Financial Performance - The company reported a total revenue of RMB 1.2 billion for the year 2018, representing a year-on-year growth of 15%[19] - The net profit attributable to shareholders was RMB 150 million, an increase of 10% compared to the previous year[19] - The company's operating revenue for 2018 was ¥2,060,728,085.44, representing a 39.93% increase compared to ¥1,472,660,671.07 in 2017[30] - The net profit attributable to shareholders for 2018 was ¥24,471,337.26, a 56.21% increase from ¥15,665,862.69 in 2017[30] - The net cash flow from operating activities for 2018 was ¥214,421,287.12, up 14.80% from ¥186,781,891.28 in 2017[30] - The total assets at the end of 2018 were ¥2,651,136,906.25, a 20.75% increase from ¥2,195,613,189.88 at the end of 2017[30] - The diluted earnings per share for 2018 was ¥0.04, reflecting a 33.33% increase from ¥0.03 in 2017[30] - The company reported a net profit attributable to shareholders after deducting non-recurring gains and losses of -¥8,587,968.62 for 2018, a decrease of 194.41% compared to ¥9,096,069.57 in 2017[30] - The weighted average return on net assets for 2018 was 2.57%, up from 1.52% in 2017[30] - The company experienced a significant decline in net profit attributable to shareholders after deducting non-recurring gains and losses in Q3 2018, reporting -¥17,816,464.19[35] Research and Development - The company plans to invest RMB 200 million in R&D for new product development in 2019, focusing on AI and big data technologies[19] - The company has increased its R&D investment due to the merger with Shanghai Huasoft Jinke and Shandong Huasoft Jinke, reflecting a commitment to innovation[50] - Research and development expenses rose by 60.39% to ¥30,081,417.94, driven by increased investment in financial technology[80] - The company’s R&D personnel increased to 290, a 192.93% rise from 99 in 2017, indicating a strong focus on innovation[84] - The company’s financial technology R&D investment capitalized increased by 991.48% to ¥10,025,567.42, reflecting a strategic shift towards capitalizing on R&D expenditures[84] Market Expansion and Strategy - The company is expanding its market presence in Southeast Asia, aiming to establish partnerships with at least three local firms by the end of 2019[19] - A strategic acquisition of a local tech firm is planned, with an estimated investment of RMB 300 million to enhance technological capabilities[19] - The company aims to launch two new software products in Q3 2019, targeting the financial services sector[19] - The company has expanded into the financial technology sector through multiple acquisitions and strategic restructuring since 2017[25] - The company is focusing on expanding its market share in innovative financial institutions and enhancing its competitive position in the industry[120] Financial Technology Focus - The company continues to focus on financial technology, leveraging cloud computing, big data, blockchain, and artificial intelligence to enhance its service offerings[44] - The company has developed five major platforms under the "Jianyun" ecosystem, providing advanced solutions for financial institutions and enterprises[45] - The company’s financial technology solutions include agile banking, open banking, and smart banking, aimed at enhancing customer acquisition and service innovation[45] - The company’s "Jianfu" platform integrates quality channels for secure and convenient payment services, catering to millions of merchants and users[46] - The company plans to continue developing fintech business, leveraging technologies such as cloud computing, big data, and artificial intelligence to transform business models and establish new growth points[117] Operational Challenges and Risks - The management highlighted potential risks in the upcoming year, including market competition and regulatory changes, which could impact growth[6] - The company’s traditional fine chemical business faces challenges due to increasing regulatory requirements and competition, impacting profitability[49] - The company faces market risks due to increasing competition in the fintech sector and plans to mitigate this by developing benchmark projects[123] - The company emphasizes the importance of internal management and risk prevention to enhance operational efficiency and strategic coordination[122] Corporate Governance and Commitments - The company will not distribute cash dividends for the year 2018, opting to reinvest profits into business growth initiatives[7] - The company has committed to ensure that no funds or assets are misappropriated during the reporting period[140] - The company has fulfilled all performance commitments during the reporting period[143] - The company has maintained strict adherence to all commitments made by its controlling shareholders and related parties[140] - The controlling shareholder has committed to avoid any competition with the company's products and business operations[140] Subsidiaries and Investments - The company added 7 new subsidiaries during the reporting period, expanding its consolidation scope[75] - The company completed the acquisition of Beijing Beisen Technology Co., Ltd. for ¥102,000,000.00, holding a 53.33% stake[94] - The company acquired a 10% stake in Shanghai Yinjia Financial Services Group for ¥200,000,000.00, completed in October 2018[96] - The company completed the sale of 100% equity in Jiangsu Zhengji Pharmaceutical Co., Ltd., enhancing asset liquidity and optimizing the asset structure[105] - The company has not engaged in any major acquisitions or mergers during the reporting period, focusing on organic growth strategies[170] Environmental and Social Responsibility - The company actively fulfills its corporate social responsibility while creating economic benefits[195] - The company has reported on its environmental protection efforts, including emissions data for various pollutants[199] - The company has not yet initiated targeted poverty alleviation efforts but plans to explore this in the future[198]

Financial Performance - Operating revenue for the period reached ¥743,934,946.62, a 70.86% increase year-over-year[8] - Net profit attributable to shareholders was ¥9,403,326.65, marking a significant increase of 297.97% compared to the same period last year[8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was -¥17,816,464.19, a decrease of 1,365.71% year-over-year[8] - Basic earnings per share were ¥0.0165, up 302.44% from the previous year[8] - The weighted average return on net assets was 1.06%, an increase of 306.82% compared to the previous year[8] - The company expects a net profit attributable to shareholders to range from 28 million to 40 million RMB, representing a year-on-year increase of 78.73% to 155.33%[21] Assets and Cash Flow - Total assets increased to ¥2,726,152,841.06, representing a 24.16% increase compared to the previous year[8] - The net cash flow from operating activities for the year-to-date was ¥124,294,683.96, reflecting a 46.89% increase[8] - Cash and cash equivalents increased by 125.27% due to an increase in the scope of consolidation and deposits[15] - The net cash flow from operating activities increased by 46.89% as a result of changes in collection methods[15] - The net cash flow from investing activities increased by 47.47% due to cash recovered from the sale of subsidiaries[15] Shareholder Information - The total number of shareholders at the end of the reporting period was 33,963[11] - The largest shareholder, Huarsoft Investment Holdings Co., Ltd., held 25.42% of the shares[11] Non-Recurring Gains and Losses - The company reported a total of ¥27,902,183.09 in non-recurring gains and losses for the year-to-date[9] - Investment income surged by 21,523.89% due to gains from the sale of subsidiaries[15] Development and Expenses - Development expenses increased by 410.72% due to higher R&D costs for new business initiatives[15] Corporate Actions - The company provided a guarantee of 450 million RMB for its subsidiaries to secure financing[16] - The company completed the transfer of 100% equity in Suzhou Tianma Pharmaceutical Co., Ltd., removing it from the consolidated financial statements[17] - The company plans to sell equity in three subsidiaries in the paper chemicals sector, with negotiations ongoing[17]

Financial Performance - The company's operating revenue for the first half of 2018 was ¥681,972,918.54, representing a 4.21% increase compared to ¥654,415,922.61 in the same period last year[18]. - The net profit attributable to shareholders was ¥13,209,508.55, a significant increase of 389.96% from ¥2,696,046.52 in the previous year[18]. - The net profit after deducting non-recurring gains and losses was ¥12,527,116.30, up 785.85% from ¥1,414,136.09 year-on-year[18]. - Basic earnings per share rose to ¥0.02, a 325.53% increase from ¥0.0047 in the previous year[18]. - The company's total revenue for the first half of 2018 was approximately 1.29 billion CNY, with a net loss of around 208.94 million CNY[62]. - The company reported a net loss of CNY 55,129,713.17, an improvement from a loss of CNY 68,339,221.72 in the previous period[125]. - The net profit for the first nine months of 2017 was CNY 5.0589 million, indicating significant growth due to the accelerated divestment of traditional businesses and rapid development of new business segments[66]. Cash Flow and Assets - The net cash flow from operating activities improved to ¥36,105,226.18, compared to a negative cash flow of -¥10,734,092.88 in the same period last year, marking a 436.36% increase[18]. - The company’s cash flow management strategy appears effective, as evidenced by a net increase in cash and cash equivalents of ¥29,201,395.79 during the reporting period[141]. - Cash and cash equivalents at the end of the reporting period amounted to ¥151,521,468.59, representing 5.61% of total assets, a decrease of 0.43% compared to the previous year[44]. - The company’s cash and cash equivalents increased by 156.85%, reaching a net increase of ¥29,201,395.79 compared to ¥11,369,169.14 in the previous year[37]. - The total cash and cash equivalents at the end of the period stood at ¥140,820,236.81, down from ¥162,515,704.65 at the end of the previous period[141]. Investments and Acquisitions - The company has acquired Beisheng Huilian and Shandong Huasoft Jinke, indicating a strategic move to expand its asset base[27]. - The company acquired 100% equity of Shandong Huasoft Jinke Information Technology Co., Ltd. and 53.33% equity of Beisheng Hulian (Beijing) Technology Co., Ltd. during the reporting period, enhancing its financial technology business[65]. - The company completed the acquisition of Beisheng Huilian, enhancing its capabilities in supply chain management[34]. - The company sold 100% equity of its subsidiary Tianma Pharmaceutical for a transaction price of 20 million yuan, which contributed to a net profit impact of approximately 11.2%[54]. Sector Performance - The supply chain management business has shown steady progress, focusing on commercial factoring and order financing, enhancing service efficiency and risk control[26]. - The financial technology segment has achieved significant advancements in blockchain and big data solutions, with multiple proprietary products already implemented in various banks[29]. - The supply chain management business saw a significant growth of 739.89%, with revenue reaching ¥151,932,724.18 compared to ¥18,089,648.82 in the previous year[39]. - The financial technology segment generated revenue of ¥68,899,289.85, marking its first contribution to the company's overall revenue[39]. Risk Management - The company has disclosed potential risks in the fourth section of the report, which should be reviewed for further insights[4]. - The company faces integration risks from multiple acquisitions, which may affect the effectiveness of synergy between existing and acquired businesses[67]. - There is a risk of goodwill impairment due to the significant goodwill generated from acquisitions, which requires annual impairment testing[67]. - The company anticipates potential environmental protection risks due to its production processes, which may require increased investment in environmental compliance[68]. Compliance and Governance - The company is committed to ensuring compliance with regulatory requirements for its business operations, particularly in the production of health-related products[61]. - The company has established a governance structure that includes a shareholders' meeting, board of directors, and supervisory board[159]. - The company has not engaged in any major litigation or arbitration matters during the reporting period[77]. - The company has not implemented any stock incentive plans or employee stock ownership plans during the reporting period[79]. Environmental Impact - The company has established an MVR evaporation system to comply with environmental impact assessments and pollution prevention measures[94]. - The company has a dedicated storage facility for hazardous waste, ensuring proper disposal by qualified third-party companies[96]. - The company has complied with environmental impact assessment requirements, implementing necessary pollution control facilities[96]. - The company and its subsidiaries are classified as key pollutant discharge units by environmental protection authorities[93]. Shareholder Information - The major shareholder, Huarsoft Investment Holdings, holds 22.09% of the shares, totaling 126,211,344 shares, all of which are pledged[107]. - Xu Min, a natural person shareholder, holds 3.87% of the shares, amounting to 22,102,904 shares, with 5,525,726 shares pledged[107]. - The company has a total of 571,300,000 shares, with 96.13% being unrestricted shares and 3.87% being restricted shares[106]. - The number of restricted shares decreased by 5,522,726 during the reporting period, resulting in a total of 16,580,178 restricted shares[106].

Financial Performance - The company's revenue for Q1 2018 was ¥247,188,006.30, representing an increase of 8.32% compared to ¥228,198,181.49 in the same period last year[8]. - Net profit attributable to shareholders was ¥4,572,832.59, a significant turnaround from a loss of ¥7,343,815.59, marking a 162.27% increase[8]. - The net profit after deducting non-recurring gains and losses was ¥4,129,286.84, up 149.36% from a loss of ¥8,365,401.94 in the previous year[8]. - Basic earnings per share improved to ¥0.01 from a loss of ¥0.01, reflecting a 200.00% increase[8]. - The net profit attributable to shareholders for the first half of 2018 is expected to range from ¥12,000,000 to ¥16,000,000, representing a growth of 345.10% to 493.46% compared to the same period in 2017[22]. Cash Flow - The net cash flow from operating activities increased by 90.72% to ¥90,203,953.30, compared to ¥47,295,352.11 in the same period last year[8]. - The net cash flow from operating activities rose by 90.72% to ¥90,203,953.30 due to changes in sales collection methods[16]. - The net cash flow from investing activities decreased by 386.24% to -¥126,343,435.21 due to increased investments[16]. Assets and Liabilities - Total assets at the end of the reporting period were ¥2,307,833,229.47, up 5.11% from ¥2,195,613,189.88 at the end of the previous year[8]. - The net assets attributable to shareholders increased by 0.60% to ¥882,188,472.14 from ¥876,956,718.65 at the end of the previous year[8]. - Prepayments increased by 33.20% to ¥50,139,919.77 due to an increase in advance payments for goods[16]. - Other receivables surged by 1352.84% to ¥136,746,828.73 attributed to increased margin deposits[16]. - The company reported a 60.88% increase in other payables to ¥470,966,026.95 due to increased loans from the parent company[16]. Management and Governance - The weighted average return on equity improved to 0.52% from -0.83%[8]. - Management expenses increased by 32.76% to ¥33,670,551.85 due to an expanded consolidation scope[16]. - The company confirmed a decrease in investment income by 83.33% to ¥20,749.94 due to reduced financial management income[16]. - The company has committed to avoiding competition with its subsidiaries and ensuring no misuse of company funds by its controlling shareholder[20]. Other Information - The company reported non-recurring gains totaling ¥443,545.75 during the reporting period[9]. - The total number of ordinary shareholders at the end of the reporting period was 35,589[12]. - The company is undergoing a significant asset restructuring involving the acquisition of 51% equity in Beisheng Hulian Technology Co., Ltd.[17].

Business Expansion and Diversification - The company has actively pursued moderate diversification by acquiring a fintech company, Huasoft Jinke, to expand its business scope[3]. - The company has seen an increase in the number of subsidiaries as part of its business expansion strategy[3]. - The company has expanded its business into the pharmaceutical industry and financial technology sectors through acquisitions and partnerships since 2013[17]. - The company completed the acquisition of Huasoft Jinke in September 2017, expanding its business into the financial technology sector[40]. - The company established three new subsidiaries: Huasoft Jinxin, Tianma Pharmaceutical, and Tianma Health, which expanded its business scope and improved profitability[80]. Financial Performance - The company's operating revenue for 2017 was CNY 1,472,660,671, representing a 23.32% increase compared to CNY 1,194,217,730 in 2016[18]. - The net profit attributable to shareholders in 2017 was CNY 15,665,862.69, a significant turnaround from a net loss of CNY 307,045,742.7 in 2016, marking a 105.10% improvement[18]. - The net cash flow from operating activities for 2017 was CNY 186,781,891.28, compared to a negative cash flow of CNY -123,441,311.6 in 2016, indicating a 251.31% increase[19]. - The total operating revenue for the period reached ¥1,472,660,671.07, an increase of 23.4% compared to ¥1,194,217,730.08 in the previous period[187]. - The net profit for the period was ¥13,429,100.83, a significant recovery from a net loss of ¥329,022,444.00 in the previous period[189]. Operational Challenges and Risks - The company acknowledges the risk of insufficient talent reserves in new business areas, particularly in fintech and supply chain management[4]. - The company is subject to production safety risks due to the nature of its fine chemical operations, despite having comprehensive safety measures in place[4]. - The company is facing potential risks from stricter environmental protection regulations that may be introduced in the future[4]. - The fine chemicals segment faces increasing operational challenges due to stringent safety and environmental regulations, leading to a reassessment of its operational strategy[30]. - The company faced risks related to safety production, business synergy, and talent shortages, which it aims to address through improved management and operational strategies[82]. Management and Governance - The company emphasizes the importance of adapting management practices to integrate various business segments effectively[3]. - The company recognizes the need for higher operational management levels to achieve expected synergies between different business units[4]. - The company has implemented strict management policies for accounts receivable, ensuring growth remains within a controllable range, but faces challenges due to business transformation[4]. - The company maintains a governance structure that complies with relevant regulations, ensuring strong independence and proper information disclosure[156]. - The independent directors actively participated in board meetings, with attendance rates of 100% for board meetings and shareholder meetings[159]. Research and Development - The company is actively involved in research and development of new chemical products, aiming to enhance its product offerings and market competitiveness[75]. - Research and development expenditures totaled 16.58 million CNY, accounting for 1.13% of total revenue, with a decrease in R&D personnel by 19.51% to 99[60]. - Suzhou Tianma is investing in research and development for new technologies and products to enhance its competitive edge in the market[78]. Cash Flow and Investments - Operating cash inflow increased by 37.62% to ¥1,085,234,023.64, attributed to an expanded consolidation scope and accelerated collection of sales receivables[62]. - Net cash flow from operating activities improved significantly by 251.31%, reaching ¥186,781,891.28, due to increased cash inflow from supply chain management[62]. - Cash outflow from investing activities totaled CNY 272,636,669.79, compared to CNY 114,565,778.85 in the previous period, indicating increased investment activity[197]. - The company reported a significant increase in financial expenses by 167.12% to 33.40 million CNY due to increased loan interest and exchange rate fluctuations[59]. Future Outlook and Strategy - The company plans to strengthen collaboration between new and old business sectors, such as fine chemicals and supply chain management, to mitigate the risk of underperformance in business synergy[4]. - The company plans to further develop its financial technology and supply chain management businesses to improve overall operational quality and profitability[30]. - Future guidance indicates a strategic focus on increasing sales in the pharmaceutical sector, with a target to enhance production capabilities[76]. - The company plans to explore potential mergers and acquisitions to accelerate growth and market expansion[77]. - The company plans to continue its transformation and upgrade strategy in 2018, focusing on supply chain and fintech sectors to enhance competitiveness[81].

Financial Performance - Operating revenue for the reporting period was ¥435,410,557.65, representing a year-on-year increase of 35.14%[8] - Net profit attributable to shareholders was ¥2,362,817.01, a significant increase of 315.04% compared to the same period last year[8] - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥1,407,630.49, up 162.60% year-on-year[8] - Basic earnings per share for the reporting period was ¥0.0041, reflecting a 305.00% increase compared to the same period last year[8] - The weighted average return on net assets was 0.26%, an increase of 388.89% compared to the same period last year[8] - Operating revenue rose by 29.57% attributed to increased trade income[16] - Operating costs increased by 35.78% due to higher trade costs[16] - Development expenses surged by 269.27% reflecting increased R&D investment[16] Assets and Shareholder Information - Total assets at the end of the reporting period reached ¥2,025,542,848.47, an increase of 6.98% compared to the end of the previous year[8] - The total number of shareholders at the end of the reporting period was 35,912[12] - The largest shareholder, Jinling Investment Holding Co., Ltd., held 22.09% of the shares, totaling 126,211,344 shares[12] Cash Flow and Financial Activities - The net cash flow from operating activities for the year-to-date was ¥84,615,711.33, down 12.55% compared to the previous year[8] - Cash flow from financing activities decreased by 80.67% due to repayment of funds to the controlling shareholder[16] - Financial expenses increased by 87.10% due to rising bank borrowing costs[16] Non-Recurring Items and Future Expectations - The company reported non-recurring gains and losses totaling ¥2,237,096.95 for the year-to-date[9] - Accounts receivable decreased by 33.56% due to increased payment via notes[16] - Prepayments increased by 135.45% due to additional payments for engineering projects[16] - Other receivables increased by 495.59% due to additional transactions with other customers[16] - The company expects to turn a profit in 2017, with a projected net profit of between 6,000 to 15,000 thousand yuan, compared to a loss of 30,704.57 thousand yuan in 2016[19] - The company anticipates benefits from the new acquisition in the technology finance sector contributing to performance improvement[19]

Financial Performance - The company reported a total revenue of RMB 1.2 billion for the first half of 2017, representing a year-on-year increase of 15%[12]. - The gross profit margin for the first half of 2017 was 30%, compared to 28% in the same period last year, indicating improved profitability[12]. - The company's operating revenue for the reporting period was ¥654,415,922.61, an increase of 26.11% compared to ¥518,930,842.34 in the same period last year[17]. - The net profit attributable to shareholders decreased by 78.64% to ¥2,696,046.52 from ¥12,620,288.48 in the previous year[17]. - The company reported a significant decline in cash flow from operating activities, with a net outflow of approximately ¥10.73 million, a decrease of 110.76% compared to the previous year[37]. - The company reported a total profit of CNY 3,344,668.02, compared to CNY 15,593,943.50 in the same period last year, a decrease of about 78.6%[122]. - The company’s total comprehensive income for the period was CNY 1,493,336.43, down from CNY 9,365,041.14 in the previous year[123]. - The company reported a net loss of CNY 51,149,047.78, an improvement from a loss of CNY 53,845,094.30 in the previous period[115]. Market Expansion and Product Development - The company plans to invest RMB 200 million in R&D for new product development and technological advancements in the upcoming year[12]. - User data showed an increase in customer base by 10% in the first half of 2017, reaching a total of 5,000 active clients[12]. - The company has expanded its market presence in Southeast Asia, achieving a 25% growth in sales in that region[12]. - Future guidance indicates an expected revenue growth of 20% for the full year 2017, driven by new product launches and market expansion[12]. - The company has successfully launched two new products in the first half of 2017, contributing to 5% of total revenue[12]. - The company is focusing on strategic acquisitions to enhance its product portfolio and market reach, with potential targets identified in the specialty chemicals sector[12]. - The company established two new subsidiaries in March 2017, with registered capital of ¥10 million and ¥0.5 million, aimed at asset integration and health industry development[33]. Financial Management and Investments - The company has no plans to distribute cash dividends or issue bonus shares for the current fiscal year[5]. - The company reported non-recurring gains and losses totaling ¥1,281,910.43, with government subsidies being a significant component[22]. - The company’s financial expenses increased by 65.06% to approximately ¥16.24 million, primarily due to an increase in short-term borrowings[37]. - The company’s cash and cash equivalents saw a net increase of approximately ¥11.37 million, a decrease of 93.70% compared to the previous year, reflecting challenges in cash flow management[37]. - The company reported a total cash inflow from financing activities of 497,660,000.00 CNY, up from 315,283,350.00 CNY, reflecting increased borrowing activities[131]. - The company received 457,660,000.00 CNY in loans, an increase from 314,383,350.00 CNY, highlighting reliance on debt financing[131]. Operational Challenges - The net cash flow from operating activities was negative at -¥10,734,092.88, a decline of 110.76% compared to ¥99,758,241.26 in the same period last year[17]. - The company faces environmental protection risks due to potential stricter government regulations, which may increase the investment required for environmental protection[59]. - The company has extended its business scope, which raises the complexity of management and operational decisions, increasing operational risks[59]. - The company emphasizes the importance of product and service quality management, as failure to adapt to new quality control requirements could negatively impact brand image and sales[59]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 36,444[96]. - The largest shareholder, Jinling Investment Holding Co., Ltd., holds 22.09% of the shares, totaling 126,211,344[96]. - The total number of shares outstanding is 571,300,000[91]. - The company reported a net profit distribution to shareholders of 7,426,900, indicating a significant reduction in profit allocation compared to the previous period[140]. Regulatory and Compliance - The company has no major litigation or arbitration matters during the reporting period[69]. - The company has no significant related party transactions during the reporting period[72]. - The company has not engaged in any significant contracts during the reporting period[85]. - The company is not listed as a key pollutant discharge unit by environmental protection authorities[87]. Accounting and Financial Reporting - The company’s financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance and relevant regulations[149]. - The financial statements include consolidated financial results, with minority interests separately presented in the consolidated balance sheet[158]. - The company adheres to the Chinese Accounting Standards, ensuring that the financial statements are true and complete[152]. - The accounting policies include depreciation of fixed assets and amortization of intangible assets, which are determined based on the company's operational characteristics[151].

Financial Performance - The company's revenue for Q1 2017 was ¥228,198,181.49, a decrease of 3.09% compared to ¥235,483,890.70 in the same period last year[8]. - The net profit attributable to shareholders was a loss of ¥7,343,815.59, representing a decline of 229.37% from a profit of ¥5,676,548.46 in the previous year[8]. - The basic earnings per share were -¥0.01, down 200.00% from ¥0.01 in the previous year[8]. - The net profit for Q1 2017 was a loss of CNY 8,316,203.60, compared to a profit of CNY 5,180,049.05 in the same period last year[37]. - The net profit for the period was a loss of ¥0.71 million, compared to a profit of ¥4.80 million in the same period last year, marking a significant decline[41]. - The total comprehensive income for the period was a loss of ¥0.71 million, contrasting with a comprehensive income of ¥4.80 million in the prior year[42]. Cash Flow - The net cash flow from operating activities improved significantly to ¥47,295,352.11, compared to a negative cash flow of ¥42,658,413.60 in the same period last year, marking a 210.87% increase[8]. - The operating cash flow for the period was ¥47.30 million, a turnaround from a negative cash flow of ¥42.66 million in the previous year[45]. - The net cash flow from operating activities was 9,454,146.51 CNY, a significant improvement from a net outflow of -29,129,318.33 CNY in the previous period[47]. - Total cash inflow from operating activities reached 304,286,741.95 CNY, compared to 98,837,957.52 CNY in the prior period, indicating a growth of approximately 207%[47]. - Cash outflow for purchasing goods and services was 39,152,147.76 CNY, down from 99,067,237.67 CNY, reflecting a decrease of about 60%[47]. - The total cash outflow for operating activities was 294,832,595.44 CNY, compared to 127,967,275.85 CNY in the prior period, reflecting an increase of about 130%[47]. Assets and Liabilities - Total assets at the end of the reporting period were ¥1,942,025,161.29, an increase of 2.57% from ¥1,893,303,344.80 at the end of the previous year[8]. - The total liabilities increased to CNY 992,942,860.34 from CNY 936,442,842.92[31]. - The company's equity attributable to shareholders decreased to CNY 882,922,665.95 from CNY 889,785,755.78[31]. - Cash and cash equivalents rose to CNY 84,075,372.60 from CNY 66,088,935.61[32]. - Accounts receivable decreased to CNY 65,180,022.37 from CNY 79,562,493.86[32]. - Inventory increased to CNY 100,363,353.38 from CNY 96,914,798.71[32]. Shareholder Information - The total number of common shareholders at the end of the reporting period was 37,902[12]. - The largest shareholder, Jinling Investment Holding Co., Ltd., held 21.68% of the shares, amounting to 123,844,595 shares, with 118,100,000 shares pledged[12]. - The company did not engage in any repurchase transactions during the reporting period[13]. Expenses and Investments - Research and development expenses surged by 228.84% due to increased investment in R&D[16]. - Total operating costs increased to CNY 240,095,817.18 from CNY 228,986,729.09, with operating costs specifically rising to CNY 192,000,256.34 from CNY 186,250,335.92[37]. - Selling expenses decreased to ¥2.07 million from ¥3.14 million, a reduction of about 34%[41]. - Management expenses were reduced to ¥8.83 million from ¥12.01 million, indicating a decrease of approximately 26%[41]. Future Outlook - The company expects a net loss of between -6 million and 0 million yuan for the first half of 2017, compared to a net profit of 12.62 million yuan in the same period of 2016[19]. Other Financial Activities - The company reported non-operating income of ¥1,021,586.35, primarily from government subsidies and other income[9]. - The company has no violations regarding external guarantees during the reporting period[21]. - The company did not conduct an audit for the first quarter report[51].

Shareholder Changes and Business Strategy - The company reported a change in its controlling shareholder and actual controller, leading to a moderate diversification of its business and an increase in the number of subsidiaries[3]. - In March 2016, the company transferred 11.81 million shares to Jinling Holdings, making it the controlling shareholder with a 20.67% stake[82]. - The company plans to pursue a dual-main business strategy, focusing on existing pharmaceutical and fine chemical businesses while exploring new areas such as financing leasing and supply chain management[83]. - The company is undergoing internal management restructuring and optimizing its internal control systems following the change in controlling shareholder[82]. - The company is actively seeking new profit growth points by transitioning to industries encouraged by national industrial policies[83]. Financial Performance - The company's operating revenue for 2016 was ¥1,194,217,730.08, an increase of 12.38% compared to ¥1,062,657,469.96 in 2015[24]. - The net profit attributable to shareholders was a loss of ¥307,045,742.70, a decrease of 1,314.29% from a profit of ¥25,286,111.79 in 2015[24]. - The net cash flow from operating activities was negative at ¥-123,441,311.65, a decline of 206.25% compared to ¥116,175,497.60 in 2015[24]. - The basic earnings per share were ¥-0.54, down 1,450.00% from ¥0.04 in 2015[24]. - The total assets at the end of 2016 were ¥1,893,303,344.80, a decrease of 2.80% from ¥1,947,858,472.35 at the end of 2015[24]. Operational Challenges and Risks - The company faces potential risks related to production safety due to the nature of its chemical products and processes[4]. - The company has a risk of operational management due to the complexity of integrating subsidiaries and adapting management methods[3]. - The company acknowledges the potential impact of uncollectible accounts receivable on its working capital and operating performance[9]. - The company is adapting to stricter environmental protection regulations that may require increased investment in environmental protection measures[6]. - The company emphasizes risk management in its operations, particularly in financing leasing and supply chain management[84]. Environmental and Quality Management - The company has established a comprehensive environmental protection and governance system, ensuring that "three wastes" emissions comply with national and local environmental quality standards[6]. - The company emphasizes the importance of product and service quality management, particularly in the pharmaceutical sector, adhering to national GMP standards[7]. - The company has strengthened its production management system, ensuring compliance with GMP and EHS standards, and has implemented project-based management to enhance quality and efficiency[45]. - The company has imported advanced waste treatment equipment from Italy to reduce external waste disposal costs, supporting its safety and environmental initiatives[45]. Research and Development - The company has multiple new projects and reserve varieties in the development and pilot testing stages in the raw material drug sector, indicating rapid progress in R&D[44]. - The number of R&D personnel increased by 25.51% to 123, representing 7.56% of the total workforce[63]. - Research and development expenditure reached ¥27,099,446.37, representing 2.27% of operating revenue, an increase of 44.14% compared to the previous year[63]. Market Performance and Sales - The revenue from pharmaceutical intermediates and health products reached CNY 329,343,994.58, which is 27.58% of total revenue, showing a 9.62% increase year-on-year[48]. - The revenue from overseas markets increased by 29.20% to CNY 407,201,083.04, representing 34.10% of total revenue[48]. - The company has successfully exported products to countries including India, South Korea, Japan, and Europe, establishing a good reputation in the market[40]. - The company has focused on enhancing its market share by leveraging existing sales networks and coordinating resources across subsidiaries[44]. Subsidiaries and Acquisitions - The company established new wholly-owned subsidiaries, including Beijing Jinxin and its subsidiaries, expanding its consolidated financial reporting scope[100]. - The company has invested $30 million in Hong Kong Tianhe to enhance its investment capabilities and acquired equity in Jinling Hengjian, thereby controlling Guangzhou Huajin for financing leasing qualifications[43]. - The subsidiary Tianhe Chemical reported total assets of ¥266,827,930 and a net loss of ¥6,933,481.7[76]. - The company has expanded its business scope through acquisitions and new establishments, enhancing profit growth points[84]. Employee and Management Structure - The company has established a strong talent pool with 221 employees holding bachelor's degrees or above, including 42 with master's or doctoral degrees, which supports its R&D and technical services[43]. - The total number of employees in the company is 1,627, with 595 in the parent company and 1,032 in major subsidiaries[155]. - The company has implemented a systematic training management system, achieving nearly all internal training plans in 2016[158]. - The company has established a performance-based compensation system linked to operational efficiency for senior management[157]. Corporate Governance - The governance structure of the company complies with the regulatory requirements set by the China Securities Regulatory Commission and the Shenzhen Stock Exchange[161]. - The company operates independently from its controlling shareholder, with no reliance on them for business operations[162]. - The company held three shareholder meetings during the reporting period, with investor participation rates of 6.89%, 0.33%, and 0.03% respectively[163]. - The audit committee held 3 meetings to review periodic reports and internal audit plans, ensuring the independence of the audit process[168].

苏州天马精细化学品股份有限公司 2016 年第三季度报告正文 证券代码：002453 证券简称：天马精化 公告编号：2016-066 苏州天马精细化学品股份有限公司 2016 年第三季度报告正文 1 苏州天马精细化学品股份有限公司 2016 年第三季度报告正文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人王广宇、主管会计工作负责人张杰及会计机构负责人(会计主管 人员)李小芳声明：保证季度报告中财务报表的真实、准确、完整。 2 苏州天马精细化学品股份有限公司 2016 年第三季度报告正文 第二节 主要财务数据及股东变化 一、主要会计数据和财务指标 公司是否因会计政策变更及会计差错更正等追溯调整或重述以前年度会计数据 3 苏州天马精细化学品股份有限公司 2016 年第三季度报告正文 二、报告期末股东总数及前十名股东持股情况表 1、普通股股东和表决权恢复的优先股股东数量及前 10 名股东持股情况表 单位：股 | 报告期末普通股股东总数 ...