Financial Performance - The company's operating revenue for Q1 2021 was ¥1,561,944,133.56, representing a 127.63% increase compared to ¥686,167,002.24 in the same period last year[9] - The net profit attributable to shareholders was ¥70,692,101.35, a significant recovery from a loss of ¥23,895,342.08 in the previous year[9] - Basic and diluted earnings per share were both ¥0.1020, recovering from a loss of ¥0.0345 per share in the previous year[9] - The weighted average return on equity increased to 3.23%, up from -1.08% in the same period last year[9] - The company reported a net profit of ¥199.65 million for the period, compared to ¥128.96 million in the previous period, indicating a significant increase in profitability[47] - The company reported a net profit of ¥87,198,286.00, a turnaround from a net loss of ¥25,273,525.78 in the previous period[63] - The net profit for the current period was CNY 30,774,643.73, compared to a net loss of CNY 22,371,203.46 in the previous period, indicating a turnaround in profitability[66] Cash Flow - The net cash flow from operating activities improved to ¥5,980,341.28, compared to a negative cash flow of ¥76,899,729.89 in the same period last year[9] - The net cash flow from financing activities decreased by 155.38% to -¥117,448,957.79, mainly due to loan repayments[18] - The net cash flow from operating activities was -29,915,753.43 CNY, an improvement from -31,727,514.47 CNY in the previous period[79] - The company reported a total cash outflow from operating activities of 191,007,188.36 CNY, down from 227,569,088.67 CNY in the prior period[79] Assets and Liabilities - Total assets at the end of the reporting period were ¥9,259,357,790.22, a slight decrease of 0.11% from ¥9,269,696,535.86 at the end of the previous year[9] - The company's total liabilities decreased to approximately ¥6.18 billion, down 3.12% from ¥6.38 billion[44] - The total non-current assets reached approximately ¥3.92 billion, an increase of 4.91% from ¥3.73 billion[41] - The total assets of the company rose to ¥4,636,341,508.79, up from ¥4,507,246,360.93, marking an increase of about 2.86%[55] - The total liabilities increased to ¥2,974,168,796.40 from ¥2,875,845,937.55, which is an increase of approximately 3.43%[55] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 40,212[13] - The top two shareholders, Shaanxi Fastech Automotive Transmission Group Co., Ltd. and Shaanxi Provincial Industrial Investment Co., Ltd., held 15.94% and 14.59% of the shares, respectively[13] - The company plans to raise up to ¥799.28 million through a private placement of shares to Faste Group, with a share price of ¥3.88[23] Expenses - Research and development expenses rose by 46.63% to ¥29,830,067.00, reflecting increased investment in R&D[18] - Management expenses increased by 66.68% to ¥91,249,867.24, influenced by the management costs of the newly acquired Walker Gear Company[18] - Total operating costs amounted to ¥1,463,224,377.66, compared to ¥715,349,922.98 in the prior period, indicating an increase of about 104%[60] - The company's financial expenses decreased to CNY 13,845,962.46 from CNY 15,002,607.10, a decline of approximately 7.7%[66] Investment Activities - The company received government subsidies amounting to ¥10,703,110.61 during the reporting period[9] - The company sold 40% of its equity in Qin Chuan International Leasing for ¥27,556.18 million and 60% of Shenzhen Qin Chuan Commercial Factoring for ¥46.20 million[24] - The company reported an increase in investment income to CNY 15,086,612.13 from CNY 2,764,878.98, marking a growth of 444.5%[66] - Total cash inflow from investment activities was 15,482,991.13 CNY, significantly higher than 3,121,528.98 CNY in the prior period[79] Inventory and Receivables - Accounts receivable increased by 34.99% to ¥949,899,549.14 due to a significant rise in sales revenue[18] - The accounts receivable increased significantly to ¥949.90 million, up 35.05% from ¥703.70 million in the previous period[39] - The inventory decreased to ¥1.55 billion, down 6.09% from ¥1.65 billion as of December 31, 2020[39] - The long-term receivables rose to ¥771.55 million, an increase of 28.00% from ¥603.36 million[41] Market and Product Development - The company has plans for market expansion and new product development, although specific details were not disclosed in the report[63]

Financial Performance - The company's operating revenue for 2020 was ¥4,095,082,562.66, representing a 29.39% increase compared to ¥3,164,976,539.89 in 2019[18]. - The net profit attributable to shareholders for 2020 was ¥152,882,565.18, a significant recovery from a loss of ¥297,559,773.57 in 2019[18]. - The net cash flow from operating activities reached ¥377,599,491.60, marking an increase of 846.52% from ¥39,893,399.90 in the previous year[18]. - The basic earnings per share for 2020 was ¥0.2205, compared to a loss of ¥0.4291 per share in 2019[18]. - Total assets at the end of 2020 were ¥9,269,696,535.86, up 7.99% from ¥8,584,163,681.23 at the end of 2019[18]. - The company's weighted average return on equity improved to 7.17% in 2020, compared to -12.59% in 2019[18]. - The net assets attributable to shareholders decreased by 2.78% to ¥2,153,162,411.16 at the end of 2020 from ¥2,214,831,035.08 at the end of 2019[18]. - The total profit for the year was CNY 255 million, an increase of CNY 53.9 million compared to the previous year[42]. - The total operating revenue for 2020 reached ¥4,095,082,562.66, representing a year-on-year increase of 29.39% compared to ¥3,164,976,539.89 in 2019[59]. - The revenue from the components segment surged by 88.78%, amounting to ¥1,316,398,148.35, up from ¥697,333,851.11 in the previous year[59]. Research and Development - The company invested ¥224 million in R&D in 2020, accounting for 5.48% of total revenue, and developed 90 new or improved products[34]. - The company applied for nearly 40 patents in 2020, with 15 new utility model patents and 3 invention patents granted[44]. - The company completed 32 process equipment developments and successfully developed 16 high-end products, including CNC screw rotor grinding machines and vertical turning-milling composite centers[44]. - A total of 41 key research and new product projects are planned for 2021, focusing on five-axis vertical turning-milling composite centers and gear grinding machines[38]. - The average salary for R&D personnel increased by 39%, while the overall wage growth for frontline employees was 10%[52]. - The number of R&D personnel increased by 9.62% to 1,014 in 2020, maintaining a stable proportion of 10.18% of total employees[73]. Strategic Focus and Market Position - The company plans to continue focusing on high-end manufacturing and core components, aiming for a leading position in the high-end equipment manufacturing sector[32]. - The company aims to achieve an operating revenue of 5 billion yuan in 2021, with a profit growth of no less than 10% compared to the previous year[106]. - The company is committed to accelerating the digital transformation of its operations, aiming to integrate information flow, material flow, and capital flow across all business segments[113]. - The company is targeting the replacement of imported high-end tools by enhancing the production of complex tools and high-end equipment components[104]. - The company plans to expand into emerging markets along the "Belt and Road" initiative to establish new export channels and participate in international competition[124]. Operational Efficiency and Cost Management - The company has implemented cost reduction measures, focusing on key cost indicators and enhancing performance evaluation to ensure efficient completion of objectives[116]. - The company has made significant progress in internal collaboration, enhancing resource utilization efficiency through the implementation of production and sales coordination management measures[55]. - The company achieved a 25.4% reduction in middle and senior management positions as part of its internal reform efforts[52]. - The total operating cost amounted to CNY 3,228,895,129.13, representing a year-on-year increase of 21.17% from CNY 2,664,724,806.70 in 2019[67]. - Personnel costs increased by 23.25% to CNY 456,312,928.05, accounting for 14.13% of total operating costs[67]. Social Responsibility and Environmental Initiatives - The company actively participated in poverty alleviation efforts, helping 184 households and 507 individuals in the Nanzhai village through the apple industry, achieving a 10% increase in product quality[179]. - The company has established a comprehensive poverty alleviation plan, aligning with national policies and local government initiatives[186]. - The company has implemented a smart irrigation system for apple cultivation, significantly reducing labor and resource costs[179]. - The company has established two wastewater treatment stations to ensure that all production and domestic wastewater meets discharge standards before entering municipal systems[193]. - The company has reported no exceedances in pollutant discharge limits for key pollutants such as chemical oxygen demand and ammonia nitrogen[191]. Acquisitions and Investments - The company acquired 100% equity of Shaanxi Fastech Work Gear Co., Ltd. for CNY 429 million, enhancing its high-end manufacturing supply chain[48]. - The company completed the acquisition of Shaanxi Fastech Gear Co., Ltd. for an investment amount of CNY 428,861,800, achieving a 100% ownership stake[86]. - The company plans to issue up to 206,000,000 A-shares to raise a total of no more than 799.28 million yuan, with an issue price of 3.88 yuan per share[160]. - The company is actively seeking to enhance its core competitiveness and improve financial performance through strategic acquisitions[157]. Compliance and Governance - The company has committed to maintaining the independence of the listed company in personnel, assets, finance, and business aspects following a major asset restructuring completed in September 2013[133]. - The company has established a long-term commitment to maintain the independence of the listed company and protect the rights of minority investors[133]. - The company has ensured compliance with the China Securities Regulatory Commission's regulations regarding operational independence[138]. - The company has committed to not engaging in competitive business with its controlling subsidiary, ensuring no non-operational fund occupation[138]. - The company has pledged to minimize related party transactions and ensure fair pricing in any unavoidable transactions[136].

秦川机床工具集团股份公司 2020 年第三季度报告全文 秦川机床工具集团股份公司 2020 年第三季度报告 2020 年 10 月 1 秦川机床工具集团股份公司 2020 年第三季度报告全文 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、误导性陈述或重大遗漏，并承担个别和连 带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人严鉴铂、主管会计工作负责人张秋玲及会计机构负责人(会计主 管人员)郭亚新声明：保证季度报告中财务报表的真实、准确、完整。 2 秦川机床工具集团股份公司 2020 年第三季度报告全文 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 | --- | --- | --- | --- | --- | |------------------------------------------------------|------------------|-------------------------|------------------|-------------- ...

Financial Performance - The company's operating revenue for the first half of 2020 was ¥1,816,758,739.57, representing a 9.56% increase compared to ¥1,658,249,593.03 in the same period last year[23] - The net profit attributable to shareholders of the listed company reached ¥53,337,838.81, a significant increase of 824.06% from ¥5,772,101.11 in the previous year[23] - The basic earnings per share rose to ¥0.0769, marking an increase of 826.51% compared to ¥0.0083 in the same period last year[23] - The total profit for the first half of 2020 was 94.87 million yuan, representing a growth of 175.11% from 34.48 million yuan in the previous year[47] - The company completed the annual budget target of 47.69% in operating revenue and 81.61% in total profit for the first half of 2020[47] Assets and Liabilities - The total assets of the company at the end of the reporting period were ¥9,561,734,095.03, which is an 11.39% increase from ¥8,584,163,681.23 at the end of the previous year[23] - The net assets attributable to shareholders of the listed company decreased by 8.30% to ¥2,031,039,109.70 from ¥2,214,831,035.08 at the end of the previous year[23] - The company's cash and cash equivalents increased by ¥161,994,538.18, contrasting with a decrease of ¥146,525,717.83 in the previous year[65] - The total approved guarantee amount for subsidiaries during the reporting period was CNY 213,500,000, with actual guarantees amounting to CNY 49,358,000[148] Cash Flow - The company reported a net cash flow from operating activities of -¥16,695,252.07, an improvement from -¥109,192,434.26 in the same period last year[23] - The company's operating costs increased by 6.48% to ¥1,441,475,477.68 from ¥1,353,795,618.74, while management expenses decreased by 13.32% to ¥108,245,903.48 from ¥124,882,656.39[65] Investments and Acquisitions - The company has made substantial investments in imported equipment and factory construction, leading to changes in its construction in progress[37] - The company acquired 100% of Shaanxi Fashite Work Gear Co., Ltd. for ¥428,861,800.00, with an expected return of ¥56,563,500.00[83] - The acquisition of Walker Gear for ¥428,861,800 resulted in an increase of ¥25,110,000 in net profit attributable to the parent company for the reporting period[65] - The company invested CNY 17,000,000 in entrusted financial management products, with no overdue amounts[151] Research and Development - Research and development investment amounted to ¥89,803,181.68, a decrease of 20.05% from ¥112,323,469.58 in the previous year[65] - The average salary of R&D personnel increased by 27%, reaching a level above the local mid-high standard, aimed at stabilizing the technical team[51] - The company plans to increase its R&D budget to over 5% of operating revenue, focusing on new product launches and technological innovation[61] Market Strategy - The company plans to enhance market share in traditional markets such as Chongqing and East China, while also targeting emerging markets related to "new infrastructure" and public health[59] - The company is focusing on high-end manufacturing and intelligent manufacturing as key growth areas, aiming to enhance its global competitiveness[34] - The company is expanding its market presence by avoiding the impact of U.S.-China trade tensions and increasing development in the Belt and Road markets[107] Risk Management - The company has outlined potential risks in its operations, which investors should be aware of[6] - The company faces risks including policy changes, industry downturns, and international trade tensions, which could impact market demand and operational costs[101] - The company is committed to addressing risks through strategic innovation and adapting to changing market conditions to maintain competitiveness[102] Environmental Responsibility - The company is classified as a key pollutant discharge unit, with various pollutants including chemical oxygen demand at 23 mg/L and ammonia nitrogen at 1.018 mg/L, all within regulatory standards[157] - The company operates two wastewater treatment stations, ensuring that both production and domestic wastewater are treated and discharged in compliance with standards[161] - The company has implemented pollution control facilities, including a wet activated carbon dust removal system for organic waste gas, which operates effectively throughout the year[161] Social Responsibility - The company actively participates in poverty alleviation efforts, aligning with provincial directives and ensuring the completion of its 2020 poverty alleviation tasks[178] - The total poverty alleviation expenditure by the company and its subsidiaries in the first half of 2020 amounted to CNY 74,860, with CNY 15,000 allocated to targeted poverty alleviation in Wulang Village and CNY 59,860 for consumption poverty alleviation in Zhaojiazhuang Village[186] - The company has engaged in social responsibility initiatives, including donations for natural disaster relief in 2020[185]

Financial Performance - The company's operating revenue for Q1 2020 was ¥686,167,002.24, a decrease of 20.74% compared to ¥865,712,303.73 in the same period last year[9]. - The net profit attributable to shareholders of the listed company was -¥23,895,342.08, compared to a profit of ¥6,105,161.78 in the previous year[9]. - The net cash flow from operating activities was -¥76,899,729.89, worsening from -¥62,549,680.33 in the same period last year[9]. - The basic and diluted earnings per share were both -¥0.0345, compared to ¥0.0088 in the same period last year[9]. - The weighted average return on net assets was -1.08%, down from 0.24% in the previous year[9]. - The company reported a net loss of ¥50,564,493.29 for the period, compared to a loss of ¥26,669,151.21 in the previous period[45]. - Total operating revenue for the current period was ¥686,167,002.24, a decrease of 20.7% compared to ¥865,712,303.73 in the previous period[57]. - Total operating costs for the current period were ¥715,349,922.98, down from ¥866,213,916.09, reflecting a reduction of 17.4%[57]. - Operating profit for the current period was -¥25,811,898.81, compared to a profit of ¥19,515,882.09 in the previous period[60]. - Net profit for the current period was -¥25,273,525.78, a significant decline from a profit of ¥16,656,435.32 in the previous period[60]. Assets and Liabilities - The total assets at the end of the reporting period were ¥8,829,488,654.83, an increase of 2.86% from ¥8,584,163,681.23 at the end of the previous year[9]. - The total current assets amounted to ¥5,236,274,261.79, an increase of 10.5% from ¥4,738,473,953.22 on December 31, 2019[37]. - Total liabilities as of March 31, 2020, were ¥5,927,315,481.53, an increase of 4.8% from ¥5,658,122,152.59[43]. - The company's total equity as of March 31, 2020, was ¥2,902,173,173.30, a slight decrease from ¥2,926,041,528.64[45]. - Long-term receivables decreased to ¥725,785,266.36 from ¥993,173,206.64, a decline of 26.9%[40]. - The total non-current assets were ¥3,593,214,393.04, down from ¥3,845,689,728.01, a decrease of 6.5%[40]. Cash Flow - Cash inflow from operating activities totaled ¥547,521,142.09, down from ¥655,544,203.74 in the previous period[73]. - Total cash outflow from operating activities was ¥624,420,871.98, compared to ¥718,093,884.07 in the previous period, showing a decrease in cash outflow[73]. - Investment activities generated a net cash flow of ¥30,262,176.66, an improvement from ¥5,679,869.50 in the previous period[73]. - The net cash flow from financing activities was 212,064,170.33 CNY, an increase from 150,234,868.36 CNY in the previous period, reflecting a growth of approximately 41.1%[75]. - The total cash and cash equivalents at the end of the period amounted to 757,013,611.93 CNY, compared to 778,994,143.10 CNY in the previous period, indicating a decrease of about 2.9%[75]. Shareholder Information - The total number of shareholders at the end of the reporting period was 57,920[12]. - The largest shareholder, the Shaanxi Provincial State-owned Assets Supervision and Administration Commission, held 15.94% of the shares[12]. - The company’s major shareholders are transferring a total of 202,325,013 shares (29.18% of total shares) to Faste Group, which may impact control dynamics[22]. - The company has no overdue or unfulfilled commitments from major shareholders or related parties during the reporting period[23]. Research and Development - Development expenses rose by 68.01% to ¥28,254,801.47, mainly due to increased investment in research projects and new products by the company and its subsidiary Baoji Machine Tool Group Co., Ltd.[20]. - Research and development expenses increased to ¥20,343,081.61, up from ¥17,185,871.06, indicating a rise of 12.6%[57]. - Research and development expenses increased to ¥8,245,182.36, up from ¥5,288,008.69, representing a 56.9% increase[63]. Other Income and Expenses - The company reported non-operating income of ¥9,572,810.38 from government subsidies during the reporting period[9]. - Tax and additional charges decreased by 38.44% to ¥7,916,714.24, attributed to a decline in sales revenue compared to the same period last year[20]. - Other income increased by 33.63% to ¥9,637,332.58, mainly due to higher government subsidies and deferred income recognized during the period[20]. - Investment income fell by 85.25% to ¥1,114,498.12, primarily due to reduced returns from trust products[20]. Financial Management - The company has no significant or high-risk financial management products during the reporting period, with a total of ¥1,700 million in trust financial products[27]. - The company did not undergo an audit for the first quarter report[82].

Financial Performance - Revenue for 2019 was 3,164,976,539.89 yuan, a decrease of 0.73% compared to 2018[23] - Net profit attributable to shareholders was -297,559,773.57 yuan, continuing a loss trend from 2018[23] - Total assets at the end of 2019 were 8,584,163,681.23 yuan, a decrease of 5.21% compared to 2018[23] - Net cash flow from operating activities was 39,893,399.90 yuan, a significant improvement from -34,533,967.81 yuan in 2018[23] - Basic earnings per share were -0.4291 yuan, slightly worse than -0.4035 yuan in 2018[23] - Weighted average return on equity was -12.59%, down from -10.40% in 2018[23] - Revenue for Q1, Q2, Q3, and Q4 were 865.71 million yuan, 792.54 million yuan, 673.90 million yuan, and 832.83 million yuan respectively[28] - Net profit attributable to shareholders was 6.11 million yuan in Q1, but turned negative in subsequent quarters with losses of 333,060.67 yuan, 11.51 million yuan, and 291.83 million yuan respectively[28] - Revenue in 2019 was RMB 3.165 billion, a decrease of 0.73% year-on-year, achieving 95.47% of the budget target[60] - Total profit in 2019 was RMB -284 million, an increase in loss of 2.48% year-on-year, achieving -621.94% of the budget target[60] - Gross margin was 15.04%, 3.07 percentage points lower than the budget, resulting in a decrease in gross profit of RMB 124 million[61] - Total period expenses were RMB 827 million, exceeding the budget by RMB 238 million, mainly due to increased market competition and R&D expenses[61] - Asset impairment losses were RMB 257 million, exceeding the budget by RMB 234 million, mainly due to inventory and bad debt provisions[63] - Investment income and other income were RMB 325 million, exceeding the budget by RMB 247 million, mainly from deferred income from R&D projects[63] - Revenue target for 2020 is 3.81 billion yuan, with a profit target of 116 million yuan[130] R&D and Innovation - R&D investment in 2019 was 339 million yuan, accounting for 10.72% of revenue, with 109 new products developed and 28 patents applied for[42] - The company developed 109 new and improved key products in 2019, applied for 28 patents, and obtained 16 patent authorizations[42] - The company participated in 106 national major science and technology projects, leading 22 and participating in 84, with 20 leading projects completed[43] - The company's core competitiveness is driven by continuous R&D investment, innovation platforms, and participation in national science and technology projects[42] - The company developed BX-E and BX-C series precision cycloidal planetary reducers for robots, which have been supplied to nearly 300 domestic robot manufacturers, successfully replacing imports[47] - The company plans to develop 52 key new products in 2020, including high-precision gear grinding machines, composite grinding machines, and high-speed five-axis gantry machining centers[54] - The company completed 14 new product development projects and 11 research projects in 2019, including high-precision gear cutting tools and high-efficiency gear hobs[51] - The company developed 21 new products in 2019, with 18 entering trial production, including precision CNC lathes and five-axis machining centers[48] - The company completed 17 technological innovation projects in 2019, including the development of strong damping pressure gauges and digital SF6 density transmitters[52] - The company completed 5 research projects and 7 provincial key new product development projects in 2019, including CNC double-wheel synchronous grinding machines for heavy truck industry[53] - R&D expenses surged by 155.68% to 288,380,981.29 yuan in 2019 due to increased project completion and acceptance by the Ministry of Industry and Information Technology[93] - Total R&D investment in 2019 was 339,316,527.16 yuan, accounting for 10.72% of revenue, a 71.94% increase from 2018[97] Product and Market Performance - The company's main products include gear grinding machines, thread grinding machines, CNC lathes, and plastic machinery[36] - The company sold over 200 units of YKS7225 and YKZ7230 high-precision worm wheel gear grinding machines, which have become leading products and replaced imports[46] - The company sold 9,010 machine tools in 2019, a year-on-year decrease of 21%[59] - Machine tool category revenue decreased by 6.75% to 1,429,501,293.92 yuan, accounting for 45.17% of total revenue[77] - Parts category revenue increased by 5.22% to 697,333,851.11 yuan, accounting for 22.03% of total revenue[77] - Instrument and meter category revenue surged by 41.86% to 83,424,135.83 yuan, accounting for 2.64% of total revenue[77] - Northwest region revenue grew by 16.44% to 1,130,151,356.11 yuan, accounting for 35.71% of total revenue[77] - Machine tool production volume decreased by 14.59% to 9,493 units[81] - Parts production volume decreased by 15.83% to 422,980 units[81] - Instrument and meter sales volume increased by 19.69% to 375,343 units[81] - The company focused on expanding market share in automotive transmission gear processing and robot reducer optimization[64] - Significant progress was made in key national projects such as high-precision gear machine tools and blade grinding and polishing units[64] - The company strengthened innovation and technological advancements, achieving breakthroughs in key technologies and core products[66] Costs and Expenses - Raw material costs accounted for 77.86% of total operating costs, decreasing by 3.32% to 1,000,586,481.18 yuan[82] - Labor costs accounted for 10.85% of total operating costs, decreasing by 1.70% to 139,434,412.03 yuan[82] - Manufacturing expenses accounted for 7.52% of total operating costs, decreasing by 2.80% to 96,640,256.08 yuan[82] - Raw material costs for parts category increased by 11.83% to 360,710,896.59 RMB, accounting for 54.32% of total costs[85] - Labor costs for parts category rose by 2.24% to 125,837,104.02 RMB, representing 18.95% of total costs[85] - Total costs for instruments and meters category surged by 45.92% to 58,578,414.42 RMB, with raw materials making up 55.46%[85] - Tools category total costs decreased by 0.85% to 235,031,985.09 RMB, with raw materials accounting for 37.92%[85] - Trade category total costs dropped by 10.63% to 324,410,012.35 RMB, with raw materials comprising 95.62%[85] - Other category total costs increased by 17.71% to 97,546,564.21 RMB, with raw materials making up 40.58%[88] - Total costs across all categories rose slightly by 0.22% to 2,664,724,806.70 RMB, with raw materials accounting for 68.78%[88] - Sales expenses decreased by 4.66% to 189,414,871.52 yuan in 2019 compared to 198,668,007.60 yuan in 2018[93] - Management expenses decreased by 2.87% to 255,262,121.19 yuan in 2019 compared to 262,811,870.31 yuan in 2018[93] - Financial expenses increased by 18.40% to 93,545,917.03 yuan in 2019 compared to 79,009,267.63 yuan in 2018[93] Subsidiaries and Investments - The company's subsidiary, Baoji Machine Tool Group Co., Ltd., reported a net loss of RMB 6.93 million with total assets of RMB 1.76 billion and revenue of RMB 1.11 billion[119] - Revenue of Shaanxi Hanjiang Machine Tool Co., Ltd. reached 749,896,018.51 RMB, with a net profit of 7,126,806.79 RMB[121] - Revenue of Hanjiang Tool Co., Ltd. was 518,433,042.42 RMB, with a net profit of 25,407,976.43 RMB[121] - Revenue of Qinchuan Machine Tool Group Baoji Instrument Co., Ltd. was 104,738,161.43 RMB, but it incurred a net loss of 252,613.68 RMB[121] - Revenue of Qinchuan International Financial Leasing Co., Ltd. reached 2,026,794,558.33 RMB, with a net profit of 47,727,855.17 RMB[121] - Revenue of Shenzhen Qinchuan Commercial Factoring Co., Ltd. was 367,445,408.58 RMB, with a net profit of 16,158,141.26 RMB[121] - Revenue of Xi'an Qinchuan CNC System Engineering Co., Ltd. was 53,339,002.94 RMB, with a net profit of 3,601,491.64 RMB[121] - Revenue of Shaanxi Qinchuan Granlund Machine Tool Co., Ltd. was 100,951,257.88 RMB, but it incurred a significant net loss of 129,421,400.24 RMB[121] - Revenue of Qinchuan American Industrial Co. was 47,956,576.64 RMB, with a net loss of 800,141.38 RMB[121] - Revenue of Jiangsu Qinchuan Gear Transmission Co., Ltd. was 209,480,033.72 RMB, but it incurred a net loss of 6,291,129.50 RMB[121] - Revenue of Zhejiang Qinchuan Machine Tool Co., Ltd. was 10,306,946.08 RMB, with a net profit of 349,797.44 RMB[121] - The company invested RMB 105.21 million in the reporting period, with a cumulative investment of RMB 425.06 million in the 90,000 sets of industrial robot joint reducer technical transformation project, achieving 90.67% progress and an expected return of RMB 618.05 million[111] - The industrial robot joint reducer production line project has been completed with a total investment of RMB 120 million[111] - The company's financial assets investment in securities totaled RMB 26 million initially, with a current fair value of RMB 31.31 million, generating a profit of RMB 12.38 million in the reporting period[113] - The company plans to invest 73.04 million yuan in the 180,000 sets of industrial robot joint reducer technical transformation project[140] - Investment of 19.5 million yuan in the aviation engine key parts processing equipment capability construction project[140] - 10 million yuan investment in the Shaanxi Intelligent Machine Tool Innovation Center project[140] - 30 million yuan investment in the high-end intelligent CNC machine tool industrialization project[140] - 5 million yuan investment in the 300,000 sets of ball screw pair industry upgrade technical transformation project[140] - 30 million yuan investment in the high-precision ultra-high-speed alloy complex CNC tool four-line development technical transformation project[140] Risk Management and Future Plans - The company faces risks such as policy changes, industry uncertainties, and technological advancements, which could impact future performance[143] - To mitigate risks, the company will focus on digital manufacturing, high-end intelligent manufacturing equipment, and import substitution capabilities[144] - The company aims to enhance product precision, performance, and reliability while reducing costs and improving cost-effectiveness[145] - The company plans to support the industrialization of hard broaching machines and hard broaching tools projects at UAI in North America, leveraging its platforms such as UAI, QCA, and Han Gong American Gear Tool Company[148] - The company will increase efforts to explore emerging markets, particularly along the "Belt and Road" countries, by participating in professional machine tool and functional component exhibitions to establish new export channels[148] Dividends and Shareholder Policies - The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserve into share capital[7] - The company has not distributed cash dividends for the past three years (2017-2019), with no plans for profit distribution, stock dividends, or capital reserve conversion into share capital[153][158] - In 2019, the company reported a net loss attributable to ordinary shareholders of RMB -297.56 million, with no cash dividends distributed[157] - The company's cash dividend policy is clearly defined in its articles of association, ensuring transparency and protection of shareholders' rights, particularly for minority shareholders[152] Corporate Governance and Shareholder Relations - The company's registered address and main business have remained unchanged since its listing[21] - The company's audit was conducted by Xigema Certified Public Accountants[22] - The company's stock is listed on the Shenzhen Stock Exchange with the code 000837[16] - The company's controlling shareholders, including the Shaanxi Provincial State-owned Assets Supervision and Administration Commission, have committed to maintaining the company's independence and avoiding unfair competition[159][162] - The company plans to repurchase shares of its subsidiary Shaanxi Qinchuan Equipment Complete Service Co., Ltd. from China Development Bank Capital Co., Ltd. for RMB 40 million by November 23, 2025[166] - The company plans to repurchase shares of its subsidiary Hanzhong Tool Co., Ltd. from China Development Bank Capital Co., Ltd. for RMB 8.8 million by October 21, 2030[166] - The company plans to repurchase shares of its subsidiary Shaanxi Hanzhong Machine Tool Co., Ltd. from China Agricultural Development Key Construction Fund Co., Ltd. in two installments of RMB 6 million each by December 31, 2018 and October 8, 2019[166] - The company plans to repurchase shares of its subsidiary Baoji Machine Tool Group Co., Ltd. from China Development Bank Capital Co., Ltd. in four installments totaling RMB 111.7 million by December 27, 2027[166] - The company's subsidiary Baoji Qinchuan Electromechanical Equipment Manufacturing Co., Ltd. was deregistered on October 21, 2019, and is no longer included in the consolidated financial statements[172] - The company paid RMB 700,000 in audit fees to Xigema Certified Public Accountants (Special General Partnership) for the 2019 fiscal year[173] - The company paid RMB 350,000 in internal control evaluation audit fees to Xigema Certified Public Accountants (Special General Partnership) for the 2019 fiscal year[173] Guarantees and Liabilities - The company provided a guarantee of RMB 3,000 to Shaanxi Electronic Information Group Co., Ltd. on December 27, 2018, which has been fulfilled[192] - The company provided a guarantee of RMB 20,000 to Shaanxi Electronic Information Group Co., Ltd. on December 3, 2019, which is still in effect[192] - The company provided a guarantee of RMB 26,573 to Shaanxi Electronic Information Group Co., Ltd. on December 3, 2019, which is still in effect[192] - The company provided joint liability guarantees for multiple transactions, with amounts ranging from 198 to 13,000 units, primarily for a duration of 1 year[194] - A significant joint liability guarantee of 13,000 units was issued on April 19, 2018, with a 1-year duration[194] - On May 9, 2019, the company issued a joint liability guarantee of 10,000 units, set to expire on December 31, 2019[194] - The company issued a joint liability guarantee of 2,000 units on May 9, 2019, with a 1-year duration[194] - A joint liability guarantee of 2,200 units was issued on April 19, 2018, with a 6-month duration[194] - The company issued a joint liability guarantee of 6,000 units on May 9, 2019[194] - On April 19, 2018, the company issued a joint liability guarantee of 10,000 units, set to expire on November 29, 2018[194] - The company issued a joint liability guarantee of 13,000 units on May 9, 2019, with a 1-year duration[194] - A joint liability guarantee of 2,000 units was issued on May 9, 2019[194] - The company issued a joint liability guarantee of 7,000 units, with a 1-year duration[194] - Total guarantee amount for 2019 reached 130,000 units[199] - The company issued a guarantee of 45,000 units on September 20, 2017, with a duration of 3 years[197] - A guarantee of 105,000 units was issued on April 28, 2018, also with a 3-year duration[197] - In 2019, the company issued multiple guarantees ranging from 500 to 1,600 units, all with a 1-year duration[197] - On June 28, 2019, a guarantee of 2,647 units was issued with a 3-year duration[199] - On September 9, 2019, the company issued two guarantees of 5,000 units each, both with a 6-month duration[199] - A guarantee of 6,149 units was issued on September 9, 2019, with a 3-year duration[199] - On October 28, 2019, a guarantee of 6,200 units was issued with a 1-year duration[199] - The company issued a guarantee of 7,000 units on December 14, 2019, with a 1-year duration[199] - On April 19, 2019, a guarantee of 2,096 units was issued with a 3-year duration[198] - The total approved guarantee amount for subsidiaries during the reporting period was 181,600[200] - The actual guarantee amount issued for subsidiaries during the reporting

Financial Performance - Operating revenue for the reporting period was ¥673,899,720.99, a decrease of 14.99% year-on-year, while year-to-date revenue was ¥2,332,149,314.02, down 4.58% compared to the same period last year[8]. - The net profit attributable to shareholders of the listed company was a loss of ¥11,505,081.51 for the reporting period, with a year-to-date loss of ¥5,732,980.40[8]. - Basic earnings per share for the reporting period was -¥0.0166, compared to -¥0.0083 for the same period last year[8]. - The weighted average return on net assets was -0.45% for the reporting period, compared to -0.22% for the same period last year[8]. - The company reported a significant increase in other income by 73.64% to ¥30,025,439.90, mainly due to increased government subsidies received by subsidiary Shaanxi Hanjiang Machine Tool Co., Ltd.[19]. - The company reported a total comprehensive loss of ¥7,362,140.33 for Q3 2019, compared to a loss of ¥20,443,464.57 in the same quarter last year[44]. - Basic and diluted earnings per share were both -¥0.0166, an improvement from -¥0.0367 in Q3 2018[44]. - The company reported a net cash flow from operating activities of -¥93,198,335.41 year-to-date[8]. - Net loss for Q3 2019 was ¥9,083,547.98, an improvement from a net loss of ¥20,384,706.88 in Q3 2018, representing a 55.5% reduction in losses[43]. Assets and Liabilities - Total assets at the end of the reporting period reached ¥9,148,699,236.96, an increase of 1.03% compared to the end of the previous year[8]. - The total amount of employee compensation payable is ¥3,891,837.73[72]. - The company’s total liabilities to total assets ratio stands at approximately 63.6%[66]. - Total liabilities increased to CNY 5,840,959,216.44 from CNY 5,754,440,335.10, reflecting a growth of approximately 1.50%[36]. - Owner's equity increased to CNY 3,307,740,020.52 from CNY 3,301,354,194.13, a growth of about 0.19%[37]. - The company reported a total liability of CNY 5,754,440,335.10, with current liabilities at CNY 4,419,498,663.52 and non-current liabilities at CNY 1,334,941,671.58[66]. - The company’s long-term borrowings stand at ¥189,120,000.00, with short-term borrowings at ¥467,000,000.00[72]. - Long-term borrowings rose by 85.25% to ¥1,118,840,094.40, reflecting an increase in bank loans over one year[19]. Cash Flow - The company reported a net cash flow from operating activities of -¥93,198,335.41 year-to-date[8]. - Cash inflow from sales of goods and services was CNY 1,930,203,246.80, up from CNY 1,727,830,232.93, indicating a growth of 11.7%[57]. - Cash inflow from investment activities totaled CNY 2,374,698,535.27, up from CNY 1,029,505,696.48, marking a significant increase of 130.5%[58]. - Cash inflow from financing activities was CNY 1,756,747,597.20, compared to CNY 1,668,001,208.70 in the previous period, reflecting a growth of 5.3%[59]. - The ending cash and cash equivalents balance was CNY 654,348,594.62, a decrease from CNY 664,200,362.79 in the previous period[59]. Research and Development - Research and development expenses surged by 75.57% to ¥54,642,177.56, attributed to increased R&D investments during the period[19]. - Research and development expenses increased significantly to ¥18,332,905.00, up 96.5% from ¥9,304,129.69 in the previous year[42]. - The company reported a significant increase in development expenditures to CNY 210,705,356.89 from CNY 97,083,596.05, an increase of approximately 117.67%[35]. Shareholder Information - The total number of shareholders at the end of the reporting period was 61,335, with the top ten shareholders holding a combined 37.59% of the shares[13]. - The largest shareholder, Shaanxi Provincial Government State-owned Assets Supervision and Administration Commission, held 15.94% of the shares[13]. Compliance and Governance - There were no significant changes in the company's strategy or new product developments mentioned during the reporting period[16]. - The company has no derivative investments during the reporting period, indicating a conservative investment strategy[27]. - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period, ensuring financial integrity[30]. - The company has not engaged in any research, communication, or interview activities during the reporting period, reflecting a focus on internal operations[28]. - The company has no violations regarding external guarantees, maintaining compliance with regulatory standards[29].

Financial Performance - The company's operating revenue for the first half of 2019 was ¥1,658,249,593.03, representing a 0.42% increase compared to ¥1,651,380,191.89 in the same period last year[18]. - The net profit attributable to shareholders was ¥5,772,101.11, a significant increase of 47.97% from ¥3,900,941.49 in the previous year[18]. - Basic earnings per share rose to ¥0.0083, reflecting a 48.21% increase compared to ¥0.0056 in the same period last year[18]. - The total profit reached 34.48 million yuan, a 68.7% increase compared to 20.44 million yuan in the previous year, completing 75.4% of the annual budget target[41]. - The net profit attributable to the parent company was 5.77 million yuan, up 47.97% from 3.90 million yuan year-on-year, achieving 37.6% of the annual budget target[41]. - The company reported a total comprehensive income of CNY 22,713,192.24 for the first half of 2019, compared to CNY 11,260,444.49 in the same period of 2018, indicating a growth of about 101.5%[181]. Assets and Liabilities - The total assets at the end of the reporting period were ¥9,189,584,889.71, up 1.48% from ¥9,055,794,529.23 at the end of the previous year[18]. - The total liabilities amounted to CNY 5,870,005,779.18, compared to CNY 5,754,440,335.10, marking an increase of around 2.01%[172]. - The company's short-term borrowings increased to ¥1.96 billion, representing 21.28% of total liabilities, up from 18.13% last year[66]. - The total non-current assets decreased to CNY 3,511,516,759.68 from CNY 3,689,690,595.15, reflecting a decline of about 4.82%[170]. Cash Flow - The net cash flow from operating activities was -¥109,192,434.26, an improvement from -¥137,576,734.38 in the same period last year[18]. - Cash inflow from operating activities totaled 1,344,758,214.79 CNY, an increase from 1,136,521,448.44 CNY in the previous year[188]. - Cash outflow from operating activities was 1,453,950,649.05 CNY, up from 1,274,098,182.82 CNY in the same period last year, leading to a net cash flow from operating activities of -109,192,434.26 CNY[188]. Research and Development - Research and development expenses increased by 66.42% year-on-year, amounting to 36.31 million CNY, reflecting a significant investment in innovation[31]. - The company planned 70 new product research projects, with 55 new product developments and 15 research projects, and applied for 15 patents, of which 10 were authorized[34]. - The company aims to develop mid-to-high-end automotive automatic transmission gear manufacturing solutions, enhancing its competitive advantage in the automotive parts industry[89]. Strategic Focus and Market Position - The company maintained a strategic focus on "technology leadership and model victory," adapting to market pressures through supply chain integration and investment in key industrial projects[27]. - The company aims to transform from a simple "product supplier" to a comprehensive "user process engineer" and "total equipment engineer" through a full lifecycle management approach[29]. - The company is addressing the challenges of high comprehensive costs and external uncertainties, including trade tensions and environmental regulations[46]. Risk Management - The company has outlined potential risks in its future plans and development strategies, urging investors to be cautious[5]. - The company faces significant risks including policy risks, industry risks, and international trade risks, which could impact future performance[85][86][87]. - To mitigate risks, the company plans to enhance its digital manufacturing capabilities and develop high-end intelligent manufacturing equipment[88]. Environmental Compliance - The company complied with environmental discharge standards, with no exceedances reported for major pollutants[123]. - The company has established two wastewater treatment stations, ensuring compliance with discharge standards for both production and domestic wastewater[126]. - The company has implemented a "sudden environmental incident emergency plan" approved by local environmental authorities, ensuring preparedness for environmental emergencies[130]. Social Responsibility - The company invested 2.62 million RMB in social poverty alleviation initiatives as part of its broader commitment to social responsibility[143]. - The company has been recognized as a "Good Enterprise in Assisting Poverty Alleviation" by the Shaanxi Provincial Poverty Alleviation Command in 2018[143]. - The company has actively participated in the construction of beautiful rural areas in Baoji City, providing necessary support and funding[137]. Shareholder Information - The total share count is 693,370,910, with 84.03% being unrestricted shares[149]. - The largest shareholder, Shaanxi Provincial Government State-owned Assets Supervision and Administration Commission, holds 15.94% of shares, totaling 110,499,048 shares[154]. - The company has not undergone any changes in its controlling shareholder during the reporting period[156].

Financial Performance - The company's operating revenue for Q1 2019 was ¥865,712,303.73, representing a 21.36% increase compared to ¥713,317,559.98 in the same period last year[9]. - Net profit attributable to shareholders was ¥6,105,161.78, a significant increase of 44.71% from ¥4,218,782.77 year-on-year[9]. - Basic earnings per share rose to ¥0.0088, reflecting a 44.26% increase from ¥0.0061 in the previous year[9]. - Total revenue for the current period reached ¥865,712,303.73, an increase of 21.4% compared to ¥713,317,559.98 in the previous period[59]. - Net profit for the current period was ¥16,656,435.32, representing a 47.5% increase from ¥11,316,475.77 in the previous period[61]. - The net profit for the current period was -¥12,932,918.99, compared to -¥1,285,650.16 in the previous period, indicating a significant decline[71]. - The total comprehensive income for the current period was -¥12,932,918.99, a decrease from -¥1,285,650.16 in the previous period[71]. Assets and Liabilities - Total assets at the end of the reporting period were ¥9,332,347,649.04, up 3.05% from ¥9,055,794,529.23 at the end of the previous year[9]. - Total assets as of March 31, 2019, were CNY 9,332,347,649.04, compared to CNY 9,055,794,529.23 at the end of 2018, representing an increase of approximately 3%[42]. - Total current assets increased from CNY 5,366,103,934.08 to CNY 5,600,501,783.47, a rise of CNY 233,837,849.39[85]. - Total liabilities increased to CNY 6,022,081,672.81 from CNY 5,754,440,335.10, marking an increase of approximately 4.7%[46]. - Current liabilities totaled ¥2,134,374,442.71, compared to ¥2,055,703,779.77, indicating an increase of 3.8%[56]. - Total liabilities are $2.45 billion, with non-current liabilities amounting to $398 million[96]. Cash Flow - The net cash flow from operating activities was -¥62,549,680.33, an improvement from -¥138,768,045.80 in the same period last year[9]. - Cash inflow from operating activities totaled ¥655,544,203.74, compared to ¥468,465,936.42 in the previous period, reflecting a strong increase[71]. - The net cash flow from investment activities was 5,679,869.50, a recovery from -488,324,486.68 in the previous period, reflecting a positive turnaround[75]. - The cash outflow for operating activities was 286,903,339.21, a decrease from 307,042,654.35 in the previous period, indicating improved cost management[78]. Shareholder Information - The total number of shareholders at the end of the reporting period was 73,181[12]. - The largest shareholder, the Shaanxi Provincial Government State-owned Assets Supervision and Administration Commission, held 15.94% of the shares[12]. Research and Development - R&D expenses rose by 45.06% to CNY 17,185,871.06, reflecting increased investment in research and development[22]. - Research and development expenses for the current period were ¥17,185,871.06, up from ¥11,847,280.02, showing a significant increase of 45.0%[59]. Tax and Other Charges - Tax and additional charges surged by 89.33% to CNY 12,860,680.89, mainly due to an increase in value-added tax payable[21]. - The company reported a 63.06% increase in taxes payable, amounting to CNY 50,262,499.01, primarily due to higher value-added tax obligations[21]. Other Financial Metrics - The weighted average return on equity was 0.24%, an increase from 0.15% in the previous year[9]. - The company reported non-recurring gains and losses totaling ¥15,286,917.25 for the reporting period[11]. - The company reported no derivative investments or non-compliance with external guarantees during the reporting period[33][34]. - There were no non-operating fund occupations by controlling shareholders or related parties during the reporting period[34].

Financial Performance - The company's operating revenue for 2018 was ¥3,188,240,554.94, representing a 6.28% increase compared to ¥2,999,885,477.11 in 2017[24] - The net profit attributable to shareholders was a loss of ¥279,775,177.96, compared to a profit of ¥16,455,025.72 in the previous year[24] - The net cash flow from operating activities was negative at ¥34,533,967.81, down from a positive cash flow of ¥5,720,257.05 in 2017[24] - The total assets at the end of 2018 amounted to ¥9,055,794,529.23, an increase of 4.08% from ¥8,700,779,087.39 at the end of 2017[24] - The net assets attributable to shareholders decreased by 9.62% to ¥2,554,114,325.95 from ¥2,825,894,604.69 in 2017[24] - The basic earnings per share for 2018 was -¥0.4035, compared to ¥0.0237 in 2017[24] - The weighted average return on net assets was -10.40% in 2018, down from 0.58% in the previous year[24] Revenue and Sales - In 2018, Qin Chuan Machine Tool Group achieved a total operating revenue of 3.188 billion yuan, representing a year-on-year growth of 6.28%, with main business revenue increasing by 6.49% to 3.144 billion yuan[40] - The machine tool segment generated CNY 1,532,903,453.54, accounting for 48.08% of total revenue, with an 8.14% increase compared to the previous year[69] - The parts segment saw revenue of CNY 662,707,550.07, which is 20.79% of total revenue, reflecting a 14.52% year-on-year growth[69] - The tools segment reported revenue of CNY 360,904,238.99, contributing 11.32% to total revenue, with a 9.42% increase from 2017[69] - The company sold 11,096 machine tools in 2018, an increase of 18.61% from 9,355 units sold in 2017[73] - The total revenue for the company reached 2,658,880,084.12 CNY, an increase of 8.77% compared to the previous year[78] Cash Flow and Investments - Cash and cash equivalents decreased by 37.92% to ¥911.83 million from ¥1,468.69 million due to the subsidiary Qin Chuan Leasing investing deposits into financing lease assets[43] - Long-term receivables increased by 271.94% to ¥644.38 million from ¥173.25 million, primarily due to the expansion of Qin Chuan Leasing's business[43] - Investment cash payments increased by 66.63% to ¥2.23 billion from ¥1.34 billion, mainly due to increased investments in leasing equipment and factoring business[45] - The company reported an investment income of ¥18,576,879.18, accounting for -6.69% of total profit, primarily due to decreased returns from trust products and trading financial assets[93] Research and Development - The company has established multiple research and development centers, including a national-level enterprise technology center and a post-doctoral research station, enhancing its innovation capabilities[36] - Research and development expenses rose by 40.42% to ¥112.79 million from ¥80.32 million, driven by costs related to national major projects and new product trials[45] - The company developed three series of CNC systems, covering turning and milling, through the "National CNC System Engineering Technology Research Center" platform[55] - The company developed 106 new products and applied for 27 patents during the year, including 7 invention patents[88] Market Position and Strategy - The company is positioned as a leading enterprise in the machine tool industry, ranking second in terms of operating revenue among Chinese machine tool companies[40] - The company aims to optimize its business model and enhance competitiveness by focusing on technological advancements and meeting customized user demands[49] - The company will focus on the digital processing, assembly, and testing of gears for automatic transmissions, particularly for new energy vehicles[121] - The company intends to accelerate the production and sales of robot BX reducers, leveraging local advantages in precision machinery and micro-motors[121] Risks and Challenges - The company has reported potential risks in its operations, which investors should be aware of[6] - The machine tool industry faced challenges in 2018, with a decline in new orders by 8.8% and a decrease in production volume by 24.5% year-on-year[39] - The company faces significant policy risks, including rising steel prices due to capacity restrictions and increased operational costs for environmental compliance, which may impact profit margins[145] - Industry risks include uncertainties stemming from the machine tool sector's dependence on various industries such as automotive and aerospace, which may affect future growth[145] Future Outlook - The company aims for a revenue target of 3.315 billion CNY and a total profit of 45.7431 million CNY for 2019[126] - The company expects the machine tool industry to face downward pressure in 2019, with overall revenue remaining stable or slightly fluctuating compared to 2018[119] - The company plans to mitigate risks by enhancing high-precision, high-efficiency product technology and expanding into high-end intelligent manufacturing equipment[150] Shareholder and Governance - The company plans not to distribute cash dividends or issue bonus shares[7] - The cash dividend policy has been refined to enhance shareholder returns, with clear standards and decision-making processes established[160] - The company did not distribute profits or implement stock dividends in 2016, 2017, and 2018, with a net profit of -279.78 million in 2018 and 16.46 million in 2017[161][162][165] Operational Adjustments - The company has not made any changes to its main business since its listing[22] - The company has not engaged in any significant related party transactions during the reporting period[185] - The company has no ongoing major litigation or arbitration matters[179]