Financial Performance - The company's operating revenue for Q3 2021 was CNY 266,615.93, a decrease of 11.87% compared to the same period last year[2]. - The net profit attributable to shareholders for Q3 2021 was CNY 15,575,754.29, an increase of 129.60% year-on-year[2]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was CNY -804,632.04, a decrease of 97.80% compared to the same period last year[2]. - The basic earnings per share for Q3 2021 was CNY 0.02, an increase of 125.00% year-on-year[2]. - Operating revenue for the first nine months of 2021 was CNY 1,544.23 million, a decrease of 56.33% compared to CNY 3,535.96 million in the same period of 2020[8]. - Net profit for the third quarter of 2021 reached CNY 1,986.79 million, a significant increase of 1195.16% from a net loss of CNY 181.42 million in the same quarter of 2020[9]. - The total comprehensive income for the period amounted to ¥1,986,792,231.34, a decrease of ¥181,416,063.12 compared to the previous period[28]. Assets and Liabilities - The total assets at the end of Q3 2021 were CNY 217,462,297.04, an increase of 1,520.33% compared to the end of the previous year[2]. - The equity attributable to shareholders at the end of Q3 2021 was CNY 63,511,675.84, an increase of 102.67% compared to the end of the previous year[2]. - Total assets increased significantly to CNY 217,462,297.04 from CNY 13,420,893.22 year-over-year[22]. - Total liabilities decreased to CNY 114,856,417.29 from CNY 2,393,555,551.85[23]. - The company reported a significant increase in other receivables, rising to CNY 21,010,733.30 from CNY 1,661,524.91[22]. Cash Flow - The net cash flow from operating activities for the year-to-date was CNY -131,318,050.75, a decrease of 2,021.22%[2]. - Cash inflow from operating activities was ¥86,806,636.84, compared to ¥4,416,740.89 in the previous period, indicating a significant increase[31]. - Cash inflow from investing activities totaled ¥31,175,468.07, while cash outflow was ¥5,593,990.00, resulting in a net cash flow of ¥25,581,478.07[31]. - Cash inflow from financing activities was ¥214,022,697.46, with a net cash flow of ¥145,290,927.80 after outflows[32]. - The ending balance of cash and cash equivalents was ¥40,562,593.67, compared to ¥298,532.64 at the end of the previous period[32]. Government Support and Non-Recurring Gains - The company received government subsidies amounting to CNY 50,000,000.00 during the reporting period[4]. - The company reported a total of CNY 16,380,386.33 in non-recurring gains for the year-to-date, primarily from debt restructuring gains[4]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 31,198, with the largest shareholder holding 37.44% of the shares[11]. - The minority shareholders' equity increased due to the dilution of control over subsidiaries, calculated at 49%[9]. - Shenwu Group holds 37.44% of the company's shares, all of which are pledged and subject to judicial freezing, raising concerns about the stability of the company's control[19]. Risks and Investigations - The company continues to face delisting risk due to a negative net profit and revenue below ¥100 million for the fiscal year 2020, which has led to ongoing delisting risk warnings from the Shenzhen Stock Exchange[13]. - The company has not met the performance compensation commitments of ¥1,200 million made by its controlling shareholder, Shenwu Group, for the years 2016 to 2018, which may impact its financial stability[17]. - The company has received a notice of investigation from the China Securities Regulatory Commission for suspected violations of information disclosure laws, which may affect its reputation and operations[18]. Operational Changes - The company reported a 100% reduction in non-current liabilities due to the settlement of bank debts as part of the bankruptcy reorganization plan[8]. - The capital reserve increased by 5206.29% to CNY 475.01 million, attributed to the signing of a settlement agreement with creditors[8]. - Research and development expenses decreased by 86.58% to CNY 910.11 million, as the metallurgical business did not incur R&D investments during the period[8]. - The company recorded a 13446.14% increase in asset disposal gains, amounting to CNY 26.34 million from the auction of office properties and intangible assets[9]. - The company recorded an operating profit of CNY 1,559,713,045.43, a turnaround from an operating loss of CNY 123,959,731.00[27]. - The total cost of operations decreased to CNY 11,694,225.25 from CNY 134,129,144.91 year-over-year[26]. Audit and Compliance - The third-quarter report was not audited, indicating that the figures may be subject to change[34]. - The company did not require adjustments to the beginning balance sheet items due to the new leasing standards, as all leases are short-term[33].

Financial Performance - The company's operating revenue for the first half of 2021 was ¥1,277,610.61, a decrease of 60.49% compared to ¥3,233,442.48 in the same period last year[22]. - The net profit attributable to shareholders for the first half of 2021 was ¥1,962,007,535.02, representing an increase of 1,623.38% from a net loss of ¥128,792,857.41 in the previous year[22]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥18,306,156.42, an improvement of 79.00% from -¥87,174,253.59 in the same period last year[22]. - The net cash flow from operating activities was -¥76,080,268.30, a significant decline of 1,627.68% compared to -¥4,403,611.20 in the previous year[22]. - Basic and diluted earnings per share for the first half of 2021 were both ¥3.08, a remarkable increase of 1,640.00% from -¥0.20 in the same period last year[22]. - The weighted average return on net assets was 140.23%, an increase of 146.42% from -6.19% in the previous year[22]. - The total operating revenue for the reporting period was CNY 1,277,610.61, a decrease of 60.49% compared to CNY 3,233,442.48 in the same period last year, primarily due to the bankruptcy reorganization of its subsidiary Jiangsu Institute[32]. - The operating costs significantly decreased by 96.70%, from CNY 18,425,028.20 to CNY 607,345.14, attributed to the same bankruptcy reorganization[32]. - The company reported a significant increase in cash flow from financing activities, amounting to CNY 131,290,927.80, which is a 2,792.61% increase from CNY 4,538,842.92 in the previous period[36]. - The company experienced a net cash increase of CNY 82,646,234.28, representing a 55,793.77% increase from CNY 147,863.06 in the previous period[36]. Assets and Liabilities - Total assets at the end of the reporting period were ¥313,358,578.82, a substantial increase of 2,234.86% from ¥13,420,893.22 at the end of the previous year[22]. - The net assets attributable to shareholders at the end of the reporting period were -¥29,800,603.75, an improvement of 98.75% from -¥2,380,134,658.63 at the end of the previous year[22]. - The total liabilities decreased significantly, with short-term borrowings dropping by 3,829.37% as a result of debt repayment under the bankruptcy restructuring plan[41]. - The total assets of the company as of June 30, 2021, were ¥1,106,958.95, which includes fixed assets valued at ¥240,333.38[44]. - The company reported a total of 22,000 in liabilities, reflecting a decrease of 9.24% compared to the previous period[81]. - The total liabilities as of June 30, 2021, were CNY 302,792,773.84, a decrease from CNY 1,994,793,919.83 at the end of 2020[154]. Bankruptcy and Restructuring - The company faces significant uncertainties regarding its ability to continue as a going concern, as highlighted in the audit report[7]. - The company completed the bankruptcy reorganization of Jiangsu Institute, with all creditors receiving their respective cash compensation as per the reorganization plan[29]. - The restructuring plan for Jiangsu Institute was approved by the creditors' meeting on March 25, 2021, and the court's ruling was made on April 23, 2021[77]. - The company’s subsidiary, Jiangsu Institute, has completed its bankruptcy reorganization plan, with assets valued at no less than 150 million injected to support future operations[83]. - The restructuring plan execution was completed on June 22, 2021, with the court terminating the restructuring process thereafter[194]. Shareholder and Governance Issues - The company continues to face delisting risk due to negative net profit and revenue below ¥100 million for the fiscal year 2020[53]. - The controlling shareholder has not fulfilled performance compensation commitments, with a cumulative net profit of 120 million CNY not met from 2016 to 2018[55]. - The controlling shareholder holds 238.6 million shares, accounting for 37.44% of total shares, all of which are pledged and frozen, posing risks to control stability[56]. - The company is under investigation for suspected violations of information disclosure regulations since November 2020[56]. - The company has signed a debt transfer and compensation agreement with Shenwu Environmental Protection and Hengjian Tong to mitigate potential losses[72]. Cash Flow and Financial Management - The company reported a significant reduction in research and development expenses, which fell by 94.44% to CNY 254,061.26 due to the suspension of projects[36]. - The company has taken measures to improve its financial situation by implementing cost-saving strategies and restoring operations[84]. - The company reported a total guarantee amount of 7,000 thousand, with an actual guarantee amount of -234.89% of the company's net assets[108]. - The company has a cash compensation obligation of 3,246,023,191.98 yuan due to the performance compensation agreement with its controlling shareholder[111]. - The company has signed a debt reduction agreement with China Merchants Bank, which has been approved by the board and shareholders[113]. Future Outlook and Strategic Initiatives - The company plans to enhance its market expansion strategies and invest in new technologies to improve operational efficiency[181]. - The company aims to increase its capital reserves through retained earnings and other equity instruments[181]. - The company is exploring potential mergers and acquisitions to strengthen its market position and expand its product offerings[181]. - The company aims to achieve its strategic goal of asset securitization, which was initially set for April 2018, but has faced challenges in execution[74]. - Future outlook remains cautious with a focus on improving cash management and operational performance in the upcoming quarters[173].

Financial Performance - The net profit attributable to shareholders of the listed company for 2020 was negative, and the operating revenue was below 1 billion RMB[6]. - The company's operating revenue for 2020 was CNY 1,662,522.48, a decrease of 89.75% compared to CNY 16,227,342.49 in 2019[20]. - The net profit attributable to shareholders was -CNY 362,986,552.3, an improvement of 82.29% from -CNY 2,042,566,079 in the previous year[20]. - The basic earnings per share were -CNY 0.57, showing an 82.30% improvement from -CNY 3.21 in 2019[20]. - The company reported a significant reduction in net assets attributable to shareholders, which fell to -CNY 2,380,134,658 from -CNY 1,964,730,819, a decline of 18.00%[20]. - The company has faced continuous net losses for three consecutive years (2018, 2019, and 2020), raising concerns about its ability to continue as a going concern[6]. - The company is under additional risk warnings due to three consecutive years of negative net profit before non-recurring gains and losses[74]. - The company reported a significant reduction in sales expenses, which fell by 79.67% to ¥1,656,417.81 due to project stagnation and decreased business volume[47]. Bankruptcy and Restructuring - The company’s main subsidiary, Jiangsu Metallurgical Design Institute, was under bankruptcy reorganization throughout 2020, leading to a lack of normal business operations[6]. - The company is currently focusing on the bankruptcy reorganization of its wholly-owned subsidiary, Jiangsu Metallurgical Design Institute Co., Ltd., due to cash flow constraints[31]. - Jiangsu Institute applied for bankruptcy reorganization on December 31, 2020, and the plan was approved by the Nanjing Intermediate People's Court[150]. - The restructuring plan includes a debt repayment scheme where Jiangsu Institute's claims against the controlling shareholder are used to offset its debts to creditors[118]. - The restructuring investor has committed to inject assets valued at no less than 150 million yuan into Jiangsu Institute to support its future operations[105]. - The company has initiated a restructuring process, aiming to enhance governance by introducing competitive executives and improving internal control systems[73]. Risk Factors and Compliance - The company received an audit report indicating "inability to express an opinion" regarding internal controls due to insufficient testing samples[6]. - The company has detailed potential risk factors in its annual report, particularly in the section discussing future development outlook[6]. - The company is subject to additional risk warnings due to its financial performance and ongoing bankruptcy proceedings of its subsidiary[6]. - The company has faced multiple administrative penalties and has been required to implement corrective actions to comply with regulatory standards[116]. - The company has received public reprimands from regulatory bodies for various compliance issues, including financial mismanagement and performance compensation failures[116]. Cash Flow and Financial Management - The net cash flow from operating activities improved by 107.10%, reaching CNY 3,519,301.74 compared to -CNY 49,535,861.83 in 2019[20]. - The total amount of cash and cash equivalents increased by 112.09% to ¥785,970.87, compared to a decrease of ¥6,501,868.55 in 2019[48]. - The net cash flow from financing activities decreased primarily due to the bankruptcy proceedings of the wholly-owned subsidiary Jiangsu Institute, resulting in no cash inflow from financing activities[51]. - The company has a plan to repay debts through a dedicated payment guarantee account, with a focus on financial stability[98]. - The company has established a financial risk mitigation plan to manage external guarantee risks[120]. Shareholder and Governance Structure - The company has a lock-up period of 36 months for shares acquired through the asset purchase, with automatic extensions if stock prices fall below the issue price[84]. - The company has established a commitment to fair pricing in related transactions, adhering to market principles and legal regulations[97]. - The company has completed adjustments to its board of directors and is actively improving internal controls to address historical issues[194]. - The company has a significant portion of shares pledged or frozen, including 296,410,000 shares held by Shenwu Technology Group[161]. - The company has not engaged in any significant equity or non-equity investments during the reporting period[58][59]. Future Outlook and Strategic Initiatives - The company aims to enhance its operational capabilities in response to the stringent emission standards set for the steel industry, targeting a 60% completion rate for ultra-low emissions by the end of 2020[66]. - The company aims to leverage its technical advantages and project experience to accelerate the acquisition of new business orders in traditional metallurgical engineering design, targeting a recovery in credit status post-restructuring[68]. - The company plans to expand its market presence in Southeast Asia, targeting a 10% market share by 2025[182]. - New product development efforts are underway, with an investment of RMB 50 million allocated for R&D in green technologies[182]. - The company has outlined a strategy for future growth, including potential market expansion and new product development initiatives[98]. Employee and Operational Management - The total number of employees in the company is 42, with 2 in the parent company and 40 in major subsidiaries[186]. - The professional composition includes 10 production personnel, 4 sales personnel, 14 technical personnel, 4 financial personnel, and 10 administrative personnel[187]. - The company has implemented a competitive salary policy to attract and retain talent in the market[188]. - The company has not engaged in labor outsourcing during the reporting period[190]. Legal and Litigation Matters - The company is involved in significant litigation, with a total amount of 8,000,000 CNY related to a financial loan dispute, currently in the second instance appeal[114]. - The company faces a lawsuit from the Bank of China for 9,678,220 CNY regarding a guarantee contract dispute, which has been withdrawn in the second instance[114]. - The company has signed agreements to relieve its guarantee responsibilities related to violations, mitigating potential losses[146]. Audit and Financial Reporting - The company received an audit report with a "going concern" emphasis from Zhongshen Zhonghuan Accounting Firm for the 2020 financial report, indicating significant uncertainty regarding its ability to continue operations[105]. - The company adopted a new revenue recognition standard starting January 1, 2020, which changed the revenue recognition method for construction contracts from percentage-of-completion to recognizing revenue based on progress[108]. - The company corrected prior financial errors related to fund transfers to its controlling shareholder, resulting in retrospective adjustments to previous financial data[111].

Financial Performance - The company's operating revenue for the first quarter of 2021 was 0.00 yuan, unchanged from the same period last year[8]. - The net profit attributable to shareholders was -28,526,099.41 yuan, a 46.83% improvement compared to -53,646,534.45 yuan in the previous year[8]. - Basic and diluted earnings per share were both -0.04 yuan, a 50.00% improvement from -0.08 yuan in the previous year[8]. - The net profit for the first quarter of 2021 was -28,526,099.41 CNY, compared to -53,646,534.45 CNY in the same period last year, indicating an improvement of approximately 47% year-over-year[63]. - The total comprehensive income for the first quarter was -28,526,099.41 CNY, which is a 47% improvement from -53,646,534.45 CNY in the previous year[64]. - Operating profit for the first quarter was -13,282,299.41 CNY, an improvement from -38,300,091.60 CNY year-over-year[63]. - The company is focusing on improving its financial performance and reducing losses in future quarters[63]. Cash Flow - The net cash flow from operating activities improved by 82.21%, reaching -76,273.30 yuan compared to -428,791.21 yuan in the same period last year[8]. - Cash flow from operating activities for the first quarter was -76,273.30 CNY, an improvement from -428,791.21 CNY in the same period last year[71]. - The net cash flow from financing activities was 664,649.42 CNY, with cash inflows totaling 964,649.42 CNY and outflows of 300,000.00 CNY[72]. - The net cash flow from operating activities was -1,238.52 CNY, with cash inflows of 2,542.89 CNY and outflows of 3,781.41 CNY[73]. - The ending balance of cash and cash equivalents was 942,511.82 CNY, down from 1,013,218.12 CNY at the beginning of the period[72]. - The company reported a significant decrease in cash received from operating activities, dropping from 336,168.02 CNY in the previous period to 2,542.89 CNY[73]. - The cash and cash equivalents decreased by 70,706.30 CNY during the period[72]. - The company did not report any cash inflows from investment activities during the period[75]. Assets and Liabilities - Total assets decreased by 5.91% to 12,628,054.66 yuan from 13,420,893.22 yuan at the end of the previous year[8]. - The company's total equity attributable to shareholders decreased to CNY -2,408,660,758.04 from CNY -2,380,134,658.63, indicating a decline of about 1.19%[56]. - Total liabilities increased to CNY 2,421,288,812.70 from CNY 2,393,555,551.85, reflecting a growth of approximately 1.17%[55]. - Current liabilities totaled CNY 2,007,283,380.68, up from CNY 1,994,793,919.83, representing an increase of approximately 0.14%[55]. - The company has a total of 11,112,345.85 in current assets as of March 31, 2021, down from 11,805,670.84 on December 31, 2020[53]. - The company's cash and cash equivalents decreased to 1,820,227.04 from 1,856,215.97[53]. - The total non-current liabilities remained unchanged at CNY 414,005,432.02, compared to CNY 398,761,632.02 previously[59]. Expenses - The company reported total operating expenses of 15,243,800.00 CNY for the first quarter, consistent with the previous year's figure of 15,352,468.35 CNY[63]. - Financial expenses for the first quarter amounted to 10,889,283.89 CNY, compared to 9,306,641.44 CNY in the previous year, reflecting an increase of approximately 17%[66]. - The company incurred sales expenses of 49,500.00 CNY in the first quarter, with management expenses totaling 117,137.79 CNY[66]. Debt and Restructuring - The company reported non-operating expenses of -15,243,800.00 yuan due to violations and litigation losses[9]. - The company’s subsidiary entered bankruptcy reorganization, leading to a significant reduction in management and sales expenses by 70.61% and 63.42% respectively[15]. - The company has committed to fulfilling its obligations regarding asset restructuring and has no significant overdue debts[19]. - The company has signed a "Debt Transfer and Compensation Agreement" with Shenwu Environmental Protection and Hengjiantong to recover losses caused by the transfer of a guarantee fund of 157.70129 million yuan[37]. - The company is currently unable to fulfill its commitments regarding the injection of assets and management due to the loss of control over Shenyuan Environmental Protection, which was transferred to Beijing Xulangde Low Carbon Technology Co., Ltd. in April 2018[37]. - The company has reported that it is facing a liquidity crisis, with all of its shares being pledged and judicially frozen, making it temporarily unable to fulfill its compensation obligations[37]. - Jiangsu Institute is currently facing liquidity issues, and the company acknowledges the inability to fulfill compensation obligations temporarily[29]. - The company is actively communicating with creditors regarding debt repayment and performance compensation plans[29]. Compliance and Governance - The company has not faced any major administrative penalties or criminal sanctions in the last five years[19]. - The company is in normal compliance with its commitments related to the acquisition of Jin Cheng shares[22]. - The company is committed to adhering to relevant laws and regulations regarding share transfers and corporate governance[22]. - The company aims to ensure compliance with legal and regulatory requirements regarding related transactions[25]. - The company is focused on maintaining fair pricing in related transactions according to market standards[25]. Commitments and Agreements - The company has implemented a long-term commitment to avoid competition with Jiangsu Institute in the copper tailings comprehensive utilization project[22]. - Jiangsu Institute's commitment to prioritize the acquisition of all shares held by the promisor and related enterprises in Jin Chuan Shenwu after the completion of the "Jin Chuan Abandoned Slag Comprehensive Utilization Project"[23]. - The commitment to avoid and reduce related transactions with Jin Cheng Co., ensuring no illegal transfer of funds or interests from Jin Cheng Co. to Shenwu Technology Group[24]. - The related sales ratio for Jiangsu Institute is committed to not exceed 30% in 2016, 25% in 2017, and 20% in 2018[26]. - The promisor will not engage in any direct or indirect competition with the target company and its subsidiaries[27]. - The promisor will supervise and restrict its production activities to prevent competition with the target company[28]. - The commitment will be effective from the date of approval by the China Securities Regulatory Commission regarding the asset replacement and share issuance[28]. - The promisor will compensate Jiangsu Institute for any losses or expenses incurred due to violations of the commitment[28]. - The commitment will remain valid as long as the promisor holds shares in the listed company[28].

Financial Performance - In 2020, the net profit attributable to shareholders of the listed company was negative, and the operating revenue was below 1 billion RMB[6]. - The company's operating revenue for 2020 was CNY 1,662,522.48, a decrease of 89.75% compared to CNY 16,227,342.49 in 2019[20]. - The net profit attributable to shareholders was CNY -362,986,552.3, an improvement of 82.29% from CNY -2,042,566,079 in the previous year[20]. - The basic earnings per share for 2020 was CNY -0.57, showing an 82.30% increase from CNY -3.21 in 2019[20]. - The company reported a net loss of CNY -2,380,134,658 for the year, which is an 18.00% increase from CNY -1,964,730,819 in 2019[21]. - The company's total assets at the end of 2020 were CNY 13,420,893.22, reflecting a significant decrease of 79.73% from CNY 66,208,282.17 in 2019[20]. - The company has faced continuous net losses for three consecutive years (2018, 2019, and 2020), raising concerns about its ability to continue as a going concern[6]. - The company reported a significant reduction in sales expenses, which fell by 79.67% to ¥1,656,417.81 from ¥8,145,761.72 in 2019[47]. - The total cost of sales for 2020 was ¥8,362,558.35, with a slight increase of 0.00% compared to ¥8,104,804.41 in 2019[43]. Financial Risks and Warnings - As of the end of 2020, the company's net assets were negative, triggering delisting risk warnings from the Shenzhen Stock Exchange[6]. - The company is subject to additional risk warnings due to its financial situation and potential failure of its subsidiary's bankruptcy reorganization[6]. - The company’s stock will be subject to "other risk warnings" as per the stock listing rules due to its financial performance[6]. - The company emphasizes the importance of investor awareness regarding investment risks associated with its future business plans[5]. - The company is facing delisting risk due to negative net profit and revenue below 100 million RMB for the year 2020[74]. - The company is under additional risk warnings due to three consecutive years of negative net profit before non-recurring gains and losses[74]. - The company is at risk of bankruptcy if the restructuring plan fails, as it is the only operating entity[74]. Bankruptcy and Restructuring - The company is currently focusing on the bankruptcy reorganization of its wholly-owned subsidiary, Jiangsu Metallurgical Design Institute Co., Ltd., due to cash flow constraints[31]. - The company has initiated a restructuring process, with a focus on enhancing governance and operational capabilities[73]. - Jiangsu Institute's bankruptcy reorganization plan was approved by Nanjing Intermediate People's Court on April 20, 2021[110]. - Jiangsu Institute applied for bankruptcy reorganization due to severe insolvency, with a debt of CNY 1,421.33 million transferred to the controlling shareholder, Shenwu Group, for repayment[116]. - The debt transfer allows Jiangsu Institute to no longer bear repayment responsibility to creditors, effectively offsetting debts owed to Shenwu Group[117]. Governance and Management - The company has established measures to avoid competition, including potential asset transfers if necessary[90]. - The company has committed to maintaining a complete and independent corporate governance structure[96]. - The company is focusing on improving its corporate governance by increasing the number of independent directors, which may enhance transparency and accountability[169]. - The company has a diverse board with members holding advanced degrees in various fields, including finance, law, and engineering, which may contribute to informed decision-making[170][171][172][173][174][175]. - The company’s management team includes professionals with international education backgrounds, potentially bringing global perspectives to its operations[170][171][172][173][174][175]. Operational Performance and Strategy - The company aims to enhance its operational capabilities in response to the stringent emission standards set by the Ministry of Ecology and Environment, targeting a 60% completion rate for ultra-low emissions transformation in key areas by the end of 2020[66]. - The company aims to leverage its technical advantages and project experience to accelerate the acquisition of new business orders in traditional metallurgical engineering design, targeting a significant market opportunity due to industry upgrades and environmental pressures[67]. - The company is actively pursuing stable revenue through traditional projects and maintaining communication with local state-owned steel enterprises for technical exchanges[68]. - The company is committed to prioritizing the interests of Jiangsu Institute in case of any conflicts arising from industry competition[86]. Compliance and Legal Matters - The company is currently under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure laws[141]. - The company has received administrative penalties related to large prepayments with unclear purposes, requiring corrective measures[114]. - The controlling shareholder has committed to resolving fund occupation issues by repaying through cash or asset disposal by December 30, 2021[115]. Employee and Compensation - The total number of employees in the company is 42, with 2 in the parent company and 40 in major subsidiaries[181]. - The remuneration for directors, supervisors, and senior management was not fully paid during the reporting period due to operational issues[178]. - The company has implemented a salary policy that links income to performance and aims to enhance competitiveness in the talent market[183]. Shareholder and Equity Matters - The company has a total of 296,410,000 shares pledged by Shenwu Technology Group Co., Ltd.[156]. - The company has provided guarantees totaling 22,000 million to its controlling shareholder, Shenwu Group, which accounts for -9.24% of the latest audited net assets[135]. - The company has signed a settlement agreement with its controlling shareholder to resolve guarantee liabilities, which has been approved by the court[191].

Financial Performance - Operating revenue for the current period was ¥302,521.02, a significant decrease of 95.74% year-on-year[7] - Net profit attributable to shareholders was -¥52,623,205.71, showing an improvement of 8.75% compared to the same period last year[7] - The net profit excluding non-recurring gains and losses was -¥36,588,083.77, which is a 36.55% improvement year-on-year[7] - Cash flow from operating activities was -¥1,787,060.16, a decline of 108.48% compared to the previous year[7] - Basic earnings per share were -¥0.08, reflecting an 11.11% improvement from -¥0.09 in the same period last year[7] - The weighted average return on equity was -2.42%, a significant recovery of 73.91% compared to -76.33% in the previous year[7] - The company reported a significant increase in non-operating income, which rose by 356.45% to CNY 292,074.60, mainly due to the receipt of patent reward funds from the technology bureau[18] - The company reported a significant increase in revenue for Q3 2020, with total revenue reaching 1.5 billion RMB, representing a 25% year-over-year growth[28] - The net loss for the current period reached 76,972,737.58 yuan, compared to a net loss of 20,813,046.37 yuan in the same period last year, representing an increase in loss of approximately 269.5%[81] - The total comprehensive income for the current period is CNY -181,416,063.12, compared to CNY -144,191,291.43 in the previous period, indicating a significant increase in comprehensive losses[77] Assets and Liabilities - Total assets at the end of the reporting period reached ¥69,109,864.84, an increase of 4.38% compared to the previous year-end[7] - The company’s total liabilities increased, with interest payable rising by 68.56% to CNY 178,637,849.89, reflecting accrued overdue interest[18] - The total current assets as of September 30, 2020, are 49,232,279.25, an increase from 40,874,625.85 on December 31, 2019[58] - The total liabilities as of September 30, 2020, are 2,267,674,034.27, compared to 2,083,356,388.48 on December 31, 2019[60] - The company reported a significant negative retained earnings of -2,157,400,304.65 CNY, indicating ongoing financial challenges[93] - The total equity attributable to shareholders was -2,017,148,106.31 CNY, reflecting a challenging financial position[93] Shareholder Information - The company reported a total of 30,603 shareholders at the end of the reporting period[11] - The largest shareholder, Shenwu Technology Group Co., Ltd., holds 49.62% of the shares, totaling 316,210,000 shares, which are pledged and frozen[12] - The company has not conducted any repurchase transactions among its top shareholders during the reporting period[14] - The company’s controlling shareholder successfully auctioned 1,380,000 shares on April 26-27, 2020, with 19,800,000 shares remaining unsold in subsequent auctions[21] Compliance and Regulatory Issues - The company has been under investigation by the China Securities Regulatory Commission since July 12, 2019, regarding various compliance issues[24] - The company and its controlling shareholder have faced public reprimands and administrative penalties for regulatory violations[24] - The company has disclosed ongoing issues related to non-operating fund occupation by Shenuo Group and its affiliates[24] Strategic Initiatives - New product development initiatives are underway, with an investment of 200 million RMB allocated for R&D in innovative energy solutions[31] - The company is expanding its market presence, targeting a 10% increase in market share in the renewable energy sector by the end of 2021[32] - A strategic acquisition is planned, with the company aiming to acquire a competitor valued at approximately 500 million RMB to enhance its product offerings and market reach[30] - The company is implementing new strategies to optimize operational efficiency, aiming for a 15% reduction in operational costs by the end of Q4 2020[31] Liquidity and Financial Management - The company is currently facing liquidity issues, with all shares held by Shenzhou Group being pledged and subject to judicial freezing[36] - The company is actively seeking strategic investments to improve liquidity conditions[36] - The company has acknowledged the need for cash compensation due to the inability to fulfill share compensation commitments[44] - The company has engaged in discussions with creditors regarding debt repayment plans and is actively seeking strategic investors to improve its operational and financial situation[44] Operational Adjustments - The company has made adjustments to its accounting policies due to previous accounting errors, impacting the financial data for the current period[7] - The company has implemented new revenue and leasing standards starting from 2020, necessitating adjustments to the financial statements[89] - The company has committed to maintaining compliance with regulatory requirements, ensuring all transactions adhere to relevant laws and regulations[29] Related Party Transactions - The company is focused on reducing related party transactions to prevent any potential conflicts of interest, ensuring transparency and fairness in all dealings[32] - The company is taking measures to avoid conflicts of interest with related enterprises[35] - The company is monitoring and constraining the production and operational activities of its related enterprises[34]

Financial Performance - The company's operating revenue for the reporting period was ¥3,233,442.48, a decrease of 57.02% compared to the same period last year[17]. - The net profit attributable to shareholders was -¥128,792,857.41, representing an increase in loss of 48.85% year-on-year[17]. - The basic and diluted earnings per share were both -¥0.20, a decrease of 48.85% year-on-year[17]. - The company's net loss for the first half of 2020 was significant, with undistributed profits reaching -CNY 2,286,193,162.06, compared to -CNY 2,157,400,304.65 in the previous year[156]. - The total comprehensive income for the first half of 2020 was -128,792,857.41 CNY, a decrease from -86,523,974.07 CNY in the first half of 2019[164]. - The total operating profit for the first half of 2020 was -87,174,253.59 CNY, slightly worse than -85,242,786.16 CNY in the previous year[163]. - The company reported a significant increase in other payables, which rose to CNY 470,890,491.60 from CNY 403,240,108.53, an increase of about 16.7%[156]. - The company's total liabilities increased to CNY 2,214,818,564.45 from CNY 2,083,356,388.48, reflecting a growth of about 6.3%[156]. Cash Flow and Liquidity - The net cash flow from operating activities was -¥4,403,611.20, showing an improvement of 82.07% compared to the previous year[17]. - The company's cash and cash equivalents increased by CNY 147,863.06, a decrease of 84.28% from CNY 940,572.33 in the previous year[33]. - The cash inflow from operating activities was 2,075,190.49 CNY, with cash outflows totaling 6,840,114.76 CNY, resulting in a negative cash flow from operations[175]. - The company is actively communicating with creditors regarding debt repayment plans to resolve liquidity issues[125]. - The company confirmed a cash compensation obligation of CNY 3,246,023,191.98 due to the inability to fulfill stock compensation commitments amid liquidity issues[80]. Assets and Liabilities - The total assets at the end of the reporting period were ¥68,877,600.73, an increase of 4.03% from the end of the previous year[17]. - The total liabilities were reported at CNY 46,002,835.57, with current liabilities at CNY 516,894,082.06[154]. - The total amount of overdue financial debts reached approximately ¥889 million, with 13 ongoing financial lawsuits involving about ¥735 million[51]. - The company reported a total debt of 9.94 billion yuan, with ongoing legal disputes affecting financial stability[88]. Legal and Regulatory Issues - The company is under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure, with no conclusive opinion received yet[125]. - The controlling shareholder, Shenwu Group, has been listed as a dishonest executor due to failure to fulfill court judgments, with multiple execution case numbers reported[101]. - The company is involved in multiple legal cases, including a financial loan dispute totaling 8 million yuan, which has led to asset freezes[89]. - The company has ongoing litigation involving a claim of 53 million yuan from Zhou Shui Rong, with interest calculated at an annual rate of 24% since March 2018[91]. Subsidiary Performance - The company’s subsidiary Jiangsu Metallurgical Design Institute was applied for bankruptcy liquidation by creditors, but the court ruled not to accept the case[5]. - The company is actively monitoring the bankruptcy situation of its subsidiary and will fulfill its information disclosure obligations[86]. - The company’s subsidiaries reported negative net profits, with Jiangsu Metallurgical Design Institute showing a net loss of approximately ¥76.49 million[47]. Risk Factors and Management - The company has disclosed potential risk factors and countermeasures in the report, urging investors to pay attention to investment risks[5]. - The company is facing risks related to potential changes in actual control due to the pledging and freezing of all shares held by the controlling shareholder[51]. - The company faces significant risks to its ongoing operations due to financial strain, including project stagnation and overdue debts since early 2018[52]. Corporate Governance - The company has not reported any major administrative penalties or legal disputes involving its management in the past five years, indicating a stable governance environment[61]. - The board of directors experienced significant changes, with multiple resignations and new appointments in June 2020[146]. - The company has established a special working group to address the fund occupation issue, with ongoing supervision and follow-up on the repayment plan[99]. Future Outlook and Strategy - The company plans to continue its focus on research and development of new technologies to enhance its market position[182]. - The management indicated that they are considering strategic acquisitions to strengthen their market presence and operational capabilities[182]. - The company is exploring market expansion opportunities to drive future growth and improve financial performance[182].

Financial Performance - The company's operating revenue for Q1 2020 was 0.00 yuan, a decrease of 100.00% compared to 2,015,367.96 yuan in the same period last year[8] - The net profit attributable to shareholders was -53,646,534.45 yuan, representing an increase of 43.98% from -37,260,250.31 yuan year-on-year[8] - The net cash flow from operating activities was -428,791.21 yuan, a decline of 115.42% compared to 2,780,083.53 yuan in the previous year[8] - The basic and diluted earnings per share were both -0.08 yuan, a decrease of 33.33% from -0.06 yuan in the same period last year[8] - The total operating revenue for Q1 2020 was 0.00, compared to 2,015,367.96 in the same period last year, indicating a significant decline[46] - The net loss for Q1 2020 was -53,646,534.45, compared to a net loss of -37,260,250.31 in Q1 2019, reflecting a worsening financial position[48] - Operating profit for the current period is -9,315,350.42, compared to -4,839,136.94 in the previous period, indicating a significant increase in losses[52] - Net profit for the current period is -24,559,182.25, compared to -4,839,177.50 in the previous period, reflecting a worsening financial position[53] - The company experienced a comprehensive loss of -24,559,182.25, compared to -4,839,177.50 in the previous period[53] Assets and Liabilities - Total assets at the end of the reporting period were 65,463,597.95 yuan, down 1.12% from 66,208,282.17 yuan at the end of the previous year[8] - The total assets as of March 31, 2020, amounted to 3,863,570,456.96, a slight increase from 3,861,854,548.35 at the end of 2019[44] - The total liabilities as of March 31, 2020, were CNY 2,083,840,951.48, compared to CNY 2,030,939,101.25 at the end of 2019, indicating an increase of about 2.6%[40] - The company's total equity decreased to 3,040,350,522.51 from 3,064,909,704.76, showing a decline in shareholder value[44] - The total current assets as of March 31, 2020, were 403,570,456.96, slightly up from 401,847,676.15 at the end of 2019[43] - The total non-current assets decreased to CNY 23,595,434.91 from CNY 25,333,656.32, a decline of about 6.9%[39] - The total equity as of March 31, 2020, was CNY 65,463,597.95, down from CNY 66,208,282.17, reflecting a decrease of approximately 1.1%[39] - The company reported a total equity of -1,964,730,819.08 CNY, highlighting a negative equity situation[64] Cash Flow and Financing - Cash and cash equivalents increased to CNY 5,557,639.92 from CNY 5,309,980.46, representing a growth of approximately 4.67%[38] - Cash flow from operating activities shows a net outflow of -428,791.21, a decline from a net inflow of 2,780,083.53 in the previous period[56] - The total cash inflow from financing activities is 964,649.42, while cash outflow is 300,000.00, resulting in a net inflow of 664,649.42[57] - The company incurred financial expenses of 9,306,641.44, significantly higher than 4,538,424.38 in the previous period[51] - The total cash and cash equivalents at the end of the period was 16,723.09 CNY, down from 249,109.12 CNY at the beginning of the period, reflecting a net decrease of 140,496.58 CNY[60] Regulatory and Legal Issues - The company is under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure regulations[15] - The controlling shareholder has confirmed a cash compensation obligation of 3,246,023,191.98 yuan due to performance compensation agreements[15] - The controlling shareholder of the company received a warning letter from the China Securities Regulatory Commission (CSRC) for failing to fulfill compensation obligations during the reporting period[16] - The company is set to auction 1,380,000 shares held by the controlling shareholder on April 26-27, 2020, after previous auction attempts were unsuccessful[16] - The company and its controlling shareholder received an investigation notice from the CSRC on July 12, 2019[17] - The company is under disciplinary action from the Shenzhen Stock Exchange as of August 2, 2019[17] Strategic Actions and Commitments - The company is actively monitoring the progress of its controlling shareholder's legal issues and will fulfill its information disclosure obligations[16] - The company has ongoing commitments related to its stock reform and asset restructuring, with compliance being monitored[19] - The company is adhering to its lock-up commitments for shares acquired during the restructuring process, which will last for 36 months from the completion date[20] - The company is committed to complying with relevant laws and regulations regarding share transfers and reductions post-lock-up period[21] - The company is in normal compliance with its performance commitments made during the restructuring process, which are set to conclude by December 2018[21] - The company is actively communicating with creditors regarding debt repayment plans and is seeking to introduce strategic investors to improve liquidity conditions[24] Miscellaneous - The company has not engaged in any securities investments during the reporting period[25] - The company has not conducted any entrusted financial management during the reporting period[26] - The company has not participated in any derivative investments during the reporting period[27] - There were no research, communication, or interview activities conducted during the reporting period[28] - The company is subject to external guarantees, with specific details to be provided[29] - The company has established a special task force to address liquidity issues and is actively negotiating with creditors to resolve outstanding debts[33]

Financial Performance - The company's operating revenue for Q1 2020 was 0.00 yuan, a decrease of 100.00% compared to 2,015,367.96 yuan in the same period last year[8] - The net profit attributable to shareholders was -53,646,534.45 yuan, representing a 43.98% increase from -37,260,250.31 yuan year-on-year[8] - The basic and diluted earnings per share were both -0.08 yuan, a decrease of 33.33% compared to -0.06 yuan in the same period last year[8] - The total operating profit for Q1 2020 was -38,300,091.60 CNY, compared to -37,219,091.01 CNY in the previous period, indicating a slight increase in losses[47] - The total profit for Q1 2020 was -53,646,534.45 CNY, compared to -37,260,250.31 CNY in the previous period, reflecting a significant increase in losses[47] - The net profit attributable to the parent company for Q1 2020 was -53,646,534.45 CNY, compared to -37,260,250.31 CNY in the previous period, showing a worsening financial performance[48] - The total comprehensive income for Q1 2020 was -53,646,534.45 CNY, compared to -37,260,250.31 CNY in the previous period, highlighting a continued negative trend[48] Cash Flow and Assets - The net cash flow from operating activities was -428,791.21 yuan, down 115.42% from 2,780,083.53 yuan in the previous year[8] - The cash received from other operating activities was 815,365.72 CNY, a decrease from 16,672,775.31 CNY in the previous period, indicating reduced operational cash inflows[54] - The net cash flow from financing activities was 664,649.42 CNY, compared to a net outflow of 2,291.92 CNY in the previous period[56] - The cash and cash equivalents at the end of the period amounted to 474,906.71 CNY, an increase from 227,247.25 CNY at the beginning of the period[56] - The net cash flow from operating activities was -662,780.81 CNY, a decline from -138,193.63 CNY in the previous period[58] - As of March 31, 2020, the total current assets amounted to CNY 41,868,163.04, an increase from CNY 40,874,625.85 as of December 31, 2019, reflecting a growth of approximately 2.4%[37] - The company's cash and cash equivalents stood at CNY 5,557,639.92, up from CNY 5,309,980.46, indicating an increase of about 4.67%[37] Liabilities and Equity - Total liabilities increased to CNY 2,083,840,951.48 from CNY 2,030,939,101.25, reflecting a growth of approximately 2.6% year-over-year[39] - The total owner's equity decreased to CNY -2,018,377,353.53 from CNY -1,964,730,819.08, representing a decline of about 2.7%[40] - The total liabilities as of March 31, 2020, were CNY 65,463,597.95, compared to CNY 66,208,282.17 at the end of 2019, showing a decrease of approximately 1.12%[38] - The company's undistributed profits further declined to CNY -2,158,629,551.87 from CNY -2,104,983,017.42, a decrease of about 2.6%[40] Government and Regulatory Issues - The company is under investigation by the China Securities Regulatory Commission for suspected violations of information disclosure laws[15] - The controlling shareholder has confirmed a cash compensation obligation of 3,246,023,191.98 yuan due to performance compensation agreements[15] - The controlling shareholder of the company received a warning letter from the China Securities Regulatory Commission (CSRC) for failing to fulfill compensation obligations in a timely manner[16] - The company is set to auction 1,380,000 shares held by the controlling shareholder on April 26-27, 2020, due to previous auction failures[16] - The company is under disciplinary action from the Shenzhen Stock Exchange as of August 2, 2019[17] Operational Challenges - The company is facing a liquidity crisis, and all of its shares have been pledged and judicially frozen, making it temporarily unable to fulfill its performance compensation obligations[24] - The company is actively communicating with creditors regarding debt repayment plans and is seeking to introduce strategic investors to improve liquidity[24] - The company has established a special task force to address liquidity issues and is actively communicating with creditors to resolve outstanding debts[33] - The company plans to repay the occupied non-operating funds by December 2021, with a total expected repayment amount of CNY 56,179,000[33] Research and Development - Research and development expenses decreased to CNY 2,628,214.19 from CNY 4,413,695.70, a decline of approximately 40.4%[46] Miscellaneous - The company has not engaged in any securities investments during the reporting period[25] - There were no entrusted financial management activities during the reporting period[26] - The company did not participate in any derivative investments during the reporting period[27] - The company has not conducted any research, communication, or interview activities during the reporting period[28] - The company has implemented new revenue and lease standards starting in 2020, affecting financial reporting[60]

Financial Performance - The company's operating revenue for 2019 was ¥16,227,342.49, representing a 25.84% increase compared to ¥12,895,545.71 in 2018[21] - The net profit attributable to shareholders was -¥2,042,566,079.93, a decrease of 211.08% from -¥700,564,300.7 in the previous year[21] - The basic earnings per share were -¥3.21, down from -¥1.10 in 2018, reflecting a significant decline of 211.08%[21] - The diluted earnings per share for 2019 was -3.21 CNY, a decrease of 211.08% compared to the previous year[22] - The weighted average return on equity was -216.50%, significantly lower than the 19.64% reported in 2018[22] - Total assets at the end of 2019 were 1,866,299,044 CNY, a decrease of 96.05% from the previous year[22] - The net assets attributable to shareholders were -1,964,730,819 CNY, reflecting a decline of 2,624.22% compared to the previous year[22] - The company reported a total revenue of 16,227,342.49 CNY for 2019, with a significant drop in operating cash flow[29] - The net profit attributable to shareholders for Q4 2019 was -1,898,374,788.50 CNY, marking a substantial loss[29] Cash Flow and Liquidity - The net cash flow from operating activities improved by 50.88%, reaching -¥49,535,861.83 compared to -¥100,856,375.9 in 2018[21] - Operating cash inflow decreased by 91.57% to ¥21,931,411.11 from ¥260,040,229.82 in 2018[51] - The net cash inflow from investment activities decreased due to the absence of cash inflow from asset disposals in the current period[53] - The net cash outflow from investment activities decreased primarily due to reduced cash payments for fixed assets and intangible assets[53] - The net cash flow from financing activities increased due to an increase in borrowings from non-financial institutions[53] - The net increase in cash and cash equivalents rose, mainly due to increased net cash flow from operating and financing activities[53] - Cash and cash equivalents at the end of the year amounted to 5,309,980.46, representing 8.02% of total assets[54] - The total cash and cash equivalents decreased by 97.12%, resulting in a net decrease of ¥6,501,868.55[52] Operational Challenges - The company is at risk of delisting due to consecutive years of negative net profit and net assets[6] - The company has acknowledged significant internal control deficiencies related to financial reporting[5] - The company has undergone restatements of previous financial data due to accounting errors[21] - The company shifted its business focus from EPC engineering to design project contracting due to liquidity constraints[38] - The company faces risks of continued delisting warnings and potential changes in actual control due to pledged and frozen shares[69][71] - The company has overdue financial debts totaling approximately 889 million yuan, with 11 ongoing financial lawsuits involving about 606 million yuan[72] - The company has faced a significant increase in litigation and arbitration cases due to financial difficulties, impacting its ongoing operations[75] - The company is currently under scrutiny for its financial obligations, with ongoing litigation affecting its operational stability[123] Related Party Transactions and Guarantees - The company engaged in a related party transaction with Hubei Shenwu Thermal Energy Technology Co., Ltd., renting factory buildings and equipment for a total amount of 1,812,285.72 yuan, which accounts for 34.37% of the same type of transactions[134] - The company reported a total external guarantee amount of 78,064,000 yuan, with an actual guarantee balance of 74,000,000 yuan at the end of the reporting period[145] - The actual guarantee amount accounted for -37.66% of the company's net assets[145] - The company has a guarantee amount of 10,000 million CNY related to its controlling shareholder, which represents -5.09% of the latest audited net assets[146] - The company has confirmed a cash compensation obligation of 3,246,023,191.98 CNY due to performance compensation agreements[155] Management and Governance - The company has completed the restructuring of its internal control system after receiving negative audit opinions for 2017 and 2018, with new policies implemented including the "Seal Management System" and "Interim Financing Management Measures"[199] - The board of directors has organized two specialized training sessions on internal control to enhance awareness of risk prevention among directors and senior management[199] - The company is committed to improving compliance and governance in response to regulatory scrutiny[126] - The company has acknowledged its responsibility for debts and obligations arising from various legal disputes[125] Employee and Organizational Structure - The total number of employees in the company is 129, with 72 being technical personnel[193] - The company has a total compensation of 62.83 million yuan for directors and senior management during the reporting period[192] - The company aims to enhance management and technical training for employees in 2020[195] - The company has a competitive salary policy to attract talent and improve market competitiveness[194] - The company has 1 PhD, 27 master's degree holders, and 61 bachelor's degree holders among its employees[193] Strategic Focus and Future Plans - The company plans to promote its heat storage bottom furnace technology and traditional metallurgy design services moving forward[33] - The company is actively pursuing market expansion and technological development to enhance its competitive edge[103] - The company plans to achieve asset securitization within three years, aiming to enhance overall strategic goals[103] - The company is focusing on expanding its market presence and enhancing its management team to drive future growth[179][180]