广东金刚玻璃科技股份有限公司 2021 年半年度报告全文 广东金刚玻璃科技股份有限公司 2021 年半年度报告 2021 年 08 月 1 广东金刚玻璃科技股份有限公司 2021 年半年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证半年度报告内容的 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。 公司负责人严春来、主管会计工作负责人孙爽及会计机构负责人(会计主管 人员)孙爽声明：保证本半年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本报告的董事会会议。 公司在经营管理中可能面临的风险与对策已在本报告中第三节"管理层讨 论与分析"之"十、公司面临的风险和应对措施"部分予以描述。敬请广大投 资者关注，注意投资风险。 如本报告中涉及未来计划等前瞻性陈述，该计划不构成公司对投资者的实 质承诺，投资者及相关人士均应对此保持足够的风险认识，并且应当理解计划、 预测、与承诺之前的差异。 公司计划不派发现金红利，不送红股，不以公积金转增股本。 2 广东金刚玻璃科技股份有限公司 2021 年半年度报告全文 目录 | --- | ...

广东金刚玻璃科技股份有限公司 2020 年年度报告全文 广东金刚玻璃科技股份有限公司 2020 年年度报告 2021 年 04 月 1 广东金刚玻璃科技股份有限公司 2020 年年度报告全文 第一节 重要提示、目录和释义 公司董事会、监事会及董事、监事、高级管理人员保证年度报告内容的真 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。 公司负责人严春来、主管会计工作负责人孙爽及会计机构负责人(会计主管 人员)孙爽声明：保证本年度报告中财务报告的真实、准确、完整。 所有董事均已出席了审议本报告的董事会会议。 | --- | |--------------------------------------------------------------------------| | | | 受疫情以及公司内外部融资环境的影响，公司订单量锐减，很多工程项目 | | 延迟开工， 2021 年度公司为致力于内部成本管控，推动资源整合，提高经营效 | | 率，结合公司实际情况，推动增强公司竞争力，同时优化人员配置，缩短管理 | | 链条，提高管理效率，逐步完善内控体系建设，提高风险防范 ...

Revenue and Profitability - Revenue for Q1 2021 reached ¥88,925,402.47, an increase of 138.82% compared to ¥37,235,283.88 in the same period last year[8] - Net profit attributable to shareholders was ¥371,840.27, a turnaround from a loss of ¥18,810,693.27 in the previous year, representing a growth of 101.98%[8] - The company achieved operating revenue of 88,925,402.47, an increase of 138.82% compared to the same period last year[24] - The net profit attributable to shareholders was 31.09, reflecting a growth of 101.65% year-on-year[24] - The company's operating profit reached 1,126,960.66, up 106.03% from the previous year[23] - The net profit for the current period is 310,940.26 CNY, compared to a net loss of 18,858,352.96 CNY in the previous period[59] Cash Flow and Financial Position - Operating cash flow for the period was ¥71,054,054.38, up 59.73% from ¥44,483,264.18 year-on-year[8] - Cash inflow from operating activities was 163,473,330.56, down from 545,082,890.23[70] - Cash outflow from operating activities totaled 92,419,276.18, compared to 500,599,626.05 in the previous period[73] - Net cash flow from operating activities was 71,054,054.38, an increase from 44,483,264.18[73] - Cash and cash equivalents increased by 60,985,552.30, a rise of 147.50% compared to the previous period[23] - Cash and cash equivalents at the end of the period were 70,414,873.77, compared to 120,972,323.62 in the previous period[76] Assets and Liabilities - Total assets increased by 5.00% to ¥1,039,500,034.38 from ¥989,981,774.38 at the end of the previous year[8] - The total liabilities increased to ¥532,618,569.34, up from ¥482,924,841.27, indicating a rise of about 10.5%[42] - The total current liabilities rose to ¥490,345,708.34 from ¥438,763,226.30, an increase of about 11.7%[42] - Accounts payable rose to 104,389,716.71, marking an increase of 163.45%[23] - Accounts receivable increased to ¥175,969,934.88 from ¥165,941,644.71, marking an increase of about 6.2%[46] - Inventory levels decreased to ¥3,732,741.23 from ¥6,173,463.11, a reduction of approximately 39.5%[46] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 10,957, indicating a stable shareholder base[12] - The largest shareholder, Guangdong Ouhao Group Co., Ltd., holds 16.98% of the shares, totaling 36,681,622 shares[12] - The company has committed to a shareholding increase plan, with certain executives pledging not to transfer their shares for six months[17] Expenses and Financial Performance - Financial expenses increased by 190.34% to 2,094,919.03, attributed to reduced investment income and increased interest expenses[23] - The total operating costs amount to 80,856,702.87 CNY, up from 50,885,493.47 CNY, indicating a significant increase of 58.9%[1] - Research and development expenses for the current period are 1,099,466.10 CNY, down 20.8% from 1,386,262.40 CNY in the previous period[1] - The company reported a basic earnings per share of 0.0017 CNY, recovering from a loss of 0.0900 CNY per share in the previous period[67] Other Financial Metrics - The company reported non-recurring gains of ¥545,306.84 after accounting for government subsidies and tax impacts[8] - The weighted average return on equity improved to 0.07% from -3.08% year-on-year, reflecting a positive trend[8] - The company recorded a credit impairment loss of -7,586,844.26 CNY, which is an increase in losses compared to -5,152,107.85 CNY in the previous period[1] - The total comprehensive income for the current period is -180,657.37 CNY, compared to -19,911,933.62 CNY in the previous period[62] - The company aims to expand its market presence and enhance product development strategies in the upcoming quarters[1]

Financial Performance - In 2020, the company's operating revenue was CNY 329,294,717.09, a decrease of 46.26% compared to CNY 612,769,304.55 in 2019[25]. - The net profit attributable to shareholders was a loss of CNY 131,093,620.28, representing a decline of 48.56% from a loss of CNY 88,240,684.53 in 2019[25]. - The net cash flow from operating activities was a negative CNY 114,739,633.69, a decrease of 141.74% compared to CNY 274,898,322.37 in 2019[25]. - The total assets at the end of 2020 were CNY 989,981,774.38, down 22.35% from CNY 1,275,007,584.39 at the end of 2019[25]. - The net assets attributable to shareholders decreased by 19.50% to CNY 509,007,002.51 from CNY 632,329,373.65 in 2019[25]. - The basic earnings per share for 2020 were -CNY 0.61, a decrease of 48.78% from -CNY 0.41 in 2019[25]. - The company reported a net loss attributable to shareholders of ¥131,093,620.28 for the year[57]. - The total operating costs for 2020 were approximately ¥239.54 million, a decrease of 50.38% from the previous year[67]. - The company’s total share capital as of December 31, 2020, was 216,000,000 shares, with no cash dividends distributed per 10 shares[110]. - The total distributable profit for 2020 was -148,966,616.73 RMB, which did not meet the conditions for cash dividends[110]. Business Strategy and Development - The company plans to focus on high-end fireproof glass and energy-saving environmental glass as part of its overall development strategy[6]. - The company intends to strengthen new business development while consolidating existing business segments[6]. - The company aims to enhance its competitiveness and optimize personnel allocation to improve management efficiency[6]. - The company plans to develop fireproof windows that meet GB50016 standards to address market demand for energy-efficient buildings[75]. - The company aims to explore merger and acquisition opportunities to enhance profitability and overall strength[95]. - The company actively adjusted its business strategy in response to economic conditions and reduced order volumes[58]. Research and Development - The company holds 146 proprietary patents, including 13 invention patents and 105 utility model patents[53]. - The company introduced one invention patent and 22 utility model patents during the reporting period[57]. - The company's R&D investment in 2020 was approximately ¥14.99 million, accounting for 4.55% of operating revenue, an increase from 3.46% in 2019[78]. - The company acknowledges intense market competition and will focus on R&D and sales strategies to maintain its competitive edge[101]. Market and Sales Performance - The revenue from security glass was ¥65.48 million, accounting for 19.89% of total revenue, down 52.79% year-over-year[63]. - The revenue from fireproof doors and windows was ¥202.34 million, representing 61.45% of total revenue, a decrease of 33.41% year-over-year[63]. - The total sales volume for the glass deep processing industry was 733,571.64 square meters, a decline of 52.12% compared to 2019[66]. - The top five customers accounted for 16.25% of total annual sales, with the largest customer contributing 4.30%[71]. Cash Flow and Financial Management - Cash and cash equivalents decreased by 95% due to a deteriorating financing environment[49]. - Accounts receivable increased by 211% as customer payment notes rose[49]. - Inventory decreased by 34% due to delayed project commencement, leading to increased year-end stock[49]. - Operating cash inflow decreased by 56.40% to ¥354.12 million in 2020, while operating cash outflow decreased by 12.75% to ¥468.86 million[82]. - The company reported a significant increase in net cash flow from investment activities, reaching ¥184.58 million, compared to a negative cash flow of -¥204.35 million in 2019[82]. Compliance and Governance - The company has maintained compliance with all relevant regulations and has not faced any delisting risks[147]. - The company has a commitment to protect the rights of minority shareholders and ensure transparency in operations[133]. - The audit firm Yongtuo Certified Public Accountants has been retained for four consecutive years, with an audit fee of 600,000 RMB[146]. - The company faced administrative penalties from the China Securities Regulatory Commission (CSRC) due to suspected violations of information disclosure regulations, leading to an investigation initiated on January 24, 2019[188]. - The company was publicly reprimanded by the Shenzhen Stock Exchange for information disclosure violations on March 12, 2020[189]. Social Responsibility and Community Engagement - The company actively engages in social responsibility, including contributions to pandemic relief efforts[183]. - The company provided 21,200 medical masks to Wuhan during the COVID-19 pandemic, including 200,000 medical masks and 12,000 N95 masks[183]. - The company emphasizes safety and environmental protection, aiming to minimize production accidents and environmental impacts[183].

Financial Performance - The company's operating revenue for the first half of 2020 was ¥116,829,376.64, a decrease of 52.21% compared to ¥244,469,379.52 in the same period last year[25]. - The net profit attributable to shareholders was a loss of ¥25,100,281.84, representing a decline of 375.82% from a profit of ¥9,100,088.49 in the previous year[25]. - The net cash flow from operating activities was negative at ¥75,204,944.50, down 133.23% from ¥226,346,556.51 in the same period last year[25]. - The company reported an operating loss of CNY -27,064,698.82, a decline of 362.31% year-on-year[54]. - The company reported a net loss of CNY 42,973,278.29 compared to a loss of CNY 17,872,996.45 in the previous period[177]. - The net profit for the first half of 2020 was a loss of approximately ¥25.15 million, compared to a profit of ¥8.97 million in the same period of 2019, representing a significant decline[190]. - The operating profit for the first half of 2020 was a loss of approximately ¥27.06 million, compared to a profit of ¥10.32 million in the first half of 2019[190]. Assets and Liabilities - The total assets at the end of the reporting period were ¥1,070,647,318.56, a decrease of 16.03% from ¥1,275,007,584.39 at the end of the previous year[25]. - Total liabilities decreased from CNY 644,835,008.09 to CNY 467,553,982.86, a reduction of approximately 27.5%[174]. - Current liabilities decreased from CNY 561,235,269.42 to CNY 397,565,952.00, representing a decline of about 29.1%[174]. - Non-current liabilities decreased from CNY 83,599,738.67 to CNY 69,988,030.86, a decrease of approximately 16.3%[174]. - Owner's equity decreased from CNY 630,172,576.30 to CNY 603,093,335.70, a decline of approximately 4.3%[177]. Cash Flow and Investments - Cash and cash equivalents decreased by 73.98% compared to the beginning of the period, attributed to payments for goods and loan repayments[47]. - The company’s cash flow from operating activities showed a net outflow of CNY -75,204,944.50, a decline of 133.23% year-on-year[57]. - The company invested a total of ¥15,000,000 in the reporting period, with no investment in the same period last year, indicating a 0% change[62]. - The company established a wholly-owned subsidiary in Guangzhou Nansha with an investment of ¥10,000,000, which was approved on May 19, 2020[62]. Research and Development - The company’s research and development investment decreased by 43.08% to CNY 3,633,129.88 due to the pandemic[57]. - The company has undertaken over 30 national and provincial technology projects, with 10 products passing technology achievement appraisal, demonstrating its commitment to innovation[48]. - The company holds 140 patents, including 13 invention patents, 99 utility model patents, and 28 design patents, indicating strong technological capabilities[46]. Operational Challenges - The company faced significant operational challenges, leading to a substantial decline in both revenue and profit margins[25]. - The company is exposed to risks from raw material price fluctuations, particularly for float glass, which significantly impacts production costs[78]. - The company faced risks from macroeconomic fluctuations due to the COVID-19 pandemic but has resumed normal operations as domestic control measures have been effective[76]. Corporate Governance and Compliance - The company was fined 600,000 yuan by the China Securities Regulatory Commission for information disclosure violations[92]. - The actual controller and several executives faced penalties for information disclosure violations, including market entry bans[96]. - The company received administrative penalties from the China Securities Regulatory Commission for information disclosure violations[121]. - The company was publicly reprimanded by the Shenzhen Stock Exchange for information disclosure violations[124]. Shareholder Information - The company reported a total of 216,000,000 shares outstanding, with 8.42% being restricted shares and 91.58% unrestricted shares[132]. - The largest shareholder, He Guangxiong, holds 11.00% of the shares, totaling 23,765,000 shares[136]. - There were no significant changes in the number of shareholders, with a total of 10,058 shareholders reported[136].

Financial Performance - Operating revenue for the reporting period was CNY 84,074,228.97, down 37.98% year-on-year, and CNY 200,903,605.61, down 47.13% year-to-date[9]. - Net profit attributable to shareholders was a loss of CNY 23,630,863.63, a decrease of 1,973.22% compared to the same period last year[9]. - Basic earnings per share were CNY -0.11, reflecting a decrease of 1,200.00% year-on-year[9]. - The net cash flow from operating activities was CNY -41,665,742.84, a decline of 328.87% compared to the previous year[9]. - The company reported a net loss of CNY 66,462,247.81, compared to a loss of CNY 17,872,996.45 in the previous period[48]. - The net profit for the period was -¥48,772,699.42, representing a decline of 574.30% from a profit of ¥10,283,031.25 in the same period last year[26]. - The total operating revenue for the current period is CNY 200,903,605.61, a decrease from CNY 380,019,256.55 in the previous period, representing a decline of approximately 47.3%[74]. - The net profit for the current period is a loss of CNY 48,772,699.42, compared to a profit of CNY 10,283,031.25 in the previous period, marking a significant decline[77]. - The total comprehensive income for the current period is CNY -46,368,498.81, compared to CNY 8,215,921.47 in the previous period, indicating a substantial decline[81]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,035,487,138.50, a decrease of 18.79% compared to the end of the previous year[9]. - The company's total liabilities decreased from CNY 644,835,008.09 to CNY 451,538,759.19, reflecting a decline of about 30%[45]. - Current liabilities decreased from CNY 561,235,269.42 to CNY 388,909,532.35, a reduction of approximately 30.7%[45]. - The company's equity attributable to shareholders decreased from CNY 632,329,373.65 to CNY 586,136,628.97, a drop of approximately 7.3%[48]. - Total liabilities decreased by 46.87% in accounts payable, amounting to ¥45,670,574.31 from ¥85,958,431.10[26]. - The company’s total current liabilities were ¥360,423,643.84, with accounts payable at ¥48,465,686.91[116]. Cash Flow - The net cash flow from operating activities was -¥116,870,687.34, a decrease of 147.79% compared to ¥244,551,796.84 in the previous period[29]. - Cash flow from operating activities shows a net outflow of ¥116,870,687.34, contrasting with a net inflow of ¥244,551,796.84 in the previous period[90]. - Cash inflow from investment activities is ¥191,114,836.45, while cash outflow is ¥3,683,667.47, resulting in a net inflow of ¥187,431,168.98[93]. - The net cash flow from financing activities was negative at -$28,165,227.25, compared to -$16,167,012.07 previously, indicating increased financial strain[100]. Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 11,365[13]. - The largest shareholder, He Guangxiong, holds 11.00% of the shares, totaling 23,765,000 shares[13]. - The company did not conduct any repurchase transactions among the top 10 shareholders during the reporting period[21]. Research and Development - The company reported a 54.77% reduction in R&D expenses, totaling ¥6,233,172.71 compared to ¥13,781,634.96 in the previous period[26]. - Research and development expenses decreased to ¥2,600,042.83 from ¥7,398,303.07, a reduction of approximately 64.8%[60]. - Research and development expenses for the current period are ¥1,992,606.39, down 25.8% from ¥2,685,511.98 in the previous period[84]. Operational Changes - The company plans to gradually shift its production focus from the Shantou factory to the Wujiang production base to reduce operational pressure and costs[30]. - The company has implemented new revenue and leasing standards starting from 2020, affecting prior comparative data[121].

Financial Performance - The company's operating revenue for the first half of 2020 was CNY 116,829,376.64, a decrease of 52.21% compared to CNY 244,469,379.52 in the same period last year[24]. - The net profit attributable to shareholders of the listed company was a loss of CNY 25,100,281.84, representing a decline of 375.82% from a profit of CNY 9,100,088.49 in the previous year[24]. - The net cash flow from operating activities was negative CNY 120,388,387.19, down 153.19% from CNY 226,346,556.51 in the same period last year[24]. - Basic and diluted earnings per share were both negative CNY 0.12, a decrease of 400.00% compared to CNY 0.04 in the previous year[24]. - The company reported an operating loss of CNY -27,064,698.82, a decline of 362.31% year-on-year, and a net profit attributable to shareholders of CNY -25,100,281.84, down 375.82%[54]. - The company’s cash flow from operating activities showed a net outflow of CNY -120,388,387.19, a decrease of 153.19% compared to the previous year[58]. - The company’s cash and cash equivalents decreased by CNY -184,475,528.90, a decline of 788.94% year-on-year, primarily due to reduced operating cash flow[58]. - The company reported a tax expense of approximately -¥3.10 million for the first half of 2020, compared to a tax benefit of ¥0.33 million in the same period of 2019[186]. - The loss attributable to the parent company's shareholders was approximately -¥25.10 million in the first half of 2020, compared to a profit of ¥9.10 million in the same period of 2019[186]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,070,647,318.56, a decrease of 16.03% from CNY 1,275,007,584.39 at the end of the previous year[24]. - The net assets attributable to shareholders of the listed company were CNY 605,300,146.04, down 4.27% from CNY 632,329,373.65 at the end of the previous year[24]. - Total liabilities decreased from CNY 644,835,008.09 to CNY 467,553,982.86, a reduction of approximately 27.5%[170]. - Current liabilities decreased from CNY 561,235,269.42 to CNY 397,565,952.00, representing a decline of about 29.1%[170]. - Non-current liabilities decreased from CNY 83,599,738.67 to CNY 69,988,030.86, a decrease of approximately 16.3%[170]. - Total equity decreased from CNY 630,172,576.30 to CNY 603,093,335.70, a decline of about 4.3%[173]. Operational Highlights - The company faced challenges due to the COVID-19 pandemic, leading to delays in project implementation and increased operational costs[54]. - The company has actively responded to the pandemic by providing 212,000 masks to support public health efforts[54]. - The company is closely monitoring the impact of the COVID-19 pandemic on its financial status and operational results, and is adjusting its structure and developing new products and technologies accordingly[78]. - The company is facing risks related to raw material price fluctuations, particularly for float glass, which significantly impacts production costs[79]. - The company aims to leverage centralized procurement to mitigate cost increases and ensure stable supply channels[79]. Research and Development - The company has undertaken over 30 national and provincial-level technology projects, with 10 products passing technology achievement appraisal[48]. - The company plans to enhance its research and development efforts to maintain its competitive edge in the high-tech special glass industry[78]. - Research and development expenses decreased to approximately ¥3.63 million in the first half of 2020, down 43.0% from ¥6.38 million in the same period of 2019[183]. Subsidiaries and Investments - The company established a wholly-owned subsidiary in Guangzhou Nansha with an investment of ¥10,000,000, which was approved on May 19, 2020[63]. - The subsidiary Guangdong Jingang Fire Door and Window Co., Ltd. was established with an investment of ¥5,000,000, and the business license was obtained on the same day[63]. - The company reported that its subsidiary Shenzhen Jingang Green Building Technology Co., Ltd. had a net loss of ¥3,226,163.82 during the reporting period[77]. - The subsidiary Wujiang Jingang Glass Technology Co., Ltd. reported a net loss of ¥8,388,291.90, with total assets of ¥307,545,969.05[77]. - The subsidiary Suzhou Jingang Fire Steel Profile System Co., Ltd. achieved a net profit of ¥3,684,583.12, with total assets of ¥491,135,166.00[77]. Shareholder Information - As of the end of the reporting period, the total number of shares was 216,000,000, with 8.42% (18,177,000 shares) being restricted shares and 91.58% (197,823,000 shares) being unrestricted shares[130]. - The largest shareholder, He Guangxiong, holds 11.00% of the shares, totaling 23,765,000 shares, with no changes in holdings during the reporting period[134]. - The second-largest shareholder, Lhasa Jingang, has 10.72% of the shares, totaling 23,154,900 shares, which are currently frozen due to legal disputes[126]. - The company reported a significant increase in restricted shares held by departing employees, with He Guangxiong's shares increasing by 5,941,250 during the reporting period[133]. - The company is closely monitoring the situation regarding the judicial freeze of shares held by major shareholders and will comply with relevant disclosure obligations[126]. Compliance and Governance - The company faced a penalty of 600,000 yuan from the China Securities Regulatory Commission for information disclosure violations[93]. - The actual controller of the company was banned from the securities market for 10 years due to violations[93]. - The company received administrative penalties from the China Securities Regulatory Commission for information disclosure violations[121]. - The company and related parties were publicly reprimanded by the Shenzhen Stock Exchange for information disclosure violations[124]. - The company faced a risk of delisting due to a "disclaimer of opinion" audit report for the 2018 financial year, which was resolved after receiving a standard unqualified audit report for the 2019 financial year on April 28, 2020[125]. Other Information - The company plans not to distribute cash dividends or issue bonus shares for the first half of 2020[87]. - The half-year financial report for 2020 has not been audited[88]. - There were no major related party transactions during the reporting period[100]. - The company did not implement any employee incentive plans during the reporting period[99]. - The company reported no significant contracts or leasing situations during the reporting period[105].

Financial Performance - The company's operating revenue for 2019 was CNY 612,769,304.55, a decrease of 16.93% compared to CNY 737,677,317.86 in 2018[23] - The net profit attributable to shareholders was a loss of CNY 88,240,684.53, representing a decline of 797.37% from a profit of CNY 14,964,920.84 in 2018[23] - The total assets at the end of 2019 were CNY 1,275,007,584.39, a decrease of 9.19% from CNY 1,549,221,748.24 in 2018[23] - The net assets attributable to shareholders decreased by 12.51% to CNY 632,329,373.65 from CNY 899,960,526.78 in 2018[23] - The basic earnings per share were CNY -0.410, a decline of 783.33% from CNY 0.07 in 2018[23] - The diluted earnings per share were also CNY -0.410, down 920.00% from CNY 0.07 in the previous year[23] - The weighted average return on equity was -13.00%, a decrease of 14.75% from 1.67% in 2018[23] - The company reported a total revenue of ¥612,769,304.55, a decrease of 16.93% compared to the previous year[68] - The net loss attributable to shareholders was ¥90,361,360.23, with total profit loss amounting to ¥94,019,635.05[68] - The company achieved a gross margin of 21.49% in the glass deep processing sector, down 8.28% from the previous year[68] Cash Flow and Financial Management - The net cash flow from operating activities was CNY 274,898,322.37, recovering from a negative cash flow of CNY -206,904,660.60 in the previous year[23] - The company's cash and cash equivalents increased by 299.64% compared to the beginning of the period, mainly due to a decrease in other receivables[57] - The cash and cash equivalents net increase was -¥13,176,674.16, a decrease of 93.72% compared to the previous year[90] - Operating cash inflow for 2019 was ¥812,264,698.77, an increase of 17.89% compared to 2018[87] - Operating cash outflow decreased by 40.02% to ¥537,366,376.40 in 2019[87] - The net cash flow from financing activities decreased by 536.71% to -¥79,449,721.35 due to repayment of financing lease obligations[90] Research and Development - The company has developed a range of fireproof glass products, achieving multiple patents and maintaining a leading position in technology[38] - The company holds 152 proprietary patents as of December 31, 2019, including 12 invention patents, 94 utility model patents, and 46 design patents[56] - The company has strengthened its research and development capabilities, focusing on new product development and technological innovation to maintain its competitive edge[60] - In 2019, the company's R&D investment amounted to ¥21,200,875.06, accounting for 3.46% of total revenue[86] - The number of R&D personnel decreased to 97 in 2019, representing 11.55% of the total workforce[86] Market Position and Sales - The glass deep processing business accounted for ¥603,836,318.46, representing 98.54% of total revenue, with a year-on-year decline of 17.51%[68] - Domestic sales contributed ¥557,423,408.66, accounting for 90.97% of total revenue, while overseas sales dropped by 65.18% to ¥55,345,895.89[68] - The company is developing fireproof windows with typhoon resistance and energy-saving features, aiming to enhance product competitiveness[81] - The company aims to maintain its leading position in the domestic market for fireproof doors and windows through continuous innovation[81] Corporate Governance and Compliance - The company has established a commitment to maintain its operational independence and financial integrity, ensuring no illegal occupation of assets by related parties[129] - The company guarantees the independence of its financial accounting department and management system, ensuring no shared bank accounts with related enterprises[132] - The company has committed to avoiding any substantial competition with related enterprises during He Guangxiong's tenure as the largest shareholder[138] - The company is actively managing its financial obligations and has no overdue non-operating fund occupations[162] - The company has a long-term commitment to protect the rights of minority shareholders and ensure compliance with relevant regulations[147] Challenges and Risks - The company faces risks from macroeconomic fluctuations, which could impact product demand and profitability[113] - Policy risks related to real estate regulations may affect project implementation and accounts receivable recovery[114] - Market competition is increasing, necessitating continuous improvement in core competitiveness and brand building[114] - Fluctuations in raw material prices, particularly float glass, could adversely affect cost management[114] Strategic Plans - The company plans to enhance its competitive edge through technological and product innovation, aiming to improve overall product quality and management levels[107] - The company aims to explore merger and acquisition opportunities to rapidly enhance profitability and overall strength in the market[107] - The company will focus on strengthening its position in the fireproof glass product sector, leveraging brand and market advantages to seek cooperative development opportunities[108] - The company plans to enhance R&D efforts and focus on core business areas, particularly promoting fireproof doors and windows, and security warehouses[111] Social Responsibility - The company emphasizes its commitment to corporate social responsibility, ensuring compliance with relevant laws and regulations while maintaining effective communication with investors[200] - The company is dedicated to environmental protection, actively working to minimize negative environmental impacts and enhance resource efficiency[200] - The company has implemented safety measures to prevent workplace accidents and enhance safety awareness among employees[200]

Financial Performance - Total revenue for Q1 2020 was ¥37,235,283.88, a decrease of 71.97% compared to ¥132,834,774.24 in the same period last year[9] - Net profit attributable to shareholders was -¥18,810,693.27, representing a decline of 2,259.96% from a profit of ¥870,882.60 in the previous year[9] - The total profit for the period was a loss of CNY 19,218,619.21, a decline of 4363.30% compared to the previous year, significantly impacted by the pandemic[20] - The net profit for the current period was a loss of ¥18,858,352.96, compared to a profit of ¥881,225.83 in the previous period[54] - The company reported a comprehensive loss of ¥19,911,933.62 for the current period, compared to a comprehensive income of ¥1,730,497.94 in the previous period[57] - The net profit for the period was -3,295,306.89, indicating a significant loss compared to the previous profit of 74,827.48[61] - The total comprehensive income for the period was -3,295,306.89, reflecting a decline from the previous comprehensive income of 74,827.48[64] Cash Flow - The net cash flow from operating activities increased by 49.01% to ¥44,483,264.18, compared to ¥29,852,950.38 in the same period last year[9] - Cash inflows from operating activities totaled 545,082,890.23, an increase from 237,426,111.57 in the previous period[69] - Cash outflows from operating activities amounted to 500,599,626.05, compared to 207,573,161.19 in the prior period[69] - The net cash flow from operating activities was 44,483,264.18, up from 29,852,950.38 year-over-year[69] - The company reported a significant increase in cash received from other operating activities, totaling 431,712,975.88, compared to 14,985,873.06 previously[69] - The net cash flow from investing activities was -3,000,000.00, with cash outflows totaling 3,052,116.33[75] - The net cash flow from financing activities was -36,598,668.02, with cash inflows of 13,500,000.00 and outflows of 50,098,668.02[75] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,114,792,400.92, down 12.57% from ¥1,275,007,584.39 at the end of the previous year[9] - Total liabilities decreased from ¥644,835,008.09 to ¥504,519,688.83, a decline of around 21.8%[41] - Current liabilities decreased from ¥532,795,178.86 to ¥406,195,801.63, a reduction of about 23.7%[38] - Non-current liabilities decreased from ¥112,039,829.23 to ¥98,323,887.20, a decrease of approximately 12.3%[38] - The company's equity attributable to shareholders decreased from ¥632,329,373.65 to ¥612,478,019.18, a decrease of about 3.1%[41] - Total operating costs amounted to ¥50,885,493.47, down from ¥129,889,962.98, indicating a significant reduction in costs[51] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 10,069[13] - The largest shareholder, He Guangxiong, held 11.00% of the shares, totaling 23,765,000 shares[14] Government Support - The company received government subsidies amounting to ¥52,500 during the reporting period[9] Research and Development - The company's research and development expenses decreased by 65.53% to CNY 1,386,262.40, also due to the pandemic[20] - Research and development expenses were reduced to ¥1,386,262.40 from ¥4,021,315.14, showing a strategic cut in R&D spending[51] Other Financial Metrics - The weighted average return on net assets was -3.08%, a decrease of 3.18% from 0.10% in the previous year[9] - The company reported a basic and diluted earnings per share of -¥0.09, a decrease of 2,350.00% from ¥0.004 in the previous year[9] - The company's cash and cash equivalents decreased by 51.49% to CNY 120,972,323.62, primarily due to loan repayments and payments to suppliers[20] - Accounts receivable increased by 151.77% to CNY 23,531,131.50, reflecting changes in settlement methods[20] - The company's inventory increased to CNY 142,248,013.55, up from CNY 130,917,605.52 in the previous period[32] - The company faced a 62.79% decrease in taxes payable, totaling CNY 6,522,793.37, as a result of declining sales[20] Audit and Reporting Standards - The first quarter report for 2020 has not been audited[91] - The company has implemented new revenue and lease standards starting in 2020, with retrospective adjustments to prior comparative data[90]

Financial Performance - The company's operating revenue for 2019 was CNY 612,769,304.55, a decrease of 16.93% compared to the previous year[22]. - The net profit attributable to shareholders was a loss of CNY 88,240,684.53, representing a decline of 797.37% year-on-year[22]. - The net cash flow from operating activities was CNY 274,898,322.37, recovering from a negative cash flow of CNY -206,904,660.60 in the previous year[22]. - Total assets at the end of 2019 amounted to CNY 1,275,007,584.39, down 9.19% from the previous year[22]. - The net assets attributable to shareholders decreased to CNY 632,329,373.65, a reduction of 12.51% compared to the end of 2018[22]. - The basic earnings per share for 2019 was -CNY 0.410, a decline of 783.33% from the previous year[22]. - The diluted earnings per share also stood at -CNY 0.410, reflecting a decrease of 920.00% year-on-year[22]. - The weighted average return on equity was -13.00%, down from 1.67% in 2018[22]. - The company reported a net loss attributable to shareholders of ¥90,361,360.23 during the reporting period[61]. - The company will not distribute cash dividends for the 2019 fiscal year, as it reported a negative profit for the year[120]. - The company’s profit distribution plan for 2019 includes no cash dividends, no bonus shares, and no capital reserve conversion[120]. Revenue and Sales - In Q1 2019, the company reported revenue of ¥132,834,774.24, which increased to ¥244,469,379.52 in Q2, but decreased to ¥135,549,877.03 in Q3 and further to ¥99,915,273.76 in Q4[25]. - The revenue from security glass was ¥138,699,163.00, down 27.32% year-on-year, while fire doors and windows saw an increase of 12.53% to ¥352,069,365.71[65]. - Domestic revenue increased by 4.65% to ¥605,621,925.06, while overseas revenue plummeted by 95.50% to ¥7,147,379.49[65]. - The glass deep processing business accounted for ¥603,836,318.46, representing 98.54% of total revenue, with a year-on-year decline of 17.51%[65]. Cash Flow and Assets - The company's cash and cash equivalents increased by 299.64% compared to the beginning of the period, primarily due to a decrease in other receivables[54]. - Accounts receivable increased by 75.59% compared to the beginning of the period, mainly due to an increase in customer bill settlements[54]. - Prepayments decreased by 60.62% compared to the beginning of the period, primarily due to a reduction in supplier prepayments[54]. - Inventory decreased by 34.92% compared to the beginning of the period, mainly due to a reduction in raw materials and increased shipments[54]. - The total assets included cash and cash equivalents of ¥249,362,343.97, which constituted 19.56% of total assets at year-end 2019[90]. - Accounts receivable stood at ¥262,948,730.09, making up 20.62% of total assets[90]. Research and Development - The company has developed a series of fireproof window products that meet national fire safety standards, becoming the first in China to receive certification from the National Fire Engineering Technology Research Center[36]. - The company has developed a new series of fireproof windows in response to the "Building Design Fire Safety Code," enhancing its product offerings in fire safety[53]. - The company is developing fire-resistant windows with typhoon resistance and energy-saving features, aiming to enhance its product range and market competitiveness[78]. - In 2019, the company's R&D investment amounted to ¥21,200,875.06, accounting for 3.46% of total revenue[84]. - The number of R&D personnel decreased to 97 in 2019, representing 11.55% of the total workforce[84]. Strategic Partnerships and Projects - The company has established strategic partnerships with major real estate developers, including Country Garden and Evergrande Group, to undertake multiple engineering projects[38]. - As of December 31, 2019, the company had undertaken over 30 national and provincial-level technology projects, with 10 products passing technology achievement appraisal, and 6 products listed as national key new products[49]. - The company’s fireproof glass products have been applied in nearly 400 large engineering projects domestically and internationally, including landmark buildings like the "Bird's Nest" and the National Conference Center[46]. Internal Controls and Governance - The company has rectified significant internal control deficiencies related to the misuse of funds by major shareholders[6]. - The company plans to enhance its R&D efforts and strengthen its core business, focusing on fireproof doors and windows, and security products[107]. - The company aims to improve financial management and internal controls to mitigate operational risks and enhance governance in 2020[107]. - The company has committed to maintaining the independence of its financial accounting department and management systems[122]. - The controlling shareholder has pledged to avoid any substantial competition with the company during their tenure[134]. Market and Economic Conditions - The company’s products are significantly influenced by macroeconomic cycles, particularly in large public buildings and high-rise residential projects[110]. - The company faces policy risks related to the real estate sector, which may affect project implementation and accounts receivable[109]. - The company anticipates that the glass processing industry will benefit from the stabilization of the macro economy and the rapid advancement of new urbanization, creating more growth opportunities[104]. Social Responsibility and Community Engagement - The company actively fulfilled its social responsibilities, including donating 212,000 masks for pandemic relief efforts[200]. - The company emphasizes safety and environmental protection in its operations, aiming to minimize negative impacts[197]. Audit and Compliance - The company received a non-standard audit report for the 2018 annual report due to an ongoing investigation by the China Securities Regulatory Commission (CSRC) regarding information disclosure violations[160]. - The audit firm was unable to express an opinion on the financial statements due to significant related party transactions and the inability to obtain sufficient audit evidence[160]. - The company identified non-operational fund occupation by a related party and took corrective actions, including adjustments to prior accounting errors disclosed on June 6, 2019[163].