Financial Performance - The company's operating revenue for the first half of 2022 was ¥220,742,886.41, representing a 32.12% increase compared to ¥167,076,735.71 in the same period last year[18]. - The net loss attributable to shareholders was ¥8,373,139.48, a slight improvement of 5.81% from a loss of ¥8,889,690.38 in the previous year[18]. - The net cash flow from operating activities was negative at ¥125,620,105.74, a significant decline of 930.05% compared to a positive cash flow of ¥15,134,102.21 in the same period last year[18]. - Total assets increased by 51.56% to ¥1,158,716,839.47 from ¥764,534,399.45 at the end of the previous year[18]. - The net assets attributable to shareholders rose by 111.90% to ¥760,317,253.24 from ¥358,808,701.75 at the end of the previous year[18]. - Basic and diluted earnings per share were both reported at -¥0.0236, an improvement of 12.59% from -¥0.0270 in the same period last year[18]. - The company's main business revenue for the first half of 2022 was CNY 203.55 million, a decrease from CNY 330.97 million in 2021, with a significant drop in direct store sales contributing to this decline[49]. - The revenue from the self-owned channel (group purchases) accounted for 61.95% of total sales in the first half of 2022, indicating a strong reliance on this sales channel[49]. - The gross profit margin for leather and footwear products was reported at 21.57%, with a slight increase of 0.20% year-on-year[71]. - The company reported a significant decrease in financial expenses by 32.96%, amounting to ¥4,664,368.66, attributed to reduced borrowing costs and increased interest income[68]. Market Strategy and Operations - The company is focusing on expanding its market presence and enhancing its product offerings, although specific new products or technologies were not detailed in the report[3]. - The company operates in the leather goods industry, focusing on the research, design, production, and sales of leather products, with a significant presence in ODM for international brands[26]. - The company has established a multi-brand strategy with three proprietary brands: "Wanlima," "Saint Jack," and "COOME," catering to different market segments and consumer preferences[30]. - The company’s sales strategy includes direct sales, e-commerce, and agency channels, targeting both group purchasing and fashion consumer segments[31]. - The company aims to strengthen partnerships with renowned international brands to expand its market presence and product range[30]. - The company has established five main sales channels: group purchasing, direct sales, e-commerce, wholesale agents, and ODM, driving steady revenue growth[38]. - The company has invested 2.55 million yuan to establish a subsidiary, Hangzhou Yudao Technology Co., Ltd., to expand its e-commerce business and enhance cross-border e-commerce operations[44]. - The e-commerce department operates independently, focusing on online sales through platforms like Taobao, Tmall, JD.com, and Vipshop, leveraging the rapid growth of e-commerce[42]. - The company plans to continue expanding its sales network while avoiding market cannibalization among its direct and agent stores[45]. - The company is focusing on improving the operational efficiency of its direct sales channels due to rising rental and operational costs[47]. Product Development and Innovation - The company has a strong focus on developing customized products for group purchasing clients, particularly in specialized military and protective gear[40]. - The company aims to leverage its strengths in design, development, and production to enhance its competitive position in the market[38]. - The company is focusing on product innovation, particularly in the outdoor and sports categories, to capture a larger market share[81]. - The company has a robust R&D design capability, collaborating with international design teams to stay aligned with fashion trends and enhance product offerings[62]. - Research and development investment increased by 7.62% to ¥11,633,847.01, indicating a commitment to innovation and product development[68]. Financial Management and Investments - The company plans to use up to CNY 30,000 million of idle raised funds temporarily to supplement working capital[95]. - The total amount of raised funds is CNY 58,338.55 million, with CNY 2,692.64 million invested during the reporting period[91]. - The cumulative amount of raised funds invested to date is CNY 3,088.56 million, with no changes in the use of raised funds reported[91]. - The company has ongoing partnerships with various brands, focusing on expanding its product offerings in the skincare and fashion sectors[83]. - The company has committed to a stable profit distribution policy, emphasizing reasonable returns for investors while ensuring sustainable development[138]. Environmental and Social Responsibility - The company has implemented effective measures for waste gas, wastewater, and noise management during production, passing environmental inspections[132]. - There were no administrative penalties due to environmental issues during the reporting period, and the company upgraded equipment to achieve standard emissions[133]. - The company has gradually increased the proportion of biodegradable materials in sole materials to reduce environmental pollution[133]. - The company donated 1 million yuan to the Sichuan earthquake relief in 2008 and 200,000 yuan to the Dongguan Red Cross in 2017, demonstrating its commitment to social responsibility[135]. - During the COVID-19 pandemic, the company donated protective masks and disinfectants to various public safety departments[135]. Shareholder and Governance Matters - The company plans to issue shares and list on the ChiNext board, with commitments to long-term shareholding and compliance with relevant regulations[138]. - The profit distribution policy will take effect following the public offering and listing of shares[138]. - The company will ensure that the cash balance is sufficient for proposed cash dividends[139]. - The company will notify and announce any intended share reductions three trading days in advance[138]. - The company will strictly adhere to the regulations regarding the declaration of shareholding changes by its directors and senior management[138]. Legal and Compliance Issues - The company faced a lawsuit regarding the alleged infringement of a well-known product name, with a claim amounting to 50 million yuan[149]. - Other ongoing litigation cases during the reporting period involved amounts totaling 864.17 thousand yuan[150]. - The company did not engage in any significant related party transactions during the reporting period[151]. - There were no asset or equity acquisitions or sales involving related party transactions during the reporting period[152].

Financial Performance - The company reported a significant loss due to a decline in group purchasing sales, which accounted for 61.54% of total revenue in 2021, down from 76.53% in 2020 and 70.60% in 2019[5]. - Group purchasing sales amounted to 203.68 million yuan in 2021, a decrease from 261.67 million yuan in 2020 and 476.54 million yuan in 2019[5]. - The company's operating revenue for 2021 was ¥339,287,548.81, a decrease of 1.25% compared to ¥343,593,789.63 in 2020[23]. - The net profit attributable to shareholders was -¥130,952,249.05, an improvement of 9.82% from -¥145,205,499.79 in the previous year[23]. - The total assets at the end of 2021 were ¥764,534,399.45, down 27.44% from ¥1,053,633,083.92 at the end of 2020[23]. - The net assets attributable to shareholders decreased by 26.70% to ¥358,808,701.75 from ¥489,535,047.10 in 2020[23]. - The basic earnings per share for 2021 was -¥0.3972, an improvement of 14.65% from -¥0.4654 in 2020[23]. - The company reported a quarterly revenue of ¥111,479,338.14 in Q4 2021, with a net profit of -¥94,711,841.94[26]. - The company received government subsidies amounting to ¥2,412,217.70 in 2021, compared to ¥1,190,084.88 in 2020[29]. Market Trends and Industry Analysis - The overall industry is experiencing intensified competition, but the footwear and apparel sector remains a significant consumer industry with growth potential as the pandemic is effectively controlled[7]. - The leather goods industry in China is characterized by a low entry barrier and a highly competitive market, with many small and medium-sized enterprises present[35]. - In 2021, the revenue of the leather, fur, and footwear industry reached CNY 1,105.72 billion, with a year-on-year growth of 8.2%[43]. - The profit total for the leather goods industry in 2021 was CNY 57.74 billion, reflecting a year-on-year increase of 1.5%[43]. - The consumer spending on clothing and footwear in 2021 was CNY 1,384.2 billion, showing a year-on-year growth of 12.7%[47]. - The average disposable income per capita in China was CNY 35,128 in 2021, with a nominal growth of 9.1% year-on-year[47]. - The leather industry is currently facing challenges due to the impact of the COVID-19 pandemic, leading to reduced consumer spending and increased demand for medical protective supplies[47]. - The market for mid-to-high-end leather goods is rapidly growing, with brands like Wanlima and Belle International leading the segment[40]. - The overall leather industry sentiment index was reported at 89.42 in December 2021, indicating a cooling trend in the market[44]. Company Strategy and Operations - The company is focusing on risk management and strategies to address potential operational challenges in the future[9]. - The company has indicated a focus on expanding its market presence and enhancing product development strategies moving forward[33]. - The company is positioned to benefit from the "military-civilian integration" strategy, with single-soldier protective equipment expected to become a new growth driver[57]. - The company has developed multiple sales channels, including group purchasing, direct sales, e-commerce, and wholesale, with group purchasing showing strong growth potential[57]. - The company aims to enhance brand recognition and user interaction while rapidly achieving digital transformation to improve operational efficiency[59]. - The company has established a multi-brand structure with three proprietary brands and multiple agency brands, focusing on differentiated market needs[67]. - The company has signed exclusive online sales rights for AUPRES/欧珀莱 cosmetics on Douyin, enhancing its market presence in the beauty sector[66]. - The company aims to enhance its market coverage by rapidly expanding its wholesale agent channels, selecting high-quality agents based on operational efficiency and credibility[82]. - The company has integrated its online and offline channels through the acquisition of Chaoqi Technology, enhancing its e-commerce sales potential[79]. Product Development and Quality Control - The company emphasizes quality control by supervising external production processes and conducting strict quality inspections before products enter the warehouse[73]. - The company collaborates with well-known domestic and international suppliers, ensuring high production capacity and stable product quality[70]. - The company’s product offerings include a diverse range of bags, shoes, and accessories, with a focus on both self-production and external manufacturing partnerships[72]. - The company has a robust R&D team that aligns product launches with luxury brand timelines, enhancing market competitiveness[94]. - The procurement of raw materials is strictly controlled, with a focus on quality and compliance with international standards[96]. - The company aims to enhance its product technology and competitiveness through collaborations with universities and research institutions[101]. Financial Management and Investment - The company has committed to investing a total of ¥12,759,000 in the smart manufacturing upgrade project, with ¥12,029,700 already invested[157]. - The company plans to use up to ¥17,000,000 of idle fundraising for temporary working capital, with a usage period not exceeding 12 months[154]. - The company has experienced delays in project progress primarily due to the impact of the COVID-19 pandemic[157]. - The total amount raised from the issuance of convertible bonds was ¥180,290,000, with a net amount of ¥172,987,142.45 after deducting issuance costs[153]. - The company has temporarily used 50 million RMB of idle raised funds to supplement working capital, with a remaining balance of 169.9147 million RMB as of December 31, 2021[160]. Challenges and Risks - The company has identified risks related to economic fluctuations that could impact consumer demand for leather goods, emphasizing the need to enhance brand value to mitigate these risks[178]. - The company reported accounts receivable of 454.87 million, 405.24 million, and 247.21 million CNY at the end of 2019, 2020, and 2021, respectively, indicating a potential risk to cash flow and financial stability[182]. - The company will strengthen accounts receivable management and collection to improve capital turnover efficiency[183]. - The company has accumulated a rich supplier resource to mitigate the risk of raw material price fluctuations, which include leather, lining, and hardware accessories[184]. Store and Sales Channel Management - The company reported a total of 57 retail stores at the end of 2021, down from 85 at the beginning of the year, indicating a closure of 28 stores[84]. - The direct sales channel saw a reduction in profitability due to the impact of e-commerce and rising rental costs, leading to adjustments in underperforming stores[84]. - The company closed 29 stores during the reporting period, including 5 direct-operated and 24 franchised stores, due to insufficient foot traffic[108]. - The number of terminal stores decreased due to increased closures, impacting sales channels significantly[87]. - The company has adjusted its direct sales strategy by closing underperforming stores to improve overall operational efficiency and profitability[180].

Financial Performance - The company's operating revenue for Q1 2022 was ¥121,806,872.85, representing a 17.01% increase compared to ¥104,097,960.63 in the same period last year[3] - The net profit attributable to shareholders decreased by 49.98% to ¥1,649,975.65 from ¥3,298,899.46 year-on-year[3] - The company reported a net loss of CNY 192,398,205.42, slightly improved from a loss of CNY 194,048,181.07 in the previous year[15] - The total profit for Q1 2022 was CNY 2,848,106.93, down 39.5% from CNY 4,706,965.26 in the same period last year[18] - Operating profit for Q1 2022 was CNY 2,558,367.47, a decline of 45.4% from CNY 4,687,676.05 in Q1 2021[18] - The company reported a total comprehensive income of CNY 2,601,077.99 for Q1 2022, down 22.5% from CNY 3,357,956.05 in the previous year[19] - Basic and diluted earnings per share for Q1 2022 were both CNY 0.005, compared to CNY 0.01 in Q1 2021[19] Cash Flow and Liquidity - The net cash flow from operating activities was negative at -¥11,895,768.07, a decline of 140.76% compared to ¥29,188,456.56 in the previous year[7] - The cash flow from operating activities showed a net outflow of CNY 11,895,768.07, compared to a net inflow of CNY 29,188,456.56 in Q1 2021[21] - Cash and cash equivalents at the end of the quarter were CNY 430,356,122.90, a substantial increase from CNY 35,906,965.42 at the beginning of the year[12] - Cash and cash equivalents at the end of Q1 2022 amounted to CNY 428,826,133.82, an increase from CNY 70,710,329.37 at the end of Q1 2021[22] - The total cash inflow from financing activities in Q1 2022 was CNY 510,527,103.29, significantly higher than CNY 61,000,000.00 in Q1 2021[22] Assets and Liabilities - Total assets increased by 60.73% to ¥1,228,815,850.22 from ¥764,534,399.45 at the end of the previous year[3] - Total current assets increased to CNY 966,119,354.97 from CNY 497,030,709.87 at the beginning of the year, representing a growth of 94.4%[13] - Total liabilities rose to CNY 840,345,348.90, compared to CNY 380,065,476.12 at the start of the year, indicating a significant increase of 109.9%[14] - The company's total liabilities increased significantly, with other payables rising by 3284.35% to ¥454,613,301.77 due to funds raised from issuing A-shares[6] Shareholder Information - The number of ordinary shareholders at the end of the reporting period was 20,163[9] Government Support - The company received government subsidies amounting to ¥140,784.29 during the reporting period[5] Revenue and Costs - Total operating costs for the first quarter amounted to CNY 121,120,449.11, up 18.4% from CNY 102,267,235.30 in the same period last year[17] - Gross profit for the first quarter was CNY 686,423.74, reflecting a decrease from the previous year's gross profit margin[17] - The company experienced a decrease in sales revenue, with cash received from sales of goods and services at CNY 54,121,180.04, down from CNY 154,467,889.69 in Q1 2021[20]

Financial Performance - The company's operating revenue for the third quarter was ¥60,731,474.96, a decrease of 45.81% compared to the same period last year[3] - The net profit attributable to shareholders was -¥27,350,716.73, reflecting a decline of 99.61% year-on-year[3] - The basic earnings per share for the third quarter was -¥0.0830, down 89.93% year-on-year[3] - The weighted average return on equity was -5.86%, a decrease of 3.10% compared to the previous year[3] - The company reported a net loss of CNY 99,336,339.13 for the period, compared to a loss of CNY 63,095,932.02 in the previous year[17] - The net profit for Q3 2021 was -36,788,404.11 CNY, compared to -68,161,134.13 CNY in Q3 2020, showing an improvement of approximately 46% year-over-year[20] - Operating profit for Q3 2021 was -47,690,005.60 CNY, an improvement from -67,646,916.88 CNY in the same period last year[20] - The company reported a total comprehensive loss of -36,732,091.77 CNY for Q3 2021, compared to -68,062,746.05 CNY in Q3 2020[21] Cash Flow and Liquidity - The net cash flow from operating activities for the year-to-date was ¥26,899,695.56, an increase of 141.09% compared to the previous year[3] - The cash flow from operating activities generated a net amount of 26,899,695.56 CNY, a significant recovery from -65,468,950.87 CNY in the previous year[25] - Cash and cash equivalents decreased to CNY 32,994,521.93 from CNY 102,571,135.98 at the end of 2020, representing a decline of 67.8%[15] - Cash and cash equivalents at the end of Q3 2021 were 24,100,500.58 CNY, down from 66,249,111.20 CNY at the end of Q3 2020[25] Assets and Liabilities - Total assets decreased by 17.65% to ¥867,632,904.94 compared to the end of the previous year[4] - Total assets as of September 30, 2021, were CNY 867,632,904.94, down from CNY 1,053,633,083.92 at the end of 2020, a decrease of 17.6%[16] - Total liabilities decreased to CNY 388,166,888.73 from CNY 537,434,975.94, a reduction of 28%[17] - Total liabilities reached CNY 537,434,975.94, with current liabilities at CNY 534,348,202.67 and non-current liabilities at CNY 3,086,773.27[29] - The company's total equity decreased to CNY 479,466,016.21 from CNY 516,198,107.98, a decline of 7.1%[17] - The company's equity totaled CNY 516,198,107.98, with attributable equity to shareholders at CNY 489,535,047.10[30] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 22,380[10] - The company has a negative retained earnings of CNY -63,095,932.02, reflecting accumulated losses[30] Government Support and Expenses - The company reported a significant increase in government subsidies, with other income rising by 92.49% to ¥1,698,669.31[9] - Research and development expenses increased to 22,574,867.74 CNY from 17,983,430.05 CNY, reflecting a growth of approximately 25% year-over-year[20] - The company incurred financial expenses of 11,333,017.58 CNY, a decrease from 13,525,102.96 CNY in the previous year[20] Other Financial Metrics - The company experienced a 100% increase in lease liabilities due to the recognition of right-of-use assets under new leasing standards[9] - The total cash outflow from financing activities was 261,473,805.74 CNY, compared to 226,243,955.09 CNY in Q3 2020, indicating an increase in financing costs[25] - The report was not audited, which may affect the reliability of the financial data presented[31] - The company has a deferred tax asset of CNY 47,901,002.51, which could provide future tax benefits[28]

Financial Performance - The company's operating revenue for the first half of 2021 was CNY 167,076,735.71, representing a 5.54% increase compared to CNY 158,313,346.17 in the same period last year[21]. - The net profit attributable to shareholders of the listed company improved significantly to a loss of CNY 8,889,690.38, an 83.88% reduction from a loss of CNY 55,150,245.60 in the previous year[21]. - The net cash flow from operating activities turned positive at CNY 15,134,102.21, a substantial improvement of 112.62% from a negative cash flow of CNY -119,959,592.32 in the same period last year[21]. - The company's operating revenue for the reporting period was CNY 167,076,735.71, representing a year-on-year increase of 5.54% compared to CNY 158,313,346.17[68]. - The company's operating costs decreased by 1.06% to CNY 131,817,632.78 from CNY 133,226,254.66[68]. - The company's net loss for the first half of 2021 was CNY 15,342,432.93, compared to a net loss of CNY 54,557,207.43 in the first half of 2020, indicating an improvement in financial performance[200]. Assets and Liabilities - The total assets decreased by 10.42% to CNY 943,853,856.33 from CNY 1,053,633,083.92 at the end of the previous year[21]. - The company's current assets decreased to CNY 679,278,352.46 from CNY 789,385,105.87, reflecting a reduction of about 14%[193]. - The total liabilities decreased to CNY 436,304,702.13 from CNY 537,434,975.94, indicating a decline of approximately 18.8%[194]. - The company's cash and cash equivalents dropped significantly to CNY 36,530,928.50 from CNY 102,571,135.98, a decrease of around 64.3%[192]. - Accounts receivable decreased to CNY 360,708,238.48 from CNY 405,237,070.57, which is a reduction of about 11%[192]. - The company's total equity decreased to CNY 507,549,154.20 from CNY 516,198,107.98, a decrease of about 1.3%[195]. Revenue Sources and Sales Channels - The company's main business revenue is derived 71.89% from group purchasing, with significant contributions from government procurement[57]. - The company has established five major sales channels: group purchasing, direct sales, e-commerce, wholesale agents, and ODM, with group purchasing showing strong growth[56]. - The company's self-owned channel sales accounted for 71.89% of total revenue, while e-commerce sales increased to 21.99%, up from 14.92% in 2020, indicating a shift towards online sales[53]. - The group purchase channel has formed a stable customer base, primarily serving military and state-owned enterprises, with military clients being the largest segment[44]. - The company has a diversified sales model, including group purchases, direct sales, e-commerce, wholesale agents, and ODM, which has contributed to steady revenue growth[42]. Product Development and Market Strategy - The company operates in the leather goods industry, focusing on product design, manufacturing, and brand management, with major brands including "万里马," "Saint Jack," and "COOME"[28]. - The company has expanded its product line to include handbags, wallets, suitcases, shoes, and belts, along with fashion accessories like glasses and scarves[28]. - The company aims to enhance its competitive edge through quality upgrades in its product offerings[34]. - The company is focusing on sustainable product development, including eco-friendly packaging solutions[82]. - The company has a robust R&D design team that aligns product launches with luxury brand timelines, enhancing its market competitiveness[63]. Operational Efficiency and Cost Management - The company has implemented measures to control expenses and improve internal management systems to ensure reasonable spending[147]. - The company aims to enhance operational efficiency and reduce costs by introducing advanced production equipment and improving automation rates[147]. - The company has established stable relationships with well-known suppliers, ensuring high production capacity and stable product quality[38]. - The company has implemented effective measures for waste gas, wastewater, and noise management, achieving compliance with environmental standards[135]. Shareholder and Profit Distribution Policies - The company plans not to distribute cash dividends or issue bonus shares[6]. - The company implements a stable profit distribution policy, with cash dividends not less than 20% of the distributable profit for the year[143]. - The company’s profit distribution proposal is subject to approval by the board and shareholders, ensuring transparency and independent opinions[144]. - The company emphasizes the importance of shareholder communication, particularly with minority shareholders, regarding profit distribution plans[145]. Challenges and Risks - The company faced challenges in project implementation due to the COVID-19 pandemic, leading to a decrease in delivery volume and a reduction in market demand for related products[104]. - The company faces risks from rising raw material prices, which could impact production costs and operations[120]. - The company acknowledges potential risks from macroeconomic factors, supply-demand relationships, and operational conditions that could impact business development[147]. Corporate Social Responsibility and Environmental Initiatives - The company has actively fulfilled its corporate social responsibility, donating 1 million yuan during the 2008 Sichuan earthquake and 200,000 yuan to the Dongguan Red Cross in 2017[139]. - The company has upgraded equipment and adopted advanced environmental protection systems to ensure standard emissions[136]. - The company has increased the proportion of biodegradable materials in sole materials to reduce environmental pollution[136].

Financial Performance - The company reported a significant loss due to the impact of the COVID-19 pandemic, with group purchase sales accounting for 76.53% of total revenue, leading to a backlog of products worth CNY 47.2158 million awaiting delivery as of December 31, 2020[5]. - The company's operating revenue for 2020 was ¥343,593,789.63, a decrease of 49.14% compared to ¥675,535,587.07 in 2019[22]. - The net profit attributable to shareholders in 2020 was -¥145,205,499.79, representing a decline of 705.05% from a profit of ¥23,998,807.09 in 2019[22]. - The net cash flow from operating activities was -¥4,495,280.53 in 2020, down 114.79% from ¥30,402,148.82 in 2019[22]. - The total assets at the end of 2020 were ¥1,053,633,083.92, a decrease of 17.10% from ¥1,270,991,770.48 at the end of 2019[22]. - The net assets attributable to shareholders decreased by 13.95% to ¥489,535,047.10 at the end of 2020 from ¥568,892,778.66 at the end of 2019[22]. - The basic earnings per share for 2020 was -¥0.4654, compared to ¥0.0769 in 2019, reflecting a decline of 705.20%[22]. - The company reported a significant increase in non-operating losses, with total non-recurring gains and losses amounting to ¥8,666,185.32 in 2020[28]. - The company has indicated uncertainty regarding its ability to continue as a going concern due to negative net profits in recent years[22]. Market Outlook - The footwear and apparel industry is expected to gradually recover as COVID-19 is effectively controlled and consumer confidence returns, indicating a positive outlook for the sector[6]. - The company is facing increasing competition in the industry, which is transitioning towards a survival of the fittest scenario[6]. - The overall industry faced intense competition, with the leather and footwear industry experiencing a 14.5% decline in operating revenue[76]. - The market for leather goods in China is expected to grow significantly as disposable income increases, providing substantial growth opportunities for the company[58]. - The company is positioned in a market where high-end products are more sensitive to economic cycles, while lower-priced products are less affected, indicating a diverse market strategy[59]. Business Strategy - The company continues to explore market expansion opportunities and new strategies to enhance its competitive position in the industry[6]. - The company plans to focus on new product development and market expansion strategies to improve future performance[22]. - The company has adopted an ODM model to produce handbags for internationally renowned enterprises and provides comprehensive e-commerce services through its subsidiary, Chaoqi Technology[32]. - The company has established a "3+N" multi-brand structure, consisting of three proprietary brands and multiple agency brands, to cater to different market segments[37]. - The company is focusing on expanding its product offerings through the ODM model, which involves developing and producing products based on specifications from foreign brand owners[51]. - The company aims to enhance brand image and service through effective marketing strategies and supply chain management[151]. - The company plans to invest in automation and smart upgrades in production to enhance efficiency and product quality[162]. Sales Channels - The company has formed five main sales channels: group purchasing, direct sales, e-commerce, wholesale agents, and ODM, driving steady revenue growth[45]. - The group purchasing business has a stable customer base, primarily in the military and state-owned enterprises, with military clients accounting for the largest share[45]. - The direct sales channel is focused on major urban centers, enhancing customer experience and brand image while expanding market share[47]. - The e-commerce channel has become a significant platform for sales, leveraging online marketplaces like Taobao, Tmall, and JD.com for product distribution[48]. - The company has established partnerships with various brands, including SUUNTO and ON, focusing on outdoor and sports products, with price ranges starting from 5000 RMB and 1400 RMB respectively[110]. Production and Inventory - The overall production capacity was affected by delayed resumption of work, resulting in a decrease in finished goods inventory compared to the previous year, which negatively impacted gross profit margins[6]. - The main raw material used in production is leather, predominantly cowhide, and the company employs an "order + forecast" procurement model for its materials[39]. - The company adopts a "order + forecast" production model, combining self-production and outsourcing to optimize capacity[42]. - The total inventory balance at the end of the period is ¥200,027,900, with a provision for inventory depreciation of ¥22,862,400[107]. - The company reported an increase in inventory in the e-commerce sector by 44.01% to 261,435 units due to the shift of sales from physical stores to online channels[92]. Research and Development - The company invested ¥3,273.86 million in R&D during the reporting period, representing 9.53% of total revenue[83]. - The company has established partnerships with universities and research institutions to enhance its R&D capabilities and accelerate the commercialization of technological innovations[83]. - The company is committed to continuous R&D investment to maintain its technological and product leadership in the industry, adapting to new customer demands[112]. - The company's R&D investment in 2020 amounted to ¥32,738,621.51, representing 9.53% of its operating revenue, a significant increase from 4.84% in 2019[114]. Risk Management - The company emphasizes the importance of risk awareness regarding forward-looking statements related to future plans and performance forecasts[7]. - The company recognizes the risk of market demand fluctuations due to economic downturns and aims to enhance brand value to mitigate these risks[174]. - The company has established a strong supplier network to mitigate risks from raw material price fluctuations[180]. - The company has implemented measures to mitigate risks from various factors, including macroeconomic conditions and supply chain dynamics, to ensure business continuity[200]. Dividend Policy - The company plans not to distribute cash dividends or issue bonus shares for the reporting period[9]. - The company has not proposed any cash dividend distribution plan despite having positive profits available for distribution to ordinary shareholders[193]. - The company plans to distribute cash dividends amounting to at least 20% of the annual distributable profits, with a cumulative distribution of no less than 30% of the average annual distributable profits over three consecutive years[196]. - The company will provide detailed explanations for any decision not to distribute cash dividends, including the reasons and intended use of retained earnings[197].

Financial Performance - The company's revenue for Q1 2021 was ¥104,097,960.63, representing a 140.57% increase compared to ¥43,270,573.60 in the same period last year[9] - Net profit attributable to shareholders was ¥3,298,899.46, a significant turnaround from a loss of ¥28,234,946.76 in the previous year, marking an increase of 111.68%[9] - Basic earnings per share rose to ¥0.01 from a loss of ¥0.0835, indicating an increase of 111.98%[9] - The company achieved operating revenue of CNY 104,097,960.63, a year-on-year increase of 140.57% due to the recovery of orders after the impact of COVID-19[20] - Net profit attributable to shareholders was CNY 3,298,899.46, compared to a loss of CNY 28,234,946.76 in the same period last year, representing a year-on-year growth of 111.68%[20] - The net profit for Q1 2021 was CNY 3,379,040.13, a recovery from a net loss of CNY 29,208,192.07 in the previous year[50] - The net profit for the period was CNY 4,134,437.62, compared to a net loss of CNY 27,410,473.96 in the same period last year, indicating a turnaround in performance[54] Cash Flow - The net cash flow from operating activities improved to ¥29,188,456.56, compared to a negative cash flow of ¥38,611,447.40 in the same period last year, reflecting a 175.60% increase[9] - The company's cash inflow from operating activities totaled CNY 163,168,695.86, an increase of 89.02% compared to the previous year, primarily due to increased sales collections[19] - The cash flow from operating activities generated a net inflow of CNY 29,188,456.56, contrasting with a net outflow of CNY 38,611,447.40 in the prior period[59] - Total cash inflow from operating activities reached $156,148,023.66, compared to $68,990,328.97 in the prior period, indicating a growth of approximately 126%[61] - The net cash flow from operating activities was $32,156,658.97, a significant improvement from a net outflow of $42,932,344.11 in the previous period[61] Assets and Liabilities - Total assets decreased by 8.03% to ¥969,058,084.07 from ¥1,053,633,083.92 at the end of the previous year[9] - The company's current assets totaled CNY 708,948,606.70, down from CNY 789,385,105.87 at the end of 2020, indicating a decrease of about 10.1%[40] - The total liabilities decreased from CNY 537,434,975.94 to CNY 449,502,020.04, representing a reduction of about 16.4%[42] - The company's short-term borrowings were CNY 275,285,268.15, slightly down from CNY 285,285,268.15, a decrease of approximately 3.5%[42] - The total owner's equity remained stable at CNY 329,724,410.00, unchanged from the previous period[42] Inventory and Receivables - The company's accounts receivable at the end of 2021 Q1 amounted to 328,002.6 thousand CNY, representing 33.85% of total assets[23] - The company reported a decrease in accounts receivable from 454,123.8 thousand CNY at the end of 2018 to 328,002.6 thousand CNY at the end of 2021 Q1[23] - The company's inventory impairment provision increased by 248.13% to CNY 1,506,505.20, reflecting proactive measures to avoid inventory backlog during channel optimization[19] - Inventory also saw a decline, dropping from CNY 177,165,489.20 to CNY 156,595,228.67, which is a decrease of around 11.6%[40] Shareholder Information - The top shareholder, Lin Dayao, holds 24.64% of the shares, with a total of 81,235,700 shares, of which 60,926,775 are under pledge[12] - The company did not engage in any repurchase transactions during the reporting period[13] Government Support and Other Income - The company received government subsidies amounting to ¥1,412,600.00 during the reporting period[10] - The company reported a significant increase in other income, which rose by 2050.75% to CNY 1,439,268.79, mainly due to increased government subsidies[19] - The company received other income totaling CNY 1,380,416.02 during the period[53] Research and Development - The company has established a strong R&D team to better predict market trends and consumer preferences in the leather goods industry[26] - Research and development expenses for Q1 2021 were CNY 5,425,887.57, down from CNY 7,496,326.88 in the previous year[49] - The company incurred research and development expenses of CNY 4,565,973.70, slightly down from CNY 5,893,864.81 in the previous period[53] Risk Management - The company has identified risks related to raw material price fluctuations, which could impact production costs[25] - The company plans to enhance its core competitiveness and brand value to mitigate risks associated with economic fluctuations and group purchasing business volatility[22] - The company is actively integrating and managing the acquired entity, Super Qi Technology, to mitigate goodwill impairment risks[27] Compliance and Governance - The company reported no non-operating fund occupation by controlling shareholders or related parties during the reporting period[34] - There were no violations regarding external guarantees during the reporting period[33] - The company did not conduct any research, communication, or interview activities during the reporting period[35]

Financial Performance - Net profit attributable to shareholders was CNY -13,702,351.50, a decrease of 833.59% year-on-year[8] - The company reported a net profit attributable to shareholders of CNY -68,852,597.10 for the year-to-date, a decrease of 705.68% compared to the same period last year[8] - The net profit for Q3 2020 was a loss of approximately ¥68.16 million, representing a decline of 589.33% compared to a profit of ¥13.93 million in Q3 2019[17] - The company reported a net loss of CNY 13,523,787.33 for the year-to-date, compared to a loss of CNY 1,335,017.86 in the previous year[43] - The company’s total comprehensive loss for the quarter was CNY 12,886,774.81, compared to a loss of CNY 1,053,471.79 in the same quarter last year[39] Revenue and Income - Operating income for the period was CNY 112,072,631.59, an increase of 6.08% compared to the same period last year[8] - The company's operating revenue for Q3 2020 was approximately ¥270.39 million, a decrease of 39.80% compared to ¥449.12 million in Q3 2019, primarily due to the impact of the pandemic[16] - Total operating revenue for the third quarter was CNY 112,072,631.59, an increase from CNY 105,644,893.37 in the previous period[36] - Total operating revenue for the year-to-date was CNY 270,385,977.76, down from CNY 449,124,380.93, reflecting a decrease of approximately 39.9%[44] Cash Flow - The net cash flow from operating activities was CNY 54,490,641.45, down 56.49% from the previous year[8] - The cash flow from operating activities for Q3 2020 was a negative ¥65.47 million, a decrease of 201.87% compared to a positive cash flow of ¥64.27 million in Q3 2019[17] - The net cash flow from operating activities was -95,201,225.59 CNY, compared to 94,750,999.79 CNY in the previous period[58] - The total cash and cash equivalents at the end of the period were 43,766,358.01 CNY, down from 139,836,966.62 CNY at the end of the previous period[59] Assets and Liabilities - Total assets decreased by 7.76% to CNY 1,172,378,019.04 compared to the end of the previous year[8] - Total assets decreased to CNY 1,149,551,077.94 from CNY 1,247,285,252.67[34] - Total liabilities decreased to CNY 623,642,837.56 from CNY 681,541,472.35[34] - Current liabilities totaled CNY 524,230,055.03, down from CNY 539,169,214.49[33] - Shareholders' equity totaled CNY 525,908,240.38, down from CNY 565,743,780.32[34] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 18,427[12] - The largest shareholder, Lin Dayao, holds 28.35% of the shares, amounting to 90,454,000 shares[12] Government Subsidies - The company received government subsidies amounting to CNY 2,296,688.99, which are closely related to its business[9] - The company reported a 100% increase in other income to approximately ¥882,465, primarily from government subsidies unrelated to business operations[16] Research and Development - Research and development expenses were CNY 2,312,281.65, a decrease of 65.7% compared to CNY 6,743,504.34 in the prior year[38] - Research and development expenses for Q3 2020 were ¥17.98 million, slightly down from ¥18.74 million in Q3 2019[49] Future Outlook - The company expects cumulative net profit for the year to be a loss, as Q4 2020 is not anticipated to offset the losses incurred in the first three quarters[21] - The company is implementing new revenue and leasing standards starting in 2020, which may impact future financial reporting[68]

Financial Performance - The company reported a significant increase in revenue for the first half of 2020, with total revenue reaching 500 million RMB, representing a 15% year-over-year growth[12]. - The company's operating revenue for the reporting period was ¥158,313,346.17, a decrease of 53.91% compared to the same period last year[19]. - The net profit attributable to shareholders was -¥55,150,245.60, representing a decline of 529.67% year-over-year[19]. - The net cash flow from operating activities was -¥119,959,592.32, a decrease of 96.79% compared to the previous year[19]. - The total assets at the end of the reporting period were ¥1,230,023,476.43, down 3.22% from the end of the previous year[20]. - The net assets attributable to shareholders decreased by 11.45% to ¥503,782,010.74 compared to the previous year[20]. - The basic earnings per share were -¥0.1768, a decline of 530.17% year-over-year[19]. - The company's main business revenue for the first half of 2020 was CNY 15,689.68 million, a decrease from CNY 67,493.94 million in 2019, reflecting a decline in overall sales performance[45]. - The gross profit margin for handbags decreased by 21.32%, while the gross profit margin for shoes decreased by 15.18%[75]. Market Expansion and Strategy - The company has set a future outlook with a revenue target of 1 billion RMB for the full year 2020, which would require a 25% increase in the second half[12]. - The company is expanding its market presence by entering two new provinces, aiming for a 10% market share in these regions within the next year[12]. - A strategic acquisition of a local competitor is in progress, which is projected to enhance market share by 15%[12]. - The company is focusing on expanding its presence in international markets, particularly in Southeast Asia, through export and ODM models[45]. - The company plans to develop protective products as a new growth point, capitalizing on the increasing demand from the domestic middle-class consumer group[49]. - The overall leather goods market remains competitive, with a significant presence of small and medium-sized enterprises, indicating potential for market consolidation and growth opportunities for larger players like the company[49]. Product Development and Innovation - New product development includes the launch of a high-performance protective gear line, expected to contribute an additional 100 million RMB in revenue[12]. - The company has expanded its product line to include various fashion accessories, enhancing its market offerings[28]. - The company has established a multi-brand strategy with three proprietary brands: "Wanlima," "Saint Jack," and "COOME," targeting different market segments and consumer preferences[33]. - The company focuses on quality upgrades and precise marketing strategies to enhance its competitive edge in the fashion consumer goods sector[34]. - The company has a strong R&D design capability, with a professional team that aligns product launches with luxury brand timelines, enhancing market competitiveness[58]. Operational Efficiency and Cost Management - The company plans to invest 50 million RMB in technology upgrades to improve production efficiency by 30%[12]. - The company aims to enhance operational efficiency and reduce operating costs through advanced production equipment and improved management systems[121]. - The company emphasizes the importance of improving production automation rates to enhance production efficiency and reduce costs[121]. - The company has implemented measures to respond to risks, including strict supplier management and establishing stable partnerships[121]. Risk Management - The management has identified potential risks related to market fluctuations and has outlined measures to mitigate these risks in the report[4]. - The company faces risks from macroeconomic fluctuations, which could impact demand for leather products and overall profitability[102]. - The company recognizes the impact of fluctuating sales environments and raw material prices on its business operations[121]. Shareholder and Profit Distribution Policies - No cash dividends will be distributed this year, as the company focuses on reinvestment for growth[5]. - The company plans to implement a stable profit distribution policy, ensuring that cash dividends distributed annually will not be less than 20% of the distributable profits for the year[116]. - The company commits to a cash distribution of at least 30% of the average annual distributable profits over three consecutive years[116]. - The company will conduct mid-term cash distributions based on actual profitability conditions[116]. - The company’s profit distribution policy emphasizes reasonable returns to investors while considering sustainable development[116]. Corporate Governance and Compliance - The company has committed to strengthening internal controls and corporate governance to protect shareholder rights and interests[124]. - The company will ensure compliance with information disclosure obligations regarding stock repurchase and shareholding changes[120]. - The company has not engaged in any major related party transactions or significant contracts during the reporting period[132][133][134][135][145]. Environmental and Social Responsibility - The company has implemented effective environmental protection measures, including the use of eco-friendly materials and advanced equipment to reduce pollution[146][147]. - The company has not initiated any poverty alleviation programs during the reporting period[148]. Legal Matters - The company is involved in a lawsuit with a claim amount of 50 million yuan, alleging unauthorized use of a trademarked product name and packaging[128]. - There are no significant litigation, arbitration, or media scrutiny issues reported during the period[129][130].

Financial Performance - Total revenue for Q1 2020 was ¥43,270,573.60, a decrease of 66.78% compared to ¥130,268,553.49 in the same period last year[8] - Net profit attributable to shareholders was -¥28,234,946.76, representing a decline of 550.75% from -¥4,338,813.09 year-on-year[8] - Basic earnings per share for the quarter was -¥0.0835, a decrease of 500.72% compared to -¥0.0139 in the previous year[8] - The company's operating cash inflow decreased by 45.88% to CNY 86,325,153.16, primarily due to reduced sales collections[20] - The total operating costs fell by 63.84% to CNY 36,329,141.68, reflecting the impact of the pandemic on sales[19] - The company reported a net loss of CNY 1,016,985.31 due to asset impairment losses, compared to a smaller loss of CNY 24,911.88 in the previous period[50] - The net profit for Q1 2020 was a loss of CNY 29,208,192.07, compared to a loss of CNY 3,559,444.37 in the same period last year, indicating a worsening financial performance[52] - The total comprehensive income for Q1 2020 was a loss of CNY 29,261,461.41, compared to a loss of CNY 3,453,452.48 in the prior year[52] Cash Flow and Liquidity - The net cash flow from operating activities improved by 29.94%, amounting to -¥38,611,447.40, compared to -¥55,108,668.57 in the same period last year[8] - The company's cash and cash equivalents decreased to CNY 108,605,160.55 from CNY 140,731,234.68, representing a decline of about 22.8%[41] - The company's operating cash flow for Q1 2020 was -42,932,344.11 CNY, compared to -42,638,759.29 CNY in Q1 2019, indicating a slight deterioration in cash flow performance[62] - The company reported a net increase in cash and cash equivalents of -33,487,847.41 CNY for Q1 2020, contrasting with an increase of 18,441,064.79 CNY in Q1 2019[63] Assets and Liabilities - Total assets at the end of the reporting period were ¥1,214,073,783.55, down 4.48% from ¥1,270,991,770.48 at the end of the previous year[8] - The company's total assets as of March 31, 2020, were CNY 1,190,892,445.63, down from CNY 1,247,285,252.67 at the end of 2019[46] - Total liabilities decreased to CNY 652,559,139.27 from CNY 681,541,472.35 year-over-year, reflecting improved financial health[47] - The total current liabilities were CNY 444,663,001.68, compared to CNY 457,071,636.56 at the end of 2019, showing a decrease of approximately 2.7%[42] Shareholder Information - The total number of ordinary shareholders at the end of the reporting period was 21,752[12] - Major shareholders include Lin Dayao with 28.99% ownership, Lin Dazhou with 15.20%, and Lin Caihong with 10.43%[12] Research and Development - Research and development expenses increased by 128.84% to CNY 7,496,326.88, indicating a commitment to enhancing R&D efforts[19] - The company has established a strong R&D team to adapt to changing consumer preferences in the leather goods industry[27] - Research and development expenses for Q1 2020 amounted to CNY 5,893,864.81, an increase from CNY 3,275,864.34 in the same period last year, indicating a focus on innovation[54] Investment and Fundraising - The total amount of raised funds in this quarter is 32,407.56 million[32] - The cumulative amount of changed use of raised funds is 7,262.75 million, accounting for 22.41% of the total raised funds[32] - The marketing network expansion and e-commerce channel upgrade project has an investment total of 12,923.48 million, with a completion rate of 90.48%[32] - The company has acquired 51% equity in Chaoqi E-commerce for 8,845.64 million, which includes 7,262.75 million from the original fundraising[33] Operational Challenges - The company has not achieved the expected benefits from the direct store construction project due to rising costs and increased competition in retail[33] - The company plans to strengthen its e-commerce channel by acquiring established e-commerce firms instead of building its own[33] - The company reported a financial asset impairment loss of CNY 934,000.93 during the quarter, which negatively impacted profitability[55] Compliance and Governance - The company has not reported any overdue commitments from major stakeholders during the reporting period[30] - The company has not reported any superfluous funds or changes in the implementation of fundraising projects[33] - The company has not indicated any significant changes in net profit compared to the same period last year[36]