Revenue and Profit - Revenue for Q3 2021 reached ¥225,133,821.13, an increase of 97.12% compared to the same period last year[3] - Net profit attributable to shareholders was ¥34,318,555.75, a significant increase of 2,464.68% year-on-year[3] - Net profit after deducting non-recurring gains and losses was ¥27,759,261.49, up 283.89% from the previous year[3] - The company's operating revenue increased by 43.11% to ¥44,564.80 million, driven by a growth in orders during the reporting period[9] - The net profit attributable to shareholders for the first nine months was CNY 48.54 million, a decrease of 24.97% year-on-year, while the net profit excluding non-recurring gains and losses increased by 70.54% to CNY 36.03 million[17] - The net profit for the third quarter of 2021 was CNY 48,906,381.76, a decrease of 29.5% compared to CNY 69,477,383.14 in the same period last year[25] - The net profit attributable to the parent company was CNY 48,539,939.91, down from CNY 64,692,882.15, reflecting a decline of 25%[25] - The total comprehensive income for the period was CNY 49,217,394.85, compared to CNY 70,203,547.79 in the previous year, indicating a decrease of 30%[25] - Basic and diluted earnings per share were CNY 0.0981, down from CNY 0.1303, representing a decline of 24.5%[25] Cash Flow - The company reported a net cash flow from operating activities of -¥43,450,361.42, a decrease of 497.77% year-to-date[3] - The net cash flow from operating activities decreased by 497.77% to -¥4,345.04 million, attributed to significant upfront payments for materials and wages due to increased production[10] - Cash flow from operating activities showed a net outflow of CNY 43,450,361.42, contrasting with a net inflow of CNY 10,923,370.09 in the previous year[27] - Cash inflow from operating activities totaled CNY 425,559,298.46, an increase of 24% from CNY 343,443,848.63[27] - Cash outflow from operating activities was CNY 469,009,659.88, up from CNY 332,520,478.54, marking a rise of 41%[27] - Investment activities generated a net cash inflow of CNY 112,599,679.20, significantly higher than CNY 6,798,462.78 in the previous year[28] - Financing activities resulted in a net cash outflow of CNY 89,702,584.15, slightly improved from CNY 97,934,032.99 in the same period last year[28] - The ending cash and cash equivalents balance was CNY 43,073,498.72, compared to CNY 39,384,384.46 at the end of the previous year[28] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,342,140,959.87, a decrease of 0.96% from the end of the previous year[3] - The total assets of the company as of September 30, 2021, were CNY 1.34 billion, slightly down from CNY 1.36 billion at the end of 2020[21] - Total liabilities decreased to CNY 373.79 million from CNY 428.08 million at the end of 2020, indicating improved financial health[21] - Total liabilities reached CNY 428.08 million, with current liabilities accounting for CNY 361.93 million[33] - The company reported a long-term loan of CNY 50.06 million and a total of CNY 9.89 million in notes payable[32] - The total non-current liabilities were CNY 66.14 million, with long-term borrowings included[33] Shareholders' Equity - Shareholders' equity attributable to the parent company increased to ¥957,301,496.50, up 4.46% from the previous year[3] - Owner's equity totaled CNY 927.06 million, with the equity attributable to shareholders amounting to CNY 916.46 million[33] Non-Recurring Gains and Losses - Non-recurring gains and losses for the current period totaled ¥6,559,294.26, with significant contributions from asset disposals and government subsidies[5] - The company reported a 4,023.64% increase in asset disposal income to ¥211.71 million, resulting from gains on property disposals[9] - The company’s investment income decreased by 100.80% to -¥16.66 million, due to reduced gains from equity asset disposals compared to the previous period[9] - The company’s credit impairment losses increased by 182.06% to -¥264.04 million, reflecting higher bad debt provisions for accounts receivable[9] Market Outlook and Business Strategy - The company plans to continue expanding its market presence and investing in new product development[3] - The company expects continued growth in the demand for its subway tunnel business and an increase in order volume due to market trends[17] - The green building curtain wall business is entering a virtuous cycle with increasing potential projects driven by benchmark project effects[17] - The company is optimizing qualifications and enriching project reserves in the energy-saving and environmental protection sector, aligning with national policy directions[17] Other Financial Information - The company has approximately ¥6.47 billion in unfulfilled contracts, indicating a strong order backlog[16] - The company has implemented the new leasing standard since January 1, 2021, affecting the financial statements[34] - The report for the third quarter was not audited, indicating preliminary financial results[34] - The total current liabilities include accounts payable of CNY 131.44 million and contract liabilities of CNY 132.62 million[32] - The company has a total of CNY 192.74 million in capital reserves and CNY 312.09 million in undistributed profits[33]

Financial Performance - The company reported a total revenue of RMB 511.42 million for the first half of 2021, representing a year-on-year increase of 15%[2]. - The net profit attributable to shareholders was RMB 78.34 million, up 20% compared to the same period last year[2]. - The company's revenue for the reporting period was ¥220,514,193.76, representing an increase of 11.83% compared to ¥197,194,317.21 in the same period last year[22]. - The net profit attributable to shareholders decreased by 77.55% to ¥14,221,384.16 from ¥63,354,758.24 in the previous year[22]. - The total profit for the period was 18.34 million yuan, a decrease of 76.00% year-on-year[36]. - The company achieved operating revenue of 220.51 million yuan, an increase of 11.83% compared to the same period last year[36]. - The gross margin for the first half of 2021 was reported at 35%, reflecting improved operational efficiency[2]. - The company anticipates a revenue growth of 20% for the second half of 2021, driven by new product launches and market expansion efforts[2]. - The basic and diluted earnings per share dropped by 76.92% to ¥0.03 from ¥0.13 in the previous year[22]. - The weighted average return on net assets decreased to 1.54%, down by 5.40% from 6.94% in the same period last year[22]. Assets and Liabilities - The total assets of the company reached RMB 1.2 billion, with a current ratio of 1.5, indicating strong liquidity[2]. - Total assets at the end of the reporting period were ¥1,304,094,731.23, a decrease of 3.77% from ¥1,355,133,167.55 at the end of the previous year[22]. - The net assets attributable to shareholders increased slightly by 0.71% to ¥923,007,807.30 from ¥916,463,370.32 at the end of the previous year[22]. - The company's total current assets increased from CNY 656,068,103.12 to CNY 691,034,183.03, an increase of approximately 5.34%[172]. - The company's total liabilities as of June 30, 2021, were not disclosed in the provided content, indicating a need for further financial details[164]. - Total liabilities decreased from CNY 428,075,863.95 to CNY 369,407,990.48, a decline of around 13.68%[168]. Research and Development - The company plans to invest RMB 50 million in R&D for new product development in the next fiscal year[2]. - Research and development investment amounted to 10.1 million CNY, accounting for 4.58% of the company's revenue, with 3 new invention patents and 3 utility model patents added during the reporting period[43]. - Research and development expenses remained stable at CNY 10,102,677.77, slightly down from CNY 10,785,806.55 in the previous year[176]. - The company aims to enhance its core competitiveness by focusing on the development of new functional enamel materials and expanding application markets[46]. Market Strategy and Expansion - The company has outlined a market expansion strategy targeting Southeast Asia, aiming for a 10% market share by 2023[2]. - User data showed a 25% increase in active users of the company's products, reaching 1.5 million by June 30, 2021[2]. - The company is exploring potential mergers and acquisitions to enhance its market position and product offerings[2]. - The company is committed to enhancing its market position through technological innovation and marketing strategies[35]. Challenges and Risks - The company is facing challenges from rising raw material costs and increased labor expenses, impacting profit margins[36]. - The company is exposed to raw material price fluctuations, which could negatively impact profit margins if prices continue to rise[92]. - The COVID-19 pandemic continues to pose risks, with potential impacts on production and operations if the situation does not improve globally, despite effective domestic control[93]. - The company is addressing risks related to accounts receivable recovery, emphasizing the importance of project payment schedules and customer creditworthiness[92]. Shareholder Information - The total number of shares is 511,424,086, with 35.22% being limited shares and 64.78% being unrestricted shares[145]. - The controlling shareholder, Xing Hanxue, holds 25.06% of the shares, totaling 128,168,818, with a decrease of 12,181,443 shares during the reporting period[150]. - The company has a total of 49,743 shareholders at the end of the reporting period[149]. - The company has implemented a lock-up period for executive shares, with 25% of locked shares being released on the first trading day of each year[147]. Corporate Governance and Compliance - The company has maintained a good integrity status, with no unfulfilled court judgments or significant overdue debts during the reporting period[121]. - There were no significant non-operating fund occupations by controlling shareholders or related parties during the reporting period[114]. - The company reported no violations regarding external guarantees during the reporting period[115]. - The company has not engaged in any derivative investments or entrusted loans during the reporting period[78][79]. Social Responsibility - The company has cumulatively donated approximately CNY 2.0197 million to social welfare projects from 2014 to the end of the reporting period, receiving widespread social acclaim[110].

浙江开尔新材料股份有限公司 2021 年第一季度报告全文 浙江开尔新材料股份有限公司 2021 年第一季度报告 2021-031 2021 年 04 月 浙江开尔新材料股份有限公司 2021 年第一季度报告全文 第一节 重要提示 公司董事会、监事会及董事、监事、高级管理人员保证季度报告内容的真 实、准确、完整，不存在虚假记载、误导性陈述或者重大遗漏，并承担个别和 连带的法律责任。 所有董事均已出席了审议本次季报的董事会会议。 公司负责人邢翰学、主管会计工作负责人马丽芬及会计机构负责人（会计 主管人员）俞铖耀声明：保证季度报告中财务报表的真实、准确、完整。 2 浙江开尔新材料股份有限公司 2021 年第一季度报告全文 第二节 公司基本情况 一、主要会计数据和财务指标 1 单位：元 | 项目 | 年初至报告期期末金额 说明 | | --- | --- | | 非流动资产处置损益（包括已计提资产减值准备的冲销部分） | 主要系公司处置部分持有待售 7,338,990.16 | | | 资产取得的投资收益 | | 计入当期损益的政府补助（与企业业务密切相关，按照国家统 | 2,795,729.59 主要系本期取得的政 ...

Financial Performance - The company reported a significant decline in revenue and gross profit due to the impact of the COVID-19 pandemic, with a noticeable decrease in the number of signed contracts compared to the previous year[15]. - The company's operating revenue for 2020 was ¥441,432,263.62, a decrease of 35.59% compared to ¥685,325,805.40 in 2019[29]. - The net profit attributable to shareholders for 2020 was ¥74,973,130.14, an increase of 29.58% from ¥57,856,776.39 in 2019[29]. - The net cash flow from operating activities improved significantly to ¥44,408,025.70, a 552.83% increase from -¥9,806,739.34 in 2019[29]. - The total assets at the end of 2020 were ¥1,355,133,167.55, reflecting a 4.39% increase from ¥1,298,125,558.21 at the end of 2019[29]. - The basic earnings per share for 2020 was ¥0.15, up 25.00% from ¥0.12 in 2019[29]. - The company reported a weighted average return on equity of 8.35% for 2020, an increase of 2.02% from 6.33% in 2019[29]. - The company recorded a total of ¥54,432,419.03 in non-recurring gains for 2020, compared to -¥10,190,845.35 in 2019[36]. - The net profit after deducting non-recurring gains for 2020 was ¥20,540,711.11, a decrease of 69.81% from ¥68,047,621.74 in 2019[29]. - The total operating costs for 2020 were ¥314,562,637.40, a decrease of 36.97% from ¥499,042,433.22 in 2019[98]. Shareholder Returns - The company plans to distribute a cash dividend of 0.16 CNY per 10 shares, based on a total share capital of 494,971,090 shares after excluding repurchased shares[16]. - The total cash dividend amount, including other methods, reached RMB 67,900,235.42, accounting for 90.57% of the net profit attributable to ordinary shareholders[179]. - The cash dividend for 2020 represents a significant return to shareholders, reflecting the company's commitment to shareholder value[173]. - The total distributable profit for 2020 was RMB 74,973,130.14, with cash dividends representing 100% of the profit distribution[171]. - The company’s cash dividend policy is designed to balance shareholder returns with sustainable development[173]. Risk Management - The company faces risks related to the industrialization of new products, including challenges in talent acquisition and market competition, which may affect expected outcomes[7]. - The company has implemented measures to mitigate risks associated with accounts receivable, including regular analysis of receivables and strengthening collection efforts[10]. - The company aims to strengthen its risk management and cost control measures to maintain profitability amid rising production costs[12]. - The company acknowledges the significant impact of macroeconomic factors, including fixed asset investment and urbanization, on its industry performance[15]. Innovation and R&D - The company is committed to enhancing innovation capabilities through collaboration with universities and research institutions to improve product development[9]. - The company has established a strong R&D team led by an industry expert with over 30 years of experience[57]. - The company plans to continue increasing R&D efforts and accelerate new product development to maintain its competitive edge[57]. - R&D investment for the reporting period was 19.19 million yuan, representing 4.35% of total revenue, with 1 invention patent and 11 utility model patents added[77]. - The company is developing a new type of fireproof decorative enamel board aimed at the energy-saving and environmental protection market, projected to have a consumption volume of ¥2 trillion in the building decoration market[104]. Market Strategy - The company is focused on expanding its market presence through new product development and strategic investments in environmentally friendly materials[22]. - The company aims to enhance its technological capabilities by investing in new energy and environmental protection technologies[22]. - The company is focusing on gradually exiting non-core industries to concentrate resources on its main business development[66]. - The company is actively exploring new technologies and products in the renewable energy sector to capitalize on market trends[144]. - The company aims to leverage the accelerating urban underground space construction to enhance the market competitiveness of enamel steel plates[151]. Product Development - The company has developed a new type of functional enamel material, which is characterized by high corrosion resistance and a long service life of up to 30 years without maintenance[21]. - The company is developing new products such as stainless steel enamel boards and green enamel boards, with project completion targets set for December 2021[105]. - The company's enamel board green building curtain wall materials have a competitive advantage with 30 years of maintenance-free performance, environmental safety, and aesthetic appeal[147]. Financial Position - The total share capital of the company is 511,424,086 shares, with a total share capital after excluding repurchased shares being 494,971,090 shares[20]. - The company completed the repurchase of 16,452,996 shares through centralized bidding transactions as part of its share repurchase plan[20]. - The company holds a 0.91% stake in Li'an Technology Co., Ltd., with 3,853,049 shares as of the end of the reporting period[21]. - The company has a 67% stake in Jinhua Kaixing Solar Technology Co., Ltd., a wholly-owned subsidiary established in 2017[21]. - The company has a registered capital of 4,166,250 RMB in Shanghai Shunhua New Energy System Co., Ltd., a company in which it has invested[21]. Industry Outlook - Future growth is expected to be driven by the increasing demand for green building materials and environmental protection technologies[50]. - The company anticipates growth in the green building materials sector, driven by urbanization and increased demand for safety and energy efficiency in construction[145]. - The overall construction industry in China saw a value-added increase of 3.5% year-on-year, reaching CNY 72,996 billion[145]. - The company believes that the green building materials sector will become a new engine for future performance growth[147]. Compliance and Governance - The company has maintained compliance with commitments made to minority shareholders, with no violations reported[181]. - The company has not faced any penalties or rectification issues during the reporting period[192]. - The company did not adjust or change its cash dividend policy during the reporting period[171]. - The company has no non-operating fund occupation by controlling shareholders or related parties[182].

证券代码：300234 证券简称：开尔新材 公告编号：2021-029 浙江开尔新材料股份有限公司 关于举办投资者接待日活动的公告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚 假记载、误导性陈述或重大遗漏。 浙江开尔新材料股份有限公司（以下简称"公司"）于 2021 年 4 月 16 日披 露了《2020 年年度报告》及《2020 年年度报告摘要》，为便于广大投资者深入 全面地了解公司情况，公司将于 2020 年年度股东大会召开期间举办投资者接待 日活动，现将有关事项公告如下： 1、接待日：2021 年 5 月 6 日（周四）2020 年年度股东大会召开当日 2、接待时间：接待日当日 15：30-17：00 3、接待地点：浙江省杭州市滨江区东信大道 69 号中恒大厦 14 楼公司会议 室 4、登记预约：参与投资者请于 2021 年 4 月 29 日（周四）与公司证券部联 系，并同时提出问题提纲，以便接待登记和安排。 联系人：盛蕾，电话：0579-82888566 5、来访证件：来访个人投资者请携带个人身份证原件及复印件、股东卡原 件及复印件；机构投资者请携带机构相关证明文件及其复印件。公 ...

Financial Performance - Operating revenue for the reporting period was CNY 114,209,783.54, down 31.66% year-on-year, while revenue for the year-to-date was CNY 311,404,100.75, a decrease of 29.07%[7] - Net profit attributable to shareholders was CNY 1,338,123.91, a decline of 94.15% year-on-year, with year-to-date net profit at CNY 64,692,882.15, an increase of 9.87%[7] - Basic earnings per share for the reporting period were CNY 0.0027, down 93.96% year-on-year, while year-to-date earnings per share were CNY 0.1303, an increase of 11.27%[7] - Operating profit reached 79.49 million yuan, an increase of 19.27% year-on-year[18] - Net profit attributable to shareholders was 64.69 million yuan, up 9.87% from the previous year[18] - The net profit for Q3 2020 was CNY 3,512,998.64, a decline of 85.2% from CNY 23,681,410.43 in Q3 2019[55] - The company's total profit for Q3 2020 was CNY 68,076,772.88, an increase of 11.5% compared to CNY 61,155,826.14 in Q3 2019[68] Cash Flow - The net cash flow from operating activities was CNY 644,592.79, up 102.22% compared to the same period last year, and year-to-date cash flow was CNY 10,923,370.09, an increase of 125.53%[7] - The net cash flow from operating activities for the current period is 6,591,013.53, compared to a negative cash flow of -45,602,941.99 in the previous period[73] - The cash inflow from operating activities totaled 249,620,279.75, compared to 273,001,697.42 in the previous period[73] - The cash outflow for purchasing goods and services is 169,788,581.77, down from 232,044,644.55 in the previous period[73] Assets and Liabilities - Total assets at the end of the reporting period were CNY 1,248,842,649.69, a decrease of 3.80% compared to the end of the previous year[7] - The company's current assets decreased to CNY 833,125,994.26 from CNY 945,464,979.02, reflecting a decline of approximately 11.85%[45] - Total liabilities decreased to CNY 333,262,209.21 from CNY 373,129,517.97, a decline of approximately 10.7%[47] - The company's equity increased significantly to CNY 511,424,086.00 from CNY 289,534,588.00, reflecting an increase of approximately 76.7%[47] - The total liabilities decreased to CNY 290,347,393.07 from CNY 304,858,322.57, a reduction of 4.5%[51] - The company's total assets as of September 30, 2020, were CNY 1,259,598,945.93, a decrease from CNY 1,293,749,258.84 at the end of 2019[50] Shareholder Information - The company reported a total of 22,224 common shareholders at the end of the reporting period[11] - The top three shareholders held a combined 47.98% of the shares, with the largest shareholder, Xing Hanxue, owning 27.64%[11] - There were no agreed repurchase transactions conducted by the top ten shareholders during the reporting period[12] - As of the reporting period, the company has repurchased a total of 16,452,996 shares, representing 3.22% of the total share capital[35] Investments and Projects - The company has 122.88 million yuan in uncontracted projects as of the end of the reporting period, indicating a sufficient order backlog[18] - Hangzhou Yitong Investment Partnership (Limited Partnership) agreed to sell its 25% stake in Xiangsheng Environmental Protection for a cash consideration of RMB 177 million[29] - The company won a significant contract for the Shenzhen Pingshan Tunnel Project, with a bid amount of RMB 80.68 million, which is expected to positively impact future operating performance[30] Corporate Governance - The company approved the election of new independent directors and the chairman of the supervisory board, with the new appointees' terms lasting until the end of the current board's term[28] - The company plans to deregister its wholly-owned subsidiary, Hangzhou Tianrun New Energy Technology Co., Ltd., to optimize resource allocation and reduce operational costs, with the deregistration process pending due to contract disputes[26] Changes in Accounting Standards - The company has adopted new revenue and leasing standards starting from January 1, 2020, impacting the classification of certain assets and liabilities[85]

Financial Performance - The company reported a significant focus on developing new functional enamel materials, which are characterized by high corrosion resistance and long service life, referred to as "30-year maintenance-free materials"[19] - The company reported a robust financial performance, with a focus on increasing revenue through new product launches and market expansion initiatives[21] - The company's operating revenue for the current reporting period is ¥197,194,317.21, a decrease of 27.48% compared to the same period last year[27] - Net profit attributable to shareholders of the listed company is ¥63,354,758.24, an increase of 75.98% year-on-year[27] - The net profit after deducting non-recurring gains and losses is ¥13,896,255.56, down 64.81% from the previous year[27] - The net cash flow from operating activities is ¥10,278,777.30, a significant increase of 174.85% compared to the previous year[27] - Basic earnings per share is ¥0.1274, representing a year-on-year increase of 78.68%[27] - The company achieved operating revenue of 197.19 million yuan, a decrease of 27.48% compared to the same period last year[55] - Net profit attributable to shareholders increased by 75.98% to 63.35 million yuan, despite a decline in operating income[55] - The company reported a significant increase in cash flow from operating activities, amounting to 10.28 million yuan, a 174.85% improvement year-on-year[67] Research and Development - The company is committed to continuous improvement in research and development capabilities to drive innovation in the enamel industry[7] - The company focuses on the research and development of new functional enamel materials, positioning itself as a market leader in the industry[34] - The company’s R&D investment reached 10.79 million yuan, accounting for 5.47% of operating revenue, an increase of 15.23% year-on-year[60] - Research and development investment increased by 15.23% to 10.79 million yuan, reflecting the company's commitment to innovation[67] - The company has filed for 12 new patents during the reporting period, enhancing its technological capabilities and product offerings[51] Market Expansion and Strategy - The company aims to enhance its product structure and reduce production costs to mitigate risks from policy changes and industry competition[6] - The company is actively expanding its market presence through the establishment of new subsidiaries and partnerships, such as the 67% stake in Jinhua Kaixing Solar Technology Co., Ltd.[18] - The company is exploring mergers and acquisitions to strengthen its competitive position in the new materials sector[21] - The company aims to enhance its product offerings with innovative technologies, including the development of smoke gas heat recovery systems that achieve zero leakage and high-efficiency desulfurization[19] - The company is focusing on expanding its market presence in the subway tunnel sector, which is expected to experience explosive growth in the coming years[59] Sustainability and Environmental Commitment - The company has a strong commitment to sustainability, focusing on green building materials and energy-efficient solutions in its product lines[19] - The company aims to promote green building and environmental sustainability through its innovative products and technologies[35] - The company holds a 20% stake in Zhejiang Feiran Energy-saving Technology Co., Ltd., indicating its strategy to diversify investments in energy-saving technologies[17] Financial Management and Investments - The company plans to maintain a cautious approach to investments, ensuring alignment with long-term strategic goals and conducting thorough due diligence[10] - The company has established a robust internal control system, but rapid business expansion may challenge its management capabilities[12] - The company has made strategic investments in subsidiaries, including a 99% stake in Huai'an Mofeng Technology Co., Ltd., enhancing its portfolio in the environmental technology sector[18] - The company has reported a total of ¥165,730,624.50 in financial assets, with a fair value change of ¥35,059,927.23 during the period[76] - The company reported a total investment of 2.7 billion yuan in entrusted financial management, with an actual yield rate of 10.62%[85] Shareholder and Equity Information - The total share capital of the company is 511,424,086 shares, with 16,452,996 shares repurchased, resulting in a total share capital of 494,971,090 shares after excluding repurchased shares[17] - The company will not distribute cash dividends or issue bonus shares for the current period[13] - The company repurchased 4,280,296 shares, accounting for 0.84% of the total share capital, with a total transaction amount of 59.99 million yuan[64] - Cumulative share repurchases amounted to 16,452,996 shares, representing 3.22% of the total share capital[64] - The company has completed the first phase of its employee stock ownership plan, with a total of 9,394,133 shares held, accounting for 1.84% of the total share capital[121] Legal and Compliance Matters - The company reported a litigation case involving a share transfer dispute with a claimed amount of 201.21 million RMB, which has not yet gone to trial[113] - The company has no significant litigation or arbitration matters that would impact its operations during the reporting period[113] - The company has not engaged in any related party transactions during the reporting period[122] - The company has adhered to its commitments regarding shareholding and stock repurchase plans without violations[112] Asset Management - The company aims to optimize asset structure and improve capital turnover speed[89] - The company has no significant impact from related party transactions on its financial performance[131] - The company has no significant investments in joint ventures during the reporting period[124] - The company has no major construction projects under investment during the reporting period[124]

证券代码：300234 证券简称：开尔新材 公告编号：2020-056 浙江开尔新材料股份有限公司 关于参加浙江辖区上市公司投资者网上集体接待日 活动的公告 本公司及董事会全体成员保证信息披露的内容真实、准确、完整，没有虚 假记载、误导性陈述或重大遗漏。 为进一步加强辖区上市公司与投资者特别是中小投资者的沟通交流，增强上 市公司透明度，提升上市公司治理水平，促进上市公司规范运作，在浙江证监局 指导下，浙江上市公司协会将联合深圳市全景网络有限公司共同举办"凝心聚力 共克时艰"辖区上市公司投资者网上集体接待日主题活动。 浙江开尔新材料股份有限公司（以下简称"公司"）将参与本次投资者网上 集体接待日活动，现将有关事项公告如下： 1、接待日：2020 年 5 月 15 日（周五） 2、接待时间：接待日当日下午 15：00—17：00 3、接待方式：本次投资者网上集体接待日活动将通过深圳市全景网络有限 公司提供的网上平台采用网络远程方式举行，投资者可以登录"全景•路演天下" 网站（http://rs.p5w.net/）参与本次活动。 4、公司参与人员：董事长兼总经理邢翰学先生、财务总监马丽芬女士、副 总经理兼董事会秘书 ...

Part I Important Notice [Important Notice](index=2&type=section&id=重要提示) The company's board, supervisory board, and senior management affirm the truthfulness, accuracy, and completeness of this quarterly report and its financial statements - The company's board of directors, supervisory board, and senior management guarantee the truthfulness, accuracy, and completeness of the quarterly report content[3](index=3&type=chunk) - All directors attended the board meeting to review this quarterly report[4](index=4&type=chunk) - The company's principal, head of accounting, and head of accounting department declare the truthfulness, accuracy, and completeness of the financial statements[4](index=4&type=chunk) Part II Company Profile [Key Accounting Data and Financial Indicators](index=3&type=section&id=一、主要会计数据和财务指标) Total operating revenue decreased by 76.29%, while net profit attributable to shareholders surged by 413.75% due to non-recurring gains, and operating cash flow increased by 107.04% Key Accounting Data and Financial Indicators for the Current Period | Indicator | Current Period (CNY) | Prior Period (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 34,973,001.18 | 147,533,006.68 | -76.29% | | Net Profit Attributable to Shareholders | 47,483,002.47 | 9,242,402.98 | 413.75% | | Net Profit Attributable to Shareholders, Excluding Non-Recurring Items | -433,896.62 | 21,672,654.25 | -102.00% | | Net Cash Flow from Operating Activities | 11,938,354.21 | 5,766,307.94 | 107.04% | | Basic Earnings Per Share (CNY/share) | 0.1721 | 0.0325 | 429.54% | | Diluted Earnings Per Share (CNY/share) | 0.1721 | 0.0325 | 429.54% | | Weighted Average Return on Net Assets | 5.04% | 0.98% | 4.06% | | **Period-End Indicators** | **End of Current Period (CNY)** | **End of Prior Year (CNY)** | **Change (%)** | | Total Assets | 1,257,516,512.34 | 1,298,125,558.21 | -3.13% | | Net Assets Attributable to Shareholders | 904,022,488.08 | 919,480,957.86 | -1.68% | Non-Recurring Gains and Losses Items and Amounts | Item | Amount from Year-Beginning to Period-End (CNY) | Description | | :--- | :--- | :--- | | Gains/Losses on Disposal of Non-Current Assets | 8,548.30 | Gains from Disposal of Fixed Assets | | Government Grants | 1,387,949.13 | Government grants during the reporting period | | Gains/Losses from Entrusted Investments or Asset Management | 4,947.01 | Income from purchasing wealth management products | | Gains/Losses from Fair Value Changes of Trading Financial Assets and Investment Income | 54,456,690.09 | Fair value changes and investment income from holding/disposing of listed company shares | | Reversal of Impairment Provisions for Receivables | 350,000.00 | Reversal of bad debt provisions for receivables from individual impairment tests | | Other Non-Operating Income and Expenses | 139,223.10 | | | Less: Income Tax Impact | 8,403,047.54 | | | Impact on Minority Interests (After Tax) | 27,411.00 | | | **Total** | **47,916,899.09** | -- | [Total Number of Shareholders and Top Ten Shareholders' Holdings at Period-End](index=4&type=section&id=二、报告期末股东总数及前十名股东持股情况表) As of period-end, the company had 15,595 common shareholders, with Xing Hanxue, Wu Jianming, and Xing Hanke as controlling shareholders, most of whose shares are pledged - The total number of common shareholders at the end of the reporting period was **15,595**[11](index=11&type=chunk) Top 10 Shareholders' Holdings | Shareholder Name | Shareholder Nature | Shareholding (%) | Number of Shares Held (shares) | Number of Restricted Shares Held (shares) | Pledge or Freeze Status (shares) | | :--- | :--- | :--- | :--- | :--- | :--- | | Xing Hanxue | Domestic Natural Person | 29.17% | 84,456,629 | 63,342,472 | Pledged 67,943,276 | | Wu Jianming | Domestic Natural Person | 10.14% | 29,345,000 | 22,008,750 | Pledged 17,127,000 | | Xing Hanke | Domestic Natural Person | 9.46% | 27,383,200 | 20,537,400 | Pledged 22,718,172 | | Hu Jing | Domestic Natural Person | 2.81% | 8,131,337 | 0 | 0 | | Kang Enbei Group Co., Ltd. | Domestic Non-State-Owned Legal Person | 2.20% | 6,383,647 | 0 | 0 | | Shanxi Securities - Hangzhou Bank - Shanxi Securities Kail New Materials No. 1 Collective Asset Management Plan | Other | 1.79% | 5,182,858 | 0 | 0 | | Yu Jianying | Domestic Natural Person | 1.54% | 4,456,505 | 0 | 0 | | Mei Yang | Domestic Natural Person | 1.31% | 3,806,200 | 0 | 0 | | Zhou Zhiming | Domestic Natural Person | 0.80% | 2,320,000 | 0 | 0 | | Bi Yingzuo | Domestic Natural Person | 0.79% | 2,277,400 | 0 | 0 | - Xing Hanxue, Wu Jianming, and Xing Hanke are the company's controlling shareholders; Xing Hanxue and Wu Jianming are spouses, and Xing Hanxue and Xing Hanke are brothers[12](index=12&type=chunk) [Changes in Restricted Shares](index=5&type=section&id=3、限售股份变动情况) Restricted shares slightly decreased due to the release of executive restricted shares for Fu Jianyue and Zheng Gentu, while other key executives' restricted shares remained unchanged Changes in Restricted Shares | Shareholder Name | Restricted Shares at Period-Beginning (shares) | Shares Released from Restriction This Period (shares) | Shares Added to Restriction This Period (shares) | Restricted Shares at Period-End (shares) | Reason for Restriction | Planned Release Date | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Xing Hanxue | 63,342,472 | 0 | 0 | 63,342,472 | Executive Restricted Shares | 25% unlocked on the first trading day of the year | | Wu Jianming | 22,008,750 | 0 | 0 | 22,008,750 | Executive Restricted Shares | 25% unlocked on the first trading day of the year | | Xing Hanke | 20,537,400 | 0 | 0 | 20,537,400 | Executive Restricted Shares | 25% unlocked on the first trading day of the year | | Liu Yongzhen | 1,700,625 | 0 | 0 | 1,700,625 | Executive Restricted Shares | 25% unlocked on the first trading day of the year | | Fu Jianyue | 55,500 | 55,500 | 0 | 0 | Executive Restricted Shares; all locked within half a year after resignation upon term expiration | All unlocked six months after resignation upon term expiration (July 26, 2019) | | Zheng Gentu | 9,000 | 9,000 | 0 | 0 | Executive Restricted Shares; if resigned before term expiration, 75% locked within six months after original term expiration | All unlocked six months after original term expiration (July 26, 2019) | | Total | 107,653,747 | 64,500 | 0 | 107,589,247 | -- | -- | Part III Significant Matters [Significant Changes in Key Financial Data and Indicators and Their Reasons](index=7&type=section&id=一、报告期主要财务数据、财务指标发生重大变动的情况及原因) Significant changes occurred across financial statements, with cash and receivables decreasing, contract assets and other non-current assets increasing, and revenue declining due to the pandemic, yet net profit surged from investment and fair value gains, while operating cash flow improved and financing cash flow decreased Significant Balance Sheet Changes | Item | Period-End Balance (CNY ten thousand) | Prior Year-End Balance (CNY ten thousand) | Change Amount (CNY ten thousand) | Change (%) | Analysis of Significant Change Reasons | | :--- | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 5,813.89 | 12,590.90 | -6,777.00 | -53.82% | Repayment of bank loans, payment for share repurchases, and purchase of three-year time deposits | | Accounts Receivable | 14,440.06 | 25,755.14 | -11,315.08 | -43.93% | Reclassified to contract assets due to new revenue standard; increase in cash collection exceeded increase in sales outstanding | | Contract Assets | 9,795.49 | 0.00 | 9,795.49 | 100.00% | Reclassification of previously completed but unsettled assets and rights not meeting unconditional collection criteria due to new revenue standard | | Investment Properties | 713.23 | 531.50 | 181.73 | 34.19% | Increase in factory rentals by subsidiary Hefei Kail | | Construction in Progress | 2,587.27 | 1,937.97 | 649.29 | 33.50% | Increased investment in the company's phase two factory construction | | Other Non-Current Assets | 6,784.30 | 34.48 | 6,749.82 | 19576.20% | Reclassified to contract assets due to new revenue standard; increase in time deposits | | Notes Payable | 2,723.38 | 1,430.41 | 1,292.97 | 90.39% | Increase in bank acceptance bills issued | | Advances from Customers | 67.93 | 7,643.41 | -7,575.48 | -99.11% | Reclassification of some advances from customers to contract liabilities due to new revenue standard | | Contract Liabilities | 9,605.65 | 0.00 | 9,605.65 | 100.00% | Reclassification of some advances from customers due to new revenue standard | | Employee Benefits Payable | 889.49 | 1,789.81 | -900.32 | -50.30% | Payment of year-end bonuses at the beginning of the reporting period | | Taxes Payable | 359.96 | 535.73 | -175.77 | -32.81% | Payment of taxes at the beginning of the reporting period | | Deferred Income Tax Liabilities | 677.18 | 471.57 | 205.61 | 43.60% | Increase in deferred income tax liabilities arising from fair value of trading financial assets and tax basis | | Treasury Stock | 14,915.96 | 8,916.09 | 5,999.87 | 67.29% | Increase in company share repurchases | | Other Comprehensive Income | -135.90 | -82.51 | -53.39 | -64.71% | Decrease in other comprehensive income due to exchange rate changes | Significant Income Statement Changes | Item | Current Period Amount (CNY ten thousand) | Prior Period Amount (CNY ten thousand) | Change Amount (CNY ten thousand) | Change (%) | Analysis of Significant Change Reasons | | :--- | :--- | :--- | :--- | :--- | :--- | | Total Operating Revenue | 3,497.30 | 14,753.30 | -11,256.00 | -76.29% | Affected by COVID-19 pandemic, low production efficiency, delayed resumption of engineering projects | | Operating Cost | 2,210.27 | 10,324.51 | -8,114.24 | -78.59% | Decrease in revenue during the reporting period | | Financial Expenses | 140.34 | 6.60 | 133.73 | 2025.16% | Increase in bank borrowings | | Other Income | 147.93 | 77.28 | 70.65 | 91.43% | Year-on-year increase in government grants | | Investment Income | 1,998.04 | 134.23 | 1,863.82 | 1388.54% | Increase in investment income from selling LEOCH Technology shares | | Including: Investment Income from Associates and Joint Ventures | 0.00 | 65.57 | -65.57 | -100.00% | Long-term equity investment in Jiangxi Xiangsheng Environmental Protection Technology reclassified as held for sale | | Gains from Fair Value Changes | 3,448.12 | -1,405.16 | 4,853.27 | 345.39% | Increase in fair value change gains/losses from listed company shares held | | Credit Impairment Losses | 554.25 | 0.00 | 554.25 | 100.00% | Implementation of new financial instruments standards; better cash collection, reversal of bad debt provisions for receivables | | Asset Impairment Losses | 0.00 | -110.01 | 110.01 | -100.00% | Implementation of new standards, credit impairment losses separately listed | | Gains from Asset Disposal | 0.85 | 0.00 | 0.85 | 100.00% | Gains from disposal of fixed assets | | Non-Operating Income | 4.80 | 30.97 | -26.17 | -84.50% | Indicator changes due to incidental economic activities | | Operating Profit | 5,372.30 | 1,023.30 | 4,349.00 | 425.00% | | | Total Profit | 5,376.75 | 1,053.81 | 4,322.94 | 410.22% | | | Income Tax Expense | 613.69 | 62.58 | 551.11 | 880.60% | Increase in fair value change gains/losses from holding LEOCH Technology shares and investment income from sales | | Net Profit | 4,763.06 | 991.23 | 3,771.83 | 380.52% | | | Net Profit Attributable to Parent Company Shareholders | 4,748.30 | 924.24 | 3,824.06 | 413.75% | | Significant Cash Flow Statement Changes | Item | Current Period Amount (CNY ten thousand) | Prior Period Amount (CNY ten thousand) | Change Amount (CNY ten thousand) | Change (%) | Analysis of Significant Change Reasons | | :--- | :--- | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 1,193.84 | 576.63 | 617.21 | 107.04% | Decrease in sales collection was less than the decrease in various production and operating expenditures | | Net Cash Flow from Investing Activities | 1,335.05 | -768.88 | 2,103.93 | 273.64% | Year-on-year decrease in expenditures for wealth management products | | Net Cash Flow from Financing Activities | -9,045.83 | -5,452.82 | -3,593.01 | -65.89% | Decrease in bank borrowings, decrease in share repurchase expenditures | [Business Review and Outlook](index=9&type=section&id=二、业务回顾和展望) Despite a significant revenue decline due to the pandemic, net profit surged from investment gains; the company plans to focus on enamel materials, pursue organic and external growth, and mitigate risks through diversified development, R&D, and prudent investment [Business Review](index=9&type=section&id=（一）业务回顾) Despite a 76.29% revenue decline in core businesses due to the pandemic, net profit attributable to shareholders increased by 413.75% driven by investment gains and fair value changes from listed shares - During the reporting period, the company's operating revenue was **CNY 34.973 million**, a **76.29%** decrease compared to the prior period[22](index=22&type=chunk) - Net profit attributable to shareholders was **CNY 47.483 million**, a **413.75%** increase compared to the prior period[22](index=22&type=chunk) - Overall performance growth was primarily due to accelerated market expansion in core businesses (though revenue recognition decreased this period due to the pandemic) and increased investment income from external expansion (fair value changes and disposal gains from listed company shares)[22](index=22&type=chunk) [Future Development Outlook](index=9&type=section&id=（二）未来发展展望) The company aims to become a comprehensive manufacturing service provider by focusing on new functional enamel materials, expanding applications in green building and rail transit, and pursuing both organic growth and strategic M&A to enhance profitability - The company's strategy focuses on new functional enamel materials, expanding applications in rail transit, energy conservation, environmental protection, and green building materials[23](index=23&type=chunk) - The goal is to transform from a single manufacturer to a comprehensive manufacturing service provider, establishing a full-产业链 product and service platform[23](index=23&type=chunk) - Development will emphasize both organic growth and external expansion, optimizing business portfolio and profitability through investment and M&A[23](index=23&type=chunk) [Significant Signed Orders and Progress](index=9&type=section&id=重大已签订单及进展情况) The company disclosed significant contracts totaling CNY 402.9335 million, with CNY 122.427 million settled, covering environmental, rail, and construction projects, which are progressing and expected to positively impact future performance Significant Signed Orders and Progress | Disclosure Date | Performing Party | Project Name | Contract Amount (CNY ten thousand) | Project Execution Status | | :--- | :--- | :--- | :--- | :--- | | November 18, 2018 | Kail New Materials | Shandong Laigang Yongfeng Steel Co., Ltd. Environmental Deep Treatment 3 & 4 Sintering Machine Flue Gas Ultra-Low Emission Project | 14,070.00 | Largely completed, CNY 84 million settled, CNY 52.6967 million completed awaiting settlement | | April 22, 2019 | Kail New Materials | Shanghai Rail Transit Line 14 Project Decorative and Installation Materials Supply Enamel Steel Plate Project | 4,584.82 | Revenue not yet recognized | | September 10, 2019 | Kail New Materials | Tai'er Power Generation Wind and Dust Online Monitoring and Adjustment Renovation Procurement Contract | 1,444.00 | Revenue not yet recognized | | November 8, 2019 | Kail New Materials/Shengkai Curtain Wall | Banyin Channel Project Tunnel Wall Decoration Materials Procurement and Installation | 4,180.28 | Revenue of CNY 38.427 million recognized | | November 19, 2019 | Kail New Materials | Zhenhai Power Plant Coal-Fired Unit Relocation and Renovation Project External Heating Network Supporting EPC General Contract for Prefabricated Insulated Pipes and Related Accessories | 5,707.05 | Revenue not yet recognized | | January 7, 2020 | Kail New Materials | Sewage Treatment System Equipment Supply and Installation & Commissioning | 7,287.20 | Revenue not yet recognized | | April 1, 2020 | Shengkai Curtain Wall | Jinhua Asian Games Sub-Village Project Athletes' Village Public Area, Athletes' Village Guest Room Area Curtain Wall Project | 3,020.00 | Revenue not yet recognized | | Total | | | 40,293.35 | CNY 122.427 million settled | [Progress and Impact of Key R&D Projects](index=10&type=section&id=重要研发项目的进展及影响) Seven key R&D projects are underway, including new fire-resistant, graphene, and mirror-effect enamel panels, aiming to enhance product functionality, expand applications, and boost market competitiveness in response to environmental policies and diverse market demands Progress of Key R&D Projects | No. | Project Name | R&D Objective | R&D Progress | Impact on Company's Future Development | | :--- | :--- | :--- | :--- | :--- | | 1 | New Fire-Resistant Decorative Enamel Panel | Responding to energy saving and emission reduction, meeting demands for environmental health, fire safety, easy installation, and personalized customization | Pilot production stage, expected acceptance in July 2021 | Complies with national energy-saving and environmental protection policies, expands product application areas | | 2 | Development of Graphene Titanium Ceramic Enamel Panel | Responding to energy saving and emission reduction, developing new building decorative materials with rich colors and excellent performance | Initial testing stage, expected completion in December 2020 | Responds to energy-saving and emission reduction policies, enhances product functionality, expands market areas | | 3 | Development of an Enamel Art Painting with Special Ceramic Surface Effect | Increases enamel panel surface expression, develops crackle glaze ceramic texture, meets personalized market demands | Initial testing stage, expected completion in December 2020 | Increases enamel panel surface expression, develops new ceramic surface effects, enhances product added value and market competitiveness | | 4 | Development and Application of Production Technology for Ultra-Large Concave Arc Enamel Panels | Reduces tunnel noise, improves traffic environment, enhances aesthetic effect, meets multi-functional demands for tunnel decoration | Initial testing stage, expected completion in December 2020 | Enhances product functionality, meets multi-functional market demands for tunnel decorative materials, improves quality of life | | 5 | Development of Stainless Steel Enamel Panel | Uses stainless steel substrate instead of low carbon steel, develops corrosion-resistant, high-strength enamel panels suitable for harsh environments | Initial testing stage, expected completion in December 2021 | Meets personalized decoration demands, promotes new enamel products to capture high-end markets | | 6 | Development of Green Enamel Panel | Combines with environmental protection industry, develops enamel panels with additional functions such as negative ions, formaldehyde removal, sterilization, and bacteriostasis | Initial testing stage, expected completion in December 2021 | Enhances product functionality, adapts to societal demands for green living, expands market areas | | 7 | Development of Super Mirror Enamel Panel | Eliminates surface defects of enamel panels, achieves ceramic jade texture and mirror effect, enhances product aesthetics and competitiveness | Initial testing stage, expected completion in December 2021 | Enhances product functionality, meets diverse market demands, expands market areas | [Changes and Impact of Top 5 Suppliers](index=12&type=section&id=报告期内公司前%205%20大供应商的变化情况及影响) Top 5 supplier procurement increased, but no single supplier dependency exists, and no related party relationships were found, indicating no significant impact on future operations Top 5 Supplier Procurement | No. | Supplier Name (Jan-Mar 2020) | Procurement Amount (CNY) | Share of Total Procurement (%) | Supplier Name (Jan-Mar 2019) | Procurement Amount (CNY) | Share of Total Procurement (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 1 | First | 13,131,933.58 | 20.26% | First | 5,942,762.97 | 8.26% | | 2 | Second | 6,541,782.08 | 10.09% | Second | 5,535,586.21 | 7.70% | | 3 | Third | 3,766,634.83 | 5.81% | Third | 5,250,000.00 | 7.30% | | 4 | Fourth | 3,578,768.03 | 5.52% | Fourth | 4,950,862.07 | 6.88% | | 5 | Fifth | 2,874,068.93 | 4.43% | Fifth | 1,370,689.66 | 1.91% | | Total | | 29,893,187.44 | 46.12% | Total | 23,049,900.90 | 32.04% | - The company does not have a situation where procurement from a single supplier exceeds **30%** of the total or where it is heavily reliant on a few suppliers[27](index=27&type=chunk) [Changes and Impact of Top 5 Customers](index=12&type=section&id=报告期内公司前%205%20大客户的变化情况及影响) Top 5 customer sales decreased, but no single customer dependency exists, and no related party relationships were found, indicating no significant impact on future operations Top 5 Customer Sales | No. | Customer Name (Jan-Mar 2020) | Sales Amount (CNY) | Share of Total Sales (%) | Customer Name (Jan-Mar 2019) | Sales Amount (CNY) | Share of Total Sales (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 1 | First | 8,501,559.18 | 24.31% | First | 28,336,430.24 | 18.99% | | 2 | Second | 5,485,321.10 | 15.68% | Second | 19,678,124.09 | 13.19% | | 3 | Third | 2,824,495.58 | 8.08% | Third | 10,959,932.11 | 7.35% | | 4 | Fourth | 2,610,619.47 | 7.46% | Fourth | 7,689,655.17 | 5.15% | | 5 | Fifth | 2,079,716.18 | 5.95% | Fifth | 5,396,551.72 | 3.62% | | Total | | 21,501,711.51 | 61.48% | Total | 72,060,693.33 | 48.30% | - The company does not have a situation where sales to a single customer exceed **30%** of the total or where it is heavily reliant on a few customers[28](index=28&type=chunk) [Execution of Annual Operating Plan](index=12&type=section&id=年度经营计划在报告期内的执行情况) The company executed its annual operating plan normally, focusing on innovation, efficiency, new business development, R&D, and M&A, with no significant changes during the reporting period - The company comprehensively enhanced functions such as market marketing, technology R&D, production operations, and integrated management, centered on the theme of 'continuous innovation, volume creation, and efficiency improvement'[29](index=29&type=chunk) - Actively promoted new business development, increased new product R&D efforts, utilized capital platforms to seek innovative business models, and advanced investment and M&A[29](index=29&type=chunk) - During the reporting period, the company's annual operating plan was executed normally, with no significant changes[29](index=29&type=chunk) [Key Risk Factors and Countermeasures](index=13&type=section&id=对公司未来经营产生不利影响的重要风险因素、公司经营存在的主要困难及公司拟采取的应对措施) The company faces risks from macroeconomic changes, R&D, bad debts, and investment returns, planning to mitigate these through policy monitoring, product optimization, cost reduction, R&D, talent acquisition, improved receivables management, and prudent M&A strategies - Risk 1: Risks from changes in national macroeconomic and industry policies. The market demand for the company's main business is closely related to national industry policy guidance and is affected by cyclical macroeconomic fluctuations[29](index=29&type=chunk) - Countermeasures: Continuously monitor policy changes, accelerate diversified product development, optimize product structure, reduce production costs, and explore innovative business models[30](index=30&type=chunk) - Risk 2: Risks of new product development and industrialization not meeting expectations. Rapid technological development and fierce market competition mean a long cycle from new product R&D to generating benefits, facing challenges such as talent shortages and difficulties in expanding marketing channels[31](index=31&type=chunk) - Countermeasures: Continuously monitor industry policies, enhance market judgment and responsiveness, strengthen R&D efficiency, attract high-end talent, and improve core technology R&D capabilities[31](index=31&type=chunk) - Risk 3: Accounts receivable bad debt risk. Many customers are municipal departments or government-backed enterprises, with long project construction cycles and complex settlements, posing a risk of bad debt losses[32](index=32&type=chunk)[33](index=33&type=chunk) - Countermeasures: Rationally allocate funds, plan project progress, strengthen accounts receivable collection and management, and incorporate collection rates into KPI assessments[33](index=33&type=chunk) - Risk 4: Risks of external investment returns not meeting expectations. Investment and M&A may involve inaccurate targeting in terms of industry, market, technology, and management of target companies, potentially leading to investment returns falling short of expectations[34](index=34&type=chunk) - Countermeasures: Formulate investment and M&A plans in conjunction with development strategies, strictly vet projects, engage professional institutions for due diligence, design transaction schemes, and closely monitor post-investment integration and management[34](index=34&type=chunk) [Progress of Significant Matters](index=14&type=section&id=三、重要事项进展情况及其影响和解决方案的分析说明) The company progressed in hydrogen energy, advanced an equity sale, signed major contracts for sewage treatment and curtain wall projects, sold LEOCH Technology shares, and continued its second share repurchase plan, cumulatively repurchasing 5.68% of total shares [Progress in External Investment: Hydrogen Energy Sector Layout](index=14&type=section&id=1、关于对外投资的进展事项) The company plans to invest CNY 6 million in a joint venture with Shanghai Shunhua and Zhejiang New Energy to develop core equipment for integrated oil, hydrogen, and electricity energy stations, marking a significant step in its hydrogen energy strategy - The company plans to establish a new energy equipment joint venture with Shanghai Shunhua and ZN Energy Investment to develop core equipment for integrated oil, hydrogen, and electricity energy stations[35](index=35&type=chunk) - The joint venture's registered capital is **CNY 30 million**, with the company planning a cash contribution of **CNY 6 million**[35](index=35&type=chunk) - This investment represents a further strategic move into the hydrogen energy sector, marking substantial progress[35](index=35&type=chunk) [Progress in Selling Equity in Associate: Xiangsheng Environmental Protection](index=14&type=section&id=2、关于杭州义通投资合伙企业（有限合伙）出售其参股公司股权的事项) The board approved Yitong Investment waiving its pre-emptive right and transferring its 25% equity in Xiangsheng Environmental Protection for CNY 175 million to Huawo Investment, with the transaction ongoing and contractual obligations remaining if not finalized - Yitong Investment waived its pre-emptive right to acquire **51%** equity in Xiangsheng Environmental Protection[36](index=36&type=chunk) - Yitong Investment plans to transfer its **25%** equity in Xiangsheng Environmental Protection to Huawo Investment for a cash consideration of **CNY 175 million**[37](index=37&type=chunk) - This matter is in progress; if not ultimately realized, Huawo Investment must still fulfill its contractual obligations[37](index=37&type=chunk) [Signing of Significant Contracts: Sewage Treatment and Curtain Wall Projects](index=15&type=section&id=3、关于签订重大合同的事项) The company signed two major contracts totaling CNY 72.87202 million for sewage treatment and CNY 30.2 million for a curtain wall project, which are expected to positively impact future operating performance - The company signed a sewage treatment system equipment supply and installation & commissioning contract with Zhejiang Zheda Insigma Information Technology Co., Ltd. for a total of **CNY 72.87202 million**[38](index=38&type=chunk) - Controlling subsidiary Zhejiang Shengkai Curtain Wall Decoration Co., Ltd. signed a Jinhua Asian Games Sub-Village curtain wall project contract for a total of **CNY 30.2 million**[38](index=38&type=chunk) - The successful implementation of these contracts is expected to positively impact the company's operating performance in **2020 and future years**[38](index=38&type=chunk) [Disposal of Equity Assets: LEOCH Technology](index=15&type=section&id=4、关于出售股票资产的事项) The company acquired 5,137,125 LEOCH Technology shares, sold 2,545,810 shares after restriction release, and is authorized to dispose of the remaining 2,591,315 shares (0.92% of total share capital) opportunistically - The company acquired **3,021,838 shares** of LEOCH Technology through asset swap, which later increased to **5,137,125 shares** due to a profit distribution plan[39](index=39&type=chunk)[40](index=40&type=chunk) - From **February 3 to February 4, 2020**, the company sold **2,545,810 shares** of LEOCH Technology through centralized bidding transactions[41](index=41&type=chunk) - As of the disclosure date of this report, the company holds **2,591,315 shares** of LEOCH Technology, representing **0.92%** of its total share capital[42](index=42&type=chunk) [Share Repurchase Progress](index=16&type=section&id=股份回购的实施进展情况) The company is executing its second share repurchase plan, targeting CNY 50-100 million at up to CNY 17.00/share for employee incentives; it repurchased 4,280,296 shares this period, bringing the cumulative total to 16,452,996 shares, or 5.68% of total share capital - The company's second share repurchase plan has a total fund amount of no less than **CNY 50 million** and no more than **CNY 100 million**, with the repurchase price cap adjusted to no more than **CNY 17.00/share**[44](index=44&type=chunk) - During the reporting period, the company repurchased **4,280,296 shares**, with a total transaction amount of **CNY 59,980,697.98**[44](index=44&type=chunk) - As of the disclosure date of this report, the company has cumulatively repurchased **16,452,996 shares**, representing **5.68%** of its total share capital[45](index=45&type=chunk) [Overdue Unfulfilled Commitments](index=17&type=section&id=四、公司实际控制人、股东、关联方、收购人以及公司等承诺相关方在报告期内超期未履行完毕的承诺事项) The company had no overdue unfulfilled commitments from its actual controllers, shareholders, related parties, acquirers, or itself during the reporting period - The company had no overdue unfulfilled commitments during the reporting period[45](index=45&type=chunk) [Comparison Table of Funds Raised Usage](index=17&type=section&id=五、募集资金使用情况对照表) The company reported no usage of raised funds during the reporting period - The company had no usage of raised funds during the reporting period[46](index=46&type=chunk) [Warning of Significant Cumulative Net Profit Changes](index=17&type=section&id=六、预测年初至下一报告期期末的累计净利润可能为亏损或者与上年同期相比发生重大变动的警示及原因说明) The company issued no warnings or explanations regarding potential cumulative net profit loss or significant changes for the period from year-beginning to the end of the next reporting period - The company had no warnings of significant cumulative net profit changes during the reporting period[46](index=46&type=chunk) [Illegal External Guarantees](index=17&type=section&id=七、违规对外担保情况) The company reported no illegal external guarantees during the reporting period - The company had no illegal external guarantees during the reporting period[46](index=46&type=chunk) [Non-Operating Fund Occupation by Controlling Shareholders and Related Parties](index=17&type=section&id=八、控股股东及其关联方对上市公司的非经营性占用资金情况) The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period - The company had no non-operating occupation of funds by controlling shareholders or related parties during the reporting period[48](index=48&type=chunk) Part IV Financial Statements [Financial Statements](index=19&type=section&id=一、财务报表) This section presents the company's Q1 2020 consolidated and parent company financial statements, showing consolidated total assets of CNY 1.258 billion, net profit of CNY 47.6306 million, and operating cash flow of CNY 11.9384 million [Consolidated Balance Sheet](index=19&type=section&id=1、合并资产负债表) As of March 31, 2020, consolidated total assets were CNY 1.258 billion, with decreases in cash and receivables, increases in contract assets and other non-current assets, and shifts in liabilities due to new revenue standards Key Consolidated Balance Sheet Data (March 31, 2020) | Item | March 31, 2020 (CNY) | December 31, 2019 (CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 58,138,910.18 | 125,908,955.71 | | Trading Financial Assets | 85,424,503.97 | 90,362,011.16 | | Accounts Receivable | 144,400,648.03 | 257,551,399.48 | | Contract Assets | 97,954,850.02 | 0 | | Assets Held for Sale | 162,636,533.90 | 162,636,533.90 | | Other Non-Current Assets | 67,842,975.04 | 344,797.22 | | Total Assets | 1,257,516,512.34 | 1,298,125,558.21 | | Short-Term Borrowings | 86,712,840.28 | 114,142,096.53 | | Notes Payable | 27,233,801.90 | 14,304,110.21 | | Advances from Customers | 679,295.14 | 76,434,051.03 | | Contract Liabilities | 96,056,518.49 | 0 | | Total Liabilities | 348,075,496.00 | 373,129,517.97 | | Total Equity Attributable to Parent Company Owners | 904,022,488.08 | 919,480,957.86 | | Total Equity | 909,441,016.34 | 924,996,040.24 | [Parent Company Balance Sheet](index=22&type=section&id=2、母公司资产负债表) As of March 31, 2020, parent company total assets were CNY 1.264 billion, with cash and receivables decreasing, prepayments and contract assets increasing, and liabilities shifting due to new revenue standards Key Parent Company Balance Sheet Data (March 31, 2020) | Item | March 31, 2020 (CNY) | December 31, 2019 (CNY) | | :--- | :--- | :--- | | Cash and Cash Equivalents | 27,526,482.28 | 106,463,921.81 | | Accounts Receivable | 169,865,448.15 | 257,876,447.23 | | Prepayments | 41,664,628.39 | 22,027,446.20 | | Contract Assets | 79,899,722.74 | 0 | | Other Non-Current Assets | 64,370,000.05 | 0 | | Total Assets | 1,264,010,502.57 | 1,293,749,258.84 | | Short-Term Borrowings | 85,688,215.28 | 113,128,846.53 | | Notes Payable | 27,233,801.90 | 14,304,110.21 | | Advances from Customers | 82,453.30 | 31,636,847.25 | | Contract Liabilities | 36,667,505.01 | 0 | | Total Liabilities | 288,932,107.89 | 304,858,322.57 | | Total Equity | 975,078,394.68 | 988,890,936.27 | [Consolidated Income Statement](index=24&type=section&id=3、合并利润表) Consolidated total operating revenue significantly decreased to CNY 34.973 million, but net profit surged to CNY 47.6306 million, with CNY 47.483 million attributable to parent company owners, driven by investment and fair value gains, resulting in basic EPS of CNY 0.1721 Key Consolidated Income Statement Data (Current Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Total Operating Revenue | 34,973,001.18 | 147,533,006.68 | | Total Operating Costs | 42,741,998.63 | 124,263,420.27 | | Financial Expenses | 1,403,381.66 | 66,036.63 | | Other Income | 1,479,319.13 | 772,773.96 | | Investment Income | 19,980,444.74 | 1,342,286.91 | | Gains from Fair Value Changes | 34,481,162.25 | -14,051,564.02 | | Credit Impairment Losses | 5,542,505.81 | 0 | | Operating Profit | 53,722,982.78 | 10,232,972.31 | | Total Profit | 53,767,455.05 | 10,538,137.36 | | Net Profit | 47,630,568.34 | 9,912,306.78 | | Net Profit Attributable to Parent Company Owners | 47,483,002.47 | 9,242,402.98 | | Basic Earnings Per Share (CNY/share) | 0.1721 | 0.0325 | | Diluted Earnings Per Share (CNY/share) | 0.1721 | 0.0325 | [Parent Company Income Statement](index=27&type=section&id=4、母公司利润表) Parent company operating revenue significantly decreased to CNY 25.2201 million, but net profit surged to CNY 48.5765 million, driven by substantial increases in investment income and fair value change gains Key Parent Company Income Statement Data (Current Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Operating Revenue | 25,220,096.15 | 102,950,634.59 | | Operating Cost | 15,285,008.73 | 70,600,020.92 | | Financial Expenses | 1,705,609.57 | 29,193.37 | | Other Income | 1,152,278.40 | 537,103.23 | | Investment Income | 19,980,444.74 | 556,169.87 | | Gains from Fair Value Changes | 34,481,162.25 | -14,051,564.02 | | Credit Impairment Losses | 5,017,987.55 | 0 | | Operating Profit | 54,673,313.78 | 4,987,163.39 | | Total Profit | 54,721,166.88 | 5,296,121.44 | | Net Profit | 48,576,529.84 | 4,911,068.19 | [Consolidated Cash Flow Statement](index=29&type=section&id=5、合并现金流量表) Consolidated net cash flow from operating activities increased by 107.04% to CNY 11.9384 million, investing activities turned positive to CNY 13.3505 million, while financing activities significantly decreased to -CNY 90.4583 million due to reduced borrowings and share repurchases Key Consolidated Cash Flow Statement Data (Current Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 11,938,354.21 | 5,766,307.94 | | Net Cash Flow from Investing Activities | 13,350,516.88 | -7,688,813.08 | | Net Cash Flow from Financing Activities | -90,458,283.76 | -54,528,181.27 | | Net Increase in Cash and Cash Equivalents | -65,126,043.09 | -56,536,511.67 | | Cash and Cash Equivalents at Period-End | 55,093,709.30 | 32,784,494.57 | [Parent Company Cash Flow Statement](index=31&type=section&id=6、母公司现金流量表) Parent company net cash flow from operating activities turned to a -CNY 5.4442 million outflow, investing activities increased to CNY 14.6015 million, and financing activities significantly decreased to -CNY 85.4573 million Key Parent Company Cash Flow Statement Data (Current Period) | Item | Current Period Amount (CNY) | Prior Period Amount (CNY) | | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | -5,444,202.01 | 8,584,452.66 | | Net Cash Flow from Investing Activities | 14,601,494.43 | 38,264,306.75 | | Net Cash Flow from Financing Activities | -85,457,283.76 | -54,572,988.12 | | Net Increase in Cash and Cash Equivalents | -76,293,437.09 | -7,706,528.71 | | Cash and Cash Equivalents at Period-End | 25,006,492.32 | 21,043,454.59 | [Explanation of Financial Statement Adjustments](index=33&type=section&id=二、财务报表调整情况说明) Effective January 1, 2020, the company adopted new revenue standards, adjusting opening financial statements by reclassifying certain receivables and inventory to contract assets, advances to contract liabilities, and restating offsets, impacting various asset, liability, and equity accounts - The company first adopted new revenue standards effective **January 1, 2020**[77](index=77&type=chunk)[79](index=79&type=chunk) - Key adjustments included reclassifying completed but unsettled assets previously in inventory and rights to receive consideration not meeting unconditional collection criteria from accounts receivable to 'contract assets'[77](index=77&type=chunk)[79](index=79&type=chunk) - Reclassified received contract consideration to 'contract liabilities' and restated the net amount after offsetting original accounts receivable and advances from customers[77](index=77&type=chunk)[79](index=79&type=chunk) Consolidated Balance Sheet Adjustments (January 1, 2020) | Item | December 31, 2019 (CNY) | January 1, 2020 (CNY) | Adjustment Amount (CNY) | | :--- | :--- | :--- | :--- | | Accounts Receivable | 257,551,399.48 | 184,965,296.29 | -72,586,103.19 | | Inventory | 245,967,283.18 | 197,636,005.27 | -48,331,277.91 | | Contract Assets | 0 | 99,425,678.21 | 99,425,678.21 | | Deferred Income Tax Assets | 14,454,116.27 | 14,887,195.00 | 433,078.73 | | Other Non-Current Assets | 344,797.22 | 26,120,008.02 | 25,775,210.80 | | Advances from Customers | 76,434,051.03 | 636,711.28 | -75,797,339.75 | | Contract Liabilities | 0 | 82,938,039.10 | 82,938,039.10 | | Surplus Reserve | 43,284,457.91 | 43,045,421.64 | -239,036.27 | | Retained Earnings | 262,016,164.07 | 259,846,376.38 | -2,169,787.69 | [Adjustments for First-Time Adoption of New Revenue Standards](index=33&type=section&id=1、2020%20年起首次执行新收入准则、新租赁准则调整首次执行当年年初财务报表相关情况) First-time adoption of new revenue standards led to adjustments in consolidated and parent company balance sheets, reclassifying receivables, inventory, and advances to contract assets/liabilities, and impacting deferred tax assets, other non-current assets, surplus reserve, and retained earnings - The implementation of the new revenue standard does not require restatement of prior comparable figures[77](index=77&type=chunk)[79](index=79&type=chunk) - Adjustments resulted in a **CNY 4.7166 million** increase in consolidated total assets, a **CNY 7.1407 million** increase in total liabilities, and a **CNY 2.4241 million** decrease in total equity[76](index=76&type=chunk) - Adjustments resulted in a **CNY 3.8503 million** increase in parent company total assets, a **CNY 6.2407 million** increase in total liabilities, and a **CNY 2.3904 million** decrease in total equity[78](index=78&type=chunk)[79](index=79&type=chunk) [Audit Report](index=36&type=section&id=三、审计报告) The company's first quarter report remains unaudited - The company's first quarter report is unaudited[80](index=80&type=chunk)

Financial Performance - The company reported significant growth in revenue, with a year-on-year increase of 25% for the first half of 2019[1]. - Total revenue for the reporting period reached ¥271,912,490.31, an increase of 181.09% compared to the same period last year[28]. - Net profit attributable to shareholders was ¥36,000,922.41, reflecting a significant increase of 5,095.57% year-over-year[28]. - The net profit after deducting non-recurring gains and losses was ¥39,488,719.30, a turnaround from a loss of ¥10,101,283.49 in the previous year, marking a 490.93% improvement[28]. - Basic and diluted earnings per share were both ¥0.1273, up 5,204.17% from ¥0.0024 in the same period last year[28]. - The weighted average return on equity increased to 3.91%, up 3.84 percentage points from 0.07% year-over-year[28]. - The company achieved operating revenue of 271.91 million yuan, an increase of 181.09% year-on-year, and a net profit attributable to shareholders of 36.00 million yuan, up 5095.57% year-on-year[49]. - The company reported a net cash flow from operating activities of -¥13,733,295.62, an improvement of 31.24% from -¥19,971,647.91 in the previous year[28]. Assets and Liabilities - The total assets of the company reached RMB 1.5 billion, reflecting a 15% increase compared to the previous year[1]. - Total assets at the end of the reporting period were ¥1,218,374,419.07, representing a 3.08% increase from the end of the previous year[28]. - Net assets attributable to shareholders decreased by 2.23% to ¥898,149,797.54 compared to the end of the previous year[28]. - Accounts receivable increased by CNY 7.60 million, a rise of 33.72%, mainly due to the acceptance of bills and an increase in the ending inventory of bills during the reporting period[57]. - The company reported a significant increase in short-term borrowings, rising to CNY 83,000,000.00 from CNY 10,000,000.00, an increase of 730%[199]. - The total liabilities increased to CNY 317,671,208.06 from CNY 262,359,815.62, reflecting a growth of approximately 21.1%[200]. Research and Development - The company plans to enhance its R&D capabilities, focusing on new functional enamel materials to drive future growth[6]. - The company has a total of 101 R&D personnel, showcasing strong technical capabilities and professional reserves in various fields[69]. - Research and development investment amounted to RMB 9,360,327.63, which is 3.44% of the company's revenue, reflecting a 37.70% increase from RMB 6,797,623.06 in the previous year[85]. - The company plans to continue increasing R&D efforts and accelerate the development of new products and technologies to strengthen its core competitiveness[66]. - The company is focusing on developing new functional enamel materials, including fireproof decorative enamel boards and graphene titanium ceramic enamel boards, to diversify its product offerings[78]. Market Strategy and Expansion - The company has expanded its scale through both organic growth and acquisitions, increasing the number of subsidiaries and joint ventures[10]. - The company is actively involved in the production of air preheaters, which are essential for energy conservation in coal-fired power plants[20]. - The company is focusing on high-end property clients for its enamel board facade materials, collaborating with renowned architectural design firms to promote product features and applications[40]. - The company aims to expand its production capacity based on future market opportunities, particularly in the industrial protective enamel materials segment[48]. - The company is transitioning from a component supplier to a system integrator and equipment manufacturer in the energy-saving and environmental protection sector, enhancing its competitive edge[52]. Challenges and Risks - The accounts receivable turnover rate is a concern, with potential risks due to the long construction cycles and complex payment processes associated with government projects[9]. - The company is facing challenges in talent acquisition and marketing channel expansion as it explores new business areas[6]. - The company has implemented measures to improve accounts receivable management, including linking collection rates to employee performance evaluations[9]. - The company continues to lead in the domestic market for new functional enamel materials, focusing on technological innovation and market expansion[37]. Shareholder and Equity Information - The company does not plan to distribute cash dividends or issue bonus shares for the current fiscal year[13]. - The company has repurchased a total of 12,172,700 shares, accounting for 4.20% of the total share capital, with a total transaction amount of RMB 89,134,119.57[82]. - The company’s major shareholder, Xing Hanxue, plans to reduce his holdings by up to 16,641,713 shares, which is no more than 6% of the total share capital after excluding repurchased shares[170]. - The first phase of the employee stock ownership plan was completed, with a total of 5,182,858 shares purchased at a total cost of approximately RMB 103.36 million[143]. Subsidiaries and Investments - The company holds a 99% stake in Huai'an Mofeng Technology Co., Ltd., a key subsidiary established through external investment in 2018[19]. - The company has established a partnership with Ningbo Meishan Bonded Port Area Kaier Cultural Investment Partnership, holding a 99.9% share[19]. - The company has a strategic investment in Wochi Technology, holding a 9.78% stake, and has transferred this stake for RMB 99,720,700, resulting in 5,137,124 shares of Lian Technology[79]. - The subsidiary Hefei Kaier Environmental Protection reported a net loss of approximately RMB 346,760.45, indicating challenges in profitability[125]. Compliance and Governance - The half-year financial report has not been audited[137]. - The company has adhered to all commitments made to minority shareholders without any violations[142]. - There were no significant litigation or arbitration matters during the reporting period[140]. - The company has not faced any penalties or rectification issues during the reporting period[141].