures are not taken [124]. - Environmental protection risks exist, as stricter regulations may require additional investments in environmental facilities and operational costs [125]. - The company is exposed to risks from rising raw material prices or supply shortages, which could adversely affect production costs if internal management optimization is not achieved [127]. - Food safety risks are present, as new regulations could impose higher quality requirements that the company must meet to avoid operational impacts [128]. - Safety production risks are significant, with the potential for major economic losses if safety management does not keep pace with production scale expansion [129]. - The company is monitoring the ongoing COVID-19 pandemic, which poses risks to production and operations due to potential restrictions on consumption scenarios [130]. Corporate Governance - The company adheres to legal and regulatory requirements for corporate governance, ensuring the protection of shareholder rights and interests [132]. - The board of directors has effectively operated within legal frameworks, holding 4 meetings and passing 34 resolutions during the reporting period [135]. - The company emphasizes stakeholder interests, ensuring a balance among shareholders, employees, partners, and society [139]. - The controlling shareholder operates independently from the company, with no adverse impact on operations from related party transactions [140]. - The company has received a B rating for its information disclosure practices from the Shanghai Stock Exchange, ensuring timely and accurate information release [141]. - The company actively engages with investors through performance briefings, site visits, and roadshows to maintain transparency [142]. - The company has established a robust internal control system to enhance risk management and operational efficiency [145]. - The company maintains independence from its controlling shareholder, despite some industry competition with Shede Liquor [147]. Employee and Remuneration Policies - The total remuneration for all directors, supervisors, and senior management at the end of the reporting period amounted to 6.0396 million yuan [165]. - The company has established a competitive salary system that aligns employee compensation with company performance, ensuring that at least 30% of the net profit is distributed as cash dividends [183][192]. - The employee composition includes 905 production staff, 738 sales personnel, and 260 technical staff, reflecting a diverse workforce [182]. - The company emphasizes a training program aimed at enhancing employee skills and aligning with strategic development goals [186]. - The company has implemented a performance evaluation mechanism for senior management, linking compensation to economic performance and annual operational goals [197]. Strategic Planning - The company aims to achieve operating revenue of CNY 2.5 billion in 2022, focusing on market expansion and brand building [119]. - The company plans to enhance its marketing strategy by integrating large customer operations and deep distribution channels [119]. - The company is considering strategic acquisitions to bolster its market position, with a budget of 100 million allocated for potential deals [158]. - The management emphasized a focus on sustainability initiatives, aiming to reduce operational costs by 10% over the next two years [158].

Financial Performance - The company's operating revenue for the third quarter reached ¥369,173,911.51, representing a year-on-year increase of 10.65%[6] - The net profit attributable to shareholders for the third quarter was ¥55,690,699.11, reflecting a significant increase of 44.31% compared to the same period last year[6] - The net profit attributable to shareholders after deducting non-recurring gains and losses for the third quarter was ¥48,124,229.76, showing a slight decrease of 1.41% year-on-year[6] - The basic earnings per share for the third quarter was ¥0.11, an increase of 37.50% compared to the same period last year[6] - Total operating revenue for the first three quarters of 2021 reached ¥1,341,038,920.06, an increase of 28.3% compared to ¥1,045,164,303.44 in the same period of 2020[26] - Net profit attributable to shareholders for the first three quarters of 2021 was ¥243,084,119.54, up 53.1% from ¥158,799,403.33 in the first three quarters of 2020[28] - Basic and diluted earnings per share for the first three quarters of 2021 were both ¥0.48, compared to ¥0.31 in the same period of 2020, reflecting a 54.8% increase[30] Assets and Liabilities - The total assets at the end of the reporting period amounted to ¥3,558,933,432.28, a slight increase of 0.76% from the end of the previous year[6] - Total assets as of September 30, 2021, amounted to ¥3,558,933,432.28, a slight increase from ¥3,531,948,502.03 at the end of 2020[25] - Total liabilities decreased to ¥659,334,492.81 as of September 30, 2021, from ¥753,691,282.82 at the end of 2020, representing a reduction of 12.5%[23] - The total liabilities increased from 753,691,282.82 RMB at the end of 2020 to 766,109,883.10 RMB at the beginning of 2021, reflecting an increase of approximately 1.5%[39] Cash Flow - The net cash flow from operating activities for the year-to-date period was negative at -¥76,007,190.45, a decrease of 37.09% compared to the same period last year[6] - The net cash flow from operating activities for the first three quarters of 2021 was -76,007,190.45 RMB, compared to -55,441,958.51 RMB in the same period of 2020, indicating a decline of approximately 37%[33] - Total cash inflow from operating activities increased to 1,630,280,259.39 RMB in 2021 from 1,183,604,302.91 RMB in 2020, representing an increase of about 38%[31] - Cash outflow from operating activities rose to 1,706,287,449.84 RMB in 2021, up from 1,239,046,261.42 RMB in 2020, marking an increase of approximately 38%[33] - The net cash flow from financing activities was -32,411,971.29 RMB in 2021, contrasting with a positive net cash flow of 32,555,379.33 RMB in 2020[35] Shareholder Information - The company reported a total of 72,885 common shareholders at the end of the reporting period[12] - The largest shareholder, Shanghai Yuyuan Tourist Mart (Group) Co., Ltd., holds 30.00% of the shares[12] Research and Development - Research and development expenses for the first three quarters of 2021 were ¥29,636,106.28, a slight increase from ¥26,895,344.52 in the same period of 2020[26] Inventory and Current Assets - Current assets totaled ¥1,819,110,072.16 as of September 30, 2021, compared to ¥1,747,834,484.07 at the end of 2020, indicating a growth of 4.1%[19] - Inventory as of September 30, 2021, was ¥1,355,065,833.79, an increase of 19.2% from ¥1,136,895,107.37 at the end of 2020[21] Equity - The company reported a total equity of ¥2,899,598,939.47 as of September 30, 2021, compared to ¥2,778,257,219.21 at the end of 2020, reflecting an increase of 4.4%[24]

Financial Performance - The company's operating revenue for the first half of the year reached ¥971,865,008.55, representing a 36.59% increase compared to ¥711,526,414.74 in the same period last year[19] - Net profit attributable to shareholders was ¥187,393,420.43, up 55.89% from ¥120,207,754.16 year-on-year[19] - The net cash flow from operating activities increased significantly to ¥85,087,927.14, a 267.80% rise from ¥23,134,395.20 in the previous year[19] - The basic earnings per share rose to ¥0.37, reflecting a 54.17% increase from ¥0.24 in the same period last year[20] - The weighted average return on net assets improved to 6.57%, an increase of 1.92 percentage points compared to 4.65% in the previous year[20] - In the first half of 2021, the company achieved revenue of 972 million RMB, a year-on-year increase of 36.59%, and a net profit attributable to shareholders of 187 million RMB, up 55.89% year-on-year[52] - In Q2 2021, the company reported revenue of 464 million RMB, representing a 25.60% increase compared to the same period last year, with a net profit of 72.07 million RMB, an increase of 15.58% year-on-year[52] Product Revenue and Market Performance - Revenue from products priced over ¥100 reached ¥578,415,600, showing substantial growth compared to the previous year[20] - The proportion of products priced over 100 yuan in the main business revenue increased to 60.27%, an increase of 4.84 percentage points compared to the same period last year[22] - The sales revenue of products priced over 100 RMB increased by 48.72%, accounting for 60.27% of total sales revenue, up 4.84 percentage points year-on-year[55] - Revenue from the Gansu province's Hexi region reached 109 million RMB, a growth of 55.64% year-on-year[52] - Revenue from markets outside Gansu, including Fosun Ecology, amounted to 213 million RMB, a year-on-year increase of 64.50%[52] Operating Costs and Expenses - Operating costs increased to ¥333,529,440.11, reflecting a 21.15% rise from ¥275,312,558.03, with the growth rate lower than that of revenue[56] - Sales expenses surged by 74.25% to ¥159,617,809.66, up from ¥91,601,719.79, due to enhanced customer engagement and brand building efforts[56] - Research and development expenses decreased by 41.04% to ¥12,624,675.94, down from ¥21,413,171.82, as some projects neared completion[59] Assets and Liabilities - The company's total assets decreased slightly by 1.49% to ¥3,479,185,209.52 from ¥3,531,948,502.03 at the end of the previous year[19] - The total equity attributable to shareholders increased to ¥2,843,908,240.36 as of June 30, 2021, up from ¥2,778,257,219.21 at the end of 2020, marking a growth of 2.4%[132] - Total liabilities decreased to ¥635,276,969.16 as of June 30, 2021, down 15.7% from ¥753,691,282.82 at the end of 2020[132] - Current liabilities totaled ¥587,925,051.25, a reduction of 17.7% compared to ¥714,850,423.63 at the end of 2020[132] Research and Development - The company has established a comprehensive R&D team led by a national-level wine master, focusing on consumer demand and product quality improvement[35] - The company has established a solid R&D system focusing on product quality and food safety, with a strong talent pool in the industry[51] Environmental and Social Responsibility - The company has established a comprehensive environmental protection system and has been certified as an "A-level enterprise" in environmental protection standards[71] - The company has a wastewater treatment facility with a daily processing capacity of 2,000 tons, ensuring compliance with the discharge standards for wastewater from the fermentation alcohol and liquor industry (GB27631-2011) [88] - The total wastewater discharge was 5.70 tons, significantly below the approved total discharge of 29.00 tons, indicating no exceedance of pollution limits [87] - The company donated 360,000 yuan for educational assistance, helping underprivileged students pursue higher education [95] - The company recruited over 340 new employees, contributing to long-term poverty alleviation through job creation and skills training [95] Risks and Challenges - The company faces risks from market competition, with increasing consumer demands for brand and quality, which could impact market share if not addressed[70] - The company faces risks related to the rising prices of raw materials such as sorghum, wheat, and rice, which are critical components of its operating costs[72] - The ongoing COVID-19 pandemic poses risks to the company's production and operations, with a focus on minimizing impacts through continuous monitoring and prevention efforts[77] Corporate Governance and Compliance - The company has no significant litigation or arbitration matters during the reporting period[101] - The integrity status of the company and its controlling shareholders remains good during the reporting period[101] - The company has confirmed that there are no undisclosed significant matters during the reporting period[110] - The company has no changes or issues related to non-standard audit opinions from the previous annual report[101] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 76,650[116] - The top shareholder, Shanghai Yuyuan Tourist Mart (Group) Co., Ltd., held 152,177,900 shares, representing 30.00% of the total shares[117] - Gansu Yate Investment Group Co., Ltd. held 68,820,687 shares, accounting for 13.57% of the total shares, with 64,330,000 shares pledged[117]

Financial Performance - Operating revenue for the period was CNY 508,327,681.62, representing a growth of 48.43% year-on-year[9]. - Net profit attributable to shareholders of the listed company reached CNY 115,325,682.28, a significant increase of 99.34% compared to the same period last year[9]. - Basic earnings per share rose by 109.09% to CNY 0.23[9]. - The company's operating profit increased by 91.53% to CNY 146,877,490.20, reflecting improved sales performance[25]. - Cash received from sales increased by 74.93% to CNY 538,202,515.63, driven by higher sales revenue[29]. - The company reported a significant increase in sales revenue from goods and services, totaling approximately ¥538.20 million in Q1 2021, compared to ¥307.66 million in Q1 2020, a 75.0% increase[57]. - Net profit for Q1 2021 reached ¥115.33 million, compared to ¥57.85 million in Q1 2020, marking a 99.5% increase[52]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 3,440,925,348, a decrease of 2.58% compared to the end of the previous year[9]. - The total liabilities decreased to ¥547,342,446.51 from ¥753,691,282.82, showing a reduction of about 27.4%[41]. - The total equity attributable to shareholders increased to ¥2,893,582,901.49 from ¥2,778,257,219.21, reflecting a growth of about 4.1%[41]. - Current liabilities rose from CNY 337,269,116.47 to CNY 341,442,316.31, an increase of CNY 4,173,199.84[75]. - Non-current liabilities due within one year increased from CNY 12,000,000.00 to CNY 16,173,199.84, a rise of CNY 4,173,199.84[79]. Cash Flow - The net cash flow from operating activities improved by 56.90%, amounting to -CNY 32,272,620.71[9]. - Cash flow from operating activities in Q1 2021 was negative at approximately -¥32.27 million, an improvement from -¥74.88 million in Q1 2020[57]. - The company reported a net increase in cash and cash equivalents of -¥16,836,664.94 in Q1 2021, compared to -¥86,770,701.73 in Q1 2020, indicating a significant improvement in cash flow management[63]. Shareholder Information - The total number of shareholders at the end of the reporting period was 69,666[12]. - The top ten shareholders held a combined 73.57% of the company's shares, with Shanghai Yuyuan Tourist Mart (Group) Co., Ltd. being the largest shareholder at 30%[12]. Government Support and Expenses - The company received government subsidies totaling CNY 463,266.66 during the reporting period[11]. - Research and development expenses decreased by 30.60% to CNY 6,921,155.67, as some projects were completed in the previous year[23]. - The company reported a 213.96% increase in taxes paid, totaling CNY 219,449,958.28, due to higher operating income[31]. Other Financial Metrics - The weighted average return on equity increased by 1.83 percentage points to 4.08%[9]. - Accounts receivable increased by 65.41% to CNY 13,040,291.06 compared to the previous year, primarily due to increased direct sales in supermarkets and hotels[19]. - Other receivables rose by 69.72% to CNY 4,514,640.98, mainly due to increased employee advances[19].

Financial Performance - The company achieved a net profit of RMB 292,613,802.15 for the year 2020, with a statutory surplus reserve of RMB 29,261,380.22 deducted, resulting in an undistributed profit of RMB 1,042,705,828.95 at the end of 2020[6]. - The company's operating revenue for 2020 was CNY 1,730,671,339.32, an increase of 5.89% compared to CNY 1,634,398,043.55 in 2019[27]. - The net profit attributable to shareholders for 2020 was CNY 331,317,332.77, representing a growth of 22.44% from CNY 270,605,164.84 in 2019[27]. - The net cash flow from operating activities decreased by 9.09% to CNY 337,143,809.16 in 2020 from CNY 370,864,384.64 in 2019[27]. - The total assets at the end of 2020 were CNY 3,531,948,502.03, an increase of 11.12% from CNY 3,178,409,582.00 at the end of 2019[27]. - The basic earnings per share for 2020 was CNY 0.65, an increase of 18.18% compared to CNY 0.55 in 2019[27]. - The gross profit margin improved to 62.89%, an increase of 2.10 percentage points compared to the previous year[78]. - The company reported a total of CNY 341,791.99 in non-recurring gains and losses for 2020, down from CNY 846,051.79 in 2019[31]. Dividend Distribution - A cash dividend of RMB 2.40 per 10 shares (including tax) is proposed, totaling RMB 121,742,399.28 to be distributed to shareholders[6]. - After the dividend distribution, the remaining undistributed profit will be RMB 920,963,429.67, carried forward to the next year[6]. - The cash dividends for 2020 represent 36.74% of the net profit attributable to ordinary shareholders, while the 2019 dividends represented 34.90%[154]. - In 2019, the company distributed cash dividends of RMB 2.42 per 10 shares, totaling RMB 94,428,399.52 (including tax) and issued 3 bonus shares for every 10 shares held[154]. Corporate Governance - The board of directors and senior management have confirmed the accuracy and completeness of the annual report[3]. - The company operates under the supervision of the China Securities Regulatory Commission and adheres to relevant regulations[21]. - The company has confirmed that there are no non-operating fund occupations by controlling shareholders or related parties[9]. - The company has not violated decision-making procedures for external guarantees[10]. - The company has maintained good integrity status for itself and its controlling shareholders during the reporting period[162]. - The company did not face any risks of suspension or termination of listing during the reporting period[162]. Risk Management - The report includes a risk statement indicating that future plans and strategies do not constitute a substantive commitment to investors, highlighting investment risks[8]. - The company faces significant risks due to economic downturns affecting liquor consumption, with potential for substantial declines in operating performance if product structure and marketing strategies are not optimized[134]. - The company is exposed to risks from rising raw material prices, particularly grains and packaging materials, which could adversely affect production costs if not managed effectively[141]. - The ongoing COVID-19 pandemic poses risks to consumption scenarios, and the company is focusing on high-end product promotion to mitigate these impacts[144]. Marketing and Sales Strategy - The company has a strong marketing network covering regions such as Gansu, Shaanxi, Ningxia, Xinjiang, Tibet, Inner Mongolia, and Qinghai, establishing itself as a leading brand in the northwest market[34]. - The company primarily utilizes a distributor model for sales, with distributors selected based on various criteria including financial strength and market reputation[52]. - The company is actively expanding its sales network beyond Gansu to other regions, aiming to establish a nationwide brand presence[60]. - The company plans to implement a "deep distribution + major customer operation" dual-driven marketing model in 2021 to enhance high-end product sales[110]. - Online sales strategies are being developed to integrate online and offline channels, enhancing customer experience and service quality[119]. Research and Development - The company has established a research and development team led by national-level wine judges to innovate and improve product offerings based on market demand[47]. - The company invested CNY 40,121,940.60 in R&D, a 40.07% increase from the previous year, reflecting a focus on innovation[76]. - The total R&D expenditure was ¥40,121,940.60, accounting for 2.32% of total revenue, with 242 R&D personnel representing 11.16% of the total workforce[91]. - The company has developed a unique solid-state brewing IoT monitoring system, the first of its kind in the domestic liquor industry, which has received a national invention patent[63]. Social Responsibility - The company actively participates in poverty alleviation efforts, contributing RMB 1,307.85 million in funds and RMB 66.80 million in material donations[181]. - The company donated CNY 728,000 to support 2,908 impoverished college students in Northwest China during the reporting period[72]. - The company provided vocational skills training with an investment of RMB 69.13 million, benefiting 4,837 individuals[183]. - The company donated RMB 3 million to support COVID-19 prevention efforts and RMB 5 million for disaster relief in Gansu Province[184]. - The company plans to continue its poverty alleviation initiatives and align them with rural revitalization strategies in the future[185]. Environmental Compliance - The company has achieved "Environmental Protection Standardization A Level" certification, indicating compliance with national environmental protection laws and regulations[135]. - The company has a wastewater treatment facility with a daily processing capacity of 2,000 tons, ensuring compliance with the discharge standards for wastewater[189]. - The total annual emissions of wastewater were 18.230 tons, which is below the approved discharge limit of 29.000 tons[188]. - The company achieved a dust removal efficiency of 99% through advanced dust collection systems installed in its grain crushing workshop[192]. - The company has implemented an online monitoring system for its wastewater treatment plant, uploading data every 10 minutes to ensure compliance with environmental standards[191]. Related Party Transactions - The total amount of related party transactions for the year reached ¥28,119,952.68, accounting for 1.6498% of similar transactions[171]. - The company sold liquor products to various related parties, with the largest transaction amounting to ¥11,223,452.96, representing 0.6581% of similar transactions[165]. - The pricing principle for all related party transactions was based on market prices[165]. - The company confirmed that there were no significant changes or progress in previously disclosed related party transactions[169].

Financial Performance - Operating revenue for the first nine months was CNY 1,045,164,303.44, a decrease of 5.53% year-on-year[9] - Net profit attributable to shareholders was CNY 158,799,403.33, down 2.28% from the same period last year[9] - The company experienced a 33.37% decline in revenue in Q1 due to the COVID-19 pandemic, but Q2 and Q3 saw recoveries with increases of 22.70% and 14.42% respectively[11] - The net profit in Q1 dropped by 47.00%, but Q2 and Q3 profits increased by 141.69% and 40.07% respectively[11] - Total revenue for Q3 2020 reached ¥333,637,888.70, an increase from ¥291,584,575.31 in Q3 2019, representing a growth of approximately 14.4%[67] - Net profit for Q3 2020 was ¥38,591,649.17, up from ¥27,550,809.74 in Q3 2019, indicating a growth of approximately 39.9%[72] - Basic earnings per share for Q3 2020 were ¥0.08, compared to ¥0.06 in Q3 2019, showing an increase of 33.3%[71] - Total comprehensive income for the first three quarters of 2020 was ¥51,170,887.89, compared to ¥49,903,291.28 in the same period of 2019, showing an increase of 2.5%[77] Cash Flow - The net cash flow from operating activities was CNY -55,441,958.51, a significant decline of 119.27% compared to the previous year[9] - Cash flow from operating activities showed a net outflow of RMB 55,441,958.51, a decline of 119.27% compared to a net inflow of RMB 287,684,798.95[46] - Cash inflow from operating activities for the first three quarters of 2020 was ¥1,183,604,302.91, down 15.4% from ¥1,398,809,274.21 in 2019[79] - Net cash flow from operating activities for the first three quarters of 2020 was -¥55,441,958.51, a decline from ¥287,684,798.95 in 2019[81] - Cash outflow from investing activities totaled ¥291,769,670.56 in 2020, compared to ¥224,011,175.28 in 2019, indicating an increase of 30.3%[81] - Net cash flow from financing activities for the first three quarters of 2020 was ¥32,555,379.33, down from ¥214,402,171.37 in 2019, a decrease of 84.8%[83] Assets and Liabilities - Total assets at the end of the reporting period reached CNY 3,348,156,823.56, an increase of 5.34% compared to the end of the previous year[9] - The total current liabilities rose to CNY 713,572,510.63 from CNY 613,684,465.58, indicating an increase of around 16.31%[60] - The company's total equity increased to CNY 2,605,739,289.77 from CNY 2,541,368,285.96, showing a growth of about 2.52%[61] - The total liabilities and shareholders' equity as of September 30, 2020, were ¥2,801,106,970.17, indicating an increase from ¥2,677,628,405.72 as of December 31, 2019[67] Inventory and Receivables - Accounts receivable decreased by 32.70% to RMB 9,662,947.40 from RMB 14,358,640.21[22] - Inventory increased by 35.42% to RMB 1,148,450,163.46 from RMB 848,040,445.05, due to increased storage of raw liquor[24][26] - The company's inventory was reported at RMB 761,584,977.45 as of January 1, 2020, consistent with the previous period[97] Research and Development - Research and development expenses rose by 181.94% to RMB 26,895,344.52 from RMB 9,539,401.01, attributed to an increase in R&D projects[37] - Research and development expenses for Q3 2020 amounted to ¥5,482,172.70, significantly higher than ¥2,669,629.40 in Q3 2019, marking an increase of approximately 105.5%[69] Shareholder Information - The total number of shareholders at the end of the reporting period was 30,210, with the top ten shareholders holding a combined 81.88% of shares[16] - The company’s capital stock increased by 30.00% to RMB 507,259,997.00 from RMB 390,199,998.00, due to capital reserve conversion[39] Financial Expenses - The company recorded a 677.41% increase in financial expenses, resulting in a financial cost of RMB -2,245,819.80 compared to RMB -288,886.13[37]

Financial Performance - The company's operating revenue for the first half of 2020 was approximately ¥711.53 million, a decrease of 12.67% compared to ¥814.79 million in the same period last year[26]. - The net profit attributable to shareholders for the first half of 2020 was approximately ¥120.21 million, down 10.93% from ¥134.96 million in the previous year[26]. - The net cash flow from operating activities decreased significantly by 89.00%, amounting to approximately ¥23.13 million compared to ¥210.32 million in the same period last year[26]. - Basic earnings per share for the first half of 2020 were ¥0.24, a decrease of 14.29% compared to ¥0.28 in the same period last year[27]. - The weighted average return on net assets was 4.65%, down 0.81 percentage points from 5.46% in the previous year[27]. - The company's revenue decreased by 33.37% year-on-year in Q1 due to the impact of COVID-19, but Q2 revenue increased by 22.70% compared to the same period last year[29]. - Net profit attributable to shareholders fell by 47.00% in Q1, while Q2 saw a significant recovery with a 141.69% increase year-on-year[29]. - In the first half of 2020, the company achieved revenue of 712 million yuan, a decrease of 12.67% year-on-year, and a net profit attributable to shareholders of 120 million yuan, down 10.93% year-on-year[68]. - In Q2 2020, the company reported revenue of 369 million yuan, an increase of 22.70% year-on-year, and a net profit of 62.35 million yuan, up 141.69% year-on-year[68]. Assets and Liabilities - The total assets at the end of the reporting period were approximately ¥3.28 billion, an increase of 3.12% from ¥3.18 billion at the end of the previous year[26]. - The net assets attributable to shareholders increased by 1.01% to approximately ¥2.57 billion from ¥2.54 billion at the end of the previous year[26]. - The company's total liabilities increased to CNY 710,317,877.52 from CNY 637,041,296.04, representing an increase of about 11.48%[154]. - The total equity attributable to shareholders rose to CNY 2,567,147,640.60 from CNY 2,541,368,285.96, marking an increase of approximately 1.02%[154]. - Cash and cash equivalents decreased to CNY 479,780,098.76 from CNY 501,824,453.70, a decline of about 4.23%[150]. - Inventory increased significantly to CNY 943,504,359.50 from CNY 848,040,445.05, indicating a rise of approximately 11.25%[150]. - Accounts payable decreased to CNY 137,663,813.51 from CNY 169,458,886.65, a reduction of about 18.75%[154]. Research and Development - Research and development expenses increased significantly by 211.70% to ¥21,413,171.82 from ¥6,869,771.61 in the previous year[73]. - The company has established multiple product design studios to develop new products based on consumer demand, following a principle of launching, reserving, and developing products[48]. - The company aims to enhance product quality by leveraging its unique ecological environment and traditional brewing techniques[35]. Market and Sales Strategy - The company focuses on white liquor production and sales, with a strong market presence in the northwest region of China, including Gansu, Shaanxi, and Xinjiang[35]. - The company has a diversified sales model, primarily relying on distributors while also engaging in direct sales[52]. - The company is committed to expanding its market share and enhancing its competitive edge through strategic product development and marketing initiatives[35]. - The company’s marketing strategy focuses on customer-centric approaches and has adapted to pandemic challenges by providing protective materials to channels and adjusting inventory management[68]. Corporate Social Responsibility - The company donated ¥3,000,000 to support COVID-19 pandemic relief efforts, enhancing its corporate social responsibility image[71]. - The company is actively involved in poverty alleviation efforts as part of its corporate social responsibility initiatives[115]. - The company invested a total of 441.90 million RMB in poverty alleviation efforts, helping 36 registered impoverished individuals to escape poverty[119]. - The company conducted vocational skills training with an investment of 7.01 million RMB, benefiting 2,048 participants[119]. Environmental Compliance - The company has implemented a comprehensive environmental protection system and achieved "A-level enterprise" certification, but faces risks from potential future regulatory changes that could increase compliance costs[92]. - The company has established a wastewater treatment facility with a daily capacity of 2,000 tons, ensuring compliance with pollution discharge standards[125]. - The company achieved a dust removal efficiency of 99% through advanced air pollution control technologies[127]. - The company has established a robust safety management system to mitigate risks associated with flammable materials in its inventory, but must continuously enhance safety measures as production scales up[96]. Shareholder Information - The total registered capital of the company is 507,259,997.00, with a total of 507,259,997 shares outstanding[197]. - Gansu Yate Investment Group Co., Ltd. holds 261,575,665 shares, accounting for 51.57% of total shares, with 203,008,000 shares pledged[138]. - The company executed a share distribution plan, distributing 2.42 RMB (including tax) per 10 shares[133]. - The company has committed to maintaining the lock-up period for shares held by major shareholders for 24 months post-IPO[100]. Risk Management - The company faces risks related to changes in the industry operating environment, including increased competition and potential declines in consumer purchasing power, which could significantly impact performance[89]. - The company has a strong technical talent team but is at risk of losing key personnel, which could adversely affect its ongoing development[90]. - The company has not experienced any food safety incidents since its establishment, but must remain vigilant to comply with evolving food safety regulations to avoid potential impacts on operations[95].

Financial Performance - Operating revenue fell by 33.37% to CNY 342,464,133.11 year-to-date[12] - Net profit attributable to shareholders decreased by 47.00% to CNY 57,854,862.72 compared to the same period last year[12] - Basic earnings per share dropped by 50.00% to CNY 0.15[12] - Total revenue for the period was RMB 342,464,133.11, a decrease of 33.37% compared to RMB 514,008,060.86 in the same period last year[24] - Operating profit decreased by 45.63% to RMB 76,687,871.63 from RMB 141,042,455.89 year-on-year[24] - Net profit for the period was RMB 57,854,862.72, down 47.00% from RMB 109,161,741.29 in the previous year[26] - Total revenue for Q1 2020 was CNY 342,464,133.11, a decrease of 33.3% compared to CNY 514,008,060.86 in Q1 2019[46] - Net profit for Q1 2020 was CNY 57,854,862.72, a decline of 47.1% compared to CNY 109,161,741.29 in Q1 2019[50] - The company's operating revenue for Q1 2020 was ¥204,566,962.17, a decrease of 28% compared to ¥283,817,311.68 in Q1 2019[51] - The net profit for Q1 2020 was ¥20,725,701.77, down 35% from ¥32,134,829.31 in Q1 2019[53] - The total profit for Q1 2020 was ¥25,100,125.79, a decrease of 42% compared to ¥43,044,942.86 in Q1 2019[53] Cash Flow and Assets - Net cash flow from operating activities showed a significant decline of 145.44%, resulting in a negative CNY 74,882,153.29[12] - Cash received from sales of goods and services was RMB 307,660,089.32, a decline of 49.86% compared to RMB 613,562,993.41 in the same period last year[29] - Cash and cash equivalents decreased to CNY 229,604,453.43 from CNY 316,375,155.16 as of December 31, 2019[41] - Cash and cash equivalents at the end of Q1 2020 were ¥362,166,260.39, a decrease from ¥371,123,887.97 at the end of Q1 2019[58] - The net cash flow from operating activities for Q1 2020 was -¥74,882,153.29, a decline from ¥164,809,597.92 in Q1 2019[55] - The company reported a cash outflow from financing activities of -¥30,361,395.83 in Q1 2020, compared to an inflow of ¥33,311,931.61 in Q1 2019[63] Shareholder Information - The total number of shareholders at the end of the reporting period was 27,648[12] - Gansu Yate Investment Group Co., Ltd. holds 51.57% of the shares, with 156,160,000 shares pledged[12] Expenses and Liabilities - Research and development expenses increased significantly by 217.80% to RMB 9,972,560.50 from RMB 3,137,972.04 year-on-year[24] - The company made a donation of RMB 3 million to support COVID-19 prevention efforts, contributing to a significant increase in operating expenses[26] - Operating costs for Q1 2020 were CNY 266,814,583.22, down 29.1% from CNY 376,457,670.13 in Q1 2019[46] - The company incurred total operating costs of ¥93,770,362.12 in Q1 2020, down 35% from ¥144,891,046.76 in Q1 2019[51] - Total liabilities as of March 31, 2020, were CNY 421,849,032.49, down from CNY 637,041,296.04 as of December 31, 2019[39] - The company repaid bank loans, resulting in a 66.53% decrease in current non-current liabilities due within one year to RMB 15,091,437.50[23] Asset Changes - Total assets decreased by 4.95% to CNY 3,021,072,181.17 compared to the end of the previous year[12] - Total assets as of March 31, 2020, were CNY 3,021,072,181.17, a decrease from CNY 3,178,409,582.00 as of December 31, 2019[39] - Other current assets rose by 183.48% to RMB 19,086,966.01 from RMB 6,733,036.96 at the beginning of the year[21] - Accounts payable decreased by 44.65% to RMB 93,791,681.22 from RMB 169,458,886.65 at the beginning of the year[21] - The deferred income tax liabilities increased by 31.56% to RMB 19,945,723.33 from RMB 15,160,867.16 at the beginning of the year[21] - Inventory increased slightly to CNY 767,128,276.16 from CNY 761,584,977.45 as of December 31, 2019[41]

Financial Performance - The company achieved a net profit of RMB 251,196,688.54 for the year 2019, with a 10% statutory surplus reserve of RMB 25,119,668.85 extracted[7]. - The total undistributed profits at the end of 2019 amounted to RMB 873,781,806.54 after distributing cash dividends of RMB 88,088,000.00 for the year 2018[7]. - A cash dividend of RMB 2.42 per 10 shares (including tax) will be distributed to shareholders, totaling RMB 94,428,399.52[7]. - The company plans to increase its total share capital to 507,259,997 shares by issuing 3 additional shares for every 10 shares held, totaling 117,059,999 shares[7]. - In 2019, the company's operating revenue reached ¥1,634,398,043.55, an increase of 11.76% compared to ¥1,462,412,630.65 in 2018[28]. - The net profit attributable to shareholders was ¥270,605,164.84, reflecting a growth of 4.64% from ¥258,616,295.35 in the previous year[28]. - The net cash flow from operating activities surged by 330.26% to ¥370,864,384.64, compared to ¥86,195,939.84 in 2018[28]. - The company's total assets increased by 17.70% to ¥3,178,409,582.00 at the end of 2019, up from ¥2,700,487,304.80 in 2018[28]. - The basic earnings per share remained stable at ¥0.71, with a diluted earnings per share also at ¥0.71 for 2019[29]. - The weighted average return on equity decreased by 1.73 percentage points to 11.84% in 2019, down from 13.57% in 2018[29]. - The company reported a total of ¥846,051.79 in non-recurring gains and losses for 2019, compared to ¥7,475,021.43 in 2018[34]. Operational Highlights - The company continues to focus on the production and sales of liquor, with a strong emphasis on ecological and cultural branding strategies[37]. - The sales model primarily relies on distributors, with a focus on selecting distributors based on various criteria including financial strength and market reputation[42]. - The company has established multiple product design studios to enhance product quality and meet customer demands through market research[39]. - The company is located in a favorable ecological environment in Gansu Province, which is essential for high-quality liquor production due to its abundant water resources and pollution-free surroundings[44]. - The company has a rich history in liquor production, dating back over 2,000 years, contributing to the strong cultural identity of its brand "Jinhui Liquor" in the Northwest region[46]. - The company utilizes advanced production techniques and strict quality management systems, ensuring high product quality and safety[48]. - The company has established a strong market presence in Northwest China, covering regions such as Gansu, Shaanxi, Ningxia, Xinjiang, Tibet, and Inner Mongolia[49]. - The company owns over 50 well-preserved ancient locust wood wine barrels, which enhance the quality of its premium products[50]. - The company has implemented a unique solid-state brewing IoT monitoring system, which has received a national invention patent and won a first-class award for commercial technological progress[53]. - The company has a strong talent pool with over 450 brewing technicians and a well-established R&D system focused on product quality and safety[54]. Strategic Initiatives - The company has initiated a five-year development plan (2019-2023) to enhance its governance structure and align management incentives with performance targets[57]. - The company plans to enhance the sales of high-end products and optimize product structure in response to market trends[97]. - The company aims to strengthen its market presence in the northwest region, focusing on Gansu, Shaanxi, Ningxia, and expanding into Inner Mongolia, Qinghai, and Xinjiang[119]. - The company has established a long-term mechanism for poverty alleviation, emphasizing sustainable development and self-sufficiency in the assisted regions[173]. - The company plans to continue its poverty alleviation efforts, focusing on industry, employment, education, and social assistance[176]. Social Responsibility - The company actively participated in social responsibility initiatives, including educational support and poverty alleviation efforts, enhancing its brand image[58]. - The company invested RMB 824.16 million in various poverty alleviation initiatives during the reporting period[175]. - A total of RMB 730.00 million was allocated to support 2,854 impoverished students as part of the education poverty alleviation efforts[175]. - The company provided vocational skills training to 6,321 individuals, with an investment of RMB 64.46 million in this area[175]. - The company has constructed a wastewater treatment plant with a daily processing capacity of 2,000 tons, ensuring that treated wastewater meets the GB27631-2011 standards, with most of it used for landscaping[180]. - The wastewater treatment plant operates 24/7 and has installed online monitoring equipment that uploads data every 10 minutes, ensuring compliance with environmental standards[181]. - The company has achieved a dust removal efficiency of 99% through the installation of advanced dust collection systems in its grain crushing workshop[182]. Risk Management - The report includes a risk statement regarding future plans and development strategies, indicating potential investment risks[8]. - The company faces risks from changes in the industry environment, including economic downturns affecting consumer purchasing power and increased competition[121]. - The company has a risk of supply shortages for essential raw materials due to environmental factors and potential policy changes[125]. - The company’s raw material costs may be affected by fluctuations in grain prices and packaging materials, which could impact operational performance if not managed effectively[125]. Corporate Governance - The company is committed to ensuring the accuracy and completeness of its financial reports, as stated by its management[5]. - The audit report for the company was issued by Tianjian Accounting Firm, confirming a standard unqualified opinion[6]. - The company has established a cash dividend policy, ensuring that cash dividends distributed each year will not be less than 30% of the net profit achieved in that year[131]. - The company’s board of directors will propose a differentiated cash dividend policy based on the company's development stage and significant capital expenditure plans[135]. - The company has not disclosed any reasons for not proposing a cash profit distribution plan during the reporting period despite having positive distributable profits[138]. Environmental Compliance - The company has established a complete environmental protection system and has been certified as an "A-level enterprise" in environmental protection standards[125]. - The company has maintained compliance with environmental standards, with no exceedances reported in pollutant emissions[179]. - The company has developed an emergency response plan for environmental incidents, which has been revised and approved by local environmental authorities[184]. - The company has engaged a third-party firm for monthly environmental monitoring, with results published on the provincial environmental statistics platform[186]. - The company’s high-efficiency dust removal devices ensure that emissions meet the GB13271-2014 standards for air pollutants[182]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 25,213, down from 26,821 at the end of the previous month[194]. - Gansu Yate Investment Group Co., Ltd. held 201,212,050 shares, representing 51.57% of total shares, with 156,160,000 shares pledged[197]. - The first employee stock ownership plan holds 4,928,571 shares, accounting for 1.26% of total shares[197]. - The top ten shareholders collectively hold a significant portion of the company's shares, with the largest shareholder owning over 51%[197]. - The company has not issued any new securities during the reporting period[194].

Financial Performance - Operating revenue for the first nine months reached CNY 1,106,374,732.29, a 14.64% increase year-on-year[14] - Net profit attributable to shareholders was CNY 162,511,204.21, a slight increase of 1.29% compared to the same period last year[16] - Operating profit for the first three quarters of 2019 was CNY 215,110,409.75, compared to CNY 213,326,557.71 in the previous year, showing a slight increase of approximately 0.8%[63] - The net profit for the first three quarters of 2019 was ¥49.90 million, down from ¥246.45 million in the same period of 2018, indicating a decline of 79.8%[68] - The net profit for Q3 2019 was ¥7.90 million, compared to a significant drop from ¥180.22 million in Q3 2018[68] Assets and Liabilities - Total assets increased by 16.55% to CNY 3,147,429,992.26 compared to the end of the previous year[14] - Total liabilities amounted to CNY 583,591,393.39, a decrease from CNY 632,295,675.17 in the previous year, representing a reduction of about 7.7%[60] - The company's total equity increased to CNY 2,191,646,261.34 from CNY 1,869,632,130.12, marking an increase of approximately 17.2%[60] - Cash and cash equivalents increased significantly to CNY 380,375,799.19 from CNY 175,536,608.50, representing a growth of about 116.5%[56] - Cash and cash equivalents increased to ¥582,286,090.17 from ¥216,042,295.13, representing a growth of 169.52%[24] Cash Flow - Net cash flow from operating activities surged to CNY 287,684,798.95, a significant increase of 2,367.60% year-on-year[14] - Operating cash inflow for the first three quarters of 2019 reached ¥805,538,123.05, a significant increase of 33.6% compared to ¥602,765,201.40 in the same period of 2018[76] - Net cash flow from operating activities turned positive at ¥83,390,037.30, recovering from a negative cash flow of ¥-187,608,157.87 in the previous year[76] - Total cash inflow from investment activities was ¥50,000,000.00, compared to a mere ¥500.00 in the same period last year[79] - Net cash flow from investment activities was negative at ¥-130,953,017.98, worsening from ¥-116,524,798.16 in the previous year[79] Shareholder Information - The total number of shareholders reached 28,302 by the end of the reporting period[18] - The largest shareholder, Gansu Yate Investment Group, holds 51.57% of the shares, with 201,212,050 shares pledged[20] Research and Development - Research and development expenses increased to ¥9,539,401.01 from ¥6,171,124.98, reflecting a growth of 54.58%[34] - Research and development expenses for the first three quarters of 2019 totaled CNY 9,539,401.01, up from CNY 6,171,124.98 in the same period of 2018, indicating a growth of about 54.1%[63] - Research and development expenses for Q3 2019 were ¥2.67 million, up from ¥2.23 million in Q3 2018, reflecting a focus on innovation[66] Financial Ratios - The weighted average return on equity decreased by 1.12 percentage points to 7.42%[16] - Basic and diluted earnings per share were both CNY 0.43, down 2.27% from the previous year[16] - The gross profit margin for Q3 2019 was approximately 56.1%, compared to 54.5% in Q3 2018, showing improved profitability[66] Future Outlook - The company plans to expand its market presence and invest in new product development to drive future growth[66]