Financial Performance - The company reported a revenue of 500 million CNY for the first half of 2021, representing a year-on-year increase of 20%[16] - The company has set a revenue guidance of 1 billion CNY for the full year 2021, indicating a growth target of 25% compared to 2020[16] - The company reported a revenue of ¥71,990,257.02 for the current period, representing a 30.46% increase compared to ¥55,179,860.26 in the same period last year[22] - Total revenue for the first half of 2021 was ¥71,990,257.02, representing a 30.46% increase compared to the same period last year[40] - The company reported a total revenue of approximately CNY 1.1 billion for the first half of 2021, with a net loss of CNY 14.8 million, representing a decrease of 5.07% compared to the previous period[59] - The company reported a total cash inflow from investment activities of ¥213,581,434.80, primarily from the disposal of subsidiaries and other business units[151] User Engagement - User data showed an increase in active users by 15%, reaching a total of 1.2 million users[16] - User data indicated that the sports venue management segment generated revenue of CNY 549.89 million, with a gross profit of CNY 146.40 million, despite a net loss of CNY 14.82 million[59] Market Expansion - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share within the next two years[16] - The company plans to expand its market presence through strategic acquisitions and investments in the sports and cultural sectors, aiming to enhance overall revenue streams[60] Product Development - New product launches are expected to contribute an additional 100 million CNY in revenue by the end of 2021[16] - New product development includes initiatives in the renewable energy sector, with an investment of CNY 200 million, generating a revenue of CNY 25.04 million[59] Financial Stability - The management emphasized the importance of maintaining financial stability while pursuing aggressive growth strategies[16] - The company has no plans to distribute cash dividends or issue bonus shares for the current fiscal year[6] - The company has no new land reserves or new construction projects planned for 2021, focusing instead on inventory reduction and capital recovery[34] Research and Development - Research and development expenses increased by 30%, totaling 50 million CNY, focusing on innovative sports technology[16] - Research and development expenses were not disclosed in the provided data, indicating a potential area for further inquiry into the company's investment in innovation[143] Operational Performance - The company’s total assets decreased by 5.89% to ¥2,038,308,637.21 from ¥2,165,881,489.35 at the end of the previous year[22] - The company’s total liabilities decreased from ¥946,439,898.80 to ¥872,857,893.93, a reduction of about 7.8%[131] - The company reported a net cash outflow from operating activities of ¥-8,376,590.98, an improvement of 24.66% compared to ¥-11,117,848.64 in the previous year[37] Strategic Partnerships - A strategic partnership with a leading sports brand is anticipated to enhance brand visibility and drive sales growth by 15%[16] - The company is exploring potential acquisitions to strengthen its market position, with a budget of 200 million CNY allocated for this purpose[16] Event Management - The company aims to enhance its event management capabilities, having successfully hosted the 2021 East Sports Triathlon Challenge with participation from 20 well-known enterprises[30] - The first half of 2021 saw a significant investment in sports event organization, with a revenue of CNY 1.97 million, despite a net loss of CNY 153.84 thousand[60] Real Estate Operations - The real estate business is now focused on the sale and leasing of existing commercial properties, primarily in Zhejiang, Jiangsu, and Shanghai[31] - Real estate sales revenue plummeted to ¥3,132,300.48, constituting only 4.35% of total revenue, reflecting a significant decrease of 87.56% year-on-year[40] Financial Health - The net profit attributable to shareholders was -¥50,448,580.30, a decline of 99.95% from -¥25,230,664.79 year-on-year[22] - The company’s cash and cash equivalents decreased to ¥138,900,289.53, down from ¥315,373,686.83 at the end of the previous year, a reduction of 7.75%[44] Shareholder Engagement - The company held multiple shareholder meetings, with participation rates around 37.6%, ensuring transparency and stakeholder engagement[63] - The company did not distribute cash dividends or issue bonus shares for the first half of 2021[66] Compliance and Governance - The company has not engaged in any violations regarding external guarantees during the reporting period[81] - There were no penalties or rectifications reported, indicating compliance with regulatory requirements[85] Management Changes - The company appointed Mr. Wu Xiaolong as the new General Manager, effective from May 25, 2021[104] Legal and Regulatory Matters - The company has no significant litigation or arbitration matters during the reporting period, ensuring a stable legal environment[84] - The semi-annual financial report has not been audited[82] Economic Environment - The company suspended a major asset restructuring due to the impact of COVID-19 on the skiing industry, with ongoing uncertainties affecting sports and tourism sectors[101] Accounting Policies - The financial statements are prepared in accordance with the relevant accounting standards and reflect the company's financial position accurately[171] - The company’s accounting policies are based on the accrual basis of accounting, with historical cost as the measurement basis for most assets[168]

Financial Performance - The company reported a significant increase in revenue, achieving a total of 500 million RMB for the first half of 2021, representing a 20% year-over-year growth[16]. - The company reported a revenue of ¥71,990,257.02 for the current period, representing a 30.46% increase compared to ¥55,179,860.26 in the same period last year[22]. - The company's operating revenue for the reporting period was ¥71,990,257.02, representing a 30.46% increase compared to ¥55,179,860.26 in the same period last year[37]. - Total revenue for the first half of 2021 was ¥71,990,257.02, representing a 30.46% increase compared to the same period last year[40]. - The total revenue for the first half of 2021 reached approximately CNY 1.1 billion, with a significant increase of 40.14% compared to the same period last year[59]. - The company reported a net loss of CNY 14.82 million in the sports venue management segment, reflecting a decline of 14.93% year-on-year[59]. - The net profit attributable to shareholders was -¥50,448,580.30, a decline of 99.95% from -¥25,230,664.79 in the previous year[22]. - The net profit for the first half of 2021 was a loss of ¥54,461,536.87, compared to a loss of ¥24,888,180.04 in the first half of 2020, indicating a deterioration in profitability[140]. - The company reported a net loss of ¥256,097,945.55 for the period, compared to a loss of ¥205,649,365.25 in the previous period[133]. User Engagement and Market Expansion - User data showed an increase in active users, reaching 1.2 million, which is a 15% increase compared to the previous period[16]. - The company is expanding its market presence by entering three new provinces, aiming to increase market share by 10% in these regions[16]. - The company plans to continue promoting ice and snow sports and related training and events, leveraging opportunities from the upcoming Beijing Winter Olympics[30]. - User data indicated a growth in sports event participation, contributing to an increase in overall revenue from sports operations[60]. Product Development and Innovation - New product development includes the launch of a smart sports equipment line, projected to contribute an additional 100 million RMB in revenue by the end of 2021[16]. - The company plans to invest 200 million RMB in technology research and development over the next two years to innovate its product offerings[16]. - New product development includes investments in renewable energy projects, with CNY 25.04 million allocated for development and construction[59]. Strategic Acquisitions and Partnerships - A strategic acquisition of a local sports brand was completed, expected to enhance the company's product portfolio and increase revenue by 50 million RMB annually[16]. - The company has established partnerships with two major sports events, which are anticipated to boost brand visibility and sales by 30%[16]. - The company plans to expand its market presence through strategic acquisitions, including the establishment of Lishui Laiyun Sports Venue Management Co., which aims to enhance revenue from the sports sector[60]. Financial Management and Investments - The company has no cash dividends will be distributed to shareholders for this period, as the company focuses on reinvestment for growth[6]. - The company has made significant investments in real estate development, with CNY 87.87 million generated from property sales in the first half of 2021[60]. - The company reported an investment income of ¥978,858.73 for the first half of 2021, down from ¥2,488,279.59 in the same period of 2020, a decrease of approximately 60.7%[138]. Operational Challenges and Risks - The company is facing risks related to policy changes and market competition, which could impact future performance[61]. - Core personnel retention strategies are being implemented to mitigate risks associated with talent loss, crucial for maintaining competitive advantage[61]. - The company suspended a major asset restructuring due to the impact of COVID-19 on the skiing industry, with ongoing uncertainties affecting sports and tourism sectors[102]. Compliance and Governance - The company has committed to avoiding related party transactions and ensuring fair pricing in necessary transactions[76]. - The company has not engaged in any violations regarding external guarantees during the reporting period[81]. - The company has not reported any significant changes in accounting estimates or judgments that would materially affect its financial results[171]. Shareholder Information - The company held three shareholder meetings in the first half of 2021, ensuring compliance with legal procedures and protecting shareholder rights[71]. - The company did not distribute cash dividends or issue bonus shares for the first half of 2021[66]. - The company has not reported any significant changes in shareholder structure or stock issuance during the reporting period[114]. Cash Flow and Liquidity - The company reported a net cash outflow from operating activities of ¥8,376,590.98, an improvement of 24.66% compared to the previous year's outflow of ¥11,117,848.64[37]. - The net cash flow from investment activities was negative at ¥41,759,583.75, a significant decline of 125.22% from the previous year's inflow of ¥165,560,770.11[37]. - The net cash flow from financing activities showed a reduction in outflow by 37.31%, amounting to ¥117,908,677.80 compared to ¥188,072,472.99 in the previous year[37]. Environmental and Social Responsibility - The management emphasized a commitment to sustainability, with plans to implement eco-friendly practices in all new product lines by 2022[16]. - The company emphasizes environmental protection and adheres to relevant regulations, ensuring compliance in construction and operational activities[73]. - There were no administrative penalties related to environmental issues during the reporting period[70]. Corporate Structure and Changes - The company experienced a leadership change with the resignation of the general manager, effective May 18, 2021[104]. - The company appointed Mr. Wu Xiaolong as the new General Manager, effective from May 25, 2021[105]. - The company has 28 subsidiaries included in the consolidated scope as of June 30, 2021, an increase of 1 from the previous year[167].

Financial Performance - The company's operating revenue for Q1 2021 was ¥35,749,221.42, representing a 93.33% increase compared to ¥18,491,555.10 in the same period last year[7]. - The net profit attributable to shareholders was a loss of ¥12,962,868.42, an improvement of 14.67% from a loss of ¥15,191,769.54 in the previous year[7]. - The basic earnings per share for the reporting period was -¥0.0101, an improvement of 14.41% from -¥0.0118 in the same period last year[7]. - The weighted average return on net assets was -1.00%, slightly better than -1.18% in the previous year[7]. - The company expects a net profit attributable to shareholders of approximately -4,500,000 RMB for the first half of 2021, representing a decrease of 78.35% compared to the same period last year[28]. - Basic earnings per share are projected to be -0.0349 RMB, a decline of 78.35% year-on-year[28]. - The decrease in profit is primarily due to reduced profits from property sales and a decrease in government subsidies[28]. - The company reported a net loss of CNY 218,612,233.67, compared to a loss of CNY 205,649,365.25 in the previous period[40]. - The total comprehensive income for the current period was -¥12,608,354.24, an improvement from -¥14,304,818.63 in the previous period, indicating a reduction in losses of approximately 11.9%[48]. Cash Flow - The net cash flow from operating activities was a negative ¥24,914,474.97, which is a decline of 58.81% compared to a negative ¥15,688,048.69 in the same period last year[7]. - The company received cash related to operating activities amounting to ¥13.61 million, a significant increase of 682.26% from ¥1.74 million[14]. - Total cash inflow from operating activities was 30,764,487.05 CNY, while cash outflow was 55,678,962.02 CNY, resulting in a significant cash outflow[53]. - The cash flow from operating activities was impacted by a substantial increase in payments for goods and services, totaling 36,157,401.84 CNY, compared to 4,080,907.48 CNY previously[53]. - The ending balance of cash and cash equivalents was 266,404,017.08 CNY, down from 458,716,892.43 CNY in the previous period, indicating a significant decrease in liquidity[54]. Assets and Liabilities - The total assets at the end of the reporting period were ¥2,132,991,166.86, down 1.52% from ¥2,165,881,489.35 at the end of the previous year[7]. - The net assets attributable to shareholders decreased by 0.99% to ¥1,205,245,260.93 from ¥1,217,236,694.54 at the end of the previous year[7]. - Total liabilities decreased to CNY 925,860,962.25 from CNY 946,439,898.80, a reduction of about 2.2%[39]. - Current liabilities totaled CNY 388,285,245.22, down from CNY 406,168,175.72, indicating a decrease of approximately 4.4%[39]. - The company's equity attributable to shareholders was CNY 1,205,245,260.93, down from CNY 1,217,236,694.54, reflecting a decline of about 1.0%[40]. Shareholder Information - The company had a total of 62,711 common shareholders at the end of the reporting period[10]. - Chengdu Sports Industry Investment Group Co., Ltd. held 29.90% of the shares, making it the largest shareholder with 385,477,961 shares[10]. Operational Changes - The company established a wholly-owned subsidiary, Lishui Laiyun Sports Venue Management Co., Ltd., to enhance its sports venue management capabilities[22]. - The company has been involved in significant asset restructuring, including the acquisition of 100% equity in Hangzhou Fengjun Real Estate Co., Ltd.[22]. - The company has terminated its cooperative agreements with the Zhejiang Provincial Sports Bureau for the women's ice hockey and curling teams due to the pandemic's impact on the 2020 National Winter Games[21]. - The company is actively pursuing opportunities in ice and snow sports, sports training, and event-related businesses to diversify its product offerings[21]. Expenses - Operating costs rose by 143.82% to ¥32.27 million from ¥13.23 million, corresponding to the revenue recognition from the Lishui PPP project[14]. - Management expenses decreased by 29.72% to ¥7.89 million from ¥11.22 million, due to enhanced expenditure management and reduced business entertainment expenses[14]. - Financial expenses decreased by 38.86% to ¥6.42 million from ¥10.50 million, primarily due to a reduction in loan scale compared to the previous year[14]. - The company reported a decrease in management expenses to ¥7,886,893.07 from ¥11,221,577.99, a reduction of approximately 29.5%[46]. - Financial expenses decreased to ¥6,418,947.65 from ¥10,498,792.27, a decline of about 38.5%[46]. Investment Activities - The company completed the acquisition of 100% equity in Hangzhou Fengjun Real Estate Co., Ltd. for ¥4.41 million, with the equity transfer payment already made[17]. - The net cash flow from investment activities was -10,934,603.73 CNY, a sharp decrease from 145,679,039.45 CNY in the previous period, reflecting reduced investment returns[54]. - Cash inflow from investment activities totaled 185,326,273.28 CNY, primarily from the disposal of subsidiaries and other business units[54].

Company Overview - The company is listed on the Shenzhen Stock Exchange under the stock code 000558[14]. - The company's registered address is located at Lander Building, No. 535 Wensan Road, Hangzhou, Zhejiang Province, with a postal code of 310012[14]. - The company’s legal representative is Xu Yabin[14]. - The company’s website is http://www.lander.com.cn/[14]. Financial Performance - The company's operating revenue for 2020 was ¥140,024,539.82, representing a 1.58% increase compared to ¥137,847,895.72 in 2019[19]. - The net profit attributable to shareholders in 2020 was -¥71,719,970.83, a decrease of 375.53% from ¥26,029,472.16 in 2019[19]. - The net cash flow from operating activities improved to ¥13,155,101.70 in 2020, a 114.92% increase from -¥88,187,707.59 in 2019[19]. - Total assets at the end of 2020 were ¥2,165,881,489.35, down 10.50% from ¥2,420,031,463.57 at the end of 2019[19]. - The net assets attributable to shareholders decreased by 5.84% to ¥1,217,236,694.54 at the end of 2020 from ¥1,292,697,719.01 at the end of 2019[19]. - The basic earnings per share for 2020 was -¥0.06, a decline of 400.00% from ¥0.02 in 2019[19]. - The company reported a quarterly operating revenue of ¥42,762,135.81 in Q4 2020, with a net profit of -¥49,939,799.97[23]. - Total revenue for 2020 was approximately ¥140.02 million, representing a 1.58% increase from ¥137.85 million in 2019[46]. Revenue Breakdown - Sports operations revenue increased by 83.02% to ¥34.77 million, up from ¥19.00 million in 2019, accounting for 24.83% of total revenue[48]. - Real estate sales and leasing revenue decreased by 6.74% to ¥94.96 million, down from ¥101.82 million in 2019, making up 67.82% of total revenue[48]. - Energy and trade sales revenue fell by 33.20% to ¥10.29 million, down from ¥15.41 million in 2019, representing 7.35% of total revenue[48]. Strategic Initiatives - The company is actively pursuing a major asset restructuring by acquiring a 63.34% stake in 成都文化旅游发展股份有限公司[42]. - The company is leveraging its parent company’s resources to enhance its brand image and industry influence, focusing on the integration of sports, culture, and tourism[33]. - The company aims to enhance its market position through strategic initiatives in the sports and cultural activities sector[85]. - The company plans to accelerate the transformation of its existing commercial real estate business to recover funds and support the integration strategy[86]. Investments and Projects - The company’s construction and operation of sports complexes included 1 ongoing project and 2 operational projects, enhancing its revenue streams[29]. - The company’s construction in progress increased by 30.47%, mainly due to continued investment in the Lishui Sports Service Complex project[32]. - The company has ongoing projects and investments in various real estate developments, indicating a strategy focused on market expansion and asset growth[70]. Corporate Governance - The company has not distributed dividends in the past three years, with a profit distribution plan of no distribution or capital increase for 2020, 2019, and 2018[93]. - The company guarantees that the existing business will not incur annual losses, and if losses are expected, it will compensate the listed company for the loss amount[100]. - The company has pledged to ensure the independence of the listed company's personnel, assets, finances, institutions, and business operations[98]. Risk Management - The company faces risks related to macroeconomic adjustments, policy changes, and market trends that could impact its operations[88]. - The company is committed to attracting and retaining core personnel to mitigate risks associated with talent loss, which is crucial for maintaining market competitiveness[88]. Shareholder Information - The top five customers accounted for 49.04% of total annual sales, with the largest customer, Lishui Sports Bureau, contributing CNY 28,535,502.14, or 20.38% of total sales[54]. - The top five suppliers represented 71.83% of total annual purchases, with Zhejiang Huacheng Construction Group Co., Ltd. being the largest supplier at CNY 65,391,882.19, or 50.86% of total purchases[55]. Employee and Management Structure - The total number of employees in the company is 136, with 39 in sales and 37 in technical roles[190]. - The company has a total of 10 employees with a postgraduate degree and 62 with a bachelor's degree[191]. - The management team reported a 5% reduction in operational costs through efficiency improvements and cost-cutting measures[166]. Future Outlook - The company provided a future outlook projecting a revenue growth of 20% for the next fiscal year, driven by new product launches and market expansion[166]. - The company plans to expand its market presence in Southeast Asia, targeting a 30% increase in market share within the next two years[166]. - The successful hosting of the Beijing Winter Olympics is expected to increase the popularity of ice and snow sports, prompting the company to develop the southern ice and snow market and expand related product offerings[87].

[Important Notice](index=2&type=section&id=First%20Section%20Important%20Notice) The company's management and all directors affirm the truthfulness, accuracy, and completeness of this quarterly report - The company's board of directors, supervisory board, and all senior management confirm the truthfulness, accuracy, and completeness of this report[4](index=4&type=chunk) - The company's principal officer, chief financial officer, and head of the accounting department all declare the truthfulness, accuracy, and completeness of the financial statements in the quarterly report[5](index=5&type=chunk) [Company Profile and Shareholder Structure](index=3&type=section&id=Second%20Section%20Company%20Basic%20Information) This section outlines the company's core financial performance, including significant Q3 revenue and net profit growth, and details its shareholder structure with Chengdu Sports Industry Investment Group as the largest shareholder [Core Financial Data](index=3&type=section&id=I.%20Major%20Accounting%20Data%20and%20Financial%20Indicators) As of September 30, 2020, total assets decreased by 9.81%, while Q3 operating revenue grew 41.72% and net profit attributable to parent turned profitable, with cumulative net loss for the first three quarters narrowing significantly | Indicator | Current Period (Q3) | YoY Change | Year-to-Date | YoY Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue (Yuan) | 42,082,543.75 | 41.72% | 97,262,404.01 | 16.87% | | Net Profit Attributable to Shareholders of Listed Company (Yuan) | 3,450,493.93 | 121.23% | -21,780,170.86 | 63.77% | | Net Profit Attributable to Parent Excluding Non-recurring Items (Yuan) | 3,030,822.62 | 114.82% | -28,725,464.01 | 62.18% | | Net Cash Flow from Operating Activities (Yuan) | 17,051,930.23 | 146.17% | 5,934,081.59 | 104.97% | | Basic Earnings Per Share (Yuan/share) | 0.0027 | 121.43% | -0.0169 | 63.73% | - From the beginning of the year to the end of the reporting period, the company's total non-recurring gains and losses amounted to **6.945 million Yuan**, primarily from government subsidies (**5.939 million Yuan**) and gains related to transactional financial assets (**3.504 million Yuan**)[9](index=9&type=chunk) [Shareholder Structure](index=4&type=section&id=II.%20Total%20Number%20of%20Shareholders%20and%20Top%20Ten%20Shareholders%27%20Holdings%20at%20Period-End) As of the reporting period end, the company had 69,800 common shareholders, with Chengdu Sports Industry Investment Group as the largest shareholder, and the second and third largest shareholders acting in concert with pledged shares | Shareholder Name | Shareholder Nature | Shareholding Percentage | Number of Shares Held | Share Status | | :--- | :--- | :--- | :--- | :--- | | Chengdu Sports Industry Investment Group Co., Ltd. | State-owned Legal Entity | 29.90% | 385,477,961 | - | | RNDA Holdings Group Co., Ltd. | Domestic Non-state-owned Legal Entity | 15.38% | 198,270,000 | Pledged | | Gao Jingna | Domestic Natural Person | 6.16% | 79,380,000 | Pledged | - RNDA Holdings Group Co., Ltd. and Ms. Gao Jingna are parties acting in concert[13](index=13&type=chunk) [Analysis of Significant Matters](index=6&type=section&id=Third%20Section%20Significant%20Matters) This section details significant financial changes, including debt optimization and cash recovery from asset transfers, the adoption of new revenue standards, and a bankruptcy risk warning for a subsidiary, leading to an expected full-year loss for 2020 [Analysis of Major Financial Indicator Changes](index=6&type=section&id=I.%20Changes%20and%20Reasons%20for%20Major%20Financial%20Data%20and%20Indicators%20During%20the%20Reporting%20Period) During the reporting period, significant financial indicator changes included reduced receivables and short-term borrowings due to recoveries and repayments, a narrowed net loss attributable to parent from increased sales and investment income, and a substantial increase in investing cash flow from subsidiary equity transfers - Other receivables decreased by **79.47%** (approximately **187 million Yuan**) from the beginning of the year, primarily due to the company's recovery of equity transfer payments[16](index=16&type=chunk) - Short-term borrowings decreased by **69.82%** (**192 million Yuan**) from the beginning of the year, primarily due to the company's repayment of short-term loans[16](index=16&type=chunk) - Administrative expenses decreased by **35.88%** year-on-year, mainly due to reduced employee compensation and enhanced cost management by the company[16](index=16&type=chunk) - Net cash flow from investing activities turned from **-71.01 million Yuan** in the same period last year to a net inflow of **139 million Yuan**, primarily due to the receipt of **178 million Yuan** from subsidiary equity transfers in the current period[18](index=18&type=chunk) [Progress of Significant Matters](index=9&type=section&id=II.%20Analysis%20and%20Explanation%20of%20Progress%2C%20Impact%2C%20and%20Solutions%20for%20Significant%20Matters) During the reporting period, the company completed major equity and debt transfers, adopted new revenue standards from January 1, 2020, and disclosed a pending bankruptcy application for its third-tier subsidiary, Locke Energy - The company has completed the transfer of **100%** equity in Western Sports and RNDA Town to Chengdu Culture and Tourism Group, and has received all equity transfer payments[22](index=22&type=chunk) - The company has completed the public listing and transfer of its claim against Mr. Miao Liang, and has received all debt transfer payments[23](index=23&type=chunk) - The company adopted new revenue standards from **January 1, 2020**, and changed relevant accounting policies[24](index=24&type=chunk) - The company's third-tier subsidiary, Zhejiang Locke Energy Group Co., Ltd., has been applied for bankruptcy liquidation by creditors, with the court having accepted the case for review but not yet rendered a ruling[25](index=25&type=chunk) [2020 Annual Performance Forecast](index=11&type=section&id=VI.%20Forecast%20of%202020%20Annual%20Operating%20Performance) The company forecasts a full-year cumulative net loss for 2020, estimated between **70 million Yuan** and **90 million Yuan**, primarily due to its sports industry transformation and the anticipated impact of a subsidiary's bankruptcy application | Item | Estimated Amount (Yuan) | Compared to Same Period Last Year | | :--- | :--- | :--- | | Cumulative Net Profit | -90,000,000 to -70,000,000 | Down 2,602.95% -- 368.93% | - The primary reasons for the forecasted loss are the company's ongoing transformation to the sports industry and the anticipated impact of the bankruptcy application for its third-tier subsidiary, Locke Energy, on the company's 2020 annual performance[32](index=32&type=chunk) [Financial Statements](index=12&type=section&id=Fourth%20Section%20Financial%20Statements) This section presents the company's unaudited consolidated and parent company financial statements for Q3 2020, including the balance sheet, income statement, and cash flow statement, with explanations for adjustments due to new revenue standard adoption [Consolidated Balance Sheet](index=12&type=section&id=1.%20Consolidated%20Balance%20Sheet) As of September 30, 2020, total assets decreased by 9.81% to **2.183 billion Yuan**, total liabilities decreased by 18.79% to **921 million Yuan** primarily due to reduced short-term borrowings, and equity attributable to parent company owners slightly decreased by 1.80% | Item | September 30, 2020 (Yuan) | December 31, 2019 (Yuan) | Change | | :--- | :--- | :--- | :--- | | Total Assets | 2,182,577,111.83 | 2,420,031,463.57 | -9.81% | | Total Liabilities | 921,487,668.55 | 1,134,654,253.29 | -18.79% | | Total Equity Attributable to Parent Company Owners | 1,269,421,972.63 | 1,292,697,719.01 | -1.80% | [Consolidated Income Statement](index=17&type=section&id=3.%20Consolidated%20Income%20Statement%20for%20the%20Current%20Reporting%20Period) In Q3 2020, the company achieved **42.08 million Yuan** in operating revenue, a **41.72%** year-on-year increase, and net profit attributable to parent of **3.45 million Yuan**, turning profitable, while cumulative net loss for the first three quarters significantly narrowed Q3 2020 Consolidated Income Statement Core Data | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 42,082,543.75 | 29,695,011.84 | | Operating Profit | 6,528,453.81 | -13,969,155.39 | | Net Profit Attributable to Parent Company Owners | 3,450,493.93 | -16,249,377.59 | YTD 2020 Consolidated Income Statement Core Data | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Total Operating Revenue | 97,262,404.01 | 83,222,441.72 | | Operating Profit | -16,477,659.80 | -57,106,014.99 | | Net Profit Attributable to Parent Company Owners | -21,780,170.86 | -60,110,468.43 | [Consolidated Cash Flow Statement](index=26&type=section&id=7.%20Consolidated%20Cash%20Flow%20Statement%20from%20Year-Beginning%20to%20Period-End) For the first three quarters of 2020, net cash flow from operating activities significantly improved to **5.93 million Yuan**, investing activities generated **139 million Yuan** from subsidiary disposals, financing activities used **171 million Yuan** for debt repayment, and cash and cash equivalents totaled **321 million Yuan** at period-end | Item | Current Period Amount (Yuan) | Prior Period Amount (Yuan) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 5,934,081.59 | -119,340,836.14 | | Net Cash Flow from Investing Activities | 139,043,017.95 | -71,012,301.55 | | Net Cash Flow from Financing Activities | -171,177,719.33 | -19,663,260.83 | | Cash and Cash Equivalents at Period-End | 320,517,792.58 | 109,477,973.52 | [Explanation of Financial Statement Adjustments](index=30&type=section&id=II.%20Explanation%20of%20Financial%20Statement%20Adjustment%20Circumstances) The company adopted new revenue standards from January 1, 2020, adjusting the cumulative impact of uncompleted contracts by reclassifying amounts from 'Prepayments' to 'Contract Liabilities' and 'Other Non-current Liabilities' without retrospective adjustment - The company adopted new revenue standards from **January 1, 2020**, and adjusted relevant financial statement items as of the initial adoption date (**January 1, 2020**)[74](index=74&type=chunk)[75](index=75&type=chunk) - The main adjustment involved reclassifying **9.346 million Yuan** from 'Prepayments' to 'Contract Liabilities' (**1.645 million Yuan**) and 'Other Non-current Liabilities' (**7.636 million Yuan**), with no impact on retained earnings[72](index=72&type=chunk)[73](index=73&type=chunk) [Audit Opinion](index=36&type=section&id=III.%20Audit%20Report) This company's 2020 third-quarter report is unaudited - The third-quarter report is unaudited[80](index=80&type=chunk)

Financial Performance - The company's operating revenue for the reporting period was ¥55,179,860.26, representing a 3.09% increase compared to ¥53,527,429.88 in the same period last year[17]. - The net profit attributable to shareholders of the listed company was -¥25,230,664.79, an improvement of 42.48% from -¥43,861,090.84 in the previous year[17]. - The net cash flow from operating activities was -¥11,117,848.64, showing an 86.51% improvement compared to -¥82,411,589.52 in the same period last year[17]. - The basic earnings per share were -¥0.0196, which is a 42.35% improvement from -¥0.0340 in the previous year[17]. - The net profit after deducting non-recurring gains and losses was -¥31,756,286.63, a 42.78% improvement from -¥55,496,327.83 in the previous year[17]. - The net profit attributable to shareholders was -25.23 million, an increase of 42.48% compared to the same period last year[34]. - The basic and diluted earnings per share for the first half of 2020 were both CNY -0.0196, an improvement from CNY -0.0340 in the same period of 2019[157]. - The net loss for the first half of 2020 was CNY 24,888,180.04, compared to a net loss of CNY 46,098,250.01 in the same period of 2019, indicating an improvement of approximately 46.06%[157]. Assets and Liabilities - Total assets at the end of the reporting period were ¥2,173,081,300.77, a decrease of 10.20% from ¥2,420,031,463.57 at the end of the previous year[17]. - The net assets attributable to shareholders of the listed company were ¥1,268,140,187.75, down 1.90% from ¥1,292,697,719.01 at the end of the previous year[17]. - Cash and cash equivalents increased significantly to ¥321,436,718.27, representing 14.79% of total assets, up from 4.88% in the previous year[56]. - Total current assets decreased to ¥688,187,077.02 from ¥919,247,846.41 at the end of 2019[147]. - The company’s total liabilities decreased from CNY 1,134,654,253.29 to CNY 914,075,316.31, a reduction of about 19.4%[149]. - Total equity decreased from CNY 1,285,377,210.28 to CNY 1,259,005,984.46, a reduction of approximately 2.1%[149]. Revenue Sources - Real estate sales revenue surged by 155.92% to ¥25,180,157.14, accounting for 45.63% of total revenue, while sports operations revenue plummeted by 93.04% to ¥873,083.25[51][54]. - Rental income remained stable with a slight increase of 0.93% to ¥24,325,943.05, representing 44.09% of total revenue[51]. - Revenue from the Zhejiang region increased by 10.51% to ¥48,052,458.76, making up 87.08% of total revenue, while other regions saw a decline of 29.06%[51][53]. Operational Strategies - The company is actively exploring new business models and strategies in response to the challenges posed by the COVID-19 pandemic[25]. - The company plans to leverage its brand influence and resources to enhance its competitive edge in the sports industry[29]. - The company is focusing on multi-industry integration to promote business upgrades and achieve high-quality development[34]. - The company is enhancing its consulting services in sports planning and design, securing contracts for projects in cities like Chengdu and Shaoxing, focusing on comprehensive consulting solutions[41]. - The company is preparing for the gradual resumption of sports events post-COVID-19, with plans for multiple events including the Hangzhou Tower Race and Suzhou Family Fun Run[40]. Cost Management - Operating costs decreased by 10.35% to ¥38,890,511.15 from ¥43,381,225.50, mainly due to reduced sports operation costs[49]. - Management expenses decreased by 33.12% to ¥25,419,989.11 from ¥38,005,784.72, attributed to reduced employee compensation and stricter expense management[49]. - The company is implementing cost control measures to improve operational efficiency and financial performance[80]. Investment and Financing - The net cash flow from investment activities was ¥165,560,770.11, a 516.12% increase from a net outflow of ¥39,786,960.10 in the previous year, mainly due to the recovery of funds from the disposal of subsidiary equity[49]. - The financing balance at the end of the period was ¥69,105,000, with a financing cost range of 5.14%-6.18%[44]. - The company received government subsidies amounting to 5.88 million, closely related to its business operations[21]. Related Party Transactions - The company reported a total of 172.08 million yuan in related party transactions during the reporting period, with a significant portion being management service fees of 87 million yuan[101]. - The company has a receivable from related party 莱茵达（桐庐）体育发展有限公司 amounting to 1,928.9 million yuan, with an interest rate of 10%[103]. - The company has a payable to related party 莱茵达西部体育发展有限责任公司 of 1,279.36 million yuan, which has not incurred any interest[103]. Corporate Governance - The actual controller and shareholders have committed to avoiding competition with the listed company and will inject any competitive businesses into the company as soon as conditions allow[89]. - The company has guaranteed that its existing business will not incur losses in 2019 and 2020, with a net profit of CNY 26.03 million for 2019, and will compensate for any expected losses[89]. - The company has not reported any significant changes in the measurement attributes of its major assets during the reporting period[59]. Compliance and Reporting - The semi-annual financial report for 2020 has not been audited[93]. - The financial statements prepared by the company comply with the requirements of the accounting standards and reflect the financial position as of June 30, 2020, and the operating results and cash flows for the first half of 2020[194]. - The company will continue to monitor and adapt to changes in accounting policies to ensure compliance and accuracy in financial reporting[118].

Financial Performance - The company reported a plan not to distribute cash dividends or issue bonus shares for the year[6]. - In 2019, the company's operating revenue was ¥137,847,895.72, a decrease of 80.38% compared to ¥702,474,129.86 in 2018[19]. - The net profit attributable to shareholders was ¥26,029,472.16, representing a 142.59% increase from a loss of ¥61,123,353.80 in 2018[19]. - The net cash flow from operating activities was -¥88,187,707.59, a decline of 119.00% compared to ¥464,176,750.52 in 2018[19]. - The total assets at the end of 2019 were ¥2,420,031,463.57, down 12.10% from ¥2,753,016,575.12 at the end of 2018[19]. - The basic earnings per share for 2019 was ¥0.02, a 140.00% improvement from -¥0.05 in 2018[19]. - The weighted average return on net assets was 1.91%, an increase of 6.63 percentage points from -4.72% in 2018[19]. - The company achieved a revenue of 137.85 million yuan and a net profit of 26.03 million yuan during the reporting period[41]. - Total revenue for 2019 was ¥137,847,895.72, a decrease of 80.38% compared to ¥702,474,129.86 in 2018[54]. - Revenue from sports operations was ¥19,000,219.86, accounting for 13.78% of total revenue, down 55.86% year-over-year[54]. - Revenue from real estate sales and leasing was ¥101,818,539.69, representing 73.86% of total revenue, a decline of 83.97% from the previous year[54]. - Revenue from energy and trade sales was ¥15,405,970.12, making up 11.18% of total revenue, down 31.92% year-over-year[54]. Corporate Governance and Compliance - The company emphasizes the importance of accurate and complete financial reporting, with key personnel affirming the integrity of the annual report[4]. - The company has committed to avoiding competition with its listed company and ensuring the independence of its operations and assets[110]. - The company confirmed that there were no related party transactions with the listed company as of the date of the commitment[110]. - The company has committed to maintaining the independence of its business operations as part of its corporate governance strategy[111]. - The company has not reported any standard audit report issues for the current reporting period[113]. - The company has implemented corrective measures to enhance financial management and ensure the quality of financial reporting[134]. - The company has organized training for its board members and senior management to improve compliance with disclosure regulations[135]. - The company has committed to ongoing improvements in internal control and information disclosure practices to protect shareholder interests[135]. Strategic Development and Market Position - The company aims to integrate sports with cultural and tourism sectors to drive sustainable development[35]. - The company is actively responding to market changes by optimizing its asset structure and focusing on its main business[41]. - The company is exploring new strategies for market expansion and product development in the sports and energy sectors[94]. - The company is positioned to benefit from the growing demand for sports and fitness activities in China, as indicated by government support for the sports industry[94]. - The company plans to enhance its operational efficiency by focusing on five ecological chains, including urban sports complex development and professional sports team management[99]. - The company aims to leverage new technologies such as big data and AI to drive innovation and transformation within the sports industry[98]. - The company is committed to integrating sports with tourism, culture, and education, aiming to create a comprehensive "sports+" ecosystem[98]. Investments and Asset Management - The company has a focus on optimizing its asset structure and enhancing its core business through recent equity transactions[88]. - The company reported a significant loss in its investments, with the largest loss from Zhejiang Rhine Investment Management Co., amounting to CNY -114,098,999.18[82]. - The company has provided maximum mortgage guarantees for loans totaling ¥16,000 million, with a remaining balance of ¥16,000 million as of the end of 2019[78]. - The company has secured a loan of ¥35,000 million with a remaining balance of ¥9,400 million against the investment property located at 登云路[76]. - The company has a total guarantee amount of 35 million yuan for Hangzhou Laijun Fengtan Real Estate Co., with a guarantee amount of 9.4 million yuan that has not been fulfilled[152]. - The company has a total approved guarantee amount for subsidiaries of 48.5 million yuan, with an actual guarantee amount of 41.57 million yuan at the end of the reporting period[152]. Operational Challenges and Market Impact - The company’s real estate sales significantly decreased due to macroeconomic impacts, while leasing business remained stable[31]. - The energy segment continued to shrink, focusing on natural gas and new petrochemical operations[32]. - The impact of COVID-19 has significantly affected the sports service industry, particularly in areas like sports competitions, venue operations, and manufacturing of sports goods, although online sports services remain less affected[101]. - The overall financial performance reflects a need for strategic adjustments, as several subsidiaries reported significant losses[91]. Shareholder Information - The company has not distributed dividends or increased capital reserves in the past three years, indicating a strategy focused on reinvestment rather than shareholder returns[105]. - The company reported a net profit attributable to ordinary shareholders of 26,029,472.16 CNY for the year 2019, with a profit margin of 0.00% for cash dividends[106]. - The company did not propose any cash dividend distribution for 2019, despite having a positive profit available for distribution[107]. - The company has a diverse range of business operations, including sports capital operation and fitness services[186]. - The total number of ordinary shareholders at the end of the reporting period is 74,280, an increase from 70,664 at the end of the previous month[183]. Legal and Regulatory Matters - The company is involved in several ongoing litigations, with a total disputed amount of 3.04 million yuan related to a stock transfer contract dispute[130]. - The company has a pending lawsuit regarding a real estate sales contract with a claim amount of 7.86 million yuan, which is still under judgment[131]. - The company has received a warning from the China Securities Regulatory Commission for failing to disclose performance forecasts as required[133].

Financial Performance - The company's operating revenue for Q1 2020 was ¥18,491,555.10, a decrease of 21.71% compared to ¥23,618,160.52 in the same period last year[7]. - The net profit attributable to shareholders was -¥15,191,769.54, an improvement of 50.12% from -¥30,458,140.65 year-on-year[7]. - The basic earnings per share were -¥0.0118, reflecting a 50.00% improvement from -¥0.0236 in the same period last year[7]. - The company reported a net profit attributable to shareholders of ¥-15,191,769.54, a 50.12% improvement compared to the previous year's loss, driven by reduced management fees and gains from the transfer of trading financial assets[17]. - The company expects a net profit attributable to shareholders to be in the range of -38 million to -28 million RMB, indicating a potential increase of 13.36% to 36.16% compared to the previous year[25]. - The net loss for Q1 2020 was CNY 15,398,690.93, compared to a net loss of CNY 33,642,856.85 in the same period last year[45]. - The total comprehensive income for the period was CNY -12,692,984.21, an improvement from CNY -15,998,947.68 in the previous period[50]. Cash Flow and Liquidity - The net cash flow from operating activities was -¥15,688,048.69, showing a 41.41% increase compared to -¥26,775,630.03 in the previous year[7]. - Cash and cash equivalents increased by 32.51% to ¥465,453,265.37, primarily due to the receipt of equity transfer payments and trading financial asset transfer payments[15]. - The company's cash and cash equivalents increased to approximately 465.45 million RMB from 351.26 million RMB at the end of 2019, reflecting a significant improvement in liquidity[35]. - The net cash flow from operating activities was -91,050,700.19, a significant decrease compared to 71,524,626.19 in the previous period[56]. - Cash inflow from investment activities totaled 185,326,273.28, a substantial increase from 626,502.05 in the prior period[57]. - The total cash and cash equivalents at the end of the period reached 344,405,134.69, up from 99,356,329.53 at the end of the previous period[57]. Assets and Liabilities - Total assets at the end of the reporting period were ¥2,353,961,257.78, a decrease of 2.73% from ¥2,420,031,463.57 at the end of the previous year[7]. - Total assets as of March 31, 2020, were CNY 2,633,040,432.80, down from CNY 2,740,335,517.86 at the end of 2019[41]. - Total liabilities decreased to CNY 906,506,100.82 from CNY 1,001,108,201.67 in the previous period[41]. - The company's total liabilities to equity ratio is approximately 57.6%, indicating a moderate level of leverage[65]. - Total equity attributable to shareholders of the parent company was CNY 1,278,600,401.74, slightly down from CNY 1,292,697,719.01[40]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 70,664[11]. - The largest shareholder, Chengdu Sports Industry Investment Group, held 29.90% of the shares, totaling 385,477,961 shares[11]. - The company did not engage in any repurchase transactions during the reporting period[12]. Operational Changes - The company established a new wholly-owned subsidiary, Zhongti (Zhejiang) Planning and Design Consulting Co., Ltd.[22]. - The company implemented new revenue recognition standards starting January 1, 2020, affecting the accounting treatment of contracts[62]. - The company has not made any adjustments related to the new revenue and leasing standards for the first quarter[66]. Investment and Income - Investment income surged by 233.54% to ¥3,255,365.13, primarily from the transfer of trading financial assets[17]. - The company recorded an investment income of CNY 3,255,365.13, compared to a loss of CNY 2,437,826.90 in the previous period[44]. - The company recorded investment income of CNY 3,004,704.68, a significant recovery from a loss of CNY -2,587,594.54 in the previous period[48]. Expenses - Management expenses decreased by 54.83% to ¥11,221,577.99, primarily due to the absence of management fees from Gaosheng Real Estate in the current period[17]. - The company incurred financial expenses of CNY 7,402,097.81, an increase from CNY 5,005,395.72 in the previous period[48]. Other Financial Metrics - The company has no reported securities investments, entrusted financial management, or derivative investments during the reporting period[26][27][28]. - There were no overdue commitments from major shareholders or related parties during the reporting period[24]. - The company’s retained earnings showed a negative balance of -133,929,394.42, indicating accumulated losses[61].

Financial Performance - The company reported a plan not to distribute cash dividends or issue bonus shares for the year[5]. - The company has not disclosed specific financial performance metrics in the provided documents[12]. - In 2019, the company's operating revenue was ¥137,847,895.72, a decrease of 80.38% compared to ¥702,474,129.86 in 2018[18]. - The net profit attributable to shareholders was ¥26,029,472.16, a significant increase of 142.59% from a loss of ¥61,123,353.80 in 2018[18]. - The net cash flow from operating activities was -¥88,187,707.59, down 119.00% from ¥464,176,750.52 in 2018[18]. - The total assets at the end of 2019 were ¥2,420,031,463.57, a decrease of 12.10% from ¥2,753,016,575.12 at the end of 2018[18]. - The net assets attributable to shareholders increased by 2.15% to ¥1,292,697,719.01 from ¥1,265,464,952.35 in 2018[18]. - The company reported a basic earnings per share of ¥0.02, a turnaround from a loss of ¥0.05 in 2018, representing a 140.00% improvement[18]. - The company achieved a total operating revenue of ¥137.85 million in 2019, a decrease of 80.38% compared to ¥702.47 million in 2018[49]. - The net profit attributable to shareholders was ¥26.03 million, reflecting the company's efforts to optimize its asset structure and focus on core business[40]. Operational Highlights - The company achieved an operating revenue of ¥54,625,454.00 in Q4 2019, the highest quarterly revenue for the year[22]. - The net profit attributable to shareholders in Q4 2019 was ¥86,139,940.59, marking a significant recovery from losses in the previous quarters[22]. - The company experienced a decline in the net profit excluding non-recurring gains and losses, which was -¥125,889,293.83 for the year, a 39.52% worsening compared to -¥90,232,366.62 in 2018[18]. - The weighted average return on equity improved to 1.91% in 2019 from -4.72% in 2018, indicating a positive trend in profitability[18]. - The company reported a non-operating income of approximately ¥151.92 million in 2019, a significant increase from ¥29.11 million in 2018, marking a growth of 420.5%[24]. Asset Management - The company achieved a fixed asset increase of 16.92% year-over-year, primarily due to the completion of the Nanjing Zhiye Lianxin project being transferred to fixed assets[32]. - The company experienced a 67.63% decrease in accounts receivable, attributed to the recovery of ¥40 million from the sale of properties by its wholly-owned subsidiary[32]. - The company’s intangible assets decreased by 54.11%, mainly due to the transfer of equity in a subsidiary that reduced land use rights[32]. - The company’s energy segment continued to shrink, indicating a strategic focus away from this area[30]. - The company has secured a land use right for a new sports complex project in Wuxi, enhancing its sports business portfolio[29]. Market Expansion and Strategy - The company operates two existing sports service complexes and has signed agreements for a new event center in Chongqing, indicating ongoing market expansion[29]. - The company is actively integrating sports with cultural and tourism sectors to enhance its competitive edge in the market[34]. - The company has been recognized as a "National Sports Industry Demonstration Unit," enhancing its brand influence and market positioning[35]. - The company is actively expanding its presence in the ice and snow sports sector, establishing its own brand "Rhein Ice and Snow" and collaborating with local sports authorities[45]. - The company is focusing on the development of women's football clubs, having established teams in Zhejiang and Chongqing, and aims to create a quality youth training system[44]. Financial Management and Governance - The financial report is guaranteed to be true, accurate, and complete by the company's management, including the chairman and accounting head[3]. - The company has a dedicated investor relations team, with contact details available for inquiries[14]. - The company’s annual report is published in designated media including China Securities Journal and Securities Times[15]. - The company confirmed that there were no related party transactions during the reporting period[105]. - The company aims to maintain the independence of its personnel, assets, finances, and institutions[105]. Challenges and Risks - The company faces risks related to policy changes, market competition, and potential loss of key personnel, which could impact its operational stability[96]. - The impact of COVID-19 on the company's operations in 2020 is expected to be significant, with strategies in place to reduce debt, cut costs, and improve efficiency in response to market changes[95]. - The company has identified five ecological chains to enhance its business model, including urban sports complex development, sports venue management, and professional sports team operations[94]. Shareholder and Capital Structure - The company has not distributed dividends or increased capital reserves in the past three years, maintaining a policy of no profit distribution[100]. - The company plans to utilize retained earnings for business development funding[102]. - The company transferred 385,477,961 shares (29.90% of total share capital) to Chengdu Sports Investment Group, changing the controlling shareholder[158]. - The share transfer was completed at a price of 3.44 RMB per share, totaling approximately 1.32 billion RMB[160]. - The largest shareholder, Chengdu Sports Industry Investment Group, holds 29.90% of shares, totaling 385,477,961 shares[178]. Compliance and Internal Control - The company has completed rectification measures in response to a warning from the China Securities Regulatory Commission, focusing on improving financial management and compliance with disclosure regulations[128]. - The company has emphasized the importance of enhancing the quality of financial reporting and has organized training for all financial personnel on relevant regulations and standards[129]. - The company is committed to improving its internal control and audit processes to better align with future business development needs[123]. - The company has taken steps to ensure compliance with securities regulations and improve its corporate governance practices[129]. Future Outlook - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 25%[198]. - New product launches are expected to contribute an additional 200 million in revenue in the upcoming year[198]. - The company is considering strategic acquisitions to enhance its market position, targeting firms with a combined revenue of 500 million[198]. - A new marketing strategy is being implemented, aiming to increase brand awareness by 30% over the next year[198]. - The management team emphasized the importance of sustainability initiatives, with plans to invest 50 million in eco-friendly technologies[198].

Financial Performance - Operating revenue for the current period was CNY 29,695,011.84, a decrease of 86.50% year-on-year[7]. - Net profit attributable to shareholders was a loss of CNY 16,249,377.59, representing a decline of 4,891.78% year-on-year[7]. - Net profit attributable to shareholders after deducting non-recurring gains and losses was a loss of CNY 20,451,654.57, a decrease of 7.27% year-on-year[7]. - Basic earnings per share were -CNY 0.0126, a decrease of 4,100.00% year-on-year[7]. - Diluted earnings per share were also -CNY 0.0126, reflecting a decrease of 4,100.00% year-on-year[7]. - The company reported a net loss of CNY 220,069,335.01 for the period, compared to a loss of CNY 159,958,866.58 in the previous period[49]. - The estimated cumulative net profit for the year is projected to be a loss of between -98 million to -80 million RMB, representing a decrease of 60.33% compared to the previous year[36]. - Basic earnings per share are expected to decline to -0.0760 RMB, a decrease of 52.00% year-over-year[36]. - The company reported a significant change in its controlling shareholder, with the transfer of shares approved by the Chengdu State-owned Assets Supervision and Administration Commission[32]. Assets and Liabilities - Total assets decreased by 14.60% to CNY 2,350,962,323.28 compared to the end of the previous year[7]. - Net assets attributable to shareholders decreased by 4.65% to CNY 1,206,671,055.73 compared to the end of the previous year[7]. - Cash and cash equivalents decreased by 66.05% to ¥109,477,973.52, primarily due to new project investments and a reduction in receivables[15]. - Accounts receivable dropped by 69.68% to ¥15,398,206.04, mainly due to payments received from West Lake Company[15]. - Inventory increased by 37.88% to ¥372,447,900.83, attributed to new investments by Wuxi Company[15]. - Current liabilities decreased from CNY 833,330,349.78 to CNY 582,576,308.57, a reduction of about 30.1%[48]. - The company's total liabilities decreased from CNY 1,402,867,999.82 to CNY 1,150,549,058.57, a decrease of around 18.0%[48]. - The total owner's equity decreased from CNY 1,350,148,575.30 to CNY 1,200,413,264.71, a decline of approximately 11.1%[49]. Cash Flow - Cash flow from operating activities showed a net outflow of CNY 119,340,836.14, a decline of 126.80% compared to the same period last year[7]. - Cash received from operating activities decreased by 87.73% to ¥84,300,585.77, reflecting the decline in operating revenue[19]. - The net cash flow from operating activities for Q3 2019 was -119,340,836.14 CNY, compared to 445,261,523.06 CNY in the same period last year[72]. - Total cash inflow from operating activities was 222,878,107.34 CNY, while cash outflow was 342,218,943.48 CNY, resulting in a net cash flow deficit[72]. - The net increase in cash and cash equivalents for the period was -210,004,176.22 CNY, compared to an increase of 131,517,506.95 CNY in the previous year[73]. Investment and Acquisitions - The company reported a net loss of ¥2,763,875.30 in investment income, a decline of 109.52% compared to the previous year, due to the previous year's gains from the transfer of venue company losses[17]. - The company successfully acquired land use rights for a 50,275 square meter plot in Wuxi for 91 million CNY, designated for entertainment and commercial use[30]. - The company transferred 55% of its stake in Jiaxing Laihong Sports Culture Co., Ltd. to Hongxiang Holdings Group for a total of 56,432,773.61 CNY[25][26]. - The company has committed to avoiding competition with its listed entity and will inject any competing business into the listed company if conditions allow[34]. Changes in Governance - The company held a board meeting on September 25, 2019, to elect the 10th board of directors and the 10th supervisory board, with a term of three years[27][28]. - The company underwent a board and supervisory committee election process, with new appointments made on September 10, 2019[33]. - The company modified its articles of association and shareholder meeting rules during the third extraordinary general meeting held on October 11, 2019[29]. Regulatory Compliance - The company announced a change in accounting policies effective from January 1, 2019, in accordance with the new financial instrument standards issued by the Ministry of Finance[24]. - The company has pledged to ensure the independence of the listed company's personnel and assets during its control period[34]. - The company is focused on maintaining compliance with regulatory requirements and protecting the interests of minority shareholders[34].