Financial Performance - The company's operating revenue for 2018 was ¥423,039,858.12, representing a 16.42% increase compared to ¥363,361,457.43 in 2017[31]. - The net profit attributable to shareholders for 2018 was ¥42,139,729.97, up 14.37% from ¥36,845,829.49 in 2017[31]. - The net profit after deducting non-recurring gains and losses was ¥35,701,650.11, a 14.04% increase from ¥31,305,044.64 in 2017[31]. - The company's total assets at the end of 2018 were ¥536,261,365.68, reflecting a 6.06% increase from ¥505,636,916.30 at the end of 2017[31]. - The net assets attributable to shareholders increased by 7.40% to ¥437,679,465.15 at the end of 2018 from ¥407,539,735.18 at the end of 2017[31]. - The basic earnings per share for 2018 was ¥0.35, a 12.90% increase compared to ¥0.31 in 2017[31]. - The company reported a net cash flow from operating activities of ¥13,931,147.26, down 30.56% from ¥20,062,885.71 in 2017[31]. - The company received government subsidies amounting to ¥5,378,845.55 in 2018, compared to ¥3,464,235.85 in 2017[37]. - The company achieved operating revenue of CNY 423.04 million, a year-on-year increase of 16.42%[97]. - The net profit attributable to shareholders was CNY 42.14 million, reflecting a growth of 14.37% compared to the previous year[85]. Research and Development - The company emphasizes the need for continuous R&D investment to maintain competitive advantages and meet customer demands for product performance[8]. - The company has maintained its focus on the R&D and production of electronic chemicals, including PCB photoresists and specialty inks, with applications across various electronic industries[40]. - The company adopts a primary self-research model while also collaborating with external technology resources for product development[44]. - The company has established a unified management system for R&D, led by a technical director and project managers, focusing on market demand and product performance improvement[45]. - The company has engaged a Japanese technical expert as a senior technical advisor for the development of photoresist products, accelerating the market introduction of these products[46]. - Research and development expenses amounted to CNY 21.58 million, representing 5.1% of operating revenue[86]. - Research and development investment amounted to ¥21,582,171.13 in 2018, accounting for 5.10% of operating revenue, with a total of 65 R&D personnel, representing 19.23% of the workforce[121]. Market and Competition - The company is exposed to competition from both local and foreign firms, which may lead to further declines in gross profit margins if not addressed[9]. - The company faces risks related to concentrated product application fields, primarily in the PCB and flat panel display industries, which may affect operational performance during market fluctuations[7]. - The company is actively monitoring the market for potential risks associated with economic downturns that could impact the PCB and flat panel display sectors[7]. - The company expects continuous growth in the PCB ink industry driven by the expansion of the computer, communication equipment, and consumer electronics sectors[58]. - The demand for photoresist is anticipated to increase significantly due to the rapid development of integrated circuits and related applications[59]. - The company has a strong competitive edge in technology, having mastered core technologies in resin synthesis and photosensitive agent synthesis, which are critical for the production of electronic photosensitive chemical materials[69]. - The company has completed the basic formula design and customer validation for high-resolution positive photoresist for flat panel displays, successfully obtaining small batch orders[120]. Production and Operations - The company has launched mid-to-low-end products in photoresist but faces challenges in developing high-end products due to technical and financial constraints[8]. - The company's production plans are based on market demand, inventory levels, and past sales performance, with adjustments made for specialized ink products based on customer orders[50]. - The company has implemented a "product + service" solution strategy, enhancing customer loyalty and ensuring product quality through rapid formula adjustments and technical support[78]. - The company plans to address capacity constraints by launching a new production line for PCB photoresist ink with an annual capacity of 10,000 tons by June 2019, and a production line for photoresists and supporting chemicals with an annual capacity of 1,000 tons by mid-2020[163]. - The company has developed and started mass production of colored photoresist for 3D curved glass, applying for 2 patents, enhancing brand recognition in the mobile phone sector[117]. Financial Management and Dividend Policy - The company plans to distribute a cash dividend of 1.00 yuan per 10 shares (including tax) based on a total of 120 million shares[13]. - The distributable profit for the company is CNY 166,388,522.57[178]. - The total cash dividend amount accounts for 100.00% of the profit distribution[178]. - The cash dividend plan for 2018 is CNY 12,000,000.00, distributed at CNY 1.00 per 10 shares[179]. - In 2018, the cash dividend represented 28.48% of the net profit attributable to ordinary shareholders[179]. - The company has committed to a minimum cash dividend ratio of 20% for profit distribution during its growth phase[178]. - The company has maintained a consistent cash dividend distribution strategy over the past three years[179]. Investment and Funding - The company has not reported any significant changes in the use of raised funds, with a total of ¥13,972.36 million raised through IPO, of which ¥5,685.27 million has been utilized[137]. - The company raised a total of RMB 164.8 million by issuing 20 million shares at RMB 8.24 per share, with a net amount of RMB 139.72 million after deducting issuance costs[138]. - The actual usage of raised funds during the reporting period was RMB 56.85 million, with a total investment amount of RMB 280.25 million planned for the projects[139]. - The PCB photosensitive ink project has achieved an investment progress of 102.56% as of June 30, 2019, with a cumulative investment of RMB 102.56 million[140]. - The company has not sold any significant assets or equity during the reporting period[152][153]. Strategic Focus - The company is focusing on developing environmentally friendly electronic chemicals in response to stricter regulations and market demands for non-toxic products[158]. - The company is committed to expanding its market presence by pursuing both organic growth and strategic acquisitions of complementary businesses[168]. - The company emphasizes the importance of personalized customer demands, leading to increased requirements for R&D support and technical services from suppliers[160]. - The company is transitioning towards the mid-to-high-end market segment in response to industry consolidation trends and the need for specialized products[161]. - The company aims to create a competitive high-end brand in the photoresist chemical materials sector by continuously innovating and improving product quality[162].

Financial Performance - Operating revenue for the reporting period was ¥114,551,198.93, representing a year-on-year increase of 22.17%[7] - Net profit attributable to shareholders decreased by 4.25% to ¥11,902,861.66 compared to the same period last year[7] - Net profit attributable to shareholders after deducting non-recurring gains and losses increased by 26.31% to ¥11,495,381.69[7] - Basic earnings per share remained unchanged at ¥0.10, while diluted earnings per share also remained at ¥0.10[7] - The weighted average return on equity decreased by 0.31% to 2.83% for the reporting period[7] - The total operating revenue for the third quarter was CNY 114,551,198.93, an increase of 22.1% compared to CNY 93,766,928.48 in the same period last year[34] - The total operating costs amounted to CNY 100,307,857.72, up 21.0% from CNY 82,864,731.67 year-on-year[34] - The net profit for the period was CNY 11,902,861.66, a decrease of 4.3% from CNY 12,430,907.06 in the previous year[36] - The total comprehensive income attributable to the parent company was ¥11,902,861.66, compared to ¥12,430,907.06 in the previous period, reflecting a decrease of approximately 4.2%[40] - The company's operating revenue for the current period reached ¥113,371,349.08, an increase from ¥92,544,808.68 in the previous period, representing a growth of approximately 22.4%[39] - The net profit for the current period was ¥5,756,746.15, down from ¥9,916,008.71 in the previous period, indicating a decline of about 42.5%[40] - The company's total operating costs were ¥89,839,272.33, an increase from ¥70,175,885.47 in the previous period, marking a rise of about 27.0%[39] - The operating profit for the current period was ¥6,693,594.65, down from ¥11,359,001.99 in the previous period, a decrease of approximately 41.5%[40] - The company reported a total profit of ¥6,772,642.53, compared to ¥11,665,892.60 in the previous period, indicating a decline of about 42.9%[40] - The total operating revenue for the year-to-date period was ¥311,174,323.99, up from ¥260,140,839.27 in the previous year, representing an increase of approximately 19.6%[43] - The net profit for the year-to-date period was ¥31,156,638.17, slightly up from ¥31,120,936.62 in the previous year, showing a marginal increase of about 0.1%[45] Assets and Liabilities - Total assets increased by 4.20% to ¥526,863,132.08 compared to the end of the previous year[7] - The company's total assets increased to ¥526,863,132.08, up from ¥505,636,916.30[28] - The company's total assets reached CNY 517,875,816.75, compared to CNY 503,230,603.54 at the beginning of the period, reflecting a growth of 2.6%[32] - The total liabilities increased to CNY 175,545,146.41, up from CNY 169,231,133.54, indicating a rise of 3.7%[32] - Cash and cash equivalents decreased to CNY 28,807,134.54 from CNY 40,849,029.86, representing a decline of 29.5%[31] - Accounts receivable rose to CNY 215,822,182.96, an increase of 11.7% from CNY 193,222,565.43[31] - The company's inventory increased to CNY 39,324,389.07, up from CNY 36,368,133.84, marking an increase of 8.1%[31] - The company's tax payable increased by 155.94% to ¥6,198,024.47 due to a significant rise in income tax[15] Cash Flow - Cash flow from operating activities decreased by 56.47% to ¥7,374,924.58 year-to-date[7] - Cash received from government subsidies increased by 68.21% to ¥10,461,858.55, including the recovery of construction deposits[18] - Cash flow from investment activities increased by 800% to ¥180 million due to multiple redemptions of financial products[18] - Cash paid for purchasing goods and services rose by 53.04% to ¥65,280,532.23, driven by increased payment methods[18] - The cash flow from operating activities generated a net amount of CNY 7.37 million, a significant decrease from CNY 16.94 million in the previous period, representing a decline of approximately 56.5%[49] - The company reported cash inflows from investment activities of CNY 182.10 million, a substantial increase from CNY 21.78 million in the previous period[51] - Cash outflows from investment activities totaled CNY 178.85 million, compared to CNY 142.45 million in the previous period, indicating an increase of about 25.5%[51] - The net cash flow from financing activities was negative at CNY -11.25 million, an improvement from CNY -27.65 million in the previous period[51] - The ending cash and cash equivalents balance is CNY 50.95 million, slightly down from CNY 51.55 million in the previous period[52] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 8,551[11] - The top shareholder, Lin Haiwang, holds 13.60% of the shares, with a total of 16,318,773 shares, of which 12,620,000 are pledged[11] Research and Development - The R&D expenses for the quarter were CNY 5,583,338.77, slightly up from CNY 5,346,194.79, indicating a focus on innovation[34] - Research and development expenses for the current period amounted to ¥4,731,148.04, slightly up from ¥4,580,954.16 in the previous period[39] - Research and development expenses increased to CNY 13.62 million from CNY 12.42 million, reflecting a growth of approximately 9.7%[47] Government Subsidies - The company received government subsidies amounting to ¥5,303,020.84 during the year[8] - Operating income from non-operating activities surged by 1,039.47% to ¥4,031,819.83, attributed to government listing subsidies of ¥3.5 million received during the period[16]

Financial Performance - Total revenue for the first half of 2018 was CNY 196,623,125.06, representing an increase of 18.18% compared to CNY 166,373,910.79 in the same period last year[19]. - Net profit attributable to shareholders was CNY 19,253,776.51, a 3.02% increase from CNY 18,690,029.56 year-on-year[19]. - Net profit after deducting non-recurring gains and losses decreased by 26.69% to CNY 13,360,487.19 from CNY 18,224,554.64 in the previous year[19]. - Net cash flow from operating activities was CNY 6,069,726.82, down 40.56% from CNY 10,210,886.31 in the same period last year[19]. - The company reported a total profit of CNY 23,331,229.11, slightly up from CNY 22,531,825.58 in the same period last year[147]. - Operating profit decreased to CNY 19,425,222.61, down 13.4% from CNY 22,538,654.28 in the previous year[147]. - The company reported a net profit of CNY 4.45 million, indicating a positive financial performance[82]. - The gross profit margin for the main business decreased from 35.08% in 2016 to 27.24% by June 2018, reflecting increased market competition[86]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 515,605,062.93, an increase of 1.97% from CNY 505,636,916.30 at the end of the previous year[19]. - The company's total current assets decreased to CNY 371,156,718.82 from CNY 390,487,977.43, representing a decline of about 4.3%[138]. - The total liabilities of the company were CNY 100,811,551.24, up from CNY 98,097,181.12, which is an increase of approximately 2.8%[139]. - The total equity attributable to the owners of the parent company was CNY 414,793,511.69, compared to CNY 407,539,735.18 at the beginning of the period, reflecting an increase of about 1.8%[140]. - The company's inventory increased to CNY 60,195,659.49 from CNY 57,204,766.81, representing a growth of approximately 3.5%[137]. Research and Development - R&D expenses amounted to 10.59 million yuan, accounting for 5.38% of total revenue, indicating a strong commitment to innovation[53]. - The company launched LDI circuit ink, leading a new generation of production processes that enhance efficiency and reduce costs for PCB manufacturers[53]. - The company has developed new high-performance solder mask inks for 5G communication substrates and automotive circuit boards, with some products already validated by clients[53]. - The company has developed three main product series: PCB photosensitive inks, photoresists, and specialty inks, with applications in various fields such as PCB manufacturing, flat panel displays, and semiconductor production[28]. Market Position and Strategy - The company has a market share of approximately 7% in the domestic PCB photoresist market, which is expected to grow in the coming years[54]. - The company plans to focus on expanding the market for photoresist and specialty inks, particularly targeting key customers and developing potential clients[55]. - The company maintains a direct sales model to establish long-term relationships with major PCB manufacturers, ensuring a stable market presence[36]. - The company anticipates that the demand for high-end electronic materials will continue to diversify and evolve rapidly, driven by competition and consumer upgrades in the terminal market[38]. Risks and Challenges - The company faces risks including concentrated product application areas and market competition affecting gross margins[4]. - The company faces risks related to concentrated product application fields, particularly in the PCB and flat panel display industries[84]. - Raw material costs accounted for over 93% of the main business costs, highlighting the impact of material price fluctuations on profitability[88]. Shareholder Information - The total number of shares is 120 million, with 66.74% being limited shares and 33.26% being unrestricted shares[120]. - The largest shareholder, Lin Haiwang, holds 13.60% of the shares, totaling 16,318,773 shares[122]. - The total number of ordinary shareholders at the end of the reporting period is 8,355[122]. - The company has not distributed cash dividends or bonus shares for the half-year period[92]. Cash Flow and Investments - Cash and cash equivalents at the end of the period amounted to CNY 64,418,854.68, compared to CNY 54,191,437.93 at the end of the previous period, representing an increase of about 18.5%[156]. - Investment cash inflow reached CNY 131,790,205.49, significantly higher than CNY 20,866,273.98 in the prior period, marking an increase of approximately 530.5%[156]. - The company invested a total of ¥107,281,749.71 in fundraising projects, with ¥30,600,722.73 used during the reporting period, including ¥27,804,044.39 for PCB photoresist ink projects[56]. Corporate Governance - The company has not reported any significant factors affecting its ability to continue as a going concern[177]. - The financial statements are prepared in accordance with the accounting standards issued by the Ministry of Finance, ensuring a true and complete reflection of the company's financial status[179]. - The company has three subsidiaries under its consolidated financial statements, with no changes in the scope of consolidation during the reporting period[175].

Financial Performance - Total revenue for the first half of 2018 was CNY 196,623,125.06, representing an increase of 18.18% compared to CNY 166,373,910.79 in the same period last year[19]. - Net profit attributable to shareholders was CNY 19,253,776.51, a 3.02% increase from CNY 18,690,029.56 year-on-year[19]. - Net profit after deducting non-recurring gains and losses decreased by 26.69% to CNY 13,360,487.19 from CNY 18,224,554.64 in the previous year[19]. - Net cash flow from operating activities was CNY 6,069,726.82, down 40.56% from CNY 10,210,886.31 in the same period last year[19]. - The basic and diluted earnings per share remained unchanged at CNY 0.16[19]. - The weighted average return on equity decreased to 4.62% from 4.82% in the previous year[19]. - The company reported a total profit of CNY 23,331,229.11, a slight increase from CNY 22,531,825.58 year-on-year[147]. - Tax expenses for the period were CNY 4,077,452.60, compared to CNY 3,841,796.02 in the previous year, reflecting a 6.1% increase[147]. Assets and Liabilities - Total assets at the end of the reporting period were CNY 515,605,062.93, an increase of 1.97% from CNY 505,636,916.30 at the end of the previous year[19]. - Total liabilities increased to CNY 100,811,551.24 from CNY 98,097,181.12, marking an increase of approximately 2.76%[139]. - Owner's equity rose to CNY 414,793,511.69 from CNY 407,539,735.18, showing an increase of about 1.84%[140]. - Accounts receivable rose to CNY 172,935,550.10, accounting for 33.54% of total assets, driven by increased sales[66]. - Current assets decreased to CNY 371,156,718.82 from CNY 390,487,977.43, a decline of about 4.27%[138]. Research and Development - R&D expenses amounted to 10.59 million yuan, accounting for 5.38% of total revenue, indicating a strong commitment to innovation[53]. - The company has established a research and development model that combines independent research with external collaboration, including hiring a Japanese technical expert to accelerate the development of photoresist products[33]. - The company is focusing on expanding its market presence and enhancing its product offerings through ongoing research and development initiatives[149]. Market Position and Strategy - The company has maintained its focus on the research, production, and sales of electronic chemicals, specifically PCB photosensitive inks, photoresists, and specialty inks, without any changes in its main business during the reporting period[27]. - The company has a market share of approximately 7% in the PCB photoresist market, which is expected to grow in the coming years[54]. - The company anticipates that the demand for high-end electronic chemical materials will continue to diversify and evolve rapidly due to increasing competition and consumer upgrades in the terminal market[38]. - The company has established a strong customer base in the PCB industry, maintaining long-term relationships with several large and medium-sized manufacturers[47]. Investment and Capital Management - The company invested ¥30,600,722.73 from raised funds during the reporting period, with ¥27,804,044.39 allocated to PCB photoresist ink projects[56]. - The total amount of raised funds is RMB 139.72 million, with RMB 30.60 million invested during the reporting period[70]. - The company has a commitment to use raised funds strictly for the promised investment projects[76]. - The company has not sold any major assets or equity during the reporting period[81]. Cash Flow - Operating cash inflow totaled CNY 94,955,712.48, an increase from CNY 81,571,923.78 in the previous period, reflecting a growth of approximately 16.5%[155]. - The net cash flow from investment activities was CNY 18,031,691.63, a recovery from a negative CNY 111,287,486.01 in the prior period[156]. - The company reported a net increase in cash and cash equivalents of CNY 12,853,879.53, contrasting with a decrease of CNY 128,723,921.47 in the previous period[156]. Shareholder Information - The total number of shares is 120 million, with 66.74% being limited sale condition shares[121]. - The largest shareholder, Lin Haiwang, holds 13.60% of the shares, totaling 16,318,773 shares[122]. - The total number of ordinary shareholders at the end of the reporting period is 8,355[122]. Compliance and Governance - The company adheres to the accounting standards set by the Ministry of Finance, ensuring that financial statements accurately reflect its financial status and operating results[178]. - The financial report for the half-year period has not been audited[135]. - The company has not engaged in any major related party transactions during the reporting period[103].

Financial Performance - Total operating revenue for Q1 2018 was ¥91,478,147.92, representing a 23.73% increase compared to ¥73,931,251.92 in the same period last year[7] - Net profit attributable to shareholders decreased by 7.88% to ¥8,684,464.09 from ¥9,426,989.14 year-on-year[7] - Net profit attributable to shareholders after deducting non-recurring gains and losses fell by 26.53% to ¥6,602,401.60 from ¥8,986,205.76 in the previous year[7] - Basic earnings per share decreased by 12.50% to ¥0.07 from ¥0.12 year-on-year[7] - The total comprehensive income for Q1 2018 was ¥8,684,464.09, down from ¥9,426,989.14 in the same period last year[48] - The net profit for Q1 2018 was ¥6,016,388.80, a decrease of 11.93% from ¥6,831,268.69 in Q1 2017[49] Cash Flow and Assets - The net cash flow from operating activities was ¥2,885,973.55, down 10.71% from ¥3,232,052.84 in the same period last year[7] - The company's cash and cash equivalents at the end of the reporting period were CNY 50,454,964.82, a decrease from CNY 51,564,975.15 at the beginning of the period[36] - Cash flow from investment activities showed a net outflow of ¥992,837.54, compared to a much larger outflow of ¥120,846,210.26 previously[56] - The company reported a cash inflow from investment activities of ¥365,342.46, with cash outflow for fixed assets at ¥1,358,180.00[56] - The company experienced a net increase in cash and cash equivalents of ¥224,807.74, contrasting with a significant decrease of ¥136,136,295.43 in the previous period[57] Operating Costs and Expenses - Operating costs increased by 36.43% to 66.18 million RMB due to increased sales and rising raw material prices[21] - The total operating costs for Q1 2018 were ¥70,283,108.95, an increase of 27.67% from ¥55,048,998.51 in Q1 2017[48] - Financial expenses decreased by 92.61% to -0.25 million RMB due to reduced interest income from idle funds[21] Assets and Liabilities - Total assets at the end of the reporting period were ¥521,267,963.13, an increase of 3.09% from ¥505,636,916.30 at the end of the previous year[7] - Total liabilities reached CNY 172,050,020.84, up from CNY 169,231,133.54[42] - The company's equity attributable to shareholders was CNY 340,015,858.80, compared to CNY 333,999,470.00 at the start of the period[42] Risks and Market Conditions - The company faces risks related to concentrated product application fields, new product development, and market competition affecting gross margins[10][11][12] - Raw material costs accounted for over 93% of the company's main business costs, exposing the company to risks from price fluctuations in key materials[15] - The electronic chemical industry is expected to benefit from national policies promoting strategic emerging industries, creating significant market opportunities[23] - Domestic companies are gradually replacing foreign firms in the PCB ink market, with local products gaining recognition[24] Investments and Projects - The company invested 15.07 million RMB in fixed assets, intangible assets, and other long-term assets, a 241.60% increase[21] - The total amount of raised funds for the quarter was CNY 1,300.66 million, with a cumulative total of CNY 13,972.36 million[29] - The cumulative amount of raised funds used for projects reached CNY 8,968.76 million, representing 64.2% of the total raised funds[29] - The investment in the PCB photoresist ink project was CNY 1,155.55 million, achieving 70.42% of the planned investment[29] - The investment in the photolithography materials and supporting chemicals project was CNY 130.4 million, achieving 43.36% of the planned investment[29] - The research and development center project received CNY 14.71 million, achieving 53.72% of the planned investment[29] Other Information - The company has not reported any non-operating fund occupation by controlling shareholders or related parties during the reporting period[32] - The company has not undergone an audit for the first quarter report[58] - The report was issued by the legal representative Lin Haiwang on April 25, 2018[59]

Financial Performance - The company's operating revenue for 2017 was CNY 363,361,457.43, representing a year-over-year increase of 15.89% compared to CNY 313,532,834.36 in 2016[23]. - The net profit attributable to shareholders for 2017 was CNY 36,845,829.49, which is a 7.86% increase from CNY 34,162,098.42 in 2016[23]. - The company's basic earnings per share for 2017 was CNY 0.31, down 8.82% from CNY 0.57 in 2016[23]. - The weighted average return on equity for 2017 was 9.38%, a decrease of 5.42% from 14.80% in 2016[23]. - The company's cash and cash equivalents decreased from CNY 182.92 million at the beginning of 2017 to CNY 51.57 million at the end of 2017, primarily due to investments in bank wealth management products[55]. - The company's total equity increased from CNY 80 million at the beginning of 2017 to CNY 120 million at the end of 2017, reflecting a significant capital increase through stock conversion[56]. - The company's cash dividend represented 32.57% of the net profit attributable to ordinary shareholders, which was RMB 36,845,829.49[144]. - The company has maintained a consistent cash dividend policy, with previous years showing cash dividends of RMB 15,000,000 in 2015 and RMB 8,000,000 in 2016[144]. Market and Industry Trends - The market demand for high-performance PCB and flat panel displays has increased, driven by the growth of mobile communication technology and electronic devices[5]. - The electronic chemical industry is characterized by high added value and strict quality requirements, impacting the performance of electronic components[47]. - The company anticipates continued growth in the PCB ink industry driven by advancements in information technology and urbanization[48]. - The domestic demand for photoresist is expected to increase significantly due to the rapid development of the integrated circuit and display industries[49]. - The company operates in a concentrated market, primarily serving the PCB and flat panel display industries, which are susceptible to market fluctuations[5]. Research and Development - The company emphasizes the need for continuous R&D investment to maintain competitive advantages and meet customer demands for product performance[6]. - R&D expenses amounted to 19.59 million yuan, representing 5.39% of operating revenue[69]. - The company focuses on self-research and development, complemented by external technical collaborations, to enhance product performance and stability[37]. - The company aims to enhance its product quality and technological upgrades to meet the demands of the electronic industry[32]. - The company has developed a new sulfur-free liquid photoresist solder mask ink, which has been tested and is now being used by several PCB manufacturers[90]. Production and Capacity - The company has significantly increased its construction in progress from CNY 31.84 million at the beginning of 2017 to CNY 54.41 million at the end of 2017, indicating a substantial investment in fundraising projects[55]. - The company is currently constructing two production lines with an annual capacity of 10,000 tons for PCB photoresist ink and 1,000 tons for photoresist and supporting chemicals, expected to be fully operational by the end of 2018[130]. - The company has initiated the development of high-performance thick positive photoresist, which has begun small-scale production and is successfully applied in domestic high-power LED chip manufacturing, aiming to replace imported products[102]. Risk Factors - The company faces risks related to product development, particularly in developing high-end photoresists, which require significant technical and financial resources[6]. - The company acknowledges the risk of declining gross margins due to intensified competition from both domestic and foreign firms[8]. - The company has reported a net cash flow from operating activities decreased by 51.09% to CNY 20,062,885.71 in 2017, down from CNY 41,023,354.63 in 2016[23]. Corporate Governance and Compliance - The company has committed to fulfilling its obligations regarding shareholder returns as per the guidelines set by regulatory authorities[151]. - The company has established a priority purchase right for its subsidiaries regarding any competitive business interests that may arise in the future[150]. - The company has committed to not transferring shares during the period of related party relationships, ensuring stability in ownership[150]. - The company has reiterated its commitment to transparency and legal responsibility in all business dealings[150]. Strategic Initiatives - The company is focusing on mergers and acquisitions to improve its strategic layout and maintain its leading position in the electronic photoresist chemical industry[133]. - The company plans to enhance its digital marketing strategy, aiming for a 25% increase in online sales over the next year[148]. - The company is considering strategic acquisitions to enhance its technology portfolio, with potential targets identified in the semiconductor sector[148].

Financial Performance - Operating revenue for the reporting period was ¥93,766,928.48, reflecting a year-on-year growth of 12.19%[7] - Net profit attributable to shareholders rose by 12.48% to ¥12,430,907.06[7] - The net profit for the third quarter of 2017 was CNY 12,430,907.06, compared to CNY 11,051,866.12 in the previous year, reflecting an increase of about 12.47%[36] - The company's operating revenue for the third quarter reached ¥256,192,681.78, an increase from ¥223,229,788.69 in the previous period[47] - The total profit for the third quarter was ¥37,239,747.10, an increase from ¥32,740,112.16 in the previous year[45] Assets and Liabilities - Total assets at the end of the reporting period reached ¥495,672,135.62, an increase of 2.61% compared to the previous year[7] - Total liabilities amounted to CNY 165,532,849.01, slightly up from CNY 162,164,207.81, reflecting a growth of 2.3%[33] - Non-current assets totaled CNY 189,983,508.66, significantly up from CNY 69,815,714.55 at the beginning of the period, indicating a growth of 171.5%[32] - Cash and cash equivalents decreased to CNY 42,297,050.96 from CNY 177,491,175.69, a decline of 76.1%[31] Shareholder Equity - Net assets attributable to shareholders increased by 6.17% to ¥401,814,842.30[7] - Owner's equity increased to CNY 329,895,216.91 from CNY 313,818,398.72, representing a rise of 5.1%[33] Cash Flow - Cash flow from operating activities showed a significant decline of 54.73%, totaling ¥16,940,957.24[7] - Net cash flow from operating activities decreased by 54.73% from CNY 37,419,183.20 to CNY 16,940,957.24, also due to increased payments for raw materials[18] - The company reported a cash flow from operating activities of ¥16,940,957.24, a decrease from ¥37,419,183.20 in the previous period[51] - Total cash inflow from operating activities was ¥162,340,913.09, up from ¥122,439,996.35, reflecting a growth of 32.5%[53] Earnings Per Share - Basic and diluted earnings per share were both ¥0.10, down 44.44% compared to the same period last year[7] - Basic earnings per share decreased by 43.48% from CNY 0.46 to CNY 0.26, resulting from an increase in share capital[17] - Basic earnings per share for the third quarter were ¥0.26, down from ¥0.46 in the previous year[45] Investment Activities - Investment income reached CNY 1,781,835.62, a 100.00% increase, as the company utilized idle funds to purchase financial products[17] - The company invested ¥120,000,000.00 in cash for investment activities, reflecting a strategic push for growth[53] Operating Costs - Operating expenses for purchasing goods and services increased by 107.00% from CNY 20,607,045.61 to CNY 42,656,197.02, attributed to tight raw material supply[18] - Total operating costs for Q3 2017 were CNY 82,864,731.67, up from CNY 71,350,747.34 in the previous year, reflecting a year-on-year increase of 16.2%[35] Other Financial Metrics - The weighted average return on net assets was 3.14%, a decrease of 35.92% year-on-year[7] - The company reported non-recurring gains totaling ¥3,795,108.09 for the year-to-date period[8] - The company incurred a tax expense of ¥6,118,810.48 for the third quarter, compared to ¥5,158,850.78 in the previous year[45] - The financial expenses for the third quarter of 2017 showed a net income of CNY -148,078.39, a significant improvement from CNY 225,080.29 in the previous year[36] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 10,324[11]

Financial Performance - The company reported a comprehensive gross profit margin of 35.08% for 2016, indicating a steady increase from 32.79% in 2014 and 33.74% in 2015[10]. - Total revenue for the reporting period was ¥166,373,910.79, an increase of 15.33% compared to ¥144,260,498.99 in the same period last year[26]. - Net profit attributable to shareholders was ¥18,690,029.56, reflecting a growth of 13.07% from ¥16,529,395.26 year-on-year[26]. - Net profit after deducting non-recurring gains and losses was ¥18,224,554.64, up 13.38% from ¥16,073,747.07 in the previous year[26]. - Operating profit reached RMB 22.54 million, reflecting a growth of 13.52% compared to the previous year[53]. - The company reported a total profit of CNY 22,531,825.58, up from CNY 20,390,762.84, marking an increase of 10.5%[150]. - The company achieved operating revenue of RMB 166.37 million, a year-on-year increase of 15.33%[53]. - The company reported a significant increase in cash and cash equivalents, which rose by 298.57% to CNY 54,191,437.93, mainly due to the influx of raised funds[61]. Cash Flow and Liquidity - Net cash flow from operating activities decreased by 45.75% to ¥10,210,886.31 from ¥18,823,495.79 in the same period last year[26]. - The net cash flow from operating activities was CNY 10,210,886.31, a decrease of 45.4% compared to CNY 18,823,495.79 in the previous period[157]. - Cash and cash equivalents decreased significantly from CNY 177,491,175.69 to CNY 36,945,974.56, a decline of about 79.2%[145]. - The company reported a significant increase in cash outflow for investment activities, totaling CNY 132,153,759.99, compared to CNY 7,640,291.25 in the previous period, leading to a net cash flow of -CNY 111,287,486.01[158]. - The company incurred cash outflows of CNY 27,647,321.77 from financing activities, compared to CNY 23,292,415.83 in the previous period, indicating a 19.3% increase in cash outflows[158]. Research and Development - The company’s R&D efforts are critical for maintaining competitive advantage, with a focus on increasing investment to enhance product development capabilities[6]. - Research and development expenses amounted to RMB 9.22 million, representing 5.54% of operating revenue[54]. - The company has developed mid-range photoresist products but faces challenges in developing high-end products due to technical and financial constraints[6]. - The company has a dedicated R&D system aimed at developing new products and improving product performance based on market demand[36]. Market and Industry - The company’s products are primarily used in the PCB and flat panel display industries, which are subject to market fluctuations that could affect performance[8]. - The company’s revenue growth is influenced by the demand for high-performance PCBs and flat panel displays driven by advancements in mobile communication technology[8]. - The company is actively expanding into the photoresist and specialty ink markets, with several potential clients already in the sample testing or negotiation stages[56]. Corporate Governance and Compliance - The company is at risk of losing its high-tech enterprise status, which would increase its corporate income tax rate from 15% to 25%, potentially impacting net profit[9]. - The company has implemented strict management and confidentiality agreements to protect its core technologies, but risks of leakage still exist[5]. - The company has maintained compliance with environmental regulations, but future changes in laws may require additional investments in environmental protection[11]. - The company has not reported any major safety incidents during the reporting period, but safety risks remain a concern in the handling of chemical materials[12]. Shareholder and Capital Structure - The company plans to not distribute cash dividends or bonus shares for the first half of 2017[14]. - The total share capital increased from 80 million shares to 120 million shares after a 5-for-1 bonus share distribution and a cash dividend of RMB 1.00 per 10 shares, totaling RMB 8 million[117]. - Major shareholders include Lin Haiwang with 13.60% and Yang Yuchun with 12.92% of the total shares[122]. - The company has a registered capital of 120,000,000 CNY and a total issued share capital of 12,000,000 shares[174]. Investment and Projects - The company invested RMB 10.22 million in construction projects, primarily for the Huizhou photosensitive production base[43]. - The total investment in projects amounted to CNY 220,250,000.00, with CNY 58,502,037.98 raised so far[58]. - The investment progress for the PCB photosensitive ink project is 41.72%, with a total investment of RMB 4.17 million[75]. - The investment progress for the photolithography materials and supporting chemicals project is 31.69%, with a total investment of RMB 0.63 million[75]. Financial Reporting and Audit - The half-year financial report has not been audited[93]. - The company’s financial statements are prepared based on the continuous operation principle and comply with the relevant accounting standards[176]. - The company includes all subsidiaries in its consolidated financial statements, reflecting a comprehensive view of its financial health[186]. Legal and Regulatory Matters - The company has not faced any significant litigation or arbitration matters during the reporting period[96]. - The company has not conducted any significant asset or equity acquisitions during the reporting period[102]. - The company has not engaged in any major related party transactions during the reporting period[101].

Financial Performance - The company's net profit attributable to shareholders is expected to be between 8.21 million and 9.70 million RMB, representing a year-on-year increase of 10% to 30%[3] - The net profit for the same period last year was 7.46 million RMB[3] - The company anticipates a non-recurring gain impact on net profit of between 400,000 and 600,000 RMB, primarily from government subsidies received during the period[5] Business Operations - The company has steadily advanced its business operations, achieving good growth in sales scale compared to the previous year[5] - The financial data for the first quarter of 2017 will be detailed in the company's upcoming quarterly report[7]

Financial Performance - The company's operating revenue for 2016 was CNY 313,532,834.36, representing a 13.20% increase compared to CNY 276,978,370.60 in 2015 [26]. - The net profit attributable to shareholders for 2016 was CNY 34,162,098.42, a 2.58% increase from CNY 33,302,828.63 in 2015 [26]. - The net cash flow from operating activities increased by 23.77% to CNY 41,023,354.63 in 2016, up from CNY 33,145,504.95 in 2015 [26]. - The total assets at the end of 2016 reached CNY 483,054,156.95, a significant increase of 69.43% from CNY 285,104,325.90 at the end of 2015 [26]. - The company's net assets attributable to shareholders rose by 73.08% to CNY 378,469,471.68 at the end of 2016, compared to CNY 218,666,807.20 at the end of 2015 [26]. - The basic earnings per share for 2016 was CNY 0.57, a slight increase of 1.79% from CNY 0.56 in 2015 [26]. - The company achieved a revenue of 313.53 million yuan in 2016, representing a 13.2% increase compared to the previous year [69]. - The net profit attributable to shareholders was 34.16 million yuan, reflecting a 2.58% growth year-on-year [69]. - The revenue from PCB ink accounted for 94.99% of total revenue, amounting to CNY 297.83 million, with a year-on-year growth of 14.90% [77]. Research and Development - The company must continuously enhance its R&D capabilities to maintain its competitive advantage and meet increasing customer demands for product performance [6]. - R&D expenses amounted to 17.59 million yuan, accounting for 5.61% of total revenue, indicating a commitment to innovation [70]. - The company aims to enhance its R&D capabilities and has set a goal to develop high-end photosensitive chemical materials, increasing the number of patents and improving product quality [120]. - The company is focusing on expanding its market presence in the photoresist and specialty ink sectors, aiming to become a leading international manufacturer of photosensitive chemical materials [72]. - The company continues to focus on the R&D and production of electronic chemicals, including PCB photosensitive inks and specialty inks, which are critical for the electronics industry [36]. Market Position and Strategy - The company holds approximately 7% market share in the domestic PCB photoresist market, with a sales volume of 9,648.56 tons in 2016, up 21.31% from 2015 [71]. - The company has established long-term stable relationships with major domestic PCB manufacturers, enhancing its understanding of market demand and technology standards [46]. - The company aims to enhance its market presence and expand its product offerings in the electronic chemical materials sector [36]. - The company has launched mid-to-low-end products in photoresist but faces challenges in developing high-end products due to technical and financial constraints [6]. - The company anticipates continued growth in the PCB ink industry driven by the expansion of information technology and urbanization in China [52]. Corporate Governance and Compliance - The company has optimized its governance structure and improved management levels, enhancing internal control systems and employee training [75]. - The company emphasizes compliance with relevant regulations regarding share reductions, including methods such as centralized bidding and block trades [135]. - The company will ensure that all transactions with controlled entities are conducted at fair market prices [137]. - The company has a long-term commitment to comply with all relevant laws and regulations regarding stock trading and disclosures [136]. - The company has maintained a clean record with no penalties or rectifications during the reporting period [146]. Environmental and Safety Considerations - The company is exposed to environmental risks, as stricter regulations may require increased investment in environmental compliance [12]. - The company emphasizes the importance of environmental protection in product development, aligning with stricter regulations on harmful substances in electronic products [115]. - The company has implemented strict internal management and safety protocols, resulting in no major safety incidents during the reporting period [14]. Shareholder Relations and Dividends - The company plans to distribute cash dividends of RMB 1.00 per 10 shares, totaling RMB 8,000,000.00 for the fiscal year 2016 [127]. - The cash dividend represents 23.42% of the net profit attributable to ordinary shareholders, which is RMB 34,162,098.42 for 2016 [131]. - The company has maintained a cash dividend payout ratio of 100% for the current fiscal year [128]. - The company has a history of increasing cash dividends, with the previous year's payout being RMB 1.65 per 10 shares [129]. - The company ensures that minority shareholders' rights are protected and that they have opportunities to express their opinions [126]. Management and Workforce - The company employed a total of 315 staff, including 135 in the parent company and 179 in major subsidiaries [193]. - The professional composition of employees includes 104 production personnel, 102 sales personnel, 59 technical personnel, 14 financial personnel, 31 administrative personnel, and 5 others [193]. - The company has established a comprehensive welfare system to attract and retain talent, aligning employee performance with corporate goals [195]. - The company adheres to a fair and competitive salary policy, with compensation determined based on job responsibilities and performance evaluations [194]. - The company has a diverse management team with backgrounds in various industries, including chemical engineering and finance [183][184][185][187].