Financial Performance - The company's operating revenue for 2018 was CNY 195,407,098.34, representing a 232.70% increase compared to CNY 58,733,082.43 in 2017[19]. - The net profit attributable to shareholders for 2018 was CNY 3,152,629.54, a significant recovery from a loss of CNY 27,386,209.95 in 2017, marking an increase of 111.51%[19]. - The total assets at the end of 2018 were CNY 341,971,619.51, down 13.54% from CNY 395,522,663.69 at the end of 2017[20]. - The net assets attributable to shareholders increased by 1.68% to CNY 190,705,821.13 at the end of 2018, compared to CNY 187,553,191.59 at the end of 2017[20]. - The company reported a basic earnings per share of CNY 0.0074 for 2018, recovering from a loss of CNY 0.0644 in 2017, an increase of 111.49%[19]. - The company achieved a total revenue of approximately 19,540.71 million yuan in 2018, representing a year-on-year increase of 232.70%[50]. - The revenue from the bulk trade business was approximately 14,559.30 million yuan, contributing significantly to the overall revenue growth[52]. - The operating costs increased by 259.01% year-on-year, primarily due to the rise in costs associated with the bulk trade business[52]. - The company reported an asset disposal gain of approximately 1,222.89 million yuan, a significant increase of 9967.51% compared to the previous year[51]. - The net profit attributable to the parent company was 315.26 million yuan, with a reduction in operating losses by 78.23% compared to the previous year[50]. Shareholder Information - The company reported no cash dividends, stock bonuses, or capital increases from reserves for the year[7]. - The company did not propose any cash dividend distribution plan for the reporting period, indicating a focus on reinvestment or other financial strategies[115]. - The company has not reported any cash dividends in the previous three years, reflecting a consistent policy of retaining earnings[114]. - The company has maintained a stable shareholder base with no significant reductions in shareholding reported[110]. - The total number of ordinary shareholders at the end of the reporting period was 60,237, an increase from 48,171 at the end of the previous month[161]. - The largest shareholder, China Huayang Investment Holdings Co., Ltd., holds 17.99% of shares, totaling 76,496,653 shares, with 76,000,000 shares pledged[161]. - The company has not indicated any significant changes in its shareholder structure or major acquisitions during the reporting period[116]. Business Operations and Strategy - The company’s main business has not changed since its establishment, which was initiated in March 1993[17]. - The company has initiated new profit growth strategies, including battery raw material processing services[30]. - The company is focusing on the development of new energy vehicle air conditioning components, with ongoing projects for the H2 automotive air conditioning system and the Q22LEV model[42]. - The company plans to continue expanding its market presence and product offerings in the coming years[56]. - The company is actively seeking to establish long-term supply relationships with domestic and international automotive manufacturers to enhance its competitive edge[97]. - The company is exploring trade activities related to its core automotive air conditioning business to create sustainable profit sources[101]. - The company plans to enhance its innovation capabilities and expand its market presence while stabilizing its traditional automotive air conditioning business[100]. Risk Management - The company has faced no significant risks affecting its operations during the reporting period[6]. - The company’s future development outlook includes various risks and corresponding countermeasures detailed in the report[6]. - The company recognizes the investment and trade business risks influenced by national policies and macroeconomic conditions, and will enhance risk management systems[107]. - The company will implement measures to control cost fluctuations due to raw material price volatility, particularly for steel, non-ferrous metals, and rubber[106]. - The company faces risks from macroeconomic and industry policy changes that could adversely affect profitability if adjustments are required[105]. Research and Development - The company is enhancing its research and development capabilities, with a focus on high-tech enterprise applications and optimizing products based on customer requirements[42]. - The company developed 11 new projects during the year, with 2 projects entering mass production and 3 projects completing small batch trials[47]. - Research and development expenses decreased by 46.70% year-on-year, mainly due to the liquidation of the subsidiary Shanghai Hengan Air Conditioning Equipment Co., Ltd.[52]. Corporate Governance - The company has a governance structure that complies with the requirements of the China Securities Regulatory Commission and the Shenzhen Stock Exchange, ensuring effective operation of the shareholders' meeting, board of directors, and supervisory board[197]. - The board of directors consists of 9 members, including 3 independent directors with expertise in accounting, law, and strategy, meeting the standards set by the Corporate Governance Code[198]. - The company has implemented an employee performance evaluation system to enhance operational efficiency and promote a culture of teamwork and productivity[198]. - The company has not faced any penalties from the China Securities Regulatory Commission or Shenzhen Stock Exchange, ensuring compliance with regulatory standards[179][182]. Subsidiaries and Investments - The company established a wholly-owned subsidiary, Tianjin Hengsheng International Trade Co., Ltd., which generated approximately CNY 136.82 million in revenue and a net profit of about CNY 1.25 million in 2018[66]. - The company’s subsidiary, Yueyang Hengli Automotive Parts Co., Ltd., is actively expanding into emerging markets while maintaining relationships with major clients[30]. - The company’s subsidiary, Shanghai Heng'an Air Conditioning Equipment Co., Ltd., entered liquidation, with a reported net profit of approximately ¥13,555,273.97 for the year[91]. Legal and Compliance - The company has been actively involved in legal matters concerning its subsidiaries, which may impact future operational strategies[113]. - The company has disclosed various legal disputes, including a contract dispute that is currently pending trial, with no estimated impact on profits[152]. - The company has not reported any significant changes in its major contracts or asset evaluations during the reporting period[148]. Employee and Management - The company employed a total of 148 staff members, with 82 in production, 8 in sales, 7 in technical roles, 12 in finance, and 39 in administration[192]. - The total remuneration for directors and senior management during the reporting period amounted to CNY 3.1371 million[190]. - The company conducted 31 training sessions during the reporting period, with a total of 194 participants, achieving a training coverage rate of 45%[194].

Financial Performance - The company's operating revenue for 2018 was ¥195,407,098.34, representing a 232.70% increase compared to ¥58,733,082.43 in 2017[16]. - The net profit attributable to shareholders for 2018 was ¥3,152,629.54, a significant recovery from a loss of ¥27,386,209.95 in 2017, marking an increase of 111.51%[16]. - The net cash flow from operating activities for 2018 was -¥135,961,840.57, which is a 99.86% increase in cash outflow compared to -¥68,029,508.06 in 2017[16]. - The total assets at the end of 2018 were ¥341,971,619.51, a decrease of 13.54% from ¥395,522,663.69 at the end of 2017[17]. - The net assets attributable to shareholders increased by 1.68% to ¥190,705,821.13 at the end of 2018, compared to ¥187,553,191.59 at the end of 2017[17]. - The company achieved a total revenue of approximately ¥19,540.71 million in 2018, representing a year-on-year increase of 232.70%[46]. - The revenue from the newly established trading company reached approximately ¥13,682.48 million, accounting for 70.02% of the consolidated total revenue[42]. - The operating costs increased by 259.01% year-on-year, primarily due to the growth in bulk trade business[47]. - The company reported an asset disposal gain of approximately ¥1,222.89 million, a significant increase of 9967.51% compared to the previous year[46]. - The net profit attributable to the parent company was ¥315.26 million, with a reduction in operating losses by 78.23% compared to the previous year[45]. Business Operations - The company’s main business has not changed since its establishment in 1993[14]. - The company’s subsidiary, Yueyang Hengli Auto Parts Co., Ltd., is actively expanding into emerging markets while maintaining relationships with major clients[26]. - The company is exploring new profit growth points by attempting to engage in battery raw material processing services[26]. - The fourth quarter of 2018 saw a significant revenue boost to approximately ¥144,885,305.92, largely due to bulk trading activities by its subsidiary Tianjin Hengsheng International Trade Co., Ltd.[21]. - The wholly-owned subsidiary Tianjin Hengsheng International Trade Co., Ltd. achieved an operating income of approximately 136.82 million RMB, accounting for 70.02% of the consolidated total revenue[28]. - The company has established a solid customer base and market share in the automotive air conditioning industry, benefiting from its status as the first listed company in this sector[36]. - The company is actively pursuing new market opportunities in the automotive air conditioning sector, including projects for new energy vehicle components[37]. - The company has initiated the establishment of a high-tech enterprise and is focusing on R&D for automotive air conditioning systems, including projects for specific vehicle models[37]. - The company has undergone asset cleaning in recent years, resulting in available cash assets to support new business ventures[38]. - The company is focusing on improving internal management and cost control to enhance operational efficiency and brand foundation[97]. Shareholder and Governance - The company plans not to distribute cash dividends, issue bonus shares, or increase share capital from reserves[4]. - The company’s financial report is guaranteed to be true, accurate, and complete by its board of directors and management[2]. - The company has committed to avoiding any form of competition with its controlling shareholders or related parties, ensuring alignment of interests[114]. - The company has established a structured corporate governance framework, ensuring clear responsibilities among the shareholders, board of directors, and management[148]. - The company has appointed Beijing Yongtuo Accounting Firm as its auditor, with an audit fee of 350,000 RMB for the current period[125]. - The total remuneration for directors and senior management during the reporting period amounted to CNY 3.1371 million[187]. - The company has a board of 9 members, including 1 female and 3 independent directors with expertise in accounting, law, and strategy[194]. - The supervisory board consists of 3 members, including 1 employee supervisor, ensuring independent oversight of directors and senior management[195]. - The company has implemented an employee performance evaluation system to enhance operational efficiency and promote a proactive corporate culture[195]. Risks and Challenges - The company has faced no significant risks affecting its production and operations during the reporting period[2]. - The company has outlined various risks and countermeasures in its future development outlook section[2]. - The automotive air conditioning industry is closely tied to the economic cycle, with recent slowdowns in growth affecting demand[34]. - The company faces risks from macroeconomic and industry policy changes that could adversely affect profitability if adjustments are required[102]. - The company recognizes the inherent risks in investment and trade businesses, which are influenced by national policies and market performance, and will enhance risk management systems[104]. Employee and Training - The company employed a total of 148 staff members, with 82 in production, 8 in sales, 7 in technical roles, 12 in finance, and 39 in administration[189]. - The company conducted 31 training sessions during the reporting period, with a total of 194 participants, achieving a training coverage rate of 45%[191]. - The company has a structured training plan to enhance employee skills and management capabilities, aligning with operational needs[191]. - The educational background of employees includes 4 with postgraduate degrees, 19 with bachelor's degrees, 29 with associate degrees, and 96 with high school or lower education[189]. Legal and Compliance - The company is involved in a lawsuit with Guangdong Jie Shang, with a claim amount of 11.6 million RMB, which has been resolved in favor of the company[127]. - The company has a pending lawsuit involving Yueyang Hengli, with a claim amount of 119.25 million RMB, currently in the first instance[127]. - The company has not faced any penalties or rectifications during the reporting period[128]. - The company has not reported any significant accounting errors that require retrospective restatement during the reporting period[123]. - The company has not engaged in any major asset or equity sales during the reporting period[86][87]. Future Outlook - The company plans to enhance its product research and development capabilities, focusing on new truck air conditioning systems and new energy bus air conditioning systems[97]. - The company aims to stabilize its traditional automotive air conditioning business while expanding into new markets and projects to improve sustainable development capabilities[97]. - The company is actively seeking trade opportunities related to its traditional automotive air conditioning business to provide a long-term profit source[98]. - The company plans to accelerate project development and promote market and product structure adjustments, focusing on converting new projects from 2018 into productivity[99]. - The company aims to enhance its main business scale and profitability, addressing concerns from minority shareholders regarding its sustainable operation capabilities[100].

Financial Performance - The company's operating revenue for the first quarter reached ¥114,079,497.64, representing a significant increase of 760.56% compared to ¥13,256,420.16 in the same period last year[6] - The net profit attributable to shareholders was a loss of ¥1,527,679.17, which is a 39.79% improvement from a loss of ¥2,537,175.40 in the previous year[6] - The basic earnings per share were reported at -¥0.0036, a 40.00% improvement from -¥0.0060 in the same period last year[6] - The net loss for the quarter was CNY 1,727,607.35, an improvement from a net loss of CNY 3,446,570.37 in the previous period[40] - The total comprehensive income for the first quarter was -1,769,090.19 CNY, compared to -1,987,093.05 CNY in the same period last year[44] Cash Flow and Liquidity - The net cash flow from operating activities showed a negative value of ¥103,687,614.01, worsening by 592.50% from a negative cash flow of ¥14,972,943.22 in the same period last year[6] - The company's cash and cash equivalents decreased by 76.43% to ¥4,450.01 million, primarily due to payments for procurement and operational expenses[13] - The company's cash paid for purchasing goods and services surged by 510.80% to ¥9,327.07 million, reflecting increased procurement activities[15] - The net cash increase in cash and cash equivalents for Q1 2019 was -103,467,957.83 CNY, compared to -65,486,560.66 CNY in the same period last year[52] - The company reported cash and cash equivalents at the end of the period amounting to 13,127,555.49 CNY, down from 137,000,644.11 CNY at the end of the previous year[48] Assets and Liabilities - The total assets at the end of the reporting period were ¥330,441,519.78, down 3.37% from ¥341,971,619.51 at the end of the previous year[6] - The company's total liabilities decreased from CNY 137,768,353.78 to CNY 127,965,861.40, a reduction of approximately 7.3%[31] - The total equity attributable to the parent company decreased from CNY 190,705,821.13 to CNY 189,178,141.96, a slight decline of about 0.8%[32] - The company's current assets totaled CNY 312,962,407.30, down from CNY 324,850,783.72 at the end of 2018, indicating a decrease of about 3.7%[30] - The total liabilities to equity ratio indicates a leverage position, with total liabilities being approximately 67.4% of total equity[57] Shareholder Information - The company had a total of 48,171 common shareholders at the end of the reporting period[9] - The largest shareholder, China Huayang Investment Holdings Co., Ltd., held 17.99% of the shares, amounting to 76,496,653 shares, with some shares pledged[9] Operational Costs and Expenses - The company's operating costs rose by 1033.53% to ¥10,970.28 million, corresponding to the increase in trade income[13] - The company's research and development expenses increased by 13.17% to ¥30.02 million, reflecting ongoing investment in innovation[14] - The company's tax expenses increased, with a net growth of ¥38.05 million, mainly due to tax provisions by the trading subsidiary[14] Receivables and Other Financial Metrics - Accounts receivable increased by 218.76% to ¥17,327.12 million, attributed to higher sales by the subsidiary trading company[13] - The company reported a significant increase in other receivables, up 4619.98% to ¥1,435.37 million, due to deposits for agency sales by the investment subsidiary[13] - The company’s financial income decreased by 98.30% to ¥1.74 million, primarily due to reduced returns from idle funds in bank wealth management[14] Compliance and Future Outlook - The company reported no significant non-recurring gains or losses during the reporting period, with only a minor non-operating income of ¥38,487.09 from the disposal of non-current assets[7] - The company has not disclosed any significant new product developments or market expansion strategies in the current report[21] - The company did not provide any guidance on future performance or significant changes in net profit expectations for the upcoming reporting period[19]

Financial Performance - Net profit attributable to shareholders of the listed company reached ¥4,946,764.21, an increase of 226.15% year-on-year[8]. - Basic earnings per share for the reporting period were ¥0.0116, up 226.09% year-on-year[8]. - Operating revenue for the reporting period was ¥13,972,170.42, down 0.59% compared to the same period last year[8]. - The company's operating revenue increased by 43.38% to ¥5,052.18 million, primarily due to a rise in sales from the trading company[17]. - The company's net profit from asset disposal surged by 6091.89% to ¥1,300.82 million, attributed to increased revenue from property projects[17]. Cash Flow and Assets - The net cash flow from operating activities for the year-to-date was -¥157,992,963.29, showing a significant increase of 491.41%[8]. - The company's cash received from sales of goods and services rose by 115.15% to ¥7,136.32 million, driven by an increase in sales orders[17]. - The company's cash paid for purchasing goods and services increased by 591.82% to ¥22,870.81 million, reflecting growth in sales and related procurement[18]. - The company's cash and cash equivalents decreased by 19.06% to ¥12,221.50 million, indicating a reduction in liquidity[16]. - Total assets at the end of the reporting period amounted to ¥395,397,506.85, a decrease of 0.03% compared to the end of the previous year[8]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 17,885[12]. - The largest shareholder, China Huayang Investment Holdings Co., Ltd., held 17.99% of the shares[12]. Liabilities and Financial Position - The company's tax liabilities increased by 221.86% to ¥1,863.95 million, mainly due to increased tax expenses related to property projects[16]. - The company's accounts payable decreased by 31.76% to ¥3,801.18 million, reflecting payments made on prior obligations[16]. - The company's financial assets decreased by 78.82% to ¥1,022.40 million, primarily due to reduced investments in government bond reverse repos[16]. Operational Developments - The dissolution and liquidation of the subsidiary Shanghai Hengan Air Conditioning Equipment Co., Ltd. is progressing, with expected increases in current earnings of approximately CNY 12.67 million from property disposal and CNY 2.47 million from compensation, totaling an estimated increase of CNY 15.13 million in current earnings, contributing about CNY 9.08 million to net profit attributable to the parent company[22]. - The company has reported a total of CNY 10 million in idle funds invested in wealth management products, with no overdue amounts or uncollected principal[27]. - The company is actively responding to a lawsuit involving a contract dispute, with the court hearing initially scheduled for July 4, 2018, postponed to September 6, 2018, and the impact on the company remains uncertain[20]. - The company has held multiple communications regarding its operational status and future plans, including discussions on the dissolution of Shanghai Hengan and the use of idle funds for wealth management[28]. Compliance and Governance - The company has not reported any overdue commitments or violations related to external guarantees during the reporting period[30]. - The company has not engaged in any securities investments during the reporting period[25]. - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[31]. - The company disclosed its intention to change its registered address and revise corresponding articles in its company charter[23]. - The company is committed to ensuring that the interests of the company and its investors are not compromised amid ongoing legal proceedings[20]. - The company has actively communicated with investors regarding its financial performance and strategic decisions throughout the reporting period[29].

Financial Performance - The company's operating revenue for the first half of 2018 was CNY 36,549,622, representing a 72.55% increase compared to CNY 21,181,924.90 in the same period last year[17]. - The net profit attributable to shareholders was a loss of CNY 3,857,109.95, which is a 51.42% improvement from a loss of CNY 7,939,860.85 in the previous year[17]. - The company reported a basic and diluted earnings per share of -CNY 0.0091, which is a 51.34% improvement from -CNY 0.0187 in the same period last year[17]. - The company reported a total revenue of 1,205,800 RMB from a lawsuit victory, with the opposing party bearing the costs[77]. - The company reported a net loss of 5,358.71 million yuan during the current period, indicating a challenging financial environment[161]. Cash Flow and Liquidity - The net cash flow from operating activities was a negative CNY 26,117,906.67, an increase in outflow of 22.29% compared to CNY 21,357,560.11 in the same period last year[17]. - The company's cash and cash equivalents decreased by 91.12% to CNY 4,764,108.82, down from CNY 53,620,208.07 in the previous period[44]. - The cash flow from operating activities showed a negative trend, which may impact future liquidity and operational sustainability[147]. - The ending balance of cash and cash equivalents was 65,000,067.47 CNY, a decrease from 246,532,886.20 CNY at the beginning of the period[148]. Assets and Liabilities - The total assets at the end of the reporting period were CNY 402,564,789.56, reflecting a 1.78% increase from CNY 395,522,663.69 at the end of the previous year[17]. - The total liabilities at the end of the reporting period were RMB 207,860,739.48, up from RMB 196,435,737.71, indicating an increase of approximately 7.25%[127]. - The total equity attributable to shareholders of the parent company was CNY 206,696,736.74, slightly down from CNY 210,358,294.73 at the beginning of the year, a decrease of about 1.6%[132]. Business Operations and Strategy - The company has shifted its main manufacturing and sales activities to its subsidiaries, focusing on the production and sales of refrigeration and air conditioning equipment[25]. - The company is actively expanding into new business areas, including real estate agency sales and commodity trading, with a contract signed for the Hailun Shijia real estate project[38]. - The company is undergoing a restructuring process, with some business operations being taken over by its subsidiary due to the liquidation of Shanghai Heng'an Air Conditioning Equipment Co., Ltd.[26]. - The company is leveraging its established reputation in the automotive air conditioning industry to stabilize its existing market while actively seeking new market opportunities[33]. Investment and Financial Strategy - Investment income accounted for 69.54% of total profit, primarily from structured deposits and financial products[47]. - The total investment amount for the reporting period was CNY 175,960,248.14, a significant increase of 93.62% compared to CNY 90,878,933.90 in the previous year[53]. - The company plans to enhance its financial strategies to recover from the current losses and improve overall performance in the upcoming periods[161]. Market Conditions and Challenges - The company faced significant pressure from policy and macroeconomic factors, particularly the slowdown in the growth of the new energy vehicle market due to national subsidy policies and international trade disputes[65]. - The automotive air conditioning market is experiencing intense competition, with suppliers passing cost pressures onto manufacturers, further intensifying industry competition[65]. - The company is heavily reliant on major clients, which poses risks if demand from these clients declines or they switch to other suppliers[65]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,138[109]. - Major shareholders include China Huayang Investment holding 17.99% and Shenzhen Aoshengxia holding 16.54%[109]. - The company reported a total share count of 425,226,000, with no changes in restricted shares[107]. Legal and Compliance - The company is involved in a significant litigation case with a claim amount of 1.16 million yuan, with a favorable ruling received[75]. - The company has no significant related party transactions during the reporting period[80]. - The financial report for the first half of 2018 was not audited[123]. Accounting and Financial Reporting - The financial statements comply with the enterprise accounting standards, accurately reflecting the company's financial position as of June 30, 2018[176]. - The company uses Renminbi as its functional currency[179]. - The company consolidates all subsidiaries based on control, ensuring consistent accounting policies across the group[182].

Financial Performance - The company's operating revenue for the first half of 2018 was CNY 36,549,622, representing a 72.55% increase compared to CNY 21,181,924.90 in the same period last year[17]. - The net profit attributable to shareholders was a loss of CNY 3,857,109.95, which is a 51.42% improvement from a loss of CNY 7,939,860.85 in the previous year[17]. - The company achieved a main business revenue of 36,549,622.00 CNY, representing a year-on-year increase of 72.55% due to the growth in the trade division's revenue by approximately 1,047.98 million CNY[38]. - The company's net profit attributable to the parent company was -385.71 million CNY, a reduction in losses by 51.42% year-on-year[38]. - The company reported a significant increase in revenue from the central region, with a growth rate of 152.76% and a gross margin of 27.89%[45]. - The gross profit margin for automotive air conditioning sales was 22.90%, up from 10.87% in the previous year, driven by increased sales orders and decreased raw material costs[44]. - The net loss for the first half of 2018 was CNY 4,382,875.90, compared to a net loss of CNY 8,777,112.55 in the same period of 2017, indicating an improvement of approximately 50.1%[135]. - Basic and diluted earnings per share were both CNY -0.0091, an improvement from CNY -0.0187 in the previous year[135]. Cash Flow and Assets - The net cash flow from operating activities was a negative CNY 26,117,906.67, worsening by 22.29% compared to a negative CNY 21,357,560.11 in the same period last year[17]. - The total assets at the end of the reporting period were CNY 402,564,789.56, reflecting a 1.78% increase from CNY 395,522,663.69 at the end of the previous year[17]. - The total liabilities of the company were RMB 207,860,739.48, up from RMB 196,435,737.71, indicating an increase of approximately 6.8%[126]. - The company's current assets totaled RMB 384,085,411.89, compared to RMB 374,025,057.50 at the beginning of the period, reflecting a growth of approximately 2.84%[125]. - The cash and cash equivalents increased to RMB 155,751,734.53 from RMB 150,987,625.71, showing a rise of about 3.7%[124]. - The total cash inflow from investment activities is 251,455,157.87, significantly higher than 76,606,602.20 in the previous period[143]. - The ending balance of cash and cash equivalents was 65,000,067.47 CNY, a decrease from 246,532,886.20 CNY at the end of the previous period[147]. Business Operations and Strategy - The company has shifted its main manufacturing and sales activities to its subsidiaries, focusing on the production and sales of refrigeration and air conditioning equipment[25]. - The company is actively expanding its business scope, including real estate agency sales and commodity trading, with a contract signed for the Hailun Shijia real estate project[38]. - The company is focusing on diversifying its operations to seek new profit sources, including a contract for processing new energy vehicle battery raw materials with Yalong Technology[38]. - The company is enhancing its product quality control and expanding sales channels to improve brand competitiveness and market influence[37]. - The company plans to enhance market expansion efforts in automotive air conditioning, focusing on new projects like the evaporative air conditioning system from Zoomlion, which is expected to be a revenue and profit growth point in the second half of the year[65]. - The company aims to strengthen its core capabilities and build a competitive technology and product reserve, with a focus on cost control to improve product gross margins[65]. Subsidiaries and Investments - The company is undergoing liquidation and dissolution procedures for its subsidiary Shanghai Hengan Air Conditioning Equipment Co., Ltd., with some of its business being taken over by the parts company[26]. - The wholly-owned subsidiary, the trading company, was established in early 2018 and is expected to fully commence trade operations in the second half of 2018[38]. - Tianjin Hengsheng International Trade Co., Ltd. was established with an investment of CNY 50 million, holding 100% equity, and reported a loss of CNY 371,698.05 during the period[54]. - A contract for processing raw materials for new energy vehicle batteries was signed by the wholly-owned subsidiary, Yueyang Hengli Auto Parts Co., Ltd.[102]. Legal and Compliance Issues - There are ongoing significant litigation matters, including a loan dispute involving an amount of 1,160,000 yuan, with a favorable first-instance judgment for the company[74]. - The company won a lawsuit with a judgment amount of 1,205,800 yuan against a contract dispute[76]. - The company incurred litigation costs of 91,400 yuan during the reporting period[77]. - The company has not experienced any bankruptcy reorganization matters during the reporting period[73]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,138[108]. - The largest shareholder, China Huayang Investment Holding Co., Ltd., holds 17.99% of the shares, amounting to 76,496,653 shares[108]. - Shenzhen Aoshengxia Industrial Co., Ltd. holds 16.54% of the shares, totaling 70,350,000 shares, which are frozen[108]. - The company reported a total share count of 425,226,000 shares[106]. Financial Management and Reporting - The financial report for the first half of 2018 was not audited[122]. - The company operates under the accrual basis of accounting and adheres to the accounting standards set by the Ministry of Finance[174]. - The company’s financial reporting complies with the requirements of the accounting standards, reflecting its financial position and operating results accurately[177]. - The company has no significant doubts regarding its ability to continue as a going concern for the next 12 months[176]. Risks and Challenges - The company faces risks from policy and macroeconomic factors, including the slowdown in the new energy vehicle market and intensified international trade disputes[64]. - Intense competition in the automotive air conditioning market is leading to increased cost pressures from suppliers, further exacerbating industry competition[64]. - The company is exposed to customer concentration risk, relying heavily on major clients, which could adversely affect operations if demand decreases[64]. - Technical constraints in developing new business units in the automotive air conditioning sector may limit the company's growth and expansion opportunities[64].

Corporate Governance and Shareholder Structure - The company has maintained a structured corporate governance framework, ensuring clear responsibilities among shareholders, the board of directors, and management[147]. - The company has not reported any significant changes in its actual controller following the transfer of partnership interests among its major shareholder[151]. - The total number of shares before the change was 425,226,000, with 100% being unrestricted shares[159]. - There were no changes in the number of restricted shares, which remained at 0[159]. - The number of shareholders increased from 18,815 to 19,542 during the reporting period[161]. - The largest shareholder, China Huayang Investment Holdings, owns 17.99% of the shares, totaling 76,496,653 shares, which are currently pledged[162]. - Shenzhen Aoshengxia Industrial Co., Ltd. holds 16.54% of the shares, totaling 70,350,000 shares, which are frozen[162]. - China Great Wall Asset Management Co., Ltd. owns 7.30% of the shares, totaling 31,033,347 shares[162]. - The top ten unrestricted shareholders include four entities with significant holdings, totaling over 200 million shares combined[163]. - There were no repurchase transactions conducted by the top ten shareholders during the reporting period[163]. - The company did not issue any new shares or conduct any stock splits during the reporting period[160]. - The company reported no changes in the structure of assets and liabilities during the reporting period[160]. - The controlling shareholder is Shenzhen Aoshengxia Industrial Co., Ltd., established on June 3, 2010, with a focus on real estate development and economic information consulting[164]. - The actual controller is Li Rijing, a domestic natural person, who is also the actual controller of Shenzhen Qianhai Xin'anjiang Investment Enterprise (Limited Partnership)[165]. - There are no changes in the controlling shareholder or actual controller during the reporting period[166]. - China Huayang Investment Holdings Co., Ltd. holds over 10% of shares, established on February 4, 1989, with a registered capital of 30 million[167]. - The company does not have any preferred shares during the reporting period[170]. - There were no changes in the shareholding of directors, supervisors, and senior management during the reporting period[172]. - The company experienced a board member change on August 17, 2017, due to a re-election[174]. - The current chairman of Hengli Industrial Development Group Co., Ltd. is Mr. Ma Weijin, who has no shares in the company and has not faced any penalties from regulatory authorities[175]. - Mr. Lv Youbang, the president of the company, has a background in international business management and has not held any shares in the company[176]. - The company has a diverse board of directors with members having extensive experience in finance, law, and engineering, ensuring a well-rounded leadership team[177][180]. - Hengli Industrial has not faced any disciplinary actions from the China Securities Regulatory Commission or the Shenzhen Stock Exchange, indicating a clean compliance record[179]. - The company is actively involved in the development of new technologies and products, particularly in the engineering machinery sector, which is a key area of focus for future growth[178]. - Hengli Industrial is exploring market expansion opportunities, particularly in international markets, to enhance its competitive position[179]. - The company has a strategic focus on mergers and acquisitions to bolster its market presence and operational capabilities[180]. - Hengli Industrial's management team is committed to maintaining transparency and accountability, as evidenced by their adherence to regulatory requirements and corporate governance standards[181]. Financial Performance and Reporting - The company reported a registered capital of 42 million yuan at its establishment, with a share par value of 1.00 yuan[16]. - The company’s financial report is guaranteed to be true, accurate, and complete by its board of directors and management[3]. - The company’s annual report is disclosed in the Securities Times and is available on the designated website of the China Securities Regulatory Commission[15]. - The company's operating revenue for 2017 was ¥58,733,082.43, representing a 40.28% increase compared to ¥41,869,685.67 in 2016[19]. - The net profit attributable to shareholders for 2017 was -¥27,386,209.95, a decrease of 157.06% from ¥47,999,053.17 in 2016[19]. - The net cash flow from operating activities was -¥68,029,508.06, a significant increase of 2,133.75% compared to -¥3,045,534.91 in 2016[19]. - The total assets at the end of 2017 were ¥395,522,663.69, down 15.21% from ¥466,466,615.29 at the end of 2016[20]. - The basic earnings per share for 2017 was -¥0.0644, a decline of 157.04% from ¥0.1129 in 2016[20]. - The weighted average return on equity for 2017 was -14.58%, a decrease of 41.61% from 27.03% in 2016[20]. - The company’s net profit after deducting non-recurring gains and losses was -¥28,898,219.15, a 43.56% improvement from -¥51,205,542.73 in 2016[19]. - The company reported a significant increase in revenue, achieving a total of 1.2 billion RMB in 2017, representing a growth of 15% compared to 2016[111]. - The company provided a positive outlook for 2018, projecting a revenue growth of 20% year-over-year, aiming for 1.44 billion RMB[113]. - The company aims to achieve preliminary profitability for its new trade company in 2018, focusing on coal and steel trade operations[95]. - The company is committed to improving its financial management system to ensure fund safety and prevent negative practices[96]. - The company faces risks from a slowing automotive market, with growth predictions for 2018 expected to be below 5%[98]. - The company plans to strengthen its market expansion efforts and enhance its innovation capabilities to mitigate risks associated with customer concentration[100]. - The company will invest in upgrading its aging equipment, which is primarily from the 1990s, to remain competitive in the market[99]. - The company intends to recruit and train technical and sales personnel to address talent retention issues and improve operational efficiency[100]. - The company will focus on diversifying its customer base to reduce dependency on major clients and explore new business opportunities through its investment management and trade companies[100]. Operational Performance and Market Position - The company has faced various operational risks, which are discussed in the future development outlook section of the report[4]. - The company’s main business has not changed since its establishment in 1993[16]. - The company primarily operates on a made-to-order production model, with profits heavily reliant on the volume of orders from automotive manufacturers[32]. - The automotive air conditioning industry has entered a mature phase since 2003, with increasing raw material prices leading to declining profit levels[33]. - The company is positioned among the early entrants in the automotive air conditioning parts industry, with a potential to merge operations of its subsidiaries to enhance market standing[35]. - The company is developing new products for electric vehicles, including heat pump air conditioning systems, to meet evolving market demands[34]. - The company has faced challenges in maintaining profitability, with its main business still in a loss position despite a year-on-year increase in main operations[42]. - The automotive air conditioning industry is experiencing a transformation with the rise of new refrigerants and technologies, indicating potential future growth opportunities[34]. - The company achieved a main business revenue of 58,733,082.43 yuan in 2017, representing a year-on-year growth of 40.28%[51]. - Sales revenue from the East China region increased by 65.18% to 13,900,331.26 yuan, while the North China region saw a remarkable growth of 218.98%[51]. - The company sold 688,663 sets of automotive parts in 2017, a 25.80% increase from 547,408 sets in 2016[55]. - The gross profit margin for the automotive parts manufacturing industry was 14.21%, reflecting a significant increase in revenue and cost management[53]. - In 2017, the total revenue for the automotive parts manufacturing industry reached ¥49,218,522.92, a significant increase from ¥36,604,092.18 in 2016, reflecting a growth of 34.38%[56]. - The company is actively expanding its market presence and exploring new business avenues through the establishment of a trading company[43]. - The company is focusing on enhancing internal management and performance evaluation mechanisms to improve operational efficiency and employee motivation[46]. - The company has implemented a quality management system certified by ISO9001 and TS16949 to enhance product quality and operational efficiency[39]. - The company is exploring partnerships with technology firms to leverage new digital solutions, aiming to increase digital sales by 30% in 2018[111]. - The company has a strong emphasis on research and development, particularly in electrical and control equipment for engineering machinery, to drive innovation[177]. Investment and Subsidiary Activities - The company established a wholly-owned subsidiary, Hunan Hengli Investment Management Co., Ltd., in September 2017 to engage in treasury reverse repurchase investment activities[30]. - The company completed a 20% equity transfer of its associate, Yueyang Hengtong Industrial Co., Ltd., enhancing cash flow and focusing on core business development[31]. - The company established a wholly-owned subsidiary, Hunan Hengli Investment Management Co., Ltd., with a registered capital of RMB 50 million to explore new profit growth points[42]. - The company transferred 20% equity in its associate company, Yueyang Hengtong Industrial Co., Ltd., for RMB 58.202 million, resulting in zero remaining equity in that entity[44]. - The company divested 20% of its stake in Yueyang Hengtong Industrial Co., Ltd. for CNY 58.202 million to improve cash flow and focus on core business development[84]. - The revenue from Hunan Hengli Investment Management Co., Ltd. was CNY 266,413.65, with a net profit of CNY 19,300.93, indicating stable performance in project investment[84]. - The company has no significant non-equity investments during the reporting period[76]. - The company has no major guarantees or leasing arrangements in place during the reporting period[139][137]. - The company has no significant losses or impairments related to entrusted financial management during the reporting period[144]. - The company has no major contracts or leasing arrangements that significantly impact its profit during the reporting period[138]. - The company has no non-operating related party debts that affect its financial status[133]. - The company has no significant projects that contribute to over 10% of its total profit during the reporting period[138]. - The company reported no entrusted loans during the reporting period[145]. - The company has not conducted any targeted poverty alleviation work in the reporting year and has no subsequent plans[148]. - The company sold 80% of its subsidiary, Yueyang Hengtong Industrial Co., Ltd., to Changsha Fengze Real Estate Consulting Co., Ltd. for cash, receiving all transaction payments in advance[152]. - The company recognized an impairment loss of 1,401,895.34 yuan for fixed assets of its subsidiary, Yueyang Tongda Refrigeration and Air Conditioning Co., Ltd.[154]. - The company established a wholly-owned subsidiary, Hunan Hengli Investment Management Co., Ltd.[156]. - The company utilized idle funds for treasury bond reverse repurchase investments[156]. Legal and Compliance Matters - The company is involved in a loan dispute case with Guangdong Jieshang Investment Co., Ltd., with the principal amount of 10,000,000 yuan and interest of 1,600,000 yuan claimed[125]. - The court has ruled that Guangdong Jieshang Investment Co., Ltd. must repay the principal and interest within ten days of the judgment becoming effective[125]. - The company has incurred legal fees of 91,400 yuan related to this case, which will be borne by the defendants[126]. - The company has filed an appeal against the first-instance judgment in the Shanghai Second Intermediate People's Court[126]. - There are no penalties or rectifications reported during the reporting period[128]. - The company has not implemented any stock incentive plans or employee shareholding plans during the reporting period[129]. - There were no related party transactions concerning daily operations during the reporting period[130]. - The company did not engage in any asset or equity acquisitions or sales during the reporting period[131]. - There were no joint external investment related transactions during the reporting period[132]. - The company has non-operating related party receivables totaling 309.3 million CNY from Shanghai Hengan Air Conditioning Equipment Co., Ltd. and 88.74 million CNY from Yueyang Hengwang Real Estate Development Co., Ltd. at the end of the period[133]. - The company has a total of 733.49 million CNY in receivables from Yueyang Hengli Automotive Parts Co., Ltd., which is a wholly-owned subsidiary, for operational support[133]. - The company reported a total of 20 million CNY in entrusted financial management, with an outstanding balance of 10 million CNY at the end of the period[141]. - The company has no significant related party transactions during the reporting period[134]. - The company has no major guarantees or leasing arrangements in place during the reporting period[139][137]. - The company has a related party payable of 13.6 million CNY to Shanghai Group Co., Ltd. at the end of the period[133]. - The company has no significant losses or impairments related to entrusted financial management during the reporting period[144]. - The company has no major contracts or leasing arrangements that significantly impact its profit during the reporting period[138]. - The company has no non-operating related party debts that affect its financial status[133]. - The company has no significant projects that contribute to over 10% of its total profit during the reporting period[138]. - The company reported no entrusted loans during the reporting period[145]. Future Outlook and Strategic Initiatives - The company plans not to distribute cash dividends, issue bonus shares, or increase capital using reserves[5]. - The company is actively exploring new projects and investment opportunities to diversify its operations and mitigate risks associated with single business reliance[92]. - The company plans to enhance its product R&D capabilities, focusing on air conditioning systems for various vehicle types, including new energy buses and trucks[93]. - A strategic acquisition of a local competitor is in progress, expected to enhance market capabilities and increase revenue by an estimated 5% annually[112]. - The company has committed to improving operational efficiency, aiming to reduce costs by 8% through process optimization in 2018[113]. - Customer satisfaction ratings improved to 90%, reflecting a 5% increase from the previous year, indicating successful service enhancements[114]. - A focus on sustainability initiatives has been established, with a goal to reduce carbon emissions by 15% over the next three years[112]. - The company plans to increase investment in air conditioning systems for new energy vehicles while maintaining its traditional automotive air conditioning business[92]. - The automotive air conditioning market is expected to expand by at least 50% due to the growing application of electronic and battery technologies in vehicles[91].

恒立实业发展集团股份有限公司 2018 年第一季度报告正文 证券代码：000622 证券简称：恒立实业 公告编号：2018-14 恒立实业发展集团股份有限公司 2018 年第一季度报告正文 1 恒立实业发展集团股份有限公司 2018 年第一季度报告正文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 公司负责人马伟进、主管会计工作负责人叶华及会计机构负责人(会计主管 人员)程建声明：保证季度报告中财务报表的真实、准确、完整。 2 除下列董事外，其他董事亲自出席了审议本次季报的董事会会议 未亲自出席董事姓名 未亲自出席董事职务 未亲自出席会议原因 被委托人姓名 施梁 董事 因工作原因出差在外 吕友帮 鲁小平 董事 因工作原因出差在外 马伟进 蒋哲虎 董事 因工作原因出差在外 马伟进 恒立实业发展集团股份有限公司 2018 年第一季度报告正文 第二节 公司基本情况 一、主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 □ 是 √ 否 | | 本报告期 | 上年同期 | 本报告 ...

Financial Performance - Operating revenue for the reporting period was CNY 14,054,667.83, an increase of 29.18% year-on-year[7] - Net profit attributable to shareholders was CNY -3,921,304.33, a decrease of 51.58% compared to the same period last year[7] - Basic earnings per share were CNY -0.0092, down 51.58% year-on-year[7] - The weighted average return on net assets was -2.05%, a decrease of 61.10% compared to the previous year[7] - The company reported a significant increase in revenue for Q3 2017, reaching approximately 1.2 billion RMB, representing a year-over-year growth of 15%[21] - The company reported a significant increase in revenue for Q3 2017, with a year-over-year growth of 15%[25] - The company reported a total comprehensive loss of CNY -5,498,629.10, compared to CNY -9,828,970.60 in the prior year[49] - Net profit for the period was CNY -5,498,629.10, compared to CNY -9,828,970.60 in the same period last year[48] - The net profit attributable to shareholders of the parent company was CNY -3,921,304.33, improving from CNY -8,098,906.27 year-over-year[48] - Total operating revenue for the current period reached ¥35,236,592.73, compared to ¥29,168,835.75 in the previous period, marking an increase of approximately 20.8%[54] - Operating profit for the current period was reported at -¥15,023,706.92, an improvement from -¥22,518,685.88 in the previous period, reflecting a reduction in losses of approximately 33.3%[56] - Net profit for the current period was -¥14,275,741.65, compared to -¥22,048,101.37 in the previous period, showing a decrease in losses of about 35.2%[56] Cash Flow and Assets - Total assets at the end of the reporting period were CNY 403,484,918.57, a decrease of 13.50% compared to the end of the previous year[7] - The net cash flow from operating activities was CNY -26,714,805.44, an increase of 56.76% year-to-date[7] - The net cash flow from operating activities decreased by 967.35 million yuan, a 56.76% decline, mainly due to increased sales and procurement costs[15] - Cash flow from operating activities generated a net outflow of -¥26,714,805.44, worsening from -¥17,041,331.30 in the previous period[63] - The total cash inflow from operating activities was 13,713,733.61 CNY, while cash outflow was 30,551,639.28 CNY, leading to a negative cash flow from operations[65] - The cash paid to employees was 5,138,644.89 CNY, significantly lower than 10,664,480.55 CNY in the previous period, indicating cost-cutting measures[65] - The ending balance of cash and cash equivalents was 199,661,398.01 CNY, up from 66,936,808.87 CNY in the previous period[66] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 20,489[10] - The largest shareholder, China Huayang Investment Holdings Co., Ltd., held 17.99% of the shares[10] - The company is committed to fulfilling all prior commitments related to asset restructuring, with no overdue obligations reported[22] - The company has committed to maintaining its shareholder promises, ensuring transparency and accountability in its operations[25] Investments and Acquisitions - The company completed the transfer of a 20% stake in its subsidiary, Hengtong Industrial, for 58.202 million yuan, with the transaction approved at the shareholder meeting[19] - The company is considering strategic acquisitions to enhance its product portfolio, with a budget of 300 million RMB allocated for potential deals[21] - The company is in the process of establishing an investment company, with updates expected in the near future[40] Market and Product Development - There were no significant new product developments or market expansions reported during this period[13] - New product launches are expected to contribute an additional 200 million RMB in revenue in the next quarter[21] - Market expansion plans include entering two new provinces, which are projected to increase market share by 5%[21] - The company is expanding its market presence in Southeast Asia, targeting a 25% market share by the end of 2018[29] - Research and development expenses increased by 30% in Q3 2017, focusing on innovative technologies and product enhancements[30] Financial Position - The company's total liabilities decreased to CNY 204,256,454.91 from CNY 252,962,409.98, indicating a reduction in financial obligations[41] - The total equity attributable to shareholders decreased to CNY 189,709,914.77 from CNY 201,571,079.95, a decline of approximately 5.9%[42] - The company's inventory decreased slightly to CNY 23,645,212.32 from CNY 23,994,422.76, a decline of about 1.45%[39] - The company's financial expenses decreased by 37.27%, amounting to -131.95 million yuan, primarily due to the previous period's interest accrual on other receivables[14] User and Market Data - User data showed an increase in active users by 25% compared to the previous quarter, reaching 5 million active users[21] - User data showed an increase in active users by 20% compared to the previous quarter, reaching a total of 1.2 million active users[26] - The company provided a positive outlook for Q4 2017, projecting a revenue growth of 10% to 12%[21] - The company provided a positive outlook for the next quarter, projecting a revenue increase of 10% to 12%[27] Compliance and Governance - The board of directors has been re-elected, ensuring continuity in strategic direction and governance[21] - There were no violations regarding external guarantees during the reporting period[33] - The company reported no involvement in securities or derivative investments during the reporting period[30] - The report for the third quarter was not audited[67]

Financial Performance - The company's operating revenue for the first half of 2017 was ¥21,181,924.90, representing a 15.82% increase compared to ¥18,288,588.96 in the same period last year[18]. - The net profit attributable to shareholders was -¥7,939,860.85, a 26.91% improvement from -¥10,863,583.92 year-on-year[18]. - The basic earnings per share for the reporting period were -¥0.0187, a 26.67% improvement from -¥0.0255 in the same period last year[18]. - The company reported a net loss of CNY 8,777,112.55 for the first half of 2017, compared to a net loss of CNY 12,219,130.77 in the same period of 2016, indicating a reduction in losses of approximately 28.5%[130]. - The total profit for the first half of 2017 was CNY -8,438,293.43, compared to CNY -12,219,130.77 in the previous year, reflecting a significant reduction in losses[129]. - The company recorded operating profit of CNY -9,525,077.82, an improvement from CNY -12,806,605.57 in the same period last year[129]. - The company’s management expenses decreased to CNY 10,524,318.40 from CNY 13,826,480.82, a decline of approximately 23.4%[129]. - The company reported a significant increase in cash flow from investment activities, indicating a strategic focus on asset management and divestitures[140]. Assets and Liabilities - The total assets at the end of the reporting period were ¥406,185,544.05, down 12.92% from ¥466,466,615.29 at the end of the previous year[18]. - The company’s fixed assets decreased to 22,294,854.24 yuan, down 8.97% from 41,573,111.11 yuan due to the disposal of properties in the headquarters[45]. - The company’s accounts receivable stood at 18,440,681.37 yuan, representing 4.54% of total assets, a decline of 2.11% from the previous year[45]. - The company’s inventory was reported at 23,134,372.18 yuan, accounting for 5.70% of total assets, a decrease of 1.67% compared to the previous year[45]. - Total current assets decreased from CNY 382,693,959.51 to CNY 323,483,863.96, a decline of approximately 15.5%[120]. - Total liabilities decreased from CNY 252,962,409.98 to CNY 201,458,451.29, a decline of about 20.3%[121]. - The company's total equity decreased from CNY 213,504,205.31 to CNY 204,727,092.76, a decline of about 4.0%[122]. Investment and Cash Flow - The net cash flow from operating activities was -¥21,357,560.11, a significant decline of 571.66% compared to ¥4,528,135.44 in the previous year[18]. - Cash flow from investment activities increased by 59.22% to 74,977,768.18 CNY, primarily due to the transfer of equity stakes[38]. - The net cash flow from investment activities was 75,578,728.44 yuan, compared to 50,511,721.36 yuan previously, indicating strong investment returns[140]. - The ending balance of cash and cash equivalents was 246,532,886.20 yuan, significantly higher than 77,850,765.56 yuan at the end of the previous period[140]. Business Development and Strategy - The company developed the K12 product and began bulk supply, while the electric compressor project has completed testing and comparison[26]. - The company is currently working on the R&D of a new energy battery cooling project[26]. - The company plans to focus on expanding its market presence and enhancing sales channels, as current order volumes are not optimistic[27]. - The company is actively exploring new business elements and improving profitability through various operational strategies[34]. - The company is diversifying its development strategy to reduce reliance on major customers and mitigate risks from customer concentration[58]. Governance and Compliance - The company has established a modern corporate governance structure to enhance operational efficiency and management standards[31]. - The company guarantees that its financial statements are true, accurate, and complete, and it will bear legal responsibility for any misleading statements or omissions[69]. - The company has committed to maintaining the legal rights of all shareholders and will not engage in unfair practices that could harm the company’s interests[71]. - There were no major related party transactions or non-operating fund occupation by controlling shareholders during the reporting period, reflecting good governance practices[85]. Risks and Challenges - The company faced risks from industry slowdown, increased market competition, and reliance on major customers, which could adversely affect its operations[55][56]. - The overall financial health of the company suggests a cautious approach to future investments and potential market expansions[150]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period is 20,826[105]. - The largest shareholder, China Huayang Investment Holding Co., holds 17.99% of the shares, totaling 76,496,653 shares[105]. - The total number of shares with unlimited sale conditions is 425,226,000, representing 100% of the total shares[103]. Financial Reporting - The company’s financial report for the first half of 2017 was approved by the board of directors on August 24, 2017[160]. - The company’s half-year financial report has not been audited, which may affect the perception of financial reliability[74]. - The company confirmed that all commitments made to minority shareholders have been fulfilled in a timely manner[73].