Group 1 - The company reported a revenue of 1.068 billion yuan for the first half of 2025, representing a year-on-year increase of 1.52% [1] - The net profit for the same period was 150 million yuan, showing a year-on-year growth of 4.72% [1] - The company announced plans not to distribute cash dividends, issue bonus shares, or increase share capital from reserves [1]

[Section 1: Important Notices, Table of Contents, and Definitions](index=2&type=section&id=Section%201%3A%20Important%20Notices%2C%20Table%20of%20Contents%2C%20and%20Definitions) [Important Notice](index=2&type=section&id=Important%20Notice) The company's board and management affirm the semi-annual report's authenticity and assume legal liability for its contents - The Board of Directors and senior management guarantee the truthfulness, accuracy, and completeness of the semi-annual report, with no false records, misleading statements, or major omissions[4](index=4&type=chunk) - Company head Wu Jianxin, chief accountant Zhang Qiqiang, and accounting head Lin Dongxiang affirm the truthfulness, accuracy, and completeness of the financial report[4](index=4&type=chunk) - The company advises investors of risks related to technology and markets, industry policies, market development, operational scale, accounts receivable, and goodwill impairment[5](index=5&type=chunk) - The company **does not plan to distribute cash dividends**, issue bonus shares, or convert capital reserves into share capital[6](index=6&type=chunk) [List of Documents for Inspection](index=4&type=section&id=List%20of%20Documents%20for%20Inspection) The list of available documents includes the signed semi-annual report, financial statements, and all original public disclosures from the reporting period - Documents for inspection include the 2025 semi-annual report text signed by legal representative Wu Jianxin[10](index=10&type=chunk) - Documents for inspection include financial statements signed and sealed by the legal representative, chief accountant, and head of the accounting department[10](index=10&type=chunk) - Documents for inspection include originals of all company documents and announcements publicly disclosed on CSRC-designated newspapers during the reporting period[11](index=11&type=chunk) [Definitions](index=5&type=section&id=Definitions) This section defines key terms used throughout the report, including company names, institutions, regulations, and the reporting period - "The Company," "This Company," "Jiangsu Shentong," or "Listed Company" refers to Jiangsu Shentong Valve Co, Ltd[12](index=12&type=chunk) - "Reporting Period" refers to the period from January 1, 2025, to June 30, 2025[12](index=12&type=chunk) - "This Report" refers to the 2025 Semi-Annual Report of Jiangsu Shentong Valve Co, Ltd[12](index=12&type=chunk) [Section 2: Company Profile and Key Financial Indicators](index=6&type=section&id=Section%202%3A%20Company%20Profile%20and%20Key%20Financial%20Indicators) [I. Company Profile](index=6&type=section&id=I.%20Company%20Profile) Jiangsu Shentong Valve Co, Ltd is listed on the Shenzhen Stock Exchange under stock code 002438, with Wu Jianxin as the legal representative - The company's stock short name is Jiangsu Shentong, stock code is 002438, and it is listed on the Shenzhen Stock Exchange[14](index=14&type=chunk) - The company's legal representative is Wu Jianxin[14](index=14&type=chunk) [II. Contacts](index=6&type=section&id=II.%20Contacts) The company's Board Secretary is Zhang Qiqiang and the Securities Affairs Representative is Chen Mingdi - Board Secretary: Zhang Qiqiang, Contact Address: No 8 Shengtong Road, Qidong City, Jiangsu Province, Phone: 0513-83335899, Email: zhangqq@stfm.cn[15](index=15&type=chunk) - Securities Affairs Representative: Chen Mingdi, Contact Address: No 8 Shengtong Road, Qidong City, Jiangsu Province, Phone: 0513-83333645, Email: chenmd@stfm.cn[15](index=15&type=chunk) [III. Other Information](index=6&type=section&id=III.%20Other%20Information) Company contact details remained unchanged, with disclosures made via "Securities Times," "Shanghai Securities News," and Cninfo - The company's registered address, office address, website, and email address remained unchanged during the reporting period[16](index=16&type=chunk) - The media for disclosing the semi-annual report are "Securities Times," "Shanghai Securities News," and http://www.cninfo.com.cn[17](index=17&type=chunk) - The company's semi-annual report is available for inspection at the company's Board of Directors' office[17](index=17&type=chunk) [IV. Key Accounting Data and Financial Indicators](index=7&type=section&id=IV.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) In H1 2025, revenue grew 1.52% to RMB 1.07 billion, while net profit attributable to shareholders rose 4.72% to RMB 150 million Key Accounting Data and Financial Indicators for H1 2025 | Indicator | Current Period (RMB) | Same Period Last Year (RMB) | YoY Change | | :--- | :--- | :--- | :--- | | Operating Revenue | 1,068,343,601.77 | 1,052,299,393.98 | 1.52% | | Net Profit Attributable to Shareholders | 150,392,321.57 | 143,617,967.89 | 4.72% | | Net Profit Attributable to Shareholders (Excluding Non-recurring Items) | 137,754,718.30 | 126,918,987.75 | 8.54% | | Net Cash Flow from Operating Activities | -35,957,610.47 | -61,101,662.55 | 41.15% | | Basic Earnings Per Share (RMB/share) | 0.2963 | 0.2830 | 4.70% | | Diluted Earnings Per Share (RMB/share) | 0.2963 | 0.2830 | 4.70% | | Weighted Average Return on Equity | 4.19% | 4.29% | Decreased by 0.10 percentage points | | **End of Current Period** | **End of Last Year** | **Change from End of Last Year** | | | Total Assets | 6,029,321,687.34 | 6,081,865,717.78 | -0.86% | | Net Assets Attributable to Shareholders | 3,586,528,830.97 | 3,513,514,355.60 | 2.08% | [V. Differences in Accounting Data under Domestic and Foreign Accounting Standards](index=7&type=section&id=V.%20Differences%20in%20Accounting%20Data%20under%20Domestic%20and%20Foreign%20Accounting%20Standards) There were no discrepancies in net profit or net assets between Chinese accounting standards and international or foreign standards - The company has no discrepancies in net profit and net assets between financial reports disclosed under international accounting standards and Chinese accounting standards[20](index=20&type=chunk) - The company has no discrepancies in net profit and net assets between financial reports disclosed under foreign accounting standards and Chinese accounting standards[21](index=21&type=chunk) [VI. Non-recurring Profit and Loss Items and Amounts](index=7&type=section&id=VI.%20Non-recurring%20Profit%20and%20Loss%20Items%20and%20Amounts) Non-recurring profit and loss totaled RMB 12.64 million, primarily from fair value changes, government grants, and impairment reversals Non-recurring Profit and Loss Items and Amounts for H1 2025 | Item | Amount (RMB) | | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets | 48,095.83 | | Government Grants Recognized in Current Profit or Loss (excluding continuous impact) | 1,439,044.16 | | Fair Value Gains/Losses from Financial Assets/Liabilities Held by Non-financial Enterprises | 11,635,442.19 | | Reversal of Impairment Provision for Individually Tested Accounts Receivable | 2,152,853.19 | | Other Non-operating Income and Expenses | -450,232.78 | | Other Items Meeting the Definition of Non-recurring Profit or Loss | 85,024.93 | | Less: Income Tax Impact | 2,256,500.66 | | Less: Minority Interest Impact (After Tax) | 16,123.59 | | **Total** | **12,637,603.27** | - The company has no other specific items that meet the definition of non-recurring profit or loss[24](index=24&type=chunk) - The company did not reclassify any non-recurring profit and loss items listed in "Explanatory Announcement No 1 on Information Disclosure for Companies Offering Securities to the Public — Non-recurring Profit and Loss" as recurring items[24](index=24&type=chunk) [Section 3: Management Discussion and Analysis](index=9&type=section&id=Section%203%3A%20Management%20Discussion%20and%20Analysis) [I. Principal Business Activities During the Reporting Period](index=9&type=section&id=I.%20Principal%20Business%20Activities%20During%20the%20Reporting%20Period) The company specializes in valves and forgings for metallurgy and energy sectors and provides energy-saving services through a subsidiary - The company's main business includes R&D, production, and sales of valves and flanges for metallurgy, nuclear power, petrochemicals, and other energy sectors[26](index=26&type=chunk) - Through its subsidiary Ruifan Energy Saving, the company undertakes EPC and energy management contracts for dry dust removal systems[26](index=26&type=chunk) - The company operates on a **"produce-to-order"** model with a combined "procure-for-production" and "strategic inventory" purchasing strategy, primarily using a direct sales model[28](index=28&type=chunk)[29](index=29&type=chunk)[30](index=30&type=chunk) - During the reporting period, the company secured **new orders worth RMB 1.072 billion**, with Shentong Nuclear Energy and Wuxi Flange contributing RMB 483 million and RMB 301 million, respectively[39](index=39&type=chunk) Key Operating Performance in H1 2025 | Indicator | Amount (RMB 10,000s) | YoY Growth | | :--- | :--- | :--- | | Operating Revenue | 106,834.36 | 1.52% | | Operating Profit | 17,318.50 | 9.93% | | Net Profit Attributable to Shareholders | 15,039.23 | 4.72% | [II. Core Competitiveness Analysis](index=12&type=section&id=II.%20Core%20Competitiveness%20Analysis) The company's core strengths lie in product leadership, technological innovation, quality management, and talent advantages - In the nuclear power valve sector, the company has achieved **comprehensive domestic production** of core products like nuclear-grade butterfly and ball valves and continues to develop new products[41](index=41&type=chunk) - In the metallurgical valve sector, the company holds a **market share exceeding 70%** for its main products and promotes a "Valve Butler" project for full lifecycle services[42](index=42&type=chunk) - In the petrochemical sector, the company has developed specialized products such as low-emission, cryogenic, and high-performance valves, achieving breakthroughs in the hydrogen energy market[42](index=42&type=chunk)[43](index=43&type=chunk) - The company possesses a provincial key laboratory, a national-level technology center, and a post-doctoral research station, holding **466 valid patents**[44](index=44&type=chunk)[45](index=45&type=chunk) - Its subsidiary, Dongyuan Testing, operates leading valve flow characteristic and cryogenic testing facilities, accredited by CNAS and CMA[47](index=47&type=chunk) - The company boasts a high-quality team of over **200 R&D personnel**, 60 quality assurance professionals, and nearly 100 marketing staff[49](index=49&type=chunk) [III. Analysis of Main Business Operations](index=14&type=section&id=III.%20Analysis%20of%20Main%20Business%20Operations) Revenue grew modestly while financial expenses decreased significantly due to reduced borrowing and lower interest rates YoY Changes in Key Financial Data for H1 2025 | Indicator | Current Period (RMB) | Same Period Last Year (RMB) | YoY Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 1,068,343,601.77 | 1,052,299,393.98 | 1.52% | - | | Operating Cost | 722,926,317.26 | 720,003,959.54 | 0.41% | - | | Financial Expenses | 8,306,505.24 | 12,304,514.42 | -32.49% | Reduced long-term bank loans and lower interest rates | | Income Tax Expense | 24,434,304.16 | 14,075,535.25 | 73.59% | Change in tax incentives for some EMC projects of subsidiary Ruifan Energy Saving | | Net Cash Flow from Operating Activities | -35,957,610.47 | -61,101,662.55 | 41.15% | Decreased cash paid for goods and services; increased other operating cash receipts | | Net Cash Flow from Investing Activities | 200,227,950.16 | -129,112,371.31 | 255.08% | Recovery of investment from Rizhao Ruifan Energy Saving Equity Investment Partnership | | Net Cash Flow from Financing Activities | -371,245,006.51 | -118,133,713.22 | -214.26% | Repayment of financing by subsidiary Ruifan Energy Saving to Rizhao Ruifan Energy Saving Equity Investment Partnership | Operating Revenue Breakdown by Industry for H1 2025 | Industry | Amount (RMB) | % of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | | Metallurgy | 197,121,544.86 | 18.45% | -10.91% | | Nuclear Power | 409,899,129.26 | 38.37% | 15.67% | | Energy | 182,164,878.61 | 17.05% | -19.07% | | Energy Saving Services | 200,604,400.49 | 18.78% | 6.82% | | Other Business | 78,553,648.55 | 7.35% | 23.12% | Operating Revenue Breakdown by Product for H1 2025 | Product | Amount (RMB) | % of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | | Butterfly Valve | 254,551,249.96 | 23.83% | -4.67% | | Ball Valve | 74,189,156.31 | 6.94% | -8.76% | | Goggle Valve | 51,686,780.34 | 4.84% | -17.15% | | Sump Strainer | 40,529,646.00 | 3.79% | 189.59% | | Flanges and Forgings | 246,732,837.21 | 23.09% | -9.19% | | Non-standard Valves | 103,158,496.46 | 9.66% | 10.12% | | Gate Valve | 18,337,386.45 | 1.72% | 73.07% | | Energy Saving Services | 200,604,400.49 | 18.78% | 6.82% | | Other Business | 78,553,648.55 | 7.35% | 23.12% | Operating Revenue Breakdown by Region for H1 2025 | Region | Amount (RMB) | % of Operating Revenue | YoY Change | | :--- | :--- | :--- | :--- | | East China | 319,206,469.98 | 29.88% | -10.51% | | North China | 410,131,532.08 | 38.39% | 15.08% | | Southwest China | 29,667,785.45 | 2.78% | -50.79% | | Central China | 40,530,888.14 | 3.79% | 8.62% | | West China | 10,176,984.39 | 0.95% | 103.02% | | Northeast China | 45,471,246.26 | 4.26% | 84.36% | | South China | 95,827,141.73 | 8.97% | -21.91% | | Northwest China | 38,089,494.59 | 3.57% | 50.44% | | Overseas | 688,410.60 | 0.06% | 688.09% | [IV. Analysis of Non-core Business](index=17&type=section&id=IV.%20Analysis%20of%20Non-core%20Business) Investment income and asset impairment were the primary non-core contributors to total profit, at 8.10% and 8.01% respectively Impact of Non-core Business on Total Profit for H1 2025 | Item | Amount (RMB) | % of Total Profit | Reason | Sustainability | | :--- | :--- | :--- | :--- | :--- | | Investment Income | 13,989,529.75 | 8.10% | Income from long-term equity investments, trading financial assets, and disposal of equity investments | No | | Fair Value Change Gains/Losses | 432,963.05 | 0.25% | Trading financial assets | No | | Asset Impairment | 13,840,852.44 | 8.01% | Impairment losses on contract assets, inventory, and contract fulfillment costs | No | | Non-operating Income | 28,759.31 | 0.02% | Fines, default penalties, insurance compensation, etc | No | | Non-operating Expenses | 478,992.09 | 0.28% | Losses on disposal of fixed assets, late fees, etc | No | [V. Analysis of Assets and Liabilities](index=17&type=section&id=V.%20Analysis%20of%20Assets%20and%20Liabilities) Total assets slightly decreased by 0.86% to RMB 6.03 billion, with cash decreasing due to dividend payments and loan repayments Significant Changes in Asset Composition in H1 2025 | Item | End of Period Amount (RMB) | % of Total Assets | End of Last Year Amount (RMB) | % of Total Assets | Change in Proportion | Reason for Change | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 315,792,821.71 | 5.24% | 530,491,142.27 | 8.72% | -3.48% | Cash dividend distribution and repayment of bank loans | | Accounts Receivable | 1,214,642,557.72 | 20.15% | 1,039,391,398.25 | 17.09% | 3.06% | - | | Construction in Progress | 94,709,634.85 | 1.57% | 144,001,458.22 | 2.37% | -0.80% | Capitalization of Handan Steel No 3 blast furnace energy-saving project by subsidiary Ruifan Energy Saving | | Long-term Borrowings | 120,065,547.95 | 1.99% | 242,894,416.66 | 3.99% | -2.00% | Repayment of bank loans | | Other Non-current Financial Assets | 26,733,543.08 | 0.44% | 18,233,543.08 | 0.30% | 0.14% | New investment in Suzhou Oriza Holdings Innovation Growth Phase II Equity Investment Partnership | - The company had no major overseas assets during the reporting period[61](index=61&type=chunk) - Assets measured at fair value, mainly financial assets, totaled **RMB 362.40 million** at the end of the period[62](index=62&type=chunk) - As of the end of the reporting period, restricted assets were mainly cash and cash equivalents of **RMB 34.86 million**, used for letter of guarantee deposits and bank acceptance bill deposits[63](index=63&typechunk) [VI. Investment Status Analysis](index=19&type=section&id=VI.%20Investment%20Status%20Analysis) The company's investment amount was RMB 155.5 million, a significant increase from the same period last year Investment Amount in H1 2025 | Indicator | Amount (RMB) | | :--- | :--- | | Investment in Reporting Period | 155,500,000.00 | | Investment in Same Period Last Year | 0.00 | | Change | —— | - The company had no securities investments or derivatives investments during the reporting period[65](index=65&type=chunk)[66](index=66&type=chunk) - The company did not use any raised funds during the reporting period[67](index=67&type=chunk) [VII. Sale of Major Assets and Equity](index=19&type=section&id=VII.%20Sale%20of%20Major%20Assets%20and%20Equity) No major sales of assets or equity occurred during the reporting period - The company did not sell any major assets during the reporting period[68](index=68&type=chunk) - The company did not sell any major equity stakes during the reporting period[69](index=69&type=chunk) [VIII. Analysis of Major Subsidiaries and Investees](index=20&type=section&id=VIII.%20Analysis%20of%20Major%20Subsidiaries%20and%20Investees) The company has 7 subsidiaries and 3 associates, with Wuxi Flange, Ruifan Energy Saving, and Shentong Nuclear Energy being key profit contributors - At the end of the reporting period, the company had **7 subsidiaries and 3 associate companies**[75](index=75&type=chunk) Financial Data of Major Subsidiaries and Associates for H1 2025 | Company Name | Type | Registered Capital (RMB 10,000s) | Total Assets (RMB) | Net Assets (RMB) | Operating Revenue (RMB) | Net Profit (RMB) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Wuxi Flange Forging Co, Ltd | Subsidiary | 20000 | 1,032,443,839.82 | 559,090,028.33 | 269,094,066.42 | 23,202,085.64 | | Ruifan Energy Saving Technology Co, Ltd | Subsidiary | 5000 | 1,647,604,114.27 | 354,013,042.03 | 200,604,400.49 | 34,660,689.55 | | Jiangsu Shentong Nuclear Power Equipment Co, Ltd | Subsidiary | 31555.136436 | 1,198,129,825.85 | 653,103,579.50 | 313,120,059.37 | 85,882,611.14 | | Shentong Semiconductor Technology (Nantong) Co, Ltd | Subsidiary | 1080 | 27,950,058.77 | 26,296,084.41 | 67,549.84 | -5,677,281.05 | | Nantong Shentong New Energy Technology Co, Ltd | Associate | 1627.915800 | 89,887,878.33 | 77,730,068.13 | 8,735,055.30 | -5,571,520.75 | - Rizhao Ruifan Energy Saving Equity Investment Partnership (Limited Partnership) has completed its liquidation and deregistration, which will not materially affect the company's financial status or operations[75](index=75&type=chunk)[60](index=60&type=chunk) [IX. Structured Entities Controlled by the Company](index=30&type=section&id=IX.%20Structured%20Entities%20Controlled%20by%20the%20Company) The company did not control any structured entities during the reporting period - The company did not control any structured entities during the reporting period[81](index=81&type=chunk) [X. Risks and Countermeasures](index=30&type=section&id=X.%20Risks%20and%20Countermeasures) The company faces risks in technology, policy, market expansion, and management, which it addresses through various strategic initiatives - The company faces **technology and quality risks**, where R&D failures or product defects could adversely affect performance[81](index=81&type=chunk) - The company is exposed to **industry policy risks**, such as a downturn in the metallurgy sector or unfavorable changes in nuclear power policies[82](index=82&type=chunk) - The company faces **market development risks** if expansion into new areas like nuclear chemical, hydrogen, and petrochemicals falls short of expectations[84](index=84&type=chunk) - The company faces **management risks** associated with its expanding operational scale, requiring higher standards for the management team[85](index=85&type=chunk) - The company faces **accounts receivable risk**, with a balance of RMB 1.307 billion at period-end, posing a potential collection risk despite adequate provisions[86](index=86&type=chunk) - The company faces **goodwill impairment risk** related to the RMB 233 million in goodwill from the acquisition of Ruifan Energy Saving[87](index=87&type=chunk) - Countermeasures include strengthening Party building, promoting transformation, enhancing testing capabilities, implementing smart manufacturing, investing in R&D, innovating marketing models, and intensifying accounts receivable collection[89](index=89&type=chunk) [XI. Establishment and Implementation of Market Value Management System and Valuation Enhancement Plan](index=32&type=section&id=XI.%20Establishment%20and%20Implementation%20of%20Market%20Value%20Management%20System%20and%20Valuation%20Enhancement%20Plan) The company disclosed its "Market Value Management System" on August 9, 2025, to enhance market appeal and competitiveness - The company has established a market value management system and disclosed the "Market Value Management System" on Cninfo on August 9, 2025[90](index=90&type=chunk) - This system is an active response to the CSRC's "Regulatory Guideline No 10 for Listed Companies — Market Value Management"[90](index=90&type=chunk) - The company aims to enhance its market appeal and competitiveness by optimizing corporate governance, improving information disclosure quality, providing consistent dividends, and strengthening investor relations[90](index=90&type=chunk) [XII. Implementation of the "Dual Improvement of Quality and Returns" Action Plan](index=32&type=section&id=XII.%20Implementation%20of%20the%20%22Dual%20Improvement%20of%20Quality%20and%20Returns%22%20Action%20Plan) The company did not disclose a "Dual Improvement of Quality and Returns" action plan during the reporting period - The company did not disclose a "Dual Improvement of Quality and Returns" action plan announcement during the reporting period[91](index=91&type=chunk) [Section 4: Corporate Governance, Environment, and Society](index=33&type=section&id=Section%204%3A%20Corporate%20Governance%2C%20Environment%2C%20and%20Society) [I. Changes in Directors and Senior Management](index=33&type=section&id=I.%20Changes%20in%20Directors%20and%20Senior%20Management) There were no changes in the company's directors or senior management during the reporting period - There were no changes in the company's directors and senior management during the reporting period; for details, please refer to the 2024 annual report[93](index=93&type=chunk) [II. Profit Distribution and Capitalization of Capital Reserve for the Current Reporting Period](index=33&type=section&id=II.%20Profit%20Distribution%20and%20Capitalization%20of%20Capital%20Reserve%20for%20the%20Current%20Reporting%20Period) The company does not plan to distribute cash dividends, issue bonus shares, or capitalize capital reserves for the semi-annual period - The company plans not to distribute cash dividends, issue bonus shares, or convert capital reserves into share capital for the semi-annual period[94](index=94&type=chunk) [III. Implementation of Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=33&type=section&id=III.%20Implementation%20of%20Equity%20Incentive%20Plans%2C%20Employee%20Stock%20Ownership%20Plans%2C%20or%20Other%20Employee%20Incentive%20Measures) The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures during the period - The company had no equity incentive plans, employee stock ownership plans, or other employee incentive measures and their implementation during the reporting period[95](index=95&type=chunk) [IV. Environmental Information Disclosure](index=33&type=section&id=IV.%20Environmental%20Information%20Disclosure) The company and its key subsidiary are listed as enterprises required to disclose environmental information and have published their reports - The listed company and its main subsidiary, Jiangsu Shentong Nuclear Power Equipment Co, Ltd, are included in the list of enterprises required to disclose environmental information by law[96](index=96&type=chunk) - The environmental information disclosure reports for both Jiangsu Shentong Valve Co, Ltd and Jiangsu Shentong Nuclear Power Equipment Co, Ltd are available for query at the designated websites[96](index=96&type=chunk) [V. Social Responsibility](index=33&type=section&id=V.%20Social%20Responsibility) The company has not yet undertaken any poverty alleviation or rural revitalization initiatives during the reporting period - The company has not yet undertaken any poverty alleviation or rural revitalization work during the reporting period[97](index=97&type=chunk) [Section 5: Significant Events](index=34&type=section&id=Section%205%3A%20Significant%20Events) [I. Commitments Fulfilled During the Reporting Period and Overdue Commitments at Period-End](index=34&type=section&id=I.%20Commitments%20Fulfilled%20During%20the%20Reporting%20Period%20and%20Overdue%20Commitments%20at%20Period-End) All relevant parties, including the actual controller and shareholders, have strictly fulfilled their commitments with no overdue items - Huzhou Fenglinhuoshan Equity Investment Partnership (Limited Partnership) committed to maintaining the listed company's independence and has strictly fulfilled this commitment[99](index=99&type=chunk) - Ningbo Juyuan Ruili Venture Capital Partnership (Limited Partnership) committed to maintaining independence, avoiding competition, and regulating related-party transactions, and has strictly fulfilled these commitments[101](index=101&type=chunk)[102](index=102&type=chunk)[103](index=103&type=chunk) - Han Li committed to maintaining independence, avoiding competition, and regulating related-party transactions, and has strictly fulfilled these commitments[103](index=103&type=chunk)[104](index=104&type=chunk) - Wu Jianxin and Huzhou Fenglinhuoshan Equity Investment Partnership (Limited Partnership) committed not to seek control of the company and have strictly fulfilled this commitment[106](index=106&type=chunk) - Counterparties Xu Jianping, Wang Qiming, Yang Xichun, Du Zhirong, and Jiang Liying committed to avoiding competition, resolving property defects, and regulating related-party transactions, and have strictly fulfilled these commitments[106](index=106&type=chunk)[107](index=107&type=chunk) [II. Non-operational Fund Occupation by Controlling Shareholders and Other Related Parties](index=41&type=section&id=II.%20Non-operational%20Fund%20Occupation%20by%20Controlling%20Shareholders%20and%20Other%20Related%20Parties) There was no non-operational fund occupation by controlling shareholders or other related parties during the reporting period - The company had no non-operational fund occupation by controlling shareholders and other related parties during the reporting period[108](index=108&type=chunk) [III. Irregular External Guarantees](index=41&type=section&id=III.%20Irregular%20External%20Guarantees) The company had no irregular external guarantees during the reporting period - The company had no irregular external guarantees during the reporting period[109](index=109&type=chunk) [IV. Appointment and Dismissal of Accounting Firm](index=41&type=section&id=IV.%20Appointment%20and%20Dismissal%20of%20Accounting%20Firm) The company's semi-annual financial report has not been audited - The company's semi-annual report has not been audited[110](index=110&type=chunk) [V. Board's Explanation of "Non-standard Audit Report" for the Current Period](index=41&type=section&id=V.%20Board's%20Explanation%20of%20%22Non-standard%20Audit%20Report%22%20for%20the%20Current%20Period) No non-standard audit report was issued for the current reporting period - No non-standard audit report was applicable for the reporting period[111](index=111&type=chunk) [VI. Board's Explanation Regarding "Non-standard Audit Report" from the Previous Year](index=41&type=section&id=VI.%20Board's%20Explanation%20Regarding%20%22Non-standard%20Audit%20Report%22%20from%20the%20Previous%20Year) No non-standard audit report was issued for the previous year - No non-standard audit report was applicable for the reporting period[111](index=111&type=chunk) [VII. Bankruptcy and Reorganization Matters](index=41&type=section&id=VII.%20Bankruptcy%20and%20Reorganization%20Matters) No bankruptcy or reorganization matters occurred during the reporting period - No bankruptcy or reorganization matters occurred during the reporting period[111](index=111&type=chunk) [VIII. Litigation Matters](index=41&type=section&id=VIII.%20Litigation%20Matters) The company was not involved in any major litigation or arbitration during the reporting period - The company had no major litigation or arbitration matters during this reporting period[112](index=112&type=chunk) - The company had no other litigation matters during the reporting period[112](index=112&type=chunk) [IX. Penalties and Rectifications](index=41&type=section&id=IX.%20Penalties%20and%20Rectifications) No penalties or rectifications occurred during the reporting period - No penalties or rectifications occurred during the reporting period[112](index=112&type=chunk) [X. Integrity Status of the Company, its Controlling Shareholders, and Actual Controller](index=41&type=section&id=X.%20Integrity%20Status%20of%20the%20Company%2C%20its%20Controlling%20Shareholders%2C%20and%20Actual%20Controller) There were no integrity issues concerning the company, its controlling shareholders, or the actual controller during the period - There were no integrity issues concerning the company, its controlling shareholders, or the actual controller during the reporting period[113](index=113&type=chunk) [XI. Significant Related-Party Transactions](index=42&type=section&id=XI.%20Significant%20Related-Party%20Transactions) The company engaged in routine operational transactions with related parties, with all pricing based on market principles Related-Party Transactions in Connection with Daily Operations for H1 2025 | Related Party | Transaction Type | Transaction Content | Amount (RMB 10,000s) | % of Similar Transactions | | :--- | :--- | :--- | :--- | :--- | | Hebei Jinxi Iron & Steel Group Co, Ltd | Sales/Services | Providing services | 10,591.04 | 52.80% | | Hebei Jinxi Iron & Steel Group Co, Ltd | Sales/Services | Selling goods | 983.44 | 4.99% | | Hebei Jinxi Iron & Steel Group Co, Ltd | Purchases/Services | Receiving services | 744.35 | 67.78% | | Beijing Jinxi Green Building Technology Industry Group Co, Ltd | Purchases/Services | Purchasing goods | 127.43 | 0.54% | | Nantong Shentong New Energy Technology Co, Ltd | Purchases/Services | Receiving services | 155.76 | 0.58% | - The company had no related-party transactions involving the acquisition or sale of assets or equity during the reporting period[116](index=116&type=chunk) - The company had no joint external investments with related parties during the reporting period[117](index=117&type=chunk) - The company had no related-party credit or debt transactions during the reporting period[118](index=118&type=chunk) [XII. Major Contracts and Their Performance](index=44&type=section&id=XII.%20Major%20Contracts%20and%20Their%20Performance) The company had no major custody, contracting, or leasing agreements, while providing guarantees for its subsidiaries - The company had no custody, contracting, or leasing arrangements during the reporting period[122](index=122&type=chunk)[123](index=123&type=chunk)[124](index=124&type=chunk)[125](index=125&type=chunk) Guarantees Provided to Subsidiaries in H1 2025 | Guaranteed Party | Guarantee Limit (RMB 10,000s) | Actual Guarantee Amount (RMB 10,000s) | Guarantee Period | Fulfilled | | :--- | :--- | :--- | :--- | :--- | | Jiangsu Shentong Nuclear Power Equipment Co, Ltd | 90,000 | 64,000 | 1 Year | No | | Ruifan Energy Saving Technology Co, Ltd | 48,000 | 18,000 | 1 Year | Yes | | Total Approved Guarantee Limit for Subsidiaries in Period | 0 | 21,068.68 | | | | Total Approved Guarantee Limit for Subsidiaries at Period-End | 138,000 | 34,776.86 | | | | Ratio of Actual Total Guarantees to Company's Net Assets | | 9.70% | | | - The company had no entrusted wealth management or other major contracts during the reporting period[128](index=128&type=chunk)[129](index=129&type=chunk) [XIII. Explanation of Other Significant Matters](index=46&type=section&id=XIII.%20Explanation%20of%20Other%20Significant%20Matters) The company terminated a private placement and altered the funding method for a key industrialization project - The company terminated its private placement of shares and withdrew the application, a decision made after considering capital market conditions[130](index=130&type=chunk) - The company changed the implementation method for the "Large-scale Special Flange R&D and Industrialization Project," shifting from a loan to a capital increase for its subsidiary Wuxi Flange[131](index=131&type=chunk) - After this capital increase, Wuxi Flange's registered capital increased to **RMB 200 million**, with the company maintaining 100% ownership[131](index=131&type=chunk) [XIV. Significant Matters of Company Subsidiaries](index=46&type=section&id=XIV.%20Significant%20Matters%20of%20Company%20Subsidiaries) There were no significant matters concerning the company's subsidiaries during the reporting period - There were no significant matters concerning the company's subsidiaries during the reporting period[132](index=132&type=chunk) [Section 6: Changes in Share Capital and Shareholders](index=47&type=section&id=Section%206%3A%20Changes%20in%20Share%20Capital%20and%20Shareholders) [I. Changes in Share Capital](index=47&type=section&id=I.%20Changes%20in%20Share%20Capital) The company's total share count remained unchanged at 507.54 million shares, with 7.62% being restricted shares Share Capital Structure in H1 2025 | Item | Quantity (shares) | Proportion | | :--- | :--- | :--- | | I. Restricted Shares | 38,656,794 | 7.62% | | Of which: Domestic individual holdings | 38,656,794 | 7.62% | | II. Unrestricted Shares | 468,880,667 | 92.38% | | Of which: RMB ordinary shares | 468,880,667 | 92.38% | | III. Total Shares | 507,537,461 | 100.00% | - The company's total number of shares did not change during the reporting period[135](index=135&type=chunk) - There were no changes in restricted shares during the reporting period[136](index=136&type=chunk) [II. Securities Issuance and Listing](index=48&type=section&id=II.%20Securities%20Issuance%20and%20Listing) No securities were issued or listed during the reporting period - No securities were issued or listed during the reporting period[136](index=136&type=chunk) [III. Number of Shareholders and Shareholdings](index=48&type=section&id=III.%20Number%20of%20Shareholders%20and%20Shareholdings) The company had 27,660 ordinary shareholders, with the largest shareholder holding a 16.29% stake - At the end of the reporting period, the total number of ordinary shareholders was **27,660**[137](index=137&type=chunk) Shareholdings of Top 10 or >5% Shareholders in H1 2025 | Shareholder Name | Nature | Shareholding Ratio | Shares Held at Period-End | Change During Period (shares) | Restricted Shares | Unrestricted Shares | Pledged/Frozen Status (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Ningbo Juyuan Ruili Venture Capital Partnership (LP) | Domestic Non-SOE | 16.29% | 82,678,557 | 0 | 0 | 82,678,557 | Pledged 23,590,000 | | Wu Jianxin | Domestic Individual | 8.10% | 41,111,592 | 0 | 30,833,694 | 10,277,898 | N/A 0 | | Huzhou Fenglinhuoshan Equity Investment Partnership (LP) | Domestic Non-SOE | 5.00% | 25,376,863 | -9,695,000.00 | 0 | 25,376,863 | Pledged 24,785,295 | | Han Li | Domestic Individual | 1.91% | 9,700,000 | 0 | 7,275,000 | 2,425,000 | N/A 0 | - Han Li is the actual controller of the company's largest shareholder, Ningbo Juyuan Ruili Venture Capital Partnership (Limited Partnership)[137](index=137&type=chunk) [IV. Changes in Shareholdings of Directors and Senior Management](index=49&type=section&id=IV.%20Changes%20in%20Shareholdings%20of%20Directors%20and%20Senior%20Management) There were no changes in the shareholdings of directors or senior management during the reporting period - There were no changes in the shareholdings of the company's directors and senior management during the reporting period; for details, please refer to the 2024 annual report[139](index=139&type=chunk) [V. Changes in Controlling Shareholder or Actual Controller](index=49&type=section&id=V.%20Changes%20in%20Controlling%20Shareholder%20or%20Actual%20Controller) The company's controlling shareholder and actual controller remained unchanged during the reporting period - The company's controlling shareholder did not change during the reporting period[140](index=140&type=chunk) - The company's actual controller did not change during the reporting period[140](index=140&type=chunk) [VI. Preferred Stock Information](index=49&type=section&id=VI.%20Preferred%20Stock%20Information) The company had no preferred stock during the reporting period - The company had no preferred stock during the reporting period[141](index=141&type=chunk) [Section 7: Bond-related Matters](index=50&type=section&id=Section%207%3A%20Bond-related%20Matters) [Bond-related Matters](index=50&type=section&id=Bond-related%20Matters) The company had no bond-related matters during the reporting period - The company had no bond-related matters during the reporting period[143](index=143&type=chunk) [Section 8: Financial Report](index=51&type=section&id=Section%208%3A%20Financial%20Report) [I. Audit Report](index=51&type=section&id=I.%20Audit%20Report) The semi-annual financial report has not been audited - The semi-annual financial report has not been audited[145](index=145&type=chunk) [II. Financial Statements](index=51&type=section&id=II.%20Financial%20Statements) This section presents the consolidated and parent company financial statements for the first half of 2025 Key Data from Consolidated Balance Sheet as of June 30, 2025 | Item | Closing Balance (RMB) | Opening Balance (RMB) | | :--- | :--- | :--- | | Total Assets | 6,029,321,687.34 | 6,081,865,717.78 | | Total Liabilities | 2,433,990,550.99 | 2,567,289,293.23 | | Total Equity Attributable to Parent Company | 3,586,528,830.97 | 3,513,514,355.60 | | Total Equity | 3,595,331,136.35 | 3,514,576,424.55 | Key Data from Consolidated Income Statement for H1 2025 | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 1,068,343,601.77 | 1,052,299,393.98 | | Operating Profit | 173,184,984.42 | 157,537,810.48 | | Total Profit | 172,734,751.64 | 157,384,323.74 | | Net Profit | 148,300,447.48 | 143,308,788.49 | | Net Profit Attributable to Parent Company Shareholders | 150,392,321.57 | 143,617,967.89 | | Basic Earnings Per Share | 0.2963 | 0.2830 | Key Data from Consolidated Cash Flow Statement for H1 2025 | Item | H1 2025 (RMB) | H1 2024 (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -35,957,610.47 | -61,101,662.55 | | Net Cash Flow from Investing Activities | 200,227,950.16 | -129,112,371.31 | | Net Cash Flow from Financing Activities | -371,245,006.51 | -118,133,713.22 | | Net Increase in Cash and Cash Equivalents | -206,994,381.23 | -308,351,828.05 | | Closing Balance of Cash and Cash Equivalents | 280,935,693.90 | 313,779,840.97 | [III. Company Basic Information](index=69&type=section&id=III.%20Company%20Basic%20Information) Jiangsu Shentong Valve Co, Ltd was established in 2007 and is headquartered in Qidong City, Jiangsu Province - Jiangsu Shentong Valve Co, Ltd was established on June 14, 2007, and its total share capital was **507,537,461 shares** as of January 2022[181](index=181&type=chunk)[182](index=182&type=chunk)[183](index=183&type=chunk)[184](index=184&type=chunk)[186](index=186&type=chunk)[187](index=187&type=chunk) - The company's legal representative is Wu Jianxin, its registered office and headquarters are in Qidong City, Jiangsu Province, and it operates under a perpetual business term[188](index=188&type=chunk)[190](index=190&type=chunk)[191](index=191&type=chunk) - The company's main business scope includes the R&D, production, and sale of valves and machinery for metallurgy, power, and chemical industries, as well as equipment installation and maintenance[191](index=191&type=chunk) - The consolidated financial statements for H1 2025 include **7 subsidiaries**[193](index=193&type=chunk) [IV. Basis of Preparation for Financial Statements](index=71&type=section&id=IV.%20Basis%20of%20Preparation%20for%20Financial%20Statements) The financial statements are prepared on a going concern basis in accordance with China's Accounting Standards for Business Enterprises - The company prepares its financial statements on a going concern basis, recognizing and measuring transactions and events in accordance with the Accounting Standards for Business Enterprises and related guidelines[194](index=194&type=chunk) - The company also discloses financial information in accordance with the CSRC's "Compilation Rules for Information Disclosure by Companies Offering Securities to the Public No 15 — General Provisions on Financial Reports (2023 Revision)"[194](index=194&type=chunk) - The company has assessed its ability to continue as a going concern for the 12 months from the end of the reporting period and found no events that would affect this ability[195](index=195&type=chunk) [V. Significant Accounting Policies and Estimates](index=71&type=section&id=V.%20Significant%20Accounting%20Policies%20and%20Estimates) This section details the key accounting policies for business combinations, financial instruments, revenue recognition, and other critical areas - The financial statements prepared by the company comply with the requirements of the Accounting Standards for Business Enterprises, truly and completely reflecting the company's financial position, operating results, and cash flows[197](index=197&type=chunk) - The company's fiscal year is the calendar year from January 1 to December 31, and its functional currency is the Renminbi (RMB)[198](index=198&type=chunk)[200](index=200&type=chunk) - Financial assets are classified at initial recognition as measured at amortized cost, fair value through profit or loss, or fair value through other comprehensive income, based on the business model and contractual cash flow characteristics[244](index=244&type=chunk) - The company uses the **moving weighted average method** for inventory valuation, with the specific identification method for certain custom parts, and employs a perpetual inventory system[293](index=293&type=chunk)[294](index=294&type=chunk) - Long-term equity investments are accounted for using the **cost method** for controlled entities and the **equity method** for associates and joint ventures[306](index=306&type=chunk) - Revenue is recognized when the company has fulfilled its performance obligations in a contract, i.e, when the customer obtains control of the related goods[362](index=362&type=chunk) - There were no significant changes in accounting policies or estimates during the reporting period[407](index=407&type=chunk) [VI. Taxation](index=110&type=section&id=VI.%20Taxation) The company is subject to VAT, corporate income tax, and other taxes, with several entities enjoying preferential tax rates Main Taxes and Tax Rates | Tax Type | Tax Basis | Tax Rate | | :--- | :--- | :--- | | Value-Added Tax (VAT) | Taxable Revenue | 6%, 9%, 13% | | Urban Maintenance and Construction Tax | Actual Turnover Tax Paid | 5%, 7% | | Corporate Income Tax | Taxable Income | 5%, 15%, 25% | | Education Surcharge | Actual Turnover Tax Paid | 3% | | Local Education Surcharge | Actual Turnover Tax Paid | 2% | - The company and its subsidiaries Wuxi Flange and Nuclear Power Equipment are recognized as high-tech enterprises, subject to a reduced income tax rate of **15%**[409](index=409&type=chunk) - Subsidiaries Jiangsu Dongyuan and Shentong Semiconductor are classified as small and micro-enterprises, applying a corporate income tax rate of **20%**[410](index=410&type=chunk) - Ruifan Energy Saving's energy management contract projects that met the conditions for VAT exemption enjoyed this tax incentive in the first half of 2024[412](index=412&type=chunk) [VII. Notes to Consolidated Financial Statement Items](index=112&type=section&id=VII.%20Notes%20to%20Consolidated%20Financial%20Statement%20Items) This section provides a detailed breakdown of key items in the consolidated financial statements as of the period-end Key Items from Consolidated Financial Statements at Period-End | Item | Closing Balance (RMB) | | :--- | :--- | | Cash and Cash Equivalents | 315,792,821.71 | | Trading Financial Assets | 140,226,132.33 | | Accounts Receivable | 1,214,642,557.72 | | Inventories | 915,284,343.12 | | Short-term Borrowings | 773,389,162.10 | | Long-term Borrowings | 120,065,547.95 | | Operating Revenue | 1,068,343,601.77 | | Operating Cost | 722,926,317.26 | | R&D Expenses | 48,521,832.88 | | Investment Income | 13,989,529.75 | | Net Cash Flow from Operating Activities | -35,957,610.47 | - The closing balance of accounts receivable was **RMB 1.307 billion**, with a bad debt provision of RMB 92.65 million, resulting in a carrying amount of RMB 1.215 billion[114](index=114&type=chunk)[115](index=115&type=chunk) - The closing balance of inventory write-down provision and contract fulfillment cost impairment was **RMB 91.38 million**, with an increase of RMB 13.92 million during the period[124](index=124&type=chunk) - The closing balance of construction in progress was **RMB 94.71 million**, primarily for the high-end valve intelligent manufacturing project[132](index=132&type=chunk) - The carrying amount of goodwill at period-end was **RMB 233 million**, mainly from the acquisitions of Wuxi Flange Forging Co, Ltd and Ruifan Energy Saving Technology Co, Ltd[135](index=135&type=chunk) [VIII. R&D Expenditures](index=158&type=section&id=VIII.%20R&D%20Expenditures) Total R&D expenditure for the period was RMB 48.52 million, all of which was expensed R&D Expenditure Breakdown for H1 2025 | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | R&D Materials | 33,297,652.89 | 33,305,372.30 | | Salaries and Remuneration | 10,710,983.47 | 11,643,536.72 | | Other Direct Inputs | 2,803,343.57 | 1,978,892.57 | | Technical Service Fees | 0.00 | 344,072.82 | | Depreciation Expenses | 849,787.98 | 697,000.86 | | Amortization of Intangible Assets | 159,637.41 | 61,163.01 | | Other Expenses | 553,389.38 | 188,836.85 | | Travel Expenses | 147,038.18 | 147,796.09 | | **Total** | **48,521,832.88** | **48,366,671.22** | | Of which: Expensed R&D Expenditure | 81,819,485.77 | 81,672,043.52 | | Capitalized R&D Expenditure | 0.00 | 0.00 | - There were no R&D projects eligible for capitalization in the current period[158](index=158&type=chunk) [IX. Changes in the Scope of Consolidation](index=159&type=section&id=IX.%20Changes%20in%20the%20Scope%20of%20Consolidation) One entity was deconsolidated following its liquidation and deregistration, with no other changes to the consolidation scope - There were no business combinations not under common control in the current period[159](index=159&type=chunk) - There were no business combinations under common control in the current period[160](index=160&type=chunk) - There were no reverse acquisitions in the current period[160](index=160&type=chunk) - Rizhao Ruifan Energy Saving Equity Investment Partnership (Limited Partnership) was liquidated and deregistered and is no longer included in the consolidation scope, a move that helps optimize resource allocation without material impact[160](index=160&type=chunk) [X. Interests in Other Entities](index=161&type=section&id=X.%20Interests%20in%20Other%20Entities) The company's corporate group consists of 7 subsidiaries and several associate companies accounted for using the equity method Corporate Group Structure in H1 2025 | Subsidiary Name | Registered Capital (RMB) | Shareholding Ratio (Direct) | Acquisition Method | | :--- | :--- | :--- | :--- | | Jiangsu Dongyuan Valve Testing Technology Co, Ltd | 10,000,000.00 | 100.00% | Investment | | Shanghai Shentong Enterprise Development Co, Ltd | 5,000,000.00 | 100.00% | Investment | | Wuxi Flange Forging Co, Ltd | 200,000,000.00 | 100.00% | Business combination not under common control | | Ruifan Energy Saving Technology Co, Ltd | 50,000,000.00 | 100.00% | Business combination not under common control | | Jiangsu Shentong Nuclear Power Equipment Co, Ltd | 315,551,364.36 | 100.00% | Investment | | Shentong Semiconductor Technology (Nantong) Co, Ltd | 10,800,000.00 | 36.36% | Investment | | Nantong Shentong Venture Capital Partnership (LP) | 20,000,000.00 | 99.90% | Investment | - The company uses the equity method to account for its investment in the associate company Nantong Shentong New Energy Technology Co, Ltd[163](index=163&type=chunk) Summarized Financial Information of Insignificant Associates for H1 2025 | Item | Closing Balance (RMB) | | :--- | :--- | | Total Carrying Amount of Investments | 49,337,775.89 | | --Net Profit | -1,456,395.52 | | --Total Comprehensive Income | -1,456,395.52 | [XI. Government Grants](index=163&type=section&id=XI.%20Government%20Grants) The company recognized RMB 6.21 million in government grants in other income during the period Liability Items Related to Government Grants in H1 2025 | Account | Opening Balance (RMB) | New Grants (RMB) | Recognized in Non-operating Income (RMB) | Transferred to Other Income (RMB) | Closing Balance (RMB) | Asset/Income Related | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Other Income | 66,160,200.94 | 0.00 | 0.00 | 4,773,648.77 | 61,386,552.17 | Asset-related | Government Grants Recognized in Current Profit or Loss for H1 2025 | Account | Current Period Amount (RMB) | | :--- | :--- | | Other Income | 6,212,692.93 | [XII. Risks Related to Financial Instruments](index=164&type=section&id=XII.%20Risks%20Related%20to%20Financial%20Instruments) The company's financial risks primarily include credit risk, liquidity risk, and market risk, which are managed through internal controls - The company's risks related to financial instruments stem from **credit risk, liquidity risk, and market risk**[699](index=699&type=chunk) - **Credit risk** mainly arises from cash, notes receivable, and accounts receivable, and is controlled by assessing customer creditworthiness and monitoring credit records[700](index=700&type=chunk)[701](index=701&type=chunk) - **Liquidity risk** is managed by regularly monitoring short-term and long-term funding needs to ensure sufficient cash reserves[708](index=708&type=chunk) - **Market risk** includes foreign exchange risk and interest rate risk, with the latter mainly related to bank wealth management products[712](index=712&type=chunk)[713](index=713&type=chunk) - The company does not use hedging instruments for risk management[715](index=715&type=chunk) [XIII. Fair Value Disclosure](index=168&type=section&id=XIII.%20Fair%20Value%20Disclosure) Assets measured at fair value totaled RMB 362.40 million, primarily consisting of financial assets across all three fair value hierarchy levels Fair Value of Assets Measured at Fair Value at Period-End H1 2025 | Item | Level 1 Fair Value (RMB) | Level 2 Fair Value (RMB) | Level 3 Fair Value (RMB) | Total (RMB) | | :--- | :--- | :--- | :--- | :--- | | Trading Financial Assets | 140,226,132.33 | 0.00 | 0.00 | 140,226,132.33 | | Receivables Financing | 0.00 | 121,402,798.61 | 0.00 | 121,402,798.61 | | Other Equity Instrument Investments | 0.00 | 0.00 | 74,035,264.80 | 74,035,264.80 | | Other Non-current Financial Assets | 0.00 | 0.00 | 26,733,543.08 | 26,733,543.08 | | **Total Assets Not Continuously Measured at Fair Value** | **140,226,132.33** | **121,402,798.61** | **100,768,807.88** | **362,397,738.82** | - The company's financial assets and liabilities measured at amortized cost mainly include cash, notes receivable, accounts receivable, short-term borrowings, and notes payable[723](index=723&type=chunk) [XIV. Related Parties and Related-Party Transactions](index=169&type=section&id=XIV.%20Related%20Parties%20and%20Related-Party%20Transactions) The company's ultimate controlling party is Han Li, and it engages in routine operational transactions with its subsidiaries and other related parties - The ultimate controlling party of the enterprise is **Han Li**, and the parent company is Ningbo Juyuan Ruili Venture Capital Partnership (Limited Partnership), with a 16.29% shareholding[724](index=724&type=chunk) - The company has related-party transactions involving the purchase and sale of goods and services with entities such as Hebei Jinxi Iron & Steel Group and Nantong Shentong New Energy Technology[726](index=726&type=chunk)[727](index=727&type=chunk) - During the period, the company provided services to Hebei Jinxi Iron & Steel Group Co, Ltd amounting to **RMB 105.91 million**[727](index=727&type=chunk) - The company, as a lessor, leased buildings to Nantong Shentong New Energy Technology Co, Ltd, recognizing rental income of RMB 227,100 in the current period[730](index=730&type=chunk) - The company did not engage in other significant related-party transactions such as entrusted management, guarantees, fund lending, or asset transfers[728](index=728&type=chunk)[729](index=729&type=chunk)[731](index=731&type=chunk)[732](index=732&type=chunk)[733](index=733&type=chunk)[734](index=734&type=chunk)[735](index=735&type=chunk) Key Management Personnel Compensation for H1 2025 | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Key Management Personnel Compensation | 1,597,870.00 | 1,420,645.98 | [XV. Share-based Payments](index=172&type=section&id=XV.%20Share-based%20Payments) The company had no share-based payment arrangements during the reporting period - The company had no overall share-based payment situation during the reporting period[741](index=741&type=chunk) - The company had no equity-settled share-based payment arrangements during the reporting period[741](index=741&type=chunk) - The company had no cash-settled share-based payment arrangements during the reporting period[741](index=741&type=chunk) - The company incurred no share-based payment expenses during the current period[742](index=742&type=chunk) [XVI. Commitments and Contingencies](index=173&type=section&id=XVI.%20Commitments%20and%20Contingencies) The company had no significant commitments to disclose but had outstanding letters of guarantee totaling RMB 291.69 million - As of June 30, 2025, the company had no significant commitments to disclose[742](index=742&type=chunk) Outstanding Letters of Guarantee as of June 30, 2025 | Guarantee Type | Guarantee Amount (RMB) | Margin Paid by Company (RMB) | | :--- | :--- | :--- | | Performance Guarantee | 267,895,922.65 | 20,930,508.94 | | Advance Payment Guarantee | 17,346,132.12 | 4,758,098.97 | | Quality Guarantee | 2,381,487.20 | 0.00 | | Bid Bond | 2,540,000.00 | 152,000.00 | | Independent Performance Guarantee | 635,175.20 | 0.00 | | Other Domestic Non-financing Guarantees | 889,580.00 | 88,958.00 | | **Total** | **291,688,297.17** | **25,929,565.91** | - The company has no other significant contingencies to disclose[744](index=744&type=chunk) [XVII. Subsequent Events](index=173&type=section&id=XVII.%20Subsequent%20Events) No disclosable subsequent events occurred after the balance sheet date - As of August 17, 2025 (the date of board approval), the company has no disclosable subsequent events[748](index=748&type=chunk) [XVIII. Other Significant Matters](index=174&type=section&id=XVIII.%20Other%20Significant%20Matters) The company had no other significant matters such as prior period error corrections, debt restructuring, or discontinued operations - The company had no other significant matters such as prior period error corrections, debt restructuring, asset swaps, annuity plans, discontinued operations, or segment information during the reporting period[749](index=749&type=chunk)[751](index=751&type=chunk)[752](index=752&type=chunk)[753](index=753&type=chunk)[754](index=754&type=chunk)[755](index=755&type=chunk) [XIX. Notes to Parent Company Financial Statement Items](index=175&type=section&id=XIX.%20Notes%20to%20Parent%20Company%20Financial%20Statement%20Items) The parent company's other receivables were RMB 1.01 billion, primarily intercompany balances, while investment income was RMB 184.62 million Parent Company Accounts Receivable by Aging for H1 2025 | Aging | Closing Book Balance (RMB) | | :--- | :--- | | Within 1 year (inclusive) | 457,338,053.07 | | 1 to 2 years | 156,978,296.04 | | 2 to 3 years | 30,388,778.53 | | Over 3 years | 15,248,013.01 | | **Total** | **659,953,140.65** | Parent Company Other Receivables Breakdown for H1 2025 | Item | Closing Balance (RMB) | | :--- | :--- | | Dividends Receivable | 157,632,156.59 | | Other Receivables | 847,134,821.81 | | **Total** | **1,004,766,978.40** | Parent Company Long-term Equity Investment Breakdown for H1 2025 | Item | Closing Balance (RMB) | | :--- | :--- | | Investments in Subsidiaries | 1,267,383,032.80 | | Investments in Associates and Joint Ventures | 37,744,383.91 | | **Total** | **1,305,127,416.71** | Parent Company Operating Revenue and Cost for H1 2025 | Item | Revenue (RMB) | Cost (RMB) | | :--- | :--- | :--- | | Main Business | 345,993,276.67 | 275,332,760.61 | | Other Business | 92,328,038.75 | 57,957,526.26 | | **Total** | **438,321,315.42** | **333,290,286.87** | Parent Company Investment Income for H1 2025 | Item | Current Period Amount (RMB) | | :--- | :--- | | Long-term Equity Investment Income (Cost Method) | 160,397,495.35 | | Long-term Equity Investment Income (Equity Method) | -1,114,304.15 | | Income from Bank Wealth Management Products | 466,416.84 | | Other | 24,868,044.85 | | **Total** | **184,617,652.89** | [XX. Supplementary Information](index=184&type=section&id=XX.%20Supplementary%20Information) This section provides details on non-recurring profit and loss items and calculates the return on equity and earnings per share Detailed Schedule of Non-recurring Profit and Loss for H1 2025 | Item | Amount (RMB) | | :--- | :--- | | Gains/Losses on Disposal of Non-current Assets | 48,095.83 | | Government Grants Recognized in Current Profit or Loss (excluding continuous impact) | 1,439,044.16 | | Fair Value Gains/Losses from Financial Assets/Liabilities Held by Non-financial Enterprises | 11,635,442.19 | | Reversal of Impairment Provision for Individually Tested Accounts Receivable | 2,152,853.19 | | Other Non-operating Income and Expenses | -450,232.78 | | Other Items Meeting the Definition of Non-recurring Profit or Loss | 85,024.93 | | Less: Income Tax Impact | 2,256,500.66 | | Less: Minority Interest Impact (After Tax) | 16,123.59 | | **Total** | **12,637,603.27** | Return on Equity and Earnings Per Share for H1 2025 | Reporting Period Profit | Weighted Average ROE | Basic EPS (RMB/share) | Diluted EPS (RMB/share) | | :--- | :--- | :--- | :--- | | Net Profit Attributable to Ordinary Shareholders | 4.19% | 0.2963 | 0.2963 | | Net Profit Attributable to Ordinary Shareholders (Excluding Non-recurring Items) | 3.84% | 0.2714 | 0.2714 | - The company has no discrepancies in accounting data under domestic and foreign accounting standards[813](index=813&type=chunk) [Section 9: Other Submitted Data](index=186&type=section&id=Section%209%3A%20Other%20Submitted%20Data) [I. Other Major Social Safety Issues](index=186&type=section&id=I.%20Other%20Major%20Social%20Safety%20Issues) The company and its subsidiaries reported no major social safety issues or administrative penalties during the period - The listed company and its subsidiaries had no other major social safety issues during the reporting period[815](index=815&type=chunk) - No administrative penalties were received during the reporting period[815](index=815&type=chunk) [II. Record of Investor Relations Activities](index=187&type=section&id=II.%20Record%20of%20Investor%20Relations%20Activities) The company engaged with institutional investors through various channels to discuss its operational performance and future strategy - On February 21, 2025, the company hosted an on-site visit for institutions including Northeast Securities and Kaiyuan Securities to discuss operations and strategy[816](index=816&type=chunk) - On April 17, 2025, the company held an online meeting to present its 2024 annual performance and future outlook to investors[816](index=816&type=chunk) - On April 30, 2025, the Board Secretary's office communicated with multiple institutional investors via telephone to discuss the 2024 annual and Q1 2025 performance and future trends[816](index=816&type=chunk) [III. Fund Transfers between the Listed Company and its Controlling Shareholder and Other Related Parties](index=189&type=section&id=III.%20Fund%20Transfers%20between%20the%20Listed%20Company%20and%20its%20Controlling%20Shareholder%20and%20Other%20Related%20Parties) The company's fund transfers with related parties were conducted under approved internal procedures with manageable risk Fund Transfers with Controlling Shareholder and Other Related Parties in H1 2025 | Counterparty Name | Nature of Transfer | Opening Balance (RMB 10,000s) | Amount Incurred (RMB 10,000s) | Amount Repaid (RMB 10,000s) | Closing Balance (RMB 10,000s) | | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangsu Dongyuan Valve Testing Technology Co, Ltd | Non-operational | 39.49 | 39.22 | 0.27 | 0 | | Ruifan Energy Saving Technology Co, Ltd | Non-operational | 69,732.73 | 21,853.01 | 10,052.42 | 82,634.46 | | Jiangsu Shentong Nuclear Power Equipment Co, Ltd | Operational | 10,168.27 | 2,989.93 | 0 | 13,158.2 | | Hebei Jinxi Iron & Steel Group Co, Ltd | Operational | 12,971.62 | 11,798.16 | 13,067.49 | 11,702.29 | | Nantong Shentong New Energy Technology Co, Ltd | Operational | 91.25 | 93.23 | 0 | 1.98 | | **Total** | **--** | **111,761.38** | **37,373.84** | **41,806.11** | **108,430.24** | - Routine related-party transactions between the company and its controlling shareholder and other related parties have been approved by the Board of Directors and the shareholders' meeting[820](index=820&type=chunk) - Non-operational fund transfers between the company and its subsidiaries are considered normal transactions and have undergone internal approval processes as required by internal control policies[820](index=820&type=chunk) - Fund transfers are based on business needs, with manageable financial security risks, and are regularly audited by the audit department to ensure fund safety and normal operations[820](index=820&type=chunk)

| 交易日期 | 证券代码 | 证券简称 | 成交价格 (元) | 成交量 (万股/万份) | 成交金额 (万元) | 买方营业部 | 卖方营业部 | | --- | --- | --- | --- | --- | --- | --- | --- | | 2025-08-18 | 002438 | 江苏神通 | 14.75 | 38.00 | 560.50 | 华林证券股份有限 | 华泰证券股份有限 | | | | | | | | 公司上海浦东新区 | 公司上海武定路证 | | | | | | | | 张杨路证券营业部 | 券营业部 | 8月18日，江苏神通大宗交易成交38万股，成交额560.5万元，占当日总成交额的1.53%，成交价14.75元，较市场收盘价14.28 元溢价3.29%。 ...

Industry Overview - The fire valve industry is crucial for controlling water flow in fire protection systems, playing a significant role in extinguishing fires and preventing fire spread [1][13] - The industry in China is experiencing rapid growth, with the market size projected to increase from 10.504 billion yuan in 2020 to 18.345 billion yuan in 2024, representing a compound annual growth rate (CAGR) of 14.96% [1][13] - Growth drivers include stricter fire safety regulations, increased standards for fire protection systems in new buildings, and ongoing upgrades of fire facilities in older communities [1][13] Industry Development History - The fire valve industry in China started late, initially relying on imported technology and producing mainly low-end products [5] - Domestic companies have improved their manufacturing capabilities and product performance through technology imports and increased R&D investment [5] - The industry is transitioning towards smart and digital solutions, utilizing IoT technology for remote monitoring and AI algorithms for emergency response optimization [5] Industry Value Chain - The upstream of the fire valve industry includes raw materials and component suppliers such as forged and cast parts, sealing components, and control devices [7] - The midstream involves the manufacturing of fire valves, while the downstream applications span various sectors including construction, petrochemicals, and municipal engineering [7] Market Trends - The sealing component market, essential for fire valves, is also growing, with the market size expected to rise from 114.13 billion yuan in 2017 to 194.6 billion yuan in 2024, a CAGR of 7.92% [9] - The petrochemical industry is a major application area for fire valves, with the revenue of large-scale enterprises in this sector projected to reach 16.28 trillion yuan in 2024, showing a recovery from a decline in 2023 [11] Competitive Landscape - The global fire valve market features competition between foreign brands and domestic companies, with international leaders like Tyco and Wilo dominating the high-end market [15] - Chinese companies such as Suzhou Neway Valve and Shanghai Qizhong Valve are making significant advancements in technology and product quality, gradually moving from low-end to high-end markets [15] Key Companies - Suzhou Neway Valve Co., Ltd. reported a revenue of 6.072 billion yuan in 2024, marking a 13.69% increase [17] - Shanghai Guanlong Valve Energy-Saving Equipment Co., Ltd. generated 1.46 billion yuan from gate valve products and 4.17 billion yuan from butterfly valve products in 2024 [19] Future Trends - The trend of domestic substitution is deepening as local manufacturers enhance their technology and supply chains, reducing reliance on imported products [21] - The application of IoT and sensor technologies is driving the smart evolution of fire valves, enabling real-time monitoring and automated responses [22] - Digital technologies are transforming production and maintenance processes, improving efficiency and reducing costs in the fire valve industry [23]

作为国内规模最大的阀门制造商之一，江苏神通的主营业务包括工业特种阀门的研发、生产和销售，产 品广泛应用于冶金、核电、火电、煤化工、石油和天然气集输及石油炼化等领域。 江苏神通表示，此次合同签订的总金额约占公司2019年度经审计营业收入13.48亿元的11.11%，本次合 同的执行将对公司2020-2021年度的经营业绩带来积极影响。 9月13日晚间，江苏神通(002438)发布公告称，公司于2020年9月9日与中国核电工程有限公司(以下简 称"中核工程")就"R项目"设备订货事宜签署《设备供货合同》，合同总金额为人民币1.5亿元(含税)。 根据合同内容显示，本次合同的范围包括R项目的设备采购包的设计、设备、文件、运输和技术服务(包 括但不限于现场安装和试验、配合中核工程验收、保证期内的维修维护、培训)等公司完成合同约定的 全部工作。 据了解，中核工程成立于1985年，经营范围包括工程总承包;核电和其他核工程项目管理;与工程相关的 设备采购、材料订货、施工管理、试车调试;核电工程以及其它核工程的前期项目策划、项目咨询服务 等。2019年，公司与中核工程发生业务的交易订单总金额为1.70亿元，本次合同签订金额占公 ...

Core Viewpoint - The company specializes in manufacturing valves for various specialized industries, including metallurgy, nuclear power, and petrochemicals, with a strong market presence in nuclear valves and related products [1][2]. Industry Overview - The nuclear power sector is experiencing high growth, with 11 nuclear power units approved in 2024, marking the third consecutive year of approvals exceeding 10 units. By the end of 2024, there will be 27 units under construction, with a total installed capacity of 32.309 million kilowatts [1]. - The petrochemical and metallurgy industries are stabilizing, while emerging sectors like hydrogen energy and semiconductors show significant potential for growth [2][3]. Product and Market Position - The company holds over 70% market share in metallurgy special valves and 90% in nuclear valves, establishing itself as a leading supplier in the nuclear power valve and flange sectors [1]. - The product range includes butterfly valves, flanges, ball valves, blind plates, and gate valves, along with energy-saving services [1]. Future Growth Drivers - The demand for valves in the nuclear sector is expected to remain strong due to ongoing investments and construction activities, with nuclear power investment likely to maintain high levels in the coming years [1]. - The petrochemical industry is stable, with a consistent demand for valve equipment, particularly in the LNG market, which has substantial growth potential [2]. - The semiconductor industry is witnessing an upward trend in sales, driving demand for related valves, with domestic companies increasing their market share from 21% in 2020 to an expected 35% by 2025 [2][3]. Investment Outlook - The company is set to enhance its production capacity for nuclear valves with a new high-end valve smart manufacturing project expected to be operational by the end of this year, increasing annual production capacity to meet the needs of over 12 nuclear power units [4]. - The overall order book is robust, with nuclear orders typically recognized over a 2-3 year period, indicating potential revenue growth as nuclear investment continues to rise [4]. - Projected net profits for the company are estimated at 348 million, 422 million, and 495 million yuan for 2025, 2026, and 2027, respectively, with corresponding price-to-earnings ratios of 21x, 18x, and 15x [4].

Group 1 - The stock price of Jiangsu Shentong as of August 8, 2025, is 14.80 yuan, down 0.07 yuan from the previous trading day [1] - The company operates in nuclear power, energy conservation and environmental protection, metallurgy, and energy equipment sectors, with nuclear power accounting for the highest revenue share at 34.69% in 2024 [1] - On August 8, the company held its seventh board meeting, discussing multiple documents including the election of the chairman [1] Group 2 - A block trade occurred on the same day, involving 1.26 million shares at a transaction value of 17.01 million yuan, with a price of 13.50 yuan, representing an 8.78% discount to the closing price [1] - On August 8, the net outflow of main funds was 35.80 million yuan, accounting for 0.52% of the circulating market value, while the cumulative net inflow over the past five days was 11.34 million yuan, representing 0.16% of the circulating market value [1]

Meeting Overview - The board meeting of Jiangsu Shentong Valve Co., Ltd. was held in a hybrid format, combining on-site and remote voting [1] - The meeting followed the regulations of the Securities Law and the company's articles of association [1] Board Resolutions - Mr. Han Li was elected as the chairman of the seventh board of directors, with a term starting from the approval date of this resolution until the end of the current board term. The voting results were 9 votes in favor, 0 against, and 0 abstentions [1] - The board approved the appointment of Mr. Wu Jianxin as the president, with the same term conditions as the chairman. The voting results were also 9 votes in favor, 0 against, and 0 abstentions [2] - Mr. Zhang Qiqiang was reappointed as the board secretary, with the term starting from the approval date until the end of the current board term. The voting results were 9 votes in favor, 0 against, and 0 abstentions [2][3] - Mr. Hong Xuechao was reappointed as the internal audit head, with the same term conditions. The voting results were 9 votes in favor, 0 against, and 0 abstentions [4] Committee Appointments - The composition of the specialized committees of the board was established, with independent directors included in each committee [1] - Audit Committee: Ms. Xiao Xiao (Chair), Mr. Shi Bingfeng, Mr. Zhu Guiying [1] - Nomination Committee: Mr. Shi Bingfeng (Chair), Ms. Ma Jing, Mr. Han Li [1] - Compensation and Assessment Committee: Ms. Ma Jing (Chair), Ms. Xiao Xiao, Mr. Wu Jianxin [1] - Strategy Committee: Mr. Han Li (Chair), Mr. Wu Jianxin, Ms. Xiao Xiao, Ms. Ma Jing, Mr. Shi Bingfeng, Mr. Zhao Wenhao, Ms. Chen Li [1] Governance Improvements - The board approved the establishment and revision of governance-related systems to enhance company operations and governance levels, with voting results of 9 votes in favor, 0 against, and 0 abstentions [5]

上海市通力律师事务所 关于江苏神通阀门股份有限公司 致: 江苏神通阀门股份有限公司 上海市通力律师事务所(以下简称"本所")接受江苏神通阀门股份有限公司(以下简称 "公司")的委托, 指派本所徐青律师、甘瑞霖律师(以下简称"本所律师")根据《中华人民 共和国公司法》《中华人民共和国证券法》《上市公司股东会规则》等法律法规和规范性 文件(以下统称"法律法规")及《江苏神通阀门股份有限公司章程》(以下简称"公司章程") 的规定就公司 2025 年第一次临时股东会(以下简称"本次股东会")相关事宜出具法律意见。 本所律师已经对公司提供的与本次股东会有关的法律文件及其他文件、资料予以了核 查、验证。在进行核查验证过程中, 公司已向本所保证, 公司提供予本所之文件中的所有签 署、盖章及印章都是真实的, 所有作为正本提交给本所的文件都是真实、准确、完整和有效 的, 且文件材料为副本或复印件的, 其与原件一致和相符。 基于上述核查, 本所律师认为, 本次股东会的出席会议人员资格、本次股东会召集人 资格均合法有效。 三. 本次股东会的表决程序、表决结果 本次股东会采取现场投票、网络投票相结合的方式对会议公告中列明的议案进行了 ...

证券代码：002438 证券简称：江苏神通 公告编号：2025—045 江苏神通阀门股份有限公司 本公司及董事会全体成员保证公告内容真实、准确和完整，并对公告中的虚 假记载、误导性陈述或重大遗漏承担责任。 重要提示： 一、 会议召开情况 《上海证 券报》及巨潮资讯网 http://www.cninfo.com.cn 上刊登了《江苏神通阀门股份 有限公司关于召开 2025 年第一次临时股东会的通知》； （1）现场会议召开时间：2025年8月8日（星期五）下午14:00。 （2）网络投票时间为：2025年8月8日（星期五）。 其中，通过深圳证券交易所交易系统进行网络投票的具体时间为：2025年8 月8日9:15～9:25，9:30～11:30，13:00～15:00；通过深圳证券交易所互联网投 票系统投票的具体时间为：2025年8月8日上午9:15～下午15:00期间的任意时间。 开 2025 年第一次临时股东会的议案》，决定召开公司 2025 年第一次临时股东会， 本次股东会的召开符合有关法律法规和《公司章程》的规定。 二、会议出席情况 参加本次股东会现场会议和网络投票的股东及授权代表共计 143 人，代表有 ...