Financial Performance - The company reported a total revenue of 889 million yuan for the first half of 2025, an increase of 4.49% year-on-year [1] - The net profit attributable to shareholders was 24.71 million yuan, a decrease of 20.25% compared to the previous year [1] - In Q2 2025, the total revenue was 460 million yuan, up 8.6% year-on-year, while the net profit attributable to shareholders increased by 26.25% to 21.36 million yuan [1] - The gross margin was 11.27%, down 15.09% year-on-year, and the net margin was 2.85%, down 27.5% [1] Financial Ratios - The company's return on invested capital (ROIC) was 2.65% last year, indicating weak capital returns [3] - The median ROIC over the past decade was 2.87%, with a significant drop to -12.28% in 2023 [3] - The cash flow per share was 0.11 yuan, a decrease of 38.92% year-on-year [1] Debt and Receivables - The accounts receivable amounted to 114 million yuan, representing a decrease of 35.45% year-on-year, but still accounted for 600.02% of the net profit [1][3] - The company had interest-bearing liabilities of 544 million yuan, down 24.22% year-on-year [1] Business Strategy and Market Expansion - The company plans to enhance user experience and expand its gas market through initiatives like upgrading old residential areas and improving safety measures [4] - It aims to diversify its gas supply system and strengthen partnerships with upstream suppliers while enhancing operational efficiency through digital tools [4] - Future plans include focusing on clean energy, expanding hydrogen and solar energy sectors, and optimizing existing user potential [4]

Group 1 - The company achieved an operating income of 889 million yuan in the first half of 2025, representing a year-on-year growth of 4.49%, with a net profit attributable to shareholders of 24.71 million yuan [1] - The company aims to become a leading clean energy supply service enterprise by integrating traditional gas business with new energy initiatives [1] - The main revenue source during the reporting period was from urban gas business, with efforts focused on expanding downstream markets and enhancing service quality [1] Group 2 - The company is actively developing LNG and integrated energy businesses, enhancing competitiveness by acquiring quality resources and aligning with market demands [2] - In the integrated energy sector, the company plans to deepen cooperation with users and accelerate the layout of multi-energy complementary businesses [2] - The company is exploring the transformation and upgrade of traditional CNG refueling stations to a comprehensive energy station model, with steady progress in preliminary work for related projects [2]

Group 1 - The company completed a share buyback program, repurchasing 3,226,800 shares, which is approximately 0.8998% of the total share capital, with a total transaction amount of 16,998,909.00 yuan [6] - The company plans to use the repurchased shares for employee stock ownership plans or equity incentives, with a total budget for the buyback set between 15 million and 25 million yuan [6] - The company has not declared any cash dividends or stock bonuses during the reporting period [3] Group 2 - The company has not experienced any changes in its controlling shareholder or actual controller during the reporting period [5] - The board of directors approved the transfer of part of the equity in Shengneng Gas Co., Ltd., with an anticipated buyback of 21% equity for 57 million yuan due to underperformance [7][8] - The company has initiated legal proceedings against former shareholders for the recovery of equity buyback payments totaling 149.5 million yuan plus interest [8] Group 3 - The company held its 18th meeting of the 13th board of directors, where several governance-related proposals were approved, including the cancellation of the supervisory board [14][50] - The company is revising its articles of association and related governance documents to enhance operational efficiency and compliance with regulatory requirements [50][51] - The company plans to hold its third extraordinary general meeting of 2025 on September 3, 2025, to discuss the approved proposals [54][56]

Core Viewpoint - Delong Energy's stock price has shown a slight increase, reflecting market interest in the company's performance and potential growth in the gas supply sector [1] Company Performance - Delong Energy's latest stock price is reported at 6.63 yuan, with an increase of 0.13 yuan from the previous trading day [1] - The stock reached a high of 6.70 yuan and a low of 6.46 yuan during the trading session, with a total transaction amount of 0.71 billion yuan [1] - The company reported a revenue of 889 million yuan for the first half of 2025, representing a year-on-year growth of 4.49% [1] - The net profit attributable to shareholders was 24.71 million yuan, which is a decline of 20.25% compared to the previous year [1] - Basic earnings per share are reported at 0.07 yuan [1] Industry Overview - Delong Energy operates primarily in the gas supply and service sector, with additional involvement in energy storage [1] - The company is positioned as a regional urban gas operator based in Sichuan [1]

Core Viewpoint - The company reported a decrease in net profit and cash flow for the first half of 2025, despite a slight increase in revenue compared to the same period last year [1][3]. Financial Performance - Revenue for the reporting period was approximately CNY 889.56 million, representing a 4.49% increase from CNY 851.31 million in the same period last year [1]. - Net profit attributable to shareholders decreased by 20.25% to CNY 24.71 million from CNY 30.98 million [1]. - The net profit after deducting non-recurring gains and losses also fell by 8.90% to CNY 24.56 million [1]. - The net cash flow from operating activities decreased by 38.92% to CNY 38.08 million from CNY 62.34 million [1]. - Basic and diluted earnings per share both decreased by 19.54% to CNY 0.070 from CNY 0.087 [1]. Asset and Equity Position - Total assets at the end of the reporting period were approximately CNY 1.92 billion, down 1.71% from CNY 1.96 billion at the end of the previous year [3]. - Net assets attributable to shareholders increased by 3.02% to CNY 874.39 million from CNY 848.79 million [3]. Shareholder Information - The total number of shareholders at the end of the reporting period was 25,814 [3]. - The largest shareholder, Beijing Dingxin Ruitong Technology Development Co., Ltd., holds 32.00% of the shares [3]. Important Events - The company approved a share buyback plan with a total amount not less than CNY 15 million and not exceeding CNY 25 million, to be executed within 12 months [5]. - The company completed a share buyback of 3,226,800 shares, accounting for approximately 0.8998% of the total share capital, with a total transaction amount of CNY 16.99 million [6].

Group 1 - The board of directors of Delong Composite Energy Group Co., Ltd. held its 18th meeting of the 13th session on August 14, 2025, with all 9 directors present, confirming the legality and validity of the meeting procedures [1][2] - The board approved the preparation of the 2025 semi-annual report and its summary in accordance with relevant laws and regulations, including the requirements set by the China Securities Regulatory Commission [1][2] - The audit committee of the board reviewed and confirmed the financial sections of the 2025 semi-annual report prior to its approval [2] Group 2 - The company decided to abolish the supervisory board and amend certain provisions of its articles of association and rules for shareholder and board meetings to align with its operational needs [2][3] - Various governance documents, including the work rules for the board's audit, nomination, compensation, and strategic committees, were revised to enhance the company's governance structure [3][4] - The board approved the establishment of new governance systems, including the President's work rules and the Secretary of the Board's work system, to clarify responsibilities and ensure compliance in operations [4][5] Group 3 - The board agreed to revise the management of related party transactions and information disclosure management rules to further standardize these processes [4][5] - A new market value management system was approved to establish a long-term mechanism for maintaining investor value [4][5] - The company plans to hold its third extraordinary general meeting of shareholders in 2025 to review certain proposals that require shareholder approval [5]

Meeting Information - The company has convened a meeting to review the proposal for the 2025 Third Extraordinary General Meeting of Shareholders on August 14, 2025 [1] - The meeting will take place on September 3, 2025, at 15:00 [1] - Shareholders can vote online through the Shenzhen Stock Exchange trading system during specified times on the same day [1] Voting Procedures - Only one voting method can be selected: on-site voting, trading system voting, or internet voting [2] - Shareholders must be registered by the cut-off date of August 27, 2025, to participate [2] - The voting code for the meeting is "360593" and the voting abbreviation is "Delong Voting" [7] Agenda Items - The meeting will discuss proposals including amendments to the company's Articles of Association and the cancellation of the Supervisory Board [3][4] - Approval for the amendments requires a two-thirds majority of the voting rights held by shareholders [6] - Other proposals include the registration of changes with the industrial and commercial authorities [3][4] Registration and Attendance - Legal representatives of corporate shareholders must provide identification and proof of their authority [6] - Individual shareholders must present valid identification and stock account information [6] - The company has provided contact information for inquiries regarding the meeting [6] Online Voting Process - Detailed procedures for online voting are provided, including the need for identity verification and obtaining a digital certificate [8] - The online voting system is accessible through the specified website [8]

Financial Performance - The total operating revenue for the first half of 2025 was CNY 889,562,105.55, an increase from CNY 851,310,393.35 in the same period of 2024, reflecting a growth of approximately 4.5% [4] - The total operating costs rose to CNY 854,042,747.91 from CNY 807,609,281.18, indicating an increase of about 5.7% [4] - The net profit for the first half of 2025 was CNY 25,309,202.01, down from CNY 33,409,091.02 in the previous year, representing a decline of approximately 24.2% [4] Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,923,975,305.64, a decrease from CNY 1,957,448,719.76 at the beginning of the period [2][3] - Current assets totaled CNY 505,164,172.16, down from CNY 519,008,826.63, showing a reduction of about 2.7% [2] - Total liabilities decreased to CNY 964,112,629.89 from CNY 1,023,791,469.87, a decline of approximately 5.8% [2] Cash Flow - The net cash flow from operating activities was CNY 38,078,904.35, down from CNY 62,337,775.10 in the first half of 2024, indicating a decrease of about 39% [5] - Cash flow from investing activities showed a net outflow of CNY 24,787,217.62, compared to a net outflow of CNY 26,217,996.20 in the previous year [6] - Cash flow from financing activities resulted in a net outflow of CNY 29,908,209.81, down from CNY 67,853,665.79 in the same period of 2024 [6] Equity - Total equity increased to CNY 959,862,675.75 from CNY 933,657,249.89, reflecting a growth of approximately 2.8% [2][3] - The company's retained earnings showed a slight improvement, with an unallocated profit of CNY -142,591,173.39 compared to CNY -167,298,554.14 in the previous year [2][3]

Core Points - Delong Composite Energy Group Co., Ltd is revising its articles of association to enhance corporate governance and internal control systems [1][2][3] - The revisions include the removal of the supervisory board and transferring its powers to the audit committee [1][2] - The company aims to ensure the protection of the rights of shareholders, employees, and creditors through these amendments [1][2] Summary by Sections - **Corporate Governance Changes** - The supervisory board and related provisions have been deleted, with the audit committee assuming its responsibilities [1][2] - The president is elected by the board of directors and serves as the legal representative of the company [2] - **Shareholder Rights and Responsibilities** - Shareholders can sue the company and its directors, supervisors, and senior management, and vice versa [3][4] - Shareholders are required to comply with laws and regulations and cannot withdraw their capital except as legally permitted [13][14] - **Capital Structure and Share Issuance** - The company has issued 358,631,009 ordinary shares, with no other categories of shares [4][5] - Share issuance must adhere to principles of openness, fairness, and justice, ensuring equal rights for all shares of the same type [4][5] - **Financial Assistance and Transactions** - The company may provide financial assistance for acquiring its shares, subject to a cap of 10% of the total issued capital [4][5] - Significant transactions, such as asset purchases or sales exceeding 30% of total assets, require shareholder approval [21][22] - **Related Party Transactions** - Related party transactions exceeding 5% of net assets must be submitted for shareholder approval [24][25] - The company must maintain transparency and adhere to regulations regarding related party transactions [24][25] - **Shareholder Meetings and Voting** - The company will provide both physical and electronic means for shareholders to participate in meetings [29][30] - Shareholders holding more than 3% of shares can propose agenda items for meetings [33][34]

Summary of Key Points Core Viewpoint - The report outlines the non-operating fund occupation and other related fund transactions of Delong Huineng Group Co., Ltd. for the first half of 2025, detailing the amounts involved and the nature of these transactions [1]. Group 1: Non-Operating Fund Occupation - The total non-operating fund occupation at the beginning of 2025 was RMB 474.98 million, with no repayments during the half-year, resulting in a year-end occupation of RMB 484.48 million [1]. - The only related party involved in non-operating fund occupation is Chengdu Tianhuayuan Hotel Management Co., Ltd., which received a loan of RMB 474.98 million [1]. Group 2: Other Related Fund Transactions - The total amount of other related fund transactions was RMB 16,176.24 million at the beginning of the year, increasing to RMB 22,059.98 million by mid-year, with a year-end balance of RMB 18,758.67 million [1]. - Major transactions include accounts receivable from various subsidiaries, with significant amounts from companies like Deyang Jingneng Natural Gas Co., Ltd. and Dalian New Century Gas Co., Ltd. [1]. - The report indicates that the company has engaged in both operating and non-operating fund occupations, with specific amounts allocated for energy services and material sales [1]. Group 3: Financial Assistance to Chengdu Tianhuayuan - Chengdu Tianhuayuan Hotel Management Co., Ltd. received a financial assistance loan of RMB 474.98 million from the company, with a loan term of 5 years and an interest rate of 4% [2]. - Another shareholder provided a loan of RMB 922.02 million under similar conditions, indicating a collaborative financial support structure for the hotel [2].