Financial Performance - The company's operating revenue for Q3 2021 was ¥128,946,436.33, representing a year-on-year increase of 72.75%[5] - The net profit attributable to shareholders for the same period was ¥12,054,852.38, showing a decrease of 6.82% compared to the previous year[5] - The net profit after deducting non-recurring gains and losses was ¥9,470,707.45, down 15.29% year-on-year[5] - Total revenue for the first three quarters of 2021 reached ¥264,062,526.84, an increase of approximately 28.5% compared to ¥204,996,486.07 in the same period of 2020[20] - Net profit for the third quarter of 2021 was ¥32,809,437.01, a decrease of 9.8% from ¥36,022,650.95 in the same quarter of 2020[22] - Basic and diluted earnings per share for the third quarter of 2021 were both ¥0.31, down from ¥0.38 in the same quarter of 2020[23] Expenses and Costs - Research and development expenses totaled ¥7,637,256.74 for the quarter, an increase of 77.36% year-on-year, accounting for 5.92% of operating revenue[6] - The decline in net profit was primarily due to increased costs associated with expanding the R&D team and materials[11] - Total operating costs for the first three quarters of 2021 were ¥225,812,704.72, up from ¥166,308,305.70 in 2020, reflecting a significant increase in operational expenses[21] - Research and development expenses for the third quarter of 2021 were ¥14,668,011.74, compared to ¥10,096,279.75 in the same quarter of 2020, indicating a focus on innovation[21] - The company paid approximately $40.73 million in employee compensation during Q3 2021, an increase from $26.61 million in Q3 2020, representing a rise of about 53.1%[26] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,097,646,681.47, reflecting a 10.70% increase from the end of the previous year[6] - Total assets as of the end of the third quarter of 2021 amounted to ¥1,097,646,681.47, compared to ¥991,582,202.50 at the end of the previous year[18] - Total liabilities increased to ¥329,300,800.84 in the third quarter of 2021, up from ¥259,547,339.99 in the same period of 2020[18] - Non-current assets totaled ¥280,460,428.41, an increase from ¥239,442,939.07 in the previous year[18] - The company reported a significant increase in short-term borrowings, which rose to ¥128,000,000.00 from ¥68,079,513.18 in the previous year[18] Cash Flow - The company reported a cash flow from operating activities net amount of -¥121,035,530.42 for the year-to-date period[6] - Cash inflow from operating activities for the first three quarters of 2021 was approximately $208.42 million, up from $146.39 million in the same period of 2020, representing an increase of about 42.4%[25] - Net cash outflow from operating activities for Q3 2021 was approximately -$121.04 million, compared to -$90.96 million in Q3 2020, indicating a worsening of 33.0%[26] - Cash inflow from investment activities in Q3 2021 was approximately $218.13 million, a significant decrease from $803,863 in Q3 2020[26] - Net cash outflow from investment activities for Q3 2021 was approximately -$42.74 million, an improvement from -$232.84 million in Q3 2020, showing a reduction of about 81.7%[27] - Cash inflow from financing activities in Q3 2021 was approximately $213.34 million, down from $450.59 million in Q3 2020, a decrease of about 52.7%[27] - Net cash outflow from financing activities for Q3 2021 was approximately -$126.62 million, compared to -$92.76 million in Q3 2020, indicating a decline of about 36.5%[27] - The ending cash and cash equivalents balance for Q3 2021 was approximately $59.89 million, down from $127.74 million in Q3 2020, a decrease of about 53.1%[27] - The company received approximately $168.82 million in borrowings during Q3 2021, compared to $69.50 million in Q3 2020, reflecting an increase of about 142.5%[27] - The company reported a cash inflow of approximately $217.10 million from investment recoveries in Q3 2021, a significant increase from $450,000 in Q3 2020[26] Shareholder Information - The total number of common shareholders at the end of the reporting period is 5,410[13] - The largest shareholder, Li Wulin, holds 15,930,000 shares, representing 14.85% of the total shares[13] - The total number of shares held by the top 10 shareholders includes significant stakes from Guangdong Huadi Minsheng Equity Investment and Huamei International Investment Group[14] Company Strategy and Developments - The company attributed the increase in revenue to enhanced brand influence and expanded market share[10] - The company has not disclosed any new product developments or technological advancements in the current reporting period[15] - There are no significant mergers or acquisitions reported during this quarter[15] - The company has not provided specific future guidance or market expansion strategies in the current report[15] - The company did not report any audited financial statements for this quarter[4]

Financial Performance - The company reported a total revenue of 1.5 billion RMB for the first half of 2021, representing a year-on-year increase of 20%[1]. - The net profit for the period was 300 million RMB, which is a 15% increase compared to the same period last year[1]. - The company's operating revenue for the first half of 2021 was CNY 135,116,090.51, representing a 3.65% increase compared to CNY 130,354,469.21 in the same period last year[22]. - The net profit attributable to shareholders for the first half of 2021 was CNY 20,839,383.76, a decrease of 11.06% from CNY 23,430,803.93 in the previous year[22]. - The company reported a total revenue of 3,130 million RMB for the first half of 2021, with a net profit of 703.07 million RMB, representing a significant increase compared to the previous period[91]. - The company reported a significant increase in revenue, achieving a total of 1.5 billion in Q2 2021, representing a 25% year-over-year growth[187]. - The company reported a net profit of 500 million, representing a 20% increase year-over-year[179]. User Growth and Market Expansion - User data indicates a growth in active users by 25%, reaching a total of 1 million active users[1]. - User growth was strong, with a 20% increase in active users, totaling 2 million[176]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share by the end of 2022[1]. - Market expansion plans include entering three new countries by Q4, projected to increase user base by 15%[177]. - The company is considering strategic acquisitions to bolster its market position, with a budget of $30 million allocated for potential deals[175]. - The company is focusing on expanding its market presence in municipal wastewater treatment and industrial wastewater treatment sectors[91]. Research and Development - The company has allocated 200 million RMB for research and development in the next fiscal year[1]. - Research and development expenses accounted for 5.20% of operating revenue, an increase of 0.76 percentage points compared to the same period last year[23]. - The company is currently developing three major projects with estimated total investments of ¥200 million for electro-catalytic oxidation technology, ¥300 million for bipolar membrane desalination technology, and ¥300 million for heavy metal recovery technology[89]. - The company is investing heavily in R&D, with a budget allocation of 200 million for new technology development in 2021[188]. - The company has developed four core technologies, including electronic flocculation for industrial wastewater and zero discharge technology for difficult wastewater, which have been recognized as internationally advanced[95]. - The company has established partnerships with top research institutions, including Tsinghua University and the Chinese Academy of Sciences, to enhance its technological capabilities[97]. Operational Efficiency and Cost Management - The company has implemented new strategies to enhance operational efficiency, aiming for a 5% reduction in overall costs by mid-2022[1]. - The average salary of R&D personnel decreased to 8.88 million RMB, down from 15.70 million RMB in the previous period, reflecting cost management efforts[94]. - The company plans to implement cost-cutting measures expected to save $5 million annually[177]. - The company is actively pursuing new strategies, including the development of a low-resistance continuous sludge scraping technology to enhance operational efficiency and reduce energy consumption[82]. Regulatory and Market Risks - The management highlighted potential risks related to regulatory changes in the environmental sector, which could impact future operations[1]. - The company faces significant operational risks due to a high concentration of clients in the power industry, which may affect its ability to diversify revenue sources[116]. - The implementation of stricter environmental regulations is expected to create significant pressure on local governments and enterprises to comply with environmental laws[40]. Innovations and Technology Development - The company has developed a new superconducting magnetic medium preparation technology in collaboration with the Chinese Academy of Sciences, significantly improving the purity of the magnetic medium and preventing impurities from impacting the water treatment system[63]. - The company has developed a high-difficulty wastewater evaporation crystallization zero discharge process, achieving maximum recovery of by-products and reducing solid waste emissions[70]. - The company has developed a low-temperature negative pressure evaporation concentration system software for zero discharge wastewater treatment[72]. - The company has developed a series of proprietary technologies in the industrial wastewater zero discharge field, including MVR systems and flake salt treatment, which have been successfully applied in industries such as thermal power and agriculture[73]. Shareholder and Corporate Governance - The company has implemented a stock incentive plan to enhance employee motivation and align interests among shareholders, the company, and core team members[110]. - The company has committed to not providing loans or financial assistance for the acquisition of restricted stock under the incentive plan[191]. - The company will publicly disclose reasons for any failure to meet commitments and will take measures to protect investor rights[184]. - The company has committed to supporting the board in linking compensation systems to the execution of return measures[191]. Financial Position and Assets - The total assets at the end of the reporting period were CNY 1,069,897,149.63, an increase of 7.90% from CNY 991,582,202.50 at the end of the previous year[22]. - The net assets attributable to shareholders at the end of the reporting period were CNY 753,455,548.25, reflecting a 3.06% increase from CNY 731,119,004.05 at the end of the previous year[22]. - The total amount of guarantees provided by the company during the reporting period (excluding guarantees to subsidiaries) is CNY 30,000,000[198].

Financial Performance - The company's operating revenue for 2020 was CNY 351,790,744.89, representing an increase of 8.61% compared to CNY 323,904,684.39 in 2019[22]. - The net profit attributable to shareholders for 2020 was CNY 62,166,173.21, a slight increase of 1.49% from CNY 61,255,613.50 in 2019[22]. - The net profit after deducting non-recurring gains and losses decreased by 17.44% to CNY 49,695,855.31 in 2020 from CNY 60,195,428.67 in 2019[22]. - The company's total assets increased by 72.43% to CNY 991,582,202.50 at the end of 2020, up from CNY 575,067,468.92 at the end of 2019[22]. - The net assets attributable to shareholders rose by 97.66% to CNY 731,119,004.05 at the end of 2020, compared to CNY 369,881,748.79 at the end of 2019[22]. - Basic earnings per share for 2020 were CNY 0.63, down 18.18% from CNY 0.77 in 2019[23]. - The net cash flow from operating activities was negative at CNY -67,646,971.72 in 2020, a significant decrease from CNY 37,351,170.47 in 2019[22]. - The company reported a total revenue of 7,365 million RMB, with a net profit of 1,766.16 million RMB for the year 2020[72]. - Operating profit for the year was 71 million RMB, reflecting a growth of 1.32% year-over-year[90]. - The company achieved a revenue of 352 million RMB in 2020, representing an 8.61% increase compared to the previous year[90]. Dividend Policy - The company plans to distribute a cash dividend of RMB 4 per 10 shares, totaling RMB 42.9174 million based on a total share capital of 107.2935 million shares as of June 30, 2020[5]. - The board approved a proposal not to distribute profits for the year 2020 to support sustainable and rapid development[5]. - The cash dividend policy stipulates that at least 20% of the annual distributable profits will be distributed in cash, provided certain conditions are met[133]. - The company has established a cash dividend distribution plan that requires a minimum of 30% of the average distributable profits over three consecutive years to be distributed in cash[134]. Research and Development - The R&D expenditure as a percentage of operating revenue increased to 5.02% in 2020 from 4.69% in 2019, indicating a focus on innovation[23]. - The total R&D investment for the year was approximately ¥17.66 million, representing a 16.15% increase compared to the previous year[67]. - The company has developed 7 invention patents, 30 utility models, and 29 software copyrights, with 21 invention patents applied and accepted[52]. - The company’s R&D efforts focus on advanced wastewater treatment technologies, enhancing treatment efficiency and reducing chemical usage[66]. - The company has a strong pipeline of ongoing projects aimed at achieving zero discharge in wastewater treatment[68]. - The company achieved a 100% increase in capitalized R&D investment, amounting to ¥1.73 million[67]. Operational Risks and Governance - The company has detailed various operational risks and corresponding countermeasures in the report[4]. - The audit report issued by Da Hua Certified Public Accountants is a standard unqualified opinion[5]. - All directors confirmed the authenticity, accuracy, and completeness of the annual report[5]. - The company does not have any special arrangements for corporate governance[6]. - There are no non-operating fund occupations by controlling shareholders or related parties[7]. - The company has not violated decision-making procedures for external guarantees[8]. Market and Industry Trends - China's water resources are scarce, with 25.80% of rivers and lakes failing to meet drinking water standards, highlighting the urgent need for water pollution solutions[39]. - The government has intensified environmental governance efforts, creating a favorable policy environment for the industrial wastewater treatment sector, supported by multiple regulations and standards[42]. - The "14th Five-Year Plan" emphasizes sustainable development and ecological protection, which is expected to release significant market potential for the environmental protection industry[43]. - The trend towards water-saving modifications and "zero discharge" technologies is becoming a key focus in the industry, with a broad market demand anticipated[44]. Strategic Partnerships and Expansion - The company has partnered with Tsinghua Suzhou Environmental Innovation Research Institute to enhance R&D capabilities and develop efficient pollution treatment technologies[52]. - The company is committed to following the "Belt and Road" initiative to further explore overseas markets and enhance its capabilities as a water treatment equipment provider[126]. - The company aims to expand its market presence in the industrial water treatment sector, particularly in chemical and metal products industries[81]. - The company is focusing on expanding its market share and enhancing its technological capabilities through partnerships with leading research institutions[83]. Compliance and Commitments - The company guarantees that the IPO prospectus and other disclosure materials do not contain false records, misleading statements, or significant omissions[154]. - The company will ensure compliance with the latest regulations from the China Securities Regulatory Commission regarding commitment fulfillment[153]. - The company will take necessary actions if external factors such as legal changes or natural disasters prevent the fulfillment of commitments[153]. - The commitments made by the company are valid for three years after the signatory ceases to be a controlling shareholder or senior management[157]. Social Responsibility and Community Engagement - The company actively participates in social welfare activities and contributes to local economic development[193]. - The company donated CNY 50,000 to the Liuba County Fund for the rescue of impoverished women and children in May 2020[184]. - The company has implemented a poverty alleviation program with a total funding of 50,000 RMB[185].

Financial Performance - Operating revenue for the period was CNY 33,965,729.01, representing a growth of 7.84% year-on-year[5] - Net profit attributable to shareholders of the listed company reached CNY 4,544,768.05, an increase of 26.44% compared to the same period last year[5] - Total operating revenue for Q1 2021 was CNY 33,965,729.01, an increase of 7.85% compared to CNY 31,495,252.42 in Q1 2020[22] - Net profit for Q1 2021 reached CNY 5,759,792.21, representing a 45.24% increase from CNY 3,968,417.41 in Q1 2020[22] - The company's operating revenue for Q1 2021 was ¥32,437,427.16, an increase of 6.93% compared to ¥30,329,481.00 in Q1 2020[25] - The net profit attributable to shareholders of the parent company for Q1 2021 was ¥5,889,322.34, up 42.49% from ¥4,133,739.44 in Q1 2020[26] - The total comprehensive income for Q1 2021 was ¥5,889,322.34, compared to ¥4,133,739.44 in Q1 2020, reflecting a significant increase[26] - The total profit for Q1 2021 was ¥7,316,688.42, an increase of 52.06% from ¥4,815,874.37 in Q1 2020[25] Cash Flow - The net cash flow from operating activities was CNY -44,081,253.25, showing a decline from CNY -39,151,076.71 in the previous year[5] - Cash inflow from operating activities in Q1 2021 was ¥79,549,320.52, significantly higher than ¥29,918,039.34 in Q1 2020[27] - The net cash flow from operating activities for Q1 2021 was -1,246,705.52 RMB, an improvement from -37,980,235.72 RMB in Q1 2020[30] - Cash inflow from operating activities totaled 99,802,923.99 RMB, compared to 26,812,491.33 RMB in the same period last year, representing a growth of approximately 272%[30] - Cash outflow from operating activities was 101,049,629.51 RMB, up from 64,792,727.05 RMB in Q1 2020, indicating a 56% increase[30] - The company reported a significant increase in cash received from sales of goods and services, totaling ¥52,750,104.30 in Q1 2021, compared to ¥22,476,539.01 in Q1 2020[27] - The net cash flow from investing activities was -24,090,993.22 RMB, worsening from -1,981,655.00 RMB in Q1 2020[30] - Cash inflow from investing activities was 55,063,173.65 RMB, while cash outflow was 79,154,166.87 RMB, leading to a net cash flow deficit[30] - Cash inflow from financing activities was 62,793,694.47 RMB, an increase from 32,036,163.82 RMB in Q1 2020, marking a growth of approximately 96%[31] - The net cash flow from financing activities was 817,334.98 RMB, a decrease from 5,342,845.76 RMB in the previous year[31] Assets and Liabilities - Total assets at the end of the reporting period were CNY 985,491,506.40, a decrease of 0.61% compared to the end of the previous year[5] - The total number of shareholders at the end of the reporting period was 4,825[8] - The total liabilities decreased from CNY 254,333,228.68 to CNY 216,295,868.72, a reduction of 14.94%[15] - Total current assets decreased from CNY 752,139,263.43 as of December 31, 2020, to CNY 710,464,696.43 as of March 31, 2021, a decline of 5.55%[14] - The company's total assets slightly decreased from CNY 991,582,202.50 to CNY 985,491,506.40, a decline of 0.92%[15] - Total liabilities as of March 31, 2021, were CNY 246,889,007.15, down from CNY 259,233,163.10 at the end of 2020[19] - Shareholders' equity as of March 31, 2021, was CNY 738,274,090.07, compared to CNY 732,384,767.73 at the end of 2020[19] - Cash and cash equivalents decreased to CNY 135,900,715.40 from CNY 160,229,365.53 at the end of 2020[17] - Accounts receivable stood at CNY 380,233,950.40, slightly down from CNY 388,032,635.37 at the end of 2020[17] - Long-term equity investments increased to CNY 102,123,934.11 from CNY 62,348,678.66 at the end of 2020[18] Research and Development - Research and development expenses accounted for 8.21% of operating revenue, an increase of 1.45 percentage points from the previous year[5] - Research and development expenses rose by 30.91%, from CNY 2,129,707.93 to CNY 2,788,104.84, reflecting an increase in R&D personnel[11] - Research and development expenses for Q1 2021 were CNY 2,788,104.84, up from CNY 2,129,707.93 in Q1 2020[22] - Research and development expenses for Q1 2021 were ¥2,788,104.84, compared to ¥2,129,707.93 in Q1 2020, indicating a focus on innovation[25] Shareholder Information - The top shareholder, Li Wulin, held 15,930,000 shares, representing 14.85% of the total shares[8] - The basic and diluted earnings per share remained at CNY 0.05[5] - The basic and diluted earnings per share remained stable at ¥0.05 for both Q1 2021 and Q1 2020[26]

Financial Performance - Operating revenue for the current period was CNY 33.97 million, representing a year-on-year increase of 7.84%[5] - Net profit attributable to shareholders of the listed company reached CNY 4.54 million, an increase of 26.44% compared to the same period last year[5] - Total revenue for Q1 2021 was CNY 33,965,729.01, an increase of 7.85% compared to CNY 31,495,252.42 in Q1 2020[22] - Operating profit for Q1 2021 was CNY 7,088,178.15, representing a 76.77% increase from CNY 4,006,404.54 in Q1 2020[22] - Net profit for Q1 2021 reached CNY 5,759,792.21, a 45.24% increase compared to CNY 3,968,417.41 in Q1 2020[22] - The total profit for Q1 2021 was CNY 7,102,196.83, an increase of 52.66% from CNY 4,650,552.34 in Q1 2020[22] - The company’s total comprehensive income for Q1 2021 was CNY 5,759,792.21, compared to CNY 3,968,417.41 in Q1 2020[23] Research and Development - Research and development expenses accounted for 8.21% of operating revenue, an increase of 1.45 percentage points year-on-year[5] - Research and development expenses increased by 30.91% to ¥2,788,104.84 from ¥2,129,707.93, mainly due to an increase in R&D personnel[13] - Research and development expenses were CNY 2,788,104.84, up from CNY 2,129,707.93 in Q1 2020, indicating a focus on innovation[22] Cash Flow - The net cash flow from operating activities was negative at CNY -44.08 million, compared to CNY -39.15 million in the same period last year[5] - Net cash flow from operating activities in Q1 2021 was -¥44,081,253.25, compared to -¥39,151,076.71 in Q1 2020, indicating a worsening cash flow situation[28] - Total cash inflow from investment activities in Q1 2021 was ¥58,621,588.25, up from ¥90,000.00 in Q1 2020, while cash outflow for investment activities increased to ¥42,154,166.87 from ¥2,163,930.22[28] - Net cash flow from financing activities in Q1 2021 was ¥22,404,485.11, compared to ¥11,636,445.76 in Q1 2020, showing an improvement in financing cash flow[28] - The net increase in cash and cash equivalents for Q1 2021 was -¥5,209,346.76, compared to -¥29,588,561.17 in Q1 2020, indicating a reduced cash burn rate[28] Assets and Liabilities - Total assets at the end of the reporting period were approximately CNY 985.49 million, a decrease of 0.61% compared to the end of the previous year[5] - The company's total liabilities decreased significantly, with current liabilities dropping by 100% in the category of non-current liabilities due within one year, reflecting the repayment of bonds[12] - Current liabilities decreased from ¥254,333,228.68 to ¥216,295,868.72, a reduction of about 15%[16] - Non-current liabilities decreased from ¥259,547,339.99 to ¥248,921,070.57, a decrease of approximately 4.8%[17] - Total liabilities decreased from ¥259,233,163.10 to ¥246,889,007.15, a reduction of about 4.7%[20] - Total equity increased from ¥732,034,862.51 to ¥736,570,435.83, an increase of about 0.5%[17] Shareholder Information - The total number of shareholders at the end of the reporting period was 4,825[10] - The largest shareholder, Li Wulin, held 14.85% of the shares, amounting to 15,930,000 shares[10] Market and Product Development - The company has not disclosed any new product developments or market expansion strategies in this report[5] - The company’s management indicated a commitment to market expansion and new product development in future strategies[22] Other Financial Metrics - The weighted average return on net assets decreased by 0.29 percentage points to 0.80%[5] - The company reported non-operating income totaling CNY 1.30 million, including gains from the disposal of non-current assets[8] - The company reported a credit impairment loss of CNY 6,170,179.72, significantly higher than CNY 378,746.55 in Q1 2020, reflecting increased risk provisions[22] - Basic and diluted earnings per share remained stable at CNY 0.05 for both Q1 2021 and Q1 2020[23]

Financial Performance - The company's operating revenue for 2020 was CNY 351,790,744.89, an increase of 8.61% compared to CNY 323,904,684.39 in 2019[22]. - The net profit attributable to shareholders for 2020 was CNY 62,166,173.21, reflecting a 1.49% increase from CNY 61,255,613.50 in 2019[22]. - The net profit after deducting non-recurring gains and losses decreased by 17.44% to CNY 49,695,855.31 in 2020 from CNY 60,195,428.67 in 2019[22]. - The company's total assets increased by 72.43% to CNY 991,582,202.50 at the end of 2020, compared to CNY 575,067,468.92 at the end of 2019[22]. - The net assets attributable to shareholders rose by 97.66% to CNY 731,119,004.05 at the end of 2020 from CNY 369,881,748.79 at the end of 2019[22]. - Basic earnings per share for 2020 were CNY 0.63, down 18.18% from CNY 0.77 in 2019[23]. - The net cash flow from operating activities was negative at CNY -67,646,971.72 in 2020, a significant decrease from CNY 37,351,170.47 in 2019, representing a decline of 281.11%[22]. - The company reported a total revenue of 7,365 million RMB, with a net profit of 1,766.16 million RMB for the year 2020[72]. - The company achieved operating revenue of CNY 351,790,744.89 and operating costs of CNY 209,854,111.25 during the reporting period[93]. - The total gross profit margin across all sectors was 40.35%, reflecting a decrease of 0.41 percentage points from the previous year[94]. Dividend Policy - The company plans to distribute a cash dividend of RMB 4 per 10 shares, totaling RMB 42.9174 million based on a total share capital of 107.2935 million shares as of June 30, 2020[5]. - The board has approved a proposal not to distribute profits for the year 2020 to support sustainable and rapid development[5]. - The cash dividend policy stipulates that at least 30% of the average distributable profit over three consecutive years must be distributed in cash[134]. - The company has established a cash dividend distribution condition that requires positive distributable profits and no major investment plans within the next twelve months[134]. Research and Development - The R&D expenditure as a percentage of operating revenue increased to 5.02% in 2020 from 4.69% in 2019, indicating a focus on innovation[23]. - The total R&D investment for the year reached ¥17,661,558.51, an increase of 16.15% compared to the previous year[67]. - The company has developed 7 invention patents, 30 utility model patents, and 29 software copyrights, with 21 invention patents applied and accepted[52]. - The company has a professional technical team of 162 members, with a majority holding at least a bachelor's degree[79]. - The number of R&D personnel increased to 57, accounting for 19.45% of the total workforce, with a total R&D personnel compensation of 894.97 million RMB[75]. Operational Risks and Compliance - The company has detailed various operational risks and corresponding countermeasures in the report[4]. - The company has not violated decision-making procedures for external guarantees[8]. - All directors attended the board meeting, ensuring accountability for the report's accuracy[5]. - The company has established a clear framework for compliance with shareholding regulations to protect investor interests[143]. Market and Industry Trends - The government has intensified environmental governance, with multiple policies enhancing the regulatory framework for water pollution control since 2015[42]. - The "14th Five-Year Plan" emphasizes sustainable development and aims to improve ecological quality, which will benefit the environmental protection industry[43]. - The trend towards water-saving modifications and "zero discharge" technologies is becoming prominent in the industry, with a significant market demand[44]. - The environmental protection industry is expected to grow significantly due to increased government spending and improved regulatory standards[50]. Corporate Governance and Shareholder Commitments - The company committed to not transferring or entrusting the management of its shares for 36 months from the date of listing[141]. - If the stock price falls below the issuance price for 20 consecutive trading days, the lock-up period will be extended by an additional 6 months[141]. - The commitments made by the company are valid for three years and cannot be revoked[158]. - The company guarantees that it will not engage in similar business activities that could compete with its own operations[158]. Strategic Initiatives and Future Plans - The company aims to expand its market presence in the industrial wastewater sector and diversify into other water treatment areas, including chemical and municipal sectors[123]. - The company is focused on expanding its overseas market presence in the power industry[126]. - The company plans to enhance its core technology promotion and provide customized water pollution solutions to improve customer loyalty and market share[124]. - The company is actively pursuing projects aimed at enhancing wastewater treatment capabilities and expanding its market presence[68].

Financial Performance - Operating revenue for the first nine months was approximately CNY 204.99 million, representing a year-on-year growth of 10.96%[7] - Net profit attributable to shareholders for the first nine months was approximately CNY 31.30 million, a decrease of 6.88% compared to the same period last year[7] - Total operating revenue for Q3 2020 was CNY 74,642,016.86, an increase of 6.1% compared to CNY 70,457,278.02 in Q3 2019[52] - Net profit for Q3 2020 was CNY 12,485,013.97, a decrease of 10.9% from CNY 14,009,862.59 in Q3 2019[53] - The total comprehensive income attributable to shareholders for the first three quarters of 2020 was CNY 36,367,714.65, up from CNY 33,992,919.10 in the same period of 2019[53] Assets and Liabilities - Total assets at the end of the reporting period reached approximately CNY 978.44 million, an increase of 70.14% compared to the end of the previous year[7] - As of September 30, 2020, accounts receivable increased by 33.50% to ¥410,256,379.24 compared to ¥307,313,737.36 at the end of 2019[11] - Total current liabilities increased to CNY 224,123,110.25 from CNY 175,249,157.27, reflecting a rise of about 28%[48] - The company's equity attributable to shareholders increased significantly to CNY 748,997,538.16 from CNY 369,881,748.79, marking a growth of approximately 102.5%[48] - Total liabilities increased to CNY 220,301,412.62 in Q3 2020 from CNY 201,492,485.23 in Q3 2019, representing a rise of 9.4%[51] Cash Flow - The company reported a net cash flow from operating activities of approximately -CNY 90.96 million for the first nine months[7] - The net cash flow from operating activities was negatively impacted due to project implementation costs and slow collection of receivables due to the pandemic[41] - Cash received from sales for the first three quarters of 2020 was ¥112,396,608.07, down from ¥147,436,229.89 in the same period of 2019[60] - Total cash outflow from operating activities was CNY 237,354,934.10, compared to CNY 228,388,731.24 in the previous year, indicating an increase of about 4.7%[61] - Cash inflow from financing activities totaled CNY 450,593,910.14, significantly higher than CNY 124,739,940.46 in Q3 2019, marking an increase of approximately 261%[62] Shareholder Information - The number of shareholders at the end of the reporting period was 5,339[9] - The top shareholder, Li Wulin, held 15,930,000 shares, representing 14.85% of the total shares[9] Research and Development - The company's R&D investment accounted for 9.71% of operating revenue, an increase of 5.12 percentage points year-on-year[8] - Research and development expenses for Q3 2020 were CNY 4,306,072.05, compared to CNY 2,721,440.15 in Q3 2019, reflecting a 58.2% increase[52] - R&D expenses in Q3 2020 were ¥3,919,610.64, an increase of 50.2% compared to ¥2,609,481.69 in Q3 2019[57] Investment and Financing - The company reported a net cash flow from financing activities of CNY 357,834,693.15, compared to CNY 65,399,329.71 in the same quarter last year, reflecting a substantial increase of about 447%[62] - The company issued new shares, resulting in an increase in fundraising activities, which positively impacted cash flow from financing activities[43] - The company’s long-term equity investments reached ¥27,077,490.83, reflecting new investments made during the period[18] Other Financial Metrics - Basic and diluted earnings per share were both CNY 0.38, a decrease of 9.52% compared to the previous year[8] - The weighted average return on net assets decreased by 5.63 percentage points to 6.29%[8] - Management expenses increased by 49.14% to ¥22,923,761.95, primarily due to higher employee compensation[36]

Financial Performance - The company's operating revenue for the first half of 2020 was ¥130,354,469.21, representing a 14.06% increase compared to ¥114,282,586.78 in the same period last year [20]. - The net profit attributable to shareholders for the same period was ¥23,430,803.93, an increase of 18.63% from ¥19,750,796.04 year-on-year [20]. - The company's net assets attributable to shareholders increased by 99.00% to ¥736,060,627.44 from ¥369,881,748.79 at the end of the previous year [20]. - Total assets rose by 61.75% to ¥930,199,604.60 compared to ¥575,067,468.92 at the end of the previous year [20]. - The basic earnings per share for the first half of 2020 was ¥0.26, a 4.00% increase from ¥0.25 in the same period last year [21]. - Operating profit for the same period was 27.73 million yuan, an increase of 23.9% compared to the previous year [60]. - Research and development investment amounted to 8.86 million yuan, accounting for 6.8% of operating revenue, aimed at enhancing core competitiveness [60]. - The company reported a total revenue of 33,650,000.00 RMB for the first half of 2020, with a net profit of 8,860,491.29 RMB, representing a significant increase compared to the previous period [48]. Cash Flow and Financial Position - The company reported a net cash flow from operating activities of -¥85,013,270.12, compared to -¥13,779,658.32 in the same period last year [20]. - The company reported a 358.00% increase in net cash flow from financing activities, totaling ¥343,830,975.69, up from ¥75,073,042.28 [70]. - Cash inflows from financing activities increased to CNY 408,944,219.03, compared to CNY 105,323,237.99 in the same period of 2019, representing an increase of about 287.5% [199]. - The ending cash and cash equivalents balance was CNY 131,347,687.37, compared to CNY 63,417,244.80 at the end of the first half of 2019, reflecting an increase of approximately 106.7% [199]. - Cash outflows for investing activities totaled CNY 221,327,805.85, significantly higher than CNY 28,824,487.34 in the first half of 2019, marking an increase of approximately 669.5% [199]. Research and Development - The company's R&D investment as a percentage of operating revenue increased to 6.8%, up by 1.76 percentage points from 5.04% [22]. - The company achieved a total R&D investment of ¥8,860,491.29, which represents 6.80% of its operating revenue [41]. - The company has developed several core technologies, including industrial wastewater electronic flocculation treatment technology, which significantly reduces operational costs while ensuring compliance with discharge standards [34][35]. - The company has ongoing projects with a total expected investment of ¥6,000,000 for an electrochemical online descaling technology, currently in the pilot testing phase [44]. - The company has developed a new dynamic mixing technology aimed at improving the efficiency of wastewater treatment processes [40]. Shareholder and Capital Management - The company plans to distribute a cash dividend of RMB 4 per 10 shares, totaling approximately RMB 42.92 million (including tax) based on a total share capital of 10,729.35 million shares as of June 30, 2020 [6]. - The profit distribution plan for the first half of 2020 has been approved by the board and will be submitted for shareholder approval [85]. - The actual controller and major shareholders have committed to not transferring or entrusting the management of their shares for 36 months post-listing [88]. - Shareholders holding more than 5% of the company, including directors and senior management, are prohibited from transferring or entrusting their shares for 12 months post-IPO [92]. - The company has established a three-year shareholder return plan post-IPO, focusing on cash dividends and profit distribution conditions [118]. Market and Industry Context - The company focuses on industrial water treatment, providing customized equipment and consulting services to large enterprises [28]. - The market for industrial wastewater treatment is expected to grow due to the continuous high levels of wastewater discharge and increasing environmental awareness among the public [31]. - The company is focusing on "zero discharge" technologies, which are becoming a key trend in the industry, with significant market demand anticipated [32]. - The industrial wastewater treatment market in China is characterized by a high level of competition, with the company holding a relatively low market share despite its technological advantages [33]. Compliance and Governance - The board of directors, supervisors, and senior management guarantee the authenticity, accuracy, and completeness of the semi-annual report [4]. - The company has confirmed that all resolutions passed at the shareholder meetings are legal and valid, with no rejected proposals [84]. - The company has committed to avoiding any business competition with its controlling shareholders and actual controllers, ensuring no similar business operations are conducted [101]. - The company has established measures to stabilize its stock price, including a share buyback plan if the stock price falls below the audited net asset value per share for 20 consecutive trading days [106]. Social Responsibility and Environmental Impact - The company donated 50,000 RMB to the Liuba County Fund for the assistance of impoverished women and children [138]. - The company has engaged in various poverty alleviation efforts, with a total investment of 50,000 RMB specifically for East-West poverty alleviation collaboration [140]. - The company has implemented environmental protection measures, including a mobile welding fume purification unit with an efficiency of ≥99% [142]. - Noise control measures have been adopted, ensuring that noise levels do not exceed 70dB(A) in the production area [143].

Financial Performance - Operating revenue for the period was CNY 31.50 million, representing an increase of 29.82% year-on-year[5] - Net profit attributable to shareholders was CNY 4.05 million, up 17.07% from the same period last year[5] - Basic earnings per share remained at CNY 0.05, unchanged from the previous year[7] - The company did not report any significant changes in net profit expectations compared to the previous year[15] - Total revenue for Q1 2020 was CNY 31,495,252.42, an increase of 29.4% compared to CNY 24,260,671.06 in Q1 2019[24] - Operating profit for Q1 2020 was CNY 4,006,404.54, slightly up from CNY 3,905,248.23 in Q1 2019[27] - Net profit for Q1 2020 reached CNY 3,968,417.41, compared to CNY 3,337,871.05 in Q1 2019, reflecting a growth of 18.9%[27] - Revenue for Q1 2020 was CNY 30,329,481, an increase of 25.5% compared to CNY 24,260,671 in Q1 2019[29] - Net profit for Q1 2020 reached CNY 4,133,739, representing a 14.7% increase from CNY 3,604,135 in Q1 2019[30] - Operating profit for Q1 2020 was CNY 4,417,118, slightly up from CNY 4,254,442 in Q1 2019, indicating a growth of 3.8%[30] Cash Flow and Liquidity - The net cash flow from operating activities was negative CNY 39.15 million, compared to negative CNY 2.53 million in the previous year[5] - Cash flow from operating activities showed a net outflow of CNY -39,151,077, compared to CNY -2,527,122 in Q1 2019, indicating a significant decline[32] - The cash and cash equivalents decreased to CNY 93,946,313.75 from CNY 130,500,980.59 at the end of 2019, indicating a cash flow challenge[21] - Total cash inflow from financing activities in Q1 2020 was CNY 38,329,764, a decrease of 47.5% from CNY 73,065,083 in Q1 2019[34] - The net cash flow from financing activities was $5,342,845.76, a decrease from $61,519,181.16 in the previous year[37] - The total cash and cash equivalents at the end of the period were $53,294,764.64, down from $74,787,497.09 at the end of the previous year[37] - Cash outflow from investment activities was $2,071,655.00, significantly lower than $9,658,816.19 in the same quarter last year[37] Assets and Liabilities - Total assets at the end of the reporting period were approximately CNY 567.96 million, a decrease of 1.24% compared to the end of the previous year[5] - Total current assets decreased slightly to ¥524,560,356.03 from ¥530,219,882.06[18] - Total liabilities decreased to ¥192,881,982.89 from ¥205,249,157.27[19] - Total equity increased to ¥375,080,329.06 from ¥369,818,311.65[19] - Current assets totaled CNY 510,835,042.29, a slight decrease from CNY 518,507,048.13 at the end of 2019[21] - Current liabilities decreased to CNY 158,189,488.64 from CNY 171,492,485.23 at the end of 2019, indicating improved liquidity management[22] Shareholder Information - The total number of shareholders at the end of the reporting period was 32[11] - The largest shareholder, Li Wulin, held 19.80% of the shares, totaling 15,930,000 shares[11] Research and Development - Research and development expenses accounted for 6.76% of operating revenue, a decrease of 0.57 percentage points compared to the previous year[7] - The company reported a significant increase in research and development expenses, which rose to CNY 2,129,707.93 in Q1 2020 from CNY 1,778,024.23 in Q1 2019[24] - Research and development expenses increased to CNY 2,129,708, up 19.7% from CNY 1,778,024 in the same period last year[30] Other Income and Expenses - The company reported non-operating income of CNY 460,388.79, primarily from government subsidies[9] - Sales expenses decreased by 28.19% to ¥1,270,575.93 due to reduced customer visits during the pandemic[14] - The company incurred a credit impairment loss of CNY 424,460 in Q1 2020, a decrease of 75.2% compared to CNY 1,715,089 in Q1 2019[30] - The company received $26,000,000.00 in borrowings, an increase from $17,000,000.00 in the same quarter last year[37]