Financial Performance - The company's operating revenue for the first half of 2021 was approximately ¥1.11 billion, a decrease of 5.85% compared to ¥1.18 billion in the same period last year[24]. - The net profit attributable to shareholders was a loss of approximately ¥5.45 million, representing a decline of 59.30% from a loss of ¥3.42 million in the previous year[24]. - The net cash flow from operating activities was approximately ¥23.75 million, down 80.98% from ¥124.83 million in the same period last year[24]. - The total profit for the period was CNY 31,734,862.56, which represents a growth of 19.4% compared to the previous year[35]. - The company's net profit attributable to shareholders was CNY -5,446,568.40, a decline of 59.3% year-on-year[35]. - The company's operating revenue for the first half of 2021 was ¥1,113,405,118.66, a decrease of 5.85% compared to ¥1,182,536,155.29 in the same period last year[44]. - The gross profit margin for the agricultural machinery distribution segment was 11.42%, down 13.10% year-on-year, while the agricultural machinery manufacturing segment had a gross profit margin of 52.31%, down 2.31% year-on-year[45]. - The company's cash and cash equivalents decreased by 7.19% to ¥299,073,830.70, compared to ¥315,735,339.92 at the end of the previous year[48]. - The company reported a net loss of CNY 545,653,663.30 in retained earnings as of June 30, 2021, compared to a loss of CNY 540,207,094.90 at the end of 2020[148]. - The total equity attributable to shareholders decreased to CNY 60,401,778.04 from CNY 65,397,306.15, a decline of approximately 7.6%[148]. Strategic Initiatives - The company plans to enhance its business expansion efforts in response to the rural revitalization strategy, focusing on mechanization projects[7]. - The company has adopted a "steady circulation, expansion through mergers and acquisitions" strategy to optimize its business operations[7]. - The company is actively adjusting its main business categories and brand combinations to improve cash flow and manage receivables more effectively[36]. - The company aims to expand its sales revenue by introducing emerging growth brands and optimizing its product mix[37]. - The company is pursuing strategic mergers and acquisitions to integrate high-end agricultural machinery and core component enterprises[40]. - The company plans to focus on market expansion and new product development in the upcoming quarters to drive growth[146]. Financial Management - The company received liquidity support of CNY 2.8 billion from its controlling shareholder and actual controller to stabilize operations[36]. - The company intends to reduce costs and improve capital efficiency by optimizing human resources and managing expenses across its subsidiaries[41]. - The company is focused on maintaining positive cash flow from operating activities while reducing high-interest financing costs[41]. - The company's short-term borrowings decreased by 4.20% to ¥226,202,100.00, down from ¥264,451,500.00 at the end of the previous year[48]. - The net cash flow from financing activities improved by 77.30%, with a net outflow of ¥31,347,626.37 compared to ¥138,085,211.96 in the previous year[44]. Risks and Challenges - The company faces risks from market and policy changes, including reduced agricultural machinery purchase subsidies and increased costs due to emission standards[5]. - The agricultural machinery industry has been in a downturn since 2015, affecting business expansion opportunities for the company[64]. - The company has identified the need for timely adjustments to align with national policy directions to maintain revenue growth[63]. Corporate Governance - The company held its first extraordinary general meeting of shareholders in 2021 with an investor participation rate of 1.68% on February 8, 2021[67]. - The second extraordinary general meeting of shareholders had a participation rate of 24.01% on April 30, 2021[67]. - There were significant changes in the board of directors, with multiple new appointments on April 30, 2021, including the election of a new chairman and general manager[69]. - The company emphasizes the protection of investor rights, particularly for small and medium investors, and maintains effective communication channels[80]. - The company adheres to labor laws and regulations, ensuring the protection of employee rights and benefits, including mandatory social insurance contributions[82]. Legal and Compliance - There are ongoing legal proceedings involving various parties, with amounts in dispute ranging from 5.1 million to 343.72 million yuan[94]. - The company has achieved a successful mediation agreement in several disputes, indicating a proactive approach to conflict resolution[95]. - The company has not engaged in any non-operating fund occupation by controlling shareholders or related parties during the reporting period[89]. - The company has not reported any penalties or corrective actions during the reporting period[99]. - The company has no violations regarding external guarantees during the reporting period[90]. Shareholder Information - The company reported a total share capital of 380,240,300 shares, with 90.80% being unrestricted shares[126]. - The company’s major shareholder, Wang Xinming, has 34,981,946 shares under lock-up due to executive restrictions[128]. - The company’s voting rights have been consolidated under Sichuan Tequ, which now controls the majority of the voting rights[119]. - The new controlling shareholder is Sichuan Tequ Education Management Co., Ltd., which became effective on March 2, 2021[135]. - The top ten shareholders include Wang Hongyan with 32,838,000 shares and Wang Xinming with 7,858,245 shares, both holding ordinary shares[131]. Future Outlook - The company plans to issue A-shares to specific investors, which is expected to significantly increase net assets and improve the asset-liability ratio, enhancing financial flexibility and reducing financial costs[120]. - The company’s financial structure is expected to improve with the completion of the A-share issuance, positively impacting cash flow in the future[120]. - The company has plans for future capital increases, as indicated by the capital reserve transfers[172].

Financial Performance - The company achieved operating revenue of ¥2,496,984,037.68, an increase of 8.79% compared to the previous year[5]. - Operating profit reached ¥50,431,614.89, representing a growth of 141% year-on-year[5]. - The net profit attributable to the parent company was -¥16,188,402.07, an increase of 88.67% compared to the previous year, primarily due to significant credit impairment losses[5]. - The company's operating revenue for 2020 was ¥2,496,984,037.68, an increase of 8.79% compared to ¥2,295,229,258.90 in 2019[20]. - The net profit attributable to shareholders was a loss of ¥16,188,402.07, an improvement of 88.67% from a loss of ¥142,911,349.25 in 2019[20]. - The net cash flow from operating activities was ¥131,754,656.74, a significant increase of 236.82% compared to -¥96,294,654.06 in 2019[20]. - The total assets at the end of 2020 were ¥1,635,528,810.90, a decrease of 6.82% from ¥1,755,253,830.20 at the end of 2019[20]. - The company's net assets attributable to shareholders decreased by 21.05% to ¥65,397,306.15 from ¥82,831,439.63 in 2019[20]. - The basic earnings per share improved to -¥0.0426 from -¥0.3758 in 2019, reflecting an 88.66% improvement[20]. - The company reported a total of ¥2,492,944,808.16 in revenue after excluding non-core business income[20]. - The company reported a net profit of -44,222,098.43 CNY for 2020, with cumulative distributable profits at -451,951,939.06 CNY, resulting in no profit distribution for the year[97]. - The company will not conduct capital reserve transfers or cash dividends for 2020 due to negative distributable profits[98]. Business Strategy and Market Focus - The company plans to enhance its business expansion efforts in response to the "14th Five-Year Plan" and the "Central No. 1 Document" which emphasizes accelerating agricultural modernization[6]. - The company aims to adapt its products to align with national policy directions to mitigate risks associated with subsidy reductions and market saturation[7]. - The company will focus on increasing its market share in rural construction projects and high-tech agricultural machinery markets[8]. - The company aims to provide comprehensive mechanization solutions for agricultural production, enhancing user efficiency and benefits[29]. - The company plans to enhance the development of township-level franchise stores to improve product accessibility and service[42]. - The company aims to reduce financial expenses by increasing cash flow and converting idle assets into operational funds[44]. - The company is focusing on expanding its market presence and enhancing product offerings in response to evolving agricultural needs and government policies[87]. - The company aims to stabilize its first-line brand agency and expand its agency areas, focusing on a multi-brand and multi-category product optimization to enhance sales revenue[89]. - The company plans to leverage opportunities from the national rural revitalization strategy to expand its business in mechanization projects and high-tech agricultural machinery markets[93]. Operational Efficiency and Cost Management - The company reported a decrease in sales expenses by 22.21% to CNY 165,083,116.12[41]. - The company has implemented measures to optimize financing strategies, reducing high-interest financing and increasing low-cost financing[34]. - The company has implemented measures to reduce financial expenses and improve capital operation efficiency, including optimizing payment management and increasing low-cost financing[90]. - The company aims to continue reducing expenses and optimizing direct store human resources, aiming to ensure positive net cash flow from operating activities[90]. Subsidiaries and Investments - The company disposed of several subsidiaries, including Guang'an Jifeng Agricultural Machinery Co., Ltd., resulting in a loss of control and a negative impact on net assets[58]. - The company executed a significant equity sale, divesting 100% of its stake in Chengdu Jifeng Juliy Investment Co., Ltd., which impacted its financial performance[83]. - The company’s subsidiary Jilin Province Kangda Agricultural Machinery Co., Ltd. achieved a net profit of 97,543,708.09 yuan in 2020, primarily producing no-till series products and benefiting from favorable policies[86]. - The company sold several subsidiaries, including Guang'an Jifeng Agricultural Machinery Co., Ltd., without impacting overall operations and performance[86]. - The company transferred 99% and 1% equity of Chengdu Jifeng Juli Investment Co., Ltd. for a total consideration of 66.89 million RMB, receiving 50% of the payment amounting to 33.445 million RMB[162]. Shareholder and Governance - The company has a total of 34,992,446 shares under lock-up for executives, which remains unchanged during the reporting period[170]. - The total number of shareholders at the end of the reporting period was 36,162, down from 39,164 at the end of the previous month[173]. - Major shareholder Wang Xinming holds 12.27% of shares, totaling 46,642,595 shares, with 34,981,946 shares under pledge[173]. - The combined voting rights of Wang Xinming and associated parties (Wang Hongyan and San Nan Shen Yu) amount to 90,712,595 shares, representing 23.86% of the total share capital[174]. - The company has maintained a stable management team with no significant changes in directors and senior management during the reporting period[188]. - The company has been recognized for its contributions to the agricultural machinery industry, with Wang Xinming receiving multiple accolades[189]. Compliance and Risk Management - The company has committed to ensuring that its operations do not infringe on the interests of shareholders and will adhere to relevant regulations regarding asset management[109]. - The company has made promises to avoid conflicts of interest and ensure fair treatment of all stakeholders during its operations[109]. - The company has no instances of illegal external guarantees during the reporting period[137]. - The company has not reported any significant litigation or arbitration matters during the reporting period[121]. - The company did not experience any penalties or rectification situations during the reporting period[122]. Research and Development - Research and development expenses increased by 97.14% to ¥5,249,057.20, representing 0.21% of total revenue[63]. - The company plans to introduce new products such as no-till seeders and multifunctional precision seeders, with small-scale production starting in early 2021[63].

Financial Performance - The company achieved operating revenue of CNY 2,496,984,037.68, an increase of 8.79% compared to the previous year[5] - Operating profit reached CNY 50,431,614.89, representing a significant growth of 141% year-on-year[5] - The net profit attributable to the parent company was a loss of CNY 16,188,402.07, but this still marked an improvement of 88.67% compared to the previous year[5] - The company's net profit for 2020 was CNY 20,453,101.85, representing a year-on-year increase of 115.03%[41] - The net cash flow from operating activities was ¥131,754,656.74, a significant increase of 236.82% compared to a negative cash flow of ¥96,294,654.06 in 2019[19] - The company reported a net loss of 136.1 million yuan in 2019, raising concerns about its ability to continue as a going concern, which was addressed in the 2020 audit report[109] - The company has eliminated significant uncertainties regarding its ability to continue operations, as confirmed by the standard unqualified audit report issued for 2020[110] Business Strategy and Future Plans - Future plans include expanding into rural construction projects and high-tech agricultural machinery markets, aligning with national rural revitalization strategies[8] - The company aims to transform into a comprehensive technology service provider in the modern agricultural equipment industry[8] - The company plans to enhance its three main business segments to adapt to the deepening development of modern agriculture[8] - The company intends to leverage opportunities from the national rural revitalization strategy to expand its business in mechanization projects[92] - The company plans to expand its distribution network in rural areas to enhance direct marketing and customer engagement[87] Operational Challenges - The company faced delays in supply chain and logistics due to the pandemic, impacting the timing of agricultural procurement activities[5] - The company has recognized significant credit impairment losses in the reporting period, affecting net profit[5] - The company’s overall performance indicates a challenging financial environment, with multiple subsidiaries reporting net losses[83] - The company faces risks from market and policy changes, including reduced subsidies for agricultural machinery purchases, which could adversely affect sales and profitability[91] Subsidiaries and Divestitures - The company disposed of several subsidiaries, including Guang'an Jifeng Agricultural Machinery Co., Ltd., for a total consideration of ¥1,306,284.37[56] - The company has divested from several subsidiaries, including the sale of Chengdu Jifeng Ju Li Investment Co., Ltd. for 66.89 million CNY, contributing to an investment income of 24.94 million CNY[84] - The subsidiary, Jilin Province Kangda Agricultural Machinery Co., Ltd., reported a net profit of 97,543,708.09 CNY, driven by strong demand for its products[84] Revenue and Sales Performance - The revenue from agricultural machinery was ¥2,377,817,042.99, accounting for 95.23% of total revenue, with a year-on-year growth of 13.01%[49] - The number of agricultural machinery sold increased by 6.85% to 56,251 units, while the production volume decreased by 24.86% to 5,225 units[52] - The company reported a significant decrease in inventory levels, with agricultural machinery inventory down by 54.90% to 9,127 units[52] - The gross profit margin for agricultural machinery was 15.53%, slightly down by 0.86% from the previous year[51] Financial Management - The company reported a significant increase in construction in progress, which rose to ¥29,302,891.29, representing 1.79% of total assets, an increase of 1.35%[71] - The company has implemented measures to improve cash flow management and ensure positive net cash flow from operating activities[88] - The company will continue to reduce financial expenses by optimizing payment management and increasing low-cost financing to replace high-interest financing[90] Shareholder and Governance - The profit distribution plan proposed by the board includes no cash dividends or stock bonuses for shareholders[8] - The company has not distributed any dividends for 2020 due to negative distributable profits, maintaining a cash dividend total of 0.00 CNY[96] - The company has maintained its accounting firm, Xinyong Zhonghe, for 14 consecutive years, with an audit fee of ¥2.2 million[116] - The company has established effective communication channels with investors, ensuring that all shareholders have access to significant company information[141] Employee and Social Responsibility - The company has trained over 20,000 users in the Sanzhou region since 2003 through its agricultural machinery vocational skills training program[147] - The company emphasizes the importance of social responsibility, aiming to balance economic benefits with social value creation[145] - The company adheres to labor laws and regulations, ensuring that all employees have signed labor contracts and receive mandatory social insurance[143] Research and Development - Research and development investment for 2020 amounted to ¥5,249,057.20, which is 0.21% of operating revenue[64] - The company has developed new products including various types of seeders and harvesters, with some starting small-scale trial production in early 2021[63]

Revenue and Profitability - The company's revenue for Q1 2021 was ¥357,085,147.02, representing a slight increase of 0.31% compared to ¥355,998,389.49 in the same period last year[7]. - The net profit attributable to shareholders was a loss of ¥4,047,900.54, an improvement of 65.33% from a loss of ¥11,676,948.67 in the previous year[7]. - Operating profit was ¥8,073,960.41, a year-on-year increase of 459.52%, while net profit reached ¥3,530,021.28, up 155.70%[23]. - The company reported a net loss of CNY -544,254,995.44, compared to a loss of CNY -540,207,094.90 in the previous period[42]. - The total comprehensive income for the quarter was CNY 3,530,021.28, compared to a loss of CNY 6,338,069.28 in the same period last year[50]. Cash Flow - The net cash flow from operating activities decreased by 49.36% to ¥43,768,221.38, down from ¥86,424,128.28 year-on-year[7]. - The net cash flow from operating activities for Q1 2021 was ¥43,768,221.38, a decrease of 49.3% compared to ¥86,424,128.28 in Q1 2020[57]. - Net cash flow from investing activities increased by 317.71% to ¥506,524.85, primarily due to increased cash received from the disposal of subsidiaries[25]. - The net cash flow from investment activities was ¥506,524.85, a recovery from a net outflow of ¥232,662.80 in Q1 2020[57]. - Total cash inflow from financing activities was ¥104,797,823.97, down 68.5% from ¥332,619,536.19 in the previous year[58]. Assets and Liabilities - Total assets increased by 24.42% to ¥2,034,942,382.40 from ¥1,635,528,810.90 at the end of the previous year[7]. - Total liabilities rose to CNY 1,742,980,217.69, compared to CNY 1,346,762,413.41, indicating an increase of about 29.4%[41]. - Current liabilities totaled CNY 1,734,359,170.76, up from CNY 1,336,017,995.49, reflecting a growth of approximately 30%[41]. - The balance of contract liabilities surged by 307.46% to ¥314,262,945.94, primarily due to an increase in customer prepayments[18]. - The balance of inventory rose by 78.78% to ¥651,214,922.08, attributed to stockpiling[15]. Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 39,164[11]. - The company announced a change in controlling shareholder to Sichuan Tequ, with the actual controller now being Mr. Wang Huiwu, following a series of stock transfers[28]. Financial Performance Metrics - The company reported a basic earnings per share of -¥0.0106, an improvement of 65.47% from -¥0.0307 in the same period last year[7]. - The weighted average return on equity improved to -6.39% from -15.17% year-on-year, reflecting better financial performance[7]. - The basic and diluted earnings per share were both reported at -0.0106, compared to -0.0307 in the previous year[50]. Expenses and Costs - The total operating costs amounted to CNY 349,941,824.47, with operating costs specifically at CNY 296,594,285.69, up from CNY 289,538,014.80[49]. - The company reported a significant increase in financial expenses, totaling CNY 11,147,688.46, compared to CNY 12,741,934.53 in the previous period[49]. - The company’s sales expenses were CNY 26,167,201.24, down from CNY 31,386,198.23 in the previous period[49]. - The management expenses decreased to CNY 15,344,577.15 from CNY 17,483,601.84 in the previous year[49]. Tax and Other Financial Items - The balance of taxes payable is ¥17,360,239.35, an increase of 51.32% compared to the beginning of the year, mainly due to the accrual of corporate income tax[20]. - Tax and additional charges amounted to ¥658,071.93, a decrease of 43.74% year-on-year, mainly due to reductions in property tax and land use tax[21]. - Interest income decreased by 32.71% to ¥577,073.20, primarily due to a reduction in bank interest[21]. - Credit impairment losses decreased by 111.54% to ¥797,166.60, mainly due to a reduction in the provision for bad debts[22]. - The company experienced a credit impairment loss of CNY 797,166.60, a significant improvement from a loss of CNY 6,908,842.95 in the previous period[49].

吉峰三农科技服务股份有限公司 2020 年第三季度报告全文 吉峰三农科技服务股份有限公司 2020 年第三季度报告 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。 公司负责人王新明、主管会计工作负责人付华及会计机构负责人(会计主管 人员)付华声明：保证季度报告中财务报表的真实、准确、完整。 2 吉峰三农科技服务股份有限公司 2020 年第三季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 2020 年 10 月 1 吉峰三农科技服务股份有限公司 2020 年第三季度报告全文 公司是否需追溯调整或重述以前年度会计数据 3 □ 是 √ 否 吉峰三农科技服务股份有限公司 2020 年第三季度报告全文 | | 本报告期末 | 上年度末 | | 本报告期末比上年度末增减 | | --- | --- | --- | --- | --- | | 总资产（元） | 1,872,255,869.53 | | 1,755,253,830.20 | ...

Financial Performance - The company's operating revenue for the first half of 2020 was ¥1,182,536,155.29, representing a 10.05% increase compared to ¥1,074,570,520.19 in the same period last year[18]. - The net profit attributable to shareholders was a loss of ¥3,419,127.41, an improvement of 91.01% from a loss of ¥38,048,535.08 in the previous year[18]. - The net cash flow from operating activities increased significantly to ¥124,827,140.28, up 563.40% from ¥18,816,332.56 in the same period last year[18]. - The company reported a net loss of ¥14,113,621.02 after deducting non-recurring gains and losses, which is a 21.65% improvement from the previous year's loss of ¥18,014,410.19[18]. - The company achieved a revenue of ¥1,182,536,155.29, representing a year-on-year growth of 10.05%[35]. - Operating profit increased significantly by 241.11%, reaching ¥35,799,313.19 compared to the previous year[35]. - The company reported a significant increase in investment income to CNY 24,976,287.66 in the first half of 2020, compared to CNY 2,134,589.17 in the same period last year[140]. - The company reported a total operating cash inflow of ¥1,170,250,886.89, slightly up from ¥1,144,480,367.00 in the same period last year[149]. Assets and Liabilities - Total assets at the end of the reporting period reached ¥1,998,164,035.39, a 13.84% increase from ¥1,755,253,830.20 at the end of the previous year[18]. - The company's net assets attributable to shareholders decreased by 3.55% to ¥79,892,124.43 from ¥82,831,439.63 at the end of the previous year[18]. - The company's accounts receivable rose by 44.28% to ¥457,338,010.17, primarily due to uncollected sales revenue[31]. - The company's total liabilities increased to CNY 913,173,233.58 as of June 30, 2020, compared to CNY 847,797,018.34 at the end of 2019, marking a rise of 7.7%[139]. - The company's total assets as of June 30, 2020, amounted to CNY 1,169,397,334.16, an increase from CNY 1,117,041,348.18 at the end of 2019[138]. Business Operations - The company operates three main business segments: agricultural machinery circulation and service, high-end specialty agricultural machinery and core components, and rural industry revitalization innovation[25]. - The company has established a network of chain stores across 22 provinces in China to enhance agricultural machinery sales and services[25]. - The company is focusing on developing township-level franchise stores to enhance product accessibility and service efficiency[36]. - The company is actively promoting mechanized services for grain and oil crops, aiming to create a modern agricultural service system[29]. - The company plans to strengthen internal controls and reduce costs while nurturing emerging business growth to mitigate the cyclical nature of the agricultural machinery industry[30]. Cash Flow Management - Measures to enhance cash flow include accelerating sales to convert inventory into cash and optimizing procurement to avoid inventory buildup[75]. - The company aims to reduce financial expenses by increasing self-financing and replacing high-interest financing with lower-cost options[76]. - The company reported a cash inflow from operating activities of ¥1.15 billion in the first half of 2020, compared to ¥1.13 billion in the same period of 2019[148]. - The net cash flow from investing activities was -¥10,120,558.77, an improvement from -¥35,910,168.89 in the first half of 2019, showing reduced cash outflow in investments[149]. Shareholder Information - The company plans not to distribute cash dividends or issue bonus shares[5]. - The total number of ordinary shareholders at the end of the reporting period was 35,212[112]. - Wang Xinming holds 12.27% of the shares, with 46,642,595 shares pledged[112]. - Wang Hongyan holds 8.64% of the shares, totaling 32,838,000 shares[112]. Legal and Compliance - The company is currently involved in several lawsuits, with one case involving a claim of ¥9.71 million, which has not yet formed an estimated liability[78]. - Another lawsuit involves a claim of ¥12.7 million, with the first instance judgment already concluded[79]. - The company has a pending case with a claim of ¥39.5 million, which is currently in the first instance judgment stage[79]. - The half-year financial report has not been audited, indicating a need for further financial scrutiny[72]. Future Outlook and Strategy - The company faces risks from rising raw material costs, which could adversely affect product costs and overall performance, prompting a strategy to optimize product structure and reduce inventory[62]. - The macroeconomic downturn has led to a slowdown in revenue and profit growth in the agricultural machinery industry, but the company aims to leverage rural revitalization policies for new business opportunities[63]. - The company is focusing on developing new products that align with national industrial policies to mitigate risks from potential changes in subsidy policies[65]. - The company plans to continue its precision poverty alleviation efforts based on actual conditions[102].

Financial Performance - The company's operating revenue for 2019 was ¥2,295,229,258.90, a decrease of 22.80% compared to ¥2,972,935,403.17 in 2018[17] - The net profit attributable to shareholders was -¥142,911,349.25, representing a decline of 1,465.52% from a profit of ¥10,465,679.14 in the previous year[17] - The net cash flow from operating activities was -¥96,294,654.06, a significant drop of 401.69% compared to ¥31,918,630.37 in 2018[17] - The total assets at the end of 2019 were ¥1,755,253,830.20, down 7.42% from ¥1,895,870,012.32 at the end of 2018[17] - The net assets attributable to shareholders decreased by 61.73% to ¥82,831,439.63 from ¥216,463,317.88 in 2018[17] - The weighted average return on net assets was -93.03%, a decrease of 98.01% from 4.98% in 2018[17] - The company reported a net profit difference of CNY 37,392,397.55 in non-recurring gains and losses for the year 2019, compared to CNY 17,759,508.93 in 2018 and CNY 8,751,272.42 in 2017[23] - The company reported a net profit of -95,513,945.76 yuan for 2019, with cumulative distributable profits at -407,729,840.63 yuan[79] - The company did not distribute any cash dividends or capital reserve transfers in 2019 due to negative distributable profits[80] Business Strategy and Market Position - The company plans to enhance its business expansion efforts in response to the rural revitalization strategy, focusing on mechanization projects[5] - The company aims to transform into a comprehensive technology service provider in the modern agricultural equipment industry[5] - The company operates three main business segments: agricultural machinery circulation and services, high-end specialty agricultural machinery and core components, and rural revitalization and smart agriculture solutions[27] - The company aims to enhance agricultural production efficiency through a comprehensive service model that includes mechanization and smart agriculture solutions[28] - The company is focusing on promoting environmentally friendly and efficient machinery as part of the national policy to support innovative products in the agricultural sector[30] - The company plans to focus on the northern market's trend towards larger, multifunctional, and high-end intelligent products, which may lead to a shift in sales dynamics[47] - The company aims to optimize resource integration and promote sustainable development through strategic adjustments in its equity structure[66] - The company has a strategy to adapt to modern agricultural needs and improve capital operation efficiency[75] Operational Challenges - The agricultural machinery industry experienced a revenue decline of 4.43% in 2019, totaling CNY 246.467 billion, with industry profits decreasing by 0.25% to CNY 10.339 billion[29] - The agricultural machinery market is currently in a deep adjustment phase, with traditional market demand remaining sluggish while new markets are emerging but not compensating for the decline[30] - The company is facing risks from market and policy changes, including rising costs due to emission standards and fluctuations in raw material prices[74] - The agricultural machinery industry has been in a downturn since 2015, impacting the company's business development[75] Financial Management and Governance - The company has established a mechanism for internal inventory management to reduce excess stock and improve cash flow[74] - The company has implemented measures to address significant uncertainties regarding its ability to continue as a going concern[86] - The company has a governance structure that complies with relevant laws and regulations, ensuring that there are no unresolved governance issues and no administrative regulatory measures taken against it[164] - The audit report confirmed that the financial statements fairly present the company's financial position and results of operations in accordance with accounting standards[186] - The company has a comprehensive internal control system that effectively mitigates risks associated with financial reporting and operational activities[180] Shareholder and Stakeholder Relations - The company emphasizes the protection of investor rights and maintains effective communication channels with shareholders[115] - The company is committed to social responsibility and actively supports public welfare initiatives[115] - The company has established a strategic partnership with suppliers and customers, focusing on mutual growth and long-term cooperation[117] - The total number of ordinary shareholders at the end of the reporting period was 31,271, while the number of preferred shareholders was 28,739[133] Employee and Management Structure - The total number of employees in the company is 1,153, with 1,135 in major subsidiaries and 18 in the parent company[158] - The company has a diverse professional composition, with 157 production staff and 163 finance personnel[159] - The management team includes experienced professionals with backgrounds in agriculture and finance, contributing to strategic decision-making[152] - The company has established a comprehensive compensation system that includes competitive salary levels based on market and regional salary conditions, with various compensation structures for different employee roles[160] Subsidiary Performance - The total sales revenue of the subsidiary Sichuan Jifeng Ju Li Industrial Development Co. was 152.1 million, with a net profit of 671,543.16[69] - The total assets of the subsidiary Jilin Province Jifeng Golden Bridge Agricultural Machinery Co., Ltd. reached CNY 66,830,088.00, with a net profit contribution of CNY 4,343,741.26, accounting for over 10% of the company's net profit[67] - The subsidiary Liaoning Huifeng Agricultural Machinery City Co., Ltd. reported total assets of CNY 84,992,899.40 and a net profit of CNY 22,085,640.10[67] Audit and Compliance - The audit committee diligently performed its supervisory duties, ensuring the accuracy of the annual financial report and accounting statements[175] - The company maintained a zero count for significant deficiencies in both financial and non-financial reporting, demonstrating strong internal controls[180] - The board of directors held 14 meetings during the reporting period, ensuring compliance with regulations and maintaining accurate records[166] Future Outlook - The introduction of the "Northeast Black Land Conservation Tillage National Action Plan (2020-2025)" is expected to create new opportunities for the agricultural machinery industry[71] - The company plans to continue promoting high-tech agricultural machinery in the Sanzhou region, including hosting machinery exhibitions to help local farmers improve their production methods[118]

Financial Performance - The company's operating revenue for 2019 was ¥2,295,229,258.90, a decrease of 22.80% compared to ¥2,972,935,403.17 in 2018[17]. - The net profit attributable to shareholders was -¥142,911,349.25, representing a decline of 1,465.52% from a profit of ¥10,465,679.14 in the previous year[17]. - The net cash flow from operating activities was -¥96,294,654.06, a significant drop of 401.69% compared to ¥31,918,630.37 in 2018[17]. - The total assets at the end of 2019 amounted to ¥1,755,253,830.20, down 7.42% from ¥1,895,870,012.32 at the end of 2018[17]. - The net assets attributable to shareholders decreased by 61.73% to ¥82,831,439.63 from ¥216,463,317.88 in 2018[17]. - The weighted average return on net assets was -93.03%, a decrease of 98.01% from 4.98% in 2018[17]. - The company reported a net profit difference of CNY -37,392,397.55 for the year 2019, compared to CNY 17,759,508.93 in 2018 and CNY 8,751,272.42 in 2017, indicating a significant decline in profitability[23]. - The total operating costs were ¥2,378,456,975.07, down 18.34% year-on-year[36]. - The company reported a total grain production of 66,384 million tons in 2019, an increase of 594 million tons or 0.9% compared to 2018[72]. - The company reported a total sales revenue of 152,100,662 for one of its subsidiaries, indicating strong performance in agricultural machinery sales[70]. Market Conditions - The agricultural machinery industry experienced a revenue decline of 4.43% in 2019, with total revenue for large-scale agricultural machinery enterprises at CNY 246.467 billion[29]. - The company faced significant challenges due to macroeconomic downturns and a prolonged low point in the agricultural machinery industry[5]. - The agricultural machinery market is currently in a deep adjustment phase, with traditional market demand remaining sluggish while emerging markets are beginning to rise[30]. - The southwestern region saw a significant revenue drop of 72.91%, contributing only ¥704,232,266.41 to total revenue[43]. - The sales volume of agricultural machinery decreased by 60.16% from 119,352 units in 2018 to 47,551 units in 2019, with revenue dropping from 2.491 billion yuan to 2.104 billion yuan, a decline of 15.53%[47]. Business Strategy - The company plans to enhance its business expansion efforts in response to the opportunities presented by the national rural revitalization strategy[5]. - The company aims to transform into a comprehensive technology service provider for modern agricultural equipment[5]. - The company operates three main business segments: agricultural machinery circulation and services, high-end specialized agricultural machinery and core components, and rural revitalization and smart agriculture solutions[27]. - The company aims to optimize resource integration and promote sustainable development through strategic adjustments[67]. - The company is focusing on upgrading traditional agricultural machinery to intelligent, multifunctional, and environmentally friendly models, seizing opportunities in smart agriculture[74]. Operational Changes - The company implemented a centralized procurement model, transitioning from decentralized payments to centralized payments[37]. - The company’s flagship stores are being optimized, focusing on product catalog management and centralized inventory allocation[37]. - The company plans to close approximately 20 underperforming direct stores to reduce operational losses[87]. - Measures to improve cash flow include increasing sales efforts, optimizing procurement, and accelerating receivables collection[88]. - The company aims to lower financial expenses by increasing self-financing and reducing high-interest financing[88]. Financial Management - The company has established a mechanism for strict management of receivables and inventory to mitigate financial risks[75]. - The company has not engaged in any significant asset or equity sales during the reporting period[65]. - The company has not reported any non-operating fund occupation by controlling shareholders during the reporting period[86]. - The company has not faced any situations that would lead to suspension or termination of listing[97]. - The total approved external guarantee amount during the reporting period was CNY 11,000 million, with actual guarantees amounting to CNY 17,550 million[113]. Governance and Compliance - The company has implemented a governance structure to ensure alignment between regional subsidiaries and the headquarters in terms of operational strategies and risk management[75]. - The company has established specialized committees within the board, including a strategy committee, compensation and assessment committee, and audit committee, to provide professional advice for decision-making[169]. - The company has not encountered any unresolved governance issues and complies with the relevant laws and regulations regarding corporate governance[167]. - The audit report issued by the accounting firm indicated a "clean" opinion with no major issues identified[189]. - The independent directors' suggestions were fully adopted, enhancing the company's governance and operational oversight[178]. Employee Management - The total number of employees in the company is 1,153, with 1,135 in major subsidiaries and 18 in the parent company[161]. - The company has a professional composition of 355 sales personnel, 299 technical personnel, 163 financial personnel, 179 administrative personnel, and 157 production personnel[162]. - The total remuneration for directors and senior management during the reporting period amounts to 1.92 million yuan[160]. - The company has a comprehensive welfare system that includes social insurance, housing funds, commercial insurance, and union benefits[163]. - The company has trained over 20,000 users in the Sanzhou region through its agricultural machinery skills training program since 2003[122]. Risks and Challenges - The company is facing risks from market and policy changes, particularly in the agricultural machinery sector, which could significantly impact sales revenue and profitability[76]. - The company has faced continuous losses since 2015, with the agricultural machinery market in a downturn, affecting its business development[76]. - Jifeng Technology reported a net loss of ¥136,103,449.20 for the year 2019, indicating significant uncertainty regarding its ability to continue as a going concern[191]. - As of December 31, 2019, Jifeng Technology's current liabilities exceeded current assets by ¥25,216,016.42, raising concerns about liquidity[191]. Social Responsibility - The company is committed to social responsibility and actively supports public welfare initiatives[118]. - The company emphasizes building long-term partnerships with suppliers and customers, focusing on mutual growth and social responsibility[120]. - The company is committed to sustainable development, balancing economic benefits with social and environmental responsibilities[120]. - The company will adjust its poverty alleviation strategies based on actual conditions in the future[124].

Financial Performance - The company's operating revenue for 2019 was CNY 2,295,229,258.90, a decrease of 22.80% compared to CNY 2,972,935,403.17 in 2018[19] - The net profit attributable to shareholders was a loss of CNY 142,911,349.25, representing a decline of 1,465.52% from a profit of CNY 10,465,679.14 in the previous year[19] - The net cash flow from operating activities was negative CNY 96,294,654.06, a decrease of 401.69% compared to a positive cash flow of CNY 31,918,630.37 in 2018[19] - The total assets at the end of 2019 were CNY 1,755,253,830.20, down 7.42% from CNY 1,895,870,012.32 at the end of 2018[19] - The net assets attributable to shareholders decreased by 61.73% to CNY 82,831,439.63 from CNY 216,463,317.88 in 2018[19] - The weighted average return on net assets was -93.03%, a decrease of 98.01% from 4.98% in 2018[19] - The company reported a non-recurring loss of ¥37,392,397.55 in 2019, compared to a gain of ¥17,759,508.93 in 2018[25] - The agricultural machinery industry experienced a revenue decline of 4.43% year-on-year, totaling ¥246.467 billion in 2019[32] - The agricultural machinery segment accounted for 91.67% of total revenue, generating CNY 2,104,130,101.70, down 15.53% year-on-year[47] - The company reported a gross margin of 16.39% for the agricultural machinery sector, reflecting a decrease of 2.43% compared to the previous year[50] Business Strategy and Operations - The company plans to enhance its business expansion efforts in response to the rural revitalization strategy, focusing on mechanization projects[6] - The company aims to adapt to the modern agricultural development needs and improve capital operation efficiency[6] - The company focuses on providing comprehensive mechanization solutions for agricultural production, enhancing efficiency and user benefits[30] - The company is focusing on expanding its high-tech agricultural machinery offerings and enhancing its service network to adapt to market changes[39] - The company plans to optimize resource integration and enhance risk control through strategic partnerships and brand restructuring[39] - The company aims to develop a network of chain enterprises, focusing on flagship stores as the core of management and expanding franchise stores[81] - The company intends to restructure operational resources to improve cash flow and reduce inventory risks through centralized procurement and product catalog management[82] - The company recognizes risks from market and policy changes that could adversely affect sales revenue and profitability if products do not align with national policy directions[86] - The company faces challenges from a prolonged industry downturn since 2015, which may hinder business expansion efforts[87] - The company plans to leverage opportunities from the national rural revitalization strategy to increase its market presence in mechanization projects[87] Cash Flow and Investments - The net cash flow from investment activities increased by 541.08% to 21,313,247.51 CNY due to the purchase of financial products and the transfer of equity[63] - The total cash and cash equivalents decreased by 130,427,873.89 CNY, a decline of 256.55% year-on-year[63] - The company did not engage in any significant equity investments during the reporting period[70] - The company did not report any fundraising activities during the reporting period[70] - The company did not engage in any asset or equity acquisitions or sales during the reporting period[115] Shareholder and Governance - The company will not distribute cash dividends or issue bonus shares for the year[7] - The company reported a total cash dividend of 0.00 yuan for the year 2019, with a distribution ratio of 0.00% of the total profit distribution[92] - The company has not proposed any profit distribution or capital reserve transfer to share capital for the years 2017, 2018, and 2019 due to negative distributable profits[92] - The company emphasizes the protection of investors' rights, particularly for small and medium investors, through effective communication channels[132] - The company is committed to improving investor relations management to enhance information transparency and protect shareholder rights[194] - The company maintains independence from its controlling shareholder in business, personnel, assets, institutions, and finance[198] - The company has established a comprehensive internal control system to enhance governance and ensure the achievement of operational goals[195] Market and Industry Trends - The company experienced a significant decline in user purchasing power due to factors such as falling grain prices and reduced subsidies[5] - The agricultural machinery market is currently in a deep adjustment phase, with traditional market demand remaining sluggish[32] - The number of agricultural machinery enterprises with revenues exceeding ¥20 million decreased from 2,236 in 2018 to 1,892 in 2019[32] - New emerging markets in agricultural machinery, such as livestock machinery and precision farming equipment, are rapidly developing[33] - The mechanization rate of agriculture in China reached approximately 69% in 2019, indicating significant growth potential compared to developed countries where rates are around 90%[78] - The total grain production in China was 66,384 million tons in 2019, an increase of 594 million tons or 0.9% from 2018, highlighting the importance of agricultural machinery in enhancing productivity[79] Employee and Training - The total number of employees in the company is 1,153, with 1,135 in major subsidiaries[180] - In 2019, the company conducted 3,306 internal training sessions and 368 external training sessions, totaling 5,200 hours of online training[183] - The company has implemented a comprehensive welfare system, including social insurance and commercial insurance, reflecting its corporate values[182] - The company has established a performance evaluation and incentive mechanism for senior management, combining base salary with performance assessments[192] Research and Development - Research and development expenses increased by 289.34% to 2,662,635.68 CNY, reflecting a significant rise in investment in R&D[60] - The company has invested 50 million yuan in research and development for new technologies aimed at improving agricultural efficiency[175] Corporate Social Responsibility - The company has committed to fulfilling its social responsibilities while pursuing economic benefits, focusing on sustainable development[134] - The company is not classified as a key pollutant discharge unit by environmental protection authorities[140] Miscellaneous - The company has not reported any significant litigation or arbitration matters during the reporting period[111] - There were no penalties or rectification situations reported during the period[112] - The company has not engaged in any related party transactions that would harm the interests of shareholders[188] - The company has not made any changes to its listing status and is not facing any suspension or termination of listing[110]

Financial Performance - Total revenue for Q1 2020 was ¥355,998,389.49, a decrease of 10.44% compared to ¥397,512,148.72 in the same period last year[7] - Net profit attributable to shareholders was -¥11,676,948.67, representing a 69.19% improvement from -¥37,901,376.53 year-on-year[7] - The company reported a net loss excluding non-recurring items of -¥12,128,185.79, a 9.62% increase in loss compared to -¥11,063,632.43 last year[7] - Net profit decreased by 429.92% year-on-year to CNY -6,338,069.28, attributed to share-based payment expenses in Q1 2019[16] - Operating profit fell by 1237.37% year-on-year to CNY -2,245,772.87, also impacted by share-based payment expenses in Q1 2019[16] - The net loss for the period was CNY 6,908,842.95, compared to a loss of CNY 155,598.79 in the previous period[33] - The total profit for Q1 2020 was a loss of CNY 2,389,971.31, significantly improved from a loss of CNY 30,088,349.39 in the previous year[34] - The total comprehensive income for Q1 2020 was a loss of CNY 6,338,069.28, compared to a loss of CNY 33,586,616.71 in the same period last year[35] Cash Flow - Net cash flow from operating activities increased significantly by 475.69% to ¥86,424,128.28, compared to ¥15,012,218.83 in the previous year[7] - Cash flow from operating activities increased by 82.63% year-on-year to CNY 86,424,128.28, mainly due to reduced payments for goods[16] - The cash flow from operating activities for Q1 2020 was CNY 554,110,678.28, down from CNY 603,685,075.39 in the previous period[41] - The company reported a cash inflow from other operating activities of CNY 4,542,622.59, down from CNY 6,167,743.96 in the previous period[41] - The cash outflow from operating activities totaled ¥467,686,550.00, down from ¥588,672,856.56 in the previous year, showing a decrease of approximately 20.5%[42] - The total cash inflow from financing activities was ¥332,619,536.19, compared to ¥270,908,854.59 in the previous year, indicating an increase of about 22.8%[43] - The net cash flow from financing activities was -¥53,470,522.58, slightly improved from -¥57,082,187.86 in Q1 2019[43] - The company experienced a net decrease in cash and cash equivalents of ¥32,720,942.90 in Q1 2020, contrasting with a decrease of -¥20,040,479.05 in Q1 2019[43] Assets and Liabilities - Total assets at the end of the reporting period reached ¥2,146,990,317.50, up 22.32% from ¥1,755,253,830.20 at the end of the previous year[7] - Total assets increased to CNY 2,146,990,317.50 from CNY 1,755,253,830.20, reflecting growth in current assets[25] - Total liabilities increased to CNY 914,440,848.43 from CNY 847,797,018.34[30] - Total liabilities amounted to CNY 1,468,345,196.81, with current liabilities at CNY 1,446,779,696.16[50] - The total owner's equity was CNY 286,908,633.39, including a negative retained earnings of CNY -524,018,692.83[50] - Current assets totaled CNY 746,752,165.55, with cash and cash equivalents at CNY 214,165,973.07[51] - Non-current assets were valued at CNY 370,289,182.63, contributing to total assets of CNY 1,117,041,348.18[52] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 28,739[11] - The largest shareholder, Wang Xinming, held 12.27% of shares, amounting to 46,642,595 shares, with 34,981,946 shares pledged[11] Operational Metrics - The weighted average return on net assets was -15.17%, an improvement of 4.02% from -19.19% in the same period last year[7] - The company’s long-term borrowings decreased by 60.87% year-on-year to CNY 5,762,499.88, due to repayment of loans[16] - The company’s management expenses decreased by 235.01% year-on-year to CNY 17,483,601.84, primarily due to the absence of share-based payment expenses[16] - Total operating costs for Q1 2020 were CNY 352,345,448.82, down from CNY 429,633,028.22 in the previous period[33] - The company reported a decrease in operating costs to CNY 96,670,310.00 from CNY 138,925,720.00 in the previous year[37] Other Financial Information - The company received government subsidies amounting to ¥730,068.32 during the reporting period[8] - The company recorded an investment income of CNY 358,525.27, a significant drop from CNY 23,713,032.96 in the previous year[37] - The financial expenses for Q1 2020 were CNY 4,864,561.83, slightly increased from CNY 4,862,002.11 in the previous period[37] - The company has adopted new revenue and lease standards starting in 2020, which may affect future financial reporting[53] - The first quarter report was not audited, indicating potential limitations in the reliability of the financial data presented[53]