Financial Performance - The company's operating revenue for Q1 2020 was ¥699,314,280.35, a decrease of 40.39% compared to ¥1,163,392,855.56 in the same period last year[9]. - The net profit attributable to shareholders of the listed company was ¥7,786,001.43, down 21.90% from ¥11,888,459.70 year-on-year[9]. - The net profit attributable to shareholders after deducting non-recurring gains and losses was ¥5,663,172.98, a decline of 28.12% compared to ¥7,878,794.43 in the previous year[9]. - Operating revenue fell by 40.39% to ¥699.31 million, primarily due to the impact of COVID-19 on manufacturing operations and a significant decline in product sales[22]. - The company's operating income for the current period is ¥4,776,737.82, a decrease from ¥10,472,136.10 in the previous period, reflecting a decline of approximately 54.4%[69]. - The total profit for the current period is ¥5,003,866.90, down from ¥11,144,746.62, representing a decrease of about 55.1%[69]. - The net profit attributable to the parent company's owners is ¥7,786,001.43, compared to ¥9,968,915.08 in the previous period, indicating a decline of approximately 21.9%[69]. - The company's total comprehensive income for the current period is ¥11,302,886.89, an increase from ¥9,567,227.17, showing a growth of about 18.1%[73]. Cash Flow - The net cash flow from operating activities was -¥23,921,288.45, an improvement of 86.06% from -¥172,976,496.73 in the same period last year[9]. - Cash inflow from operating activities is ¥1,000,936,913.95, slightly down from ¥1,071,499,461.79, a decrease of about 6.6%[81]. - Cash inflow from operating activities was ¥557,383,619.04, compared to ¥1,094,592,706.02 in the previous year, showing a decline in operational cash generation[88]. - Cash flow from operating activities showed a net outflow of ¥23,921,288.45, a significant improvement from the previous year's outflow of ¥171,663,103.77, indicating a reduction in cash burn[84]. - The net cash flow from financing activities was -¥174,362,518.16, an improvement from -¥222,870,891.83 in the previous year[87]. - The ending balance of cash and cash equivalents was ¥101,865,032.58, down from ¥270,761,428.80 in the previous period, indicating a decrease in liquidity[87]. - The company experienced a net decrease in cash and cash equivalents of -¥199,364,447.05, compared to -¥400,266,707.32 in the previous year, suggesting a stabilization in cash management[91]. Assets and Liabilities - Total assets at the end of the reporting period were ¥11,111,568,714.16, a decrease of 4.58% from ¥11,645,285,537.56 at the end of the previous year[9]. - Total current assets amounted to ¥4,198.92 million, down from ¥4,806.56 million, indicating a decrease of approximately 12.6%[45]. - Total non-current assets increased to ¥6,912.65 million from ¥6,838.72 million, reflecting an increase of about 1.1%[48]. - Total liabilities decreased to ¥6,989.34 million from ¥7,534.67 million, indicating a reduction of about 7.3%[51]. - The company reported a total equity of ¥4,122.23 million as of March 31, 2020, down from ¥4,110.62 million, reflecting a slight increase of about 0.3%[51]. - The total assets decreased to CNY 9,791,536,319.14 from CNY 10,165,049,748.76[61]. - The total liabilities decreased to CNY 5,454,035,322.05 from CNY 5,801,013,799.89[61]. - The total equity attributable to shareholders increased to CNY 4,337,500,997.09 from CNY 4,364,035,948.87[61]. Shareholder Information - The basic earnings per share remained at ¥0.002, unchanged from the previous year[9]. - The diluted earnings per share also remained at ¥0.002, consistent with the previous year[9]. - The weighted average return on net assets was 0.19%, slightly down from 0.20% in the same period last year[9]. - The proportion of non-operating fund occupation by major shareholders was 0.01% of the latest audited net assets[40]. - The company has repaid all non-operating fund occupations during the reporting period[40]. Investment and Expenses - Research and development expenses decreased by 35.48% to ¥60.94 million, attributed to reduced investment in product development due to the pandemic[24]. - Investment income increased by 45.71% to ¥164.35 million, driven by higher profits from associated companies[24]. - The company incurred financial expenses of ¥31,141,008.29, a decrease from ¥46,362,386.52, indicating a reduction of about 32.7%[74]. - The company’s investment income for the current period is ¥1,577,903.31, a significant drop from ¥95,392,674.75 in the previous period, representing a decline of approximately 98.3%[74]. Risk Management - The company is facing potential liabilities due to overdue loans guaranteed for subsidiaries, totaling ¥241 million and ¥70 million[28]. - The company has implemented risk mitigation measures, including negotiations for debt restructuring and additional guarantees[28]. Other Comprehensive Income - The company reported non-operating income of ¥2,144,464.28 from government subsidies during the reporting period[9]. - Other comprehensive income increased by 246.16% to ¥17.41 million, primarily due to changes in exchange rates[22]. - The company reported a significant increase in other comprehensive income, with a net amount of ¥2,254,727.64 compared to a loss of ¥414,743.79 in the previous period[76].

Financial Performance - The company's operating revenue for Q1 2020 was ¥699,314,280.35, representing a decrease of 40.39% compared to ¥1,163,392,855.56 in the same period last year[9]. - Net profit attributable to shareholders was ¥7,786,001.43, down 21.90% from ¥11,888,459.70 year-on-year[9]. - Operating revenue fell by 40.39% to ¥699.31 million, primarily due to the impact of COVID-19 on manufacturing operations and a significant decline in product sales[22]. - The company's operating income for the current period is ¥4,776,737.82, a decrease from ¥10,472,136.10 in the previous period, reflecting a decline of approximately 54.4%[71]. - The total profit for the current period is ¥5,003,866.90, down from ¥11,144,746.62, indicating a decrease of about 55.1%[71]. - The net profit attributable to the parent company's shareholders is ¥7,786,001.43, compared to ¥9,968,915.08 in the previous period, representing a decline of approximately 21.9%[71]. - The company's total comprehensive income for the current period is ¥11,302,886.89, an increase from ¥9,567,227.17, showing a growth of about 18.1%[75]. Cash Flow and Liquidity - The net cash flow from operating activities improved significantly, with a net cash flow of -¥23,921,288.45, an 86.06% increase compared to -¥172,976,496.73 in the previous year[9]. - Cash and cash equivalents decreased by 31.24% to ¥993.31 million due to increased investment in construction projects and repayment of loans and interest[22]. - The total cash and cash equivalents at the end of the period was 101,865,032.58, a decrease from 270,761,428.80 in the previous period[89]. - Cash inflow from investment activities totaled 46,496,576.00, down from 231,741,573.29 in the previous period[86]. - The cash flow from investment activities showed a net outflow of -27,093,761.83, compared to -8,231,970.54 in the previous period[86]. - The cash flow from operating activities netted -117,309,508.69, an improvement from -238,829,164.84 in the previous period[90]. Assets and Liabilities - Total assets at the end of the reporting period were ¥11,111,568,714.16, a decrease of 4.58% from ¥11,645,285,537.56 at the end of the previous year[9]. - The company's total assets decreased from ¥11,645,285,537.56 to ¥11,111,568,714.16, a decrease of about 4.6%[49]. - Total liabilities decreased from ¥7,534,670,005.73 to ¥6,989,335,753.95, a reduction of approximately 7.3%[53]. - The company's equity attributable to shareholders increased to CNY 4,337,500,997.09 from CNY 4,364,035,948.87[63]. - The company's total assets amount to approximately $10.17 billion[106]. - Total liabilities amount to approximately $5.80 billion[106]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 4,487,969,248, with the largest shareholder holding 15.03% of the shares[13]. - Jiangsu Aikang Industrial Group Co., Ltd. was the largest shareholder, holding 15.03% of the shares, with a total of 674,742,000 shares[13]. - The company did not engage in any repurchase transactions during the reporting period[17]. Research and Development - Research and development expenses decreased by 35.48% to ¥6.09 million, attributed to reduced investment in product development due to the pandemic[24]. Risk Management - The company is facing potential liabilities due to overdue loans guaranteed for subsidiaries, with guarantees totaling ¥241 million and ¥70 million[28]. - The company has implemented risk management measures to minimize potential guarantee losses, including negotiations with creditors and restructuring plans[29]. Other Income and Expenses - The company reported non-operating income of ¥2,144,464.28 from government subsidies during the reporting period[9]. - Other comprehensive income increased by 246.16% to ¥1.74 million, mainly due to changes in exchange rates[22]. - The company incurred financial expenses of ¥31,141,008.29, down from ¥46,362,386.52, reflecting a decrease of approximately 32.7%[76]. - The investment income for the current period is ¥1,577,903.31, a significant drop from ¥95,392,674.75 in the previous period, indicating a decline of about 98.3%[76].

Financial Performance - The company reported a net loss of 1.6 billion RMB for the year 2019, with accumulated undistributed profits at the end of 2019 amounting to -1.2 billion RMB[5]. - The company's operating revenue for 2019 was ¥5,126,010,313.44, representing a 5.65% increase compared to ¥4,842,707,329.51 in 2018[29]. - The net profit attributable to shareholders was -¥1,611,705,676.59, a significant decrease of 1,494.96% from ¥125,342,472.05 in 2018[29]. - The net cash flow from operating activities was ¥825,310,241.67, down 3.79% from ¥868,538,493.18 in the previous year[29]. - The total assets at the end of 2019 were ¥11,645,285,537.56, a decrease of 18.16% from ¥14,056,677,310.68 at the end of 2018[33]. - The net assets attributable to shareholders decreased by 29.58% to ¥4,107,192,414.26 from ¥5,867,084,922.05 in 2018[33]. - The basic earnings per share for 2019 was -¥0.36, a decline of 1,385.71% from ¥0.028 in 2018[32]. - The diluted earnings per share also fell to -¥0.359, down 1,382.14% from ¥0.028 in the previous year[32]. - The company reported a significant non-recurring loss of -¥307,482,813.67 in 2019, compared to a profit of ¥106,053,496.84 in 2018[40]. Shareholder and Equity Information - As of December 31, 2019, 78.76% of the shares held by the controlling shareholder were frozen, totaling 53.14 million shares, which represents 11.84% of the company's total share capital[5]. - The company plans not to distribute cash dividends, issue bonus shares, or increase capital from reserves for the year 2019[7]. - The company has completed a capital increase of CNY 500 million, achieving 100% of the target[104]. - The company completed a significant equity investment of 108.62 million yuan in real estate development, acquiring 100% ownership[101]. - The company also made a capital increase of 121.09 million yuan in a photovoltaic manufacturing subsidiary, achieving 100% ownership[101]. Risks and Challenges - The company faces risks related to policy changes affecting grid connection and tariff subsidies, which could adversely impact its operating performance[5]. - The company has a significant external guarantee balance of 605.12 million RMB, which accounts for 147.21% of its net assets[5]. - The company is currently undergoing a process to address the issues raised in the audit report, which includes concerns about its ability to continue as a going concern[5]. - The company is facing a challenging external environment due to intensified market competition and the impact of the pandemic on global markets[126]. - The company has identified three core business areas to enhance competitiveness while managing risks[128]. Sales and Revenue Breakdown - The revenue from the solar battery frame segment was ¥2,209,232,412.07, accounting for 43.10% of total revenue, with a year-on-year growth of 17.53%[67]. - The company experienced a significant decline in electricity sales revenue, which dropped by 45.81% to ¥454,769,909.96, down from ¥839,266,983.90 in 2018[67]. - Domestic sales accounted for 39.90% of total revenue at ¥2,045,244,146.39, reflecting a decrease of 22.61% from the previous year[67]. - Export sales increased by 39.45% to ¥3,080,766,167.05, representing 60.10% of total revenue[67]. Asset Management and Investments - The company's equity assets decreased by 24.88% compared to the beginning of the year due to impairment provisions and dividends from associates[48]. - The company's fixed assets decreased by 23.56% compared to the beginning of the year, primarily due to increased depreciation and impairment provisions[48]. - The company's intangible assets increased by 14.74% compared to the beginning of the year, mainly due to the acquisition of land use rights[48]. - The company's construction in progress increased by 330.51% compared to the beginning of the year, driven by the investment in photovoltaic battery and component projects in Zhejiang and Ganzhou[48]. - The total investment amount for the reporting period is 1.271 billion yuan, a decrease of 67.87% compared to the previous year's investment amount of 3.957 billion yuan[101]. Research and Development - Research and development expenses totaled ¥40,773,967.70, accounting for 0.80% of operating income[87]. - The number of R&D personnel decreased by 8.91% to 92, while the proportion of R&D personnel increased to 4.90%[88]. - The company is investing in technological innovation for bracket products to ensure safety and reliability while meeting customer needs[130]. - The company has achieved a battery efficiency upgrade to 22.2% through SE technology and thermal oxidation improvements, with new capacity for high-efficiency PERC and HJT batteries[57]. Audit and Compliance - The company has received a qualified audit opinion from Zhongxinghua Accounting Firm regarding its financial statements for 2019[5]. - The company is actively monitoring the progress of eliminating the issues related to the qualified opinion in its financial reporting[5]. - The company appointed Zhongxinghua Accounting Firm as its auditor, with an audit fee of 2 million yuan for the year[192]. Market Outlook - The company anticipates a global photovoltaic market growth rate of 10%-15% over the next 2-3 years, with a projected global new installed capacity of 105-120 GW in 2020[123]. - The domestic photovoltaic installed capacity is expected to be between 35-45 GW in 2020[123]. - The photovoltaic industry is transitioning from policy-driven to market-driven growth, with a significant emphasis on cost reduction and efficiency[125]. Corporate Governance - The company has committed to not using its controlling position to harm the legitimate rights and interests of other shareholders and creditors[150]. - Aikang International Holdings Limited has committed to not engaging in any competitive business activities that conflict with the operations of Jiangsu Aikang Technology[156]. - The company has made commitments to avoid competition with its subsidiaries, ensuring no direct or indirect competitive activities will occur[148].

[Important Notice](index=2&type=section&id=Item%20I.%20Important%20Notice) The company's board of directors, supervisory board, and senior management guarantee the accuracy and completeness of the quarterly report - The company's board of directors, supervisory board, and senior management guarantee the **truthfulness, accuracy, and completeness** of the quarterly report, assuming individual and joint legal liabilities[4](index=4&type=chunk) - Company head Zou Chenghui, chief accountant Li Jing, and head of accounting department Qian Jian declare that the financial statements in the quarterly report are **true, accurate, and complete**[5](index=5&type=chunk) [Company Profile](index=3&type=section&id=Item%20II.%20Company%20Profile) This section outlines the company's key financial data, shareholder structure, and significant events [Key Accounting Data and Financial Indicators](index=3&type=section&id=1.%20Key%20Accounting%20Data%20and%20Financial%20Indicators) Year-to-date, revenue grew 3.19%, but net profit attributable to shareholders fell 58.34%, with operating cash flow down 39.07% Key Accounting Data and Financial Indicators (Year-to-Date) | Indicator | Year-to-Date Amount (RMB) | Year-on-Year Change | | :--- | :--- | :--- | | Operating Revenue | 3,788,090,554.13 | 3.19% | | Net Profit Attributable to Shareholders of Listed Company | 55,880,608.55 | -58.34% | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-Recurring Gains and Losses | 28,629,733.37 | -72.75% | | Net Cash Flow from Operating Activities | 282,796,179.51 | -39.07% | | Basic Earnings Per Share (RMB/share) | 0.01 | -66.67% | | Diluted Earnings Per Share (RMB/share) | 0.01 | -68.00% | | Weighted Average Return on Net Assets | 0.94% | -59.64% | Non-Recurring Gains and Losses (Year-to-Date) | Item | Amount (RMB) | Explanation | | :--- | :--- | :--- | | Gains and Losses from Disposal of Non-Current Assets (including reversal of impairment provisions) | 18,582,149.89 | Primarily investment income from the sale of Nantong Akcome equity during the reporting period | | Government subsidies recognized in current profit and loss (excluding those closely related to business operations and enjoyed at fixed or quantitative standards) | 7,605,119.85 | Primarily due to government subsidies received and asset-related government subsidies recognized as income in the current period | | Fair value changes and investment income from trading and derivative financial instruments, excluding effective hedges | -4,638,876.00 | | | Reversal of impairment provisions for receivables and contract assets subject to separate impairment testing | 2,246,483.72 | | | Other non-operating income and expenses apart from the above | 6,368,654.00 | | | Less: Income tax impact | 2,650,794.88 | | | Impact on minority interests (after tax) | 261,861.40 | | | Total | 27,250,875.18 | -- | [Total Shareholders and Top Ten Shareholders at Period End](index=4&type=section&id=2.%20Total%20Shareholders%20and%20Top%20Ten%20Shareholders%20at%20Period%20End) At period-end, the company had **237,958** common shareholders; the largest, Jiangsu Akcome Industrial Group, had most of its shares pledged - At the end of the reporting period, the total number of common shareholders was **237,958**[13](index=13&type=chunk) Top 10 Shareholders' Shareholding Status | Shareholder Name | Shareholder Type | Shareholding Percentage | Number of Shares Held (shares) | Number of Restricted Shares Held (shares) | Pledge or Freeze Status | Amount (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Jiangsu Akcome Industrial Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 15.66% | 703,082,000 | 0 | Pledged | 531,301,996 | | Jiangsu Zhangjiagang Economic Development Zone Industrial General Company | State-Owned Legal Person | 5.26% | 235,920,200 | 0 | | | | Zou Chenghui | Domestic Natural Person | 2.71% | 121,846,200 | 91,384,650 | Pledged | 121,846,200 | | Jiangyin Akcome Investment Co., Ltd. | Domestic Non-State-Owned Legal Person | 1.05% | 46,980,000 | 0 | Pledged | 25,000,000 | | Guoshou Anbao Fund - Bohai Bank - Huaxin International Trust - Huaxin Trust · Huizhi Investment No. 60 Structured Collective Fund Trust Plan | Other | 0.80% | 35,891,800 | 0 | | | | Ji Xiaoping | Domestic Natural Person | 0.68% | 30,639,600 | 0 | | | | CCB Fund - Industrial Bank - Huaxin International Trust - Huaxin Trust · Huizhi Investment No. 58 Structured Collective Fund Trust Plan | Other | 0.65% | 29,295,900 | 0 | | | | Beixin Ruifeng Fund - Bank of Ningbo - Huaxin International Trust Co., Ltd. | Other | 0.63% | 28,435,561 | 0 | | | | Liang Jinming | Domestic Natural Person | 0.20% | 9,050,000 | 0 | | | | Bank of China Co., Ltd. - GF CSI Environmental Protection Industry ETF | Other | 0.19% | 8,684,976 | 0 | | | - Among the top ten shareholders, Jiangsu Akcome Industrial Group Co., Ltd. and Jiangyin Akcome Investment Co., Ltd. are affiliated enterprises controlled by the same actual controller, Zou Chenghui, and are parties acting in concert[18](index=18&type=chunk) - Controlling shareholder Jiangsu Akcome Industrial Group Co., Ltd. holds **559,771,666 shares** through ordinary securities accounts and **143,310,334 shares** through Northeast Securities Co., Ltd. client credit trading guarantee securities accounts, totaling **703,082,000 shares**[21](index=21&type=chunk) [Significant Events](index=7&type=section&id=Item%20III.%20Significant%20Events) This section details major financial and operational changes, important developments, and compliance status [Changes and Reasons for Key Financial Data and Indicators During Reporting Period](index=7&type=section&id=1.%20Changes%20and%20Reasons%20for%20Key%20Financial%20Data%20and%20Indicators%20During%20Reporting%20Period) The company experienced significant changes across its balance sheet, income statement, and cash flow statement items, driven by various factors Balance Sheet Major Item Changes (Sep 30, 2019 vs Dec 31, 2018) | Item | Sep 30, 2019 (RMB) | Dec 31, 2018 (RMB) | Change vs. Year-End 2018 | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Financial assets at fair value through profit or loss | 0.00 | 1,204,176.00 | -100.00% | Primarily due to maturity of forward foreign exchange contracts and negative fair value changes of new contracts during the reporting period | | Notes Receivable | 28,005,157.81 | 136,526,072.87 | -79.49% | Primarily due to maturity and increased external payments of unexpired notes during the reporting period | | Prepayments | 214,039,160.23 | 60,779,711.97 | 252.16% | Primarily due to increased prepayments to suppliers during the reporting period | | Dividends Receivable | 107,226,473.98 | 158,465,156.48 | -32.33% | Primarily due to dividends receivable from sold power station companies received during the reporting period | | Available-for-Sale Financial Assets | 0.00 | 4,734,400.00 | -100.00% | Primarily due to changes in accounting items following the implementation of new financial standards during the reporting period | | Long-Term Receivables | 133,618,500.46 | 85,683,834.18 | 55.94% | Primarily due to increased long-term equity transfer receivables from the sale of Nantong Akcome equity during the reporting period | | Construction in Progress | 243,857,804.76 | 98,798,906.27 | 146.82% | Primarily due to increased construction progress of the Zhejiang Changxing Optoelectronics project during the reporting period | | Notes Payable | 794,697,966.13 | 164,889,556.26 | 381.96% | Primarily due to increased payments of bank acceptance bills during the reporting period | | Advances from Customers | 81,955,316.36 | 59,930,678.67 | 36.75% | Primarily due to increased advances for product sales during the reporting period | | Taxes Payable | 16,614,650.66 | 44,137,224.41 | -62.36% | Primarily due to decreased corporate income tax payable at the end of the reporting period | | Other Payables | 167,269,263.49 | 302,418,611.29 | -44.69% | Primarily due to decreased equity transfer payables and intercompany balances during the reporting period | | Non-Current Liabilities Due Within One Year | 397,504,729.61 | 658,913,618.29 | -39.67% | Primarily due to repayment of maturing debts and borrowings during the reporting period | | Deferred Income | 21,664,658.27 | 39,071,231.45 | -44.55% | Primarily due to decreased deferred income after the sale of Nantong Akcome equity during the reporting period | | Treasury Stock | 12,560,606.19 | 20,969,709.72 | -40.10% | Primarily due to the unlocking of restricted stock incentives upon achievement of 2018 performance commitments and the repurchase and cancellation of shares from resigned employees during the reporting period | | Other Comprehensive Income | 4,413,987.81 | -1,665,825.40 | -364.97% | Primarily due to changes in foreign currency translation rates for overseas companies' financial statements during the reporting period | | Minority Interests | 108,720,992.67 | 75,556,767.29 | 43.89% | Primarily due to increased minority interests from the transfer of 12.5% equity in subsidiary Nanzhao Power during the reporting period | Income Statement Major Item Changes (Current Period vs Prior Period) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Other Income | 7,605,119.85 | 23,617,760.44 | -67.80% | Primarily due to decreased government subsidies received compared to the prior year | | Asset Impairment Losses | 0.00 | 1,178,783.47 | -100.00% | Primarily due to changes in accounting treatment following the implementation of new financial standards during the reporting period | | Asset Disposal Gains | 465,418.73 | -1,928,055.92 | 124.14% | Primarily due to increased gains from disposal of fixed assets compared to the prior year | | Non-Operating Income | 6,713,681.67 | 1,897,607.29 | 253.80% | Primarily due to recovery of early-stage investment funds for some non-constructed power stations during the reporting period | | Non-Operating Expenses | 477,433.57 | 4,041,038.03 | -88.19% | Primarily due to decreased losses from damage to non-current assets during the reporting period | | Income Tax Expense | 4,031,473.33 | -933,229.14 | 531.99% | Primarily due to increased taxable income of the company during the reporting period | Cash Flow Statement Major Item Changes (Current Period vs Prior Period) | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | Year-on-Year Change | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 282,796,179.51 | 464,107,990.11 | -39.07% | Primarily due to cash received from intercompany balances of sold subsidiaries during the reporting period | | Net Cash Flow from Investing Activities | -2,253,392.54 | -1,466,030,276.05 | 99.85% | Primarily due to cash received from disposal of subsidiaries and decreased external investment expenditures during the reporting period | | Net Cash Flow from Financing Activities | -361,226,609.22 | 981,435,883.79 | -136.81% | Primarily due to the company repaying some maturing borrowings during the reporting period | [Progress, Impact, and Solutions for Significant Events](index=8&type=section&id=2.%20Progress,%20Impact,%20and%20Solutions%20for%20Significant%20Events) The company completed a strategic investment by Zhangjiagang Economic Development Zone Industrial, changed an acquisition plan to pure cash, and proposed to terminate share repurchases - Jiangsu Zhangjiagang Economic Development Zone Industrial General Company completed its strategic investment, acquiring **235,920,200 shares** (5.26% of total share capital) via agreement transfer, becoming the company's second-largest shareholder[28](index=28&type=chunk) - The company's plan to acquire 100% equity of Ningbo Jiangbei Yize New Energy Technology Co., Ltd. changed from share issuance and cash payment to a **pure cash acquisition**, not constituting a major asset restructuring[29](index=29&type=chunk) - The company's board of directors approved the proposal to terminate the share repurchase plan, which awaits shareholder approval; the original plan aimed to repurchase **RMB 150 million to RMB 300 million** at a price not exceeding **RMB 3.00/share**[30](index=30&type=chunk)[35](index=35&type=chunk) [Unfulfilled Commitments by Controlling Shareholder, Shareholders, Related Parties, Acquirers, and the Company](index=10&type=section&id=3.%20Unfulfilled%20Commitments%20by%20Controlling%20Shareholder,%20Shareholders,%20Related%20Parties,%20Acquirers,%20and%20the%20Company) The company had no unfulfilled commitments from its controlling shareholder, shareholders, related parties, acquirers, or itself during the reporting period - The company had no unfulfilled commitments from its actual controller, shareholders, related parties, acquirers, or the company during the reporting period[36](index=36&type=chunk) [Financial Assets Measured at Fair Value](index=10&type=section&id=4.%20Financial%20Assets%20Measured%20at%20Fair%20Value) At period-end, the company's financial derivatives measured at fair value were zero, with a fair value change loss of **RMB 1,204,176.00** Financial Assets Measured at Fair Value | Asset Category | Initial Investment Cost (RMB) | Fair Value Change Gain/Loss for Current Period (RMB) | Cumulative Fair Value Change Included in Equity (RMB) | Amount Purchased During Reporting Period (RMB) | Amount Sold During Reporting Period (RMB) | Cumulative Investment Income (RMB) | Period-End Amount (RMB) | Source of Funds | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Financial Derivatives | 1,204,176.00 | -1,204,176.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | Self-raised | | Total | 1,204,176.00 | -1,204,176.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | -- | [Irregular External Guarantees](index=11&type=section&id=5.%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[40](index=40&type=chunk) [Non-Operating Funds Occupied by Controlling Shareholder and Related Parties](index=11&type=section&id=6.%20Non-Operating%20Funds%20Occupied%20by%20Controlling%20Shareholder%20and%20Related%20Parties) The company had no non-operating funds occupied by its controlling shareholder or related parties during the reporting period - The company had no non-operating funds occupied by its controlling shareholder or related parties during the reporting period[41](index=41&type=chunk) [Wealth Management](index=11&type=section&id=7.%20Wealth%20Management) The company had no wealth management activities during the reporting period - The company had no wealth management activities during the reporting period[42](index=42&type=chunk) [Registration of Research, Communication, and Interview Activities During Reporting Period](index=11&type=section&id=8.%20Registration%20of%20Research,%20Communication,%20and%20Interview%20Activities%20During%20Reporting%20Period) The company did not engage in any research, communication, or interview activities during the reporting period - The company did not engage in any research, communication, or interview activities during the reporting period[43](index=43&type=chunk) [Financial Statements](index=12&type=section&id=Item%20IV.%20Financial%20Statements) This section presents the company's consolidated and parent company balance sheets, income statements, and cash flow statements [Financial Statements](index=12&type=section&id=1.%20Financial%20Statements) This section provides the company's consolidated and parent company balance sheets, income statements, and cash flow statements, showcasing its financial position, operating results, and cash flows [Consolidated Balance Sheet](index=12&type=section&id=1.%20Consolidated%20Balance%20Sheet) At September 30, 2019, consolidated total assets decreased from year-end, while equity attributable to parent company owners increased Consolidated Balance Sheet Major Data (September 30, 2019) | Item | Sep 30, 2019 (RMB) | Dec 31, 2018 (RMB) | | :--- | :--- | :--- | | Total Assets | 13,683,714,753.29 | 14,056,677,310.68 | | Total Liabilities | 7,632,470,654.95 | 8,114,035,621.34 | | Total Equity Attributable to Parent Company Owners | 5,942,523,105.67 | 5,867,084,922.05 | | Minority Interests | 108,720,992.67 | 75,556,767.29 | | Total Owners' Equity | 6,051,244,098.34 | 5,942,641,689.34 | [Parent Company Balance Sheet](index=15&type=section&id=2.%20Parent%20Company%20Balance%20Sheet) At September 30, 2019, parent company total assets decreased from year-end, while total owners' equity slightly increased Parent Company Balance Sheet Major Data (September 30, 2019) | Item | Sep 30, 2019 (RMB) | Dec 31, 2018 (RMB) | | :--- | :--- | :--- | | Total Assets | 11,746,162,555.31 | 13,660,973,084.66 | | Total Liabilities | 5,821,751,294.68 | 7,823,049,284.23 | | Total Owners' Equity | 5,924,411,260.63 | 5,837,923,800.43 | [Consolidated Income Statement for Current Period](index=18&type=section&id=3.%20Consolidated%20Income%20Statement%20for%20Current%20Period) For the third quarter, consolidated operating revenue grew 8.09% to **RMB 1.27 billion**, but net profit attributable to parent company owners significantly declined by 71.15% Consolidated Income Statement Major Data for Current Period | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 1,274,542,143.31 | 1,179,120,391.04 | | Total Operating Costs | 1,276,230,176.72 | 1,126,812,052.19 | | Operating Profit | 15,340,767.97 | 75,041,661.90 | | Total Profit | 20,475,951.36 | 73,333,283.53 | | Net Profit | 19,953,765.06 | 70,584,463.72 | | Net Profit Attributable to Parent Company Owners | 18,785,303.11 | 65,119,972.97 | | Basic Earnings Per Share (RMB/share) | 0.0032 | 0.01 | | Diluted Earnings Per Share (RMB/share) | 0.0032 | 0.01 | [Parent Company Income Statement for Current Period](index=21&type=section&id=4.%20Parent%20Company%20Income%20Statement%20for%20Current%20Period) For the third quarter, parent company operating revenue increased, but net profit showed an expanded loss of **RMB 14.75 million** Parent Company Income Statement Major Data for Current Period | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Operating Revenue | 518,070,988.79 | 446,181,887.52 | | Operating Profit | -21,230,241.10 | -11,538,146.84 | | Total Profit | -20,978,970.32 | -13,068,270.49 | | Net Profit | -14,754,185.11 | -9,923,672.64 | [Consolidated Income Statement Year-to-Date](index=23&type=section&id=5.%20Consolidated%20Income%20Statement%20Year-to-Date) Year-to-date, consolidated operating revenue grew 3.19% to **RMB 3.79 billion**, but net profit attributable to parent company owners significantly declined by 58.34% Consolidated Income Statement Major Data Year-to-Date | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Total Operating Revenue | 3,788,090,554.13 | 3,670,839,136.54 | | Total Operating Costs | 3,772,919,166.48 | 3,601,915,102.27 | | Operating Profit | 58,476,444.80 | 143,483,487.25 | | Total Profit | 64,712,692.90 | 141,340,056.51 | | Net Profit | 60,681,219.57 | 142,273,285.65 | | Net Profit Attributable to Parent Company Owners | 55,880,608.55 | 134,128,665.79 | | Basic Earnings Per Share (RMB/share) | 0.01 | 0.03 | | Diluted Earnings Per Share (RMB/share) | 0.01 | 0.03 | [Parent Company Income Statement Year-to-Date](index=25&type=section&id=6.%20Parent%20Company%20Income%20Statement%20Year-to-Date) Year-to-date, parent company operating revenue increased, but net profit significantly declined to **RMB 67.58 million** Parent Company Income Statement Major Data Year-to-Date | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Operating Revenue | 1,615,006,742.27 | 1,388,095,314.70 | | Operating Profit | 56,152,742.20 | 150,145,855.90 | | Total Profit | 57,352,814.35 | 148,231,025.12 | | Net Profit | 67,578,956.95 | 164,791,854.73 | [Consolidated Cash Flow Statement Year-to-Date](index=27&type=section&id=7.%20Consolidated%20Cash%20Flow%20Statement%20Year-to-Date) Year-to-date, net cash flow from operating activities decreased by 39.07% to **RMB 282.80 million**, while investing activities significantly improved Consolidated Cash Flow Statement Major Data Year-to-Date | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 282,796,179.51 | 464,107,990.11 | | Net Cash Flow from Investing Activities | -2,253,392.54 | -1,466,030,276.05 | | Net Cash Flow from Financing Activities | -361,226,609.22 | 981,435,883.79 | | Net Increase in Cash and Cash Equivalents | -79,193,329.90 | -17,435,942.59 | | Period-End Cash and Cash Equivalents Balance | 596,151,126.99 | 695,656,994.11 | [Parent Company Cash Flow Statement Year-to-Date](index=29&type=section&id=8.%20Parent%20Company%20Cash%20Flow%20Statement%20Year-to-Date) Year-to-date, parent company net cash flow from operating activities turned negative, while investing activities significantly improved Parent Company Cash Flow Statement Major Data Year-to-Date | Item | Current Period Amount (RMB) | Prior Period Amount (RMB) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -272,428,957.07 | 1,098,178,131.28 | | Net Cash Flow from Investing Activities | 603,368,407.51 | -1,740,850,885.11 | | Net Cash Flow from Financing Activities | -439,908,864.76 | 947,282,623.31 | | Net Increase in Cash and Cash Equivalents | -109,780,840.09 | 301,464,225.06 | | Period-End Cash and Cash Equivalents Balance | 436,571,554.54 | 471,292,380.50 | [Explanation of Financial Statement Adjustments](index=31&type=section&id=2.%20Explanation%20of%20Financial%20Statement%20Adjustments) This section explains the adjustments made to the company's year-start financial statements from 2019 due to the implementation of new financial instrument standards [Adjustments to Year-Start Financial Statements Due to New Financial Instruments, Revenue, or Lease Standards from 2019](index=31&type=section&id=1.%20Adjustments%20to%20Year-Start%20Financial%20Statements%20Due%20to%20New%20Financial%20Instruments,%20Revenue,%20or%20Lease%20Standards%20from%202019) The company adjusted its year-start financial statements from 2019 to comply with new financial instrument standards, primarily reclassifying certain financial assets Consolidated Balance Sheet Adjustments (January 1, 2019) | Item | Dec 31, 2018 (RMB) | Jan 1, 2019 (RMB) | Adjustment Amount (RMB) | | :--- | :--- | :--- | :--- | | Trading Financial Assets | | 1,204,176.00 | 1,204,176.00 | | Financial assets at fair value through profit or loss | 1,204,176.00 | | -1,204,176.00 | | Available-for-Sale Financial Assets | 4,734,400.00 | | -4,734,400.00 | | Other Non-Current Financial Assets | | 4,734,400.00 | 4,734,400.00 | Parent Company Balance Sheet Adjustments (January 1, 2019) | Item | Dec 31, 2018 (RMB) | Jan 1, 2019 (RMB) | Adjustment Amount (RMB) | | :--- | :--- | :--- | :--- | | Trading Financial Assets | | 1,204,176.00 | 1,204,176.00 | | Financial assets at fair value through profit or loss | 1,204,176.00 | | -1,204,176.00 | | Available-for-Sale Financial Assets | 4,734,400.00 | | -4,734,400.00 | | Other Non-Current Financial Assets | | 4,734,400.00 | 4,734,400.00 | [Explanation of Retrospective Adjustments to Prior Period Comparative Data Due to New Financial Instruments or Lease Standards from 2019](index=37&type=section&id=2.%20Explanation%20of%20Retrospective%20Adjustments%20to%20Prior%20Period%20Comparative%20Data%20Due%20to%20New%20Financial%20Instruments%20or%20Lease%20Standards%20from%202019) The company made no retrospective adjustments to prior period comparative data due to new financial instrument or lease standards during the reporting period - The company made no retrospective adjustments to prior period comparative data due to new financial instrument or lease standards during the reporting period[135](index=135&type=chunk) [Audit Report](index=37&type=section&id=3.%20Audit%20Report) The company's 2019 third-quarter report is unaudited - The company's third-quarter report is unaudited[136](index=136&type=chunk)

Financial Performance - The company's operating revenue for the first half of 2019 was CNY 2,513,548,410.82, representing a 0.88% increase compared to CNY 2,491,718,745.50 in the same period last year[24]. - The net profit attributable to shareholders of the listed company decreased by 46.25% to CNY 37,095,305.44 from CNY 69,008,692.82 year-on-year[24]. - The net profit after deducting non-recurring gains and losses fell by 68.13% to CNY 15,572,225.45 compared to CNY 48,866,349.30 in the previous year[24]. - The net cash flow from operating activities was negative at CNY -27,425,065.66, a decline of 115.93% from CNY 172,182,807.64 in the same period last year[24]. - Basic and diluted earnings per share both decreased by 50.00% to CNY 0.01 from CNY 0.02 year-on-year[24]. - The total assets at the end of the reporting period were CNY 13,484,541,461.99, down 4.07% from CNY 14,056,677,310.68 at the end of the previous year[24]. - The net assets attributable to shareholders of the listed company increased by 0.90% to CNY 5,920,055,469.19 from CNY 5,867,084,922.05 at the end of the previous year[24]. Operational Highlights - The company maintains the world's largest market share in photovoltaic frame manufacturing, with an annual production capacity exceeding 30 million sets[35]. - The company has improved battery efficiency to 22% with the introduction of PERC technology and is expected to reach 22.2% after further upgrades[35]. - The company has cumulatively operated renewable energy power stations with a capacity of approximately 1.5 GW, ranking among the top private enterprises in the industry[36]. - The company plans to launch several new photovoltaic modules with power exceeding 400W in Q4 2019, which are expected to lead the industry[35]. - The company has established long-term strategic partnerships with major energy groups, enhancing its customer resource advantage[44]. - The company has a strong focus on differentiated competition in comprehensive energy services, serving over 600 enterprise clients[36]. Investment and Acquisitions - The company has increased its equity assets by 10.98% due to acquiring a 26% stake in Shanghai Aikang Fuluona Leasing Co., Ltd.[37]. - The company plans to acquire 100% of Ningbo Jiangbei Yize New Energy Technology Co., Ltd., enhancing its international presence and leveraging cost advantages in Vietnam[51]. - The company has a significant increase in prepayments to suppliers by 156.82%, indicating a rise in procurement activities[37]. - The company reported an investment income of ¥34,937,725.12, which accounted for 78.98% of total profit, mainly from equity method investments and the sale of stakes in subsidiaries[63]. Market and Sales Performance - Revenue from the solar accessories manufacturing segment reached ¥2,280,649,824.57, accounting for 90.73% of total revenue, with a year-on-year growth of 11.39%[59]. - Revenue from solar power station operations decreased by 47.57% to ¥232,898,586.25, primarily due to the sale of 502MW of power stations last year[62]. - Domestic sales fell by 32.53% to ¥1,000,343,781.25, while overseas sales increased by 49.95% to ¥1,513,204,629.57, now constituting 60.20% of total revenue[59]. Environmental and Regulatory Compliance - The company generated hazardous waste of 741.147 tons from January to June 2019, with a legal disposal of 773.21 tons and a remaining inventory of 24.392 tons[150]. - The company invested RMB 1.15 million to upgrade the etching waste gas treatment system, enhancing its efficiency and automation, expected to be completed by mid-August 2019[142]. - The company has completed the environmental impact assessments for multiple projects, including a 300MW solar cell production project, with approvals from local environmental protection agencies[144]. Corporate Governance and Shareholder Matters - The company has implemented an employee stock incentive plan, with 16.42 million restricted shares granted at a price of 1.31 yuan per share[4]. - The first lock-up period for the granted restricted shares will be lifted for 144 individuals, totaling 5.57 million shares, which is 0.1241% of the total share capital[5]. - The company has a total of 247,881 shareholders, with significant holdings from major shareholders[171]. - The company has not changed its controlling shareholder or actual controller during the reporting period[179]. Risks and Challenges - The company faces various operational risks, which are detailed in the report[6]. - The company faced risks including policy changes affecting the photovoltaic market and potential impacts from exchange rate fluctuations due to high export ratios[92][93]. - The company is addressing risks related to accounts receivable and cash flow management amid market expansion[94].

Financial Performance - The company's revenue for Q1 2019 was ¥1,163,392,855.56, representing a 16.29% increase compared to ¥1,000,421,001.30 in the same period last year[9] - Net profit attributable to shareholders decreased by 17.62% to ¥11,888,459.70 from ¥14,430,907.09 year-on-year[9] - The net profit after deducting non-recurring gains and losses was ¥7,878,794.43, a significant increase of 223.80% compared to a loss of ¥6,364,121.07 in the previous year[9] - The basic and diluted earnings per share remained unchanged at ¥0.003[9] - Net profit for the current period was ¥11,382,983.72, a decrease of 18.0% from ¥13,890,101.58 in the previous period[67] - The company achieved a gross profit margin of approximately 15.0% for the current period, compared to 16.0% in the previous period[63] - Total comprehensive income for the period was approximately ¥81.04 million, an increase from ¥66.59 million in the previous period, reflecting a growth of about 21.8%[76] Cash Flow - The net cash flow from operating activities was negative at ¥172,976,496.73, worsening by 44.41% from a negative ¥119,777,756.64 in the same period last year[9] - Cash inflow from operating activities totaled ¥1.07 billion, up from ¥800.56 million, indicating a growth of approximately 33.3% year-over-year[80] - Total cash outflow from operating activities reached ¥1.33 billion, compared to ¥573.76 million, indicating a significant increase of about 132.5%[87] - Cash outflow from investing activities was ¥239.97 million, significantly lower than ¥855.26 million in the previous period, showing a decrease of about 71.9%[83] - Cash inflow from financing activities was ¥1.25 billion, down from ¥1.74 billion, representing a decline of approximately 28.5%[83] - Cash and cash equivalents at the end of the period stood at ¥267.47 million, down from ¥531.73 million, a decrease of about 49.7%[83] Assets and Liabilities - Total assets at the end of the reporting period were ¥14,139,604,740.16, a slight increase of 0.59% from ¥14,056,677,310.68 at the end of the previous year[9] - The total liabilities increased to ¥8,183,284,411.91 from ¥8,114,035,621.34, reflecting a growth of approximately 0.85%[49] - The total owner's equity rose to ¥5,956,320,328.25 from ¥5,942,641,689.34, indicating a slight increase of about 0.23%[52] - The company's long-term equity investments increased to CNY 2,347,421,459.34 from CNY 2,076,028,040.78, marking an increase of approximately 13.1%[46] - The total current liabilities amounted to ¥5,737,981,115.55, up from ¥5,557,271,391.60, which is an increase of approximately 3.25%[49] Expenses - Sales expenses increased by 44.07% to 34,992,942.53, attributed to higher logistics and market development costs due to increased manufacturing business volume[22] - R&D expenses rose by 73.18% to 9,444,772.73, driven by increased investment in solar bracket product development[22] - Total operating costs increased to ¥1,164,159,839.85, up 13.4% from ¥1,026,384,559.54 in the previous period[63] - The company recorded a credit impairment loss of ¥1,558,680.90, compared to no such loss in the previous period[63] Shareholder Actions - The company plans to repurchase shares with a total amount not less than RMB 150 million and not exceeding RMB 300 million, with a repurchase price not exceeding 3.00 RMB per share[27] - The company terminated the plan to issue shares for asset acquisition due to failure to reach an agreement on certain terms during negotiations[28] - The company has completed the establishment of a special securities account for the share repurchase but has not yet initiated the buyback[32] Government and Other Income - The company received government subsidies amounting to ¥2,547,388.62 during the reporting period[9] - Other income decreased slightly to ¥2,547,388.62 from ¥2,754,565.88 in the previous period[63] Future Plans - The company plans to focus on market expansion and new product development in the upcoming quarters[67] - The company is in the process of acquiring 100% equity of Ningbo Jiangbei Yize New Energy Technology Co., Ltd. through a combination of issuing shares and cash payments[29] Financial Reporting Changes - The company has implemented new financial instrument standards, impacting the financial statements from January 1, 2019[91] - The company has not yet audited its first-quarter report, indicating a potential area for future scrutiny[108]

Financial Performance - Total revenue for 2018 was approximately ¥4.84 billion, a slight decrease of 0.28% compared to ¥4.86 billion in 2017[25]. - Net profit attributable to shareholders was approximately ¥125.34 million, representing a 10.48% increase from ¥113.46 million in 2017[25]. - Net profit after deducting non-recurring gains and losses surged by 190.58% to approximately ¥8.10 million from ¥2.79 million in 2017[25]. - Basic and diluted earnings per share increased by 12.00% to ¥0.028 from ¥0.025 in 2017[25]. - The company reported a net profit of 88.17 million yuan for 2018, which was lower than the management's forecast[177]. - The management predicted net profits of 46.89 million yuan, 68.91 million yuan, and 88.17 million yuan for the years 2016, 2017, and 2018 respectively[177]. Cash Flow and Investments - The net cash flow from operating activities was approximately ¥868.54 million, a decrease of 0.32% compared to ¥871.34 million in 2017[25]. - The company reported a cash dividend of 0.00% for the fiscal year 2018, with a total cash dividend amount of 125,342,472.05 RMB, indicating no distribution despite positive net profit[167]. - Investment cash inflow surged to CNY 844,976,123.49, a significant increase of 354.71% from CNY 185,825,860.85 in 2017[83]. - Net cash flow from investment activities was -CNY 1,612,503,714.43, a decline of 33.23% compared to -CNY 1,210,304,528.22 in the previous year, primarily due to increased equity investment payments[83]. - The company plans to temporarily use 436 million CNY of idle fundraising for working capital, with a repayment period not exceeding 12 months[113]. Assets and Liabilities - Total assets at the end of 2018 were approximately ¥14.06 billion, down 17.71% from ¥17.08 billion at the end of 2017[25]. - Fixed assets decreased by 40.23% due to normal depreciation and the sale of the 503MW photovoltaic power station[39]. - The company sold 503MW of grid-connected photovoltaic power stations, effectively reducing the asset-liability ratio and increasing cash flow, with electricity sales revenue reaching ¥839 million[38]. - Long-term equity investments increased by 50.26%, primarily due to acquisitions of stakes in several companies[91]. Operational Performance - The company managed a total of 1.4GW of photovoltaic power stations, including approximately 700MW under agency operations for major energy groups[38]. - The average effective operating hours of the power stations increased by 153 hours year-on-year, significantly higher than the industry average[55]. - The company’s operational costs for power generation are below the industry average while maintaining excellent output levels[55]. - The company has accumulated an operational management capacity of approximately 1.4GW in the solar photovoltaic sector since entering the field in 2011, demonstrating industry-leading operational management capabilities[47]. Research and Development - R&D expenses increased by 33.82% to ¥41,918,613.36, reflecting higher investments in product upgrades and technological innovations[80]. - The company focused R&D efforts on flexible automation production lines for solar cell frames and innovations in brackets, components, and blockchain technology[81]. - The company has emphasized maintaining competitiveness through continuous R&D and innovation in new products and high-quality offerings[81]. Strategic Partnerships and Market Position - The company has established long-term strategic partnerships with major energy groups, enhancing its market position and customer resource advantages[46]. - The company plans to enhance its high-efficiency battery component manufacturing to adapt to the era of grid parity for renewable energy[51]. - The company aims to enhance its market position through strategic acquisitions and divestitures, focusing on improving profitability and liquidity[146]. Future Outlook and Industry Trends - The company plans to expand its production capacity, targeting a total of 4.5GW for module production and 1.5GW for high-efficiency battery production through the acquisition of overseas assets in Vietnam[159]. - The company aims to achieve grid parity for photovoltaic power generation by 2020, supported by new policies from the National Development and Reform Commission and the National Energy Administration[155]. - The photovoltaic industry is expected to gradually recover due to favorable policies and the easing of trade tensions, with a projected new installed capacity of 35GW to 45GW in 2019[152]. Corporate Governance and Compliance - The controlling shareholder, Jiangsu Aikang Industrial Group, promised to minimize and regulate related party transactions with Aikang Technology[175]. - The company has not conducted any research, communication, or interview activities during the reporting period[163]. - The company has fulfilled its commitments regarding performance guarantees and compensation arrangements for the years 2016 to 2018[178].

Financial Performance - Net profit attributable to shareholders was ¥65,119,972, a decrease of 37.70% year-on-year[8]. - Operating revenue for the period was ¥1,179,120,391.04, down 15.33% compared to the same period last year[8]. - Basic earnings per share decreased by 50.00% to ¥0.01[8]. - The weighted average return on equity was 1.11%, a decrease of 0.73% compared to the previous year[8]. - The company reported a decrease in tax expenses by 102.47% to CNY -933,229.14, attributed to reduced taxable income[22]. - The net profit attributable to shareholders for 2018 is expected to range from CNY 250 million to CNY 350 million, representing a year-on-year increase of 120.35% to 208.49%[27]. Cash Flow - The net cash flow from operating activities increased by 77.01% to ¥291,925,182.47[8]. - The company achieved a significant increase in operating cash flow, with a net cash flow from operating activities of CNY 464,107,990.11, up 840.61% compared to the previous year[22]. - The company’s cash flow from financing activities increased by 382.51% to CNY 981,435,883.79, mainly due to increased financing from bonds and renewable energy funds[22]. Assets and Liabilities - Total assets at the end of the reporting period reached ¥17,170,323,776.88, an increase of 0.51% compared to the end of the previous year[8]. - The company reported held-for-sale assets of 4,782,874,544.62, which was not applicable in the previous period, due to the reclassification of assets related to the sale of power plants[17]. - The company’s total liabilities held for sale amounted to 2,326,089,510.79, which was not applicable in the previous period due to the reclassification of debts related to the sale of power plants[17]. - Long-term borrowings decreased by 63.85% to 958,680,000.00 from 2,651,919,241.71, mainly due to the reclassification of long-term borrowings to held-for-sale liabilities[17]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 232,072[12]. - Jiangsu Aikang Industrial Group Co., Ltd. held 15.66% of shares, with 703,082,000 shares pledged[12]. - Aikang International Holdings Limited held 5.25% of shares, totaling 235,920,200 shares[12]. Investments and Expenses - Investment income rose by 207.82% to CNY 56,685,280.47, primarily due to the sale of a subsidiary and increased equity method investment income[22]. - Research and development expenses increased by 35.86% to CNY 30,108,371.66, reflecting the company's commitment to innovation[22]. - Sales expenses increased by 55.12% to CNY 97,798,499.49, driven by increased personnel and marketing costs for market expansion[22]. Other Financial Information - Non-recurring gains and losses totaled ¥29,061,906.60, primarily from government subsidies and asset disposals[10]. - The company issued bonds amounting to 299,006,212.21, which was not applicable in the previous period[17]. - The company’s unallocated profits increased by 36.59% to CNY 500,736,414.79, resulting from higher profits during the reporting period[22]. Compliance and Governance - There were no violations regarding external guarantees during the reporting period[30]. - The company did not experience any non-operational fund occupation by controlling shareholders or related parties during the reporting period[31]. - There were no entrusted financial management activities during the reporting period[32]. - The company did not conduct any research, communication, or interview activities during the reporting period[33]. Report Issuance - The report was issued on October 22, 2018, by Jiangsu Aikang Technology Co., Ltd.[34].

Financial Performance - The company's operating revenue for the reporting period was CNY 2,491,718,745.50, representing a 14.55% increase compared to the same period last year[17]. - The net profit attributable to shareholders of the listed company was CNY 69,008,692.82, reflecting a 37.23% increase year-on-year[17]. - The net cash flow from operating activities was CNY 172,182,807.64, a significant improvement of 175.65% compared to the previous year[17]. - Basic earnings per share increased to CNY 0.02, doubling from CNY 0.01 in the same period last year[17]. - The net profit after deducting non-recurring gains and losses was CNY 48,866,349.30, a 6.70% increase year-on-year[17]. - The company reported a weighted average return on equity of 1.21%, up from 0.90% in the previous year[17]. - The company's total revenue for the reporting period reached CNY 2,491,718,745.50, representing a year-on-year increase of 14.55% compared to CNY 2,175,212,323.87 in the previous year[49]. - The company achieved a net profit of 88.17 million yuan for the first half of 2018, representing a growth of 28.0% compared to the previous year[112]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 16,814,831,138.82, a decrease of 1.57% from the end of the previous year[17]. - The net assets attributable to shareholders of the listed company were CNY 5,798,970,949.48, showing a 1.47% increase compared to the previous year[17]. - The company's fixed assets remained unchanged, while intangible assets decreased by 8.27% due to the disposal of land by a subsidiary[25]. - The company reported a decrease in cash and cash equivalents by 14.50%, primarily due to cash outflows from investment activities[25]. - The company's total assets at the end of the reporting period were CNY 16,800,000,000, with cash and cash equivalents decreasing by 1.80% to CNY 2,447,710,468.01[59]. - The company's short-term borrowings increased by 2.14% to CNY 3,733,600,000.00, while long-term borrowings decreased by 3.55% to CNY 2,542,369,241.00 due to repayment of maturing loans[60]. - The company's inventory increased to CNY 294,190,720.90, reflecting a 0.51% increase with no significant changes reported[59]. Investments and Projects - The company invested CNY 2,715,262,548.28 during the reporting period, representing a 119.28% increase compared to CNY 1,238,263,726.72 in the same period last year[65]. - The company has ongoing projects with a completion rate of 99.00% for the Xinjiang Liyuan Power Station, which has a total investment of 188,891,000 CNY[70]. - The company is currently involved in multiple solar power projects, with varying completion rates and investment amounts, indicating a focus on market expansion[70][71]. - The company has invested a total of 17,400 million CNY in solar power projects, with 4,000 million CNY allocated to the Mingguang project and 13,400 million CNY to the Yichuan project[92]. - The company has completed the construction of several photovoltaic projects, with total surplus funds from these projects being used to enhance operational efficiency and reduce financial costs[83]. Market Position and Strategy - The company holds a leading position in the photovoltaic accessories market, with an annual production capacity of 4GW for mounting brackets and over 30 million sets for aluminum frames, capturing over 20% of the global market share[29]. - The company has established five marketing teams to cover key provinces and regions, enhancing its market presence in electricity sales and carbon services[33]. - The company is actively pursuing energy internet projects and has formed joint ventures with local industrial parks to advance these initiatives[33]. - The company has formed long-term strategic partnerships with major energy groups, enhancing its credibility and stability in the market[36]. - The company is actively investing in the development of new energy vehicle components, indicating a strategic expansion into other manufacturing sectors[41]. Risks and Challenges - The company faced risks during its operations, which are detailed in the report[5]. - The company faces policy risks related to the reduction of subsidies in the solar power sector, which may impact investment and operational returns[103]. - The company is exposed to curtailment risks due to limited grid capacity in certain regions, which could affect profitability[104]. - The company plans to mitigate foreign exchange risks through various strategies, including enhancing accounts receivable management and using multiple currencies for transactions[104]. - The company has faced challenges in project performance, particularly in Fengqing and Luchuan projects, due to reduced power generation and market competition[88]. Corporate Governance and Compliance - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company has committed to avoiding direct or indirect competition with its subsidiaries, ensuring no conflicts of interest arise from its operations[111]. - The company has made commitments to avoid competition with its controlling shareholders and related parties[112]. - The company has not reported any significant changes in its accounting firm or received a non-standard audit report[115]. - The company has complied with relevant regulations regarding the management of raised funds and project completion[90]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 232,073[178]. - Jiangsu Aikang Technology Co., Ltd. reported a total of 543,996,000 shares held by Jiangsu Aikang Industrial Group Co., Ltd., representing 15.66% of the total shares[179]. - The company did not experience any changes in its controlling shareholder or actual controller during the reporting period[182]. - The total number of shares held by the chairman, Zou Chenghui, remains at 121,846,200, with no changes during the reporting period[187]. Environmental and Social Responsibility - The company has established pollution prevention facilities that are currently operating normally and meeting environmental management requirements[151]. - The company has developed an emergency response plan for environmental incidents, which has been filed with the local environmental protection bureau[152]. - The company has implemented an environmental monitoring system for wastewater and air emissions, ensuring compliance with environmental regulations[153].

江苏爱康科技股份有限公司 2018 年第一季度报告正文 证券代码：002610 证券简称：爱康科技 公告编号：2018-65 债券代码：112691 债券简称：18 爱康 01 江苏爱康科技股份有限公司 2018 年第一季度报告正文 1 江苏爱康科技股份有限公司 2018 年第一季度报告正文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真实、准确、完整，不存在虚假记载、误导性陈 述或者重大遗漏，并承担个别和连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 2 江苏爱康科技股份有限公司 2018 年第一季度报告正文 第二节 公司基本情况 一、主要会计数据和财务指标 公司是否需追溯调整或重述以前年度会计数据 √ 是 □ 否 追溯调整或重述原因 同一控制下企业合并 | | 本报告期 | 上年同期 | | 本报告期比上年同期增 | | --- | --- | --- | --- | --- | | | | | | 减 | | | | 调整前 | 调整后 | 调整后 | | 营业收入（元） | 1,000,421,001.30 | 744,643,002.90 | 74 ...