Financial Performance - The company reported a total revenue of 1.2 billion RMB for the first half of 2021, representing a year-on-year increase of 15%[19]. - The net profit attributable to shareholders reached 300 million RMB, up 20% compared to the same period last year[19]. - The company's operating revenue for the first half of the year reached ¥4,877,180,138.60, representing a 37.77% increase compared to ¥3,540,157,107.82 in the same period last year[20]. - Net profit attributable to shareholders was ¥111,732,385.11, up 20.59% from ¥92,653,049.74 year-on-year[20]. - The basic earnings per share increased to ¥0.5819, reflecting a growth of 20.58% compared to ¥0.4826 in the previous year[21]. - The company's total assets grew by 30.75% to ¥5,261,328,069.08 from ¥4,024,012,103.50 at the end of the previous year[20]. - The net assets attributable to shareholders increased by 9.77% to ¥1,125,478,967.44 compared to ¥1,025,272,662.04 at the end of the last year[20]. - The company reported a net cash flow from operating activities of -¥468,541,683.16, which is a decline from -¥292,278,735.30 in the same period last year[20]. - The company reported a total of 28 million RMB in litigation-related provisions during the reporting period, indicating ongoing legal disputes[82]. - The total profit for the first half of 2021 was CNY 177,122,384.14, which is a 20.3% increase compared to CNY 147,195,113.25 in the first half of 2020[117]. Business Strategy and Development - The company plans to launch three new products in the second half of 2021, focusing on innovative agricultural solutions[19]. - The company is exploring potential mergers and acquisitions to enhance its market presence and product offerings[19]. - The company continues to focus on pesticide distribution and plant protection technology services, with no major changes in its main business operations[25]. - The company is expanding its international market presence, currently serving over 80 countries and regions with its pesticide products[29]. - The company aims to create an industry-leading pesticide raw material trading platform, providing reliable supply chain management services[44]. - The company has developed a crop health solution that integrates high-quality agricultural products and services, enhancing service levels for farmers[43]. - The company is actively developing new raw materials and formulations while expanding its intermediary business[44]. - The company has established a research and development center focused on pesticide application technology, collaborating with leading agricultural research institutions[38]. Financial Position and Assets - The company maintains a strong cash position with cash and cash equivalents amounting to 400 million RMB as of June 30, 2021[19]. - The company's cash and cash equivalents decreased by 45.27% to ¥549,863,881.63 from ¥1,004,668,590.89, mainly due to increased bank loan repayments[51]. - Accounts receivable increased by 47.97% to ¥694,367,396.87 from ¥469,270,487.37, attributed to sales growth[51]. - Inventory rose by 54.90% to ¥1,915,062,920.74 from ¥1,236,361,302.22, driven by increased procurement[51]. - The total liabilities increased significantly, with accounts payable rising by 187.55% to ¥1,063,439,263.01 from ¥369,826,795.88, indicating higher procurement volumes[51]. - The company's total assets included ¥399,957.24 in overseas assets, accounting for 0.01% of total assets[54]. Risks and Challenges - The company has identified key risks including market competition and regulatory changes, and has outlined strategies to mitigate these risks[19]. - The company faces risks from the ongoing global COVID-19 pandemic, impacting pesticide exports due to port and banking disruptions, logistics shortages, and local currency depreciation[61]. - Increased market competition is noted, with the pesticide industry undergoing structural adjustments and transformations, leading to intensified competition despite the company's leading advantages[62]. - There is a risk of pesticide product quality issues, which could lead to claims or lawsuits, negatively impacting the company's reputation and financial performance[64]. - Foreign exchange rate fluctuations, particularly the RMB to USD exchange rate, directly affect the company's overall profitability from overseas sales[65]. Compliance and Governance - The company has maintained compliance with environmental regulations, with its subsidiary meeting wastewater and emissions standards[72]. - The company committed to not engaging in any competitive business with its controlling enterprises since June 2015, ensuring no conflicts of interest arise[77]. - The company has not faced any major lawsuits or arbitration matters during the reporting period, indicating a stable legal standing[81]. - The company has maintained compliance with all regulatory commitments, ensuring transparency and accountability[83]. - The company has not encountered any violations or penalties related to its operations or governance during the reporting period[83]. Shareholder Information - The company has a total of 6,362 common shareholders as of the end of the reporting period[98]. - The largest shareholder, China Agricultural Supply and Marketing Group, holds 96,480,000 shares, representing 50.25% of the total shares[100]. - The company has not reported any significant changes in its share capital structure during the reporting period[97]. - The company has a voluntary lock-up period for its shares, extending for two years after the initial lock-up period of 36 months post-IPO[79]. Research and Development - The company has invested 50 million RMB in research and development for new technologies in agricultural biotechnology[19]. - Research and development expenses rose by 38.17% to ¥10,485,492.81, up from ¥7,589,049.54, reflecting increased investment in R&D[49]. - The company reported a significant increase in R&D expenses, totaling CNY 10,377,750.10 in the first half of 2021, compared to CNY 6,351,019.27 in the same period of 2020, marking a 63.3% increase[120]. Accounting and Financial Reporting - The company adheres to accounting standards, ensuring that financial statements accurately reflect its financial position and operating results[152]. - The company has a defined accounting policy for bad debt provisions and inventory write-downs, tailored to industry characteristics[150]. - The company recognizes expected credit losses for financial assets measured at amortized cost and those measured at fair value with changes recognized in other comprehensive income[168]. - The company measures expected credit losses for financial instruments based on their entire expected life, with specific provisions for different stages of credit risk[169].

证券代码：603970 证券简称：中农立华 第一创业证券 苏红亮、中传金控 刘强、国都证券 司素芳、 广东伍文资本 孙正享、天津经济技术开发区管委会 黄玉、华 安财产保险股份有限公司 费腾、申万宏源 曾芹、广发银行 孙 齐、中投证券 张荧、东方证券股份有限公司 徐庆华、大成基 金 梅苏、浙商证券 韩彬、佛山市嘉明工业设备有限公司 李 参与单位名称 瑞杰、九派资本 刘琼、华创证券 王子西、粤开证券安徽分公 及人员姓名 司 云飞虎、资产管理公司 孚微、深圳前海鹰眼资本 吴林涛、 紫马基金 孙铭、华鑫证券 傅强、海南昆仑时代投资有限公司 欧世波、深圳市康达尔（集团）股份有限公司 高凯、富德雨 顺 欧世磊、兴业证券 郝晓玲、中晟博石资产管理有限公司 李 鹏、深圳力合载物创投公司 付冬炎、汇智集团 文科茗、国信 证券 耿先生 中农立华生物科技股份有限公司 投资者关系活动记录表 编号：2021-01 | --- | --- | --- | |------------|-----------------|--------------| | | | | | | ☑ 特定对象调研 | □ 分析师会议 | | | □ 媒体采访 ...

2021 年第一季度报告 公司代码：603970 公司简称：中农立华 中农立华生物科技股份有限公司 2021 年第一季度报告 1 / 23 | 一、 | 重要提示 3 | | --- | --- | | 二、 | 公司基本情况 3 | | 三、 | 重要事项 5 | | 四、 | 附录 8 | 2021 年第一季度报告 一、 重要提示 二、 公司基本情况 2.1 主要财务数据 非经常性损益项目和金额 √适用 □不适用 单位：元 币种：人民币 | 项目 | 本期金额 | 说明 | | --- | --- | --- | | 非流动资产处置损益 | -134,157.71 | | | 越权审批，或无正式批准文件，或偶发性的税收返还、减免 | | | 3 / 23 单位：元 币种：人民币 本报告期末 上年度末 本报告期末 比上年度末 增减(%) 总资产 5,113,503,377.05 4,024,012,103.50 27.07 归属于上市公司股东的净资产 1,097,025,917.55 1,025,272,662.04 7.00 年初至报告期末 上年初至上年报告期末 比上年同期 增减(%) 经营活动产生的现金 ...

Financial Performance - The company achieved a net profit of RMB 117,935,297.67 for the fiscal year 2020, with a total distributable profit of RMB 469,381,971.42 as of December 31, 2020[7]. - The proposed cash dividend is RMB 3.0 per 10 shares, totaling RMB 57,600,028.80, which represents 43.49% of the net profit for the year[7]. - The company's operating revenue for 2020 was CNY 6,640,994,269.80, representing a 52.93% increase compared to CNY 4,342,465,253.71 in 2019[25]. - Net profit attributable to shareholders for 2020 was CNY 132,443,776.12, an increase of 11.41% from CNY 118,876,449.73 in 2019[25]. - The net cash flow from operating activities increased by 60.86% to CNY 352,123,389.76, up from CNY 218,901,571.90 in 2019[25]. - Total assets grew by 46.89% to CNY 4,024,012,103.50 at the end of 2020, compared to CNY 2,739,439,752.86 at the end of 2019[25]. - Basic earnings per share for 2020 was CNY 0.6898, reflecting an increase of 11.42% from CNY 0.6191 in 2019[27]. - The company reported a weighted average return on equity of 13.27% for 2020, slightly up from 13.14% in 2019[27]. Risk Management - The company has no significant risks that could materially affect its production and operations during the reporting period[10]. - The company emphasizes the importance of risk awareness in its forward-looking statements and plans[8]. - The company recognizes the risk of natural disasters impacting agricultural production, which could lead to reduced demand for pesticides[126]. - The company is facing risks from the ongoing COVID-19 pandemic, which may adversely affect the global economy and the pesticide industry[124]. - The company has faced risks from global trade tensions and exchange rate fluctuations, which could impact overseas sales and overall profitability[129]. - The company has implemented strict procurement processes to mitigate risks related to pesticide product quality, although potential legal and reputational risks remain[130]. Research and Development - The company plans to continue its focus on research and development of new products and technologies to enhance its market position[8]. - The company is actively engaged in R&D collaborations, with ongoing development of new pesticide formulations and the completion of several product optimizations, including 6 products that have undergone formulation evaluation[99][100]. - The company aims to enhance its R&D investment, focusing on new technologies, formulations, and product applications to increase the technical content and added value of its products and services[116]. - The company has a research center for pesticide application technology, focusing on the core application of pesticide products in line with green agricultural development trends[52]. Business Operations - The main business includes pesticide distribution and plant protection technology services, with no significant changes in the business model during the reporting period[36]. - The company aims to establish a leading platform for the research and supply of plant protection machinery, integrating high-efficiency machinery with quality pesticides[36]. - The company has established a one-stop pesticide raw material supply platform, integrating high-quality product resources from upstream manufacturers[40]. - The company has a service network covering major agricultural counties, consisting of 19 warehousing and distribution centers and nearly 3,000 main channel partners[51]. - The company has established long-term stable partnerships with leading international pesticide manufacturers, enhancing its product resource advantages[52]. - The company has developed a supply chain service system that combines self-owned warehousing and third-party logistics, providing comprehensive supply chain services[45]. - The agricultural chemical business accounted for 99.55% of total revenue, with significant growth in raw pesticide product sales[71]. Corporate Governance - The company is committed to ensuring accurate and complete financial reporting as stated by its management[6]. - The company has a strategic commitment to extend the lock-up period for its largest shareholder's shares by an additional 24 months beyond the statutory 36-month lock-up[167]. - The company has a clear policy for the appointment and remuneration of its board members, ensuring transparency and accountability[181]. - The company has a diverse board with members holding various positions in other organizations, enhancing its governance structure[179]. - The company has maintained a stable management team with no significant turnover among directors and supervisors[175]. Environmental Compliance - The company's environmental compliance is satisfactory, with no significant pollution issues reported during the monitoring period[158]. - The "Pesticide Packaging Waste Recovery and Treatment Management Measures" came into effect on October 1, 2020, mandating producers and operators to establish recovery systems for pesticide packaging waste, enhancing environmental protection awareness in the industry[90]. Financial Strategy - The company has established a cash dividend policy, ensuring a minimum annual dividend payout ratio of 20% of the distributable profits[133]. - The company is committed to maintaining a stable and continuous dividend distribution policy, considering factors such as profitability and cash flow[133]. - The company has not proposed any cash profit distribution plan for the reporting period despite having positive distributable profits[135]. - The company has no overdue amounts in its wealth management activities, indicating effective cash management[150]. Employee Management - The total number of employees in the parent company and major subsidiaries is 885, with 232 in the parent company and 653 in subsidiaries[184]. - The employee composition includes 82 production personnel, 478 sales personnel, 112 technical personnel, 105 financial personnel, and 108 administrative personnel[184]. - The educational background of employees shows 78 with postgraduate degrees, 355 with bachelor's degrees, and 452 with college diplomas or below[184]. - The company has implemented a competitive salary and bonus structure to attract and retain talent, ensuring performance incentives are aligned with annual goals[185]. Audit and Compliance - The company received a standard unqualified opinion on its internal control audit, indicating effective internal controls[196]. - The audit was conducted in accordance with the Chinese Certified Public Accountant auditing standards[200]. - The audit opinion is based on the comprehensive evaluation of the financial statements[200]. - The auditors believe that the audit evidence obtained is adequate for forming the audit opinion[200].

Financial Performance - Operating revenue for the year-to-date reached CNY 5,183,076,924.02, a 52.17% increase year-on-year[7] - Net profit attributable to shareholders increased by 11.72% to CNY 107,519,459.79 compared to the same period last year[7] - Basic earnings per share increased by 11.73% to CNY 0.5600[7] - The company's operating revenue for Q3 2020 reached RMB 5,183,076,924.02, a 52.17% increase compared to RMB 3,406,081,354.05 in the same period last year, primarily driven by growth in international business sales[13] - Net profit attributable to shareholders for the first three quarters of 2020 was ¥469,175,976.62, compared to ¥411,240,227.52 in the same period of 2019, reflecting a growth of 14.1%[23] - The net profit for Q3 2020 was $16,400,483.40, up 19.0% from $13,779,942.30 in Q3 2019[26] - The total profit for Q3 2020 reached $21,689,237.10, a 16.3% increase from $18,654,382.03 in Q3 2019[26] - The net profit for Q3 2020 was ¥17,657,233.41, up 31.7% from ¥13,392,615.02 in Q3 2019[29] - The total profit for the first three quarters of 2020 was ¥137,632,397.64, compared to ¥130,153,560.79 in the same period of 2019, reflecting a growth of 5.7%[29] Assets and Liabilities - Total assets increased by 37.55% to CNY 3,768,053,584.60 compared to the end of the previous year[7] - The total assets of the company as of September 30, 2020, amounted to RMB 3,768,053,584.60, compared to RMB 2,739,439,752.86 at the end of the previous year[19] - Total assets as of September 30, 2020, amounted to ¥3,514,267,430.18, an increase from ¥2,606,367,280.48 at the end of 2019[22] - Total liabilities as of September 30, 2020, were ¥2,461,833,035.69, compared to ¥1,612,018,697.59 at the end of 2019, indicating a rise of 52.7%[22] - Total equity increased to ¥1,052,434,394.49 as of September 30, 2020, from ¥994,348,582.89 at the end of 2019, marking a growth of 5.8%[23] - Total liabilities amounted to CNY 1,694,975,530.04, with current liabilities at CNY 1,675,650,965.24 and non-current liabilities at CNY 19,324,564.80[39] - Total equity reached CNY 1,044,464,222.82, with attributable equity to shareholders at CNY 956,091,798.35 and minority interests at CNY 88,372,424.47[40] Cash Flow - The net cash flow from operating activities was negative at CNY -493,461,211.81, showing an improvement from CNY -504,288,991.60 in the previous year[7] - The company reported a net cash flow from operating activities of RMB -493,461,211.81, an improvement from RMB -504,288,991.60 in the previous year, mainly due to increased operating receipts[14] - The cash flow from operating activities for the first three quarters of 2020 was negative at -¥493,461,211.81, slightly improved from -¥504,288,991.60 in the same period of 2019[31] - The company incurred total cash outflows from operating activities of 4,413,868,948.54 RMB in the first three quarters of 2020, compared to 3,372,538,837.66 RMB in the same period of 2019[34] - The net increase in cash and cash equivalents for Q3 2020 was -147,413,536.45 RMB, compared to -6,909,790.95 RMB in Q3 2019, indicating a worsening liquidity position[35] Shareholder Information - The total number of shareholders reached 10,623 by the end of the reporting period[10] - The largest shareholder, China Agricultural Production Materials Group, holds 50.25% of the shares[10] Investment and Expenses - The company reported a significant increase in prepayments, which rose by 119.63% to RMB 800,631,391.37 from RMB 364,532,089.27, mainly due to increased advance payments to suppliers[11] - The company’s total inventory was valued at CNY 986,887,758.74, highlighting significant stock levels[42] - R&D expenses for Q3 2020 were $3,478,644.30, an increase of 5.5% from $3,298,785.70 in Q3 2019[26] - Financial expenses rose significantly to $28,314,499.56 in Q3 2020, compared to $10,219,624.17 in Q3 2019, marking an increase of 177.5%[26] - The company reported a total investment payment of 1,942,400,000.00 RMB in Q3 2020, significantly higher than 772,645,320.00 RMB in Q3 2019, indicating aggressive investment strategies[35] Regulatory and Strategic Developments - The company has not disclosed any new product developments or market expansion strategies in this report[4] - The company plans to apply for administrative review regarding an administrative penalty received by a subsidiary, indicating ongoing regulatory challenges[15]

Financial Performance - The company's operating revenue for the first half of 2020 reached ¥3,540,157,107.82, representing a 34.96% increase compared to ¥2,623,083,541.11 in the same period last year[20]. - The net profit attributable to shareholders of the listed company was ¥92,653,049.74, a 7.29% increase from ¥86,357,504.27 in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥89,919,202.89, up 14.34% from ¥78,638,991.83 year-on-year[20]. - The net cash flow from operating activities was -¥292,278,735.30, an improvement from -¥391,441,359.85 in the same period last year[20]. - The net assets attributable to shareholders at the end of the reporting period were ¥1,000,931,070.98, a 4.69% increase from ¥956,091,798.35 at the end of the previous year[20]. - Total assets increased by 46.70% to ¥4,018,877,560.65 from ¥2,739,439,752.86 at the end of the previous year[20]. - Basic earnings per share for the reporting period (1-6 months) increased by 7.29% to CNY 0.4826 compared to the same period last year[21]. - Diluted earnings per share also rose by 7.29% to CNY 0.4826 year-on-year[21]. - The basic earnings per share after deducting non-recurring gains and losses increased by 14.33% to CNY 0.4683[21]. - The weighted average return on net assets decreased by 0.18 percentage points to 9.24%[21]. - The weighted average return on net assets after deducting non-recurring gains and losses increased by 0.39 percentage points to 8.97%[21]. Market Conditions - The pesticide industry faced significant challenges in H1 2020 due to COVID-19, pest invasions, and adverse weather, leading to intensified market competition and a supply-demand reversal[34]. - In Q1 2020, the industry experienced operational disruptions due to the pandemic, but by Q2, operational rates returned to normal, resulting in a historical high in ongoing projects and increased production capacity[34]. - The overall pesticide market saw a decline in demand due to low prices of bulk agricultural products and delayed planting, leading to a situation of oversupply from Q2 onwards[35]. Business Strategy and Operations - The main business includes pesticide distribution and plant protection technology services, with no significant changes in the business model[25]. - The company aims to establish a leading platform for plant protection machinery R&D and supply, integrating high-efficiency pesticides with advanced machinery[26]. - The company has expanded its international market presence, providing agricultural products and services to over 50 countries across five continents[30]. - The company has implemented a comprehensive supply chain service system, enhancing procurement management and product distribution efficiency[32]. - The company collaborates with leading global pesticide manufacturers, ensuring a diverse and competitive product offering, while also investing in research and development for agricultural technology[38]. - The company adapted to market conditions by shifting from traditional trading to platform services in its raw material segment, focusing on large-scale product strategies to mitigate price declines[45]. - The company achieved operational growth despite the pandemic by implementing innovative sales strategies, including online training and direct delivery services to farmers[44]. Financial Position and Liabilities - Operating costs rose by 37.35% to ¥3,231,452,149.36 from ¥2,352,661,171.46 year-on-year[51]. - Cash flow from financing activities surged by 153.05% to ¥595,055,729.71, up from ¥235,157,611.53 year-on-year[51]. - Cash and cash equivalents increased by 46.26% to ¥563,515,004.04, compared to ¥385,277,776.76 in the previous year[52]. - Short-term borrowings rose by 37.40% to ¥1,411,284,605.78 from ¥1,027,158,529.35 year-on-year[52]. - Other receivables increased by 74.38% to ¥46,022,522.59, up from ¥26,391,962.89 in the previous year[52]. - Total liabilities reached CNY 2,915,071,127.10, up from CNY 1,694,975,530.04, which is an increase of approximately 72.0%[100]. - The total current liabilities reached CNY 2,896,530,077.66, compared to CNY 1,675,650,965.24, marking an increase of about 72.8%[100]. Shareholder Information - The total number of ordinary shareholders as of the end of the reporting period is 14,146[88]. - The largest shareholder, China Agricultural Production Materials Group, holds 96,480,000 shares, representing 50.25% of the total shares[90]. - The second-largest shareholder, Foshan Yilong Investment Co., Ltd., holds 18,144,000 shares, accounting for 9.45%[90]. - The company will not distribute profits or increase capital reserves for the half-year period, with no dividends or stock bonuses planned[64]. Risks and Challenges - The company faces risks from ongoing global COVID-19 pandemic impacts, which may adversely affect operations and performance[60]. - The company is exposed to market competition risks as the agricultural sector undergoes transformation and diversification[61]. - There are significant litigation matters ongoing, including a dispute involving a claim of CNY 28 million related to a sales contract[70]. - The company has made provisions for bad debts amounting to CNY 504,542.68 related to the ongoing litigation[71]. Accounting Policies and Standards - The company has implemented new revenue recognition standards starting January 1, 2020, which are not expected to have a significant impact on its financial results[84]. - The company recognizes joint ventures and accounts for them according to relevant accounting standards, ensuring proper treatment of shared assets and liabilities[153]. - The company recognizes foreign currency transactions at the spot exchange rate on the transaction date and translates monetary items at the spot exchange rate on the balance sheet date, with exchange differences recognized in profit or loss[156]. - The company measures debt instruments at amortized cost if the business model is to collect contractual cash flows, which includes cash, receivables, and debt investments[158]. - The company assesses assets for impairment at the balance sheet date, particularly goodwill and indefinite-lived intangible assets, regardless of impairment indicators[183]. Community Engagement - The company actively participates in poverty alleviation efforts, providing training to over 2,000 farmers in Xunwu County, focusing on the cultivation of key crops such as passion fruit and navel oranges[79].

2020 年第一季度报告 公司代码：603970 公司简称：中农立华 中农立华生物科技股份有限公司 2020 年第一季度报告 1 / 23 | 一、 | 重要提示 3 | | --- | --- | | 二、 | 公司基本情况 3 | | 三、 | 重要事项 6 | | 四、 | 附录 8 | 2020 年第一季度报告 一、 重要提示 二、 公司基本情况 2.1 主要财务数据 非经常性损益项目和金额 √适用 □不适用 | | 单位：元 | 币种：人民币 | | --- | --- | --- | | 项目 | 本期金额 | 说明 | | 非流动资产处置损益 | | | | 越权审批，或无正式批准文件，或偶发性的税收返还、减免 | | | | 计入当期损益的政府补助，但与公司正常经营业务密切相关，符合 | 418,915.70 | | | 国家政策规定、按照一定标准定额或定量持续享受的政府补助除外 | | | | 计入当期损益的对非金融企业收取的资金占用费 | | | | 企业取得子公司、联营企业及合营企业的投资成本小于取得投资时 | | | 3 / 23 单位：元 币种：人民币 本报告期末 上年度末 本报告期 ...

Financial Performance - The company achieved a net profit of RMB 118,504,499.78 for the fiscal year 2019, with a total distributable profit of RMB 411,240,227.52 as of December 31, 2019[5]. - The proposed cash dividend is RMB 2.5 per 10 shares, totaling RMB 48,000,024.00, which represents 40.38% of the net profit for the year[5]. - The company's operating revenue for 2019 was CNY 4,342,465,253.71, representing a year-on-year increase of 16.28% compared to CNY 3,734,627,172.51 in 2018[22]. - The net profit attributable to shareholders for 2019 was CNY 118,876,449.73, a 2.96% increase from CNY 115,459,384.22 in 2018[22]. - The net cash flow from operating activities increased by 233.23% to CNY 218,901,571.90, primarily due to increased sales collections[24]. - The total assets at the end of 2019 were CNY 2,739,439,752.86, up 5.98% from CNY 2,584,860,939.97 at the end of 2018[23]. - The basic earnings per share for 2019 was CNY 0.6191, reflecting a 2.94% increase from CNY 0.6014 in 2018[24]. - The weighted average return on equity for 2019 was 13.14%, a decrease of 0.87 percentage points from 14.01% in 2018[24]. - The company's net assets attributable to shareholders increased by 10.50% to CNY 956,091,798.35 at the end of 2019[22]. - The company reported a net profit of CNY 5,086,731.75 from the disposal of non-current assets in 2019[28]. Operational Highlights - The company has established long-term stable partnerships with leading international pesticide companies such as Syngenta, Bayer, and BASF, enhancing its procurement capabilities[34]. - The company has expanded its international sales, establishing subsidiaries in over 40 countries across five continents, focusing on pesticide registration and export trade[36]. - The company has implemented a comprehensive warehousing and distribution system, effectively controlling storage costs while ensuring product quality and timely delivery[38]. - The company has established a service network covering 1,200 major agricultural counties and cities, supported by 19 warehousing and distribution centers and over 2,522 channel partners[45]. - The company has a strong brand presence in the agricultural supply sector, leveraging its strategic partnerships to enhance service capabilities and customer responsiveness[43]. Market and Industry Trends - The agricultural sector is transitioning to a "negative growth" phase, prompting industry consolidation and increased market concentration among leading companies[41]. - The demand for safe, green pesticides is expected to grow, benefiting companies with quality product resources and professional technical capabilities[42]. - The agricultural pesticide market is undergoing consolidation, with market share increasingly concentrated among leading firms, reflecting a "Matthew Effect" in the industry[102]. - The global agrochemical market is entering a downturn, facing multiple pressures including increased competition and regulatory scrutiny, leading to a significant price correction in 2019[103]. - The demand for pesticides is weakening, with many products being phased out and a decrease in the use of new chemical substances, exacerbated by rising resistance and biodiversity issues[103]. Research and Development - Research and development expenses surged by 148.82% to ¥30,808,818.44, up from ¥12,382,191.32 in the previous year[69]. - The total R&D expenditure accounted for 0.71% of the operating revenue, with 108 R&D personnel representing 12.74% of the total workforce[71]. - The company is focusing on enhancing its competitive advantage through increased investment in R&D and exploring innovative solutions[102]. - The company has applied for two patents related to new pesticide formulations, indicating ongoing innovation efforts[89]. - The company is advancing the research on intelligent upgrades for sprayers, enabling remote monitoring of application rates and operational data[90]. Corporate Governance and Compliance - The company has received a standard unqualified audit opinion from Tianzhi International Accounting Firm[4]. - The company has committed to transparency in its financial reporting and compliance with new accounting standards[136]. - The company has not encountered any issues with the completion of performance commitments or significant accounting errors during the reporting period[134]. - The company strictly adheres to the regulations of the Company Law and the Securities Law, ensuring effective governance and compliance[197]. - The company has a focus on expanding its market presence and enhancing its operational efficiency through strategic management[183]. Social Responsibility - The company has expanded its social responsibility initiatives, including disaster relief efforts that benefited approximately 6,000 acres of farmland[156]. - The company engaged in poverty alleviation projects, impacting around 2,300 acres in five villages through agricultural support[155]. - The company actively participates in community support and disaster recovery, demonstrating a commitment to corporate social responsibility[156]. Risks and Challenges - The company faces risks from intensified market competition and potential changes in relationships with pesticide manufacturers and distributors, which could impact its operational performance[114][115]. - The company is also exposed to risks related to environmental policy changes, which may increase production costs and affect its competitive position in the market[117]. - The company's overseas sales are primarily quoted and settled in USD, making it susceptible to fluctuations in the RMB/USD exchange rate, which could impact profitability[120]. Shareholder Information - The company has established a cash dividend policy, committing to a minimum annual dividend payout ratio of 20% of the distributable profits[123]. - The company has consistently issued stock dividends of 2.5 shares for every 10 shares held over the past three years[124]. - The company has a lock-up period of 36 months for shares held by certain stakeholders post-IPO, with an additional voluntary lock-up of 24 months[128]. - The largest shareholder, China Agricultural Materials Group, holds 96,480,000 shares, representing 50.25% of the total shares[170]. - The total number of ordinary shareholders decreased from 15,927 to 12,226 during the reporting period[169].

Financial Performance - Operating revenue for the year-to-date reached CNY 3,406,081,354.05, reflecting a 15.64% increase year-on-year[7] - Net profit attributable to shareholders was CNY 96,236,839.40, up 6.08% from the previous year[7] - Basic and diluted earnings per share increased by 6.38% to CNY 0.50[8] - The company reported a net profit excluding non-recurring gains and losses of CNY 87,290,197.01, a 5.26% increase year-on-year[7] - Total operating revenue for Q3 2019 reached ¥782,997,812.94, a 30% increase from ¥602,450,288.77 in Q3 2018[25] - Net profit for Q3 2019 was ¥13,779,942.30, compared to ¥10,641,906.96 in Q3 2018, representing a 30% growth[26] - The company reported a total profit of ¥18,654,382.03 for Q3 2019, compared to ¥16,428,673.95 in Q3 2018, which is a 7% increase[26] - The total profit for Q3 2019 was ¥17,629,529.4, down from ¥25,099,031.04 in Q3 2018, indicating a decrease of approximately 29.5%[29] Assets and Liabilities - Total assets increased by 31.49% to CNY 3,398,841,653.08 compared to the end of the previous year[7] - The net assets attributable to shareholders increased by 7.88% to CNY 933,448,644.10 compared to the end of the previous year[7] - Total liabilities amounted to CNY 2,367,388,952.86, compared to CNY 1,627,789,846.17, which is an increase of approximately 45.4%[20] - The total assets increased to ¥3,195,139,045.43 in Q3 2019 from ¥2,435,930,233.36 in Q3 2018, marking a 31% rise[24] - The total liabilities rose to ¥2,221,010,891.07 in Q3 2019, compared to ¥1,519,988,696.29 in Q3 2018, indicating a 46% increase[24] - The owner's equity totaled ¥974,128,154.36 in Q3 2019, up from ¥915,941,537.07 in Q3 2018, reflecting a 6% increase[24] Cash Flow - Net cash flow from operating activities decreased by 97.07% to -CNY 504,288,991.60 compared to the same period last year[7] - Operating cash flow net amount decreased by 97.07% to -CNY 504,288,991.60, mainly due to increased operating payments[13] - Investment cash flow net amount decreased by 96.24% to CNY 3,504,186.83, resulting from reduced financial management amounts[13] - Financing cash flow net amount increased by 422.02% to CNY 458,902,505.24, due to increased short-term borrowings[13] - Cash inflows from financing activities reached CNY 1,211,508,529.35, an increase of 54.8% compared to CNY 783,448,372.03 in 2018[31] - The net cash flow from financing activities improved to CNY 458,902,505.24, compared to CNY 87,908,270.47 in the previous year[31] Shareholder Information - Total number of shareholders reached 11,768 by the end of the reporting period[11] - Shareholders' equity totaled CNY 1,031,452,700.22, up from CNY 957,071,093.80, indicating a growth of about 7.8%[20] Operational Metrics - Accounts receivable increased by 109.18% to CNY 521,912,771.72 compared to the previous year[12] - Prepayments rose by 76.54% to CNY 773,950,707.13, primarily due to increased procurement[12] - Inventory increased to CNY 1,326,756,042.45 from CNY 1,142,087,144.91, reflecting a rise of approximately 16.2%[19] - The company reported a significant increase in accounts receivable, which rose to CNY 521,912,771.72 from CNY 249,501,577.85, representing a growth of approximately 109.3%[19] Research and Development - Research and development expenses for Q3 2019 were ¥3,298,785.70, a decrease from ¥4,465,375.67 in Q3 2018, showing a 26% reduction[25] - Research and development expenses for Q3 2019 were ¥2,810,883.72, down from ¥4,132,038.49 in Q3 2018, indicating a decrease of about 31.9%[28] Future Outlook - The company has not disclosed any new product developments or market expansion strategies in this report[9] - The company plans to expand its market presence and invest in new product development to drive future growth[25]

Financial Performance - The company's operating revenue for the first half of 2019 was ¥2,623,083,541.11, representing an increase of 11.96% compared to ¥2,342,909,417.46 in the same period last year[20]. - The net profit attributable to shareholders of the listed company was ¥86,357,504.27, up 7.32% from ¥80,464,251.33 in the previous year[20]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥78,638,991.83, reflecting a 5.12% increase from ¥74,811,506.98 in the same period last year[20]. - Basic earnings per share for the first half of the year increased by 7.33% to CNY 0.4498 compared to the same period last year[21]. - Diluted earnings per share also rose by 7.33% to CNY 0.4498 year-on-year[21]. - The net profit attributable to the company after deducting non-recurring gains and losses was CNY 0.4096 per share, reflecting a 5.13% increase year-on-year[21]. - The total comprehensive income for the first half of 2019 was ¥93,778,733.47, compared to ¥80,439,149.86 in the same period of 2018, reflecting a growth of 16.67%[143]. - The company reported a profit distribution of CNY -35,783,350.00, indicating a significant reduction in profit allocation to shareholders[160]. Cash Flow and Financial Position - The net cash flow from operating activities was -¥391,441,359.85, a decline of 7.77% compared to -¥363,205,696.99 in the previous year[20]. - The company's total assets at the end of the reporting period were ¥3,319,337,410.81, an increase of 28.42% from ¥2,584,860,939.97 at the end of the previous year[20]. - The net cash flow from operating activities was negative at CNY -391,441,359.85, a decline of 7.77% compared to CNY -363,205,696.99 in the previous year[60]. - Cash inflow from operating activities totaled CNY 2,461,280,418.69, compared to CNY 2,085,310,846.30 in the same period last year, showing a growth of 18%[148]. - The ending balance of cash and cash equivalents as of June 30, 2019, was CNY 237,905,619.97, compared to CNY 111,933,646.51 at the end of June 2018, an increase of 112.5%[152]. - The total liabilities at the end of the reporting period were CNY 345,608,867.20, reflecting a manageable debt level[162]. - The total equity attributable to shareholders increased to RMB 923,614,969.79 from RMB 865,258,142.99, showing a growth of about 6.7%[135]. Business Operations and Strategy - The main business includes pesticide distribution services, plant protection technology services, and plant protection machinery supply, with no significant changes in the business model[27]. - The company has established long-term stable partnerships with leading international pesticide companies, enhancing its procurement capabilities[30]. - The company operates a "one-stop" pesticide raw material supply platform, integrating upstream resources for downstream clients[31]. - The overseas sales business has expanded to over 40 countries across five continents, focusing on pesticide export trade[33]. - The company has developed targeted crop health solutions through its Plant Protection Technology Center, addressing the specific needs of different crops in various regions[38]. - The company is actively exploring full-service models to meet the needs of large-scale planting entities, enhancing its technical service capabilities in major grain-producing areas[50]. - The company aims to deepen market penetration and strengthen risk control in its export business[58]. Research and Development - Research and development expenses increased by 3.19% to CNY 7,265,886.51, reflecting the company's commitment to enhancing product offerings[60][65]. - The company reported an investment income of ¥8,185,734.02, which is an increase from ¥3,431,840.36 year-on-year[142]. - Research and development expenses for the first half of 2019 were ¥7,265,886.51, slightly up from ¥7,041,449.15 in the previous year[142]. Risks and Challenges - The company faces risks from intensified market competition due to the diversification of supply and demand in the agricultural sector[84]. - The company is exposed to product quality risks, which could lead to legal claims and damage to its reputation if issues arise[88]. - Currency fluctuations, particularly in the USD/RMB exchange rate, could significantly affect the company's overall profitability[90]. - Environmental policy changes may impact pesticide manufacturers, potentially altering the competitive landscape for the company[87]. Shareholder Information - The total number of common shareholders at the end of the reporting period was 12,545[123]. - The largest shareholder, China Agricultural Production Materials Group, holds 96,480,000 shares, representing 50.25% of the total shares[125]. - The company distributed cash dividends of RMB 2.50 per share, totaling RMB 40,000,020, and increased its registered capital to RMB 192,000,096 after a capital reserve transfer[176]. Accounting and Compliance - The company has implemented new accounting policies effective January 1, 2019, in accordance with the Ministry of Finance's requirements[110]. - The company’s financial statements are prepared based on the assumption of going concern, indicating stable profitability and significant cash reserves[181]. - The company’s accounting policies include provisions for bad debts and inventory depreciation, ensuring accurate financial reporting[182]. - The company confirmed financial assets or liabilities upon entering into financial instrument contracts, recognizing gains or losses on disposals on the transaction date[199].