Group 1: Company Overview - China Baowu Steel Group Corporation holds 84.76% of the shares in Shenzhen BTR New Energy Materials Co., Ltd. [2] - BTR was established on August 7, 2000, and is a subsidiary of China Baowu Steel Group [2]. Group 2: Product Sales and Market Share - The sales ratio of BTR's anode materials for electric vehicles and IT is approximately 40:60 for negative materials, while positive materials are primarily used in electric vehicles and energy storage [2]. - BTR's international clients mainly use natural graphite, while domestic clients primarily use synthetic graphite [3]. Group 3: Production Capacity and Plans - BTR's current production capacity for silicon-based anode materials is designed for 1,000 tons per year, with an expected sales volume of around 500 tons this year [3]. - The company has recently completed the expansion of its lithium iron phosphate production line, which officially commenced production in July [3]. Group 4: Customer Base and Revenue - Major customers for lithium iron phosphate include ATL, Lishen, Guoneng, and Watma, while NCA products are currently undergoing certification and are expected to be supplied in large quantities next year [4]. - The revenue from international clients accounts for approximately 50-60%, with major clients including LG and Samsung [4]. Group 5: Competitive Advantages and Future Development - BTR's core competitive advantages include the ability to continuously reduce costs, ongoing R&D capabilities, and the provision of differentiated and customized services [3]. - The company aims to focus on natural graphite for anode materials in the automotive and energy storage sectors in the future [3].

Group 1: Production Capacity - Beiterui currently has a total production capacity of 60,000 tons for graphite anode materials, with 20,000 tons for artificial graphite and 40,000 tons for natural graphite [2] - The company has 3,000 tons of high-nickel capacity for ternary materials, with plans to build an additional 15,000 tons in Jiangsu [3] - The current capacity for lithium iron phosphate products is approximately 20,000 tons [3] Group 2: Market and Sales - The sales of artificial graphite are primarily directed towards domestic customers, while natural graphite is mainly supplied to international clients [2] - The company’s high-nickel products, including 811/NCA with over 80% nickel content, are being sold both domestically and internationally [3] - Despite an overall surplus in the lithium iron phosphate market, high-quality products remain in short supply [3] Group 3: Material Development and Competition - Beiterui is actively advancing the research, production, and sales of silicon-based anode materials, with stable growth in international and domestic customer bases [3] - The competition between natural and artificial graphite depends on overall cost-effectiveness and the specific electrolyte used by each company [3] - The company has accumulated a wealth of technical expertise over the past decade, enabling it to meet mass production conditions for its 811/NCA technology [3]

Group 1: Financial Performance - Beiterui's gross profit margin is higher than competitors like Xiamen Tungsten and Dingsheng Technology due to a complete industrial chain and a focus on high-end products [2] - The expected gross margin for lithium iron phosphate is around 20%, while for anode materials, it is between 25% and 30% [4] Group 2: Production Capacity - The production capacity ratio of natural graphite to artificial graphite is approximately 2:1 [2] - Beiterui's lithium iron phosphate production is currently at full capacity, with future expansion dependent on market conditions [3] Group 3: Market Trends - The global market for 3C batteries remains larger and more stable than for power batteries, impacting sales from companies like Panasonic and Samsung [3] - Prices for both anode and cathode materials have decreased in the first half of the year, but future trends are uncertain due to rising industrial material costs [3] Group 4: Industry Position - Beiterui holds over 50% of the global market share in the anode materials sector, alongside companies like Hitachi Chemical and Mitsubishi Chemical [4] - The barriers to entry in the anode materials industry are well established, while the cathode materials sector remains fragmented [4] Group 5: Research and Development - The number of R&D personnel for anode materials exceeds that for cathode materials, with an average investment recovery period of around three years [4] - Beiterui is exploring new applications for carbon materials in future battery systems, particularly solid-state batteries [4]

Revenue and Profit - Revenue for Q3 2022 reached ¥8,968,183,216.76, an increase of 116.33% year-over-year, while year-to-date revenue was ¥22,479,591,306.31, up 84.77% compared to the same period last year[3] - Net profit attributable to shareholders for Q3 2022 was ¥152,340,142.25, a decrease of 28.19% year-over-year, with year-to-date net profit at ¥575,535,984.92, down 35.52%[3] - Net profit attributable to shareholders decreased by 35.52% to ¥575,535,984.92, mainly due to last year's substantial investment gains from subsidiary disposals[7] - The company reported a total profit of ¥1,858,685,920.06, slightly down from ¥1,904,200,888.16 in the previous year[20] - The total comprehensive income for the period attributable to the parent company was CNY 603,222,583.20, a decrease of 32.3% compared to CNY 890,428,766.25 in the previous period[21] Cash Flow - The company reported a significant increase in cash flow from operating activities, with a year-to-date net cash flow of -¥228,054,074.04, reflecting a decline of 172.44% compared to the previous year[3] - Net cash flow from operating activities showed a significant decline of 172.44%, resulting in a net outflow of ¥228,054,074.04, driven by increased payments for raw materials and processing fees[7] - Cash flow from investing activities experienced a drastic decline of 600.38%, with a net outflow of ¥3,649,689,361.48 due to increased fixed asset investments for capacity expansion[7] - Cash inflow from financing activities was CNY 12,409,939,796.56, significantly higher than CNY 5,465,694,174.34 in the previous period[23] Assets and Liabilities - Total assets as of the end of Q3 2022 were ¥49,596,205,059.71, representing a 33.78% increase from the end of the previous year[3] - Total liabilities increased to ¥31,574,038,909.36, compared to ¥21,414,358,734.26 in the previous year, reflecting a growth of 47.4%[18] - The company’s total liabilities increased, with short-term borrowings rising by 34.59% to ¥7,554,462,158.92, driven by business expansion[6] - Non-current liabilities totaled ¥8,370,292,220.45, up from ¥5,987,258,170.15, marking an increase of 39.9%[18] - The total equity attributable to shareholders of the parent company was ¥8,601,041,179.58, an increase from ¥8,000,289,198.35, representing a growth of 7.5%[18] Research and Development - The company’s R&D expenses for Q3 2022 were ¥1,057,290,408.93, an increase of 104.79% year-over-year, indicating a strong commitment to innovation[6] - Research and development expenses surged to ¥1,057,290,408.93, up 104.5% from ¥516,272,570.49 in the previous year[19] Market and Investment Activities - The company plans to continue expanding its market presence and investing in R&D to support future growth initiatives[6] - Betterray signed a cooperation agreement to invest in a lithium battery anode material integrated base project with an annual production capacity of 200,000 tons in Dali, Yunnan[12] - Betterray plans to issue up to 218,423,767 shares, raising a total of no more than 500 million yuan[14] - Betterray and Stellar Investment signed a joint venture agreement for an integrated project with an annual production capacity of 80,000 tons of new energy lithium battery anode materials in Indonesia[14] - Betterray signed a strategic cooperation framework agreement with Zhongwei New Materials to collaborate in various fields including precursor product development and overseas mineral resource development[13] Inventory and Receivables - Trade receivables rose by 77.32% to ¥5,970,361,497.56, reflecting the significant revenue growth during the period[5] - Betterray's accounts receivable increased to approximately 5.97 billion yuan, up from 3.37 billion yuan, representing a growth of about 77.5%[15] - Inventory increased to approximately 13.17 billion yuan, up from 10.14 billion yuan, reflecting a growth of about 30%[16] Operating Costs - The company’s gross profit margin was impacted by rising costs, with operating costs increasing by 106.88% to ¥17,798,253,838.79 due to heightened demand in the battery materials market[6] - The company’s operating costs increased to ¥20,945,941,352.10, up from ¥11,019,287,759.11, reflecting an increase of 90.0%[19] Shareholder Information - The company’s major shareholders include Shaoguan High-tech Enterprise Management Co., Ltd. with a 15.04% stake and Shenzhen Chengxing Investment Co., Ltd. with a 13.72% stake[9]

Financial Performance - The company's operating revenue for the first half of 2022 was CNY 13.51 billion, representing a 68.45% increase compared to CNY 8.02 billion in the same period last year[11]. - The net profit attributable to shareholders of the listed company was CNY 423.20 million, a decrease of 37.80% from CNY 680.43 million year-on-year[11]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY 429.37 million, an increase of 62.61% compared to CNY 264.06 million in the previous year[11]. - The net cash flow from operating activities was negative CNY 218.06 million, a decline of 232.24% from a positive CNY 164.90 million in the same period last year[11]. - The total assets at the end of the reporting period were CNY 45.22 billion, an increase of 21.97% from CNY 37.07 billion at the end of the previous year[11]. - The net assets attributable to shareholders of the listed company were CNY 8.40 billion, up 4.96% from CNY 8.00 billion at the end of the previous year[11]. - The basic earnings per share decreased to CNY 0.1641, down 37.79% from CNY 0.2638 in the same period last year[11]. - The diluted earnings per share also decreased to CNY 0.1641, reflecting the same percentage decline as basic earnings per share[11]. - The weighted average return on equity was 5.14%, down 4.25% from 9.39% in the previous year[11]. - The company achieved total operating revenue of CNY 1,353,163.66 million, a year-on-year increase of 68.13%[22]. - The company's net profit attributable to shareholders decreased by 37.80% to CNY 42,319.58 million, while the net profit excluding non-recurring gains and losses increased by 62.61% to CNY 42,937.30 million[22]. Sector Performance - The company operates in high-tech industries, biomedicine, real estate, and other sectors, focusing on new materials and new energy vehicles[15]. - The biomedicine sector is increasingly important, driven by rising health awareness and demand for healthcare products, with a focus on functional health products[16]. - The real estate market is expected to stabilize as government policies support housing demand and promote long-term rental markets[16]. - The company’s subsidiary, Beiterui, is a leading global producer of lithium-ion battery anode materials, with a complete industrial chain[17]. - The company has over 30 years of experience in the real estate sector, with significant brand influence in the "Jiangnan series" products[18]. - The biomedicine segment includes historical brands like Mayinglong, focusing on traditional medicine and healthcare services[18]. - The high-tech industry segment reported sales revenue of CNY 1,106,715.38 million, a growth of 126.04%, and a total profit of CNY 106,708.94 million, up 11.27%[23]. - The subsidiary Beiterui achieved sales revenue of CNY 1,020,072.39 million, a year-on-year increase of 142.47%, and a net profit of CNY 91,791.26 million, up 25.67%[23]. - The biopharmaceutical segment generated sales revenue of CNY 212,379.82 million, a growth of 11.78%, and a total profit of CNY 33,384.60 million, up 8.74%[24]. - The subsidiary Mayinglong reported sales revenue of CNY 192,775.58 million, a year-on-year increase of 15.54%, and a net profit of CNY 27,193.33 million, up 6.73%[24]. - The real estate segment's sales revenue decreased by 85.74% to CNY 14,988.35 million, with a total profit loss of CNY 3,728.08 million, a decline of 129.90%[25]. Investment and Development - The company is focusing on asset securitization to enhance market competitiveness and achieve rapid development[22]. - The company is actively expanding its production capacity and establishing strategic partnerships for new product development in the high-tech sector[23]. - The company is implementing a strategy of "inventory reduction and sales promotion" in its real estate operations to optimize asset value[25]. - The total investment amount for the current period was ¥296.91 million for the Jiangdong Haoting project in Haikou, Hainan[28]. - The cumulative presale area for the Baonan Jiangnan City project in Tianjin reached 199,134.24 m², with a presale amount of ¥5,022 million[29]. - The average rental rate for the commercial properties in Weihei's Baonanjianan City is 100%[30]. - The company is committed to developing new technologies and enhancing operational capabilities in strategic emerging industries[15]. - The company plans to issue up to 218,423,767 shares, raising a total of no more than 500,000 million CNY[90]. - Bettery entered into a joint venture agreement to develop an integrated project with an annual production capacity of 80,000 tons of new energy lithium battery anode materials in Indonesia[90]. Financial Management - The company is actively involved in military communications and aerospace materials production through its subsidiaries[18]. - The company aims to improve real estate operational efficiency and enhance business performance amid market challenges[16]. - The company is classified as a key pollutant discharge unit, with specific emissions data reported for various pollutants, indicating compliance with environmental standards[59]. - The company has established a management system for foreign exchange derivative trading to mitigate risks associated with foreign exchange and interest rate fluctuations[46]. - The company has not experienced any major legal disputes or penalties during the reporting period[80]. - The company has maintained a clean integrity status with no reported issues regarding its controlling shareholders[80]. - The company has not undergone any credit rating adjustments during the reporting period[105]. - The company has successfully completed the principal and interest payments for its medium-term notes due in 2022, totaling CNY 1.54 billion[105]. - The company maintains a loan repayment rate of 100%, indicating effective debt management[107]. Legal and Compliance - The company is pursuing a lawsuit against Hu Zhiqiang for a total of RMB 19.20 million related to stock repurchase obligations, with a final ruling requiring payment of RMB 9.99 million plus penalties[72]. - The company is involved in a lawsuit regarding a land lease agreement, with claims for RMB 7.99 million in rent and RMB 16.35 million in interest[72]. - The company is seeking RMB 17.46 million in stock transfer payments from Pan Duo Jun, with a court ruling already in place[72]. - The company is pursuing legal action against Xinjiang Pengyuan New Materials Co., Ltd. for a loan principal of RMB 13,937,200 and interest of RMB 15,707,224.40, along with a penalty of RMB 10 million[73]. - The company is actively managing its legal claims and pursuing recovery of debts through litigation and bankruptcy processes[73]. - The company has filed a lawsuit against Ganzhou Xinlei Rare Earth New Materials Co., Ltd. for an investment of RMB 28.5 million and compensation of RMB 2.8 million due to misleading information[73]. - The company is pursuing legal action against Ningbo Fenghua Delang Energy Battery Co., Ltd. for a payment of CNY 23.2051 million and associated penalties[77]. Environmental and Social Responsibility - The company donated 3.43 million yuan worth of medicines to impoverished areas and provided 1.36 million yuan in pandemic prevention materials to Hong Kong[69]. - Betterray New Materials Group purchased over 250,000 yuan in poverty alleviation products to support rural revitalization efforts[69]. - The company actively participated in social welfare activities, including donations to local schools and support for welfare institutions[69]. - The company aims to innovate marketing strategies and develop complementary businesses to enhance operational efficiency and create new profit growth points[54]. - The company has achieved a 100% completion rate in pollution source monitoring in Tianjin[68]. - The company was recognized as a "Blue Card Enterprise" by the Shenzhen Ecological Environment Bureau, indicating a reduction in carbon emissions per product by 0.04 tCO2e/t year-on-year[68]. Risk Management - The company faces risks related to industry policies, technology substitution, and operational risks from upstream and downstream enterprises[52]. - The company emphasizes lean management, cost control, and enhancing product quality to mitigate operational risks[53]. - The company plans to enhance risk control and management in the real estate sector to address market opportunities and policy impacts, focusing on inventory reduction and sales promotion[55]. - The biopharmaceutical industry faces significant policy risks due to regulations such as the two-invoice system and drug price reforms, which may impact operations[54]. - The real estate sector is experiencing financing challenges, with some leading companies facing debt defaults and project delivery delays, affecting normal business operations[55]. Shareholder Information - The total number of shares outstanding is 2,579,213,965, with 98.92% being unrestricted shares[92]. - The company reported a total shareholder equity of 16,680,591,407.56 RMB as of the end of the first half of 2022, an increase from 15,658,836,468.47 RMB at the end of 2021[115]. - The largest shareholder, Shaoguan High-tech Enterprise Management Co., Ltd., holds 15.04% of shares, totaling 387,882,121 shares[95]. - The company did not conduct any repurchase transactions during the reporting period[97]. - The company has not disclosed any other major events or changes in shareholding structure during the reporting period[88].